UK&I Daily Focus: Wednesday, 1st July 2026

Research evidence excerpt

UK&I Daily Focus: Wednesday, 1st July 2026

areholders, boards and capital markets participants

across the UK and internationally.

CHEMRING GROUP PLC (CHG.L) - JBTDS FRP Contract Award

Richard Paige: Tgt 650p. Last Close 512p, Buy. Chemring's US Sensors business

has been awarded a three-year IDIQ Full Rate Production contract for the Joint

Biological Tactical Detection System (JBTDS) Program of Record. This sole-source

contract has a current ceiling value of $48.8m, with an estimated completion date

of June 2029. Chemring has received an initial call-off against this worth $36.3m for

delivery through to March 2028. We expect a further order under this IDIQ to be

received in 2027 for delivery in FY28. The IDIQ was announced on the DoW

contracting website on 26 June and was awarded by the Capability Program

Executive for Chemical, Biological, Radiological and Nuclear Defense.

QINETIQ GROUP (QQ.L) - UK DIP provides opportunities and should ease delays;

Execution still key

Richard Paige: Tgt 600p. Last Close 422.40p, Buy. After much delay, the DIP was

finally published yesterday. From an overall perspective, there are few surprises,

given that this is the funding and implementation plan for the Strategic Defence

Review (SDR), published last year, and has also been well trailed in the press

recently. The headline is confirmation of the c. £15bn increase in defence funding

over the next four years, reportedly c. £1.5bn above the figure under discussion

before John Healey resigned as Defence Secretary earlier this month. This would

take annual defence spending from £54bn to £79.1bn by 2029, or 2.7% of GDP.

POLAR CAPITAL (POLR.L) - FY in line, material recent AuM growth, material

consensus upgrades expected

David McCann: Tgt 1300p. Last Close 891p, Buy.