SRT Marine Systems – up 75% in five months, with so much more to come yet, shares 73.80p TP 100p

02.06.2025

Over the last week we have seen a good per centage rise in the share price of one of the UK Investor Shares For 2025 – SRT Marine Systems (LON:SRT) – having improved from 59p to 73.80p – a neat 25% upward lift in a week.

Better than that, the shares are up a convincing 75% since the stock was selected for the 25 for 2025 list – published on Monday 30th December last year.

They were then 42p, although you could have bought them at 39p within the following days.

However, despite that staggering three-quarters uplift in five months, we still believe that there is a lot more to come yet.

So why the price advance for the loss-maker?

Simply because the developer and supplier of maritime surveillance, analytics and management systems and products, has now confirmed that it has completed all of its paperwork to kick off its ten-year contract with the Indonesian Coast Guard.

That €167m contract is now underway and should prove to be a transformational shift for the £185m-capitalised group.

It is an addition to the group’s growing Order Book – which now includes other national state projects – such as the $213m contract for the Kuwait Coast Guard, and other contracts with a Middle East Coast Guard, and the Philippines Fisheries.

At the last disclosed count – the group’s Order Book stood at £338m in value, while it is progressing its pipeline for another £1.2bn worth of business.

The Business

The company is an established leader in the growing global market for maritime domain awareness.  

It provides advanced technologies, products and systems, that integrate multiple proprietary technologies such as advanced analytics, data fusion, augmented visualisation, that enhance maritime safety, security and environmental protection and sustainability.  

The group’s customers range from governments to vessel owners around the world. 

It develops and supplies automatic identification system (AIS) based maritime domain awareness technologies, products, and systems. 

The company offers systems, such as DAS-Digital ATON, a system that enhances port and waterway traffic control and navigation safety; NAIS-National Vessel Tracking System, a vessel identification and tracking system solution; MDM-Coastguard, a maritime domain surveillance system; VMS-Fisheries, a system for monitoring, managing, and controlling fishing vessels; and VTS-Ports and Waterways, a monitoring, managing, and controlling system for maritime infrastructure, ports, and waterways. 

It also provides AIS Aids, VMS, search and rescue, vessel, and navigation transceivers; small boat trackers; fishing buoy trackers; base stations; display and data solutions; satellite data solutions; OEM AIS transceivers; and AIS transceiver modules, as well as develops and sells maritime communication products and systems. 

The company’s solutions are used in a range of maritime applications, such as maritime safety, security, management, and efficiency in waterways, ports and infrastructures, coasts, and open ocean.  

It serves mariners, infrastructure owners, coast guards, and fishing authorities in the United Kingdom, rest of Europe, the Middle East, North America, South East Asia, and internationally.

Management Comment

Last week when discussing the latest contract CEO Simon Tucker stated that:

"I am delighted that the €167m NMSS project has now started.

Indonesia is a fast moving, ambitious, high growth economy with a massive and complex marine domain, and our customer has the considerable challenge of effectively and efficiently managing it.

This project delivers a sovereign national capability owned and operated by the government of Indonesia that enables them to build up a massive national dataset within a system they own, control and operate that has highly configurable functionalities to provide deep insight.

Furthermore, the flexible AI powered architecture of the SRT-MDA System enables them to continue to grow and evolve the system in the future alongside their ever-changing operational needs and scale.

We look forward to a long and mutually beneficial sovereign partnership with Indonesia."

The Equity

There are some 250m shares in issue.

The larger holders include Ocean Infinity Group (15.25%), Hargreaves Lansdown Asset Management (8.73%), Simon Rogers (5.40%), David Brierwood (8.22%), David Newlands (2.13%), Barclays Bank (1.87%), Amati Global Investors (1.54%), Rathbones Investment Management (1.45%), Toscafund Asset Management (0.52%), HSBC Global Asset Management (0.48%), and Jarvis Investment Management (0.26%).

Analyst‘s Views

At Cavendish Capital Markets, its analysts Kimberley Carstens and Michael Hill, are awaiting the end of this month and the group issuing its Trading Update for the year to end-June.

Until then their estimates are ‘Under Review’ – however I am convinced that ey are of the opinion that SRT is progressing well.

They consider that after years of developing its product and prospects, SRT has reached an inflection point with multiple concurrent revenue and cash-generative contracts from multiple sovereign customers with decade-long strategic plans.

Long-term market fundamentals and the company’s respected technologies, products and market position underpin SRT’s next phase of growth.

In My View

These shares, now close to their All-Time High of 75.15p, are

Command and Control

and thereafter they will then progress far above that level, over the next few years as more business is secured and processed into profitable benefit for the SRT balance sheet – and its shareholders too.