Consumer and automotive electronics products supplier Armour is going to find it tough in 2011 according to chief executive George Dexter.
Dexter says that conditions are the toughest he has seen for more than a decade.
The consumer business is showing few signs of getting any better with the company's TV stands business appearing to offer the best short-term prospects.
In contrast, automotive business - car radios, speakers, etc - is starting to recover. The car market remains weak but demand from commercial vehicles and tractor manufacturers - high commodity prices are encouraging farmers to replace their existing tractors - is growing.
Revenues rose from £51.6m to £56.6m in the year to August 2010 but materials costs rose faster. Interest costs fell but pre-tax profit still declined from £1.12m to £947,000.
Earnings per share were flat with 2009 at 1.4p, while net cash from operations significantly decreased to £1.8m, from £7.1m previously.
Growth will come from new products rather than the trend in the market. This includes the Q2 Cube internet radio.
Analysts expect a fall in profit to around £200,000 on flat revenues this year.
Armour capitalises some of its product development investment. Last year it was £1.684m, compared with amortisation of £977,000. This is one of the reasons why net debt rose from £4.89m to £5.7m at the end of August 2010.
Armour, a consumer electronics group, has acquired the business and assets of 12 Volt, a 30-year old supplier to the Swedish automotive-aftermarket that holds the exclusive distribution rights in Sweden for the Alpine Electronic range of in-car entertainment solutions. [30 Oct '13]
Armour, the AIM-listed consumer electronics group, has announced that its wholly owned subsidiary, Armour Automotive, has won a 'significant' contract to supply Argo Tractors with in-cab radio/audio systems for their McCormick and Landini tractor ranges. [4 Jun '13]
Pinnacle Technology Group, a provider of cloud based technology solutions, has entered into an exclusivity agreement with EE Soft, a security software company based in North Carolina in the US, under which EES has granted Pinnacle exclusivity to market and distribute its anti-theft computer security software in the UK. Pinnacle will also have the rights to distribute the product in 37 other countries. [23 Jul '12]
Shares of in-car entertainment firm Armour Group tanked after it posted a half year loss compared to a profit the year before as challenging conditions in the consumer electronics market continue. [27 May '11]
Victrex does nothing but polyether ether ketone, helpfully shortened to Peek. The group's factory near Blackpool produces the hard-wearing polymer in a vast array of shapes, sizes and varieties for use in everything from aircraft and electronics to artificial hip joints and vertebrae. Victrex has bags of potential, even with the widely predicted softening in the second half thanks to tougher comparisons and the drag from the special dividend. Buy, says the Independent. [8 Apr '11]
In-car entertainment firm Armour Group has issued a profit warning this morning in reaction to adverse effect which the current weak UK economic environment is having in the group's core UK retail sales channels, which account for 60% of total group sales. Although all is not bad news, now that the company believes that the UK consumer electronics market will continue to be weak for the remainder of this year the group has decided to review its forecasts and now expects to report a loss for the full year to 31 August 2011. [7 Apr '11]
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