CML Microsystems Narrows FY10 Loss; Order Outlook Improving

LONDON (Dow Jones)--Semiconductor marker CML Microsystems PLC (CML.LN) Tuesday posted a narrowed fiscal 2010 loss as gross profit and sales both rose, adding it has made a solid start to the current fiscal, with the outlook for its order book continuing to improve. CML Microsystems said despite making a loss, it had a better year than originally expected. Its sales rose 12% to GBP18 million, aided by the release of new devices, growth in the value of semiconductors shipped into its largest market segment, wireless, and stronger unit shipment growth of memory card chips. It also managed to grow gross margin to 69% from 63% a year earlier, due to changes in its product mix and cost efficiencies, and reduced net debt at the year end to GBP2 million from GBP3.8 million a year earlier. CML's pretax loss narrowed to GBP386,000 in the year to March 31, from a GBP2 million loss a year earlier. The result was boosted by a rise in gross profit to GBP12.5 million from GBP10.2 million a year earlier. It now plans to maintain its operating costs in the current fiscal year, while continuing to develop new products in a bid to return to profitability. -By Hannah Benjamin, Dow Jones Newswires; 44-20-7842-9298; hannah.benjamin@dowjones.com (END) Dow Jones Newswires June 15, 2010 02:08 ET (06:08 GMT) CML Microcircuits