Concurrent Technologies "Well Placed" For Future Despite Profit Dip

LONDON (Alliance News) - Concurrent Technologies PLC said Wednesday that it is "well placed" for the future despite recording a reduction in interim profit.

For the six months to June 30, the computer boards manufacturer posted a pretax profit of GBP1.1 million, down from GBP1.4 million a year ago. This was on revenue which remained broadly flat at GBP7.9 million, compared to GBP7.8 million a year prior, while cost of sales rose to GBP3.8 million from GBP3.5 million a year ago.

Concurrent Technologies said that the "key driver" of its revenue remains the defence sector which accounted for 59% of its first half turnover. Despite operating mainly in the US, the company said it is seeing increasing interest from other markets, particularly in Asia.

Chairman Michael Collins said: "The first-half of 2018 has been an exciting one for the group, with new products, new partnerships and new opportunities.

"Our specialised product ranges, processes and excellent customer relationships all demonstrate that Concurrent Technologies is well placed for the future."

The company proposed an interim dividend of 0.95 pence per share, up 5.6% from 0.90p a year ago.

The company conducted an assessment on the potential impact of Brexit on its operations and concluded that "while there may be logistical disruption following the UK's departure, leaving the EU will have little lasting impact on our trading" as most countries apply a 0% import tariff on its products.

Concurrent Technologies shares were trading 1.2% lower at 77.60 pence each on Wednesday.

Concurrent Technologies