Elektron cautions on declines for legacy products

(ShareCast News) - Technology group Elektron Technology has cautioned that it continued to experience declines in markets for some of its legacy products, having previously warned on its first-half results.It reiterated that current year investment in new product development as well as scale-up costs linked to Checkit were seen absorbing much of the cash flow from the established businesses."The Checkit development programme remains on track," Elektron said in an AGM statement."The new generation Automated Monitoring module was fully launched towards the end of the first half of the year and a further Checkit solution for SMEs will be launched in the second half," it added.Elektron added that group order intake had, until recently, been in line with expectations with its book-to-bill ratio, at 1.04:1 for the current year to date.However, the company added that it had experienced a drop in orders both immediately before and after the non-binding UK vote to quit the European union."As a response to the effect on input prices as a result of the drop in sterling, Elektron took action to increase the vast majority of sterling based output prices."In addition the Group is implementing further cost saving initiatives. The Board remains cautious due to the current high level of uncertainty."