(Alliance News) - Solid State PLC raised its payout on Tuesday and reported an annual profit increase, despite revenue inching lower.
Shares in Solid State were down 6.8% at 932.50 pence each in London on Tuesday morning.
Solid State is a Worcestershire, England-based component supplier and manufacturer of computing, power, and communications products.
It posted revenue for the financial year that ended March 31 of GBP66.3 million, a 1.6% fall from GBP67.4 million in the previous year.
However, pretax profit for the year was GBP4.2 million, a 5.0% rise from GBP4.0 million. Profit was helped by sales, general and administration expenses falling 6.3% to GBP15.6 million.
Solid State said: "Our business model has displayed resilience in the face of the global Covid-19 pandemic, demonstrating the benefits of our diverse geographical, industry sector coverage and our decentralised footprint."
Its dividend for the year totalled, 16.0 pence, a 28% rise from 12.5p the year before.
"The board is confident that the achievements of the last year and the post period end growth in open orders are a very good foundation going into the current financial year. The experience of our team, focus on structural growth markets and the balance sheet strength set Solid State aside from many in our sector, giving the directors confidence in the mid-term prospects," commented Chief Executive Gary Marsh.
Solid State expects to see significant growth in demand in the medium term for image capture, processing, and transmission, driven by increased adoption of industrial AI and the roll-out of 5G.
By Amrit Sahota; newsroom@alliancenews.com
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Solid State (SOLI)