Last checked at 29 Jul 2020 11:45
CML Microsystems Plc
AGM Interim Management Statement
CML Microsystems Plc (the "Group" or the "Company"), which designs, manufactures and markets semiconductors, primarily for global communication and solid state storage markets, today issues the following trading update at its AGM for the period 1 April 2020 to 31 July 2020.
Trading Update
Total revenues and profit before tax for the opening months of the financial year to 31 March 2021 have tracked slightly above management expectations, with new order intake for Storage products continuing to be at a healthy level. Recent market demand for the Group's Communication products has been challenging.
We ended the previous financial year with the business tuned to react swiftly as market conditions improve and that situation remains. Geopolitical and pandemic headwinds continue to feature, making future predictions highly speculative but it is pleasing to see an improvement from the Storage market.
Order intake between now and the end of September will be a key indicator for the shape of a recovery, but the Board continues to believe we have the correct people, products and strategy in place to drive growth as the trading environment improves.
CML Microsystems Plc Chris Gurry, Group Managing DirectorNigel Clark, Group Chairman and Financial Director
| www.cmlmicroplc.comTel: +44(0)1621 875 500 |
Shore Capital Edward Mansfield James Thomas
| Tel: +44(0)20 7408 4090 |
SP Angel Corporate Finance LLP Jeff Keating
| Tel: +44(0)203 463 2260 |
Alma PR Josh Royston Caroline Forde Robyn Fisher |
Tel: +44 (0)20 3405 0212
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About CML Microsystems PLC
CML designs and develops semiconductors for the industrial storage and communications markets. The Group utilises a combination of in-house and outsourced manufacturing and has trading operations in Europe, the Far East and USA. CML targets niche markets with strong growth profiles and high barriers to entry. It has secured a diverse, blue chip customer base, including some of the world's leading telecoms equipment providers and industrial product manufacturers.
The spread of its customers and products largely protects the business from the cyclicality usually associated with the semiconductor industry. Growth in its end markets is being driven by factors such as the ever increasing trend towards solid state storage devices in the commercial and industrial sectors, the upgrading of telecoms infrastructure around the world and the growing prevalence of private commercial communications networks for voice and/or data communications linked to the industrial internet of things (IIoT).
The Group is cash-generative, has a net cash position and is dividend paying.