CML Microcircuits Regulatory News (CML)

CML Microsystems Plc

Interim Management Statement

CML Microsystems Plc ("the Group"), which designs, manufactures and markets a broad range of semiconductors, primarily for global communication and data storage markets, today issues the following Interim Management Statement. This statement refers to the Group's trading results for the period from 1 October 2012 to 13 February 2013 and is provided in accordance with the requirements of the UK Listing Authority's Disclosure and Transparency Rules.

Trading Update

The Group's operating results continue to be ahead of the prior year comparable period and slightly exceed the Board's earlier expectations.

Within the target industrial Storage markets, demand for the Group's PATA flash memory controller solutions remains robust whilst customer adoption of the SATA controllers continues to proceed according to plan. Customers are expected to commence production of their CFast and 2.5" SSD products over the coming months.

As expected, the shipment and new order intake levels for Wireless semiconductor products has improved following the weaker comparable first half revenues reported at the Interim stage. A tier one PMR handset maker is now in full production with a professional radio based upon a Group multi-chip solution delivering high performance RF and baseband processing functionality.

Gross margins and operating costs have remained stable allowing the Group's net cash balance to strengthen further.

Board update

The Group's founder and non-executive Chairman, George Gurry, has informed the Board that he intends to relinquish his current position during the next full financial year but intends to remain a non-executive director. Separately, the Board expects to appoint a new independent non-executive director and an announcement will be made in the coming weeks.

There have been no other material events or transactions to report since 1 October 2012.

Outlook

The Group continues to see good demand for its products. Newer Storage and Wireless product introductions are gaining momentum amongst their respective customer bases and the Board remains confident that another full year of solid growth will be achieved to 31 March 2013.