9 Oct 2009 07:00
9th October 2009
e2v technologies plc
Period End Update
e2v technologies plc, the specialist developer and manufacturer of high technology components and sub-systems, is providing its regular period end update ahead of its half year results announcement for the six months ended 30 September 2009.
Group trading has continued in line with management expectations reflecting lower demand, the impact of which has been partially offset by cost reductions, particularly in the second quarter.
As expected, activity in the Electron Devices and Subsystems division has continued to be significantly lower than last year, reflecting reduced demand for new systems in the medical and industrial markets and lower activity in defence. This has been partly offset by continuing demand for spares, particularly in medical.
Within Imaging, demand from the dental and industrial markets, which are primarily serviced by our French operations, has continued to decline significantly. This has been partly offset by increased activity associated with space related applications.
Specialist Semiconductors has grown, reflecting the acquisition of QP Semiconductors, and whilst underlying demand has declined, it has held up comparatively well in the current environment.
Our smallest division, Sensors, has achieved encouraging comparative period growth, across its portfolio of businesses as a whole.
The order book at 30 September 2009 was slightly over £130m (2008: £118m) and whilst management expect revenue for the full year to remain materially second half weighted, this is supported by higher levels of order cover for the second half, when compared with last year.
As at 30 September 2009 net borrowings were approximately £105m, a £32m reduction from 31 March 2009. Approximately £20m of this reduction was from operating cash flow with the balance due to currency, benefiting from conversion of the group's euro denominated debt to sterling in the half year.
Good progress is being made in reviewing the appropriate scale of operations to support the anticipated level of sustainable demand.
The Board anticipates that trading in the first half has met the levels necessary for the business to operate within the financial covenants in its debt facilities. The company announced on 30 September 2009 that it had agreed an amended facility, including a waiver of the September covenant tests, which has enabled the Board to progress key terms with its debt providers as part of the continuing process of preparing for a future increase in equity capital.
On 25 September we announced the appointment of our new Chairman, Chris Geoghegan.
For further information:
| e2v technologies plc | Tel: +44 (0)1245 493493 |
| Keith Attwood/Charles Hindson | |
| www.e2v.com | |
| Financial Dynamics | Tel: +44 (0)20 7831 3113 |
| Jon Simmons/Sophie Kernon |
NOTES FOR EDITORS
e2v
e2v's objective is to be a global leader in the design and supply of specialised components and sub-systems that enable the world's leading systems companies to deliver innovative solutions for medical & science, aerospace & defence, and commercial & industrial markets.
e2v is organised into four divisions:
High performance electron devices and subsystems for applications including defence electronic countermeasures, radiotherapy cancer treatment, radar systems, industrial heating, satellite communications amplifiers and digital television transmitters.
Advanced CCD and CMOS imaging sensors and cameras for applications including space, science and life science imaging, industrial process control, intra-oral and panoramic dental X-ray systems, military surveillance and automotive imaging.
Specialist Semiconductors - including logic, memory and microprocessors for high reliability microprocessor and MRAM requirements, in partnership with Freescale Semiconductor and Everspin, mission-critical avionics and defence programs requiring high reliability integrated circuits, high speed data converters and sensor data acquisition utilising mixed signal application specific devices.
A range of professional sensing products for applications including environmental safety, x-ray spectroscopy, automotive alarm and security systems, microwave radar and safety and arming devices, fire rescue and security thermal imaging.
For the year ended 31 March 2009, e2v achieved sales of £233m and is listed on the London Stock Exchange. In October 2008 e2v acquired QP semiconductor, a leading US-based designer and supplier of specialty semiconductor components used in military and aerospace applications, establishing e2v's first US manufacturing base.
The Company is headquartered in the United Kingdom and has approximately 1700 employees in six production facilities across Europe and North America. e2v also operates a global network of sales and technical support offices, supported by local distributors and resellers.
Further information is available from www.e2v.com