Flowtech Fluid. Regulatory News (FLO)

27 Mar 2008 07:02

Flomerics Group PLC27 March 2008 Flomerics Group PLC ("Flomerics" or "the Company") Update Flomerics, the global supplier of specialist simulation software for electronicsand fluid flow simulation, is today providing an update on its operational plansand outlook for 2008 and beyond in the light of the recent changes inshareholdings in the Company. Flomerics' strategy remains to be a leading provider of software simulationsolutions to the worldwide engineering design market. Flomerics' softwaresolutions are targeted at the world electronic thermal management and fluid flowsoftware markets. These markets are growing strongly and the Company believes it has significantopportunities for growth. For example, data published by Global IndustryAnalysts, Inc.(1) indicates that the world electronic thermal managementsoftware market will continue to grow by 10% per year over the next five years.The Company's electronics cooling business is well positioned to benefit fromthis growth, particularly in Asia and the Far-East, which has seen strong growthin recent years. Similarly, the computer-aided engineering industry is expected to grow at acompound annual growth rate of 12% through 2009(2). The Board believesFlomerics' products can outperform this average market growth rate due to thecompetitive advantages offered by its products. Strong growth has already beenseen for the Engineering Fluid Dynamics (EFD) product range in 2007 and into2008. The investment in sales and marketing in 2007, aimed at accelerating revenuegrowth particularly from the EFD product range (acquired as part of theacquisition of Nika GmbH in 2006) is beginning to show positive results. Thisreinforces the Board's confidence that 2008 revenues will show considerableimprovement over 2007. Flomerics has cash balances of approximately £5.0m compared to £2.7m as at 31December 2007, and the Company is well funded to undertake the investment neededto deliver its strategy. Following on from the acquisitions of MicReD in 2005and Nika GmbH in 2006, additional growth through targeted acquisition remains animportant focus for the Company. The board continues to review potentialcandidates against its strategic and financial targets. The Company expects to announce its preliminary results for 2007 on 29 April. Enquiries: Flomerics Group plc +44 20 8487 3000Gary Carter, Chief ExecutiveKeith Butcher, Finance Director Conduit PR +44 20 7429 6604Christian Taylor-Wilkinson, Charlie Geller +44 7970 067320 Oriel Securities Limited +44 20 7710 7600Nominated AdviserDavid ArchAndrew Edwards For further details regarding the source information used in this announcementplease contact Charlie Geller, Conduit PR, on 0207 429 6604 -------------------------- (1) Source: PRWeb(2) Source: Daratech Inc This information is provided by RNS The company news service from the London Stock Exchange