IQE Regulatory News (IQE)

28 Mar 2007 07:02

IQE PLC28 March 2007 28 March 2007 IQE plc IQE secures $US2.4m development contracts IQE plc (AIM: IQE), the leading global supplier of advanced wafer products andwafer services to the semiconductor industry, has secured two 12-monthdevelopment contracts worth in aggregate over $2.4m during 2007. The Group alsotoday published its preliminary results for the year to 31 December 2006 whichshowed revenues up 55.2% to £32.4m (2005: £20.9m) and a gross profit of £2.5m(2005: loss £0.8m) - see separate statement. The contracts have been awarded to develop materials for use in next generationof ultra high speed integrated circuits (IC). One contract is focused on the development of Strontium Titanium Oxide onSilicon epi-wafers (STO/Si) using IQE's state of the art molecular beam epitaxy(MBE) systems. IQE will further develop STO/Si deposition by MBE in order toprovide world-class compositional and surface quality control as a pre requisiteto future high volume production. The other contract is to develop advanced material structures for increasedprocessing speed for future ICs. These awards add to the current R&D contracts currently being serviced acrossthe Group, bringing the total awards to date for delivery in 2007 to almost $US5million. Dr Drew Nelson, IQE Chief Executive, commented: "We plan to aggressively pursue the metal-oxide on Silicon market where we offerunique and superior solutions for these advanced state of the art materialssystems. Our entry into this market is important as it further diversifies theGroup's product portfolio and underscores our position as the global leader inadvanced semiconductor wafer production and R&D." Contacts: IQE plc : Drew Nelson, President & Chief Executive Officer +44 (0)29 2083 9400Phillip Rasmussen, Chief Finance OfficerChris Meadows, Investor Relations Executive Noble + 44 (0) 20 7763 2200John Llewellyn-Lloyd College Hill +44 (0)20 7457 2020Adrian Duffield/Ben Way NOTE TO EDITORS IQE is the leading global supplier of advanced semiconductor wafers, withproducts that cover the whole spectrum of wafer structures, supported by aninnovative outsourced foundry services portfolio that allows the Group toprovide a "one stop shop" for the wafer needs of the world's leadingsemiconductor manufacturers. IQE uses advanced crystal growth technology (epitaxy) to manufacture and supplybespoke semiconductor wafers ("epi-wafers") to the major chip manufacturingcompanies, who then use these wafers to make the chips which form the keycomponents of virtually all high technology systems. IQE is unique in being ableto supply wafers using all of the leading crystal growth technology platforms. IQE's products are found in many leading-edge consumer, communication, computingand industrial applications, including a complete range of wafer products forthe wireless industry, such as mobile handsets and wireless infrastructure,WiFi, WiMAX, base stations, GPS, and satellite communications; opticalcommunications, optical storage (CD, DVD), laser optical mouse, laser printers &photocopiers, thermal imagers, leading-edge medical products, barcode, highefficiency LEDs and a variety of advanced silicon based systems. The manufacturers of these chips are increasingly seeking to outsource waferproduction to specialist foundries such as IQE in order to reduce overall wafercosts and accelerate time to market. IQE also provides bespoke R&D services to deliver customised materials forspecific applications and offers specialist technical staff to manufacture tospecification either at its own facilities or on the customer's own sites. TheGroup is also able to leverage its global purchasing volumes to reduce the costof raw materials. In this way IQE's outsourced services, provide compellingbenefits in terms of flexibility and predictability of cost, therebysignificantly reducing operating risk. IQE employs around 320 people and operates six manufacturing facilities locatedin Cardiff (two) and Milton Keynes in the UK; in Bethlehem, Pennsylvania andSomerset, New Jersey in the USA; and Singapore. The Group also has nine salesoffices located in major economic centres worldwide. This information is provided by RNS The company news service from the London Stock Exchange