Last checked at 22 Feb 2021 07:00
Solid State plc
("Solid State", the "Group" or the "Company")
Trading update
Solid State plc (AIM: SOLI), the AIM listed manufacturer of computing, power and communications products, and value added supplier of electronic and opto-electronic components, announces a trading update for the year ending 31 March 2021.
The Board is pleased to announce that trading since the half year has continued to be robust, with revenues expected to be broadly in line with, and profits expected to be ahead of, consensus forecasts. The revenue mix has remained strong with demand for higher value-added products, services and solutions maintaining margins. The strengthening pound has resulted in currency headwinds at a revenue level, albeit the Group's natural hedge mitigates the impact on profits.
The business has taken steps to manage the effects of extending delivery times on semiconductor components on both Solid State and its customers through proactively increasing stock levels. However, when combined with shortened customer order schedules resulting from their own lack of visibility there is potential for programme delays in the financial year 2022, albeit the Board currently expects trading activity to be comparable with this financial year.
This year's performance, notwithstanding the challenges of COVID-19 and Brexit, exceeds the prior year profitability.
Commenting on trading, Gary Marsh, Chief Executive of Solid State, said:
"We are very happy with the performance of the business this year. To be upgrading profit expectations ahead of last year, which was itself a record performance, given the challenges all businesses have faced, is testament to the hard work and commitment of the whole team and demonstrates the resilience of the business."
This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014.
For further information please contact:
Solid State plc | Via Walbrook |
Gary Marsh - Chief Executive Peter James - Group Finance Director |
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WH Ireland (Nominated Adviser & Joint Broker) | 020 7220 1666 |
Mike Coe / Chris Savidge (Corporate Finance) Jasper Berry / David Kilbourn (Corporate Broking / Sales)
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finnCap (Joint Broker) Ed Frisby (Corporate Finance) Rhys Williams / Tim Redfern (Sales / ECM) | 020 7220 0500 |
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Walbrook PR (Financial PR) | 020 7933 8780 |
Tom Cooper / Paul Vann | 0797 122 1972 |
| solidstate@walbrookpr.com |
Analyst Research Reports: For further analyst information and research see the Solid State plc website: https://solidstateplc.com/research/
Notes to Editors:
Solid State plc (SOLI) is a value added electronics group supplying industrial and military markets with ruggedised/durable components, assemblies and manufactured units for use in harsh environments. The Group's mantra is - 'Trusted technology for demanding applications'. To see an introductory video on the Group - https://bit.ly/3kzddx7
Operating through two main divisions: Manufacturing (Steatite) and Value Added Supplies (Solid State Supplies & Pacer); the Group specialises in complex engineering challenges often requiring design-in support and component sourcing for computing, power, communications, electronic and optoelectronic products.
Headquartered in Redditch, Solid State employs over 200 staff across the UK with a branch office in the USA, serving specialist markets in oil & gas production, transportation, medical, construction, security, military and field maintenance.
Solid State was established in 1971 and admitted to AIM in June 1996. The Group has grown organically and by acquisition - having made 10 acquisitions since 2002.