Last checked at 30 Apr 2014 07:00
30 April 2014
Successful Product Delivery for significant new customer in China
Volex PLC, ("Volex" or the "Group"), the global provider of power and data cabling solutions, is pleased to report on its progress following the recent contract award by Xiaomi, one of China's leading and fastest growing mobile internet companies. Production and delivery of power cables for its new audio visual product range has commenced this month and resulting in unbudgeted revenue growth and improved plant utilisation at Volex's Zhongshan facility, in the first months of the new financial year.
In addition, Volex is in discussion with Xiaomi about a variety of data cables for its mobile devices division which would further increase the allocations from this new customer. It is anticipated that the relationship will develop into a more strategic partnership over the next few months, making Volex a preferred supplier for this rapidly growing, consumer electronics group.
Xiaomi is a privately owned company that designs, develops, and sells smartphones, apps and consumer electronics. Revenues in 2013 reached $5.2 billion and are expected to rise to more than $16 billion by 2015. In February 2014, Xiaomi was ranked third in the Fast Company's "World's 50 Most Innovative Companies" list for 2014.
Mr Richard Wang, Co-Founder, VP of Xiaomi Corporation, commented:
"Xiaomi has chosen to work with Volex because of its reputation for manufacturing high quality products and supplier reliability. The innovative approach that Xiaomi has been taking towards product design and cosmetics made Volex the obvious partner in terms of cable design and production feasibility."
Christoph Eisenhardt, CEO of Volex, commented:
"We are very pleased to be working with Xiaomi and look forward to developing our strategic partnership. This contract is further evidence of the successful implementation of the Volex Transformation Plan as we focus on accelerating growth and improving returns by leveraging our global presence and operational excellence."
For further information please contact:
Volex plc
Christoph Eisenhardt Chief Executive Officer +44 20 3370 8830
Nick Parker Chief Financial Officer +44 20 3370 8830
Tulchan Communications
Christian Cowley / James Macey White +44 207 353 4200