11th Jun 2019 11:49
(Alliance News) - Semiconductor maker CML Microsystems PLC held its annual dividend Tuesday as profit and revenue struggled in a tough market, with expectations of improvements in the new year.
For the year ended March, pretax profit narrowed 35% to GBP3.0 million from GBP4.6 million the year prior. This was after revenue fell 11% to GBP28.1 million from GBP31.7 million the year before.
"While market conditions across the year have not been favourable, its impact upon our performance has been mitigated to some extent by the depth of our product portfolio, customer base and sales operation," CML Managing Director Chris Gurry said. "The success of our underlying strategy can be seen in the continued strong growth in our project pipeline and widening of our customer base."
"Our stated strategic focus of investing strongly in R&D to deliver future sales growth remains unchanged and our medium to long term prospects continue to strengthen," Gurry added. "We will continue to closely monitor market conditions but are confident we are well placed for future growth as market conditions become more favourable."
CML proposed a 5.8 pence per share final dividend, unchanged on the year prior. For the full year, the dividend also remained flat at 7.8p.
CML Chair Nigel Clark added: "The medium to long term prospects for the company continue to strengthen and the pipeline of opportunity builds year on year. The board believes that as and when conditions normalise, sales will recover and return to growth. Current expectations are that conditions should stabilise through the year and that, when they do, we will be ideally placed to deliver growing returns."
Shares in CML were 1.4% lower at 273.20 pence in London on Tuesday.
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