Become a Member
  • Track your favourite stocks
  • Create & monitor portfolios
  • Daily portfolio value
Sign Up
Quickpicks
Add shares to your
quickpicks to
display them here!

discoverIE says annual underlying earnings to be ahead of expectations

19th Apr 2023 08:37

(Alliance News) - discoverIE Group PLC on Wednesday said positive trading momentum in the final quarter of its financial year means it will deliver full-year underlying earnings ahead of expectations.

The customised electronics manufacturer said sales in the fourth quarter, ended March 31, were strong despite a challenging annual comparison, reporting year-on-year growth of 8%. Consequently, discoverIE said sales for the full-year were 16% ahead of the previous financial year.

The company said its order book also continues to be bigger than expected and in line with last year. It explained that the order book was normalising less than previously anticipated as a result of stronger order intake in the final quarter, which was 16% higher than in the third, and in line with sales.

discoverIE said the strong order book provides it with good visibility of demand heading into financial 2024.

Gross margins remain "robust", discoverIE said. The semiconductor sourcing issues flagged last year, which impacted two of its 21 businesses, are now mostly resolved, with availability at required levels and lead-times returned to near normal levels.

"With a clear strategy focused on long-term, high quality, structural and sustainability-aligned growth markets across Europe, North America and Asia, a diversified customer base, a strong order book and pipeline of acquisition opportunities, the group is well positioned to make further progress," discoverIE said.

Shares in the Guildford, England-based firm were 1.0% higher at 766.28 pence on Wednesday morning in London.

By Heather Rydings, Alliance News senior economics reporter

Comments and questions to [email protected]

Copyright 2023 Alliance News Ltd. All Rights Reserved.

FTSE 100 Latest
Value7,952.62
Change0.00