16th Aug 2018 11:54
LONDON (Alliance News) - Microwave electronics products firm Filtronic PLC said it is "very pleased" with progress made in its most recent financial year despite a fall in profit and revenue.
For the 12 months to May 31, revenue fell to GBP24.0 million from GBP35.4 million the year before, caused by lower-than-expected demand for ultra-wide band antennae and delays in the production ramp-up in new defence contracts.
As a result, pretax profit fell to GBP1.2 million from GBP2.2 million, but better margins meant operating profit did rise slightly to GBP1.8 million from GBP1.7 million.
Filtronic is carrying out a plan to focus on the roll-out of 5G, and said it has made good progress so far on this plan.
During the year, it won a "major" contract to supply antennae, amongst other contract wins, while there was good demand for its filter products.
Filtronic does not currently pay a dividend, as it believes it is better served using cash for re-investment into the business.
Looking forward, Filtronic said it is making good progress though warned its sales remain concentrated, and exposed to changes in demand.
The impact of Brexit, it continued, is unclear but given the global nature of its trading Filtronic believes it will be sheltered from any negative effects.
Filtronic shares were 1.9% lower Thursday at a price of 13.49 pence each.
Related Shares:
Filtronic