15th Feb 2023 10:19
(Alliance News) - Sondrel Holdings PLC on Wednesday reported that revenue in 2022 doubled, and it expects to deliver "strong" growth in 2023 and beyond.
Despite the company's upbeat comments, Sondrel shares fell 9.8% to 54.60 pence each in London on Wednesday morning.
Sondrel is a Reading-based fabless semiconductor business providing turnkey services in the design and delivery of "application specific integrated circuits" and "system on chips" for global technology brands. Fabless manufacturing is the design and sale of hardware devices and semiconductor chips, while outsourcing their fabrication to a specialised manufacturer.
Revenue more than doubled to GBP17.5 million in 2022 from GBP8.1 million in 2021. Sondrel said it received "record" new design orders in 2022 with a total value of GBP25.6 million, and it has identified a "strong" design pipeline for 2023.
Looking ahead, Sondrel noted challenges in the semiconductor industry but said it had no downturn in the industries or markets it serves.
"The company continues to benefit from the moves to localising supply chains and international technology trade restrictions and, notwithstanding expectations that 2023 revenues will now reflect the revised timing of already contracted project milestones, the company is confident of its ability to continue to deliver strong growth in 2023 and beyond," Sondrel said.
Chief Executive Officer Graham Curren said: "Many of our customers are increasingly optimistic about their market opportunities, and I am looking forward to working with them to deliver significant production volumes as we seek to achieve our medium term target of revenues of over GBP100 million."
By Tom Budszus, Alliance News reporter
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