7th Mar 2023 09:45
(Alliance News) - Spirent Communications PLC on Tuesday proposed a higher annual payout as profit and revenue grew in 2022, but it expects revenue to fall in 2023 due to delays in customers' decision-making.
Spirent is a Crawley-based provider of testing, analytics and security for telecommunications networks.
The company said pretax profit in 2022 grew by 11% to USD114.6 million from USD103.6 million in 2021, while revenue climbed 5.5% to USD607.5 million from USD576.0 million. The orderbook grew 6.8% to USD288.1 million from USD269.8 million.
Spirent proposed a final dividend of 4.94 pence per share, up 13% from 4.37p a year prior. This takes the total dividend to 7.57p per share for 2022, up 12% from 6.76p.
The company noted that there were delays to some of its customers' decision-making in fourth quarter of 2022. "We expect a more challenging first half of 2023," it added, saying that its business drivers remain intact.
Spirent expects revenue to fall slightly in 2023, but it expect to maintain its gross margin with effective supply chain management. "The group's track record in navigating challenging markets, balance sheet strength, rigorous discipline on cost control and the diversified strengths of our portfolio, leave us well positioned to benefit when the current macro headwinds abate," it said.
Spirent shares were 13% lower at 183.12 pence each in London on Tuesday morning.
By Tom Budszus, Alliance News reporter
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