11th Apr 2014 06:37
LONDON (Alliance News) - XP Power Ltd Friday said it is still expecting revenue to grow again in 2014, as it saw revenues rise 7% on the year in the first quarter and said order intake was robust.
In a positive signal for profitability, the power control components manufacturer also said margins improved in the three months to the end of March as it increased its factory utilisation.
It proposed a dividend of 12 pence for the first quarter, up from 11 pence last year.
However, the company reported a hit from currency fluctuations. On a constant currency basis, revenue was up 11% on the year.
Its net debt was GBP1.6 million at the end of March, down from GBP3.5 million at the end of 2013. Using the exchange rates prevailing at the year end, net debt at the end of March would have been GBP1.7 million.
"At the time of our 2013 final results announcement in February, we reported a gradual improvement in trading over the second half of 2013. Order intake in the first quarter of 2014 has been encouraging and we therefore reiterate our guidance that we would expect to grow revenues again in 2014," it said in its statement.
The company will issue a trading update for its half year performance on July 8.
Shares in XP Power are not yet traded Friday, they last closed at 1,525.00 pence.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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