15th May 2018 12:37
LONDON (Alliance News) - Zytronic PLC on Tuesday said that it expects to make "good progress" in product development during the second half, as it reported a drop in first half revenue and profit.
For the six months ended March 31, the touch sensor manufacturer reported revenue of GBP10.6 million, down from GBP11.3 million the year before. The company's pretax profit fell to GBP2.2 million from GBP2.5 million.
Zytronic said there has been a "considerable variation" in demand across its various sectors - which has resulted in revenue drop. Its gaming business had a 17% increase in revenues, while its financial business saw a 29% decrease in revenue.
The revenue fall in the financial business - which supplies products for manufacturing ATMs - was due to "unpredictable" demand, deferral of projects band lower sales, the company said.
The company doubled its first half dividend to 7.60 pence per share from 3.80p per share.
Chairman Tudor Davies said: "The second half of the year has started with some improvement in demand from the ATM market and an increased number of projects in the growing Gaming sector. This is consistent with the improvement in trading normally experienced in the second half, and whilst growth may be suppressed compared with recent years, we expect to make good progress in developing our unique, award-winning products, particularly in the USA and Asia."
Shares in Zytronic were down 6.7% Tuesday to 420.00p each.
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