17th Mar 2005 07:00
Sondex PLC17 March 2005 Sondex plc("Sondex" or the "Company") Pre-Close Update Sondex, the oilfield technology company, today provides an update prior toentering into close period for the company's results for the year ended 28February 2005. Trading Update The last year has seen a generally strong global oil and gas services market.Against this backdrop Sondex is pleased to confirm that, despite a weakeningdollar, it expects to report revenues in excess of £31million, up from£17.5million last year together with sustained gross margins. These numbersinclude a pleasing contribution from Geolink which was acquired in June 2004.Increased investment has been made in research and development and in growingthe senior management team. New Facility Sondex has continued its programme of investing for further growth and can todayconfirm the signing of a lease on an additional facility in Yateley, Hampshire,close to the company's existing operations. The new building will houseSondex's final product assembly, test and inspection operations and willincrease production capacity for the wireline business. Technology Agreement In line with its strategy of continuous investment in research and development,Sondex has signed a new agreement with Beta Research & Development, which haspioneered rechargeable high temperature battery technology. Sondex hasexclusive rights to this technology for the borehole and downhole sectors of theoil, gas, water and geothermal industries. The Company believes that there is astrong market for this technology, which will complement both its wireline andGeolink product ranges. Martin Perry, Chief Executive, commented: " We are confident of delivering another solid set of results with strongtopline growth and a very good second half, despite the impact of the weakeningdollar during the period. Geolink, which we acquired in June, has made a goodcontribution which along with increasing production capacity and furtherinvestment in sales, marketing, research and development leaves us well placedto exploit strong market conditions as we enter the new financial year." 17 March 2005 ENQUIRIES: Sondex Tel: 0118 932 6755Martin Perry (Chief Executive)Chris Wilks (Finance Director) College Hill Tel: 020 7457 2020Nick ElwesBen Brewerton This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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