XP Power Ltd Trading Update
October 07 2016 - 1:00AM
UK Regulatory
TIDMXPP
7 October 2016
XP Power Limited
("XP Power" or "the Group")
Trading Update
XP Power, one of the world's leading developers and manufacturers of critical
power control components to the electronics industry, is today issuing its
trading update for the quarter ended 30 September 2016.
Trading
The Group continued to trade in line with the Board's expectations for the full
year.
Revenues for the nine months ended 30 September 2016 increased by 13% over the
prior year to GBP92.6 million (2015: GBP81.7 million). In constant currency the
increase in revenues was 5%.
Orders for the nine months ended 30 September 2016 were encouraging at GBP95.8
million (2015: GBP80.3 million) which was 19% higher than the prior year. In
constant currency this was an increase of 11%.
Third quarter order intake was boosted as customer orders expected to be placed
in the fourth quarter were pulled forward into September. Our third quarter
order intake was GBP34.2 million (2015: GBP23.9 million), exceeding the previous
record of GBP31.3 million achieved in the second quarter of 2016 (Q2 2015: GBP28.8
million). The momentum in our order intake is encouraging, particularly as we
are starting to see our North American markets return to growth.
Financial Position
Net debt was GBP2.2 million at 30 September 2016 compared to GBP6.0 at 30 June
2016.
Dividend
A dividend for the third quarter of 16 pence per share will be paid on 12
January 2017 to shareholders on the register at 16 December 2016. This brings
the total dividend for the first three quarters of 2016 to 45 pence per share,
representing a 7% increase over the 42 pence per share paid in respect of the
first three quarters of 2015.
Outlook
Despite the challenging macroeconomic backdrop, we are reassured by the
momentum in our order intake during Q3. The Board expect trading to be in line
with its expectations for the full year.
We remain encouraged by new design wins and believe the Group is continuing to
take market share as its portfolio of industry-leading power technology
products is increasingly designed-in to new equipment by our target customers.
These design wins will translate to orders as our customers' projects move to
production phase over the coming years.
XP Power will issue a trading update for the year to 31 December 2016 on 13
January 2017.
- Ends -
Enquiries:
XP
Power
Duncan Penny, Chief Executive +44 (0)7776 178 018
Jonathan Rhodes, Finance Director
+44 (0)
118 976 5074
Citigate Dewe Rogerson +44 (0)20 7638 9571
Kevin Smith/Jos Bieneman
Note to editors
XP designs and manufactures power controllers, the essential hardware component
in every piece of electrical equipment that converts the power from the
electricity grid into the right form for the equipment to function.
XP typically designs in power control solutions into the end products of major
blue chip OEMs, with a focus on the industrial (circa 45% of sales), healthcare
(circa 30% sales) and technology (circa 25% of sales) sectors. Once designed
into a program, XP has a revenue annuity over the life cycle of the customer's
product which is typically 5 to 7 years depending on the industry sector.
XP has invested in research and development and its own manufacturing
facilities in China and Vietnam, to develop a range of tailored products based
on its own intellectual property that provide its customers with significantly
improved functionality and efficiency.
Headquartered in Singapore and listed on the Main Market of the London Stock
Exchange since 2000, XP serves a global blue chip customer base from 29
locations in Europe, North America and Asia.
END
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October 07, 2016 02:00 ET (06:00 GMT)