Interim Management Statement
11 April 2014
XP Power, one of the world's leading developers and manufacturers of critical power control components to the electronics industry, is today issuing an Interim Management Statement for the quarter ended 31 March 2014.
The improvement in the trading environment first reported during the second half of 2013 has continued into the new financial year and first quarter order intake was robust. Group revenues in the three months to 31 March 2014 were up 7% from those achieved in the same period a year ago. Similarly, margins also improved, due primarily to increased factory utilisation. In constant currency revenues increased by 11% on the same period in the prior year.
Net debt was £1.6 million at 31 March 2014 compared to net debt of £3.5 million at the year end. Using the exchange rates prevailing at the year end, net debt at 31 March 2014 would have been £1.7 million.
A dividend for the first quarter of 12 pence per share, a 9% increase over the prior year, will be paid on 10 July 2014 to shareholders on the register at 13 June 2014 (2013: 11 pence per share).
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.
XP will issue a trading update for the six months to 30 June 2014 on 8 July 2014.
|Duncan Penny, Chief Executive||+44 (0)7776 178 018|
|Jonathan Rhodes, Finance Director||+44 (0)118 976 5074|
|Citigate Dewe Rogerson|
|Kevin Smith/Jos Bieneman||+44 (0)20 7638 9571|
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 facility in China, 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 27 locations in Europe, North America and Asia.