CML Microsystems PLC
27 February 2002
CML Microsystems Plc
Trading Update; Full Year Profits still anticipated
CML Microsystems Plc ('CML' or 'the Group'), which designs, manufactures and
markets a broad range of semiconductor products primarily for the global
communications market, including narrow band wireless data, wireline
telecommunications and private mobile data, announces the following statement
with regard to trading for the current financial year to 31 March 2002. The
Group's full year results are due to be announced in June.
At the time of CML announcing its interim results in November 2001,
semiconductor shipments were running significantly below anticipated levels and
this was coupled with poor visibility for shipments in the fourth and final
quarter of the current year. As a result of this there was a severe reduction
in market expectations for the Group's trading results for this financial year.
Negative market conditions still prevail across all markets where CML is present
- the UK, Continental Europe, Asia and North America - and it is now clear that
the shipments for the fourth quarter will fall some way short of revised
expectations. Although overheads have now been reduced, the cost savings will
only add a small benefit to CML's second half's results. Regrettably, it is now
clear that expectations for the Group to make a small profit in the second half
are unrealistic although profitability for the year as a whole should be
maintained.
Commenting on prospects, CML Chairman George Gurry said: 'With no improvement in
visibility for the short term and no immediate signs of recovery I must now also
expect a difficult first half for next year. Despite adverse conditions, the
Group remains focused on investing for organic growth whilst pursuing an
acquisition policy likely to benefit from evolving opportunities that should
present themselves given the market's downturn. Like other members of the board
I remain confident that the Group is well placed to return significant growth as
its global market conditions improve.'
ENDS
Enquiries:
Nigel Clark CML Microsystems Plc 01621 875500
Chris Gurry CML Microsystems Plc 01621 875500
Simon Ellis/Peter Binns Binns & Co. PR Ltd 020 7786 9600
This information is provided by RNS
The company news service from the London Stock Exchange
*A Private Investor is a recipient of the information who meets all of the conditions set out below, the recipient:
Obtains access to the information in a personal capacity;
Is not required to be regulated or supervised by a body concerned with the regulation or supervision of investment or financial services;
Is not currently registered or qualified as a professional securities trader or investment adviser with any national or state exchange, regulatory authority, professional association or recognised professional body;
Does not currently act in any capacity as an investment adviser, whether or not they have at some time been qualified to do so;
Uses the information solely in relation to the management of their personal funds and not as a trader to the public or for the investment of corporate funds;
Does not distribute, republish or otherwise provide any information or derived works to any third party in any manner or use or process information or derived works for any commercial purposes.
Please note, this site uses cookies. Some of the cookies are essential for parts of the site to operate and have already been set. You may delete and block all cookies from this site, but if you do, parts of the site may not work. To find out more about the cookies used on Investegate and how you can manage them, see our Privacy and Cookie Policy
To continue using Investegate, please confirm that you are a private investor as well as agreeing to our Privacy and Cookie Policy & Terms.