Vislink PLC
17 January 2008
17 January 2008
Vislink plc
Pre close trading update
The Group has had a strong year with increased operating profit and growth in
underlying sales and orders. The Board expects the Group's adjusted operating
profit for 2007, being operating profit before the amortisation of acquired
intangibles, to be in line with market forecasts of £15.5 million (2006 - £14.3
million) after absorbing the impact of foreign exchange on translation of £0.8
million.
Underlying orders received (note 1) were up 10% to £106 million (2006 - £96.4
million). Underlying sales (note 2) increased by 7% to £101 million. Headline
sales were £98 million (2006 - £100.5 million).
2007 Trading
Our UK business continues to grow in the international broadcast markets through
the increased distribution of Link Research's High Definition wireless camera
products and Advent's growing share of the satellite news gathering market. The
US broadcast market for digital electronic news-gathering products and services
continued to be strong for MRC, our US business. WTS, our recent acquisition has
made a small contribution to the Group's profits, in line with expectations.
Hernis, our Norwegian specialist marine safety and security business, has had
another record year.
2008 Outlook
The Group has started the year with an order book of £36 million (2006 - £34.7
million). Hernis, with the continuing demand from investment by the global
offshore and marine oil and gas markets expects good sales growth. The Group is
also confident of increased sales in the defence, law enforcement and security
markets as we capitalise on the investments made during 2007.
Overall, sales growth is expected in 2008, although the weakness of the US
dollar increases the costs of UK product shipments for the US market with some
consequent pressure on margins.
Commenting, Ian Scott-Gall, Chief Executive said: 'The Board is looking forward
to 2008 with confidence. We have a strong balance sheet and are looking to
strengthen the Group with suitable strategic acquisitions, through the
development of the regional sales offices in the important Middle and Far East
markets and through increased investment in research & development.'
- ENDS -
Enquiries
Ian Scott-Gall 01488 685500
Chief Executive, Vislink plc
James White 0207 796 4133
Hudson Sandler
Notes to Editors
Vislink plc is a leading supplier of microwave radio and satellite transmission
products for the broadcast and security markets and of CCTV systems for the
marine security market. The Group's website is www.vislink.com.
Note 1: Underlying orders are defined as orders adjusted to 2006 foreign
exchange rates (an adjustment of £5 million) and exclude orders associated with
the completed Venezuelan legacy contract of £nil (2006- £1.1 million).
Note 2: Underlying sales are defined as sales adjusted to 2006 foreign exchange
rates (an adjustment of £5 million) and exclude sales associated with the
completed Venezuelan legacy contract of £2 million (2006 - £6.1 million).
Note 3: Average exchange rates used to translate results are US$2.00 (2006 -
$1.84) and Norwegian Krone 11.72 (2006 - Norwegian Krone 11.81)
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.