Trading Statement

RNS Number : 5900T

Spirent Communications PLC

07 October 2014

 



SPIRENT COMMUNICATIONS PLC

TRADING UPDATE

London, UK - 7 October 2014: Spirent Communications plc ("Spirent", the "Company" or the "Group") (LSE: SPT), a leading communications technology company, announces the following trading update covering the period from 1 July to 30 September 2014.

Trading update

Trading conditions softened in the latter part of the third quarter in the United States and China. Demand levels dipped sharply as a result of merger activity and delays in capital expenditure as future new technology deployments are being assessed in areas in which Spirent has increased its investments. The reduction in activity levels has primarily impacted the Networks and Applications business.

As a result, revenues for the third quarter are expected to be slightly below $110.0 million compared to $107.7 million last year. It is anticipated that the weakened market conditions affecting primarily Networks and Applications will persist through the fourth quarter of 2014. Revenue in the fourth quarter is currently expected by the Board to be in the range of $120.0 million to $125.0 million compared to $115.4 million for the same period last year. Operating profit will be impacted by the loss of gross profit on lower revenue than expected.

Further details will be provided at the time of the Interim Management Statement, which will be issued on 13 November 2014.

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Enquiries

Eric Hutchinson, Chief Executive Officer		Spirent Communications plc		[phone]
Rachel Whiting, Chief Financial Officer
Larisa Millings/Emma Appleton		FTI Consulting		[phone]

  About Spirent Communications plc

Spirent Communications plc is a global leader in test and measurement inspiring innovation within development labs, communication networks and IT organisations.  We enable today's communication ecosystem as well as tomorrow's emerging enterprises to deploy life enriching communications networks, devices, services and applications.  Further information about Spirent Communications plc can be found at www.spirent.com.

Spirent Communications plc Ordinary Shares are traded on the London Stock Exchange (ticker: SPT).  The Company operates a Level 1 American Depositary Receipt ("ADR") programme with each ADR representing four Spirent Communications plc Ordinary Shares.  The ADRs trade in the US over-the-counter ("OTC") market under the symbol SPMYY and the CUSIP number is 84856M209.  Spirent ADRs are quoted on the Pink OTC Markets electronic quotation service which can be found at www.pinksheets.com.

Spirent and the Spirent logo are trademarks or registered trademarks of Spirent Communications plc.  All other trademarks or registered trademarks mentioned herein are held by their respective companies.  All rights reserved.

Cautionary statement regarding forward-looking statements

This document may contain forward-looking statements which are made in good faith and are based on current expectations or beliefs, as well as assumptions about future events.  You can sometimes, but not always, identify these statements by the use of a date in the future or such words as "will", "anticipate", "estimate", "expect", "project", "intend", "plan", "should", "may", "assume" and other similar words.  By their nature, forward-looking statements are inherently predictive and speculative and involve risk and uncertainty because they relate to events and depend on circumstances that will occur in the future.  You should not place undue reliance on these forward-looking statements, which are not a guarantee of future performance and are subject to factors that could cause our actual results to differ materially from those expressed or implied by these statements.  The Company undertakes no obligation to update any forward-looking statements contained in this document, whether as a result of new information events or otherwise.

 

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