Half Year Trading Update & Notice of Results

RNS Number : 6458R

Anite PLC

08 November 2011

 



                                                                                                            8 November 2011

Anite plc

Half Year Trading Update

Notice of Results

Anite plc ("Anite" or "the Group"), the leading provider of software solutions to the international wireless and leisure travel industries, today announces a trading update for the six months ended 31 October 2011. 

Anite intends announcing its half yearly report for the six months ended 31 October 2011 on 1 December 2011.

Trading

Overall trading conditions for the Group in the last two months of the first half continued the strong trends indicated at the time of the Company's Interim Management Statement ("the IMS") released on 15 September 2011.  This has resulted in a half year Group revenue and adjusted operating profit performance ahead of the Board's expectations.

The Handset Testing business achieved revenue in the first half approximately 60% up on the same period last year resulting in a significant increase in adjusted operating profit and margin.  Handset Testing revenue in the period included, as expected, a higher hardware content and, as stated in the IMS, benefitted in the first quarter from a consolidated annual order from one specific customer.  Trading in Network Testing and Travel has remained broadly in line with the Board's expectations.

As expected, net cash has been reduced by the settlement in the period of the Group's £21.6m currency swap liability.  Net cash as at 31 October 2011 was £12.6m (30 April 2011: net cash of £27.7m; 31 October 2010: £28.4m).  On 26 October 2011, the Group signed a new five year £20m revolving credit facility which provides additional financial flexibility.

Outlook

The Group is benefitting from an acceleration of demand in the wireless testing market.   Revenue in Handset Testing in the first half has been boosted by a strong opening order backlog and, as explained above, higher than normal first quarter order intake.  Subsequent growth in the second quarter order intake was very healthy, albeit at more sustainable levels. 

Handset Testing typically operates with relatively limited sales pipeline visibility.  At this stage therefore, the Board anticipates that Handset Testing's second half revenue and adjusted operating profit will be similar to that achieved in the first half, significantly ahead of current expectations.

Expectations for Network Testing and Travel remain unchanged with both businesses continuing to anticipate a second half bias. 

Whilst recognising that current macro-economic conditions are volatile, overall, the Board's expectations for the Group have increased significantly for the year as a whole. 

Commenting on recent trading and outlook, Christopher Humphrey, Chief Executive, said:

"The Group has had a great start to the year. The market is undoubtedly improving for our Handset Testing business which is experiencing sustainable growth in both LTE and Interoperability Testing markets. This, together with a solid start for both our Travel and Network Testing businesses, gives us increasing confidence for the year as a whole."

- Ends -

Anite plc	www.anite.com
Christopher Humphrey, Chief Executive	01252 775200
Richard Amos, Group Finance Director
MHP	020 3128 8100
Reg Hoare/Anthony Arthur

 

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