Half Year Trading Update

RNS Number : 1372E

Gooch & Housego PLC

07 April 2014

 



For immediate release

7 April 2014

Gooch & Housego PLC

("G&H" or the "Company")

Half Year Trading Update

"Trading in line with expectations"

Gooch & Housego PLC, the specialist manufacturer of optical components & systems, today announces that trading for the six months ended 31 March 2014 was in line with management expectations. Interim Results will be announced on 10 June 2014.

With good customer engagement across its principal markets and an encouraging pipeline of opportunities G&H is well positioned for growth despite overall market conditions remaining neutral, as reflected in the order book, which is 9% higher than at the beginning of the year (2% on a on a like-for-like basis allowing for the acquisition of Spanoptic Ltd.).

G&H continues to progress its strategic objective to move up the value chain in order to meet its growth targets and is actively pursuing a number of opportunities at the sub-system and system level. With applications ranging from satellite communications to consumer electronics, these opportunities have been the focus of research and new product development activities during the past six months. Investment in R&D has increased to accelerate these projects and to continue the expansion of the Systems Technology Group (STG). As previously announced, the STG has been successful in attracting both contracts and funding from the European Space Agency, the European Union as well as from mainstream commercial customers.

In addition to pursuing top line growth, G&H is streamlining its operations in order to deliver operational efficiencies, margin improvement and enhanced competitiveness. At the end of March 2014 G&H closed its small R&D operation in New Jersey and transferred the equipment and technology to its facility in Orlando. The Company will continue to explore ways of delivering further operational efficiency.

Gareth Jones, Chief Executive of Gooch & Housego commented: -

"By focusing on sub-system opportunities we aim to leverage our excellence in photonic components to deliver growth and add value in a somewhat lacklustre market, while delivering margin improvements through enhanced operational efficiency. These ongoing initiatives will help underpin G&H's growth and future prospects."

For further information contact: -
Gareth Jones / Andrew Boteler	Gooch & Housego PLC	01460 256440
Tim Thompson  / Gabriella Clinkard	Buchanan	020 7466 5000
Patrick Robb / David Anderson	Investec Bank plc	020 7597 5970

 

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