Trading Statement

RNS Number : 6159G

Xaar PLC

10 June 2013

 



FOR IMMEDIATE RELEASE

10 June 2013

Xaar plc

TRADING UPDATE

Xaar plc ("Xaar" or "the Group" or "the Company"), the inkjet printing technology group headquartered in Cambridge, announces an update on current year trading.

Demand for Xaar's technology has continued to accelerate across the Industrial, Packaging and Graphic Arts sectors resulting in very strong product sales through the period January to May 2013. The strongest demand increase has again come from ceramic tile printing, where Xaar's market leading technology is driving the digitalisation of ceramic tile decoration worldwide.  Xaar's products enable tile manufacturers to achieve superior image quality, reduced cost, and increased process flexibility when compared to the incumbent analogue process.

This higher level of sales performance is now expected to continue through the remainder of the year and, as a result, the Board has increased its expectations for 2013 revenue.  The Board now expects full year revenue for 2013 to grow approximately 50% above the £86.3 million achieved in 2012.

Xaar is accelerating investment in R&D to expand the conversion potential of analogue processes to digital inkjet across a range of markets, and now expects to spend over £12 million in 2013 on R&D.  Whilst the growth in R&D spend is expected to broadly match the percentage increase in revenue, the Board anticipates that in 2013 revenue will grow at a higher rate than the increase in total operating expenditure, which will result in a very strong operating margin for the year.

The interim results for 2013 are expected to be announced on Thursday 29^th August 2013.

CONTACTS

Xaar plc:	01223-423663
Ian Dinwoodie, Chief Executive	www.xaar.com
Alex Bevis, Finance Director
N+1 Singer:	020-7496-3000
Shaun Dobson
Bankside Consultants:
Simon Bloomfield	020-7367-8888 / 07771-758517

 

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