Member Article

Filtronic broadband buoyed by 129% wireless sales growth

Wireless communications firm, Filtronic, has posted sales growth 129% in its half year results, while sales in its broadband business fell 16%.

The firm, which has bases in Leeds and Newton Aycliffe, said this follows a familiar trend, however the considerable “outperformance” of its wireless division has not prompted management to boost expectations for its full year results.

Sales in the wireless division were up from £5.2m to £11.9m year-on-year, while broadband sales dropped from £5.3m to £4.5m.

Filtronic said its final 12 month results will be dependant on the timing of 4G broadband rollout in the UK, after the business signed a contract worth over £14m for “mitigation products”, which will prevent 4G interference with digital and terrestrial television signals.

The company said a significant portion of business related to broadband rollout could be delivered in the next 12 months, while follow-on orders are also expected.

“Disappointing” results in Filtronic’s broadband division should be buoyed by 4G products, according to the firm, and although it expects broadband figures to remain largely the same, the full year outlook is still positive.

Howard Ford, chairman of the firm, commented: “Overall, the Board anticipates that stronger than expected Wireless results will more than compensate for the shortfall in Broadband, and that Group performance will be ahead of current market estimates for both turnover and profits, with Wireless sales likely to represent nearly 80% of the total Group revenues for FY 2013.”

This was posted in Bdaily's Members' News section by Miranda Dobson .