Filtronic expects to beat sales and profit forecasts

The Leeds-based company said revenue from continuing operations for the six months ended 30 November 2012 was £16.4m compared with £10.5m for the first half of 2012.

An operating profit of £100,000 before exceptional items and amortisation split into a £1.8m profit for the wireless business, but a £1.3m loss for the broadband business, and central costs of £400,000. Overall, it compared to a £1.2m loss in the first half of 2012.

Commenting on the outlook, Howard Ford, chairman said: “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 per cent of the total group revenues for FY 2013.”

The half year results also showed that net cash inflow from operating activities was £200,000 compared to an outflow of £500,000 for the first half of 2012. Capital expenditure in the six months was £700,000 - slightly above the £400,000 in the prior period.

The closing cash balance at 30 November 2012 was £3.2m, a decrease of £500,000 in the period.