XP Power, one of the world's leading developers and manufacturers of critical power control solutions for the electronics industry, is today issuing a trading update for the first quarter ended 31 March 2018.
The Company has made a good start to the new financial year as the strong order intake reported in 2017 continued into 2018. Order intake in the first quarter of 2018 was £51.2 million (2017: £47.0 million), 9% ahead of Q1 2017 on a reported basis or 19% ahead in constant currency. On a "like for like" basis, removing currency effects and the impact of the Comdel acquisition, orders increased by 12%.
Group revenue for the three months to 31 March 2018 was £46.6 million (2017: £39.6 million), 18% ahead of Q1 2017 on a reported basis, or 28% ahead in constant currency. On a "like for like" basis revenue increased by 17%. The Book to Bill ratio, which tracks the relationship between orders received and completed sales and is an indicator of future revenue growth, was 1.10 for the first quarter.
Net debt was £6.8 million at 31 March 2018 compared with £9.0 million at 31 December 2017.
The Board has declared a dividend for the first quarter of 16 pence per share, a 7% increase over the prior year, which will be paid on 11 July 2018 to shareholders on the register at 15 June 2018 (2017: 15 pence per share).
The momentum seen in 2017 has continued into the first quarter of 2018 and we are encouraged by the continued strong order intake experienced across the business and the book to bill level gives us confidence for the future. The Board’s expectations for the Company’s full year performance remain unchanged.
|Duncan Penny, Chief Executive Officer||+44 (0)118 976 5086|
|Gavin Griggs, Chief Financial Officer||+44 (0)118 976 5154|
|Citigate Dewe Rogerson||+44 (0)20 7638 9571|
|Kevin Smith/Jos Bieneman|
Note to editors
XP designs and manufactures power controllers, the essential sub assembly in every piece of electrical equipment that converts the power from the electricity grid into the right form for the equipment to function. XP typically designs in power control solutions into the end products of major blue chip OEMs, with a focus on the industrial (circa 39% of sales), healthcare (circa 31% sales) and technology (circa 30% of sales) sectors. Once designed into a program, XP has a revenue annuity over the life cycle of the customer's product which is typically 5 to 7 years depending on the industry sector. XP has invested in research and development and its own manufacturing facilities in China, North America and Vietnam, to develop a range of up to date products based on its own intellectual property that provide its customers with significantly improved functionality and efficiency. Headquartered in Singapore and listed on the Main Market of the London Stock Exchange since 2000, XP serves a global blue chip customer base from 27 locations in Asia, Europe and North America.