Last checked at 17 Dec 2014 07:00
17 December 2014
Xaar plc
Trading update
Xaar plc ("Xaar", "the Group" or "the Company"), the digital inkjet printing technology Group headquartered in Cambridge, UK, today announces an update on current trading.
Sales into the Group's largest application, ceramic tiles, stabilised during quarter four following the step-down in Chinese demand experienced in the third quarter. The Board now expects 2014 full year Group revenue to be approximately £108 million, which is near the top of the range announced on 2 October 2014. As a result, profit for the year is now expected to be higher than current market expectations.
Forward visibility remains low and the Board's expectations for 2015 remain unchanged. The Group continues to anticipate that total sales in 2015 will not exceed £100 million, reflecting a broadly consistent level of sales across all applications at the present level of demand.
The cost reductions announced on 2 October 2014 were completed during November and December, including a reduction in headcount of 160 (20% of the global workforce). Direct production costs, factory overheads and operating costs have all been reduced in order to achieve a reasonable level of financial performance in 2015, whilst ensuring that Xaar can fulfil its key strategic objectives.
The Group expects to announce 2014 financial results on or around the 19th March 2015.
Contacts
Xaar plc | |
Ian Dinwoodie, Chief Executive Officer | 01223-423663 |
Alex Bevis, Finance Director | www.xaar.com |
Tulchan Communications | |
Tom Buchanan Christian Cowley Victoria Huxster
| 020-7353-4200 |