Filtronic Comtek Plc, Shipley, West Yorkshire-based manufacturer of subsystems for base stations for cellular telephone networks, saw its share price surge 42 pence to 447 pence following the announcement of its interims. Pre-tax profits were up 33.7% to #2.0m on turnover up 26.2% to #15.2m. Filtronic has used the majority of the #24m proceeds from its flotation in October 1994 to snap up property and expand existing facilities on both sides of the Atlantic. These new manufacturing facilities are not yet operational and therefore have yet to contribute to earnings growth. The company say the benefit from this investment programme will begin to be seen in the current half and more strongly thereafter. The results are in excess of budgeted performance, but are in line with expectations announced in September last year. Mainstream business is poised for significant growth, it says. Roll-out of Personal Communications Services systems in the US is about to start, and the company says orders are held for production quantities of several products for delivery in the second half. Filtronic’s Brisbane, Australia operation has won its first orders for masthead electronic subsystems and has already become profitable. A new factory in Salisbury, Maryland has been completed and is now occupied, with production planned to begin this month. The Shipley building is scheduled for completion and occupation by April. The addition of these two sites will triple space currently available and the company says it is looking forward to a particularly strong second half.
