Redditch-based Solid State plc, the AIM-listed manufacturer of computing, power and communications products, and distributor of electronic components, has announce a continued record performance in its trading update for the six months ended 30 September 2019.
The record trading performance achieved last financial year has continued in the first half of this year.
Group sales for the first half are expected to show organic growth of circa 7.5 per cent, giving revenue in excess of £33 million, despite the heightened macroeconomic and political uncertainties of recent months.
The Board said it is particularly pleased with the cash generation in the first half. This has enabled the continued early repayment of the Pacer acquisition loans and resulted in a return to a net cash position of circa £0.25m at 30 September 2019.
The open order book at 30 September 2019 stood at £36.5 million, at the comparative point of 30 September 2018, the open order book stood at £36.2 million.
In September, the companyrevealed a major international contract win.
The contract, valued at $3 million, was won by the Group’s Pacer Optoelectronics business unit, acquired by Solid State in November 2018. The display project, a rail infrastructure programme in the United States, will use Pacer’s value added capabilities and is expected to be delivered over the next nine months.
Gary Marsh, Chief Executive of Solid State, said: “This contract is a good example of the success of our acquisition strategy in broadening our international and sector reach. We have focussed on niche sectors where we can apply our value added engineering capability and where we can sell into increasingly international markets. The transportation sector has been a specific target and therefore this success is particularly pleasing.”