TIDMXAR
RNS Number : 7141A
Xaar PLC
14 October 2009
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| FOR IMMEDIATE RELEASE | 14 October 2009 |
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Xaar plc
INTERIM MANAGEMENT STATEMENT
Xaar plc ("Xaar" or "the Group"), the inkjet printing technology group
headquartered in Cambridge, is providing an Interim Management Statement
covering trading from 1 July 2009 to 30 September 2009.
Trading and margins for the third quarter of the year were in line with the
Board's expectations and were broadly stable at the levels seen in the first and
second quarters of 2009.
Launches of printing machines based on Xaar's Platform 3 technology continue,
with eight of our OEM (original equipment manufacturer) customers exhibiting
Platform 3 based machines at the recent Label Expo trade show held in Brussels.
Sales of Platform 3 products are predominantly to customers based in Western
Europe and North America and, whilst continuing to show modest growth over
previous quarters, are still subject to the lengthy transition period between
product launch and volume sales - a process which is exacerbated by the global
recession. Sales of Xaar's other product ranges are consistent with previous
periods.
The consolidation of the Group's manufacturing facilities into a single plant in
Huntingdon, England is progressing to schedule. The design and planning phase of
the programme is now complete and the first production processes have been
relocated successfully. The overall time frame for the project remains at two
years from March 2009; the costs and benefits of the project are in line with
the original plan.
The Group's balance sheet remains strong. Net cash at 30 September 2009 was
GBP9.6m (31 December 2008: GBP11.0m, 30 June 2009: GBP10.3m) after the payment
of GBP1.5m of dividends (2008 final: GBP0.9m, 2009 interim: GBP0.6m) in the year
to date.
The Board remains satisfied with the continuing stability in trading seen in the
period. The overall trading environment remains unchanged from the time of the
Half Yearly Report in August 2009. There is still a lack of forward visibility
of customer orders which, together with the ongoing uncertainty in the global
business environment, contribute to a level of caution when looking ahead.
Ends
CONTACTS
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| Xaar plc: | 01223-423663 |
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| Ian Dinwoodie, Chief | www.xaar.com |
| Executive | |
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| Andrew Taylor, Finance | |
| Director | |
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| | |
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| Singer Capital Markets | 020-3205-7500 |
| Limited: | |
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| Shaun Dobson | |
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| | |
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| Bankside Consultants: | |
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| Steve Liebmann or Andy | 020-7367-8883 / 07802-888159 |
| Harris | |
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This information is provided by RNS
The company news service from the London Stock Exchange
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