20 July 2017 – trading statement

The company, which is a leading supplier of wafer products to the semiconductor industry, has announced a very positive trading statement for the first half of 2017, with revenues growing strongly over the period.  This growth is expected to continue in the second half of the year and as a result profits for the year are likely to exceed market expectations.  The group has also announced that it is to lease new premises in the Cardiff region which will assist with the group’s expansion.  Demand for the group’s products is expected to increase further in 2018 as the group exploits the growth opportunities available.  The company is clearly expanding at a rapid pace although this is now largely reflected in the share price which has more than doubled since the end of March.  Some investors may be tempted to lock in some profit and following the rise in the share price we reduce our recommendation to HOLD.