XP Power Ltd. (DI) (XPP)

Up
Share Price:
1,836.00p
Market Cap:
£514.67m
Change Today:
94.00p
Sector:
Electronic and Electrical Equipment

XP Power revenues seen 'significantly below' FY expectations

By Iain Gilbert

Date: Friday 16 Feb 2024

LONDON (ShareCast) - (Sharecast News) - Power control solutions manufacturer XP Power warned on Friday that full-year revenues would be "significantly below market expectations", sending shares sharply lower in early trading.
XP Power noted that based on recent order intake, revenue performance and discussions with customers, particularly within the healthcare and industrial technology sectors, it had confirmed "unusual, temporarily soft demand conditions and de-stocking". The group added that these softer trends had also emerged within its direct industry peers.

"In early 2024, we have seen, as expected, the continuation of the ongoing cyclical slowdown in the semiconductor manufacturing equipment sector and we continue to expect conditions in this sector to improve as the year progresses," said XP.

"We now expect to also see a slowdown in the industrial technology and healthcare sales, driven particularly by customer inventory movements. These markets are not typically cyclical for us. The slowdown in 2024 is driven by customer stock movements as they reduce their inventory in response to shorter delivery lead times."

In general, XP expects weakness to be "relatively short-lived" and said there had already been "some more encouraging signals" from certain customers, especially for 2025, in recent weeks. However, it noted that the timing and speed of the recovery was hard to predict and expects 2024 to be "significantly second-half weighted" with an improvement in trading as the year progresses.

XP added that its year-end financial close processes had identified some capitalised product development costs that needed to be amortised or impaired, adding £4.0m to costs. Underlying operating profits for 2023 were absent these costs.

As of 0855 GMT, XP Power shares had slumped 38.58% to 920.0p.













Reporting by Iain Gilbert at Sharecast.com

Note 1: Prices and trades are provided by Digital Look Corporate Solutions and are delayed by at least 15 minutes.

 

XPP Market Data

Currency UK Pounds
Price 1,836.00p
Change Today 94.00p
52 Week High 2,010.00p
52 Week Low 857.00p
Volume 9,277
Shares Issued 28.03m
Market Cap £514.67m

Performance Indicators

Compare performance with the sector and the market.

Key
Vs Market
Vs Sector
Value
market
  1. full market star
  2. full market star
  3. full market star
  4. half market star
  5. empty market
sector
  1. full sector star
  2. full sector star
  3. half sector star
  4. empty sector
  5. empty sector
Price Trend
market
  1. full market star
  2. full market star
  3. full market star
  4. full market star
  5. empty market
sector
  1. half sector star
  2. empty sector
  3. empty sector
  4. empty sector
  5. empty sector
Income
market
  1. full market star
  2. full market star
  3. full market star
  4. full market star
  5. half market star
sector
  1. full sector star
  2. full sector star
  3. full sector star
  4. empty sector
  5. empty sector
Growth
market
  1. full market star
  2. full market star
  3. half market star
  4. empty market
  5. empty market
sector
  1. empty sector
  2. empty sector
  3. empty sector
  4. empty sector
  5. empty sector
Price Chg 6m
market
  1. full market star
  2. full market star
  3. full market star
  4. full market star
  5. half market star
sector
  1. full sector star
  2. half sector star
  3. empty sector
  4. empty sector
  5. empty sector
P/E
market
  1. full market star
  2. full market star
  3. full market star
  4. empty market
  5. empty market
sector
  1. full sector star
  2. half sector star
  3. empty sector
  4. empty sector
  5. empty sector
PEG
market
  1. half market star
  2. empty market
  3. empty market
  4. empty market
  5. empty market
sector
  1. full sector star
  2. full sector star
  3. full sector star
  4. full sector star
  5. half sector star
Dividend Yield
Not Available
EPS Growth
market
  1. full market star
  2. half market star
  3. empty market
  4. empty market
  5. empty market
sector
  1. half sector star
  2. empty sector
  3. empty sector
  4. empty sector
  5. empty sector
Operating Margin
market
  1. full market star
  2. full market star
  3. full market star
  4. empty market
  5. empty market
sector
  1. full sector star
  2. full sector star
  3. half sector star
  4. empty sector
  5. empty sector