Calnex Solutions sees diversification pay off as revenues rise 19% in milestone year
“The milestone is an opportunity to reflect on how far the business has come in the last two decades” – Tommy Cook, founder
Calnex Solutions, the West Lothian technology business that floated on the stock market in 2020, has seen annual revenues grow by about a fifth to almost £22 million in a “milestone” year.
Founder and chief executive Tommy Cook said it had been a strong 12 months for the business, with increasing traction across a broader set of infrastructure and assurance markets.
Calnex, which debuted on the UK’s Alternative Investment Market (Aim) in October 2020, provides test instrumentation equipment to some of the world’s biggest telecoms companies as well as data centres, government and defence markets.
The latest results, for the year to the end of March, reveal that revenues grew by 19 per cent to some £21.9m, compared with the year before. Profit before tax jumped by 73 per cent, year on year, to just over £1.2m. A proposed final dividend of 0.68p per share gives a total payout of 0.99p per share for the year, up from 0.95p a year earlier.
Calnex highlighted a strong balance sheet with cash of £9.3m at the year end, providing “flexibility to invest in product innovation, people and routes to market”.
Cook said: “This has been a strong year for Calnex, delivering double-digit revenue growth, improved profitability and material progress against our diversification strategy. Our focus now is firmly on execution, advancing key development programmes and converting early engagement into commercial wins, supported by improved market access.
“As this year marked our 20th year of operations, the milestone is an opportunity to reflect on how far the business has come in the last two decades; years defined by innovation, customer-focus and resilience.
“From this foundation we enter [the new financial year] with confidence, supported by a robust product roadmap, strong balance sheet, and a more diversified market footprint. In a period of rapid technological and geopolitical change, the importance of high-performance network testing continues to grow, and as we move into the next decade of Calnex’s journey, we are excited by the opportunities ahead,” he added.
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