CSR soars after sparkling update

Shares of wireless technology firm CSR stormed ahead after it posted record full year revenue and underlying gross margin, boosted its dividend payment and said it expects good growth in core revenues for 2013.

Shares of wireless technology firm CSR stormed ahead after it posted record full year revenue and underlying gross margin, boosted its dividend payment and said it expects good growth in core revenues for 2013.

The chip firm said revenue for the fourth quarter to December 28th rose to $249.2m from $244.0m the same time a year earlier after strong growth in Voice & Music and a solid performance by Auto.

The group posted a profit of $10.3m during the quarter compared to a loss of $4.9m a year earlier. Underlying core gross margin increased to 59.2% during the final quarter from 55.8%.

Looking ahead the group said: "We expect first quarter revenues to be in the range of $215m to $235m."

Underlining its confidence in future trading, CSR has increased its full year dividend by 15% to $0.08 per ordinary share. CSR is also proposing to return $50m to shareholders via a share buyback.

Chief Executive Officer Joep van Beurden said: "2012 has seen CSR accelerate its transformation, becoming a leader in integrated and differentiated technology platforms in several growing market segments. The growth of our Core business has been especially pleasing with strong growth in Voice & Music and a solid performance by Auto."

"In 2013, we will continue to invest to develop our platforms in our five chosen markets of Auto, Voice & Music, Imaging, Bluetooth Smart and Indoors Location, which we believe hold good growth potential," he added.

CSR also highlighted strong mono audio revenue growth in China in the wake of hands-free driving legislation.

CJ

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