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Dialight profit climbs 27 per cent

Dialight, which develops lighting technology, posted a 72.7 per cent increase in 2012 Lighting revenue, helping to boost underling pre-tax profit by 26.7 per cent.

Dialight, which develops lighting technology, posted a 72.7 per cent increase in 2012 Lighting revenue, helping to boost underling pre-tax profit by 26.7 per cent.

Revenue from continuing operations grew by 12.3% to £115.1m (2011: £102.5m) with Lighting segment revenue growth of 72.7% to £45.5m (2011: £26.4m).

The group contribution margin increased from 45.8% to 46.1%, with contribution margins in the Lighting segment growing from 35.7% in 2011 to 44.3% in 2012.

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Operating leverage has resulted in additional operating profit in Lighting of £6.6m from £2.0m in 2011 to £8.6m in 2012. Profit before tax from continued operations has increased 26.7% to £19.7m (2011: £15.5m).

Roy Burton, the Group Chief Executive, said: "2012 has seen a further increase of Dialight's success in converting the Industrial Lighting Market to Solid State Lighting. This change offers significant energy and maintenance savings to our customer base thus laying the foundations for continued growth."

Looking ahead the company believes it will see continued strong growth in Lighting on the back of expanded sales channels and new products.

"We see further enhancements to the value that our products bring to our customers as Dialight's technical teams capitalise on the ongoing developments in LED technology," it said.

"The growth in revenues and the group's focus on the cost and performance of its products gives us confidence for a future of sustainable profit improvement in this year and the years to follow."

Year-end cash was increased to 15.0m (2011: £13.7m) and the total dividend for the year rose 35% from 10p to 13.5p.

The share price rose 2.83% to 1,198- by 09:40.

NR

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