Pure Wafer on track but tariff changes hit shares

Pure Wafer, which provides silicon wafer reclaim services, said it was on track to meet full year expectations after sustained growth in the semiconductor market.

However, shares fell as the firm also said trading in its solar division remained challenging after UK politicians again changed the level of the government-backed feed-in-tariff.

"We have therefore re-focussed our marketing and have continued to build our order book with commercial, industrial and local authority customers and have maintained a satisfactory level of trading," the firm said in its trading update.

In the first half of its year the company said increased demand and volume sales had come mainly from the growing US and Asian markets.

It said the European sector was stable with demand continuing at the higher levels it enjoyed during the second half of the last financial year.

Pure said it was well placed to take advantage of this increasing activity.

"We are therefore confident that our interim results will be in line with market expectations for the year ending 30 June 2013," the company statement said.

Shares were down 3.3% to 3.62p at 1100.

MM