Strong start to the year for Spirent Communications

Spirent Communications said trading for the first quarter to 1 May 2012 is ahead of company expectations amid robust demand for technologies such as mobile internet and cloud computing.

The group, which recently completed the acquisition of California based security testing firm Mu Dynamics for $40m, said the pace of innovation in new technologies remains high and it continues to invest in product development to support future growth.

Revenue for the first quarter increased to $129.4m from $122.8m the previous year. Profit before tax for the period climbed to $27.5m from $23.6m before.

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Performance Analysis revenue surged 16% to $107.3m after strong demand for its wireless, data centre, high speed Ethernet and positioning test solutions. Operating profit for Performance Analysis rose 25% to $27.8m during the quarter.

Group revenue was weighed down by weaker demand in Service Assurance and Systems.

Chief executive officer Bill Burns said, "Spirent's strategy is to focus on these growth markets working closely with our customers to enable them to bring these technologies to market even faster, with higher quality and reliability."

"Further growth opportunities for Spirent's major division, Performance Analysis, also arise from our expansion into new addressable markets, from strategic acquisitions, such as Mu Dynamics and our strong position in the Asia Pacific region. All of these drivers are very positive for Spirent's future and will support our continued growth through 2012," he added.

CJ