IQE, the leading global semiconductor materials maker, has reported that its full year revenues for the period ended on December 31, 2011 increased 4 percent to £75.3 million, when compared to £72.7 million in 2010, driven by the increased sales volumes, which also helped in increasing its earnings before interest, tax, depreciation and amortisation to £14.0 million, up 6 percent from £13.1 million in 2010.
The group's pre-tax profit rose 9 percent to £6.9 million from £6.3 million in 2010. While commenting on the results, Chief Executive Dr Drew Nelson said: "Our strong growth momentum was temporarily impacted in the fourth quarter by inventory corrections at two of our major wireless customers. Despite this, I am pleased to report a year on year increase to record revenues and profits. These inventory corrections continued into the first quarter, but as anticipated, customer forecasts now reflect a return to growth as expected for Q2 and onwards. The Board remains confident that IQE is well positioned for strong growth in 2012 and beyond."
The adjusted profit earnings per share were 1.86 pence (2010: 1.91p) and basic EPS was 1.62 pence (2010: 1.63p). IQE's capital expenditure was increased to £17.4 million for the year from £5.6 million in the previous year, which reflects its capacity expansion programme to meet future sales growth and increased demand from customers. In addition, 3.7 million was invested in new product development.