XP Power’s share price has fallen 3.92% this morning after the company released disappointing results for its 2021 financial year.
The critical solutions company saw its operating profit fall 21% from £37 million to £29.7 million.
The firm linked the operating profit loss the expense of its ongoing legal case in the US.
XP Power’s revenue climbed 3% from £233.3 million to £240.3 million between 2020 and 2021.
The firm announced a final dividend per share of 36p, with the dividend remaining flat when compared last year’s payout.
This meant XP Power’s dividend totalled 94p per share up from 74p in 2020, amounting to 27% growth over the financial year.
However, the power products supplier noted that its order intake increased by 33% to £343.4 million over 2021 due to demand in all three of their sectors, including recovery in Industrial Technology, momentum in the Semiconductor Manufacturing Equipment sector and an normalisation of demand from the Covid-19 pandemic.
XP Power is set to enter 2022 with a “record” order book of £217 million against a 2020 total of £124.1 million, representing 80% of analyst consensus 2022 revenue.
“Our clear strategy and strong execution has helped us navigate well through what have been challenging markets of recent years, with 2021 being no exception,” said XP Chair James Peters.
“The strength of our results is testament to the business resilience and the efforts and dedication of our people and business partners and I would like to put on record my thanks to all of them.”
“Despite the challenges we delivered record constant currency orders and revenues in 2021, while maintaining strong cash generation.”