XP Power projects strong annual profit

ELECTRICAL components maker XP Power yesterday forecast full-year pre-tax profit above market consensus on strong demand and increased market share, and said it remained well-placed for further growth in 2011.

The company, which makes power converters for medical, military and industrial equipment such as respirators and battlefield communication kits, also said it entered the new year with its order books at record levels.

Sales for the 12 months ended 31 December were 36 per cent higher than last year.

“The group has entered the new financial year with its order books at record levels and remains well placed to deliver further revenue and earnings growth in 2011,” the firm said.

The firm reiterated that its fourth-quarter dividend would be at least 8p, representing a minimum total dividend of 29p for 2010. Shares in the stock rose as much as 88p to 1,234p in early morning trading, the highest since the firm was first publicly traded in July 2000. The stock ended the day up 7.3 per cent at 1,230p.