Mar 27, 2011

Delcam achieves record sales and increased profits

Delcam announced its 35,000th customer during 2010, Southern Spars, a New Zealand company specialising in the design and construction of spars and rigging for high-performance yachts.

Delcam is pleased to announce that the company achieved record sales in the year to 31st December, 2010. Sales for the period grew to £36.6 million, an increase of 17% over the £31.3 million recorded in 2009. Pre-tax profit rose substantially to £2.26 million compared with the £0.59 million last year.

The company continued to increase its high levels of investment in software R&D, investing £9.4 million in the period, compared to £8.9 million during 2009. As well as supporting growth in new software sales and enabling the introduction of new products, this investment contributed to an increase in maintenance revenues to £11.6 million, up from £10.2 million in 2009.

Commenting on the results, Delcam Chairman, Peter Miles, said, "Our results were driven by improved sales across all of our key markets in Europe, North America and Asia, with the Group’s newer territories in Asia showing the largest increases. The marked upturn in sales benefited from our decision to maintain product development and marketing investment during the downturn of 2009.”

On the company’s outlook, he added. "The current indications are that 2011 will see companies in most of our major territories increase their investments in capital equipment and the associated software and, against this backdrop, the business is well placed to benefit. However this trend may be affected by recent events in Japan and in the Middle East. At this early stage in 2011, the growth in our sales is continuing and, if this remains the case, we are optimistic that our trading results for the coming year will show further improvement over those for the last twelve months.”

A copy of the complete Chairman’s statement is available at http://www.delcam.com/general/investors/reports/final_report2010.asp.