Business
Trading Statement
CML Microsystems Plc expects full-year revenues to exceed £20 million for the year ended 31 March 2026, with second-half revenue growing approximately 18% compared to the first half, driven by improved order intake momentum. Despite a greater proportion of lower-margin non-recurring engineering income and continued investment in Silicon Valley operations, the company anticipates an improved operating loss in the second half compared to the first half's £0.98 million loss. A significant improvement is projected for the statutory profit before tax, estimated at £1.8 million for FY26, up from a £0.7 million loss in FY25, largely due to a revaluation gain and profit on disposal from the Oval Park land sale, which contributed to year-end net cash balances of approximately £11 million. Disclaimer*
About this update from Cml Microsystems Plc
[{"type":"text","content":"\n\n1 April 2026\nCML Microsystems Plc\n(\"CML\", the \"Company\" or the \"Group\") \nTrading Update\nSecond half sees revenue momentum and an improved loss from operations\nCML, which develops mixed-signal, RF and microwave semiconductors for global communications markets, today announces a trading update for the year ended 31 March 2026.\nAs outlined in November in the Company's half-year results statement, we anticipated material sequential revenue growth in the second half and a return to pre-exceptional operating profitability driven by an improving order intake momentum. We were pleased that in the second half, revenue grew by circa 18% compared to H1 FY26 and was also ahead of H2 FY25. Full-year revenues are therefore expected to exceed £20m.\nAlthough encouraging, the phasing of this order intake momentum has been more extended than first anticipated. The resulting revenue mix has reduced our second half operating margin due to a greater share of lower‑margin non‑recurring engineering (NRE) income, predominantly associated with the GNSS contract announced in July 2025. As planned, the Group continued to invest in its Silicon Valley operations, delivering tangible improvements in our capacity and efficiency. These investments, taken alongside the timing and revenue mix effects, are expected to result in an operating loss for the second half, albeit at an improved level compared to the first half (H1 FY26 operating loss pre-exceptional gain on sale of land: £0.98m).\nDespite the H2 operating loss, we expect to report a statutory profit before tax of approximately £1.8m for FY26, a significant improvement on the statutory loss before tax of £0.7m reported in FY25. The disposal of the final plot of land at our UK headquarters, Oval Park, completed on 27 March 2026. Following the conclusion of this process, which commenced in FY22, the remaining Group property at Oval Park has been revalued, resulting in a revaluation gain alongside the profit on disposal for the excess land. These gains have been partially offset by an impairment of previously capitalised development costs.\nYear-end net cash balances are predicted to be c.£11m which includes a £3m balancing payment relating to the Oval Park land disposal.\nLooking ahead to FY27, we expect that the timing effects seen in H2 FY26 will unwind. The s...