Calnex Solutions trading boosted by 'strong' levels of customer spend, higher margins

Test and measurement solutions provider Calnex Solutions said on Tuesday that the "strong" levels of customer spend experienced in the first half had continued in the second.

Calnex stated it had seen no deterioration in operational performance from any macro-economic factors, including the ongoing Covid-19 pandemic, but believes the coronavirus may have influenced certain customers' spending patterns, resulting in some revenues being brought forward into the 2021 financial year.

As a result of its "continued strong performance" in the second half of the year, the AIM-listed group anticipates revenues for 2021 will be ahead of market expectations.

As a result of lower travel and event costs due to Covid-19 restrictions, Calnex now also expects higher margins than originally anticipated, which will result in the company's profitability also being ahead of market expectations.

Chief executive Tommy Cook said: "We have seen the strong customer spending patterns flagged at the time of our interim results continue into the second half of the year, which coupled with our continued strong operational performance means we are pleased to confirm that we expect to deliver growth in the year considerably ahead of the forecasts published at the time of our IPO.

"We are delighted to have delivered this strong performance in our first period as a PLC and continue to look to the future with confidence."

As of 1045 GMT, Calnex shares were up 7.63% at 127.0p.