Solid State expects to 'comfortably exceed' market guidance

Solid State, which manufactures technology for use in harsh environments is a design-in distributor to the electronics industry, told investors on Wednesday that adjusted profits would be "significantly ahead" of estimates, while revenues would also be above its current guidance.

The AIM-listed firm said strong demand seen in the first half of its trading year within its value-added distribution division had continued into the second half, pushing results "well ahead of management's previous expectations".

Elsewhere, Solid State noted that sales in its manufacturing division were somewhat second half weighted - with much of the unit's first-half shortfall over the year expected to be mitigated in the second half.

Solid State its manufacturing business would deliver revenues "broadly in line with management's expectations, albeit as expected, slightly lower than last year".

Chairman Gary Marsh said: "We are delighted with the group's strategic progress, delivering significant organic revenue growth within the value added distribution division."

"In addition to current year trading, the order book now gives us confidence in an improved outlook for our financial year ending 31 March 2020."

As of 0900 GMT, Solid State shares had shot up 11.23% to 406p.