Atmel Corporation Announcement

RNS Number : 8297D

Carclo plc

02 May 2013

 

2 May 2013

Carclo plc

("the Company")

Atmel Corporation Announcement

The Company notes the comments in respect of XSense™ and Conductive Inkjet Technology ("CIT") made by Atmel Corporation ("Atmel") executives during the Analysts Earnings call that accompanied Atmel's Q1 results on 1 May 2013.

Extracts from the transcript of the Earnings call are reproduced below:

"The market for ITO alternatives and metal mesh technology in particular is moving into the mainstream.  During the first quarter, ASUS shipped their 7-inch tablet known as the Memo Pad featuring XSense. In addition, XSense was recently selected for multiple new designs with several tier-one OEMs.   Furthermore, we are engaged in active discussions with major ecosystem partners to develop reference designs and to ensure that substantial capacity is available to support the forecasted roll-out of large screen systems.   Based on these engagements and increasingly strong customer feedback, we believe that the adoption of metal mesh technology as a replacement for traditional ITO sensors is accelerating.  Today, our manufacturing requirements are being supplied by our partner, CIT, as we qualify our Colorado facility for large scale production.  We currently expect our facility to be qualified this month which is a delay from Q1 which had been our prior schedule.   Due primarily to this delay, we expect XSense revenue to be between $15 to 25 million for 2013.    Despite this near term reduction in revenue, we anticipate a substantial ramp in volume and are planning to expand capacity to support product revenue exceeding $100 million dollars in 2014.  As a leader in this technology, with strong IP and manufacturing know-how, we expect the market for metal mesh solutions, which has an addressable market of over $5 billion today, to grow rapidly over the next few years, with XSense as the leading product." 

"We are also excited with the progress we have made with XSense despite the push out in near term revenue.  Customer enthusiasm for metal mesh solutions and XSense in particular is strong and we are confident of the rapid growth of this market and our leading position with XSense."   

The further design wins, the eco-system partner relationships and the ramp in manufacturing capacity are all very positive for CIT's Fine Line Technology business.  Based on Atmel's adjusted XSense revenue guidance for calendar year 2013 we anticipate that CIT's revenues will be in the range of £8 - £12 million for the financial year ending 31 March 2014.  Growth prospects for subsequent financial years are substantial.

- ENDS -

Enquiries:
Carclo plc	01924 268040
Chris Malley, Chief Executive
Robert Brooksbank, Finance Director
Weber Shandwick Financial	020 7067 0700
Nick Oborne / Stephanie Badjonat

Notes to editors

Carclo plc is a technology led plastics group. It is a public company whose shares are quoted on the London Stock Exchange.

Approximately three fifths of sales are derived from the supply of fine tolerance, injection moulded plastic components, which are used in medical, optical and electronics products. This business, Carclo Technical Plastics, operates internationally in a fast growing and dynamic market underpinned by rapid technological development.

Approximately two fifths of sales are derived from the supply of specialised precision components to the premium automotive and aerospace industries and LED optics for a wide range of end applications. Carclo is a leader in the development of high power LED lighting for supercars.

Carclo's strategy is to develop new technologies and products to drive future growth. Its investment in Conductive Inkjet Technology is at the heart of the newly emerging market for very low cost printed electronics.

 

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