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UK's CML Microsystems FY26 hit by customer inventory woes; sees growth in FY27

UK's CML Microsystems FY26 hit by customer inventory woes; sees growth in FY27


Overview

  • UK semiconductor maker's preliminary full-year revenue fell yr/yr amid customer inventory overhang

  • Company posted a pre-tax loss, with gross margin declining to 63% from 69%

  • Second-half recovery and new $30 mln GNSS contract position CML for renewed growth


Outlook

  • CML Microsystems expects a return to revenue growth in FY27

  • Company says order book visibility and improving customer inventory levels support confidence for FY27

  • Company remains cautious about customer forecasting due to global uncertainties


Result Drivers

  • CUSTOMER INVENTORY OVERHANG - Co said revenue decline was driven by ongoing customer inventory overhang, which improved in the second half

  • NRE INCOME MIX - Higher contribution from non-recurring engineering (NRE) income in revenue mix led to lower gross margin, per company

  • SUPPLY ISSUES RESOLVED - Temporary supply issues with certain SµRF products affected revenue, but availability was restored in the second half


Company press release: ID:nRSQ5622Ia


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

FY Pretax Profit

GBP 1.80 mln


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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