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Concurrent Tech awaits export licence decision

Concurrent Technologies is confident that serious export problems will be resolved by mid-year.
March 26, 2014

Concurrent Technologies (CNC) warned last summer that export licensing regulations would hammer orders from emerging markets for components with encryption technology. They did. Reported profits plunged by three-quarters to less than £500,000. But pre-tax profit before amortisation and a big write-down on research and development design assets fell just 17 per cent to £3m, a bit better than expected. Management believes the export issue could be resolved by the end of June, too.

IC TIP: Hold at 42p

So does broker Cenkos Securities. It has pencilled in adjusted pre-tax profit of £3.4m for 2014, giving adjusted EPS of 4.3p.