CSR results spark record share rise
Shares in CSR, the leading Cambridge wireless firm, reached an all time high after the Bluetooth specialist announced an excellent first quarter for 2006 and predicted growth of up to 70 per cent for the Bluetooth market this year.Shares in CSR, the leading Cambridge wireless firm, reached an all time high after the Bluetooth specialist announced an excellent first quarter for 2006 and predicted growth of up to 70 per cent for the Bluetooth market this year.
By morning the price had soared 15.8 per cent, up 191 pence a share, and breaking £14 for the first time in the company’s history.
Pre-tax profit for the three months ended 31 March 2006 reached £14.1m, a massive 137 per cent rise on Q1 2005’s £6m figure, while revenue in the period for the billion pound firm was up 103 per cent to £73.8m (Q1 2005: £36.3m).
CSR kept its total market share of Bluetooth design wins at over 60 per cent, underpinned by a strong design win momentum with 121 wins across all applications.
The Cambridge Consult-ants Ltd spin out achieved 46 per cent of all mobile phone design wins (Q4 2005: 46 per cent) with 140 per cent more wins than the leading competitor.
It also won 84 per cent of design wins for latest version of Bluetooth with enhanced data rate (EDR).
Headcount has also grown as the firm continues to invest in research, sales, marketing, applications engineering and operations; 33 new staff were hired in the period, bringing the total to 719 worldwide. This is expected to grow further in order to drive and support CSR’s business growth.
New chief executive, John Scarisbrick, said: "CSR has had a good start to the year. Customer orders have accelerated across all applications since the Chinese New Year and we are benefiting from a robust share of Bluetooth design wins.
"Bluetooth attach rates in mobile phones continue to increase as the demand for ‘hands free calling’ grows and as mobile phones provide additional services, and we believe the whole Bluetooth market will now grow at between 60 per cent and 70 per cent year-on-year in 2006.
"This buoyant marketplace and our increasing visibility of our customers’ development programmes make us confident of delivering a strong financial performance for 2006."
The new Nokia Bluetooth Headset BH-200 contains CSR’s BlueCore3-Audio Flash (Blue-Core3-AF), providing the headset with a fully compliant Bluetooth v1.2 specification for voice communications.