Linlithgow-based telecoms testing and measurement firm Calnex Solutions plc said on Thursday the telecoms market “has remained challenging” but it is encouraged “by early successes of Calnex’s new product releases and … the board anticipates the company’s performance in FY25 will be in line with market expectations.”
In an AGM trading and operations statement, Calnex said: “As anticipated, the telecoms market has remained challenging throughout the first four months of FY25.
“While activity levels across the sector are generally expected to stay at subdued levels for the remainder of the year, the fundamental need for the company’s testing solutions remains strong.
“The board is encouraged by the early successes of Calnex’s new product launches, which are expected to underpin the company’s return to growth in H2 FY25.”
Calnex’s customers include BT, China Mobile, NTT, Ericsson, Nokia, Intel, Qualcomm, IBM and Meta. Calnex is headquartered in Linlithgow, with additional locations in Belfast, Northern Ireland, England and California, supported by sales teams in China and India.
Calnex went public at 48p per share in October 2020 and its shares soared as high as £1.95 in January 2023. However, the Linlithgow firm’s shares have since fallen to around 52p, reducing its stock market value to about £45 million.
As previously announced, following the review of Calnex’s sales channels and channel partner arrangements earlier this year, the company terminate its reseller agreement with Spirent and commenced discussions with new and existing channel partners to facilitate changes to strengthen current arrangements.
Calnex confirmed its new channel partner network is now operational, covering the group’s territories of North America, Europe, Middle East and Africa, as well as Asia-Pacific, including those which were previously covered by the Spirent relationship.
“Following the successful transition of sales and channel partner arrangements, the company is now seeking to establish direct supplier agreements with several of its key customers to enhance these relationships,” said Calnex.
“The board remains confident that the new multi-channel arrangement will be earnings enhancing.”