Filtronic chief ousted despite GaAs ramp
Filtronic has posted sales of £8.5 million from its compound semiconductor division for the first fiscal half year of 2005, an increase of £3.5 million ($7.1 million) sequentially, and up £4.9 million year-on-year.
And sales in the next half of the year could be even higher, now that the company has won a second customer for its GaAs PHEMT switches for cell phones.
However, despite this positive outlook company CEO John Roulston has resigned with immediate effect.
He has been replaced by David Rhodes, who was previously the company's chairman.
Rhodes will oversee £4 million of capital expenditure for the compound semiconductor division, which will increase the company's 6 inch wafer foundry capacity from 17,500 to nearly 27,000 per year.
"The foundry ramp up supports compound semiconductors reaching run rate breakeven at the end of this financial year," explained Rhodes. In the most recent half year this division recorded a loss of £5.1 million.
Overall, the company's loss for the half year was £7.0 million, and it posted sales of £110.7 million.
The executive changes and financial performance had a negative impact on Filtronic's share price, which plunged by 32%.
