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AIM-listed audio equipment manufacturer Focusrite (LON:TUNE) climbed 8.22% to 538.95p (as of 14:10 BST) after it said that revenues for the year ended 31st August were better than market expectations. This was driven by a combination of organic growth and the contribution from ADAM Audio, which was acquired in the final six weeks of the year. Margins remained constant and EBITDA will also be ahead of the prior year.
Chief executive Tim Carroll said: “We have held steadfast to our core growth strategy and executed as planned despite so many macro-economic factors at play across the world. We successfully released the latest generation of the Scarlett range of products (Gen 3) in July 2019, which has been well received by resellers and end users. They have welcomed the advances we made in the hardware, as well as the innovative new software features that make the product easier to set up and use.
“Additionally, we made our first significant acquisition since becoming a publicly listed company, acquiring Berlin-based ADAM Audio in July. The acquisition extends the Group’s product offering to incorporate a comprehensive range of studio monitors well-aligned to our existing customer base. The business is growing and profitable and early indicators are that it is a good fit. The ADAM team are settling in well.
“Our product roadmap continues to strengthen with significant new product releases planned for the first half of the new financial year. We continue to execute on our growth strategy while closely monitoring unpredictable global issues such as US tariffs and Brexit and have in place action plans to mitigate any foreseen negative impacts to our business“.