Pure Wafer profits 'significantly ahead' of forecasts

24th Sep 2013 08:10

Shares in silicon wafer reclaim group Pure Wafer rocketed on Tuesday morning after the company said that annual profits would be 'significantly ahead' of current market expectations.The stock was up 21.9% at 8.35p by 08:23, a level not seen since mid-2010.Semi-conductor/silicon chips are manufactured on silicon wafers in specialist fabrication facilities which use large quantities of these wafers for testing. Pure Wafer provides wafer reclaim services enabling the multiple re-use of these silicon test wafers.The company said in a statement: "As previously indicated, Pure Wafer has continued to experience high levels of demand for its wafer recycling services at each of its Swansea, UK and Prescott, Arizona plants which have both achieved record levels of trading during the period."Sustained demand, along with a control of costs, means that the company will report an increase in earnings before interest, tax, depreciation and amortisation for the period, it said.Pure Wafer also said that it would report a $2.3m reduction in depreciation and amortisation year-on-year after reviewing the remaining useful lives of its fixed assets."As a result of the sustained level of demand and change in depreciation policy, Pure Wafer will report a pre-tax profit for the year ended June 30th 2013 significantly ahead of current market expectations."Results for the year to June 30th are due out next Tuesday October 1st.BC