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CML Microsystems lifts FY26 revenue, returns to profit on land gains

Story Highlights
  • CML Microsystems grew H2 revenue by about 18%, topping £20m for the year but saw margins squeezed and a second‑half operating loss amid a higher mix of lower‑margin NRE income and continued investment.
  • Despite the operating loss, CML expects about £1.8m pre‑tax profit and £11m net cash, and anticipates FY27 improvement as supply‑chain timing issues unwind and targeted R&D and market initiatives boost efficiency.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
CML Microsystems lifts FY26 revenue, returns to profit on land gains

Meet Samuel – Your Personal Investing Prophet

An update from CML Microsystems ( (GB:CML) ) is now available.

CML Microsystems reported that second‑half revenue for the year to 31 March 2026 rose about 18% versus the first half and exceeded the prior year’s second half, lifting full‑year sales above £20m but with margins diluted by a heavier mix of lower‑margin non‑recurring engineering income. Continued investment in its Silicon Valley operations and revenue mix effects meant the group still posted an operating loss in the second half, although full‑year statutory profit before tax is expected to improve to about £1.8m, supported by gains from the completed disposal and revaluation of surplus land at its UK headquarters and leaving year‑end net cash of around £11m.

Management expects timing issues and supply‑chain constraints that weighed on H2 to ease in FY27 as shipments of a key product normalise and industry inventory pressures abate. With recent initiatives to sharpen R&D focus and target market verticals now in place, the company is positioning for improved productivity and commercial efficiency ahead of publishing its preliminary full‑year results on 16 June 2026.

The most recent analyst rating on (GB:CML) stock is a Hold with a £230.00 price target. To see the full list of analyst forecasts on CML Microsystems stock, see the GB:CML Stock Forecast page.

Spark’s Take on CML Stock

According to Spark, TipRanks’ AI Analyst, CML is a Neutral.

The score is primarily held back by weakening financial performance (declining revenue, negative profitability, and sharply lower free cash flow) and bearish technical momentum (below key moving averages with very low RSI and negative MACD). This is partially offset by an attractive valuation (low P/E) and a high dividend yield, plus low leverage on the balance sheet.

To see Spark’s full report on CML stock, click here.

More about CML Microsystems

CML Microsystems develops mixed-signal, RF and microwave semiconductors serving global communications markets. The group operates through outsourced manufacturing and in-house testing from bases in the UK, Asia and the US, focusing on high‑growth, high‑barrier communication sub‑segments and supplying a diversified blue‑chip customer base that benefits from trends such as faster, more secure data transmission and expanding private wireless networks.

Average Trading Volume: 32,129

Technical Sentiment Signal: Strong Sell

Current Market Cap: £37.37M

Find detailed analytics on CML stock on TipRanks’ Stock Analysis page.

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