Wolfson chief sees first-half revenue rise but remains cautious over future

WOLFSON Microelectronics, the Edinburgh-based chip maker, has seen revenues rise in the first half, although the weaker economic climate has forced it to be cautious about its outlook.

The Westfield company, which makes chips for portable music player's including Apple's iPod, has seen half-year revenues rise 12 per cent to £50.3 million.

The company's adjusted operating profits remained flat at £5.2m.

Dave Shrigley, the firm's chief executive, said: "We delivered to our plan in the first half of 2008.

"The established business grew while we continued the investment phase of our AudioPlusTM strategy to enable an expansion of our product offering and addressable markets for the future.

"While we expect a third quarter seasonal uptick in trading, the weaker macro environment is impacting our customer order patterns leading us to be cautious in our guidance today.

"Looking ahead, our investments are on track and we are pleased with their progress."

The firm is forecasting that revenues in the third quarter will be between £28m-£31m, lower than the many analysts expectations.