Focusrite PLC (AIM:TUNE) saw its shares fall nearly 9% on Tuesday after the global music and audio products company reported a drop in half-year revenue and earnings.
For the six months ended 31 March 2023, the company's revenue fell by 7.2% to £86.2mln, reflecting an organic constant currency decrease of 19.0%, with market and channel weakness impacting its Focusrite and Novation brands, partially offset by strong double-digit growth in the remaining brands.
Focusrite reported half-year adjusted EBITDA of £18.1mln, down from £22.2mln in the first half of 2022, reflecting the lower sales, notwithstanding stronger gross margins and strong cost control.
However, the company raised its interim dividend by 13.5% to 2.1p and said trading since the half year has remained solid and it anticipates revenue growth in the second half to be in line with expectations, driven by a number of planned key product introductions.
In early trading, Focusrite shares were down 8.7% at 525p.