XP Power Limited said 2021 operating profit will "be modestly below the lower end of current market expectations" and flagged component and freight capacity uncertainties for the year ahead.
But the developer and manufacturer of critical power control components to the electronics industry added it starts the "new financial year with a record order book, which provides excellent visibility through 2022."
Revenue in the final quarter of 2021 was £58.8mln, down 1% as reported from the same period in 2020, and “slightly down” on management’s expectations.
"Supply chain constraints, specifically the availability of key components and freight capacity impacted customer deliveries towards the end of the year," the statement said. "As a result, 2021 adjusted operating profit is anticipated to be modestly below the lower end of current market expectations.
"While we remain mindful of the ongoing uncertainties in respect of component supply and freight capacity and costs and are continuing to monitor the situation carefully, we are optimistic on the group’s prospects for the year ahead and plan to invest in new manufacturing capacity in 2022 to support the future growth of the group."
The current range of analyst expectations for adjusted operating profit for the year ended 31 December 2021 is £46mln to £48mln, the company said.
Orders were up 65% at constant currency and 58% as reported to £88.6mln, well above both 2020 and 2019 levels.
The company’s net debt position rose to £24.7mln by the end of December, up from £17.9mln a year earlier.
The recommended dividend for the fourth quarter of 2021 will be announced with the 2021 Final Results on 1 March 2022 but is not expected to be less than 36 pence per share, representing a minimum total dividend of 94 pence per share for the year, it added.
Shares were up 1.88% at £48.90 in morning trades.