Volex PLC
LSE:VLX
Volex PLC
Volex Plc engages in the provision of cabling solutions for servicing consumer electronics, telecommunications, data centers, medical equipment, and the automotive industry. The company is headquartered in Basingstoke, Hampshire and currently employs 6,353 full-time employees. The firm has a diverse range of markets and customers in cable assemblies, data center power and connectivity, electric vehicles, medical applications, consumer electricals and industrial technology. The firm provides a range of products, which includes power products, data center products, consumer electronics, and electric vehicles. The company designs and manufactures power cords, duck heads and other related power products that are sold to manufacturers of a broad range of electrical and electronic devices and appliances. The data center products include Volex Suzhou and Volex Batam. Its products are sold through distributor partners to original equipment manufacturers (OEMs) and electronic manufacturing services (EMS) companies. The company has manufacturing facilities in China, Indonesia and Vietnam.
Volex Plc engages in the provision of cabling solutions for servicing consumer electronics, telecommunications, data centers, medical equipment, and the automotive industry. The company is headquartered in Basingstoke, Hampshire and currently employs 6,353 full-time employees. The firm has a diverse range of markets and customers in cable assemblies, data center power and connectivity, electric vehicles, medical applications, consumer electricals and industrial technology. The firm provides a range of products, which includes power products, data center products, consumer electronics, and electric vehicles. The company designs and manufactures power cords, duck heads and other related power products that are sold to manufacturers of a broad range of electrical and electronic devices and appliances. The data center products include Volex Suzhou and Volex Batam. Its products are sold through distributor partners to original equipment manufacturers (OEMs) and electronic manufacturing services (EMS) companies. The company has manufacturing facilities in China, Indonesia and Vietnam.
Strong Revenue: Volex reported first-half revenue of $584 million, reflecting 13% organic growth, driven by strength in electric vehicles and data centers.
Margin Expansion: Operating margin reached 9.8%, at the upper end of the company's 5-year target range.
EPS Growth: Basic earnings per share increased by 30% to $0.197 per share.
Resilient Performance: The company navigated macro challenges and tariffs effectively, maintaining return on capital employed at 20%.
Growth Sectors: Electric vehicles, data centers, and off-highway sectors showed robust growth, while medical sector revenue declined by around 10%.
Capacity Investment: Significant investments in Mexico and automation to support customer demand and tariff mitigation.
Positive Outlook: Management expects second-half revenues to be broadly in line with the first half and remains confident in achieving its 5-year plan target of $1.2 billion revenue by FY '27.
