Trackwise Reports 2020 Results, Updates on Stevenage Circuits Acquisition

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Trackwise Designs is a UK-based manufacturer of specialist products using printed circuit technology. Its full suite includes Improved Harness Technology (IHT) and advanced PCBs—microwave and radio frequency (RF), short flex, flex-rigid, and rigid multilayer products.

The company has released its audited results for the year ended December 31, 2020. The company has achieved revenues of £6.07 million, up from £2.91 million in 2019; adjusted EBITDA of £0.77 million; and adjusted operating loss of £0.19 million.

One of the company’s key highlights last year was the acquisition and successful integration of Stevenage Circuits Ltd (SCL), and the reorganization of operations resulting in dedicated Improved Harness Technology (IHT) and advanced PCB manufacturing sites at Ashvale and Stevenage, respectively. 

“The impact of the COVID-19 pandemic has affected global economic activity, leading to a slow-down in investment activity across our markets. However, we are seeing a growing number of IHT enquiries and have converted an increasing number of those enquiries into customers which supports our growing confidence for the future. What has become clear during the early part of 2021 is evidence of increasing supply chain stress, with increased prices and lengthening delivery timescales for a number of key raw materials. Sales have not been lost but this is impacting our ability to complete some orders on a timely basis in both our Advanced PCB and IHT divisions,” said Philip Johnston, CEO of Trackwise.

He said the company has continued to work with its UK EV OEM customer on development improvements to the products that they will be producing for them. “As a result, it is now anticipated that our volume production, initially expected towards the end of 2021, will begin in early 2022,” Johnston notes. “Combined, these factors above will have an impact on revenues in 2021, although some will be offset by new business from other smaller customers as well as a continued focus on cost controls. We are making progress with preparing our new manufacturing facility, with fit-out underway and long lead capital items ordered, and we are confident that this plant will be ready for the manufacture of the expected volumes. Capacity is being implemented in the new manufacturing facility in excess of the UK EV OEM forecast volumes and the layout accommodates planning for future capacity expansion that can be implemented in the event of future contract wins.

“Trackwise’s active discussions with a number of EV OEMs and Tier 1 suppliers support our belief that flex PCBs will be adopted widely as a solution for battery module and battery pack interconnect across all cell formats, and we are confident of strong future activity in this sector, as well as in our other markets.”