CML Microsystems
Website:
CML Microsystems
Index:
AIM
EPIC: CML
Supersector:
Technology
Sector:
Technology Hardware and Equipment
Subsector:
Semiconductors
Market Cap:
£42.18M
Payout Frequency: Semi-Annual
CML Microsystems Dividend Analysis and Summary
Dividend details
- Dividend: Interim dividend of 5.0p per share (unchanged YoY)
- Ex-dividend date: 27/11/2025 (derived from record date)
- Record date: 28/11/2025
- Payment date: 12/12/2025
- Currency: GBP
- Recent history: Final dividend 6.0p paid 15 Aug 2025; prior interim 5.0p paid 13 Dec 2024; total FY25 paid 11.0p
Coverage and cash support
- Earnings cover: Pre-exceptional H1 basic EPS -6.10p (loss), so the interim is not covered by underlying earnings; reported EPS 11.57p is boosted by a one-off land sale gain.
- Cash position: Net cash £10.68m; operating cash inflow £0.69m in H1; cash proceeds of £4.0m received from surplus land sale (a further £3.0m due Mar 2026).
- Dividend affordability: Interim cash outlay likely c.£0.8–0.9m and appears readily funded by balance sheet cash and asset disposal proceeds.
Outlook and policy signals
- Management expects H2 to deliver “material sequential revenue growth” and a return to pre-exceptional operating profitability, supported by strengthening order intake and resolved supply constraints.
- Dividend held flat indicates an intent to maintain the payout through the down-cycle, relying on balance sheet strength and anticipated H2 recovery.
Structural and capital allocation developments
- Asset disposal: Surplus land sold for £7m (exceptional gain recognised; £4m received, £3m due Mar 2026), improving liquidity.
- Operational footprint: MwT relocation and ERP integration completed; efficiency investments underway.
- R&D allocation: Continued investment (H1 R&D cash spend £2.96m, part capitalised), consistent with long-term growth focus.
- No demergers, share consolidations or new debt; minor movements in treasury shares only.
Risks and flags for dividend stability
- Underlying loss: H1 pre-exceptional loss before tax £0.89m and adjusted EBITDA down to £1.20m indicate weak near-term earnings cover.
- One-off support: Reported profit and EPS are driven by the land sale; this is non-recurring and cannot fund dividends sustainably.
- End-market cyclicality: 27% revenue decline YoY; recovery depends on order conversion and H2 weighting.
- Operational/supply chain: Raw-material issues resolved, but any re-emergence would pressure margins and cash.
- FX and pension: FX headwinds and a modest defined benefit obligation persist.
Bottom line
- The 5.0p interim is maintained and well supported by a net cash balance and property proceeds, but not by underlying H1 earnings.
- Sustainability hinges on the guided H2 recovery restoring operating profitability and cash generation. Near-term dividend looks safe; watch for improving underlying cover in H2 and into FY26.
Read more
CML Microsystems Annual Dividend Yield - 4.33%
Dividends Used in Calculation:
| Ex-Dividend Date |
Payment Date |
Type |
Amount |
Currency |
| 31/07/2025 |
15/08/2025 |
Final |
6.00p |
GBX |
| 27/11/2025 |
12/12/2025 |
Interim |
5.0000p |
GBX |
Total (Annual Dividends Per Share):
11.00p
Dividend Yield =
Annual Dividends Per Share (11.00p)
÷ Share Price (254p)
= 4.33%
CML Microsystems Dividend History
| Ex Dividend Date |
Payment Date |
Type |
Amount |
Currency |
| 27/11/2025 |
12/12/2025 |
Interim |
5.0000p |
GBX |
| 31/07/2025 |
15/08/2025 |
Final |
6.00p |
GBX |
| 28/11/2024 |
13/12/2024 |
Interim |
5.00p |
GBX |
| 01/08/2024 |
16/08/2024 |
Final |
6.00p |
GBX |
| 21/12/2023 |
12/01/2024 |
Interim |
5.00p |
GBX |
| 03/08/2023 |
18/08/2023 |
Final |
6.00p |
GBX |
| 01/12/2022 |
16/12/2022 |
Interim |
5.00p |
GBX |
| 04/08/2022 |
19/08/2022 |
Final |
5.00p |
GBX |
| 02/12/2021 |
17/12/2021 |
Interim |
4.00p |
GBX |
| 29/07/2021 |
13/08/2021 |
Special |
50.00p |
GBX |
| 03/12/2020 |
18/12/2020 |
Interim |
2.00p |
GBX |
CML Microsystems Dividend Calculator
CML Microsystems Dividend Growth
| Dividend Growth (1Y) |
–
|
| Dividend CAGR (5Y) |
-27.26%
|
| Years of Growth |
–
|
| Payout Ratio |
156.03%
|
| Buyback Yield |
1.41%
|
| Shareholder Yield |
5.56%
|
| P/E Ratio (TTM) | 36.01 |
|---|
| Forward P/E | – |
|---|
| P/FCF | 34.43 |
|---|
| Earnings Yield | 2.67% |
|---|
| FCF Yield | 2.9% |
|---|
| ROE | 2.28% |
|---|
| ROCE | 4.17% |
|---|
| Profit Margin | 5.77% |
|---|
| Operating Margin | 12.22% |
|---|
| Gross Margin | 68.06% |
|---|