The inkjet printing technology group, which will release detailed trading results on 13 March 2008, also reported continuing interest in its Platform 3 product, the Xaar 1001 high-speed, single-pass printhead.

The Cambridge-based company enjoyed a £0.4m increase in pre-tax profit to £7.3m in 2006.

These profit figures follow amortisation charges of £1m for capitalised R&D, £0.9m worth of share options and the £2.5m cost of its new Huntingdon facility.

Before the cost of the Huntingdon operation, profit before tax for the year increased by 42% over the previous year.

In contrast, the firm has reported the take up of its Platform 2 products were slower than expected but the recent launch of the Teckstorm and Teckthunder wide-format printers, incorporating the greyscale Xaar 760 printhead, may increase interest.

The company has also indicated it expects product launches incorporating the Platform 3 technology, around the time of this year's Drupa.

The board has said it has confidence in the "future profitability" of the business and intends to recommend payment of a final dividend for the year of 2.5p, a 25% increase over the final dividend for 2006.