ELECTRONICS company Filtronic has launched new products and secured more customers as it establishes a stronger foothold in the lucrative US market.

The business, which is run from Newton Aycliffe, has reported sales of £10.5m in the six months to November 30, up from £7.3m a year earlier.

Growth at the mobile phone part manufacturer was driven by the launch of new technology at its wireless division, formed largely with the £11m acquisition of Leeds-based Isotek last year, into the US. The division focuses on making equipment for mobile telecoms base stations.

Filtronic, which reduced its numbers in County Durham from 130 to 110 as part of cost cutting last year, said its pre-tax losses rose to £2.3m from £1.2m over the six months.

But finance director Mike Brennan said that much of the losses related to intangible items.

He said: “The growth in wireless in the last three six-month periods has seen the turnover grow from £1m to £3m to £5m. Clearly that’s a growth business.

“There were some issues in the second half when most losses occurred. There was getting that business from an early stage and we’ve transformed the business to get greater volume through and prove we are making decent margins. We’re getting real traction in the US.”

The US is set to play a major role in the development of both the wireless and broadband divisions over the next few years .

Chief executive Hemant Mardia said: “We’ve increased our US market and a large part of that is the base station market.

“It is being driven by mobile data, particularly in the US with the iPhone and the iPad. We have a facility on the east coast deploying products to the US. Our trials are now moving into an early stage roll-out.”