annual report and accounts 2005
inspiring your products and manufacturing 
spi lasers plc
3 wellington park 
tollbar way 
hedge end 
southampton 
so30 2qu 
tel 44 01489 779696  
fax 44 01489 779698 
email investorsspilaserscom
web wwwspilaserscom
spi lasers plc  annual report and accounts 2005 our strategy 
our goal is to be a leader in the optical
ﬁ brebased laser market 
quarter 1quarter 2


Summary:
 wwwspilaserscom 
chief executive’s review 
6
spi lasers plc 
annual report and accounts 2005
introduction
i am pleased to report that 2005 was a year of signiﬁ cant 
progress in all aspects of our business in summary we 
completed our transition into becoming a manufacturer of ﬁ bre 
laser sources released the ﬁ rst wave of products for industrial 
material processing and engaged with a diverse customer base 
this has led to a solid set of maiden operating results a key 
element of which is our top line growth of 100 it is signiﬁ cant 
that in this regard we exceeded market expectations but more 
importantly we created momentum in the sales channel that 
bodes well for sustained growth in 2006 and beyond
there are a number of areas i would highlight as particularly signiﬁ cant
markets customers and channel
the laser industry is a large and established market during 
2005 the ﬁ bre laser became recognised not only as an interesting 
technology but as a tool that delivers real advantages for many 
endusers i believe that spi lasers joining the market as the 
second supplier to ipg photonics of industrial grade products 
has been a factor in this maturing process
spi’s customers are system integrators that is to say that they build 
the enduser system that incorporates our lasers as the optical 
source in some cases these integrators are part of the enduser 
entity but in the majority of cases they are an intermediary 
consequently we have invested heavily in creating awareness of 
the many advantages of ﬁ bre lasers in the enduser community to 
create “pull through” in the sales channel i am pleased to report 
that this approach is proving to be successful
in 2005 we concentrated on the micro sector of note within 
this was the progress we made in penetrating the medical device 
manufacturing market where the ﬁ bre laser’s ability to cut and 
weld ﬁ ne feature size items rapidly and with high quality has 
been a differentiator initial success was in cutting stents a stent 
is a springlike structure expanded within veins and arteries with 
a number of industry leaders now deploying spi product having 
established ourselves in this subsector we are now engaged with 
a number of other customers and working on new applications
this is typical of our approach to the market namely to excel at 
an application and then to drive penetration in parallel with this 
success we have succeeded in adding further market verticals 
such as stencil cutting printing and micro welding to support 
this we have added to our channel resource both direct and 
through specialist distribution partners and established an 
applications and support capability in the uk and the usa
towards the end of 2005 we announced a family of products 
designed for the rapidly growing marking sector two supply 
contracts were signed and a number of customer relationships 
established that should lead to sales in 2006
all of this activity is consistent with our strategy of utilising our 
specialised optical ﬁ bre capability to establish a technology 
platform that can be sold into multiple markets we continue to 
strive for products that deliver the advantages in performance 
and cost of ownership that industry watchers believe will fuel 
rapid growth in this sector
summary