Imagination Technologies will diversify from its core DAB digital radio market in spite of signs that demand for its Pure-branded products is returning.

The group said on Friday that turnover in the first four months of the year was “significantly” ahead of the corresponding period a year ago – when the consumer slowdown meant Pure recorded a 2 per cent increase in first half revenue to £11.7m – as shops began restocking and it saw increased demand from overseas markets.