LONDON (Alliance News) - Cobham PLC said Thursday that first-quarter trading remained in line with its expectations, and the company continues to execute its previously announced operational turnaround plan.
"Cobham's turnaround has continued in the first quarter and our overall trading performance within our ongoing business was in line with the board's expectations. I continue to have confidence in our medium-term prospects, supported by a more resilient balance sheet, despite the risks and challenges that remain," said Chief Executive David Lockwood.
The aerospace and defense company said it remains focused on mitigating risks and uncertainties due to onerous contracts and other legacy issues. The company continues to support qualification and flight tests on the challenging KC-46 tanker programme under its development and low-rate initial production contract which, as previously stated in March, contains significant terms related to delayed performance.
In 2017, the company recorded a GBP150.0 million charge for the KC-46 tanker programme, which suffered from a challenging schedule in the backdrop of a difficult commercial agreement, it said.
The UK listed company has retained its 2018 expectations for ongoing business and continues to anticipate limted cash generation in 2018, partly due to pattern of payments from onerous contracts.
Shares in the company were trading 0.5% lower at 114.85 pence a piece. Cobham is slated to release its first-half results on August 2.
