Last checked at (Sharecast News) - Refractory products supplier RHI Magnesita reinstated its full-year guidance and interim dividend on Thursday as it reported a continued resilience and improved customer outlook.
RHI said, consistent with expectations at the time of its interim results on 5 August, third-quarter trading was similar to the second, reflecting continued stability in its markets during what was traditionally "a quieter period" in July and August.
Encouragingly, the FTSE 250-listed firm added that its order book had improved steadily but slowly through the period - providing the group with stronger visibility to the beginning of 2021.
While RHI acknowledged that uncertainty on the continuing impact of the Covid-19 pandemic remained, the group said it was "confident" that it would "continue to demonstrate its resilience".
"This supports the decision to pay an interim dividend and our expectations for FY 2020 adjusted EBITA to be in line with current market expectation," said RHI.
RHI, which will pay an interim dividend of €0.50 per share, also highlighted that it expects to realise €50.0m of short-term fixed cost savings for the full year as part of its Covid-19 response, with €10.0m of those to be maintained into 2021 in the form of lower depreciation.
As of 0915 BST, RHI Magnesita shares were up 1.00% at 2,842.0p.
1 Apr 2020 08:01
RHI Magnesita pulls dividend as tough conditions persist
(Sharecast News) - Refractory products company RHI Magnesita pulled its dividend and said difficult market conditions in the second half of 2019 had continued in the first quarter of 2020.
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