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Don't have an account? Click here to register.Redhall warns of profits 'materially below' expectations
Wed, 01st May 2019 10:43
(Sharecast News) - Engineering business Redhall warned investors on Wednesday that delays in the award of a number of expected new contracts meant that its full-year performance would now be "materially below its previous expectations".Redhall subsidiaries Jordan Manufacturing and Booth Industries were pegged to win a number of new contracts in the current trading year, which would drive a strong trading performance in the second half of the year.However, delays and a reduction in the value of Jordan Manufacturing's contract for an unnamed major nuclear infrastructure programme meant the AIM-listed group's figures looked set to be significantly short of guidance issued on 6 March."The full year result remains dependent upon securing a number of key prospects and therefore remains uncertain," said Redhall.Looking forward, Redhall's near-term pipeline was said to be strong, in particular for Booth Industries where the business had "a number of prospects across the infrastructure, defence and oil and gas sectors"."Overall, market conditions remain robust in most of the group's core markets and its pipeline of opportunities remains strong. The board anticipates that this pipeline will deliver steady growth into 2020," said Redhall.As of 1040 BST, Redhall shares had tumbled 33.33% to 0.95p.
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MARKET COMMENT: FTSE 100 Posts Biggest Daily Gain Since April
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