LONDON (Alliance News) - Iron castings and machinery business Castings PLC delivered a downbeat statement ahead of its annual general meeting on Tuesday, saying sales were below expectations and that it is experiencing operational issues due to a change in the work mix.
Brian Cooke, the Chairman of Castings, is set to say that sales to the end of July were below expectations.
"Management are addressing the issues and it is hoped, with a forecast of an increasing order book, the situation will improve during the remainder of the financial year," the short statement from Cooke said.
Castings were down 10.7% to 450 pence Tuesday morning, putting it among the biggest fallers on the London market.
In the year to March 31, the firm had posted rises in pretax profit and revenue, despite having been impacted by new European Union rules governing truck-engine emissions. Pretax profit came in at GBP21.8 million for the year, up from GBP19.32 million a year earlier, as revenue rose 12% to GBP137.5 million from GBP122.2 million a year earlier.
By Sam Unsted; samunsted@alliancenews.com; @SamUAtAlliance
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Castings (CGS)