LONDON (Alliance News) - Optical components and systems manufacturer Gooch & Housego PLC on Tuesday said trading in the first half of its financial year was in line with its expectations.
Gooch & Housego issued a warning in February that, while it remained in line for the full year to the end of September, mixed trading conditions in the first half to end March meant its earnings would be more weighted to the second half than normal.
The company reiterated that view on Tuesday and said it continues to expect a good trading performance in the second half, driven by orders for its fibre business and, in particular, undersea fibre components, fibre-based satellite communications and fibre optic sensing.
Gooch & Housego said cost cuts made in the first half should flow through in the second and it has continued to benefit from focusing research and development spending on fewer, more productive projects.
Gooch & Housego will publish its interim results for the half year to the end of March on June 7.
"Gooch & Housego is well-positioned to benefit from improving market conditions and has the capacity to respond to increasing demand. Our commitment to diversification has enabled us to navigate a challenging period at the beginning of the year and still be in a position to deliver full year expectations," said Chief Executive Mark Webster.
Gooch & Housego shares were up 3.8% to 908.50 pence.
By Sam Unsted; samunsted@alliancenews.com; @SamUAtAlliance
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Gooch & Housego (GHH)