(Alliance News) - Shares in James Fisher & Sons PLC on Tuesday plummeted after the company announced a sizeable drop in interim revenue against a backdrop of trading that remains impacted by Covid-19.
The marine service provider's stock dropped 6.2% to 957.18 pence on Tuesday morning in London.
James Fisher posted revenue for the six months ended June 30 at GBP233.7 million, down 9.5% from GBP258.1 million a year previously.
However pretax profit widened to GBP8.1 million from GBP7.1m a year before, although much of the improvement was due to an exceptional item relating to deferred tax in 2020. Underlying pretax profit was GBP9.2 million, narrowed substantially from GBP15.1 million.
The company scrapped interim dividend payments, after paying 8.0 pence per share the year before.
Despite the disappointing results, James Fisher said trading in the six months was in line with expectations. The second quarter performance was markedly better than the first, in a sign of optimism for the second half, it added.
"The group is expecting performance to improve during the second half of the year as our end markets recover from the disruption caused by the effects of the global pandemic," commented Chief Executive Eoghan O'Lionaird.
"Looking beyond 2021, forward-looking order books in our long-cycle businesses are strengthening following high levels of tendering activity and contract wins year-to-date which gives the board confidence in the group's future prospects."
By Will Paige; willpaige@alliancenews.com
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James Fisher and Sons (FSJ)