Revenue challenges at Hampson

Hampson Industries said volatile conditions within the aerospace tooling market remain with Odyssey in particular facing short term revenue, operational and timing challenges.Results at its Odyssey and GTS tooling businesses for the half of the year and the full year will be lower than initially forecast as the results from cost cuts take longer than expected, it warned.Composites Horizons saw a positive start to the year, with revenues and profits in line with management's expectations and higher than in the comparative period of the prior year.Meanwhile legacy programme order book reductions, customer delays and rescheduling requests on new programme introductions has reduced revenue at Texstars by around 30% and consequently a small loss has been made year to date. "Through an ongoing focus on cost reduction, lean management and improvement initiatives, the board is optimistic that progress will be made in the remainder of the financial year," the group said in a company update. "Medium and long term prospects remain strong for the group as the use of composites continues to increase in aircraft manufacturing and OEM's focus on fewer, larger suppliers, like Hampson," Hampson added.CJ