LONDON (Alliance News) - Defence and aerospace technology company Cobham PLC on Monday said trading in the third quarter has remained challenging and was behind its expectations, meaning its results for 2016 are set to miss its forecasts.
Cobham said the underperformance has been driven by soft trading in its satellite communications and wireless business units and in the Electronic Solutions arm of its Advanced Electronic Solutions unit.
Cobham said demand for maritime satellite communications has been weak, and its wireless business has made slower-than-expected progress in returning to health amid project delays and additional costs in the business due to higher resource requirements.
The Electronics Solutions unit has been hit by additional costs and deferred revenue related to technical problems suffered on some space-related development programmes.
Cobham anticipates an uptick in trading in the fourth quarter but said the softness in the third will mean full-year results miss its previous expectations.
By Sam Unsted; samunsted@alliancenews.com; @SamUAtAlliance
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