Last checked at 10 Jun 2015 07:00
10 June 2015
Dialight plc
("Dialight" or the "Company")
Trading Update
In its AGM Trading Update of 15 April 2015, Dialight said that Group revenue growth for the first quarter had exceeded expectations but that we had a number of operational inefficiencies.
However, since April the Group has also experienced a slowdown in the rate of orders in the Lighting segment in both the US and Europe which is likely to result in a shortfall in full year revenue. In consequence, the Board expects that underlying operating profit for 2015 will be significantly below expectations and that the results for the first half will be less than the prior year.
The Board believes that this reduction in orders is linked in part to a slowdown in the oil and gas sector.
In the light of this adverse financial performance, and in conjunction with the previously-announced exercise to develop the Group's production infrastructure and processes, Michael Sutsko, the new Group Chief Executive, is leading a strategic review of the business. This review will focus will on the markets in which the Group currently operates, together with an attendant review of its operations, supply chain, and product development.
The Board remains convinced of the longer term prospects for the Group and it expects to update the market with the findings of this review in the autumn.
The Group will publish its results for the six month period ending 30 June 2015 on 27 July 2015.
A conference call for analysts and investors to discuss this update will be held at 08.00 BST today. To access this call, please dial:
UK number 0203 139 4830
UK toll free number 0808 237 0030
Participant PIN 93522563#
For replay details, please contact FTI Consulting.
Contacts:
Dialight PLC
Michael Sutsko - Group Chief Executive
Fariyal Khanbabi - Group Finance Director
Tel: 01638 778641
Canaccord Genuity Limited
Peter Stewart
Tel: +44 (0) 20 7523 8000
FTI Consulting
Nick Hasell
+44 (0)20 3727 1340
About Dialight plc
The Group comprises the following business segments:
Lighting which addresses the increasing demands for Energy Efficient Lighting solutions for industrial/hazardous locations;
Signals that covers Traffic, Transportation and Obstruction signals; and
Components whose sales are primarily to Electronics OEMs for status indication.
The company is headquartered in the UK with operating locations in Australia, Brazil, Denmark, Germany, Malaysia, Mexico, Singapore, UAE, the UK and the USA. More information is available at www.dialight.com.