11 Nov 2014 15:02
Tex Holdings plc
Tex Holdings plc is today issuing its Interim Management Statement for the trading to 30th September 2014.
Turnover continues to be below the budget expectations, but the control of costs and the rental income from the 40 tonne hammer has allowed profits to remain in line with expectations.
The Plastics Division has seen a strengthening of the order book and, subject to call off of production from these orders, is on target to generate profits in line with previous years.
The Engineering Division performance remains mixed, BSP's performance for the year will be solid, however recent months have seen the slowing in the rate of conversion of enquiries to orders.
Eurotex is also suffering from delays in placing of orders, with a number of live enquiries still awaiting customer decisions. It appears the projects have not been lost to competitors, but the projects remain on hold.
Tex Engineering has achieved their budgeted turnover, but the profitability has been impacted by the timing of customer requirements and internal inefficiencies which are currently being eliminated.
The ATC Division continues with the Aircraft Carrier project, whilst pursuing a number of new projects.
The Boards and Panels Division is trading profitably in line with the Board's expectations.
Outlook
The anticipated profit for the year will be negatively impacted by the costs of the bid process, but is expected to be a satisfactory return.
The Board continues to take a cautious approach in the UK on account of political developments and more widely overseas due to difficulties with economic growth particularly in Europe, and to a lesser extent Asia.