22nd Oct 2015 07:18
LONDON (Alliance News) - Health services company Cambian Group PLC on Thursday said its full-year results will come in below its previous expectations due to higher investment costs.
The company, which provides behavioural health services, said its underlying earnings before interest, taxation, depreciation and amortisation for the year to the end of December will be no less than GBP54.0 million, up 7.5% year-on-year but weaker than what the company had previously expected.
Cambian said the shortfall has been driven by a significant rise in investment costs over the year, with has resulted in the group making higher development losses. In addition, it has seen lower admissions in its schools and children's services division.
"We now have a total of 3,022 places under our management and we are confident that our increased investment in people and systems will underpin growth in 2016 and onwards," said Chief Executive Saleem Asaria.
Cambian shares were down 43% on the news to 153.00 pence, one of the worst performers in the London market.
By Sam Unsted; [email protected]; @SamUAtAlliance
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