19th Mar 2015 08:57
LONDON (Alliance News) - Chemring Group PLC on Thursday said its first quarter revenue dropped heavily year-on-year due to delays in order intake and the conclusion of Husky Mounted Detection Systems deliveries in 2014.
In a statement ahead of its annual general meeting Thursday, the company, which makes countermeasures such as flares and decoys that military aircraft use against missile attack, as well as sensors and electronics used in military vehicles, said its revenue in the first quarter to January 31 was GBP61.5 million, compared to GBP92.8 million a year earlier. Chemring said the fall was primarily down to delays in order intake for its sensors and electronics segment.
The group said order intake was up 28% in the quarter, boosted by increased sales in non-NATO markets. Its order book at the end of the quarter was GBP530.2 million, compared with GBP447.7 million a year earlier, with 52% due for delivery in the financial year to the end of October. Chemring expects to receive a number of orders in the sensors and electronics division from the Middle East.
Chemring said its expectations for the year remain unchanged, though it said the delays to order intake in the sensors and electronics division mean its results will be weighted to the second half.
Chemring shares were up 0.5% to 219.00 pence on Thursday morning.
By Sam Unsted; [email protected]; @SamUAtAlliance
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