10th Jun 2015 06:41
LONDON (Alliance News) - Dialight PLC Wednesday warned that its 2015 underlying operating profit will be significantly below expectations and its results for the first half of the year will be below the previous year, after it was hit by a slowdown in orders in its lighting business in both the US and Europe that's likely to mean revenue is below hopes.
New Chief Executive Michael Sutsko is to lead a strategic review of the business in light of the slowdown, the company said, focusing on its markets, operations, supply chain and product development.
The electronics business that specialises in light-emitting diode lighting for hazardous locations said it thinks the order slowdown is linked in part to the slowdown in the oil and gas sector.
Dialight had said in April that revenue growth in the first quarter of 2015 had exceeded expectations but that it had a number of operational inefficiencies. However, it has now been hit by the order slowdown in its lighting business.
"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 company said.
It will publish its results for the six months to June 30 on July 27.
By Steve McGrath; [email protected]; @stevemcgrath1
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