17th Mar 2016 10:22
LONDON (Alliance News) - Mechanical and refractory engineering company Goodwin PLC on Thursday said revenue and profit for the first nine months fell due to its oil and gas exposure, but it expects its next financial year to be less difficult than had been anticipated.
Goodwin said revenue for the nine months to the end of January fell to GBP87.5 million from GBP108.5 million a year before, while pretax profit dropped to GBP9.0 million from GBP17.3 million.
The company said many of its oil and gas customers within its engineering arm are still struggling amid the low oil price, cutting spending and delaying projects, but it said order input across the group was 15% higher year-on-year in the first nine months.
This was driven by growth for its refractory engineering unit and a strong performance at Easat, Goodwin's antenna systems arm. It also has secured significant valve orders for liquefied natural gas terminals and from Middle East customers, it added.
Due to this, Goodwin said conditions in its financial year to April 2017 are likely to be less difficult than it had feared.
Goodwin shares were up 18% to 1,870.00 pence on Thursday.
By Sam Unsted; [email protected]; @SamUAtAlliance
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