24th Feb 2016 08:01
LONDON (Alliance News) - Printed materials and services company Grafenia PLC on Wednesday said its full-year results are set to miss market expectations due to competition in its markets.
The company said it has seen aggressive pricing in the European trade print sector in the second half of its financial year to the end of March, forcing the group to increase promotional activity, incentives and selective discounting to keep hold of market share, but at the expense of its margins.
Grafenia is seeking to cut costs and has renegotiated supplier contracts. It also closed an underperforming operation and reduced its headcount. But these measures will not flow through until the first half of its next financial year, the company said.
Due to this, Grafenia said its results for the year to the end of March are set to "significantly" miss market expectations.
By Sam Unsted; [email protected]; @SamUAtAlliance
Copyright 2016 Alliance News Limited. All Rights Reserved.
Related Shares:
GRA.L