13th Jan 2006 07:00
Clarke(T.) PLC13 January 2006 T. Clarke TRADING STATEMENT The Board of T.Clarke plc ("T. Clarke"), the electrical contacting andengineering group, today announces a trading update following the end of itsfinancial year to 31 December 2005. The group has stated previously that its markets have been challenging during2005. Despite a very encouraging level of enquiries in the fourth quarter,trading has remained tough and margins have remained under pressure,particularly within the group's core business. As a result, whilst turnover for2005 is expected to be in line with market expectations, profit before tax isexpected to be at the lower end of market expectations. It should be noted thatthe reported profit before tax will include a £1m profit contribution from thesale of freehold properties, not occupied by group companies. Looking forward, the group has experienced a sharp upturn in activity within itscore business sectors. Whilst there will be some continuing 'drag' on margins,the T. Clarke Board believes this will be a short term factor and that marketconditions are set to improve markedly during the year. The group thereforeexpects that an improving performance will manifest itself in the second half of2006 and in 2007. In conclusion, the Board remains confident of the group's medium term prospects.All of the group companies, including the regional businesses, are experiencingincreased enquiry levels. The group's order book is currently around £160m andconsists of a better 'mix and quality' of work than experienced in 2005. -ends- Date: 13 January 2006For further information contact: T. Clarke plc cityPROFILEPat Stanborough, Chief Executive Simon CourtenayJohn Daly, Finance Director Tel: 020-7448-3244Tel: 020-7358-5000Web: www.tclarke.co.uk------------------------- This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
CTO.L