Three firms issue profits warnings
Thursday 22 July 1999
Caverdale shares fell 28p to 73.5p after the leisure products retailer warned that annual profits would fall significantly short of market expectations.
Coats Viyella, the British textiles giant, lost 3p to close at 41.25p after saying that its trading results for the first half of the year would be below last year's.
And Unigate, the food and distribution group, saw its shares fall 13p to 384.5p after it warned that first-half profits would be lower, although progress is expected in the second half of its financial year.
Caverdale said that while trading across most of its divisions continued to be in line with expectations and progress in its leisure marine operations had been strong, the growth of sales at its newly opened motorcycle accessories retail outlets has been slower than expected. "The additional costs incurred by Caverdale during its expansion have not been offset by sales," said the company.
Analysts had been looking for annual pre-tax profits of around pounds 5.2m after profits of pounds 6m last year.
Coates Viyella blamed poor market conditions in Britain, which it said had continued into 1999. Despite operating in an adverse trading climate, the company's businesses had started to show the benefit of radical management action, it added.
As for Unigate, its chairman Ian Martin said that it was too early to say whether the company's first-half shortfall would be recovered by the year's end.
Mr Martin said: "Trading conditions remain challenging and consequently some of our food businesses have had a difficult start in the current year, with overall profits well below last year's levels."
One company bucking the trend was British Steel, which saw firm demand in steel markets around the world sending shares up 4.25p to 161p.
- 1 The man who filmed the Freddie Gray video has been arrested at gunpoint
- 3 Top Gear: Jodie Kidd, Philip Glenister and Guy Martin 'in advanced talks' to join show
- 4 Frankie Boyle on Scottish independence: 'In the Interests of Unity, F**k Off'
- 5 How to gain confidence and maximise your sexual potential
Boston Marathon runner's search for mystery man she kissed ends with letter from his wife
Frankie Boyle on Scottish independence: 'In the Interests of Unity, F**k Off'
Italian police 'reveal' what Jesus looked like as a young boy
Mysterious 'X-Files' sounds heard miles above the Earth
Met Gala 2015: Beyoncé manages to out-skimp Rihanna, Miley and Kim Kardashian combined with near-naked ensemble
In defence of liberal democracy
The Rothschild Libel: Why has it taken 200 years for an anti-Semitic slur that emerged from the Battle of Waterloo to be dismissed?
General Election 2015: UK will be 'run for the wealthy and powerful' if Tories retain power, Labour warns
General election live: SNP suspends two members for disrupting Labour rally
Schools forced to act as 'miniature welfare states' with teachers buying underwear and even haircuts for poor pupils
Andy McSmith's Sketch: Feisty audience is the real star of an enlightening show
iJobs Money & Business
£20000 - £25000 per annum + Uncapped commission: SThree: Can you speak German,...
£25000 - £30000 per annum + benefits: Ashdown Group: An exciting opportunity f...
£215 per day: Ashdown Group: Junior Project Manager (website, web application ...
£40-50K: Guru Careers: We are seeking an experienced Software Engineer / Softw...