REG - Chamberlin PLC - Trading Update

ChamberlinAnnouncement

30/05/2019 12:40

RNS Number : 6357A
Chamberlin PLC
30 May 2019
 


AIM: CMH
30 May 2019
 
 
CHAMBERLIN PLC
("Chamberlin" or "the Group")
 
Trading Update
 
Chamberlin, the specialist castings and engineering group, announced on 5 February 2019 that while the Company's trading position had been strengthened by the sale of Exidor Limited in December 2018, current trading conditions had toughened giving rise to an expected operating loss from continuing operations, before non-underlying items*, in the year to 31 March 2019 of approximately £0.6m.
 
The Company is in the process of finalising the results for the year to 31 March 2019 and following a final review with its auditors the Company now expects to report an operating loss before non-underlying items* some £0.3m worse than previously indicated, mainly reflecting a specific bad debt.
 
The Company had also announced previously that the Board has implemented a number of cost reduction measures, which has involved various reorganisation and other costs necessary in rationalising the business. This exercise has included an impairment review of the two sites within the foundry division, which has resulted in a non-cash write-down in value of the assets of approximately £3.0m.
 
Including this write-down and other non-underlying costs incurred in the period the Company expects to announce an operating loss for the year to 31 March 2019 of approximately £4.5m, together with a profit on discontinued operations of approximately £6.4m, giving rise to a profit after tax and finance costs for the year of approximately £1.5m.
 
The Board expects to issue its preliminary results statement for the year to 31 March 2019 on 4 June 2019.
 
 
This announcement contains inside information for the purposes of Article 7 of Regulation (EU) No 596/2014.
 
 
* non-underlying costs comprise exceptional items, administration costs of the company pension scheme and net financing costs on pension obligations, share based payment costs, GMP Equalisation, impairment of fixed assets and onerous leases
 
 
Enquiries
 



Chamberlin plc
Kevin Nolan, Chief Executive
Neil Davies, Finance Director






T: 01922 707100
 


















Cenkos Securities plc
(Nominated Adviser and Broker)
Russell Cook, Katy Birkin






T: 020 7397 8900


















KTZ Communications
(Financial PR)
Katie Tzouliadis, Dan Mahoney
 






T: 020 3178 6378



 




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