REG - Chamberlin PLC - Trading Update

ChamberlinAnnouncement

27/03/2020 14:25

RNS Number : 9168H
  
Chamberlin PLC
  
27 March 2020
  
 

 
Chamberlin plc
("Chamberlin" or the "Company")
Trading Update
Chamberlin plc (AIM: CMH.L), the specialist castings and engineering group, announces that trading for the current financial year to 31 March 2020 is expected to be in line with market expectations.  However, the impact of the COVID-19 pandemic on the global automotive sector with factory closures across Europe and the UK, is dictating that the foundry subsidiary, Chamberlin & Hill, will be closing the Walsall foundry and Machine Shop for a minimum of three weeks in April.
As a result, and given the current ongoing uncertainty of future customer demand, management anticipate that revenue in Chamberlin & Hill's factories will be substantially reduced in April and May 2020.  At this stage Chamberlin's operations at the Scunthorpe foundry and at Petrel, the Group's engineering business, will remain operational and are trading in line with management forecasts.
From a financial perspective the Company is benefitting from the restructuring actions taken in the first half of 2019-20, with a reduced operating cost base. Management remain focused on cash preservation and will take advantage of the UK Government's measures to support businesses, whenever necessary.  It will also endeavour to retain all employees, wherever possible, as requested by the UK Government.  All necessary steps will be taken to mitigate the impact of the foundry closure for the required period.
Keith Butler-Wheelhouse, Chairman of Chamberlin said:
"These are momentous times unseen in our lifetime.  We cannot predict with any certainty how long this pandemic will last nor the full impact upon our society and economy.  Nevertheless, we shall take whatever measures are available to us to ensure as best we are able the protection of the health and wellbeing of our employees and their families."
This announcement contains inside information for the purposes of Article 7 of Regulation (EU) No 596/2014.
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




 


 


 




 


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