Australia's Orbital Corp slumps on contract termination

Orbital

14/02/2022 02:23

** Shares of industrial technology co Orbital Corporation
 OEC.AX  slide as much as 25% to A$0.210, their lowest since
September 2014
    ** Co receives confirmation from its customer Insitu Inc. of
the termination of third engine development program under its
long-term supply agreement  urn:newsml:reuters.com:*:nASX7YTjSw
    ** Says under the terms of termintaion, co is entitled to a
full reimbursement of all costs incurred on the program to date
    ** Adds the termintaion will not affect its FY revenue
guidance due to reimbursement 
    ** Shares mark their steepest intraday fall since Feb. 1
    ** About 798,342 trade hands, 10.9 imes the 30-day average
of 73,258 shares
    ** As of last close, stock down 28.7% this year

 (Reporting by Himanshi Akhand in Bengaluru)
 ((Himanshi.Akhand@thomsonreuters.com;))