Brett Simpson has jumped ship to fellow British manufacturing company Fenner, causing shares to sink 20%.
Companies: Low & Bonar
Low & Bonar's (LON: LWB) share price has taken a blow this morning as the Group announced Brett Simpson has stood down as Chief Executive after three years at the helm. He is set to joint fellow British manufacturing group Fenner (LON: FENR), whose share price also took a 5% hit with the news.
Non-executive director Trudy Schoolenberg has been appointed Interim Chief Executive.
Today's bad news continues the stock's downward trend in the back half of 2017, caused by a number of factors including an increase in raw materials costs due to this year's hurricanes in the US.
Low & Bonar supply building materials for a number of applications, and are supplying roofing materials for the construction of 2018 World Cup venue Volgograd Arena. England will play Tunisia at the yet-to-be-finished stadium on June 18.
As a further blow today, Management flagged lower PBT for the full-year due to "a weaker than expected final quarter in the Coated Technical Textile business."
Shares in LWB were down 20% to 54p at the time of writing, continuing its slump from 88p in August.
Revenue growth for the Group has averaged <1% over the past five years, whilst Net Profits have fluctuated between £1m and £21m over the same period. Its operating margin has averaged 6% over the past five years while the Group remains cash positive with funds of £27m.
