Augean’s half-year trading update has highlighted a challenging contract issue, which is reducing group profitability and weighing on the company’s outlook. The problem, in the recently acquired Colt business, has resulted in a cut to our PBT forecasts for FY17 and FY18 of 10% and 13% respectively. Furthermore, we reduce our fair value per share to 67p from 80p. Management is taking decisive steps to offset the problem by instigating a £2m cost reduction programme. Despite o
27 Jul 2017
Trading statement lowers guidance
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Trading statement lowers guidance
- Published:
27 Jul 2017 -
Author:
Jamie Aitkenhead -
Pages:
5
Augean’s half-year trading update has highlighted a challenging contract issue, which is reducing group profitability and weighing on the company’s outlook. The problem, in the recently acquired Colt business, has resulted in a cut to our PBT forecasts for FY17 and FY18 of 10% and 13% respectively. Furthermore, we reduce our fair value per share to 67p from 80p. Management is taking decisive steps to offset the problem by instigating a £2m cost reduction programme. Despite o