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London - UK-based industrial company Cape’s first-half profit fell nearly 65%, hurt by losses on a key LNG project in Algeria and a sharp fall in margins at its onshore business in Australia.
The company, which provides insulation, painting, coatings, and industrial cleaning services to plant operators in the energy and mining sectors, reported an adjusted pretax profit of £12m for the six months ended June 30, down from £34m last year.
Cape said on Thursday that it would meet its recently reduced expectations for the year.
Early this month, Cape issued its second profit warning this year citing a decline in performance at its onshore unit in Australia due to a lack of major new project work to replace the work it completed on Woodside Petroleum’s Pluto LNG project.
The company already flagged issues it was facing at its Arzew, Algeria LNG project in May.
“Outside the Far East/Pacific Rim Region and the Arzew project in Algeria, the Group’s operations are performing in line with expectations,” said new Chief Executive Joe Oatley, who took the helm at the end of June following another profit warning.
Shares in the company closed at 192.6 pence on the London Stock Exchange on Wednesday. They have lost about 40% of their value since the profit warning in May.
The company, which provides insulation, painting, coatings, and industrial cleaning services to plant operators in the energy and mining sectors, reported an adjusted pretax profit of £12m for the six months ended June 30, down from £34m last year.
Cape said on Thursday that it would meet its recently reduced expectations for the year.
Early this month, Cape issued its second profit warning this year citing a decline in performance at its onshore unit in Australia due to a lack of major new project work to replace the work it completed on Woodside Petroleum’s Pluto LNG project.
The company already flagged issues it was facing at its Arzew, Algeria LNG project in May.
“Outside the Far East/Pacific Rim Region and the Arzew project in Algeria, the Group’s operations are performing in line with expectations,” said new Chief Executive Joe Oatley, who took the helm at the end of June following another profit warning.
Shares in the company closed at 192.6 pence on the London Stock Exchange on Wednesday. They have lost about 40% of their value since the profit warning in May.
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