Renold plc Announces Group Revenue Results for the Second Quarter and Six Months Ended September 30, 2017; Provides Earnings Guidance for the Year Ending March 31, 2018
The Chain division delivered strong year on year underlying revenue growth of 8.2% in first quarter of the financial year. However, in second quarter, major machine break-downs at Einbeck, Germany facility reduced availability of key product lines. This resulted in increased shipping and maintenance costs to mitigate the impact on key customers in Europe and the US and led to a second quarter revenue decline of 4.5% and underlying revenue growth of 1.8% for the period.
Consequently, the Board now expects adjusted operating profit for the Group for the year to 31 March 2018 to be slightly below the lower end of the current range of analyst forecasts.