By Iain Gilbert
Date: Friday 25 Oct 2019
LONDON (ShareCast) - (Sharecast News) - Essential components and solutions provider Essentra saw like-for-like revenues drop during the third quarter as a result of some short-term Brexit concerns and a tougher macroeconomic environment.
Essentra said on Friday that LFL revenues fell 2.9% in the three months ended 30 September, while underlying revenue fell 0.6%. Total components revenue was up marginally on the prior year and the firm's packaging division recorded "mid-single-digit revenue growth", in line with expectations.
The FTSE 250 group said short-term factors had weighed on growth in its filters division but that it expects its performance in the segment, which secured a six-year outsourcing opportunity with a multinational customer, to improve in the fourth quarter.
Chief executive Paul Forman said: "We remain focused on delivering the strategies for each of the three divisions, whilst proactively taking cost action to offset the impact of a softer macroeconomic environment.
"Accordingly, our expectation for FY 2019 remains unchanged."
As of 0900 BST, Essentra shares had slipped 1.20% to 417.94p.
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