|
Vesuvius PLC on Thursday said it expects ‘challenging’ conditions seen in the first half to persist throughout 2025, as the pricing environment postpones progress. The London-based molten metal flow engineering and technology company noted ‘continuing weakness’ in its end markets, predicting half-year trading profit of £77 million, down from £97.2 million the year prior. Vesuvius said this was consistent with expectations, and reflected progress in its cost cutting plans, with recurring cash cost savings now aimed higher than the original £45 million target set for 2028. However, the firm noted that market challenges were likely to continue through the second half, rather than easing, as previously suggested. As a result, Vesuvius expects the ‘difficult’ pricing environment to continue, specifically in Europe and China, where the company is struggling to recover from inflated labour costs. ‘We however anticipate progressively improving our pricing performance over the second half of the year to partially recover those costs, albeit with a delayed effect,’ Vesuvius added. ‘As a result, we now expect our performance in the second half of the year to be similar to the first half with further progress postponed until 2026.’ Vesuvius shares were 3.6% lower at 373.80 pence on Thursday afternoon in London. Copyright 2025 Alliance News Ltd. All Rights Reserved.
|
