LONDON (Alliance News) - Shares in FTSE 250-listed Clarkson PLC on Monday sank almost a quarter after the shipping services company said it expects both first half and full year earnings to be below expectations amid headwinds in trading in its first quarter.
Clarkson shares were down 24% at 2,352.00 pence, the worst performer in the FTSE 250 on Monday.
The company said challenging conditions in shipping and offshore capital markets have led to transactions being pushed back, resulting in a quiet period in sale and purchase activity across shipping and offshore markets.
In addition, Clarkson said it suffered from lower freight rates within the tanker market and a fall in the value of the dollar - the main trading currency of the group's banking and broking businesses.
"Consequently, whilst it is still too early to determine the exact impact, profits for both the first half and the full year are now anticipated to be materially below those of last year," Clarkson said on Monday.
In March, Clarkson reported a drop in profit in 2017 due to the lack of a one-time gain recorded in the prior year, but revenue showed steady growth, prompting a double-digit dividend hike. However, the group also said at the time that 2018 would be a year of continued growth as early indicators of recovery are showing across core markets.
Clarkson (CKN)