Coats shares fall as revenue declines 7%
Shares in Coats fell on Wednesday as the industrial thread and global footwear component maker held annual guidance, with results expected to be weighted to the second half.
Coats Group
93.60p
16:35 20/12/24
Financial Services
17,575.58
17:14 20/12/24
FTSE 250
20,450.69
17:14 20/12/24
FTSE 350
4,463.29
17:14 20/12/24
FTSE All-Share
4,421.11
17:04 20/12/24
In a trading update for the first four months of the year, Coats said revenues fell 7%, and 20% on an organic basis, against a “very strong” prior year comparator, adding that operating profit margins were “resilient”, supported by strategic projects and tight cost control.
The revenue decline “reflects the continuation of the widespread industry destocking in apparel and footwear, together with previously disclosed customer contract in-sourcing in performance materials. This was partly offset by the annualised contribution from the prior year acquisitions in footwear.
Reporting by Frank Prenesti for Sharecast.com