Double glazing shares given the cold shoulder
Snow-related delays and weak demand sent shares in double-glazing group Safestyle plummeting by more than 14pc.
It expects earnings to be ‘below its already reduced expectations’ as it excused a sub-par performance.
Safestyle sells windows and doors but said business had struggled amid higher inflation and squeezes on spending.
It said recent trading was further hit by the extreme weather which disrupted some installations, and it had to spend more on advertising and marketing amid increased competition.
In a final blow, the company said its margins had taken a hit as a higher proportion of customers opted to pay on finance, rather than in cash.
Issuing its fourth profit warning of the year, it said it now expects sales in the three months to november 30 to fall 0.3pc by value and 6.8pc by volume, compared to 2016. Profits are expected to come in at £15m, below the £16.3m analysts had predicted.
It also warned that it expects market conditions next year to continue to be very challenging.
Safestyle has seen more than £100m knocked off its value this year after its earlier warnings.
Yesterday’s impromptu update sent shares spiralling 14.3pc, or 27.25p, to 164p.
But despite the crash, Idox was aIM’s biggest loser, plunging 30.7pc, or 17.25p to 38.88p after it issued a profit warning of its own.
the computer software provider said its earnings for the year will be lower than previously indicated after an accounting complication meant it could not recognise a small number of its sales in its full-year results.
It said that, taking these items out, earnings for the year are likely to come in at £20m, below £21.5m the previous year.
Just last month it said earnings would come in at about £23m.
Idox said the results have been further complicated by the sudden absence of its chief executive andrew riley, due to illness and former chief executive richard Kellett-Clarke has agreed to fill in in the meantime.
It now expects to announce its results for the year to the end of october in February.
the FTSE 100 finished down by 0.05pc, or 3.9 points, to 7496.51 while the FTSE 250 also suffered a hit, falling by 0.06pc, or 11.62 points, to 20061.4.
Bucking the downward trend was Zotefoams, which soared 14.1pc, or 56.75p, to 458p, after announcing a tie-up with nike.
the firm will work exclusively with nike to develop trainers with its performance-enhancing foam materials. Games Workshop gave investors an early Christmas present by announcing it would be paying shareholders a dividend of 30p per share.
the fantasies miniature maker, which pays its dividends as and when it decides to, has enjoyed a stellar year. Shares finished up 4.5pc, or 99p, to 2322p.
Private equity firm 3i was lifted higher after announcing that it had agreed to sell its stake in Finnish power company elenia oy to allianz Capital Partners, Macquarie and the State Pension Fund of Finland.
It said the sale is expected to generate an estimated £725m, almost double its previous valuation of £498m in September. the news sent shares up 1.3pc, or 11.5p, to 887p.
online supermarket Ocado dipped 2.7pc, or 9.3p, to 341.6p ahead of its trading statement today. the firm is due to update shareholders on its results, and investors will be looking for signs the retailer is confident it can secure more overseas deals.