Lasering in on profits target

Shares in photonics technology group Gooch & Housego dipped yesterday despite affirming it was on track to meet full-year financial expectations.

The company, the parent of Glenrothes-based optical components manufacturer Spanoptic, said trading in the six months to March 31 had been in line with revised expectations set out at the time of its AGM in February.

It said it now expected a greater profits weighting to the second half.

The company’s industrial laser division has seen a pick up in recent weeks while its fibre components business has seen strong demand.

Chief executive Mark Webster said: “We remain committed to our strategy of diversification and moving up the value chain, whilst continuing to invest in our continuous improvement programme, which will underpin future performance.’’

Shares closed down 7.00 at 868.00. Sluggish growth from Britain’s powerhouse services sector has pointed to a slowdown in the UK economy.

The Markit/CIPS services index showed a reading of 53.7 last month, improving on February’s near three-year low of 52.7.

However, the pace of growth was dragged down by concerns over the gloomy outlook for the global economy and fears that Britain could vote to leave the EU.

It said the performance, coupled with flagging growth in construction and manufacturing, suggested gross domestic product had slowed in the first quarter of 2016 to 0.4%, down from 0.6% in the fourth quarter of last year.