Engineering solutions provider Pipehawk issued a trading update this morning relating to its QM Systems subsidiary. Two anticipated material orders that has been expected by the division have failed to materialise, putting the unit into a somewhat strained financial position. Management are now assessing the prospect of appointing administrators to run QM Systems, in a bid to protect creditors and also allow the remainder of the business to continue operating. However the 74% sell off in the share price shortly after the open suggests that such an approach may prove difficult to execute.
Moroccan-focused potash company Emmerson has published its second quarter update. The company remains in a drawn out process of obtaining the necessary environmental licensing permits but notes from management seem encouraging insofar as they believe the case is robust and approvals will be forthcoming. Indeed the overall tone of the update is positive and shares have reacted accordingly, adding around 11% in early trade.
In a deviation from our usual format, it's worth highlighting that shares in house builders have been rallying this morning off the back of the General Election result. Expectations are that Labour will quickly push ahead with rampant building plans to address the housing shortfall and the sector as a whole has had a good start to the day. Persimmon is currently the stand out performer, trading a little more than 3% higher by 9am.
Headlines we expect on Monday
Hunting Trading Statement
This time last year Monthly run rate $76-$80m, EBITDA $48-$50m
Solid State Final Results
This time last year Revenue £126.5m, Adjusted operating margin 9.2%, Dividend 20p
