(MENAFN- ProactiveInvestors - UK) Shares in industrial repair products supplier Brammer PLC (LON:BRAM) slumped as sales in May came in much lower than expected.
Sales dipped 3% year-on-year, with sales in the UK, down 6%, particularly weak.
''As such, we now anticipate group adjusted profit before tax in the first half to be below expectations at approximately 5mln,'' Brammer said.
It added that this reduced level of profitability will also result in the company being close to its net debt/ underlying profits bank covenant at the period end.
The firm which supplies everything from oil and greases through to gearboxes says it is taking measures to improve profitability and its balance sheet.
A stock reduction programme is expected to deliver a 30mln reduction by the end of September.
In light of the poor performance, Brammer said it is reviewing its trading outlook for the year and is deciding whether or not would be appropriate to declare an interim dividend.
Shares were down 80p, or 56%, to 62.85p.
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