Dialight says first half to be hit by lower sales in signals business
June 11 (Reuters) - Lighting products maker Dialight Plc said first-half profit would be hurt by lower sales in its signals business, which makes traffic, transportation and obstruction signals, sending its shares down as much as 15.5 percent.
While the group is well-positioned following its decision to sell directly to the cellphone tower market rather than through resellers, the timing on the rollout of the new system contracts remains difficult to predict, Dialight said.
"These issues continue to impact the obstruction business and because of this, sales in the signals segment are expected to be down in the first half of 2013," the company said in a statement.
Dialight's obstruction business makes products that are used on communication towers, wind generators and other obstructions to aerial navigation, as well as structures supporting overhead cables above canyons and valleys. Its signals division contributed about 42 percent of revenue in 2012.
However, the company said it expected some recovery in the obstruction business and that its results would be weighted towards the second half.
Dialight shares were down 14 percent at 1152 pence at 0736 GMT on Tuesday, making them the biggest percentage losers on the London Stock Exchange. (Reporting by Brenton Cordeiro in Bangalore; Editing by Supriya Kurane)
- Confusion as search for Malaysian jet spreads across SE Asia |
- Malaysia military source says missing jet veered to west |
- Toddler found with heroin at New Jersey daycare center
- Special Report: How China's official bank card is used to smuggle money |
- UPDATE 1-Missing Malaysian plane last seen at Strait of Malacca-source