UPDATE 1-Ricardo 5-month profit ahead; sees progress in FY
* 5-month opg profit slightly ahead
* 5-month order book closed at more than 100 mln pounds
* U.S. automakers, some clients cancel orders (Adds details)
Jan 8 (Reuters) - Engineering and automotive consultancy group Ricardo Plc (RCDO.L) said on Thursday its operating profit for the first five months of the current year was slightly ahead of last year and it would make progress in the full year in the absence of a further slowdown.
The company said its diversification strategy had protected it from the market slump in the automotive sector, but its niche manufacturing activity in Germany, which witnessed significant order cutbacks, would need further restructuring.
Ricardo's order book closed at more than 100 million pounds ($151.9 million) at the end of November. It had a strong financial position and order book, the company said.
In the United States, short-term projects with the "Big 3" automakers, namely General Motors Corp GM.N, Ford Motor Co (F.N) and Chrysler, "virtually dried up", but were compensated by additional business from the commercial diesel and government sectors, the company said in a statement.
Some European and Asian clients cancelled a few orders in December, but the order intake was healthy, the company said, adding it sees further volatility in 2009. ($1=.6585 Pound) (Reporting by Kumar Alagappan in Bangalore; Editing by Tresa Sherin)
