Associated British Engineering losses rise

Associated British Engineering posts a pre-tax loss of £543,000 for the six-month period to 30 September.

This represents an increased loss of £65,000 on the similar financial period last year and is due to a reduction in profit before interest and tax at British Polar Engines Limited.

The turnover for its main operating subsidiary, BPE, decreased to £522,000 (30 September 2015: £640,000) resulting in a loss before interest and tax of £505,000 (30 September 2015: Loss £459,000).

The principal reason for this further decrease is that a number of the group's customers, especially in the oil sector, have cut spending.

Expected business with some of the group's overseas customers has been delayed due to local regional issues and the introduction of new sales lines has taken time to make a contribution.

The company says: "The subsidiary has taken the time to repair and maintain plant that would otherwise have been outsourced.

"The group has reviewed the overall position and remains confident that it can recover future sales and expects to see an improvement over the next six months."

At 2:42pm: (LON:ASBE) Associated British Engineering PLC share price was 0p at 60p