News releases



Interim Management Statement and AGM - August 2018

 

Castings plc will be holding its Annual General Meeting this afternoon at The Fairlawns Hotel and Spa and at the meeting the Chairman, Brian Cooke, will make the following statement.

 

Demand from our main customers' remains strong which represents a continuation of the outlook reported in the Chairman's statement in June.

 

The new management team continue to progress the turnaround project at CNC Speedwell. Whilst we still expect the trading results of the machining business to improve during the second half, the level of reorganisation is such that we do not foresee it returning to profitability during this financial year. As part of the reorganisation, we are closing the Fradley site and consolidating the machining business to operate from the newly built facility at Brownhills.

 

Our investment remains focused on production techniques and technologies to improve our productivity and profitability.

 

B.J.Cooke, Chairman

Castings plc, Lichfield Road, Brownhills, West Midlands WS8 6JZ

14th August 2018


Trading Update - 11 January 2018

The performance of the foundry businesses continue to be in line with market expectations supported by steady demand from our commercial vehicle customer base.

Following the change of management and completion of the review of the machining operation, certain projects have been identified that are not considered suitable for the group. The total cost of exiting these projects is £1.3m which comprises write-downs of specific capital and tooling equipment and exiting contract commitments to purchase equipment.

In addition to these project specific items, the continued disruption in supply has resulted in higher than previously anticipated costs, particularly in relation to excessive transport, to ensure customer schedules are met.

The total financial impact in 2017/18 of the reorganisation of the machining business is expected to be a non-recurring cost of £3.4m, including £1.2m of excessive transport costs. After taking into account these costs, the directors expect the group profit for the year to be in the range of £12.5m - £13.5m, with positive cash flows being generated.

The group are pleased to announce that Steve Barwell, following an interim period, has been appointed General Manager and Director of CNC Speedwell Limited. Two further additions to the management team have been recruited and will join by the end of March 2018.

S.J.Mant, Director and Secretary

Castings plc, Lichfield Road, Brownhills, West Midlands WS8 6JZ

11 January 2018