IMI shares drop amid cyber incident

Published 06/02/2025, 09:36
© Reuters.

Investing.com -- Shares of IMI (LON:IMI) fell by 2.34% on Thursday as the company grapples with a cyber security incident.

The engineering company has disclosed that it is currently managing a cyber security incident, with limited information available on the scale or impact of the breach.

This event follows similar cyber incidents at other companies, raising concerns about potential financial repercussions.

IMI has not yet provided extensive details about the incident, but it has acknowledged unauthorized access to its systems.

The company is working with external experts to investigate and contain the breach. In the absence of more information, the market’s response appears to be cautious, reflecting the uncertainty surrounding the situation.

The recent cyber incidents in the industry have had varying effects on companies’ earnings before interest, taxes, and amortization (EBITA).

While Smiths reported a negligible impact, other companies like Vesuvius (LON:VSVS) and Weir experienced more significant effects, with Morgan suffering the most severe consequences, with a 15% impact on EBITA, and 25% when including exceptional costs.

Analysts are currently looking to the tone of IMI’s initial release and conversations with the company to gauge the potential financial impact. "While some potential exceptional charges could possibly occur, we see the chance of revenue deferrals as lower given the start of the FY25 year (no impact on FY24)," RBC analysts said.

Cybersecurity has become a critical issue for corporations worldwide, with breaches potentially leading to significant financial losses and reputational damage.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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