S&P 500 falls on pressure from retail stocks, weak jobless claims
Investing.com -- Speedy Hire, a U.K. based tools and equipment hire services company, has announced that it expects its full-year profitability to be lower than previously forecasted due to a challenging macroeconomic environment.
Shares sank as much as 30% in early London trade.
Despite having achieved notable on-year growth in the quarter that ended on Dec. 31, the company has noticed a slowdown in positive momentum. As it heads into the final quarter of its fiscal year ending in March, Speedy Hire has been negatively affected by the economic downturn.
The company has observed a slower recovery in activity across its customer base at the beginning of the New Year. Speedy Hire has also noted that delays in the U.K. CP7 railway-infrastructure project will affect its business in the final quarter. Despite the delay, the company still sees the project as a significant opportunity.
In addition, the company’s anticipated revenue growth in its trade and retail division is taking longer than expected. This division has not been able to meet its projected growth within the expected timeframe, contributing to the overall lower profitability forecast.
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