MANROY (AIM:MAN) - Shares get shot down
The leading UK machine gun manufacturer (there aren't many left!), and a relative newcomer to AIM, disappointed the market with its recent trading update for the year ending 30 September 2011 – up until now Manroy’s life on AIM had had been free of mishaps, so it’s a big welcome to the real world!
The UK Government’s delay (if in doubt blame the Government!) in the awarding of export licences for certain countries where Manroy had expected to deliver products in the current year means that revenues for the year will be approximately 15% below market forecasts. Delivery on a number of these orders is now expected to be during the 2011/2012 financial year, something that management already communicated at the interim stage. Thankfully increased margins and tight cost control will largely mitigate the drop in turnover, with profit before tax for the full year anticipated to be broadly in line with market expectations,…