Shares in Clarkson PLC (LON:CKN) sank after the shipping broker warned on profits amid global economic uncertainty.
The stock dropped 317p, or more than 14%, to 1888p after Clarkson said 2016 annual profits will be “materially lower” than in 2015.
Clarkson said a deterioration in freight rates reflected higher uncertainty and a continuing mismatch between supply and demand.
The recent recovery in the oil price had driven the return of some activity in offshore broking, the group said.
But the offshore industry was still depressed and the revival would need to endure for some time before confidence returned and meaningful volumes began to come through.
Shipbroking deal volumes were still rising but lower freight rates and asset values had hit revenues and reduced new-build activity.
“This, combined with quiet capital markets and weak investor confidence, has reduced activity within the financial division,” the company said in a trading update.
It added: "The Clarksons business does however remain highly robust."