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The Markets
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Builders and building materials

Van Elle tumbles as trading softens

Van Elle Holdings PLC (AIM:VANL) saw its shares tumble 8.7% to 45.67p in early deals on Friday after the ground engineering contractor pointed to a softening in trading and investment delays since the half-year end.

The firm said this reflected macro-economic factors in the housing and infrastructure markets respectively.

Van Elle said revenue was still around 20% ahead of the previous year and despite these challenges it remains on track to deliver profit before tax for the financial year 2023 in line with previously upgraded expectations.

The consensus for pre-tax profit was put at £5.3mln by the company in a range of £5.2mln to £5.4mln.

Van Elle said it was undertaking a range of cost-saving measures to support margins and has made strategic progress on new growth opportunities.

It has launched the Smartdeck foundation system and sees projects starting in 2024 and it expects to participate in the delivery of Smart Motorway retrofit safety works also in the first half of 2024.

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