Shares in IG Design Group PLC (LSE:IGR) dropped 20% following a profit warning issued ahead of the company’s annual meeting.
The company announced that while it expects adjusted profits for the year to show over 20% growth, this will still fall below market expectations by up to 10%.
Revenue was impacted by ongoing challenges in its DG Americas division, where sales declined by 14% due to cautious customer orders and credit risk concerns.
Despite these setbacks, IG Design remains focused on its turnaround strategy for the division, aiming to simplify operations and improve margins. The group remains on track to return to pre-pandemic margin levels of 4.5% by FY25.
In morning trading the stock was off 34.09p at 136.91p.