Shares in Coral Products PLC (AIM:CRU) dropped by 18% due to ongoing challenging trading conditions and reduced orders from key customers that will result in it being lossmaking in the current financial year.
In an update on progress, the plastics products company cited a slowdown in UK housebuilding and lower consumer spending as primary reasons for the decline.
Although Coral has secured new contracts following a £3 million investment in machinery, these will deliver lower margins, contributing to an expected 500 basis points shortfall in annual margins.
As a result, Coral now expects to report a loss for the financial year 2025.
The stock dropped 1.45p to 6.80p.