Van Elle Holdings PLC (AIM:VANL) shares slumped, losing 17% to 32p, after a profit warning citing ongoing market challenges and project delays impacting performance.
The company said it had a strong order book, but trading volumes were subdued in January and February.
Delays in the approval process for the Building Safety Act have significantly affected its Rock & Alluvium division, which is engaged in high-rise residential projects in London and the Southeast.
More than 40 projects are awaiting approval, and most of those are now expected to commence in the 2026 financial year.
The company also noted delays impacting its Canadian business, which is a supplier to the rail infrastructure upgrade project in Toronto. Van Elle added that it is reviewing strategic options for its Canadian business.