Castings PLC (LSE:CGS), the iron casting and machining group focused on the European heavy truck market, expects its full financial year results to meet market expectations.
The industrial business issued the trading update ahead of its annual general meeting held today at its Lichfield Road site in Brownhills, West Midlands.
Management reported that customer demand and forward delivery schedules are strengthening across its traditional heavy truck client base.
The engineering group is also securing broader commercial momentum from incoming business contracts associated with the wind energy sector.
Operational performance was held back during early summer after an electrical power disruption at the William Lee facility created lasting efficiency challenges.
On-site engineers successfully resolved the electrical power supply fault at the William Lee manufacturing location towards the end of May.
The knock-on impact on operational efficiencies nevertheless continued to weigh on manufacturing performance across June and July.
Management is maintaining a strict focus on plant productivity improvements alongside disciplined internal cost control measures across the business.
The manufacturing group is simultaneously progressing the operational optimisation of its new foundry line to support overall output.
Executive directors anticipate that these ongoing operational initiatives will ensure full financial year performance remains entirely in line with market consensus expectations.
