Geoscience group Getech (LON:GTC) shares fell almost 14% on Tuesday as it warned the financial performance in the current financial year would be substantially below market expectations.
The contractor to the natural resource exploration industries, for oil and gas as well as mining companies, blamed the ongoing uncertainty over the oil price and the consequent spending cut-backs in the sector.
It told investors that following deep cuts in staffing and capital budgets the oil industry’s capability to undertake exploration has been severely curtailed.
Financial results for the year to July 31, released today, actually appear to have stood up well against the challenging market.
Revenue for the twelve months was £8.6mln, up 32% from £6.6mln, and the company made a profit of around £2mln.
The company ended the period with £4.7mln of cash, and it proposed a 1.74p per share dividend which means the full year pay-out amounted to 2.2p per share.
Getech shares were down 6p, 13.79%, trading at 37.5p each.