RWS Holdings PLC (LON:RWS) saw its shares slip slightly today, reflecting some caution over currency headwinds at recent acquisition Moravia although the group said its first quarter performance was in line with expectations.
In a statement delivered at today’s annual general meeting, the language and intellectual property service provider’s chairman Andrew Brode told shareholders that the current financial year had started well, building on the firm’s record performance in 2017.
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Brode added: “Notwithstanding US exchange rate headwinds, the Board is confident of further substantial progress in 2018 as RWS consolidates its global leading positions in its chosen sectors."
Analyst comment
In a note to clients, analysts at Numis Securities said: "The statement notes US exchange rate headwinds, with Moravia bringing greater exposure to the US$. The US$/£ and US$/€ are 3-4% lower than the levels when we put together our forecasts in December, and think this comment is management drawing attention to the issue rather than expressing a material level of concern."
Numis reiterated an ‘add’ rating and 490p price target on RWS shares.
In late morning trading, RWS shares were down 0.2% at 429p.