- Undersea cable protection system supplier Tekmar Group swung to a first-half losses after it won less large contracts.

Pre-tax losses for the six months through September amounted to £2.5m, compared to a marginal profit on-year.

Revenue fell 38% to £7.1m.

'Contracting activity has increased during the period and the group has a record order book of £12.9m,' chairman Alastair MacDonald said.

'There has, however, been a delay in the award of higher margin TekLink offshore wind contracts, on which we have preferred bidder status.'

'Our customers have changed lead times from order placement to delivery by up to six months, deferring the signing of contracts by a similar period.'

'We have also experienced increased volume in smaller, lower margin, contracts in the first half.'

MacDonald said Tekmar was expected to generate record revenues for the full year, ahead of current market expectations.

'However, due to the change in margin relating to product mix, the board now expects profit for the 2019 financial year to be closer to that achieved in the 2018 financial year,' he added.

'It is important to note that this impact on financial year 2019 profit is purely a timing issue, which will be partially mitigated by profits generated by newly acquired Subsea Innovation.'

'Given product margins have been maintained, our strong pipeline and market visibility, the board is confident that the group will return to forecast margin and profitability in the 2020 financial year and looks to the future with confidence.'

At 9:21am: [LON:TGP] Tekmar Group Plc Ord 1p share price was -30p at 97.5p

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