StockMarketWire.com - Engineering company Weir booked a 41% drop in first-half profit after its energy division was hurt by a pandemic-related slump in oil prices.

Pre-tax profit for the six months through June dropped to £63m, down from £106m on-year, as revenue slumped 18% to £1.10bn.

Weir did not pay an interim dividend.

Weir said pain at its oil and gas division, where revenue sank 48%, was partially offset by a more resilient performance at its mining uni, where revenue fell 4% and margins were steady.

'Our performance in these unprecedented times has reaffirmed the fundamental strength of Weir,' chief executive Jon Stanton said.

'Our core mining technology businesses showed their inherent resilience and the critical role they play in keeping essential activities running.'

'As we look ahead, while the business is performing well, it is too early to provide guidance on the full year given ongoing uncertainty due to Covid-19.'

'More broadly, the long-term outlook for mining remains positive, supported by demographic trends, carbon transition, the long-term decline in ore grades and the need to reduce waste and water and energy consumption.'

'Weir is ideally placed to help make our mining customers' operations smarter, more efficient and sustainable and we look forward to unlocking more of these opportunities in the future.'






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