Stadium quieted by profits warning
Electronics group, Stadium issued a profits warning today ahead of its annual general meeting (AGM).
Electronics group, Stadium issued a profits warning today ahead of its annual general meeting (AGM).
The company said weak demand for its electronics manufacturing business would continue throughout the year.
It added a number of "legacy contracts with poor margins are being phased out, or renegotiated to secure better margins".
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
The basic message was made crystal clear by the statement "first half trading will be lower than the equivalent period last year".
Taking the "glass half full" approach, house broker N+1 Brewin said the update "confirms that the current year will be strongly second half weighted (we now estimate in the region of 25:75) as recent operational initiatives and new business wins begin to contribute."
The broker has reduced its sales forecasts for fiscal 2012 and 2013 by around £2m in both cases to reflect the phasing out of lower margin legacy contracts.
N+1 Brewin expects the impact on profitability to be offset by the cost saving measures outlined by management, so its headline earnings forecasts for this year and next remain unchanged.
"Notwithstanding current, soft market conditions, we continue to see significant medium term growth potential in the group, both organic and acquisitive, as management begins to deliver on the new strategy. We retain our 96p price target and Buy recommendation," the broker said.
Daniel Stewart is also standing pat with its 2012 forecast of profit before tax of £3.2m and its "buy" recommendation. On the target price, it is even more upbeat than the house broker, with a 12-month projection of 125p.
The shares fell 6p to 79.5p in the morning trading session on the day of the company AGM.
BS
Get the latest financial news, insights and expert analysis from our award-winning MoneyWeek team, to help you understand what really matters when it comes to your finances.
MoneyWeek is written by a team of experienced and award-winning journalists, plus expert columnists. As well as daily digital news and features, MoneyWeek also publishes a weekly magazine, covering investing and personal finance. From share tips, pensions, gold to practical investment tips - we provide a round-up to help you make money and keep it.
-
RICS: homebuyers are returning after stamp duty shock
The housing market has been subdued since stamp duty thresholds dropped in April, but there are signs of a recovery
-
Reducing cash ISA limit will make lending difficult and expensive, warn providers
An open letter from the Building Societies Association has urged the chancellor to keep the cash ISA limit at £20,000. We look at whether a smaller cash ISA allowance will make it harder to get a mortgage or loan