No insulation for this: Sig shares have plummeted after it warned on profits and its chief executive quit

 
Emma Haslett
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Construction Downturn Leads UK Into Double Dip Recession
The building materials supplier said it is facing a slowing of activity (Source: Getty)

Shares in building materials company Sig plunged more than 20 per cent this morning, after it issued a profit warning and its chief executive suddenly stepped down.

In a trading update this morning, the company said it expected pre-tax profit to fall between £75m and £80m in the full year - down from £87.4m it made last year.

It added that like-for-like sales between July and October were down 0.8 per cent, while in the year to October sales were flat.

Shares in the FTSE 250-listed roofing and insulation supplier were 21.8 per cent lower in early trading, at 90.7p

11 November 2016 @ 8:45amSig (SHI)

In a separate statement, the board announced chief executive Stuart Mitchell was resigning with immediate effect - non-exec director Mel Ewell will act as interim chief exec.

"Following a slowing of activity around the time of the EU referendum, trading conditions in the UK have continued to soften and competition in the market has intensified," it said.

"In particular the group has been impacted by delays to some projects in the commercial sector and subdued demand for technical insulation in the petrochemical and manufacturing sectors."

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