Cape falls after profit warning

City A.M. Reporter
SHARES in industrials services provider Cape plunged yesterday after the company said it was unlikely to meet its previous expectations for the full year – its second profit warning in as many months – citing a decline in performance at its onshore business unit in Australia.

The FTSE-250 company’s shares plunged 35.5 per cent to 187.05p, their lowest level in over three years.

Cape, which named Joe Oatley chief executive in May following a warning that profit would be hit as a result of losses on a key project in Algeria, said it had begun a review of the region’s business structure and an initial overhead cost cut plan had been implemented.