- Halma plc forecasts an up to 10% decline in adjusted profit in fiscal 2021.
- Chairman Paul Walker of Halma plc will step down next year in July.
- Halma says it’s still struggling to pick up in the Asia Pacific and UK.
Halma plc (LON: HLMA) said on Wednesday that its adjusted profit is likely to see a 5% to 10% annualised decline in fiscal 2021. The company, however, expressed confidence that signs of recovery were evident in its negative revenue trends in recent months. According to Halma, its guidance for annual profit remains unchanged.
Halma plc opened about 1% down on Wednesday but posted a 3% gain in the next hour. Shares of the company are now exchanging hands at £22.62 per share that represents close to 35% recovery in the stock market since March when it printed a year to date low of £16.67 per share due to COVID-19 disruptions. Trading stocks online is easier than you think. Here’s how you can buy shares online in 2020.
Chairman Paul Walker to step down next year
Halma also highlighted on Wednesday that Paul Walker will exit the role as the company’s chairman next year in July. Walker served the company in this capacity for eight years. As per the sources, the British company has already started the process of finding a suitable candidate to replace Walker.
In its earlier report, the manufacturer of medical instruments and lift door sensors had revealed its fiscal first quarter to have seen a 13% decline in sales. But in the second quarter, Halma said on Wednesday, sales recovered slightly.
The global group said it was still struggling to pick up in the Asia Pacific and the United Kingdom. Performance in Continental Europe and the United States, however, had shown resilience amidst the COVID-19 crisis. In separate news from the UK, the cloud communications solution provider, LoopUp Group plc, reported a 247% annualised growth in adjusted EBITDA in H1.
Halma says its Health & Safety segment is still under pressure
In terms of individual business segments, Halma said that performance from Environmental & Analysis was robust in recent months. Demand, it added, was also improving slightly for Medical products used in diagnostics and elective surgeries.
Health & Safety segment, on the other hand, is still under pressure as physical access remains restricted to sites due to the Coronavirus pandemic. Halma reaffirmed its commitment on Wednesday to cost management to maximise cash generation and secure profit.
Halma performed fairly upbeat in the stock market last year with an annual gain of more than 50%. At the time of writing, it is valued at £8.61 billion and has a price to earnings ratio of 46.63.