Ashtead Technology Plunges 15% After Cutting Revenue and Profit Forecasts for 2026
Financial Forecast Revision and Market Impact
Share Price Reaction
Aug 20 (Reuters) - Shares of Ashtead Technology fell nearly 15% on Thursday after the British subsea equipment rental and solutions firm forecast annual revenue and profit below market expectations due to project postponements in the Middle East, Europe, and the Americas.
Project Delays and Regional Impact
Middle East Project Postponements
A number of projects in the Middle East that had been scheduled for the second half of 2026 have now been pushed to 2027, hurt by disruptions caused by the Iran war, the firm said.
Financial Guidance Update
Ashtead Technology now expects full-year revenue to be about 5% below market expectations and adjusted earnings before interest, taxes, and amortization (EBITA) to be around 15% below consensus.
Analyst Expectations
Analysts had forecast fiscal 2026 revenue of £214.2 million ($291.53 million) and EBITA of £59.2 million, per a company-compiled consensus.
Stock Price and Currency Note
Shares were down 15% at 364.5 pence as of 0712 GMT.
($1 = 0.7348 pounds)
Reporting Credits
(Reporting by Neeshita Beura in Bengaluru; Editing by Sonia Cheema)