The mint stock (LON:CGS) fell on Friday as the group turned into a temporary loss.
In the group’s six-month report, metal manufacturers reported losses prior to tax of £0.63 million, compared to their previous year’s profit of £7.34 million.
In a statement, the company said the demand was “a major impact” amid the pandemic.
Production fell by about 80% as the commercial vehicle sector, which accounts for 70% of group revenue, closes production facilities.
In the six months ended September 30th, sales rose 43% to £410 million.
While uncertainty continues, the current intense track schedule suggests that trading is back to pre-pandemic levels.
“The group has successfully acquired many new projects with European truck customers, which will begin production in 2021/22 and 2022/23. In addition to the replacement work, these projects also include additional platform volumes and more value-added product solutions,” the group said in a statement.
“The group maintains a strong balance sheet at a cash level of £35.2 million. An increase of £1.8 million over the period after the dividend payment of £5.0 million.”
Despite the confusion, the group is said to pay dividends. A provisional dividend of 3.57p per share has been declared and will be paid to shareholders on January 7th, 2021.
Foundry stocks (LON: CGS) currently trades -2.66% at 324,14 (0857GMT). Since the beginning of the year, the group’s stocks have fallen from a high of 443,76.
