By Michael Susin
Harland & Wolff Group Holdings shares fell after the company reported a widened pretax loss for the first half due to increased costs despite a revenue jump.
Shares at 0721 GMT were down 1.75 pence, or 11.5%, at 13.5 pence.
The U.K. strategic-infrastructure-projects company on Friday said that pretax loss for the six months was of 31.5 million pounds ($39.3 million) compared with a loss of GBP17.6 million in the same period a year ago. The company said that performance was hit by a highly volatile cost environment in which it wasn't able fully to pass on labor- and energy-related cost increases to all clients.
Revenue, however, rose 65% to GBP25.53 million.
The company backed its 2023 revenue target of around GBP100 million, a significant increase from GBP28.0 million reported in 2022, reflecting the delivery of programs contracted in the beginning of the year.
For 2024, the group continues to expect revenue of around GBP200 million as the group has contracted revenue of GBP145 million, and it continues to progress a number of identified contract prospects, it added.
"The worst of the inflationary effects would appear now to be behind us, and we look forward to increasing our margins as we build out our rapidly growing order book," it said.
Write to Michael Susin at michael.susin@wsj.com
