The resource services sector continues to tumble. Today it is the return of profit warnings for Shaft Sinkers (SHFT) as the underground tunnelling expert slumps 16.7% to 13.75p following news of project delays, unexpected costs and operational underperformance. We expressed our concerns about the stock three months ago in this feature on mining service companies.
Goldplat (GDP:AIM), which recovers gold from waste mining material, retreats 12% to 5.95p after a severe profit warning that see house broker SP Angel slash its profit forecasts by 87% for the year. There's a suggestion that its forecasts were too high, given that Goldplat last November flagged a difficult few months ahead and that fellow house broker VSA Capital had already withdrawn its estimates pending a change in management and clarity on the business plan. Goldplat's update today blames contract problems and the falling gold price.
Oil services minnow Getech (GTC:AIM) crashes 29% to 74.5p on a profit warning, ending a bull run in the shares and a reversal of last year's good news which saw profit forecasts upgraded on several occasions. Getech blames its clients' irregular buying habits. We flagged the risks surrounding the oil services sector two months ago in this sector report.
Given the volatility in the oil services sector, it looks a brave decision for Gulf Marine Services to join the stockmarket. It has announced plans to float on London's main market. It made $69.4 million net profit after tax in 2013. Former London Metals Exchange chief executive officer Simon Heale is chairman of Gulf which operates support vessels.
A typically robust trading update from energy and telecoms supplier Telecom Plus (TEP) shows 14% more customers and 20% increase in services provided year-on-year. The shares respond with a near 4% rise to £18.82. A long-run favourite of Shares, we last explained what's behind the astonishing rise of Telecom Plus in November and revisit the story today.
Insurance claims software supplier Innovation (TIG) invests £50 million on a pair of acquisitions, one that takes it deeper into water damaged buildings claims. But the shares remain largely flat at 33.5p despite robust first quarter trading, with no details so far announced of the accompanying £65 million share placing used to fund the acquisitions.
Self-stage group Lok’nStore (LOK:AIM) rises 3.8% to 205p as trading in the first half of its financial year is in line with expectations with revenues in the core business improving almost 8% year-on-year.
Shipping centre operator Hammerson (HMSO) improves 1.3% to 550.7p on an 8% dividend rise in 2013 to 10.8p a share. It collected 9.3% more rent last year, which led to a 10.5% hike in its net asset value to 573p.
Over-the-top TV services supply microcap PeerTV (PTV:AIM) jumps 20% to 1.65p after unveiling an agreement with a major, albeit unnamed, broadcaster. This will see PeerTV supply 10,000 of its in-house developed Android-based set-top boxes for delivery through 2014.