Senior aerospace revenue to be hit by 737 MAX grounding
Engineering group Senior, which supplies parts for Boeing's grounded 737 MAX, said full year aerospace revenue would be lower as production of the troubled aircraft remained halted.
The company on Friday said it expected aerospace revenue in 2020 to be around 20% below 2019 levels, before returning to growth in 2021.
“The impact of the anticipated sales reduction will only be partially mitigated by savings from our ongoing restructuring programme and as a consequence, our aerospace margins in 2020 will be lower than that achieved in 2019,” the company said.
However, Senior said group revenue was expected to be in line with expectations and adjusted earnings per share to be ahead of forecast due to one-off benefits from lower costs.
"The group continues to generate healthy cash flows and the overall financial position remains strong," the company said in a statement.