Hamworthy reports ‘robust’ order book

In a trading update, Hamworthy, which designs and manufactures marine, onshore and offshore fluid handling systems, said its order book at the end of February stood at £270 million (29 February 2008: £285m). The Group had seen a slow down in the rate of order intake in the second half of the year due to the combined effects of the economic downturn, difficulties in obtaining finance for new ships and high levels of ship ordering in recent years. The slowdown was predominantly in the gas and cruise ship markets, with new ordering of large gas carriers slowing markedly as existing shipyard order books were delivered and this capacity was absorbed into the world's fleet. Tanker and offshore order intake had been more resilient and order intake in the after sales market remained steady. Chief executive Joe Oatley said: "The Group's robust order book coverage, together with a strong balance sheet and good net cash position provides the Board with confidence in the near term. Whilst the market conditions are likely to be challenging for the medium term, the Board expects that our key markets will rebound strongly."