Morgan Crucible ready to take further actions if market deteriorates

In an annual meeting trading update, the group’s chairman Tim Stevenson (pictured) said Morgan Crucible worldwide had already cut 1,000 people from its workforce – some 10% of the total – since last summer, adding “we stand ready to take further mitigating actions as required”. Revenues for the first quarter were £255 million compared to £178 million in the equivalent period last year with strong first year performance from NP Aerospace and the businesses the group acquired from Carpenter. Excluding the impact of acquisitions, favourable currency exchange rates drove first quarter revenues up by around 11% year-on-year. However, a continuing downward trend in end-market demand meant that, on a constant currency basis, organic revenues were down 9% compared to the first quarter of 2008. Stevenson said a £30 million Ministry of Defence tactical support vehicle contract won by NP Aerospace was of particular note. The refinancing of Morgan Crucible's banking facilities, due to mature in March next year, had progressed well and agreement on a new facility was now in its final stages.