TT electronics, the sensor and electronic component technology company, slumped 20% after reporting a decline in operating profits for the nine months to 30 September 2008 compared to the same period in 2007, and warning that it expected to report results ‘materially’ below market expectations for the full year.
Demand for the Group’s electronic components were particularily soft from the automotive sector, and the Company said it expected this to continue in the fourth quarter.
“The decline was caused by sharply reduced demand following announcements by the automotive industry of lower production, closure of facilities,” the company stated.
Margins within the Company have also come under pressure from the combination of sluggish sales and higher cost increases from electricity and raw materials.
Elsewhere in the Group, trading held up better, with industrial, power and manufacturing businesses trading inline with expectations.
Net debt at the end of the third quarter was £99.1 million.