Share price plummets 44% as architect admits stalled Moscow job will lead to shortfall in revenue
Architect Aukett Fitzroy Robinson has issued a profit warning after admitting a stalled job in Moscow will hit turnover this year.
In a trading update, it said the mixed use scheme on the Moscow river could be suspended for “a lengthy period” due to funding problems, which would cause a “significant shortfall in projected revenue”.
The share price fell 44% to 2.6p at the news.
It follows an announcement that it is pursuing a significant claim for unpaid fees on two related projects in Buckinghamshire and London.
As a result of the economic backdrop, the company said it may cut jobs.
It said: “In addition we have continued to experience some slippage in UK projects and are currently undertaking a consultation process regarding a number of senior practice staff in the UK. Should a decision be made to further reduce the number of senior practice staff, the group would incur additional restructuring charges in the current year.”