Safestyle shattered after another profit warning at windows firm

There appeared to be no windows of opportunity at Safestyle UK on Monday, as investors ditched the double-glazing firm following another profit warning and a final dividend being scrapped.

The AIM-listed company revealed revenues and profits in the year to December will be “significantly” below the £142.1 million and £12 million analysts had been expecting.

Safestyle, which sells windows, doors and conservatories, last month said the start of 2018 had been difficult due to weaker consumer confidence and an “aggressive” new entrant.

It today warned competition from the rival, understood to be SafeGlaze, has intensified.

Liberum analyst Charlie Campbell said: “As well as a deterioration in expected revenues, management has also flagged increased costs. We understand that it is having to pay more to retain staff and the sudden appearance of a fourth national replacement window company has driven up the cost of digital lead generation (mainly in the cost of sponsored search).”

The previously announced final dividend of 7.5p per share is cancelled. Non-executive chairman Steve Halbert has resigned.

The shares fell 16p, or 20%, to 64p.