Skip Header
Important information: The value of investments can go down as well as up so you may get back less than you invest. Investors should note that the views expressed may no longer be current and may have already been acted upon. This is a third-party news feed and may not reflect Fidelity’s views.

RS Group Q3 sales fall on weaker-than-expected markets

(Sharecast News) - Industrial parts distributor RS Group reported a 10% fall in third-quarter like-for-like sales on weaker-than-expected markets and slower unwinding of customer surplus inventory particularly in electronics and associated products. The company, formerly known as Electrocomponents, said its Americas' performance reflected higher exposure to automation and control and electronic products and small industrial manufacturers than the rest of the Group.

Like-for-like revenue of its industrial ranges fell 6% and electronics declined 23%.

"Third quarter trading was challenging reflecting the difficult economic backdrop, geopolitical uncertainty, weak industrial and electronic markets and customer surplus inventory in electronics," said chief executive Simon Pryce.

"We are seeing good contributions from our growth accelerators, with digital outperforming the broader business and RS PRO and service solutions both growing. Accelerated integration of our acquisitions is highlighting additional medium-term upside and the potential for significant further operational improvement benefits over time."

Reporting by Frank Prenesti for Sharecast.com

Share this article

Related Sharecast Articles

UPS tops Q1 profit forecasts but misses on revenue
(Sharecast News) - American transport and logistics giant United Parcel Service saw shares rise on Tuesday after quarterly profits beat analysts' forecasts, even though revenues fell more than expected.
Getir investors said to fund European exit with new cash injection
(Sharecast News) - Investors in grocery delivery app Getir, which at one point attained a valuation of almost £10bn, are reportedly set to inject yet more money into the company to fund its exit from the UK and Europe.
Bushveld updates Vametco mineral resources
(Sharecast News) - Bushveld Minerals updated the market on mineral resources and reserves for the Vametco vanadium mine near Brits on the Western Limb of the Bushveld Complex on Tuesday.
Power Metal Resources completes Molopo drillhole
(Sharecast News) - Power Metal Resources announced the completion of drillhole DDH1-14C at its Molopo Farms Complex project in southwestern Botswana on Tuesday.

Important information: This information is not a personal recommendation for any particular investment. If you are unsure about the suitability of an investment you should speak to one of Fidelity’s advisers or an authorised financial adviser of your choice. When you are thinking about investing in shares, it’s generally a good idea to consider holding them alongside other investments in a diversified portfolio of assets. Past performance is not a reliable indicator of future returns.

Award-winning online share dealing

Search, compare and select from thousands of shares.

Expert insights into investing your money

Our team of experts explore the world of share dealing.