McAleese plunges after forecasting loss

Company News

Shares in McAleese Limited (ASX:MCS) plunged more than 30 per cent yesterday after exiting a trading halt and flagging a first half and full year net loss. 
 
The transport and logistics provider expects to book an interim loss of $37.9 million and an annual loss of $22 million. 
 
The estimated annual financial loss compares to a profit of $36.5 million profit the company’s prospectus forecast ahead of its IPO in November 2013. 
 
McAleese has attributed the guidance to ongoing operational issues at its Cootes Transport subsidiary and unseasonal weather events.
   
The company says the recent loss of national Shell and BP contracts have accelerated its decision to restructure the Cootes business. 
 
Shares in McAleese plunged 35.55 per cent to close at $0.72 following yesterday’s announcement.

Audited first-half results are due on February 24, 2014.