Senior shares rise on ‘limited and manageable’ tariff impact
Senior shares edged up on Thursday as the aerospace manufacturer played down the impact of Donald Trump’s tariffs.
The firm, which makes high-tech components and systems for the aerospace and defence industry, said the direct impact of the levies would be “limited and manageable.”
Shares rose more than three per cent in early deals.
There has been growing concern over the impact of Trump’s tariffs on the aerospace industry, which has typically operated without any trade barriers over the last half century.
Ryanair has warned it may have to delay deliveries from the US planemaking giant Boeing in a dispute over whether manufacturers or their customers should shoulder any additional costs.
In a first quarter trading update, Senior said its outlook for the full-year remained unchanged, with the board anticipating “good growth” in line with expectations.
Group revenue grew three per cent year-on-year on a constant currency basis, while aerospace revenue grew four per cent driven by growth in civils.
“Good growth is anticipated in Aerospace in 2025, driven by increasing aircraft build rates, operational efficiency benefits and improved contract pricing, with H2 performance expected to be higher than H1,” Senior said in a statement to markets.
The company is also in the midst of a plan to sell off its aerostructures business, which is expected to deliver an operating profit in the range of £9m to £11m in 2025.
It said “good progress” had been made over the period and discussions with parties were ongoing. “We remain focused on completing the sale process and maximising value for shareholders and will update the market in due course.”
Senior’s share price has fallen more than 20 per cent this year to date amid wider supply chain issues in the global aerospace industry.