Chamberlin admits 'tough' trading conditions
Walsall castings group Chamberlin has acknowledged trading "remains tough" for the business.
The firm, which has its 128-year-old Chamberlin and Hill foundry site in Chuckery Road and its new machining centre on the Maple Leaf Industrial Estate, has been cutting costs following the sale of its Exidor business.
It recently revealed a £3 million non-cash writedown of its assets and said operating losses were larger than had been forecast.
Chairman Keith Butler-Wheelhouse told its AGM: "Trading conditions remain tough with reduced demand from the European auto industry for Turbocharger components.
"As previously indicated substantial cost savings are being implemented. The savings will be fully effective in the second half, with overheads right-sized for the expected level of business. The first half will bear the costs of overhead reductions.
"Looking at prospects beyond the current year, although there remains uncertainty regarding exchange rates and possible tariffs post-Brexit, the company is making good progress with potential new business discussions.
"We look forward to updating shareholders on further developments in due course."
Meanwhile, it has also announced its non-executive director, Keith Jackson, is stepping down from the board after 14 years.
However, he will continue in his role as trustee chairman of the Chamberlin and Hill Staff Pension and Life Assurance Scheme.
David Flowerday will replace Mr Jackson as chairman of the audit committee. The board has no current plans to appoint another non-executive director.
Mr Butler-Wheelhouse added: "On behalf of the board, I would like to place on record our thanks to Keith for his many years of service to Chamberlin. He has made a significant contribution and we wish him well in the future."