(MENAFN- ProactiveInvestors) Banknote printing specialist () slashed its final dividend and warned it faces another difficult year after disappointing in 2014.
The 202-year-old company saw pre-tax profit fall almost £20mln while revenue dropped more than £40mln in 2014.
A lack of uptake in the ePassport industry increased competition and an absence of new business for its security products were blamed.
As a result the company which is the world's largest commercial banknote printer and the main producer of UK passports slashed its dividend to 25p from 42p.
In September the company warned it would fall short of the previous year’s performance and warned the underlying issues could stretch into this year.
Chief executive Martin Sutherland who was hired to ensure the long term future of the company confirmed this was the case today.
“More recently however the weakness of the euro against sterling has given the eurozone suppliers a commercial advantage putting some further pressure on the group's profitability.”
Analysts at JP Morgan said the “the outlook remains challenging” and lowered its forecast for the next two years.
After completing a strategic review of the company Sutherland believes it should become more profitable in the long run.
Shares in dropped 9% to 503p today on the news.
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