Harland & Wolff suspends share trading after delay in audited financial statements

A statement on the Belfast-based company’s website said: “At the request of the Company, trading in the securities identified below on AIM has been temporarily suspended from 7:30am on 1 July 2024 pending the publication of the Company’s audited financial statements.”

The Alternative Investment Market (AIM)-listed company said it was in “ongoing discussions” with its auditors about the method of recognizing revenue in some of its contracts, which is why it has postponed the publication of its 2023 annual report to July 8.

The suspension is expected to be lifted when the report is finally published.

However, the company has released unaudited financial results for 2023 showing revenue tripling from £27.8 million to £86.9 million. Operating loss was also reduced from £58.5 million to £24.7 million.

A spokesman said: “In accordance with AIM rules, the group’s shares have been temporarily suspended pending the publication of our audited financial statements, which are expected to occur next week, with the slight delay necessary to ensure the correct recognition of revenue relating to a multi-year contract.”

“As our unaudited results for 2023 show, the Group continues to grow thanks to key contract wins and we remain on track to achieve our forecast revenue of £200 million in FY 2024.

“We have several new contracts in advanced stages of negotiation that can be concluded in the coming weeks.

“We remain in active discussions with the Ministry of Economy and Trade and other counterparties with the aim of successfully concluding a refinancing facility in the coming weeks.”

Earlier this month, workers at the Belfast company voted to take industrial action, with the GMB union saying members voted by a 98% majority after the company failed to put forward a pay offer for 2024/25.

In recent months, the union had said internal disagreements within the government had left workers fearful after reports emerged that the shipyard could close – despite winning a £1.6 billion Royal Navy contract.

In May, it was reported that Chancellor of the Exchequer Jeremy Hunt was likely to block a £200 million taxpayer-funded aid package designed to keep the shipyard afloat and enable the contract to go ahead.

This led to fears that the 162-year-old company could collapse without the package – but Harland & Wolff dismissed these fears.