RS Group flags lower annual revenue on Mexico tariff fears
RS Group expects a 0.6% drop in annual revenue as tariff concerns in Mexico impact sales. Strict cost discipline will help profits exceed market estimates.
The industrial and electronic components distributor RS Group plc, based in the United Kingdom, has warned of a decline in its annual like-for-like revenues due to challenging market conditions. The company highlighted significant headwinds in Mexico, where concerns regarding tariffs have begun to impact trading volumes.
For the fiscal year ending March 31, RS Group anticipates a 0.6% drop in like-for-like revenue growth. This follows a revenue of 2.90 billion pounds ($3.88 billion) recorded in the previous year. The revised outlook is slightly lower than the 2.92 billion pounds expected by analysts, according to a company-compiled consensus. The distributor noted that its Americas division is likely to see a revenue decline in the second half of the year as market conditions in the region remain constricted.
