Lower orders hit Matrix

Matrix Composites & Engineering has recorded higher production output but a decline in its current order book to $US65 million.

The Henderson-based subsea buoyancy system manufacturer achieved above nameplate capacity in the fourth quarter of the 2013-14 financial year by adding an extra work shift, but was hit by fewer customer orders.

“Matrix has experienced a decline in the current order book to $US65 million as a result of slower than anticipated order conversions,” its quarterly report said.

The company anticipates it will continue to operate at three shifts for the foreseeable future, noting it continues to be a preferred supplier to shipyards and drilling contractors, which has resulted in strong quotation activity.

Its fourth quarter output was 17 per cent higher than third quarter results and 40 per cent above what it achieved in the same period of the previous financial year.

Matrix secured $US30 million in new orders in the fourth quarter of 2013-14 financial year and its pending orders currently stand at $US185 million.

In the 2012-13 financial year Matrix recorded $145.5 million in revenue and lost $2.9 million after tax.

Matrix shares were down 2.89 per cent at 3.28pm today to stand at $1.175.