Revenues in the six months to October 31 are expected to come in at around £38mln, down from £48.5mln a year ago, after the pandemic hit the first quarter, when revenues plummeted 80% at the low point in April.
At period-end, the cash position was £9.8mln, which was impacted by an increase in working capital requirements to meet the increased demand.
The engineer said the rate of recovery in demand has not been uniform across end market segments, with Specialist Piling showing the strongest recovery in the Period, while activity in the Rail division remains subdued.
Housing and General Piling have also recovered steadily, the AIM-listed firm said, although the latter continues to experience some market volatility.
Recovery trends in the infrastructure and housebuilding markets are expected to keep building up, especially since Van Elle and its customers have largely been allowed to continue operating during the current lockdown.
However, increased uncertainty has impacted customer decision making in the commercial and general construction markets in November, so General Piling is forecast to be under pressure during the third quarter to January.
Analysts at house broker Peel Hunt noted that the company “is not yet fully out of the woods” because the third quarter is seasonally quiet, not helped by the challenges in Rail and General Piling.
Shares slipped 9% to 42.1p on Tuesday morning.