Profit warnings issued by companies in Yorkshire see year-on-year increase

Tim Vance, EY-Parthenon UK&I turnaround and restructuring partner in Yorkshire, said: “The volume of profit warnings issued across the region has remained consistently high over the last year, and Yorkshire once again recorded one of the highest volume of warnings across all UK regions in the third quarter.

“We are seeing pressure in certain areas of construction where housebuilders are seeing fluctuations in demand as high mortgage costs, the cost of living and inflationary pressures are deterring buyers.”

The number of warnings issued over the first three quarters of 2023 in Yorkshire (27) is also almost a third higher than the same period last year, when there were 21 warnings issued between quarter one and quarter three.

The total volume of profit warnings issued across the UK by listed companies during the third quarter (76) was down 12 per cent year-on-year.

Similar to the broader national trend, Yorkshire companies operating in industrial FTSE sectors issued the region’s highest number of profit warnings (three) in the third quarter of 2023.

Prior to the third quarter of 2023, warnings issued by UK-listed companies had risen year-on-year for seven consecutive quarters, the longest run of consecutive quarterly increases since 2008. UK-listed companies issued 86 warnings in the third quarter of 2022 and 51 in the third quarter of 2021.