(Reuters) - Weir Group Plc (L:WEIR) said it expects its full-year results to be more weighted towards the second half, as a drop in orders at its oil and gas division and weak trading at upstream businesses hurt second-quarter performance.
Weir shares fell as much as 5.7 percent in early morning trading on the London Stock Exchange.
The Scottish company, which makes valves and pumps for the energy and mining industries, has been hit by a slowdown in North American oilfield activity as crude oil prices remain depressed and explorers and producers slash capital spending.
The company said its oil and gas order input was 34 percent lower in the first five months of 2015 than in the prior year period.
Weir, whose North American operations accounted for about a third of its 2014 revenue, said it had temporarily suspended operations for a week at its Fort Worth, Texas facility to cut costs.
"The overall tone of the update suggests a possibly tougher Q2 than management had thought... Some improvement is expected in H2, but the statement will likely create some small downside risk to consensus EPS," UBS analysts wrote in a note.
Weir Group told Reuters in April that it planned to cut another 125 jobs, mostly in its North American oil and gas business. The company first began taking cost-saving measures in November.
Shares in the company were down 3.07 percent at 1862 pence at 0807 GMT.