Sector movers: Oil services stocks hammered by Petrofac profit warning

9th May 2014 15:30

Oil equipment and services stocks were hit on Friday by a profit warning from sector heavyweight Petrofac, which said that its bottom line in 2014 is likely to weaken due to lower-than-expected earnings from its Integrated Energy Services (IES) division.The company is guiding to a net profit for the full year in the region of $580-600m, down from $650m in 2013. This compares with previous guidance in February when it had said it expected to deliver "flat to modest growth" in 2014.IES has suffered from delays to the Greater Stella Area project, lower-than-expected production on Ticleni, the dilution of its equity interest in Seven Energy and no significant contribution from new awards, Petrofac said.The shares were down 15.4% at 1,175p in afternoon trade, falling to levels not seen since early February.Others in the sector was dragged lower following the statement, including Wood Group, Greka Drilling, Hunting, Lamprell and Kentz.Top performing sectors so far todayFood & Drug Retailers 3,846.17 +0.60%General Industrials 4,275.19 +0.57%General Retailers 2,909.47 +0.55%Beverages 14,031.28 +0.50%Media 6,077.04 +0.47%Bottom performing sectors so far todayOil Equipment, Services & Distribution 23,609.75 -5.48%Electricity 9,617.49 -1.85%Industrial Metals & Mining 1,242.28 -1.25%Life Insurance 7,186.53 -1.05%Pharmaceuticals & Biotechnology 13,030.04 -0.96%BC