Wednesday, 21 February 2018

AA share price plunges by over a fifth after profit warning

AA shares have fallen by over a fifth after the firm warned that its full-year profit will fall short of analysts' expectations.

The roadside recovery and insurance group expects underlying income to reach between £335m and £345m for 2019.

City analysts had forecast that profit would hit around £390m.

The AA blamed the shortfall on a decision to ramp up investment in its breakdown business, which it wants to predict breakdowns before they happen.

BBC       News.