(Adds details from statement, executive comment, analyst estimate)
Nov 3 (Reuters) - Senior Plc will exit the Netherlands next year by closing its Aerospace Bosman unit, as the British aerospace supplier grapples with a collapse in sales from setbacks to production and travel demand during the COVID-19 crisis.
The company, which supplies parts such as airframes to planemakers, on Tuesday posted a 45% drop in third-quarter sales at its biggest unit, aerospace, and warned that overall revenue was unlikely to recover before 2022.
The latest round of coronavirus restrictions could further jeopardize an industry that was already reeling from Boeing’s 737 MAX jet groundings last year as well as pandemic-led jet production cuts and a shortfall in airline sales.
“In 2021, Aerospace is set to be at least as challenging as 2020 given the current production rates which our customers are advising,” said Chief Executive Officer David Squires.
Senior, which counts planemakers Boeing and Airbus as some of its biggest customers, said the closing of the Netherlands operations would lead to restructuring charges of around 37 million pounds ($47.83 million) for 2020.
It also expects earnings in the year to be “broadly in line” with a company-compiled analyst consensus for a loss of 11.2 million pounds.
$1 = 0.7735 pounds Reporting by Pushkala Aripaka in Bengaluru; Editing by Devika Syamnath