Keller's (KLR) second profit warning in three months sees shares in the groundworks specialist crash 26.6% to 650p.

Underperformance in the Asia-Pacific (APAC) region is the main culprit for the profit downgrade: Keller's operating unit in APAC is likely to deliver a record operating loss.

On top of the operating losses, Keller is taking an exceptional restructuring charge of £10m to downsize the business.

Numis analyst Christen Hjorth has reduced 2016 earnings estimates by 15% to £85m and notes investors may be sceptical on management guidance as this is Keller’s second profit warning in three months.

The broker is upbeat about Keller’s 15% like-for-like order book growth, which is an indicator of potential new contract activity over the next year.

Current orders at Keller stand at a record high.

Keller’s core markets in the US and Europe, which account for approximately 70% of its revenue, are strong with no change in expectations.

Keller is market leader in countries around the world in ground engineering, which involves providing technically advanced foundation solutions on construction and infrastructure projects.

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