Trading conditions remain tough, says Marconi

Troubled telecoms group Marconi said today that trading conditions remain ‘‘tough’’ as it reported second quarter figures in line with previous estimates.

The group said in its much-anticipated trading update that its first half operating loss was £222m - which includes an improved £5m operating profit recorded in the second quarter year.

It has reduced its net debt to £4.28bn at the end of September, down from £4.44bn a month previous.

Chief executive Mike Parton said: ‘‘Whilst trading conditions continue to be tough, group operating profit and cash flow in the second quarter were in line with our previous guidance.

‘‘There is much to do and the new management team remain focused on delivering the cost and debt reduction targets arising from our operational review.’’