JOHN COLLINGRIDGE: INSIDE THE CITY

Beleaguered Cobham needs a soft landing

Cobham’s history goes back to aerobatic displays in the 1930s
Cobham’s history goes back to aerobatic displays in the 1930s
ALAMY

Cobham’s Flying Circus made its name in the 1930s with death-defying aerobatic stunts. The past 14 months have been a circus of a more sobering variety for the maker of air-to-air refuelling kit, whose founder, Sir Alan Cobham, used to wow crowds with his aerial prowess. Now it specialises in nosedives of the financial variety; since 2015 there have four profit warnings.

Last week shares in the Dorset-based company plunged almost 20% in a day as it scrapped its dividend and said it would miss profits forecasts by about £20m. I wouldn’t bet on that being the end of this sorry run.

Cobham’s new chief executive, David Lockwood, and finance director David Mellors do not know how deep its problems are — although after working