STOCKS NEWS EUROPE-Dialight falls up to 21 pct on contract delays

Shares in lighting products maker Dialight Plc (LSE: DIA.L - news) fall as much as 21.45 percent after the company says there are delays in getting certain contracts in its obstruction systems unit, which would hurt full-year performance.

The company says in a statement that it has made good progress towards qualification and award of other significant obstruction system business, but does not expect these contracts to be awarded in time to sufficiently impact the current financial year.

Charles Stanley Securities analyst Richard Hickinbotham says the company's obstruction lighting business is facing difficulties in transitioning from being a product provider to becoming a solutions provider.

"It is taking time for customers to recognise the integrity of the new offering and therefore the order profile has not lived up to expectations," Hickinbotham says.

Canaccord Genuity says in a note that it is reducing its operating profit forecast by 20 percent to 20 million pounds.

The stock was trading at 1,158 pence at 0928 GMT, making it the largest percentage loser on the London Stock Exchange (LSE: LSE.L - news) .

To see Dialight's statement, click on

Reuters messaging rm://tasim.zahid.thomsonreuters.com@reuters.net