Bradken shares plunged 22 per cent after it suffered a heavy half year loss, adding to expectations of a bleak earnings season for mining contractors.
The earthmoving and mining equipment group made a loss of $92.6 million in the six months to December as the downturn in mining investment weighed on its operations.
It also scrapped its interim dividend.
That sent Bradken shares plummeting by as much as 25 per cent during Tuesday's trade, before they closed 70 cents lower at $2.45, their lowest value in almost six years.
A fortnight ago Bradken shares fell 36 per cent when it announced a possible takeover by private equity groups Pacific Equity and Bain had collapsed.
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Bradken's market value has shrunk by nearly $300 million in less than two weeks, to $419 million.
The company is heavily exposed to recent falls in commodity prices, such as iron ore, copper, gold, coal and oil and gas.
Half year sales revenue fell 12 per cent to $495 million as the slump in prices hurt demand for Bradken's mining equipment.
The company insists a restructure that has so far cost $47 million and 2,000 jobs will deliver strength in the long term.
Chief executive Brian Hodges said he expected a slight increase in overall sales revenue in the second half of the financial year.
"Management's efforts to rebase the cost structure and maintain competitiveness of the business for long term growth are well advanced, with direct costs reduced in line with lower sales resulting in margins being maintained," he said.
IG market strategist Evan Lucas said the half year results explained why private equity had given up on a takeover.
"Debt is high, future contracts look sluggish and it really lines up the rest of the mining services space," he said.
"When you look at Cudeco, UGL, Monadelphous, take your pick ... they are going to have to hunker down and try and get through the next couple of years."
When restructuring costs and impairment charges were excluded, Bradken's underlying profit was down 64 per cent to $13.8 million.
RESTRUCTURE AND WRITEDOWNS HURT BRADKEN
* Half year net loss of $92.6m, from a $38.1m net profit in 2013/14
* Revenue of $495.4m, down 12 pct from $563.6m
* No interim dividend, from 15 cents a share
