Laboratory services business ALS Limited has warned that the slowdown in the mining sector will see its first half profit slide by around 36 per cent.

ALS expects to post an underlying profit of around $64 million for the six months to the end of September, down from $100.7 million a year ago.

The global company, which has offices at Pooraka and Gillman, had forecast underlying net profit to be around $74 million, based on an expected improvement in conditions during the September quarter.

“Whilst activity levels improved for a number of our operations during the quarter, it remains difficult to predict trends in the demand for ALS services and pricing pressure is being experienced by all our business division,” ALS said in a statement on Monday.

“This has resulted in the traditionally expected improvement in earnings during the northern summer being less than expected.”

The company said revenue from its minerals division would be down around 25 per cent for the half due to the slide in mining exploration work across the globe.

Revenue from the energy division would be almost double what it was a year ago, but the division’s operating profit would be down due to low volumes and reduced pricing in the company’s coal business, as well as structural changes in its oil and gas businesses.

Meanwhile, revenue from the life sciences division is expected to be flat, while the environmental services division has been hit by sliding prices.

But revenue and operating margins from the industrial division are expected to be higher.