LONDON-- U.K. defence and aerospace company Cobham PLC (COB.LN) Thursday said it will miss 2016 expectations and predicted another tough year in 2017.

The company said it incur a 150 million pound ($188 million) charge related to the cost of a contract to supply aerospace company Boeing Co. (BA) with aerial refueling systems for KC-46 planes.

As a result of this and other charges the company expects underlying trading profit of GBP225 million for 2016, down from previous estimates of between GBP255 million and GBP275 million.

The company said continuing difficulties mean it "may be challenging" to deliver a 2017 performance in line with that of 2016.

Given these and the issues highlighted above the Board considers that delivery of a similar performance to that of 2016 in 2017 may be challenging.

"2016 was an incredibly turbulent and disappointing year for Cobham," said Chief Executive David Lockwood.

-Write to Rory Gallivan at rory.gallivan@wsj.com; Twitter: @RoryGallivan

(END) Dow Jones Newswires

February 16, 2017 03:00 ET (08:00 GMT)

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