Engineering firm Weir Group said its trading was down 34% in the first five months of the year at its oil and gas division as energy firms cut spending in response to lower oil prices.
The firm said the drop was in comparison to the same time last year.
Weir Group, which has more than 15,000 employees across 70 countries, said it had been impacted by a slowdown in North America oil field activity.
The company said the trends combined with ongoing efficiency measures would see its profits weighted more towards the second half than in prior years.
Chief executive Keith Cochrane said: “As indicated in our trading statement in April, the second quarter is proving to be very challenging for the oil and gas division with the US rig count continuing to decline, albeit at a slower rate over the past month.”
Earlier this year Weir Group said it planned to reduce its headcount by around 125 jobs, mostly in its North American oil and gas business.
The group has also suspended operations for a week at its facility in Fort Worth, Texas.
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