27th Mar 2020 10:03
(Alliance News) - Clarkson PLC on Friday said it has withdrawn its annual general meeting resolution proposing a final dividend and is deferring a dividend decision until it better understands the impact of Covid-19 on its business.
Shares in Clarkson were down 1.4% at 2,239.25 pence in London in morning trading.
The integrated shipping services firm said it is deferring its decision on the amount and timing of the dividend "until later in the year once the impact of Covid-19 on maritime markets and Clarksons' business becomes clearer".
Clarkson said it still believes the outlook for shipping markets is favourable in the medium-term, given improving dynamics in terms of supply and demand as well as regulatory changes.
However, the company's performance in the first half of 2020 will "inevitably" be hurt by Covid-19.
"Currently the Broking division continues to trade effectively across all market verticals, Research continues to provide valuable insights and much needed data and analytics to clients, Financial is currently experiencing challenges from a lack of primary activity due to the extensive impact on financial markets, and Support is continuing servicing its extensive customer base through their short-term operational challenges," Clarkson said.
The company's AGM will still take place on May 6, but will be held electronically using audiocast so as "to protect shareholders and meet government guidance on social interaction".
By Anna Farley; [email protected]
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