7th Oct 2021 10:02
(Alliance News) - Hyve Group PLC on Thursday reported that a strong final quarter of trading had given a boost to recovery plans as the trade show and event organiser was able to exploit pent-up customer demand for the return of in-person events in the UK and US.
For the the financial year that ended September 30, Hyve expects revenue of around GBP55 million, substantially below GBP105.1 million posted in the previous year.
Trading was underpinned by the return of in-person events in the UK and US, possible for the first time since February 2020 thanks to the relaxing of Covid-19 restrictions. During the fourth quarter, Hyve ran 11 shows across the UK, US, Turkey, Ukraine and Russia.
"The fourth quarter has been a very positive step on the road to recovery, with events returning for the first time in the UK and US and exhibitors at many of our events increasing their spend compared to pre-pandemic levels," said Chief Executive Mark Shashoua.
Hyve's 'Western' events performed better-than-expected, driven by the significant pent-up demand for in-person events. As expected, events were at a smaller scale than their pre-pandemic levels as a result of international travel restrictions that remained in place.
Despite the return of events, Hyve warned that there remains Covid-19 associated disruptions to normal trading, as evidenced by the recent reintroduction of restrictions in Shanghai.
Following the strong quarter, Hyve highlighted that it was in a "much stronger financial and operational position". An improved liquidity position had given the firm significant cash headroom, with net debt better than expected at the period end at GBP80 million.
Shares in Hyve were 1.2% lower at 109.18 pence each in London on Thursday morning.
By Will Paige; [email protected]
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