21st Sep 2020 14:42
Pennant International Group PLC - energy efficiency services provider based in London - Skips interim dividend and says revenue for first half of 2020 hurt amid delays to contracts due to Covid-19. Revenue falls 14% to GBP6.3 million from GBP7.3 million, leading to pretax loss of GBP3.2 million, widening from a GBP1.8 million loss year-on-year. Administrative costs for six months to June end were GBP4.3 million, up from GBP3.5 million.
Gross margin after Covid-19 provision at 18% and before provision at 26%, compared to 25% year-on-year.
Declares no dividend to retain cash for working capital, unchanged from year prior.
Says however, it expects to see an improvement in the second half of the year, noting that while forecast still show a loss, the group's prospects are positive, with a lean, optimised cost base and a three-year order book of GBP36 million.
"Across our well-developed domestic and international markets the group has a sizeable and maturing active pipeline of prospects for potential contracts worth in excess of GBP40 million which include opportunities with long-standing customers, single-source contracts, major software licences and long-term services contracts," added Chair Simon Moore.
Net cash at June end is GBP2 million
Current stock price: 36.65 pence
Year-to-date change: down 57%
By Ife Taiwo; [email protected]
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