Macfarlane scraps 2019 final dividend; braces for 'marked slowdown' in trading

Mon, 30th Mar 2020

Packaging and labeling company Macfarlane scrapped its final dividend amid expectations of a 'marked slowdown' in trading activity following UK government moves to restrict the spread of Covid-19. The company had planned to pay a final dividend for 2019 of 1.76p per share. Macfarlane said its customers in the hygiene, household essentials, medical and food sectors were currently demonstrating strong ongoing demand. 'However, customers in other sectors such as automotive, aerospace and segments within retail have been materially impacted and their business has declined rapidly,' the company added. 'We have no visibility on the timescale over which the reduced demand will be sustained.' 'It is therefore not currently possible for the company to provide meaningful guidance on trading for the financial year ending 31 December 2020.' Macfarlane said it had a strong balance sheet and liquidity headroom, with net bank debt at the end of February of £9.6m. At 10:03am: (LON:MACF) Macfarlane Group PLC share price was -1.6p at 78.4p Story provided by StockMarketWire.com

FTSE 100 Latest
Value6,484.30
Change142.86