11th Dec 2015 09:43
LONDON (Alliance News) - Paragon Entertainment Ltd shares plummeted on Friday after it warned its revenue will be lower for the full year, despite already lowering its guidance once this year, but said it is on track to deliver a small amount of earnings.
Paragon Entertainment shares were down 23% to 1.94 pence per share on Friday morning.
Back in October, the designer and builder of attractions said it was set to miss full year expectations, anticipating earnings before interest, tax, depreciation and amortisation of GBP200,000 for 2015, on revenue of GBP9 million.
However, on Friday the company said revenue will now be even lower, at around GBP8.5 million, but said it is still on track to deliver GBP200,000 of Ebitda. In the first half of the year, Ebitda came in at GBP80,000 on the back of GBP4.5 million of revenue - suggesting it has had a better second half than the first.
In 2014, the company reported an Ebitda loss of GBP100,000, and revenue of GBP7.7 million.
Paragon Entertainment also provided some guidance for 2016, forecasting revenue of GBP11.0 million and Ebitda of GBP500,000.
In addition, Paragon's current interim chief executive Mark Pyrah has now taken up the role ona permanent basis. Paragon originally planned on appointing a new CEO to allow Pyrah to focus on hos other role at the company heading up the sales and marketing division, but said it does not believe this is now necessary.
However, it will be appointing an new chief operating officer shortly, it said.
Paragon are set to hold their annual general meeting next Tuesday, but said a major shareholder popped up at the "last minute", leading the company to pull two resolutions that would have allowed the company to issue its own shares. Paragon said it will now seek to have the resolution passed at its 2016 AGM.
By Joshua Warner; [email protected]; @JoshAlliance
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