26th Nov 2021 10:02
(Alliance News) - Parkmead Group PLC shares tumbled on Friday as the company reported a substantially widened annual loss due to increased operating expenses.
Shares in the London-based company were down 12% at 41.30 pence each on Friday morning in London.
The Netherlands and UK-focussed gas explorer reported a significantly widened pretax loss in the year ended June 30, of GBP13.4 million from GBP792,000 the year before.
This was due to a large increase in operating costs to GBP12.7 million from GBP177,000. Administrative expenses also multiplied to GBP3.0 million from GBP257,000.
Parkmead's revenue fell 12% to GBP3.6 million from GBP4.1 million.
The energy group blamed this on considerably lower commodity prices during 2020 as a result of the pandemic.
The company said it remained unhedged for 100% of its gas production, which it feels gives it exposure to the higher Dutch gas prices for the remainder of the year. Parkmead said it has started the new financial year on "sound footing" with record-high gas prices and ongoing work across a number of projects.
"I am pleased to report an important year of progress for Parkmead, despite the year being significantly disrupted by the Covid-19 pandemic. The substantial rise in gas prices post year-end is also creating strong momentum for the group. We intend to capitalise on this by further balancing the group's operations to include other energies," Chair Tom Cross said.
By Abby Amoakuh; [email protected]
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