21st Oct 2020 11:27
(Alliance News) - React Group PLC on Wednesday said it forecasts earnings for financial 2020 ahead of expectations on the back of Covid-19 decontaminations.
The Swadlincote-based cleaning, hygiene and decontamination company said for its financial year ended September, it achieved a 42% growth in revenue to GBP4.4 million from GBP3.1 million the year prior. It added that it expects pretax profit to be ahead of expectations.
React credited its performance to Covid-19 related decontaminations and a number of non-Covid-19 related projects. It noted the healthcare, rail and facilities management sectors performed well, boosted by incremental business in other areas such as education and residential care homes.
"Whilst we have seen a level of disruption from Covid-19, we have also experienced incremental demand. The new financial year has started well with momentum continuing. The immediate outlook is positive, although we are mindful that the seemingly ever-changing environment in which we work can bring with it both opportunities and challenges," said Chief Executive Shaun Doak.
Net cash as at September 30 was GBP1.8 million. Full year results will be published towards the end of January 2021.
Shares in React were trading 5.4% higher at 1.26 pence each on Wednesday morning in London.
By Ife Taiwo; [email protected]
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