3rd Feb 2020 14:55
(Alliance News) - Media agency SpaceandPeople PLC on Monday said annual profit will be line with market expectations despite lower-than-expected revenue generation.
The company said it intends to increase its dividend payment for 2019 and will propose a final dividend of 0.75 pence per share, up from 0.50p paid a year ago. SpaceandPeople pays no interim dividend. For 2018, the company had slashed its annual payout to the 0.50p from 1.5p in 2017.
Trading in promotions division was stronger than anticipated in the final quarter of 2019, SpaceandPeople said, but the retail unit saw a subdued performance, the company explained.
"As a result, overall revenue at GBP7.7 million for the year was lower than expected, but due to lower direct costs, gross profit, and profit before taxation were broadly in line with market expectations," SpaceandPeople said.
In 2018, the company posted a pretax loss of GBP415,000 on a revenue of GBP7.9 million. Gross profit amounted to GBP5.1 million.
SpaceandPeople shares in London were down 4.2% at 11.50p each on Monday afternoon.
The Glasgow-based company also said that it has won a multi-year contract from public transport operator Abellio to provide commercialisation activity in the Greater Anglia and West Midlands rail regions.
In addition, the company has secured a one-year extension to its Network Rail contract, which was due to expire in September.
No financial details of the contracts were disclosed.
By Tapan Panchal; [email protected]
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