18th Mar 2020 12:59
(Alliance News) - Tribal Group PLC on Wednesday said an exceptional charge relating to resolution of a dispute resulted in a loss for 2019.
For 2020, the education software services provider said it is currently unable to quantify the impact of the new coronavirus pandemic due to the "constantly changing situation".
However, Tribal does anticipate a delay in execution of existing projects and a halt in award of new projects.
Shares in the Bristol, England-based company were down 31% at 40.00 pence each in London on Wednesday afternoon.
For 2019, Tribal recorded a GBP2.9 million pretax loss, compared with GBP4.8 million profit a year ago. This was mainly due to a GBP9.1 million charge relating to settlement of a dispute with a undisclosed platform provider for past royalty payments.
Adjusted operating profit - earnings before interest, tax, depreciation and amortisation - was up 9.2% to GBP15.4 million from GBP14.1 million.
Revenue for the year dipped 2.3% to GBP78.2 million, mostly due to the delay of some contracts into early 2020. Annual recurring revenue increased by 7.1% to GBP42.3 million.
Tribal recommended a 9% increase in payout to 1.2p per share from 1.1p, saying this was in line with its progressive dividend policy.
By Tapan Panchal; [email protected]
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