REG - Christie Group PLC - Trading Update

ChristieAnnouncement

07/08/2023 07:00

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RNS Number : 4288I  Christie Group PLC  07 August 2023

7 August 2023

 

Christie Group plc

("Christie Group" or the "Company")

 

Trading Update

 

The Board of Christie Group Plc (CTG.L) advises that, following continued
delays in achieving contractual exchange on ongoing transactions in its agency
and advisory business, Christie & Co, and alterations to the expected
timing and outcome of certain significant portfolio assignments, it now
expects full year performance to be materially below previous expectations.

 

Those deal delays, which have now been a prevailing factor throughout the
first half, are unfortunately anticipated to last at least until the end of
the summer period before more normalised exchange and invoicing activity
resumes. The slowdown in transactions brokered by Christie & Co during the
first half reflects lower activity levels and sentiment in the wider market,
as recently reported by a number of competitors.

 

While the Group expects to report a first-half operating loss, the Board
nonetheless expects a positive second half trading performance, markedly ahead
of first half performance and more consistent with second-half trading in
2022. Transactional pipelines are at levels which remain historically strong
and which support this trading outlook. Aborted deal volumes remain comparable
with 2022 and do not indicate a lack of intent among vendors and buyers to
proceed with instructed transactions.

 

In contrast, the Group is encouraged by activity in other areas of its PFS
division. Second half prospects for the Group's finance brokerage business are
positive, with unsecured lending a growing part of its own brokerage
activities. Pinders, the Group's business appraisal operation, ended July with
its pipeline at a record value level.

 

Within the SISS division, the Group's Hospitality stocktaking activities
continue to recover well post-pandemic, in line with management expectations
and are experiencing strong levels of demand. Its Pharmacy stocktaking and
Supply Chain operations have both performed ahead of expectation in the first
half.

 

The Group ended the first half without any term debt, with both defined
benefit pension schemes in surplus, and with appropriate banking facilities in
place to support its working capital funding requirements.

 

As previously reported, the Group expects to incur one-off exceptional costs
this financial year relating to the former Group Chairman and Chief Executive
leaving the Group. Interim results for the six months ended 30(th) June 2023
will be released in September.

 

Enquiries:

 

Christie Group plc

Dan
Prickett
07885 813101

Chief
Executive

 

Simon Hawkins
 
07767 354366

Group Finance Director

 

Shore Capital

Patrick Castle
 
020 7408 4090

Nominated Advisor and Broker

 

Notes to Editors:

Christie Group plc, quoted on AIM, is a leading professional business services
group with 38 offices across the UK and Europe, catering to its specialist
markets in the hospitality, leisure, healthcare, medical, childcare &
education and retail sectors.

 

Christie Group operates in two complementary business divisions: Professional
& Financial Services (PFS) and Stock & Inventory Systems &
Services (SISS). These divisions trade under the brand names: PFS - Christie
& Co, Pinders, Christie Finance and Christie Insurance: SISS - Orridge,
Venners and Vennersys.

 

Tracing its origins back to 1846, the Group has a long-established reputation
for offering valued services to client companies in agency, valuation
services, investment, consultancy, project management, multi-functional
trading systems and online ticketing services, stock audit and inventory
management. The diversity of these services provides a natural balance to the
Group's core agency business.

 

The information contained within this announcement is deemed by the Company to
constitute inside information under the Market Abuse Regulations (EU) No.
596/2014.

 

For more information, please go to www.christiegroup.com.

 

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