REG - Driver Group plc - TRADING UPDATE

DriverAnnouncement

26/09/2023 07:00

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RNS Number : 5936N  Driver Group plc  26 September 2023

 

Driver Group Plc

("Driver Group", "Driver" or "the Company")

Year End Trading Update

Driver Group PLC (AIM: DRV), the leading global professional services
consultancy to the construction and engineering industries, providing
multi-disciplinary consultancy services including expert witness, claims and
dispute resolution services, today announces a trading update for the year
ending 30 September 2023.

As indicated in the company's interim results in June 2023, the start of H2
FY23 was slower than expected. Q3 experienced reductions in the levels of
activity, with an improvement seen in Q4 and a number of significant
commissions secured in this period which will benefit FY24.

While the Q3 to Q4 trend is improving and is early evidence of a return to H1
levels of trading, the performance in H2 is expected to lead the Group to
deliver an underlying* profit before tax in FY23 (versus an underlying* loss
before tax of £1.0M in FY22) at a slightly lower level than the £0.7M
reported at the half year.  The Group continues to have a robust balance
sheet and expects to report an improvement in the September 2023 year end cash
position (March 2023: £5.3M).

Management has made significant progress with the implementation of the
planned cost reductions set out in the interim results. Actions have included
the closure of overseas offices, reduction of existing office lease costs and
adjustments to headcount in several locations. Implementation is expected to
be complete by December 2023, enabling the full positive benefits of a lower
and leaner cost base to flow into next year.

Mark Wheeler, Chief Executive Officer of Driver Group, commented:

"Trading in Q4 23 suggests that market conditions are improving. FY23 revenue
is expected to be close to that reported in FY22 and profitability for the
full year will show a substantial improvement on the prior year, with a
further improved cash position.  I am pleased that we have made significant
progress in the delivery of our cost reduction plans as this positions the
Group for long term sustainable growth and enables us to further develop the
business and maximise its potential."

* Underlying figures are stated before the share-based payment costs and one
off non-recurring costs

ENDS

Enquiries:

 

 Driver Group plc                             020 7377 0005
 Mark Wheeler (CEO)
 Charlotte Parsons (CFO)

 Singer Capital Markets (Nomad & Broker)      020 7496 3000
 Sandy Fraser
 Jen Boorer
 Alex Emslie

 Acuitas Communications                       020 3745 0293 / 07799 767676
 Simon Nayyar                                 simon.nayyar@acuitascomms.com
 Arthur Dingemans                             arthur.dingemans@acuitascomms.com

 

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION AS STIPULATED UNDER THE UK
VERSION OF THE MARKET ABUSE REGULATION NO 596/2014 WHICH IS PART OF ENGLISH
LAW BY VIRTUE OF THE EUROPEAN UNION (WITHDRAWAL) ACT 2018, AS AMENDED.  ON
PUBLICATION OF THIS ANNOUNCEMENT VIA A REGULATORY INFORMATION SERVICE, THIS
INFORMATION IS CONSIDERED TO BE IN THE PUBLIC DOMAIN.

 

 

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