REG - Gateley (Holdings) - Trading Update, Notice of Results and Board Change

Gateley (Holdings)Announcement

14/05/2024 07:00

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RNS Number : 2539O  Gateley (Holdings) PLC  14 May 2024

14 May 2024

 

 

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(EU) No. 596/2014 as amended by the Market Abuse (Amendment) (EU Exit)
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GATELEY (HOLDINGS) PLC

("Gateley or the "Group")

 

TRADING UPDATE, NOTICE OF RESULTS, AND BOARD CHANGE

 

Trading update and notice of results

 

Gateley (AIM: GTLY), the professional services group, announces a trading
update ahead of its full year results for the year ended 30 April 2024 (the
"Period"), which are expected to be announced on 16 July 2024.

 

Revenue for the Group grew by c.5.7% in the Period and is expected to be not
less than £172.0m (FY 23: £162.7m). During the Period, the board remained
committed to its long-term strategic plan and continued to invest in,
strengthen and diversify the business. Group underlying profit before tax* for
the Period is expected to be not less than £22.8m (FY 23: £25.1m),
reflecting the board's decision this year, unlike last, to make a provision of
£4.5m for employee bonuses.

 

The Group maintains a strong balance sheet with net cash of £3.3m (FY23:
£4.3m), net of in-Period investment in acquired and organic opportunities to
generate future growth and supporting the employee benefit trust with its
recent purchase of shares.

 

Board change

 

David Wilton was appointed to the board as a non-executive director and
Chairman designate on 1 February 2024. The board and David have mutually
agreed not to continue with David's appointment as Chairman and David will
stand down from the board with effect from today's date.

 

The nomination committee has begun a process to recruit a new Chairman. In the
meantime, Nigel Payne has been asked, and has agreed to, continue to Chair the
Group until a successor is appointed.

 

Commenting on the results, Rod Waldie, Chief Executive Officer of Gateley,
said:

 

"I am pleased with the outturn for FY 24 which was helped by strong activity
levels in Q4. This positions us well as we enter FY 25. The Group continues to
benefit from the resilience created by our strategy of investing in an
increasingly diverse but complementary range of professional services. Our
strong balance sheet also provides a solid foundation from which to take a
long-term view of potential growth opportunities, as well as providing the
bandwidth to deliver a strong dividend yield for our shareholders.

 

"I would like to thank our clients for their support and our dedicated people
for their ongoing hard work, commitment and can-do attitude. I would also like
to thank David for his contribution to the board during his time with us.

 

"The board remains confident in its strategy and we continue to invest in both
legal and consultancy services to further grow the Group and we look forward
to the future with confidence."

 

*Underlying profit before tax excludes remuneration for post-combination
services, gain on bargain purchase, share-based payment charges, acquisition
related amortisation and exceptional items.

 

Enquiries

 

 Gateley (Holdings) Plc
 Neil Smith, Finance Director                                      Tel: +44 (0) 121 234 0196
 Nick Smith, Acquisitions Director and Head of Investor Relations  Tel: +44 (0) 20 7653 1665
 Cara Zachariou, Communications Director                           Tel: +44 (0) 121 234 0074

                                                                   Mob: +44 (0) 7703 684 946

 Liberum - Nominated adviser and Broker
 Richard Lindley / Nikhil Varghese                                 Tel: +44 (0) 20 3100 2000

 Belvedere Communications Limited - Financial PR
 Cat Valentine (cvalentine@belvederepr.com)                        Mob: +44 (0) 7715 769 078
 Keeley Clarke (kclarke@belvederepr.com)                           Mob: +44 (0) 7967 816 525

 

 

 

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