REG - Pennant Int. Group - Year-End Trading Update

Pennant InternationalAnnouncement

07/02/2024 07:00

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RNS Number : 2538C  Pennant International Group PLC  07 February 2024

 

FOR IMMEDIATE RELEASE
 
     7 February 2024

 

PENNANT INTERNATIONAL GROUP PLC

 

Trading Update

 

Record Gross Margin & Return to Operating Profit

Appointment of Non-Executive Director (Chair Designate)

 

Pennant International Group plc (AIM:PEN)(the "Company", the "Group"), the IPS
software and services company, is pleased to provide the following trading
update ahead of the publication of the Company's full-year results for the
year ended 31 December 2023 ("FY23"), which are scheduled to be announced in
April 2024.

 

The preliminary unaudited assessment of the Group's trading for FY23
indicates:

 

·       Group revenues of £15.5 million (2022: £13.7 million);

·       gross margin of 50%, a record for the Group (2022: 42%);

·       adjusted earnings before interest and tax (EBIT) of £0.4 million
(2022: EBIT loss of £1.0 million)

·       adjusted earnings before interest, taxation and amortisation
(EBITA) of £1.7 million (2022: EBITA of £0.5 million);

·      adjusted earnings before interest, taxation, depreciation and
amortisation (EBITDA) of £2.2 million (2022: EBITDA of £1.1 million);

·       net debt at year-end of £1.9 million (2022: net debt of £0.4
million), with post year-end receipts resulting in net cash of £0.3 million
during week commencing 15 January.

 

Note: the above results are adjusted for circa £0.3 million of exceptional,
non-recurring costs, including transaction and integration costs associated
with the acquisition of Track Access Productions Limited in April 2022, and
professional costs and expenses associated with another, aborted transaction.

 

Appointment of Non-Executive Director (Chair Designate)

 

The Company is pleased to announce that Ian Dighé has been appointed to the
Board as an independent non-executive director and Chair designate. Phil
Cotton will step down as Chair at the Company's next Annual General Meeting
which is expected to be held in May 2024, to be succeeded by Ian. Following
the AGM, Phil Cotton will continue to serve on the Board as an independent
non-executive director.

 

Ian has significant listed company and City experience, particularly in the
investment banking, corporate broking, asset management and closed-end funds
sectors. He is also experienced at developing boards and their senior
management teams, and looks forward to leading the Board as the Group
continues to implement its strategy.

 

 

Chief Executive Officer, Philip Walker commented: "The Board is very pleased
with the Group's positive, and improving, trading performance. The results,
which include a return to operating profit and a record gross margin of 50 per
cent, are strong indicators that Pennant's growth strategy is delivering.
However, there is much still to do as we head into the next phase, and we are
therefore delighted to welcome Ian, whose appointment will further strengthen
the Board as we move forward. I would also like to take this opportunity to
thank Phil Cotton on behalf of the Board for his valuable contribution as
Chair."

 

 

This announcement contains inside information for the purposes of Article 7 of
the UK version of Regulation (EU) No 596/2014 which is part of UK law by
virtue of the European Union (Withdrawal) Act 2018, as amended ("MAR"). Upon
the publication of this announcement via a Regulatory Information Service,
this inside information is now considered to be in the public domain.

 

 

 

 

Enquiries:

 

 Pennant International Group plc                  www.pennantplc.com
 Philip Walker, CEO                               +44 (0) 1452 714 914

 David Clements, Commercial & Risk Director

 Michael Brinson, CFO

 WH Ireland Limited (Nomad and Broker)             www.whirelandplc.com/capital-markets
 Mike Coe / Sarah Mather (Corporate Finance)      +44 (0) 20 7220 1666
 Fraser Marshall / George Krokos (Sales)

 Walbrook PR (Financial PR)                       pennant@walbrookpr.com
 Paul Vann                                        +44 (0)20 7933 8780

 Joe Walker                                       Mob: +44 (0)7768 807631

 

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