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RNS Number : 8326A Petards Group PLC 25 January 2024
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.
25 January 2024
Petards Group plc
("Petards" or the "Group")
Trading update
Petards Group plc (AIM: PEG), the AIM quoted developer of advanced security
and surveillance systems, provides a trading update for the financial year
ended 31 December 2023 ("FY23").
The Group's trading performance significantly improved in the second half of
the year, although the Board anticipates trading for the full year ended 31
December 2023 will be below expectations announced at the time of its interim
results on 26 September 2023.
The Group expects to report (all figures are unaudited):
· Group revenues of circa £9.4 million (FY22: £10.9 million),
with the second half of FY23 contributing £5.0 million.
· Total net funds¹ at 31 December 2023 of £1.2 million with no
bank debt (FY22: £1.7 million).
Revenues for FY23 are likely to be around 3% lower than market expectations
which will have an effect on the FY23 reported results. FY23 gross profit
margins are expected to be slightly above the 47.3% reported in the interim
results announced on 26 September 2023.
Cash balances were slightly below the Board's expectations, due to a customer
payment of £0.3 million expected pre-year end but not being received until 2
January 2024.
In the final quarter of FY23, management continued to rebalance the Group's
operating cost base. One-off reorganisation costs incurred in that period,
together with other actions taken are expected to deliver annual savings in
excess of £0.4 million going forward.
The Group remains well financed with a strong debt-free balance sheet, a
substantial proportion of which is held in cash, and an un-drawn £2.5 million
overdraft facility. The Board is confident that the Group is in a good
position to take advantage of the opportunities it has already identified in
the sectors in which it operates and expects to deliver improved trading in
the year ahead.
¹ Total net funds comprise cash and cash equivalents less interest bearing
loans and borrowings.
Contacts:
Petards Group plc www.petards.com (http://www.petards.com/)
Raschid Abdullah, Chairman Mb: 07768 905004
WH Ireland Limited, Nomad and Joint Broker https://www.whirelandplc.com/capital-markets
Mike Coe, Sarah Mather Tel: 020 7220 1666
Hybridan LLP, Joint Broker www.hybridan.com (http://www.hybridan.com/)
Claire Louise Noyce Tel: 020 3764 2341
claire.noyce@hybridan.com (mailto:claire.noyce@hybridan.com)
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