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Aukett Swanke Group Plc
Period end trading update
Aukett Swanke Group Plc (the “Group”) the international group of architects, interior designers and engineers, today provides an update on trading for the first six months (to 31 March 2017) of the current financial year.
In our 2016 year end report published on 12 January 2017 we predicted a decline in United Kingdom (“UK”) revenues being offset by an improvement in the United Arab Emirates (“UAE”). This trend has largely persisted during the six months to 31 March 2017, with the UK producing a net loss for the period and the UAE trading profitably after recovering previous trading losses. However, the results from the UAE have also been impacted by late bad debt provisions such that the combined half year result of the UK and UAE are now expected to be an overall loss.
Our Continental European operations were expected to be in profit for the period. However, both our Turkish and Berlin businesses are now expected to produce much lower results due to a major project cancellation in Istanbul (in advance of the Referendum); ongoing delays as a result of the State of Emergency in Turkey; and a delay on a significant project in Berlin. The combination of these factors has reversed what was expected to be a profitable situation.
As a result of all of the above the Board now expects a loss for the first half, which will be partly mitigated by an adjustment to the deferred consideration payable in respect of the acquisition of Shankland Cox Limited. Encouragingly cash at the half year stood at £1.56m (30 September 2016: £1.84m) and net funds at £600k (30 September 2016: £790k). We expect to release our interim results in the week commencing 19 June 2017.
Aukett Swanke Group Plc – 020 7843 3000
Nicholas Thompson, Chief Executive Officer
Beverley Wright, Chief Financial Officer
finnCap – 020 7220 0500
Corporate Finance: Julian Blunt / Giles Rolls
Corporate Broking: Alice Lane
Ben Alexander 07926 054111