StockMarketWire.com - SpaceandPeople has reported that the first half of 2014 has been a challenging period for the Group, with trading in some areas being slower than had been anticipated and a number of one-off costs being incurred.

It issued a trading update in April explaining the reasons for its revised expectations and since then a number of areas have traded in line with these revised expectations but performance in other areas has been disappointing compared with our revised forecast.

It now forecasts 2014 profit before tax and non-recurring items will be £800,000, with an upside of potentially a further £200,000, and profit before tax but after non-recurring costs of between £500,000k and £700,000.

It says it is providing a range at this point because much of the crucial Christmas trading period sales have yet to be transacted.

It has made annualised cost savings of £700,000k and the new revenue lines established this year will deliver a better performance in 2015. Additionally it has won new contracts.

Overall, it reports that the business is robust and profitable, cash flow is positive and the cash position is strong. The company anticipates having in the region of £750,000k of net cash at the year-end, as well as a £2m long-term borrowing facility. The Board therefore expects to be able to propose a dividend of 2p per share which would be payable in April 2015.




At 8:37am: [LON:SAL] SpaceandPeople PLC share price was -7.5p at 43.5p



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