StockMarketWire.com - Photo-Me warned pre-tax profit for the year to 30 April 2019 will be at least £42m, slightly below previous guidance of £44m following challenging UK trading.

Overall trading in the UK became more challenging than expected in the second half of the year reflecting the slowdown in consumer activity as a result of continuing uncertainty around the UK's European Union exit negotiations.

At the time of its interim results in December 2018, Photo-Me noted it experienced a delay in order decisions for its B2B machines revenue, which were expected to be recovered during the second half of the year.

Due to the extended period of uncertainty in the UK, the group does not expect to achieve a recovery in order levels before the end of the current financial year.

In the year to date, the group continued to deliver on its strategy to expand its high margin self-service laundry operations and these operations will continue to make up an increasing proportion of its total sales in the medium term.

Photo-Me said its operations in Continental Europe and Asia continue to grow in line with expectations. The strong performance in Japan continued in the second half, following the reorganisation of these operations.

The group sais it will announce results for the financial year ending 30 April 2019 on Tuesday 9 July 2019.




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