StockMarketWire.com - Engineering services group Renew said it had decided to suspend its interim dividend, which would have been paid to shareholders in July, in the wake of the spreading coronavirus.

'We understand the importance of the dividend to our shareholders and will keep our dividend policy under review in the coming months,' the company added.

Renew said its trading performance in the six months through March 2020 had been in line with its expectations, but the impact of Covid-19 crisis on its business in the second half was currently unclear.

'We remain, where safe to do so, operational across the majority of our sectors, but we are experiencing disruption in certain areas,' the company said.

'In rail and highways, which account for the majority of our engineering activity, we are working closely with our public sector customers in areas designated critical to the Covid-19 response.'

'In both cases there is a clear commitment and ongoing demand for our directly delivered maintenance and renewal services.'

'Water and telecommunications have also been designated 'critical sectors' and we remain operational here too, with key workers deployed across all network areas where we have framework contracts.'

'Our services in civil nuclear have been disrupted with a temporary cessation of programmes at Sellafield and Springfields where both customers are developing plans for resumption of critical activities that will require our involvement.'

In total, approximately 80% of our activities are in areas deemed critical to the Covid-19 response.'




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