StockMarketWire.com - IT services provider Kainos said it would pay a special dividend in lieu of a final dividend and expected performance to top market expectations.

'Having assessed the company's ongoing cash requirements under a range of scenarios, the board has elected to declare a special dividend, of 6.7p a share, in lieu of the final dividend,' the company said.

The company said it expected revenue to be 'well ahead' and adjusted profit to be 'substantially ahead' of current consensus forecasts for the full year ending 31 March 2021.

For the period from 1 April 2020 to date, the company had generated several one-off efficiencies in utilisation, recruitment costs and training costs and experienced reduced travel expenditure during the lockdown period.

'We view the majority of these efficiencies as non-recurring in nature and, post-lockdown, will reduce when our growth resumes, the company said.

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