StockMarketWire.com - Cosmetics retailer Warpaint London posted a first-half loss after sales were hurt by the Covid-19 pandemic, but reinstated dividend payments citing continued cash generation.

Pre-tax losses for the six months through June amounted to £1.48m, compared to losses of £0.21m on-year. Sales dropped 29% to £13.5m.

Warpaint London declared an interim dividend of 2.8p per share, maintaining the prior year dividend of 1.5p while adding an additional 1.3p to reflect that no final dividend was declared for 2019.

'The first half of 2020 has been a difficult period for everyone, but we believe that with the actions taken along with the group's current financial resources, we are well placed to weather the Covid-19 crisis,' chief executive Sam Bazini said.

'In the short term, Covid-19 has had an impact on our financial performance, resulting in lower than budgeted sales and profits.'

'However, as we start the second half of 2020, sales are beginning to return towards budgeted levels set prior to the Covid-19 pandemic and we are well positioned to take advantage of improving market conditions.'

'With our strong balance sheet, including net cash of £3.8m, and a positive cashflow outlook for the second half, prospects remain encouraging notwithstanding the effects of the Covid-19 pandemic.'




Story provided by StockMarketWire.com