(Alliance News) - GYG PLC on Tuesday said it expects earnings for 2020 below expectations due to a reduction in revenue caused by project delays in the fourth quarter.
The yacht maintenance company stated it expects to post annual revenue of EUR58.5 million, down 8.3% from EUR63.8 million recorded in 2019, with adjusted earnings before interest, tax, depreciation, and amortization to be marginally below current market expectations. It also added it expects to recognise additional Covid-related exceptional costs incurred during the fourth quarter.
Adjusted Ebitda for 2019 was EUR4.5 million.
London-based GYG said its performance was hurt by lockdown and travel restrictions across Europe and the US throughout the year.
However it highlighted a positive start to 2021, noting first quarter revenue is expected to be well-ahead of the year prior. The total order book in January 2021 stands at EUR53.8 million, up 21% from EUR44.4 million at the same time in 2020.
"On the back of this record current year order book, the outlook for 2021 remains very positive at this early stage in the year, albeit future changes in lockdowns and travel restrictions may affect the full year performance," GYG said.
"We remain focused on driving further operational efficiencies and margin improvements across the group. Despite the challenges we have faced, the market fundamentals remain strong and our record order book provides better visibility, facilitates efficient planning and gives us confidence for further market share gains in the year ahead." Chief Executive Remy Millott added.
Shares in GYG were trading 3.7% lower at 75.15 pence each on Tuesday morning in London.
By Ife Taiwo; ifetaiwo@alliancenews.com
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