Samuel Heath Share News (HSM)

(Sharecast News) - Samuel Heath & Sons updated the market on the impact of the Covid-19 coronavirus pandemic on Wednesday, reporting that it had seen the size of its order book "materially decrease", as a number of its customers closed their operations, although some were still operating at reduced capacity.
The AIM-traded taps and showers manufacturer said that in addition, it was finding it "increasingly difficult" to source the raw materials and components required to manufacture its products.

It explained that, prior to the impact of the pandemic, trading was in line with management expectations.

"While coronavirus is clearly going to make it extremely difficult for the company to trade profitably in the current financial year, at this stage the exact impact is not clear," the board said in its statement.

It said a further announcement would be made as necessary.

"The welfare of our colleagues and customers remains paramount and, to this end, we are taking all appropriate measures to keep people safe and ensure compliance with Public Health England guidelines, whilst ensuring continuity of our operations to the extent possible."

In line with the latest government guidance, Samuel Heath said its factory was currently still operating, although at reduced capacity, while its showroom at the Chelsea Harbour Design Centre in London had temporarily closed.

The company said its cash reserves remained "strong" for the time being.

At 1624 BST, shares in Samuel Heath & Sons were down 2% at 245p.