(Alliance News) - Shares dropped in Zytronic PLC on Friday, as it said it was difficult to foresee a return to profitability in its current financial year to the end of September, due to constraints caused by the Covid-19 pandemic.
Shares in the manufacturer and developer of touch technology products were 13% lower at 130.00 pence on Friday in London.
Zytronic said it has adjusted its operations in early December to take account of lower levels of demand due to the pandemic and related restrictions.
As a result, the downturn in sales experienced in the second half of the 2020 financial year has levelled out at GBP2.0 million for the final quarter of the group's prior year, and the first quarter of the current financial year.
Zytronic's reorganisation and cost reduction measures have allowed it to keep positive earnings before interest, tax, depreciation and amortisation, as well as a rise in orders for the year to date.
However, with the pandemic constraints affecting the group's major overseas markets such as Gaming, a recovery to historic levels will depend on quickly there is an effective vaccination programme.
By Dayo Laniyan; dayolaniyan@alliancenews.com
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Zytronic (ZYT)