Reminder29 Dec 2020 12:44
[MCRO.UK] Issues FY20 trading update: Reinstates FY20 Rev ~$3.0B -10% y/y (cc) (in line with expectations), Adj EBITDA 39% (upper end of expectations) - Cash of $0.7bn and Net debt* of $4.2bn as at the 31 October 2020, with a continuation of strong cash generation and working capital management achieved in the first half of FY20.CE: We are now nine months into our three year turnaround plan for the Group and whilst there remains a great deal to do I am pleased with progress in both overall operational effectiveness and in the delivery of our key strategic objectives. Cash generation and working capital management remain strong, the investments we've made are showing encouraging early results and we continue to see a clear, ongoing customer need for our solutions and approach to digital transformation.Progress on business transformation planThe Group is now nine months into the three year turnaround plan and has made solid progress in the strategic focus areas of transforming our go-to-market model, delivering more complete and focused solutions by product area and simplifying core operations. In go-to-market, changes and new recruitment to the leadership team, supported by training programmes and new tools, are beginning to deliver improved execution discipline which over time will deliver better predictability and performance across the key operational metrics. Progress in Security and Vertica has been encouraging. In Security, new leadership talent has been added, new SaaS offerings have been delivered, and a technology focused acquisition has been completed to add key new capabilities. In Vertica, the transition to subscription is now underway supported by product enhancements and the refocus of the sales organisation. The Group is executing multiple programmes to deliver improved operational efficiency and agility. Key within this is the project to migrate to one set of core IT systems. The challenges presented by COVID-19 have required this project to be transitioned from a highly intensive, onsite mode of working to a fully remote operating model. Despite these challenges the project is on track to be able to move a significant number of employees onto the new infrastructure during the first quarter of FY21 with the rest of the team moving later in FY21. - Source TradeTheNews.com
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