6 Apr 2020 07:00
BE HEARD GROUP PLC
Covid-19 Update
Be Heard Group plc ("Be Heard" or the "Company")
6 April 2020
Be Heard Group (AIM: BHRD), the digital marketing services group, announces the following update in light of the Covid-19 pandemic, including the measures the Company is taking to protect its employees and mitigate risks to its business.
The evolving Covid-19 pandemic is currently having and will continue to have a material and adverse impact on the demand and supply side of both national and international economies. The effects of this economic shock will no doubt be profound, even if it should prove to be somewhat short lived.
With regards to Be Heard Group, we have implemented a number of contingency plans to ensure that we are able to protect the well-being of our employees and, moreover, continue to serve our broad and diverse client base.
The safety of our employees is paramount. All of the Company's employees who can work from home are doing so and will continue to do so until the current restrictions on freedom of movement are lifted and it is deemed safe to return to normal working patterns.
Trading in the current financial year started well and was in line with the Board's expectations, but Covid-19 and government measures to prevent the spread of the virus, are now affecting our trading outlook. It is difficult for us to quantify, at this stage, the implications of both the Virus and the government's actions. The Company is, therefore, withdrawing financial guidance until visibility on the impact of Covid-19 improves.
Owing to the uncertainty caused by Covid-19, we have been focusing on contingency planning and cost reduction to preserve cash in the business. The Group is implementing a number of cost control measures, which include: temporary reductions in salaries for senior staff, elimination of discretionary spend and, where appropriate, the utilisation of the UK Government's Coronavirus Job Retention Scheme. The Group's objective in undertaking such measures is to ensure the continued employment of our staff, to remain cash generative and to continue to deliver world class outcomes for our clients.
The Group had net cash as at 31 March 2020 of approximately £2.4 million and has access to a £2.0 million Revolving Credit Facility from Barclays.
As a result of the situation, the Board now expects that the results for the year ending 31 December 2019 will be published on or around 15 May 2020; and we will continue to update the market as the impact of Covid-19 on our business becomes clearer.
This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014.
ENQUIRIES
Be Heard Group plc +44 20 3828 6269
David Morrison, Non-Executive Chairman
Simon Pyper, Chief Executive Officer
NOMAD: Cairn Financial Advisers
Jo Turner / James Lewis +44 20 7213 0885
Broker: Dowgate
James Serjeant +44 20 3903 7715
Financial PR: Hudson Sandler
Nick Lyon +44 20 7796 4133