Last checked at 28 Jun 2021 07:00
28 June 2021
CROMA SECURITY SOLUTIONS GROUP PLC
("CSSG" or the "Company")
Pre- Close Trading Update
Croma Security Solutions Group Plc, the AIM listed total security services provider, is pleased to announce the following pre-close trading update for the 12 months to 30 June 2021.
Robust Trading
Since the beginning of our financial year, both divisions have traded robustly and where Covid-19 has restrained the business, this has been more than offset by strong performances from other parts of the Group. As a consequence, the Board is anticipating reporting a better result than management had expected for the full-year with EBITDA of at least £1.85 million (2020: £1.75 million)
The restrictions placed upon the business due to Covid-19 particularly on the retail side of the business were in place for the majority of the year whereas in the prior year they only took effect for 4 months. Despite this, Croma Systems which includes our locksmith stores is expected to deliver increases in sales and profits against the prior year. Croma Vigilant, our largest division is also expected to perform well against the prior year. The division has benefitted from the increased need for manned guarding services for empty premises and its PROception service which integrates the provision of front of house services with premium security services for individual buildings or larger complexes.
Strong balance sheet
The Company has no borrowings (excluding lease liabilities) and has maintained a strong balance sheet which has strengthened further over the past 12 months. As at today's date, the Company has net cash of £5.5 million. The cash position underpins the Board's confidence in the business and its ability to take advantage of any opportunities which may arise.
Dividend
At the half-year, the Board decided not to pay an interim dividend as a precaution given the general market uncertainties and instead wait until the year to pay to shareholders a final dividend which reflects the strength of the full year performance once it has been delivered. It is clear, the Company will achieve results ahead of the previous year and the final dividend is expected to reflect this.
Sebastian Morley Chairman of CSSG said:
"Our teams adapted quickly and efficiently to implementing Covid-19 security safe protocols across the hundreds of buildings we protect 365 days a year. This adaptability has been key to maintaining and winning new accounts and our trading performance reflects this. Consequently, we are confident in our ability to continue to navigate through the current trading restrictions and at the same time continue to grow our business."
For further information visit www.cssgroupplc.com or contact:
Croma Security Solutions Group Plc Tel: +44 (0)7768 006 909
Sebastian Morley (Chairman)
WH Ireland Limited Tel: +44 (0)207 220 1666
(Nominated Adviser and Broker)
Mike Coe
Jessica Cave
Novella Tel: +44 (0)203 151 7008
Tim Robertson
Fergus Young