6 Oct 2015 07:00
Paragon Entertainment Limited ("Paragon" or "Company")
Trading update
Paragon provides the following trading update further to its interim results published on 23 July 2015.
At the time of our interim results we reported that whilst we were satisfied that Paragon is continuing to deliver on the opportunities available to it and is making steady progress, we nevertheless have some hard work ahead of us. The Board is pleased to report that since then the Company has made further commercial progress, and has seen good levels of existing capacity utilisation on various new projects and has won a £5m design and build project for a major theme park in the UAE, which commenced in full production in September.
Notable successes since the interim results are that we have:
· entered into a framework agreement with a leading international retailer to develop experiential retail in their new stores commencing later in 2015 and contributing to achieving our targets for 2016 and beyond;
· commenced work on other projects including Royal Armouries, new International Olympic Museum work, the Chocolate Museum in Dubai, the new gallery at the Centre for Life, a £1.2m children's project in Cairo for an existing Middle East client;
· continued with work on Portsmouth Boat House 4, Train World in Belgium, London Zoo, Al Jabah and Kapsarc;
· completed work for Trafford Centre theming, Rugby Museum in Twickenham, National Space Centre, BBC Figures and Alnwick Castle gardens; and
· renewed our strategic focus on our core 'design and build' business.
As a result of the above the Directors have become increasingly optimistic as to the visibility of earnings for 2016 with good progress made on the order book. Notwithstanding this, due to delays on certain projects the Directors now expect full year results for the current financial year to be below current expectations with 2015 revenue and EBITDA now expected to be approximately £9m and £0.2m respectively.
Mark Taylor, Chairman of Paragon Entertainment Limited commented:
"Although a little slower than we would have liked, we are satisfied with the developing levels of activity and order intake during the second half of FY2015 and we continue to trade in compliance with our banking covenants. Whilst we now see 2015 falling short of expectation we believe that 2016 and beyond will produce pleasing results."
For further information:
Paragon Entertainment Limited Mark Taylor (Chairman)
FinnCap Ltd Julian Blunt / Simon Hicks (corporate finance) Alice Lane (corporate broking) |
01904 680020
020 7220 0500
|
Notes to Editors:
Paragon Entertainment Limited (AIM:PEL) is an award winning provider of attraction services from initial design and production through to the direct operation and development of themed attractions.
It is the holding company for:
· Paragon Creative Limited, a visitor attraction design, production and fit-out business;
· Paragon Entertainment (Attractions) Limited, a visitor attraction and licensing company; and
· The Visitor Attraction Company (TVAC), an attraction consultancy, feasibility and operations company.
The Group's projects have included:
· The design and build of galleries at the Olympic Museum for the IOC in Lausanne, Switzerland;
· The design and build of the galleries at The National Museum of Kazakhstan;
· The design and build of Titanic Belfast;
· The thematic build of the Wallace and Gromit ride at Blackpool Pleasure Beach;
· Licensing and distribution installations at Gullivers, Milton Keynes and Art Mall, Ukraine.
The Group listed on AIM in 2011.
Further information can be found at: http://www.paragonent.com/