Croma Security Solutions Group plc, the AIM listed total security services provider, announces its final results for the year end ended 30 June 2020.
· Positive operational and trading response to Covid-19 which has resulted in EBITDA of £1.75m (2019: £1.87m), an uplift on previous guidance representing a better than expected performance by the Group
· Generated revenue of £32.3m (2019: £34.6m) reflecting the temporary retail closures during the period being partially offset by increased demand for manned guarding services
· Reported profit before tax was reduced to £87k (2019: £1.48m) including two non-cash items, an increased depreciation charge of £0.57m under IFRS16 and an impairment charge of £0.86m primarily driven by an increase in the Group's cost of capital
· Board's ongoing confidence reflected in an increased final dividend of 1.2p making a total dividend for the year of 1.95p (2019: 1.8p)
· Excellent financial platform with net cash of £4.1m
· Significant contract wins in the period
o £5 million per annum contract effective from June 2020 with leading owner and developer of central London property
o £1.3 million per annum contract commencing 2021, with Savills to manage the security for the Edinburgh St James Centre
· PROception had another strong year and is now fully integrated into the Croma Vigilant offering
· Retail network slowed in-line with Covid-19 restrictions but re-opened in July with trading moving back to normal levels
· Successful execution of our business continuity strategy to manage the disruption caused by Covid-19
· Strategy remains focused on creating a national network of Croma Security Centres alongside setting new standards in providing premium guarding services.
· Trading post the year end is progressing well underlining the Group's ability to continue to operate successfully during the Covid-19 crisis
· Potential new acquisition opportunities arising out of the pandemic
Sebastian Morley, Chairman of CSSG, said,
"We are pleased with the way the Group has responded to the current crisis. The trading performance for the year was resilient and this has continued into the current financial year. Demand for our premium security services has been consistent and while the retail side of our business has naturally dipped this has been partially offset by an increase in manned guarding services. Looking ahead, the Group has high levels of cash reserves, no borrowings and remains well placed to expand its security network with interesting new opportunities arising in our markets as a result of the pandemic."