Business
Update on 2019 audit & preliminary results
Update on 2019 audit & preliminary results.
About this update from M&c Saatchi Plc
[{"type":"text","content":"\n \n \n \n RNS Number : 5611A\n M&C Saatchi PLC\n 30 September 2020\n \n \n \n Update on 2019 results, temporary suspension of share trading, 2020 trading and strong financial position\n \n M&C Saatchi plc (the Company), along with its subsidiaries (the Group), today announces the following:\n \n · The audit of the Group's financial results for the year ended 31 December 2019 is expected to be complete within a matter of weeks, but not before the filing deadline of 30 September 2020.\n \n · The Company therefore expects that trading in its shares will be temporarily suspended from 07.30 on 1 October 2020 until publication of the audited 2019 financial results.\n \n · Given the audit process is so close to completion, the Company is issuing its preliminary unaudited non-statutory financial results for the year ended 31 December 2019 in order to provide shareholders with as comprehensive and accurate a picture of the Company's results and financial position as possible.\n \n · 2019 unaudited net revenue of £256.4m (2018 restated: £250.3m), unaudited headline profit before tax of £18.3m (2018 restated: £23.5m) and unaudited statutory loss before tax of £(8.6)m (2018 restated: £(6.3)m)\n \n · Total accounting adjustment to historical headline profit before tax (2018 and prior years) of £14.0m (vs. £11.6m previously identified).\n \n · Additional adjustments of £11.3m to historic accounts (2018 and prior years) due to change in accounting policy for put options, and goodwill impairments. These are non-cash adjustments and have no impact on headline profit.\n \n · The Group continues to trade well and profitably in 2020, with £20m of net cash at 22 September 2020 (vs. £17m as at 31 December 2019).\n \n Update on 2019 audit process and temporary suspension of share trading\n As previously announced, the Company was granted a three-month Covid-19 extension to the filing deadline for its audited financial results for the year ended 31 December 2019 by AIM Regulation in accordance with the Inside AIM guidance published on 26 March 2020, such that the Company is required to publish its 2019 audited financial results by 30 September 2020.\n The 2019 audit process has taken longer than had been expected as a result of the desire of the Company and its auditors to conduct significant testing in the context of the Co...