Business
Trading update and Chairman appointment
Trading update and Chairman appointment.
About this update from Van Elle Holdings Plc
[{"type":"text","content":"\n \n \n RNS Number : 8944O\n Van Elle Holdings PLC\n 04 June 2020\n \n \n \n \n \n \n \n 4 June 2020\n \n \n \n \n \n Van Elle Holdings plc\n \n \n (\"Van Elle\", the \"Company\" or the \"Group\")\n \n \n AIM: VANL\n \n \n \n \n \n \n \n \n Trading update and appointment of Chairman designate\n \n \n \n \n \n Van Elle Holdings plc, the UK's largest ground engineering contractor, today provides an update on the outturn for the year ended 30 April 2020, its operational response to Covid-19 and financial position ahead of publishing the report and accounts for the year ended 30 April 2020 ('FY 2020'), in late August 2020.\n \n \n \n \n \n In addition, the Group is also pleased to announce the appointment of Frank Nelson as a Non-Executive Director and Chair designate with effect from 1 July 2020. \n \n \n \n \n \n Performance in the year ended 30 April 2020 \n \n \n \n \n \n Market conditions during April were consistent with the Board's revised planning assumptions and reflected the closure of many customer sites, particularly across the housing and regional construction sectors, together with considerable supply chain and logistical disruption. As a result, trading in April was within the range of scenarios outlined at time of the Group's announcement of 9 April 2020 (the 'April Update'), with revenues at approximately 20% of pre Covid-19 forecast levels.\n \n \n Group revenues for the year were down approximately 4% compared to FY 2019 at approximately £85 million, but the significant, adverse impact of the Covid-19 outbreak on the final six weeks of the year impacted FY 2020 profitability such that, subject to audit, the Board expects to report an underlying pre-tax loss for the year.\n \n \n Current trading \n \n \n \n \n \n Whilst the Board does not yet believe it is appropriate to reinstate financial guidance for the year to April 2021, it is pleased to report that, following Government guidance regarding a return to work across the wider construction sector, customer activity levels within the Group are beginning to increase. As at 1 June 2020, approximately 30-40% of projects had resumed across the Housing and General Piling divisions, whilst the Specialist Piling, Rail and Geotechnical divisions are operating at approximately 60-70% of pre Covid-19 levels due to...