Trading Update - Improved Outlook

RNS Number : 3603Z

Gattaca PLC

21 May 2021

 

21 May 2021

Gattaca plc

Trading Update - Improved Outlook

("Gattaca", the "Group" or "the Company")

Gattaca plc, the specialist Engineering and Technology recruitment solutions business, today issues a trading update for FY ending 31 July 2021.

Since we announced our half year results on 31 March we have seen a faster rate of recovery in NFI than originally expected. In Q3 we are pleased to have delivered quarter-on-quarter UK NFI growth of 13% across a broad range of segments. In addition, the changes arising from the introduction of new tax legislation (IR35) had less of an impact on the Company than we anticipated.  We now expect NFI in H2 to be in the order of 10% up on H1 2021. We are continuing our successful recruitment drive and making targeted investment in sales and delivery headcount, whilst closely managing our cost base. Our Global technology platform, providing the Group with a fully integrated and flexible centralised system, was launched successfully in the U.K. during April.

Whilst there remains uncertainty around Covid-19, our current expectation is that this rate of recovery will continue, and we therefore expect our underlying continuing profit before tax for the year to 31 July 2021 will be significantly ahead of market expectations.

In light of the improved performance and assuming a continuation of the current positive trends, the Board anticipates the recommendation of a modest dividend when the full year results are announced.

Kevin Freeguard, CEO commented:

"We are pleased with our Q3 performance. Our people are capitalising on the opportunities to move us at pace as we grow beyond the pandemic. The strategy and focus on STEM skills and Contract staffing is serving us well and we are seeing improved underlying activity across our core markets, including Infrastructure and Defence."

For further information please contact:

Gattaca plc	[phone]
Kevin Freeguard, Chief Executive Officer
Salar Farzad, Chief Financial Officer
Liberum Capital Limited (Nomad and Broker)	[phone]
Lauren Kettle
Robert Morton
Euan Brown
Citigate Dewe Rogerson	[phone]
Toby Mountford
Jos Bieneman
Elizabeth Kittle

 

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