Cost Reduction Programme, CEO Appointment, Webcast

Hostmore PLC

02 May 2023

 

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN WHOLE OR IN PART, DIRECTLY OR INDIRECTLY, IN OR INTO OR FROM ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS OR REGULATIONS OF SUCH JURISDICTION.

This announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 ("MAR"), and is disclosed in accordance with the Company's obligations under Article 17 of MAR.

2 May 2023

Hostmore plc

Cost Reduction Programme, Appointment of CEO & Results Webcast

Cost Reduction Programme

Further to the FY 2022 results announcement on 28 April 2023 (the "Results Announcement"), Hostmore plc ("Hostmore" or the "Company" and with its subsidiaries the "Group") today is announcing a further cost reduction programme resulting in £4.1m of annualised savings. The implementation of this additional cost reduction has utilised £0.3m of cash.

The cost reduction announced today is in addition to the £1.8m of annualised savings disclosed in the Results Announcement, bringing the total aggregate cost reduction to £5.9m on an annualised basis and total cash implementation costs to £0.6m.

Substantially all affected employees and service providers relating to this new cost reduction have now left the Group, with the annualised savings beginning to accrue during Q2 2023. Accordingly, these new reductions are expected to benefit FY 2023 results by approximately £2.8m, with the full annualised saving to benefit FY 2024 results.

In total, the two cost reduction actions are expected to benefit FY 2023 results in aggregate by approximately £4.0m.

These cost reduction measures have been identified as part of the Board's efforts to control costs and drive productivity at all levels of the organisation. The Board continues to review all opportunities to improve the Group's financial results.

Appointment of CEO

The Board of the Company is pleased to announce today that, after conducting a wide ranging and thorough search, Julie McEwan has been appointed permanent Chief Executive Officer of Hostmore effective immediately. Since 10 January 2023, Julie has been acting as the Interim Chief Executive Officer and was previously the Chief Operating Officer since joining Hostmore in February 2022. Prior to joining Hostmore, Julie was at Big Table Group (previously Casual Dining Group), latterly as Brand Director of Las Iguanas. She has previously held management roles at Spirit Pub Company, Premier Inn, and Whitbread.

Julie will also join the Board as a director of the Company at the conclusion of the upcoming annual general meeting on 7 June 2023.

Julie's remunerative package will be in accordance with the Company's Remuneration Policy and will be fully disclosed in next year's Directors' Remuneration Report.

The Company confirms that there is no further information to be disclosed under the requirements of Listing Rule 9.6.13R in relation to Julie's appointment.

Gavin Manson, Chairman, commented:

"Julie has impressed the Board immensely during her period as Interim CEO and her positive impact is already being felt throughout the organisation.

The Board is pleased that Julie has accepted the permanent CEO position and we look forward to working with her to deliver on our key objectives for the business."

Results Webcast

As noted in the Results Announcement, Stephen Welker, Chairman-Designate, Julie McEwan, Chief Executive Officer, and Alan Clark, Chief Financial Officer, will be hosting a webcast with a live Q&A for investors and analysts at 10:00am today. The presentation relating to this call is now available on the Company's website at www.hostmoregroup.com/results-reports-presentations.

The attendee links and conference call details for the presentation are detailed below:

Webinar Registration link: https://bit.ly/MORE_FY22_webinar

Webinar ID: 827 8445 9359

Conference Call: 0203-7696819

Conference Code: 592967

A recording of the presentation will be made available on the Company's website at www.hostmoregroup.com/results-reports-presentations in due course.

ENDS

Enquiries

Hostmore plc

Alan Clark, Chief Financial Officer

Email: [e-mail]

Dentons Global Advisors

Jonathon Brill / James Styles     Tel: [phone]

Email: [e-mail]

 

END