Freshwater UK PLC

Trading Update

RNS Number : 6482O
Freshwater UK PLC
11 March 2009
 



Headline: Pre Close Statement 

Embargoed until 0700 on 11 March 2009        


DATE OF PRELIMINARY INTERIM RESULTS ANNOUNCEMENT AND UPDATE ON TRADING FOR THE SIX MONTHS ENDED 28 FEBRUARY 2009


Freshwater, the integrated PR and marketing group with a UK regional network ('Freshwater', 'the Company' or 'the Group'); will announce its interim results for the six months ended 28 February 2009 on Monday 11 May 2009.


As previously reported, Freshwater has experienced challenging trading conditions in the first half of its financial year due to the economic downturn. These conditions have led to a reduction in revenues, particularly in the conference division and in PR services for the consumer and property sectors. However, the Group is steadily improving its margins through a combination of ongoing cost savings and a strong focus on markets where demand is robust, such as the public sector, utilities, energy and transport.  


The Group's successes in being selected for 11 Central Office of Information (COI) and three NHS rosters are leading to an increase in tender opportunities and this is expected to contribute to an improved performance in the second half of the current financial year.


Other recent new business wins include significant additional projects for existing clients including National Grid, Deutsche Bahn, E.ON, John Lewis, NHS London and Imperial College Healthcare NHS Trust.


The Group has now finalised all earn-out liabilities following the completion of the earn-outs, in line with our expectations, relating to the acquisitions of Waterfront Partnership & Conference Company and Merlin Marketing & PR. These businesses have been successfully integrated, providing the opportunity for further growth in the years ahead.


Though market conditions are expected to remain difficult, the directors believe that the unique regional and specialist divisional structure of Freshwater will combine to produce a much stronger performance in the second half of its financial year.


The board looks forward to providing a more detailed update to shareholders in May. 


- Ends -


Further information:

Steve Howell, Chief Executive          02920 545370   

Edward Carter, Director                   0121 633 7775   

                                                          07770 378097



 

Charles Stanley Securities (Nominated Adviser)

Mark Taylor/ Freddy Crossley          020 7149 6000








This information is provided by RNS
The company news service from the London Stock Exchange
 
END
 
 
TSTURUBRKBROAAR