Trading update: revenue in FY21 is expected to be materially ahead of consensus market expectations
Gateley (AIM:GTLY), the legal and professional services group, provides the following update in respect of the Group's trading for the year ended 30 April 2021 ("FY21").
The Board is pleased to report that, following a very strong end to the financial year, revenue in FY21 is expected to be materially ahead of consensus market expectations*. As a result of the Group's continuing prudent approach to costs and cash management, profitability is therefore expected to be more significantly ahead of consensus market expectations with a cash position at 30 April 2021 substantially ahead of consensus market expectations.
The Board confirms that it intends to recommence dividend payments, and will pay a dividend for this financial year in line with its previous policy of distributing up to 70% of profit after tax. The Board is also pleased to announce that as part of this total dividend payment for the year, it intends to declare an interim dividend of 2.5p per ordinary share, details of which will be announced in due course.
Rod Waldie, Chief Executive Officer of Gateley, said:
"I am delighted to report this outperformance, which demonstrates the Group's well balanced and resilient business model and provides further validation of our strategy to continue to build a substantial and well-diversified professional services group."
Further details will be provided in a pre-close trading statement, which will be announced later this month.
*Gateley believes consensus market expectations, prior to this announcement were: revenue of £111.7m, Adjusted PBT of £14.7m and net cash of £8.4m.