("Tracsis" or the "Company")
Tracsis is a leading provider of software, hardware and services for the rail, traffic data and wider transport industries, and is pleased to provide an update on current trading, and the impact of Covid-19 on the Group.
Overall trading since the commencement of the Covid-19 crisis has been better than originally expected but naturally has had an adverse impact on the business. The Group estimates that the impact on current year revenue will be in the region of £10m, with our Traffic Data and Events business units most affected by project cancellations and postponements. The Group therefore expects to report full year revenues of circa £46m.
Despite the Covid-19 challenges, the Traffic & Data Services division has continued to secure new work and the impact of the reduced revenue on profitability has been mitigated to an extent by a range of actions taken to reduce the cost base across the business.
As noted previously, our Rail Technology & Services businesses have continued to trade very well as the performance of these segments is underpinned by high levels of recurring Software revenue. We continue to deliver a number of large multi-year projects whilst winning new work and have a good pipeline of future opportunities.
Current cash balances remain strong at circa £16m, after making all tax and acquisition related payments due.
A further, more detailed update will be provided in August 2020, once the July year end draft management accounts have been completed.
Tracsis plc | Tel: 0845 125 9162
Chris Barnes, CEO
Max Cawthra, CFO
finnCap Ltd | Tel: 020 7220 0500
Christopher Raggett/Scott Mathieson, Corporate Finance
Andrew Burdis, Corporate Broking