SpaceandPeople PLC Trading Update (7877E)

TIDMSAL

RNS Number : 7877E

SpaceandPeople PLC

11 May 2017

THE INFORMATION CONTAINED WITHIN THIS ANNOUNCEMENT IS DEEMED BY THE COMPANY TO CONSTITUTE INSIDE INFORMATION AS STIPULATED UNDER THE MARKET ABUSE REGULATION. UPON THE PUBLICATION OF THE ANNOUNCEMENT VIA A REGULATORY INFORMATION SERVICE, THIS INFORMATION IS CONSIDERED TO BE IN THE PUBLIC DOMAIN.

SpaceandPeople plc

("SpaceandPeople" or the "Group")

Trading Update

SpaceandPeople, (AIM: SAL) the retail, promotional and brand experience specialist, is pleased to announce a trading update for the first four months of 2017.

Revenue and profit before tax for the first four months of 2017 were ahead of management expectations as a result of strong sales in the Group's UK promotions division in particular. Although revenue across the business remains weighted towards the second half of the year, the Board is confident that the strong start to 2017 will be maintained throughout the year.

In addition to this improved revenue generation, the Group has successfully renegotiated the terms of the German retail division's contract with ECE. The resulting reduction in rental costs in 2017 means that this contract will now trade more profitably than had been anticipated previously.

As a result of the increased revenues and reduced costs, the Board now anticipates profit before taxation for the financial year ending 31 December 2017 will be approximately GBP1.1 million and Basic EPS will be approximately 4.5 pence.

Cash generation in the business has been strong during the year to date and this is also expected to continue throughout the remainder of the year. Management expects net cash for the year ending 31 December 2017 to be approximately GBP1.25million.

Matthew Bending, Chief Executive Officer, commented

"I am pleased to be able to report that 2017 has started strongly. The combination of better than forecast revenues and reduced costs along with the positive impact of the restructuring carried out in 2016 has meant that profitability so far this year has been ahead of expectations and I look forward to this continuing throughout the rest of 2017".

For further information, contact:

 
 SpaceandPeople Plc           0845 241 8215 
 Matthew Bending, Gregor 
  Dunlay 
 
 Cantor Fitzgerald Europe     020 7894 7000 
 David Foreman, Will Goode 
  (Corporate Finance) 
  Alex Pollen / David 
  Banks (Sales) 
 

About SpaceandPeople plc:

SpaceandPeople facilitates and manages promotional space for marketing campaigns and retailing in shopping centres, railway stations, retail parks, airports and other high footfall locations. SpaceandPeople is at the forefront of developing the concept of space as an advertising and promotional medium. It offers consumer brands the opportunity to promote their products through direct engagement with consumers through a mix of experiential marketing events and complementary above the line advertising and multimedia campaigns. SpaceandPeople offers a comprehensive service covering brokerage, consultancy and venue centric media buying. SpaceandPeople is independently funded and its shares are admitted to trading on AIM. The Company operates in the UK and Germany and also in India.

www.spaceandpeople.com

This information is provided by RNS

The company news service from the London Stock Exchange

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May 11, 2017 02:00 ET (06:00 GMT)