Pebble Beach Systems Group PLC Trading update (0485W)

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RNS Number : 0485W

Pebble Beach Systems Group PLC

06 February 2017

Pebble Beach Systems Group plc (the "Company" or the "Group")

Trading update

Pebble Beach Systems Group plc, a leading global software business specialising in solutions for the playout automation serving customers in the broadcast markets, today announces a trading update.

The Company informs shareholders that the results for FY2016 are expected to be materially below the Board's previous expectations.

There was a fall in performance at VCS which was due to the uncertainty caused by the lengthy sale process. In addition there are significant write offs to recognise the final sale price achieved.

Performance at PBS was also slightly below expectations, but with a pipeline at its highest ever and an order intake for January at its highest since 2014, it is fully expected that recent levels of growth will return in 2017.

The bank increased the Company's facility to GBP17.8m in the weeks immediately prior to the sale. While the initial proceeds received from the sale of VCS (GBP5.5m) will reduce this in the medium term, under the terms of the Business Purchase Agreement the Company has to settle creditors in VCS that are over 30 days old. Therefore, the need to settle these and with certain short term financing advisory costs it is not expected that the current level of bank financing will reduce before mid-March. The Board remains in regular dialogue with its bank, who remain supportive. The deferred payment of c. GBP8m ($9.5m) due mid-March will reduce bank borrowings significantly.

For further information please contact:

 
 
 Robin Howe 
  Senior Independent Non-Executive 
  Director 
  Pebble Beach Systems Group          +44 (0) 14 88 
  plc                                  68 55 00 
 
 Charlie Jack / Bertie Berger         +44 (0) 20 77 
  Hudson Sandler                       96 41 33 
 
 Shaun Dobson / James White           +44 (0) 20 74 
  N+1 Singer                           96 30 00 
 

This information is provided by RNS

The company news service from the London Stock Exchange

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February 06, 2017 02:00 ET (07:00 GMT)