Harvey Nash Group PLC AGM Statement (5026J)

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RNS Number : 5026J

Harvey Nash Group PLC

29 June 2017

29 June 2017

AGM Statement

Strong position to generate growth

At today's Annual General Meeting of Harvey Nash Group plc, the global recruitment and professional services group, Julie Baddeley, Chairman, will provide the following update to shareholders:

"We set out our clear strategy of focusing on technology and digital talent in the Group's preliminary results announcement on 27 April 2017. This, underpinned by the Group's robust financial position, puts us in a strong position to generate growth, both organically and through carefully selected acquisitions. A number of acquisitions are being actively considered, each of which would be subject to stringent financial hurdles, and the Board is optimistic of being in a position to announce one or more transactions in the current financial year.

"The Group is performing in line with management expectations for the financial year so far, and ahead of the prior year, despite geo-political headwinds including the UK General Election.

"The immediate outlook is positive, with the key measure of contractor work in progress being comfortably ahead of last year.

"Following the appointment of Mark Garratt as Group Finance Director earlier in the year, the Executive Directors have been undertaking a thorough review of the Group's operations and cost base. As a result we are in the process of implementing a transformation programme including actions to streamline the business and reduce central overhead. Measures have already been taken which will result in a reduction in ongoing trading costs of approximately GBP1m in the current year. One-off incremental cash costs of approximately GBP1.25m in relation to this exercise will be incurred in the current year in addition to the costs of closing the Hong Kong office and of the proposed move to AIM both previously announced with the preliminary results in April. Further cost saving actions will be taken later in the year.

"As previously announced, subject to shareholder approval to be sought later today, it is the company's intention to move to the AIM market on 28 July 2017."

This announcement contains inside information for the purpose of Article 7 of the Market Abuse Regulation (EU) No. 596/2014

 
 Enquiries: 
 Harvey Nash      Albert Ellis (CEO) and     Tel: 020 
                   Mark Garratt (CFO)         7333 2635 
 Hudson Sandler   Michael Sandler / Hattie   Tel: 020 
                   O'Reilly / Fern Duncan     7796 4133 
 

This information is provided by RNS

The company news service from the London Stock Exchange

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June 29, 2017 02:00 ET (06:00 GMT)