Immotion Group PLC AGM Trading Update (5511X)

TIDMIMMO

RNS Number : 5511X

Immotion Group PLC

01 September 2020

September 1st 2020

Immotion Group plc

("Immotion Group", the "Company")

AGM Trading Update

We are pleased to report that since our last update on July 29(th) 2020, trading has continued to be encouraging across the sites that have operated during the summer period.

We currently have 16 Partner sites where our attraction is operating, plus we have traded at four of the ImmotionVR sites throughout the summer.

Our ImmotionVR sites have operated on limited opening times, but have all traded strongly, generating a profitable contribution after all local costs. We are working closely with landlords on flexible arrangements that could, we believe, lead to further opportunities as we head to the Christmas period.

Whilst visitor numbers are generally down in Partner sites, due, we believe, in the main to COVID-19 related restrictions on attendance levels, average revenue per headset has been encouraging despite the reduced visitor numbers. In two of our larger locations we have seen demand for additional seats as utilisation was running at near capacity.

That said, a number of our attractions in key Partner sites have remained closed as a result of COVID restrictions on interactive attractions and other local and partner social distancing requirements. This is obviously a dynamic situation and one which can vary state-to-state in the USA. We continue to work with Partners in a proactive manner and have introduced increased hygiene protocols. We continue to work with Partners to help as far as we can in getting un-opened sites operational.

Mandalay Bay, our largest partner installation to date, has now had almost a month of trading and the reaction has been very positive. Visitor numbers through August at Shark Reef Aquarium have been close to the currently-permitted daily cap of 1,000.

Whilst much uncertainty and disruption remains and numerous sites remain closed, we are encouraged by revenues for August from both our operational Partner estate and ImmotionVR sites. The re-opening of these sites, along with the opening of Mandalay Bay, should result in a significantly reduced loss in August and is a major step forward in achieving the short term objectives of monthly EBITDA breakeven and operating cashflow neutrality.

We continue to focus on working with Partners to help more existing sites open, as well as launching our in-home offering and seeking to generate additional contribution from the Uvisan products.

The Uvisan UV sanitisation cabinets have been well received by both our VR Partners and initial third- party customers. Whilst still early days, sales to third parties are encouraging, with a number of important healthcare and industrial partners taking cabinets on a short trial basis. We believe there are many uses for this product beyond our own requirements and approaches are now being made to a number of sectors, including schools and universities.

We expect to launch the Let's Explore in-home consumer product later this month. We will be updating the market in full on this product over the coming weeks.

We will release our interim results (which will reflect the majority of the lockdown period) by the end of September. A further detailed update on outlook and trading will be made with those results.

Martin Higginson, CEO Immotion Group plc said: "With more and more of our Partner sites opening we have seen revenues increase each week, our Undersea Explorer Virtual Reality Theatre at Mandalay Bay has been very well received by customers."

"The introduction of our Uvisan sterilisation cabinets has helped us reassure both partners and customers allowing us to operate safely in any location. The product has to date been well received by third parties. We are in talks with some large potential customers which could lead to sizable orders."

"The Let's Explore in-home offering is reaching completion and we look forward to updating the market fully on this exciting new launch in the next week, or so."

Enquiries:

 
 Immotion Group              Martin Higginson   Tel: [phone] 
 WH Ireland Limited          Adrian Hadden      Tel: [phone] 
  (Nomad and Joint Broker) 
 Shard Capital Partners      Damon Heath        Tel: [phone] 
  LLP                         Erik Woolgar 
  (Joint Broker) 
 Leander Capital Partners    Alex Davies        Tel: [phone] 
  Limited 
  (Joint Broker) 
 
 

**ENDS**

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September 01, 2020 02:00 ET (06:00 GMT)