Symphony Environmental Tech. PLC Trading Update (0552X)

TIDMSYM

RNS Number : 0552X

Symphony Environmental Tech. PLC

17 December 2019

17 December 2019

The information communicated within this announcement is deemed to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014. Upon the publication of this announcement, this information is considered to be in the public domain

SYMPHONY ENVIRONMENTAL TECHNOLOGIES PLC

("Symphony", the "Company" or the "Group")

Trading Update

Symphony Environmental Technologies Plc (AIM: SYM), a global specialist of technologies that enhance the properties of plastic and complementary non-plastic products by making them biodegradable or resistant to external factors, announces a trading update for the financial year ending 31 December 2019.

Revenues for the second half of 2019 are now expected to be not less than GBP4.1 million, broadly similar to the first half. Accordingly, revenues for the full year 2019 will be below market expectations resulting in an operating loss of approximately GBP0.5 million. We reported in our Interim Results on 27 September 2019 that sales in the first half had been impacted due to inventory adjustments by some of our customers as a result of legislative clarification in certain markets. These factors persisted throughout the second half, as both business drivers, legislation and enforcement activities regarding the manufacture of plastics, remain in a fluid period of change. Consequently, higher d2w purchases expected in Q4 2019 have been deferred and are now expected to be placed in Q1 2020.

Net cash and cash equivalents totalled GBP1.2 million as at 30 November 2019 (30 June 2019: net borrowings of GBP0.4 million).

Michael Laurier, CEO of Symphony stated: "As previously reported, we are uncertain as to the timing of when sales will increase, but we believe this will be in the short rather than longer-term. The global issue of how-to best deal with plastics is hotly debated and being resolved in different ways from country to country. The business environment that we are engaged in is complex but it continues to open many opportunities to the pipeline of technologies that we have developed. Whilst these factors have affected Symphony's financial results for the year ending 31 December 2019, the Board remains confident in delivering an improved financial performance going forward."

Enquiries

 
 Symphony Environmental Technologies Plc 
 Michael Laurier, CEO                          Tel: [phone] 
                                                5900 
 Ian Bristow, CFO 
 www.symphonyenvironmental.com 
 
 Cantor Fitzgerald Europe (Nominated Adviser 
  and Joint Broker) 
 David Foreman, Michael Boot (Corporate        Tel: [phone] 
  Finance)                                      7000 
 Caspar Shand Kydd, Maisie Atkinson (Sales) 
 
 Hybridan LLP (Joint Broker) 
  Claire Louise Noyce                            Tel: +44 (0) 203 
                                                 764 2341 
 

The person responsible for arranging the release of this information is Michael Laurier, CEO of the Company.

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact [e-mail] or visit www.rns.com.

END

TSTLLFFDFFLRLIA

(END) Dow Jones Newswires

December 17, 2019 02:00 ET (07:00 GMT)