Mind Gym (MIND)

Sector:

Support

Index:

FTSE AIM All-Share

 30.00p
   
  • Change Today:
      0.000p
  • 52 Week High: 62.50
  • 52 Week Low: 29.00
  • Currency: UK Pounds
  • Shares Issued: 100.20m
  • Volume: 63
  • Market Cap: £30.06m
  • RiskGrade: 147

Mind Gym shares plunge on coronavirus uncertainty

By Josh White

Date: Monday 09 Mar 2020

LONDON (ShareCast) - (Sharecast News) - Staff performance company Mind Gym updated the market on its trading for the financial year ending 31 March on Monday, in light of the Covid-19 coronavirus outbreak.
The AIM-traded firm said underlying trading remained strong between the half year-end on 30 September, and the end of January , but said it had since experienced a material impact on revenues from the outbreak of coronavirus.

As the virus had spread from region to region, it said it had observed an increased number of cancellations of booked sessions from clients, and a "material reduction" in new bookings.

Mind Gym said that, given the uncertainty about the extent and duration of the virus outbreak, it was difficult to accurately forecast the full-year impact, but said it was currently anticipating revenues to be in the range of a 10% to 15% increase on the prior year, which was below its previous expectations of revenue growth for the year.

While the company said it was focussed on tight cost control, the sudden fall in revenues so close to the end of the financial year provided limited opportunity to reduce planned expenditure and investment.

As a result, adjusted profit before tax was now expected to be between ?5.8m and ?7.3m.

The board said the strong focus on cash was ongoing, and its cash balance as at 31 March was expected to remain in line or above market consensus expectations for ?14.0m.

The group said it was closely following and regularly monitoring the advice from the World Health Organization, as well as regional and local government advice, and added that it was continuing to assess the situation carefully.

It said it had taken "rapid and decisive" actions to mitigate the potential impact, including working with clients and coaches to switch live face-to-face coaching sessions to virtual web-ex sessions, and promoting its digital proposition as an alternative to live sessions.

Mind Gym said it was also tracking the movement of its staff and coaches and implementing a policy of a minimum two-week self-isolation period, and was minimising travel requirements and accelerating the adoption of remote working practices.

As it had previously planned, the board said it would provide a further trading update on its full year results to 31 March on 27 April.

"Our primary concern now is the health and welfare of our clients, colleagues and coaches," said chief executive officer Octavius Black.

"In a fast-changing environment we continue to assess the impact of Covid-19 on our business, supporting clients with our digital products and managing costs as required."

Black said the firm's cash generative business model and strong cash balance provided resilience during such volatile times.

"We remain committed to our investment in product and people and are confident that this will deliver long term value to shareholders."

At 1249 GMT, shares in Mind Gym were down 34.38% at 105p.

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Note 1: Prices and trades are provided by Digital Look Corporate Solutions and are delayed by at least 15 minutes.

Note 2: RiskGrade figures are provided by RiskMetrics.

 

Mind Gym Market Data

Currency UK Pounds
Share Price 30.00p
Change Today 0.000p
% Change 0.00 %
52 Week High 62.50
52 Week Low 29.00
Volume 63
Shares Issued 100.20m
Market Cap £30.06m
RiskGrade 147

Mind Gym Star Ratings

Compare performance with the sector and the market.
more star ratings
Key: vs Market vs Sector
Value
27.42% below the market average27.42% below the market average27.42% below the market average27.42% below the market average27.42% below the market average
26.09% below the sector average26.09% below the sector average26.09% below the sector average26.09% below the sector average26.09% below the sector average
Price Trend
79% below the market average79% below the market average79% below the market average79% below the market average79% below the market average
89.9% below the sector average89.9% below the sector average89.9% below the sector average89.9% below the sector average89.9% below the sector average
Income Not Available
Growth
17.5% below the market average17.5% below the market average17.5% below the market average17.5% below the market average17.5% below the market average
19.15% below the sector average19.15% below the sector average19.15% below the sector average19.15% below the sector average19.15% below the sector average

What The Brokers Say

Strong Buy 1
Buy 0
Neutral 0
Sell 0
Strong Sell 0
Total 1
strong_buy
Broker recommendations should not be taken as investment advice, and are provided by the authorised brokers listed on this page.

Mind Gym Dividends

  Latest Previous
  Interim Final
Ex-Div 19-Dec-19 01-Aug-19
Paid 15-Jan-20 30-Aug-19
Amount 0.90p 1.60p

Trades for 19-Jul-2024

Time Volume / Share Price
15:29 33 @ 30.50p
10:06 30 @ 33.00p

Mind Gym Key Personnel

CFO Dominic Neary

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