1pm profits hit by 'significant' Covid-19 interruption

Finance provider 1pm full-year revenues and profits were set to slide despite having turned in a "satisfactory" trading performance for the year ended 31 May amid significant interruption to normal activities on the back of the Covid-19 pandemic.

1pm said pre-tax profits were set to drop 62.9% to £3m, mainly due to £5.1m of provisioning, while revenues were seen coming in at £29.1m for an 8.49% year-on-year drop.

The AIM-listed company noted it had obtained additional funding under Downing Street's Coronavirus Business Interruption Loan Scheme to help buffer the blow of loan forbearance, of which it had granted £900,000 to customers.

1pm added that it had obtained additional funding of £3.1m for business operations and arranged funding facilities of £6.3m to deploy as a lending partner under the government's scheme.

The group also said payment of interim and final dividends for the year would be deferred until the impact of the pandemic on its operations was clearer.

As of 1130 BST, 1pm shares had slipped 5.78% to 21.20p.