Altitude Group continues to withhold guidance

Marketplace operator Altitude Group withheld guidance again on Tuesday but sought to reassure investors that it remained "focused, nimble and responsive" to the current crisis posed by the Covid-19 pandemic.

Altitude highlighted that from mid-March and throughout April and May, its supplier partners reported "sharp" year-on-year declines of up to 80% in regular promotional product orders, in-line with wider industry reporting.

However, with US States beginning to emerge from shutdown, activity increased through its marketplace - with demand for traditional products showing "modest increases" as order activity for June came to around 50% of the level seen twelve months earlier.

Revenue from subscription and fixed program fees, comprising approximately 25% of the company's sales, were not reliant on transactional volume and were said to have been only "minimally affected" by Covid-19.

Cash and liquidity was also a concern, slipping from £2.5m to £2m despite receiving $500,000 in funding under the US Federal Payroll Protection Program. Altitude stated it remained debt-free, continued to be cautious in its approach to all discretionary spend and was carefully managing cash whilst adapting marketing and sales plans.

As of 0955 BST, Altitude shares had slumped 14.63% to 24.33p.