NAHL Group revenues impacted by lockdowns

Consumer legal services firm NAHL Group said on Wednesday that revenues for the five months ended 30 November were approximately 15% lower year-on-year.

NAHL said volumes across each of its businesses had shown "a steady recovery" throughout the third quarter and while it did also note that the impact of the second national lockdown and localised restrictions had impacted volumes, the group stated that it was "to a lesser extent" than the first national lockdown.

The AIM-listed group said it had taken "proactive steps" to manage its balance sheet throughout the year by reducing costs and maximising liquidity, with the business continuing to benefit from strong free cash flow generation in the second half.

As a result, NAHL further reduced its net debt to £17.1m as of 30 November.

Looking forward, NAHL said given the "economic uncertainty" caused by ongoing Covid-19 restrictions, the medium-term outlook for the group remained "hard to predict". However, having taken "appropriate actions" to strengthen the business, NAHL believes it remains "well placed" to benefit from a sustained recovery as and when restrictions ease.

As of 1115 GMT, NAHL shares were up 2.91% at 46.0p.