Warpaint says too early to asses impact of Covid-19
Cosmetics company Warpaint said on Thursday that the outbreak of the coronavirus will dent the business but it is too early to determine the extent of the impact on the current financial year.
Warpaint acknowledged the broader disruption in the retail environment, particularly in Europe, caused by government restrictions on movement, temporary shop closures and changes in shopping behaviour. However, it said the impact on its business has been limited so far.
The company said it was "closely monitoring" the evolving impact on demand on a country-by-country and retailer-by-retailer basis.
"Whilst the outbreak will inevitably have a negative impact on the business, given the uncertainty and rapidly evolving government and central bank response, it remains too early to determine the level of impact on the company's results for the current financial year," it said.
"To date there have been no material issues with the company's supply chain, Chinese suppliers are returning to normal levels of production and the company is maintaining healthy levels of stock."
At 1200 GMT, the shares were down 14% at 40p.