Michelmersh 'swiftly' returns to full operational capacity

18th Jun 2020 09:08

(Sharecast News) - Brick manufacturer Michelmersh said on Thursday that it has "swiftly" returned to full operational capacity since recommencing production at all of its plants on 21 April.
Michelmersh said the impact of the Covid-19 related closures hit turnover up to the end of May, with UK turnover down 25% year-on-year and Belgian turnover "less affected".

While the AIM-listed group has "taken encouragement" from the positive return of manufacturing capacity and was intent on satisfying customer demand, chairman Martin Warner said there was still "some uncertainty" over the length of time until trading normalises and stated that it remained "too early to make judgements on expectations for 2020 and beyond".

In order to retain its strong financial base, with cash balances of over £18m and net debt of just £7m, Michelmersh said it had taken steps to insulate the group.

Michelmersh also said it had implemented new safe operating procedures, with all of the group's facilities being subject to "rigorous ongoing monitoring" in order to protect and reassure staff.

As of 0905 BST, Michelmersh shares were up 1.52% at 100.0p.