- Engineering company Monadelphous Group (MND) has withdrawn its revenue guidance for the 2020 financial year, in response to ongoing COVID-19 impacts
- The company originally predicted a 10 per cent revenue growth for the financial year
- Due to the continuing uncertainty surrounding the coronavirus, Monadelphous can not currently provide any guidance for the financial year
- Monadelphous shares have fallen 5.33 per cent, and are trading at $9.97 each
Engineering company Monadelphous Group (MND) has withdrawn its revenue guidance for the 2020 financial year, due to COVID-19.
The company initially released its guidance to the market in its half-year financial report, on February 18, 2020. At the time, Monadelphous predicted roughly 10 per cent growth in revenue, but acknowledged that this was dependent on the coronavirus.
Since then, the virus has spread at an unanticipated rate, causing widespread fear and an economic downturn. Governments across the globe have implemented preventative measures to prevent infection, which have also taken their toll.
In response to the resulting economic slowdown, Monadelphous has withdrawn its previously published guidance.
Unfortunately, the COVID-19 outbreak continues to sustain an environment of uncertainty, in which the company can not predict upcoming results. At this time, Monadelphous is unable to provide revenue guidance for the financial year ending June 30, 2020.
Monadelphous Managing Director, Rob Velletri, commented on the company’s reaction to the unprecedented crisis.
“The company is taking decisive action to manage the business, keep our personnel safe, sustain business continuity, and ensure it remains well-positioned for when conditions stabilise,” Rob stated.
“While the situation is evolving quickly, there have been no confirmed cases of COVID-19 at Monadelphous to date. We have implemented detailed protocols to inform management of potential cases within our workforce, and how we will address and response to cases within our business,” he continued.
Rob concluded: “We will continue to support our customers and the communities in which we operate during this challenging time.”
Monadelphous shares have fallen 5.33 per cent, and are trading at $9.97 each at 11:36 am AEDT.