LONDON (ShareCast) - (Sharecast News) - Engineering and technology recruitment company Gattaca updated the market on the year ending 31 July on Friday, reporting that trading during April, May and June, reflecting the impact of UK government measures due to Covid-19, was 41% below last year.
The AIM-traded firm said "significant" action had been taken to improve liquidity, with the group now in a net cash position with strong working capital and liquidity.

New covenants had been agreed with the company's principal lender, HSBC, through to July 2021.

The board said the group-wide improvement plan had been accelerated, with a particular focus on improving the sales impact and client service, and on cost reduction.

"The Covid-19 pandemic has created unprecedented challenges for Gattaca and for UK industry in general," said chief executive officer Kevin Freeguard.

"However, I am pleased with the way the business has responded and the resilience we have shown.

"During the period, we have taken a number of measures to strengthen the business, including the acceleration of the group-wide improvement plan, and the outstanding response from our staff to the challenges arising from Covid-19 has enabled Gattaca to perform ahead of our expectations in these difficult circumstances."

Freeguard said the balance sheet had continued to improve beyond its normal cycles, increasing its financial stability, with the "significant liquidity" set to allow the company to "aggressively pursue" growth opportunities to take advantage of the inevitable recovery in its markets.

"In particular, we are well aligned with the anticipated UK government investment targets such as infrastructure and other STEM-driven sectors where Gattaca has a significant track record and capability.

"Gattaca is a resilient business and I am confident that our performance through this crisis, together with the acceleration of the improvement plan, will enable Gattaca to emerge stronger as the recovery takes shape."

At 0849 BST, shares in Gattaca were up 14.31% at 49.72p.

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