Altitude Group PLC shares jumped on Tuesday, after it said it expects financial year 2023 results to be materially ahead of current market expectations

Altitude is an operator of a marketplace for the promotional products industry. Its shares were up 23% at 41.20 pence each in London on Tuesday morning. The stock hit an intraday high of 45.00p, which also is a 52-week high.

Altitude said that as a result of strong trading and underlying performance, it expects financial year 2023 trading to be materially ahead of current market expectations. External market consensus for the year ending March 31 is currently revenue of £16.5 million and adjusted earnings before interest, tax, depreciation and amortisation of £1.5 million.

This would be up by more than a third from £11.9 million in revenue and £1.1 million in adjusted operating profit in financial 2022.

In November, Altitude posted revenue of £7.7 million for the six months ended September 30, up 29% from £5.9 million a year before. Pretax loss narrowed to £133,000 from £414,000, as gross profit increased by 40% to £3.9 million from £2.8 million.

Having invested in the development and growth of its Merchanting programmes, the company now expects that it will continue to experience revenue and Ebitda growth through the remainder of calendar year 2023 and 2024.

It also said that it has secured an increase in its working capital credit facility with TD Bank NA to $1.5 million. It was previously $700,000. The facility is currently undrawn.

Chief Executive Nichole Stella said: ‘Following a number of positive market updates earlier in the year, we are delighted with this continued progress and are expecting to achieve record year-end results. In addition to our improved trading so far this year, we have invested in growing market share and have a reassuringly strong pipeline of opportunities.’

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