(Sharecast News) - Medical technology provider Inspiration Healthcare Group shares hit a record low early on Wednesday as it said a material export order that was due at the end of January remains outstanding.
Inspiration Healthcare still expects to receive the outstanding order in the current financial year but was not able to confirm a date due to "factors outside of its control".
As a result, Inspiration has been in discussions with its bank regarding covenant tests on its debt facility and has sought and received a waiver from its lender. Alternate covenants have been agreed until 30 April 2025 and Inspiration also said it was also "investigating alternate financing options" in the event the order is not received.
Additionally, the AIM-listed company noted that Q1 had also seen a continuation of "the challenging trading conditions" experienced in the second half of the last year and expects sales in the current year to be "significantly second-half weighted".
"Excluding the material export order, underlying growth in the group's business is expected to be mid-single digits for the financial year overall, and with some ongoing pressure on margins. In addition, Sales at Airon Corporation, the group's newly acquired business in Florida have started the year positively and the business is reporting significant growth over the prior year," said Inspiration. "In the meantime, the group continues to focus on delivering on its growth strategy internationally."
As of 1030 BST, Inspiration Healthcare shares had slumped 41.97% to an all-time low of 17.99p.
Reporting by Iain Gilbert at Sharecast.com