Tenon 'well-placed', says bullish Raynor

Tenon's most senior figure has said the AIM-quoted firm is riding out the 'challenging economic conditions' and is well-placed to cater for increased demand.

The group's recovery and related services revenues will be up more than 30% for the 12 months to 30 June 2009, compared to the previous year, the firm said. The firm will release it annual results on 16 September.

In a trading update released today, Andy Raynor said: 'Tenon has maintained its long-term track record of delivering profits to expectations and has overcome challenging economic conditions. The business is well-placed to take advantage of new opportunities that we have identified for the future.'

Like many other firms, Tenon had to implement cost-cutting initiatives including staff redundancies as the financial crisis took its toll, but said it was now in a more stable position.

'The group’s underlying profits are in line with the expectations set prior to the global financial crisis and the onset of the UK recession, clearly demonstrating the resilience of the portfolio of services offered and our predictable recurring income streams,' the firm said.

Its prospects for the next financial year were encouraging, with the reduced cost base in place and continuing rapid growth in the recovery division.

The firm is also experiencing increased interest in tax and financial planning services, it added.