Tough trading hits RSM Tenon's share price
Net cash outflows to increase, improvement expected in second half of RSM Tenon's financial year
RSM TENON’S share price has slid dramatically after warning of tough trading conditions.
In its AGM statement to the stock exchange, chief executive Andy Raynor said that all service lines had experienced ‘challenging trading conditions’ and continuing ‘erratic’ markets.
Net cash outflows, which the firm normally reports in the first half of its financial year, have been ‘exacerbated’ due to the trading environment. The firm will release its half-year interim statement, to 31 December 2011, in February.
RSM Tenon’s share price ended trading yesterday at 9.4p, from 14p.
“We continue to be in compliance with our obligations to our lenders and are focused on maintaining this position,” said Raynor (pictured).
“While the board continues to be mindful of the economic uncertainty, we have a strong market position as one of the leading accounting-based service providers in the UK and were recently proud to be recognised as National Firm of the Year at the British Accountancy Awards 2011.”