Arena Events Group has revealed its audited results for the 15 months ended March 31, 2020. To better reflect the seasonality of the business the group has changed its year-end to March, with a transitional 15-month period containing two seasonally quiet calendar Q1 periods.

Arena’s financial highlights include:

  • Group revenue increased by 36 per cent to £183.2 million
  • Adjusted EBITDA(1) grew by nine per cent to £13.2 million
  • Operating loss of £19.6 million, after goodwill impairment of £16.1 million
  • Loss after taxation of £22.9 million

Greg Lawless, chief executive officer of Arena Event Group, said of the results: “The results to the end of March 2020 reflect a solid performance with no new acquisitions during the period, a focus on consolidating the 2018 acquisitions as well as delivering operational improvements in both the US and UK divisions. The progress made over the last 18 months meant that we were looking forward to a record performance in the 2020/21 financial year, based on a strong, efficient operational base as well as the prospects of delivering a number of very high- profile events, including the Ryder Cup, the Tokyo Olympics alongside our roster of longstanding, annual contracted events such as Wimbledon and the PGA Tour.

“However, since March, the world for mass gatherings at sporting events has been decimated with no large-scale gatherings of any kind anywhere in the world since April – and these restrictions are likely to continue for the most part of 2020. Our business has had to react quickly to this dramatic and changing environment with little or no sport event revenues from March of this year.

“Our first priority has been to protect the health and well-being of our colleagues and customers, and we have implemented strict guidelines on working within accepted social distancing practices. We have also had to take swift and decisive action to reset our operational cost base to match the significantly reduced revenue profile. We also adapted by switching our focus to delivering solutions such as temporary hospitals and drive through test centres, which were an enormous boost to the April and May revenues. This type of revenue has now reduced and our focus over the next few months will be on managing our cost base and cash resources to extend the runway of the business into 2021 and beyond.

“We have been fortunate to have secured financial support from our shareholders and our bank HSBC which, coupled with our ‘Press Pause’ plan, puts us in a relatively strong position to withstand the impact of the lost revenues for the remainder of this year, with the hope that we see a return to mass gatherings at sporting events in early 2021.”