Accesso has outlined cost savings measures including mandatory salary reductions across all US staff in response to the coronavirus outbreak.
The London-listed firm, which provides virtual and online ticketing solutions and virtual queueing technology solutions for attractions, said in a market update that the virus has been significantly impacting guest visitation across the majority of its customers and its transactional based revenue since mid-March.
The group, which employs around 550 people, said it has undertaken immediate cost savings measures including mandatory salary reductions across all US staff and voluntary salary reductions for non-US based staff, elimination of discretionary expenses and suspension of the company’s matching contribution to the 401K programme for US-based staff.
“The objective of these measures is to offset the anticipated revenue shortfall through May 2020,” said Accesso in a statement.
“Should the impacts from COVID-19 extend into the European and North American summers, an extension of these measures along with additional actions will be required.
“Given the extreme fluidity of this situation, and given the Group’s busiest trading period lies ahead, the group refrains from providing a definitive trading outlook for the current financial year at this time.”
Accesso said trading for the first two months of 2020 was in line with management’s expectations, taking into account typical seasonal activity during the European and North American winter months.
Steve Brown, Accesso’s chief executive, said: “We will continue to monitor the impact of COVID-19 and do all we can to support our business, its people and our customers at this time.”
The group’s response came as it this week reported a slight year-on-year dip in revenues to $117.2m in 2019. It said this was due to lower than anticipated new customer wins and a reduction in non-repeatable revenue recognised in the year.
The company also reported adjusted earnings (EBITDA) of $28.2m, down from $34.8m in the prior year.
Accesso’s partners include the New York Botanical Gardens, the National World War II Museum in New Orleans, the new entertainment complex St. Louis Aquarium and three ski resorts across the US: Holiday Valley, Sierra-at-Tahoe and Perfect North.
Its share price has dipped from an all-time high of £29.75 in September 2018 to just 150p today (Friday) – a total fall of around 95%.