Tremor International Tremor warns H1 revenues 27-29% lower due to Covid-19

Tremor International has forecast H1 2020 revenues of between $131m and $135m, which would be 27% to 29% below expectations, with an adjusted underlying loss of between $3m and $6m. Tremor cited the severe impact of the Covid-19 pandemic across the retail, travel, automotive and hospitality sectors, but said an uptick in e-commerce and pharmaceuticals had cushioned the blow.

Advertising company Tremor International said on Thursday trading had been "severely impacted" by the Covid-19 outbreak, with clients cutting advertising budgets across all platforms.

While Tremor said it had made a solid start to 2020 at the time of its full-year results in March, the group stated it now appears that it was "too early" in the outbreak of Covid-19 to have fully assessed the pandemic's impact on its overall outlook.

The AIM-listed group said this was particularly evident in the travel, hospitality, automotive and retail sectors, which have experienced significantly reduced demand since mid-March 2020.

However, Tremor said increased demand in certain industries such as online services, e-commerce and pharmaceuticals had mitigated "some" of the decline.

First-half revenues were now expected to be between $131-135m, 27-29% lower than expected, and said it also anticipates an adjusted underlying loss $3-6m for the half.

Although trading volumes in April were "significantly lower" year-on-year, Tremor did note a recovery began in May - with significant further improvement evident during June.

As of 1050 BST, Tremor shares were down 1.37% at 144.0p.