UAE – Mubasher: Network International Holdings plc, listed on the London Stock Exchange (LSE), updated its financial guidance for fiscal year 2020, based on the current conditions.
The leading enabler of digital commerce across the Middle East and Africa (MEA) is forecast to generate revenues between $133 million and $134 million during the first half of 2020, according to a statement on Monday.
These figures represent a flat year-on-year (YoY) performance in the first quarter of the year and a 23% YoY growth in the second quarter.
For the full-year 2020, the company is expected to record a 17-20% YoY drop in total revenue.
“In the Middle East, we anticipate a gradual recovery of domestic spending through the second half but little return of international spending,” the statement showed.
“In Africa, whilst the business is more focused towards Issuer Solutions, the WHO has indicated Covid-19 has yet to peak and we therefore expect to see further pressure on card issuance and transaction volumes.”
The company affirmed that its balance sheet and liquidity are still robust and are expected to “remain comfortably within our financial covenants.”
In addition, the company will move forward with its plan to expand in Saudi Arabia and develop an on-soil data centre.