Filta Group, the provider of fryer management and other services to commercial kitchens, said this morning that it continues to maintain a strong cash position despite the challenges facing the market and has secured a £1.2m loan from the government’s Coronavirus Business Interruption Loan Scheme (CBILS).
Since the beginning of the year, the company has been cash generative and held gross cash at the end of May of £3.6m (compared to £2.9m at 31 December 2019), with net debt being £1.4m (£2.1m at 31 December 2019).
“This has been achieved through diligent cash flow management and the utilisation of available government support schemes,” the firm said in a trading update ahead of its AGM today.
“Additionally, the group received proceeds of £1.2m from the Coronavirus Business Interruption Loan Scheme on 10 July, further strengthening our cash position. We continue to work proactively on protecting profit and conserving cash and are actively managing costs as we ramp up the business to meet increasing demand.”
Filta said that its core services operated at well below full capacity through May and June in the UK, but the group has seen gradual monthly improvements with May turnover some 14% up on April and June a further 38% up on May.
It added that it has been pleased with the interest it has received in its FiltaShield sanitisation and protect service, which was launched during the pandemic.
“In the week commencing 6 July 2020, FiltaShield generated circa £50,000 in revenue and, with the number and value of customer quotations continuing to increase, we are optimistic that, as our markets in the US and UK continue to reopen over the coming weeks and months, we will see an increasing contribution from that service.”
The company added: “We are mindful that the coronavirus pandemic remains highly unpredictable and will undoubtedly lead to some level of continued disruption to trading in the coming months. However, the mitigating steps that we have taken leave us well placed to weather these unprecedented trading conditions.”