Shares of listed law firm slip on profit warning | News


A cyberattack and war in Ukraine have been cited as the main reasons why a listed company is suffering from disappointing revenues and profits.

Ince said today that pre-tax profits for the year ended March 31, 2022 would likely be “below market expectations”. Annual global revenue is expected to fall 3% to £97m after what the company described as a “challenging” final quarter.

Ince said the resurgence of Covid-19 in the UK, the continued impact of the pandemic in Hong Kong and China and the effect of the conflict in Ukraine on its main global shipping market were all contributing factors. origin of the lackluster results.

In March, the company was also hit by a cyberattack, halfway through an IT systems integration in Asia. Disaster recovery procedures have been put in place, including taking some systems offline, with a team of specialists appointed to handle the situation.

The group said today: “Our first concern was to minimize the effect on the client’s work. Once the data loss was quantified, it was clear that the effects of the attack had primarily been on non-customer data and our own internal systems, which have now been largely restored. We continue to investigate the matter and restore some data, but we remain vigilant and have successfully implemented upgrades to our IT systems and controls.

Ince added that the “overwhelming majority” of costs incurred will be covered by insurance, and although operating conditions have been difficult, systems are now largely restored and there should be no long term effect. term on the group’s financial performance.

The publication of the final results is likely to be delayed until September following the long acquisition from business adviser and stockbroker Arden Partners in April.

Group Chief Executive Adrian Biles said today: The Covid-19 lockdown in the UK in December 2021 and January 2022 had a negative effect on financial performance, as did similar issues in Asia, and on top of that the group was extremely unhappy to have been victim of a cyberattack in March. The hurdles and timeline applied to the acquisition of Arden caused a great deal of frustration. Now complete, we can move forward to pursue our vision and continue to grow our multi-talented global professional services group.

Ince’s share price fell almost 15% at 11am today to 20p. A year ago, the group was trading at 71.5p.

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