Dizz Finance plc - Updated Financial Analysis Summary

On 21 June 2024, Dizz Finance plc published an updated Financial Analysis Summary. The following are the main highlights of the expected financial performance and position of Dizz Group of Companies Limited (the Guarantor of the bonds) in 2024:

• Revenues are expected to surge by 17.9% to €26.4 million reflecting the full year contributions from several new retail stores opened at Mercury Towers and ten months of operations from new openings at Shoreline Mall.
• EBITDA is forecasted to drop by 6.6% to €5.3 million.
• Net finance costs are expected to remain relatively unchanged at €2.56 million. Consequently, the interest cover is projected to weaken to 2.1 times from 2.3 times in 2023.
• Total debt is expected to increase by 7.3% (or €3.5 million) to €51.1 million, including €27.1 million in lease liabilities. As a result, the Group’s gearing ratio (calculated as total debt divided by total debt plus equity) is anticipated to climb to 81.5% (31 December 2023: 80.6%).
• Dizz Group is not forecasted to hold any cash balances as at the end of 2024 since its working capital requirements are being funded through bank overdrafts. In view of the expectations of lower EBITDA and higher indebtedness, the net debt to EBITDA multiple is forecasted to weaken to 9.6 times compared to 8.2 times at the end of 2023.