Shares in Wearside furniture firm ScS jumped 15% after the firm announced it had reopened the majority of its stores to customers.
The firm, which employs 1,700 people and has 99 stores across the 海角视频, temporarily closed its store and distribution network on March 23 following the announcement of Government guidance on social distancing, a move which saw the business furlough 80% of its staff.
At the weekend, however, as a result of recently updated government guidelines, ScS reopened 80 of its stores in England.
The group’s distribution network has also reopened in England, allowing deliveries to customers to recommence.
In line with guidance from devolved administrations, the company’s 19 stores and distribution networks in Wales and Scotland remain closed, but in a note to shareholders the firm said it continues to monitor the situation closely and will reopen as soon as possible.
The firm said it has also been building a strong balance sheet, drawing down £12m from its revolving credit facility on March 17, meaning that, as of May 25, the group held £48.3m in cash.
It is also reviewing and reducing cash expenditure to protect short term liquidity, while evaluating its capital expenditure plans.
Shares rose more than 15% to 147.5p by yesterday lunchtime, following the stock market notice.
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The statement said: “Throughout the lockdown period, ScS continued to provide support to our customers and employees through dedicated teams, who we enabled to work remotely.
“Whilst it is too early to provide clarity on the outlook for the weeks and months ahead, the group is pleased to have reached this key milestone.
“The board would like to thank our customers for their continued support and our colleagues for their ongoing dedication and professionalism.
“ScS is a resilient business, with a strong balance sheet, coupled with a flexible cost base, and is well positioned to navigate this event and return to growth when the economy recovers.”
In April it was announced that chief executive David Knight had agreed to postpone his retirement from the firm from January next year no earlier than July 2021 as the firm takes action to safeguard its future during the Covid-19 crisis.