Grafenia said it expected full year results to be in line with revised market forecasts for revenue, EBITDA and net cash despite mixed trading conditions since its late update on 21 February.
The group said transactional print revenues in February ended behind the same period last year but revenues from print in March were strong, significantly ahead of both its internal budget and the corresponding period last year.
The group said the board expects full year results to be in line with revised market expectations for revenue, EBITDA and net cash.
Grafenia has warned that full year earnings and are likely to be significantly behind market expectations.
The group said that while it was making progress with its transformation plan, a material part of its revenues continued to come from transactional print volumes and soft demand in January and early February would impact full year earnings.
At 9:13am: (LON:GRA) Grafenia share price was -1.5p at 6.13p
Grafenia has completed the acquisition of the entire share capital of Liverpool based ADD Signs (Arthur Diamond Design Limited).
Mark Eccleston, the vendor of ADD Signs, joins Grafenia as regional director of the main operating company in the group. He will continue to lead the team at ADD Signs and develop the business.
In the year ending 31st December 2016, ADD Signs' turnover was approximately £375,000. Grafenia chief executive Peter Gunning said "After working on projects with Mark and his team for several years, we are delighted to welcome them to the Grafenia family.