A trio of key figures are to quit a listed supplier of displays to the gaming and industrial sectors.
Nexteq plc, based in Cambridge, is listed on London’s junior AIM market. Its Densitron brand supplies platforms and displays to industrial sectors such as manufacturing, while Quixant supplies them to the casinos and gaming sector.
Its share price dropped around 36% yesterday after reporting expected H1 2024 group revenue would fall 15% to $48.2 million compared with last year. Nexteq said H2 revenues are expected to be broadly in line with H1, which would result in FY24 revenues 15%-20% below market expectations.
Blaming ‘persistent softer customer demand’ across both divisions through the first half of the year ‘in line with wider industry de-stocking’, it also expects adjusted profit before tax to be 30%-40% below market expectations.
In a further blow, CEO Jon Jayal (pictured, centre), CFO Johan Olivier (right) and non-executive chair Francis Small (left) have told the board that they intend to step down and leave the group in the coming months. They intend to continue in their roles until successors have been identified, to facilitate an orderly handover.
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“I am incredibly proud of what we have achieved at Nexteq and of our team of talented people,” said Jayal. “Having considered the decision carefully for a number of months, I believe that now is the right time for me to seek new opportunities and for the Board to introduce new leadership with fresh skills and experience to drive the next stage of the Company’s development.
“I look forward to supporting the group through this transition.”
Those sentiments were echoed by Olivier and Small, while Nick Jarmany, founding director and deputy chair of Nexteq, wished them well.
“Whilst I am sorry to see Francis, Jon and Johan leave, I respect their decisions which have been carefully considered over some time and I am looking forward to welcoming new leadership to Nexteq to support our growth strategy,” he said.
“While we will be sorry to see [Jon] go, we believe there will be fresh opportunities unlocked by new leadership in supporting the group’s next chapter of growth.”