- Investment company, Gowing Bros (GOW) expects to be significantly impacted by COVID-19
- The company’s two main businesses, Pacific Coast Shopping Centres and Surf Hardware, are retail customer focused and will suffer a big impact on its sales
- The company is also giving its small retailers a three-month rental abatement to ease the financial burden
- The Board has taken a reduction in their pay to help keep the business running
- On the market close for the weekend, Gowing Bros is down 6.15 per cent and is selling shares for $1.45 each
Investment company, Gowing Bros (GOW) expects to be significantly impacted by COVID-19.
The companies two main businesses, Pacific Coast Shopping Centres and Surf Hardware, are retail customer focused.
There will be a significant reduction in sales and revenue to the second half of the financial year due to the restrictions around COVID-19.
Gowing has taken various approaches in its shopping centres such as social distancing and making hand sanitisers more available.
It has also extended, mostly to its smaller retailers, a three-month rental abatement from April 3 until at least June 30. This could be extended if the virus continues.
The Board has taken a reduction in their pay to help keep the business running. Additionally, Gowing Bros is closely monitoring its expenditure and reducing capital where necessary.
“We thank the Federal Government for their Job Keeper initiative, as this will enable us to keep a number of employees on our payroll,” the company said.
“We continue to work constructively with our main financier, the CBA, to ensure we retain their support through this crisis period,” it added.
Gowing Bros said this is a very challenging time for the company and is collectively working together to get through this crisis.
On the market close before the weekend, Gowing Bros is down 6.15 per cent and is selling shares for $1.45 each.