Character Group Withdraws Guidance Amid Trade Tariff Headwinds
Why we think this is bad
The trading update from Character Group indicates that the company is facing significant headwinds due to the imposition of trade tariffs by the US, which is impacting its ability to forecast sales and assess the financial implications. The company has withdrawn its market guidance for the current financial year as a result, signaling a deterioration in its performance outlook.
Key Points
- Character Group withdraws market guidance for the year ending 31 August 2025 due to the impact of US trade tariffs
- The company's visibility for forecasting sales to the US market, which accounted for around 20% of Group turnover, has been considerably obscured
- The Board remains confident that the Group will be profitable for the current financial year as a whole
Summary
Character Group has withdrawn its market guidance for the year ending 31 August 2025 due to the impact of US trade tariffs on its sales and financial performance. The company states that the recent imposition of trade tariffs and escalating retaliatory measures have greatly impacted global economic stability, obscuring its visibility for forecasting sales to the US market, which accounted for around 20% of Group turnover in the last financial year. Despite this, the Board remains confident that the Group will be profitable for the current financial year as a whole.