Pulsar Group Plc (LSE:PULS) has moved to clarify its position following recent media reports concerning discussions with HM Revenue & Customs, confirming that it remains in regular contact with the UK tax authority regarding the timing of certain VAT and PAYE payments.
The company said it has already made substantial payments towards its tax obligations and expects to meet its remaining liabilities through cash generated from normal collections. This suggests that the outstanding amounts are expected to be managed through the group’s existing cash flows rather than requiring alternative sources of funding.
Board Says Trading and Operations Remain Stable
Pulsar Group said underlying trading remains stable and that its operations are continuing as usual despite the ongoing discussions with HMRC.
The Board expects the matter to reach a satisfactory conclusion and sought to reassure shareholders that the discussions do not currently undermine the group’s operational or financial stability. Further announcements will be issued if required as the situation develops.
The clarification follows market speculation surrounding the company’s tax position and provides investors with additional context on its liquidity and ability to meet the outstanding payments.
Financial Performance Continues to Weigh on Outlook
Despite the reassurance surrounding its HMRC discussions, Pulsar Group’s broader financial picture remains challenging. Declining revenue, pressure on gross margins and continued net losses are among the main factors weighing on the outlook.
Technical indicators are also weak, with the share price trading below key moving averages and the MACD remaining negative. Negative earnings additionally limit the usefulness of conventional valuation measures.
There are some more supportive elements. Leverage remains relatively modest, while the return to positive operating and free cash flow in 2025 represents an improvement. However, continued cash-flow volatility and the absence of sustained profitability leave the overall financial position dependent on further operational progress.
More about Pulsar Group Plc
Pulsar Group Plc is a UK-based company listed on AIM under the ticker PULS. The group has said its underlying trading remains stable and that business operations are continuing normally while it maintains regular engagement with HMRC.
Ongoing customer cash collections are expected to support the settlement of its remaining tax obligations as the company works towards resolving the timing of its outstanding VAT and PAYE payments.
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