Brighton Pier Group PLC (AIM:PIER), the leisure and entertainment business that owns the iconic seaside attraction, saw its share price plummet by 33% after it provided a gloomy trading update for the first half of its financial year ending June 31, 2023.
The company said it faces increasing economic pressure due to a decrease in disposable incomes and consumer confidence, which led to sales lagging behind 2022's numbers.
The second quarter has been particularly challenging, investors were told. Rising inflation has also impacted food, beverage and staffing costs, squeezing the company's operating margins.
These factors combined are expected to push earnings after tax below market expectations.
At 8.30am, the shares were off 19p at 38p.