Pulsar Group PLC shares fell 10% to 25.2p after the audience intelligence group confirmed it is in discussions with HM Revenue & Customs over the timing of VAT and PAYE payments.
The Group's share traded as low as 25.5p in early trading from the previous close of 28p. The fall took the shares to a new 52-week low.
The company issued the statement following recent press speculation about its engagement with HMRC, saying it remained in “regular dialogue” with the tax authority.
Pulsar said substantial payments had already been made and that the remaining amounts were expected to be settled from normal cash collections. It did not disclose the amount still outstanding or specify when the payments would be completed.
The board said underlying trading remained stable, the business was operating normally and it expected to reach a satisfactory conclusion with HMRC.
The disclosure puts the group’s cash position in focus following its latest interim results, which showed net debt of £6.0 million at May 31, compared with £5.6 million at the November year-end. Pulsar said at the time that stronger cash generation was expected to reduce net debt during the second half.
During the half, Pulsar secured new 3-year banking facilities totalling £8.0 million, replacing its previous loan and overdraft arrangements and providing additional financial headroom.
Operationally, the company reported a 10% increase in first-half revenue to £33.0 million and a 39% rise in adjusted EBITDA to £5.1 million, as cost reductions fed through to profitability.
Despite that improvement, Tuesday’s decline extended recent weakness in the shares, which are now trading well below their 2026 high of 48.5p reached in January.
