"I am very proud of the way my colleagues have managed their businesses during the COVID-19 pandemic. Our decentralised model promotes high quality local leadership and, together with the right oversight, this has allowed us to quickly focus on the wellbeing of our colleagues; continue to provide essential products and services to our customers; and actively support our local communities by supplying specific products to help those most in need in the COVID-19 battle.
Diploma has a resilient business model and a strong balance sheet and we have taken decisive actions to protect our cash flows and liquidity, all of which give me confidence as lockdown measures start to ease and we enter the next phase of managing our businesses through this crisis."
Johnny Thomson, Group CEO
Diploma has a resilient and proven business model. We are well diversified by sector and geography. We serve predominantly into operating rather than capital budgets. Our culture is built around a decentralised structure that encourages accountability and agility in our leaders. These are all characteristics of our resilience and adaptability in more challenging times.
The Group also has access to over £50m of funding through cash and committed facilities and we feel therefore well placed to navigate the financial impact of the crisis. However, this is an unprecedented situation and so we are taking actions to ensure we have sufficient cash and liquidity. These include temporary restrictions on discretionary expenditure, capital expenditure and continued focus on managing working capital.
Diploma has a robust financial position, with a strong balance sheet and liquidity and these actions to conserve cash are to ensure the Group remains well placed for long term success.
We continue to work closely with all our businesses to manage our response to the outbreak of COVID-19 as effectively as possible and continue to make a difference to all of our stakeholders.
Making a Difference
Diploma is playing an important role in contributing to the global fight against COVID-19. We have organised our response around Diploma Making a Difference - Our Colleagues, Our Customers and Our Communities. Below we set out the initiatives that we are undertaking for these three important groups.