Home Commercial News Eurocell got £1m insurance payout following a cyber attack

Eurocell got £1m insurance payout following a cyber attack

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Eurocell gets £1m insurance payout after cyber attack

The data breach hampered trading in July, which allowed an unauthorised third party to access worker information.

The end of July saw a cyber intrusion that caused some brief inconvenience, according to Eurocell. The situation was successfully handled, and as of mid-August, company operations and transactions continued as usual. Our cyber insurance claim has now been substantially settled, and we anticipate recording compensation exceeding £1 million as an underlying item in our financial accounts for 2022, primarily for business interruption. The insurer and I are still working to resolve the claim’s outstanding issues.

The information was revealed in a trading update that also acknowledged a round of layoffs that occurred at the company late last year when the market began to slump.

According to Eurocell, “We concluded a restructuring programme in Q4 2022, which, combined with other cost-saving initiatives, will cut operational expenses by roughly £5 million per annum starting in 2023. This was done in anticipation of weaker markets in 2023. In our 2022 financial statements, a charge of about £2 million will be listed as a non-underlying item related to the programme. Additionally, until the economic picture is more certain, we plan to halt our branch opening initiative temporarily.

For the fiscal year that concluded on December 31, 2022, Eurocell reported group revenues of £384 million, an increase of 12% over 2021. Subsidiary pre-tax earnings are anticipated to be in line with market forecasts.

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