REG - Dewhurst PLC - Half-year Report <Origin Href="QuoteRef">DWHT.L</Origin>

DewhurstAnnouncement

07/06/2016 07:05

RNS Number : 3325A
Dewhurst PLC
07 June 2016
Dewhurst plc (the "Group")
Interim Results for the 6 months ended 31 March 2016
Directors' Interim Report
FIRST HALF
As we expected and indicated in our statement at the AGM, market conditions were challenging during the first half resulting in sales and profits both lower than last year. Overall, Group revenue decreased 6% to 21.3 million (2015: 22.8 million), with profit before tax decreasing by 24% to 1.7 million (2015: 2.2 million). Adjusted operating profit* of 1.9 million (2015: 2.5 million) is also down 24% on last year and earnings per share dropped to 13.1p (2015: 18.6p). The Group balance sheet remains strong with cash of 14.0 million (2015: 13.0 million).
The first quarter performance was particularly weak. Sales did recover in the second quarter but confidence remains somewhat fragile. In our lift businesses the UK and Australia were generally weaker, while North American sales were up. Keypad sales were well down and there was also a change in the mix of our customers' products. Transport products, however, bounced back from last year's low levels to record an improvement. Currency movements reduced reported Group revenue by approximately 0.4 million in the first six months. The weaker Australian and Canadian Dollars caused the reduction but were partially offset by other currencies.
OUTLOOK
At the moment demand overall seems to be continuing at the level of the second quarter. Looking forward there is a great deal of uncertainty in the political and economic situation and there are outcomes that might have a positive or negative impact on the business. We do know that public sector spending restraints are unlikely to ease any time soon and customers' concerns about pricing are unlikely to diminish; so we are focussed on trying to carefully control our expenditure whilst continuing to push ahead with appropriate investments to improve the business for the longer term.
DIVIDENDS
The Directors have declared an interim dividend of 3.00p (2015: 3.00p) which amounts to 254,000 (2015: 254,000). The interim dividend is payable on 23 August 2016 and will be posted on 18 August 2016 to shareholders appearing in the Register on 8 July2016 (ex-dividend date being 7 July 2016).
A final 2015 dividend of 10.00p (2014: 6.20p) which amounted to 847,000 (2014: 525,000) was approved at the AGM held on 2 February 2016 and was paid on 17 February 2016 to members on the register at 22 January 2016.
By Order of the Board
J C SINCLAIR
Finance Director & Secretary
6 June 2016
* Operating profit before goodwill write down, amortisation of acquired intangibles and gain on property disposal


Dewhurst plc
The unaudited consolidated statement of comprehensive income, balance sheet, statement of changes in equity and cash flow statement of Dewhurst plc and its subsidiaries for the half-year ended 31 March 2016, as compared with the corresponding half-year ended 31 March 2015 and the year ended 30 September 2015, shows the following results:
Consolidated statement of comprehensive income

Half year
Half year
Year

ended
ended
ended

31 March
31 March
30 September

2016
2015
2015
Continuing operations
000's
000's
000's




Revenue
21,332
22,772
45,946
Operating costs
(19,488)
(20,364)
(40,271)
Adjusted operating profit*
1,931
2,549
5,588
Gain on disposal of property
-
-
357
Amortisation of acquired intangibles
(87)
(141)
(270)
Operating profit
1,844
2,408
5,675




Finance income
62
48
107
Finance costs
(226)
(232)
(464)
Profit before taxation
1,680
2,224
5,318
Taxation
Est.(571)
Est. (645)
(851)
Profit for the financial period
1,109
1,579
4,467




Other comprehensive income:



Actuarial gains/(losses) on the defined benefit pension scheme
Est.(1,249)
Est. (122)
(884)
Deferred tax effect
225
(44)
177
Total that will not be subsequently reclassified to income statement
(1,024)
(166)
(707)




Exchange differences on translation of foreign operations
1,247
(256)
(1,282)
Deferred tax effect
(224)
28
257
Total that may be subsequently reclassified to income statement
1,023
(228)
(1,025)
Other comprehensive income/(expense) for the period, net of tax
(1)
(394)
(1,732)
Total comprehensive income for the period
1,108
1,185
2,735




Profit for the period attributable to:



Equity shareholders of the company
1,079
1,565
4,406
Non-controlling interests
30
14
61

1,109
1,579
4,467




Total comprehensive income for the period attributable to:



Equity shareholders of the company
1,006
1,194
2,759
Non-controlling interests
102
(9)
(24)

1,108
1,185
2,735




Basic and diluted earnings per share
13.09p
18.63p
51.99p
Dividends per share
3.00p
3.00p
13.00p
* Operating profit before goodwill write down, gain on disposal of property and amortisation of acquired intangibles

Dewhurst plc
Consolidated balance sheet

Half year
Half year
Year

ended
ended
ended

31 March
31 March
30 September

2016
2015
2015

000's
000's
000's
Non-current assets



Goodwill
3,096
3,016
2,695
Other intangibles
90
307
171
Property, plant and equipment
9,139
8,458
8,581
Deferred tax asset
2,350
2,073
2,491

14,675
13,854
13,938




Current assets



Inventories
4,346
4,496
4,751
Trade and other receivables
9,515
10,087
8,056
Current tax assets
-
-
-
Cash and cash equivalents
14,038
13,045
14,958

27,899
27,628
27,765
Total assets
42,574
41,482
41,703




Current liabilities



Trade and other payables
4,196
5,085
4,502
Current tax liabilities
443
468
348
Short-term provisions
428
1,031
318

5,067
6,584
5,168
Non-current liabilities



Retirement benefit obligation
12,994
11,868
12,197
Total liabilities
18,061
18,452
17,365
Net assets
24,513
23,030
24,338




Equity



Share capital
847
847
847
Share premium account
157
157
157
Capital redemption reserve
290
290
290
Translation reserve
940
724
(11)
Retained earnings
21,729
20,464
22,521
Total attributable to equity shareholders of the company
23,963
22,482
23,804
Non-controlling interests
550
548
534
Total equity
24,513
23,030
24,338


Dewhurst plc
Consolidated statement of changes in equity
For the period ended 31 March 2016 









Share
Share
Capital
Translation
Retained
Non
Total

capital
premium
redemption
reserve
earnings
controlling
equity


account
reserve


interest


(000)
(000)
(000)
(000)
(000)
(000)
(000)








At 1 October 2015
847
157
290
(11)
22,521
534
24,338
Profit for the period
-
-
-
-
1,079
30
1,109
Other comprehensive income and expense







Exchange differences on 
translation of foreign operations 
-
-
-
1,175
-
72
1,247
Actuarial gains/(losses) on defined benefit pension scheme
-
-
-
-
(1,249)
-
(1,249)
Deferred tax effect
-
-
-
(224)
225
-
1
Total comprehensive income
-
-
-
951
55
102
1,108
Shares repaid 1
-
-
-
-
-
(86)
(86)
Dividends paid
-
-
-
-
(847)
-
(847)








At 31 March 2016
847
157
290
940
21,729
550
24,513
For the period ended 31 March 2015 









Share
Share
Capital
Translation
Retained
Non
Total

capital
premium
redemption
reserve
earnings
controlling
equity


account
reserve


interest


(000)
(000)
(000)
(000)
(000)
(000)
(000)








At 1 October 2014
847
157
290
929
19,590
635
22,448
Profit for the period
-
-
-
-
1,565
14
1,579
Other comprehensive income and expense







Exchange differences on 
translation of foreign operations 
-
-
-
(233)
-
(23)
(256)
Actuarial gains/(losses) on defined benefit pension scheme
-
-
-
-
(122)
-
(122)
Deferred tax effect
-
-
-
28
(44)
-
(16)
Total comprehensive income
-
-
-
(205)
1,399
(9)
1,185
Shares repaid 1
-
-
-
-
-
(78)
(78)
Dividends paid
-
-
-
-
(525)
-
(525)








At 31 March 2015
847
157
290
724
20,464
548
23,030
1 This relates to Dual Engraving Pty Ltd repurchasing shares from Michael Cook (held by D.E. Corporate Pty Ltd) in proportion to his 30% non-controlling interest.


Dewhurst plc
Consolidated statement of changes in equity (cont'd)
For the year ended 30 September 2015









Share
Share
Capital
Translation
Retained
Non
Total

capital
premium
redemption
reserve
earnings
controlling
equity


account
reserve


interest


(000)
(000)
(000)
(000)
(000)
(000)
(000)








At 1 October 2014
847
157
290
929
19,590
635
22,448
Profit for the year
-
-
-
-
4,406
61
4,467
Other comprehensive income and expense







Exchange differences on 
translation of foreign operations 
-
-
-
(1,197)
-
(85)
(1,282)
Actuarial gains/(losses) on defined benefit pension scheme
-
-
-
-
(884)
-
(884)
Deferred tax effect
-
-
-
257
177
-
434
Total comprehensive income
-
-
-
(940)
3,699
(24)
2,735
Shares repaid 1
-
-
-
-
-
(77)
(77)
Dividends paid
-
-
-
-
(768)
-
(768)








At 30 September 2015
847
157
290
(11)
22,521
534
24,338
1 This relates to Dual Engraving Pty Ltd repurchasing shares from Michael Cook (held by D.E. Corporate Pty Ltd) in proportion to his 30% non-controlling interest.
These half-year abbreviated financial statements are unaudited and do not constitute statutory accounts within the meaning of Section 435 of the Companies Act 2006.The results for the year ended 30 September 2015 set out above are abridged. Full accounts for that year reported under IFRS, on which the auditors of the Company made an unqualified report have been delivered to the Registrar of Companies.
The presentation of these Interim Financial Statements is consistent with the 2015 Financial Statements and its accounting policies, but where necessary comparative information has been reclassified or expanded from the 2015 Interim Financial Statements to take into account any presentational changes made in the 2015 Financial Statements or in these Interim Financial Statements. 


Dewhurst plc
Consolidated cash flow statement

Half year
Half year
Year

ended
ended
ended

31 March
31 March
30 September

2016
2015
2015

000's
000's
000's
Cash flows from operating activities



Operating profit
1,844
2,408
5,675
Depreciation and amortisation
418
450
991
Additional contributions to pension scheme
(662)
(663)
(1,343)
Exchange adjustments
201
(368)
(251)
(Profit)/loss on disposal of property, plant and equipment
(8)
-
(423)

1,793
1,827
4,649
(Increase)/decrease in inventories
405
5
(250)
(Increase)/decrease in trade and other receivables
(1,459)
(888)
1,143
Increase/(decrease) in trade and other payables
(306)
(17)
(896)
Increase/(decrease) in provisions
110
72
(641)
Cash generated from operations
543
999
4,005
Tax paid
(435)
(136)
(428)
Net cash from operating activities
108
863
3,577




Cash flows from investing activities



Subsidiary share repurchase - non-controlling interest element 1
(86)
(78)
(77)
Proceeds from sale of property, plant and equipment
10
-
458
Purchase of property, plant and equipment
(622)
(161)
(893)
Development costs capitalised
-
-
(61)
Interest received
62
48
107
Net cash generated from/(used in) investing activities
(636)
(191)
(466)




Cash flows from financing activities



Dividends paid
(847)
(525)
(768)
Net cash used in financing activities
(847)
(525)
(768)




Net increase/(decrease) in cash and cash equivalents
(1,375)
147
2,343
Cash and cash equivalents at beginning of period
14,958
12,928
12,928
Exchange adjustments on cash and cash equivalents
455
(30)
(313)
Cash and cash equivalents at end of period
14,038
13,045
14,958



1 This relates to Dual Engraving Pty Ltd repurchasing shares from Michael Cook (held by D.E. Corporate Pty Ltd) in proportion to his 30% non-controlling interest.
For further details please contact: 
Dewhurst Plc  Tel: +44 (0) 208 744 8200 
Richard Dewhurst, Chairman 
Jared Sinclair, Finance Director 
Cantor Fitzgerald Europe  Tel: +44 (0) 207 894 7000 
David Foreman / Will Goode (Corporate Finance) 
David Banks (Sales)

This information is provided by RNS
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