REG - Mountview Estates. - Preliminary Results for year ended 31 March 2019

Mountview Estates P.L.C.Announcement

13/06/2019 07:00

RNS Number : 0174C
Mountview Estates PLC
13 June 2019
 


MOUNTVIEW ESTATES P.L.C.
 
Preliminary Results for the year ended 31 March 2019
 
CHIEF EXECUTIVE OFFICER'S STATEMENT
 
 
On 23 June 2016 the British People voted to leave the European Union and every statement that I have written since then has been conscious of the uncertainties that should have been resolved by 29 March 2019.  Unfortunately those uncertainties are likely to continue at least until 31 October 2019 but I must write this statement in the belief that we will continue to live in a property owning democracy.
 
The headline figures in respect of our financial performance for the year ended 31 March 2019 are detailed under the heading "Financial Highlights" below.  There has been a further fall in the number of sales transactions completed and thus I have to report a further, but more modest, fall in the Group's profits.  Whilst the number of purchases is less than last year we continue to make good purchases and it is these that secure the future prosperity of the Company.  The number of regulated tenancies available for purchase diminishes each year but the number of businesses seeking to acquire these diminishes as well.
 
The Company's gearing remains low and we continue to scrutinise our expenses keenly whilst ensuring that we reward all our loyal staff for their hard work and expertise which is so vital to the future prosperity of the Company.  Also we are comfortable in keeping the final dividend at 200 pence per share, which is payable on 12 August, and thus maintaining the total annual dividend at 400 pence per share which is more than 1.75 times covered.
 
It will be a happier task writing this statement when the various uncertainties have been resolved in such a way that we can again report increased profits and thus an increase in dividends.  In the meantime it is, once again, my pleasure to thank my staff and colleagues for the hard work and loyalty which ensures the continuing well-being of Mountview Estates P.L.C.
 
 
Duncan Sinclair
13 June 2019
 
 
 
MOUNTVIEW ESTATES P.L.C.
 
FINANCIAL HIGHLIGHTS
 




 


 


 


 
   2019


 


 
2018


 


 
(Decrease)/Increase




 


 


 


£


 


£


 


%




 


 


 


 


 


 


 


 




Revenue (millions)


 


 


65.4


 


70.3


 


                       (7.0)
 




 


 


 


 


 


 


 


 




Gross Profit (millions)


 


 


40.8


 


43.4


 


                        (6.0)
 




 


 


 


 


 


 


 


 




Profit Before Tax (millions)


 


 


34.6


 


36.9


 


                       (6.2)




 


 


 


 


 


 


 


 




Profit Before Tax excluding investment properties revaluation (millions)


 


 


       34.3
 


 


37.3


 


                          (8.0)




 


 


 


 


 


 


 


 




Equity Holders' Funds (millions)


 


 


366.9


 


354.5


 


                       3.5




 


 


 


 


 


 


 


 




Earnings per share (pence)


 


 


718.3


 


766.4


 


                       (6.3)




 


 


 


 


 


 


 


 




Net assets per share (£)


 


 


94.09


 


90.91


 


                       3.5




 


 


 


 


 


 


 


 




Dividend per share (pence)


 


 


400


 


400


 


                            




 


 


 


 


 


 


 


 




 
Mountview Estates P.L.C. advises its shareholders that, following the issue of the final results, the relevant dates in respect of the proposed final dividend payment of 200 pence per share are as follows:
 




Ex-dividend date
 


 4 July 2019




Record date


 5 July 2019
 




Payment date


12 August 2019
 




 
  
 
CONSOLIDATED INCOME STATEMENT
 
FOR THE YEAR ENDED 31 MARCH 2019
  




 


Year


 


Year




 


ended


 


ended




 


31.03.2019


 


31.03.2018




 


£'000


 


£'000




 


 


 


 




REVENUE


65,428


 


70,272




 


 


 


 




Cost of sales


(24,627)


 


(26,915)




 


 


 


 




GROSS PROFIT


40,801


 


43,357




 


 


 


 




Administrative expenses


(5,442)


 


(5,507)




Gain on sale of investment properties


-


 


145




 


 


 


 




Operating profit before changes in
fair value of investment properties


35,359


 


37,995




 


 


 


 




Increase/(Decrease) in fair value of investment  properties


287


 


(376)




 


 


 


 




PROFIT FROM OPERATIONS


35,646


 


37,619




 


 


 


 




Net finance costs


(1,079)


 


(714)




 


 


 


 




PROFIT BEFORE TAXATION


34,567


 


36,905




 


 


 


 




Taxation - current


(6,504)


 


(7,197)




Taxation - deferred


(55)


 


173




 


 


 


 




Taxation


(6,559)


 


(7,024)




 


 


 


 




PROFIT ATTRIBUTABLE TO EQUITY SHAREHOLDERS


28,008


 


29,881




 


 


 


 




Basic and diluted earnings per share (pence)


718.3p


 


766.4p




 
 
 
 
.
 
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
 
FOR THE YEAR ENDED 31 MARCH 2019
 




 


 


As at


As at




 


 


31.03.19


31.03.2018




 


 


£'000


£'000




ASSETS


 


 


 




NON-CURRENT ASSETS


 


 


 




Property, plant and equipment


 


 1,710


1,771   




Investment properties


 


28,112


27,825




 


 


 


 




 


 


29,822


29,596




CURRENT ASSETS


 


 


 




Inventories of trading properties


 


392,384


376,879




Trade and other receivables


 


1,915


    1,859




Cash at bank


 


    1,981


       5,368




 


 


 


 




 


 


396,280


384,106




 


 


 


 




TOTAL ASSETS


 


426,102


413,702




 


 


 


 




EQUITY AND LIABILITIES


 


 


 




Share capital


 


        195


     195




Capital redemption reserve


 


          55


       55




Capital reserve                                                                


 


          25


       25




Other reserve


 


          56


       56




 


 


 


 




Retained earnings


 


366,543


354,131




 


 


 


 




 


 


366,874


354,462




NON-CURRENT LIABILITIES


 


 


 




Long-term borrowings


 


  47,250


49,900




Deferred tax


 


4,751


  4,696




 


 


 


 




 


 


  52,001


54,596




 


 


 


 




CURRENT LIABILITIES


 


 


 




Bank overdrafts and short-term loans


 


1,250


463




Trade and other payables


 


2,812


1,843




Current tax payable


 


   3,165


2,338




 


 


 


 




 


 


7,227


4,644




 


 


 


 




TOTAL LIABILITIES


 


  59,228


59,240




 


 


 


 




TOTAL EQUITY AND LIABILITIES


 


426,102


413,702




 
 
 
 
 
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
 
FOR THE YEAR ENDED 31 MARCH 2019
 
 
 




 


 


 


Capital


 


 


 




 


Share


Capital


Redemption


Other


Retained


 




 


Capital


Reserve


Reserve


Reserves


Earnings


Total




 


£'000


£'000


£'000


£'000


£'000


£'000




 


 


 


 


 


 


 




 


 


 


 


 


 


 




Balance as at 1 April 2017


195


25


55


56


335,948


336,279




 


 


 


 


 


 


 




Profit for the year


 


 


 


 


29,881


29,881




 


 


 


 


 


 


 




Dividends


 


 


 


 


(11,698)


(11,698)




 


 


 


 


 


 


 




Balance as at 31 March  2018


195


25


55


56


354,131


354,462




 


 


 


 


 


 


 




 
 
 
 
 




 


 


 


Capital


 


 


 




 


Share


Capital


Redemption


Other


Retained


 




 


Capital


Reserve


Reserve


Reserves


Earnings


Total




 


£'000


£'000


£'000


£'000


£'000


£'000




 


 


 


 


 


 


 




 


 


 


 


 


 


 




Balance as at 1 April 2018


195


25


55


56


354,131


354,462




 


 


 


 


 


 


 




Profit for the year


 


 


 


 


              28,008


                28,008




 


 


 


 


 


 


 




Dividends


 


 


 


 


             (15,596)


               (15,596)




 


 


 


 


 


 


 




Balance as at 31 March  2019


195


25


55


56


366,543


366,874




 


 


 


 


 


 


 




 
 
 
 
GROUP CASH FLOW STATEMENT
 
FOR THE YEAR ENDED 31 MARCH 2019
 
 




                                        


 


 


Year


 


Year




 


 


 


ended


 


ended




 


 


 


31.03.2019


 


31.03.2018




 


 


 


             £'000


 


£'000




Cash flow from operating activities


 


 


 


 


 




 


 


 


 


 


 




Operating profit  


 


 


35,646


 


37,619




Adjustment for:


 


 


 


 


 




Depreciation


 


 


61


 


66




 


 


 


 


 


 




Gain on disposal of investment properties


 


 


-


 


(145)




(Increase)/Decrease in fair value of investment properties


 


 


(287)


 


376




Cash flow from operations before changes in working capital 


 


 


35,420


 


37,916




 


 


 


 


 


 




(Increase) in inventories


 


 


(15,505)


 


(29,499)




(Increase) in receivables


 


 


(56)


 


(246)
 




Increase(Decrease) in payables


 


 


969


 


(108)




 


 


 


 


 


 




 


 


 


 


 


 




Cash generated from operations


 


 


20,828


 


8,063




 


 


 


 


 


 




Interest paid


 


 


(1,079)


 


(714)




Income taxes paid


 


 


(5,677)


 


(10,110)




 


 


 


 


 


 




Net cash inflow/(outflow) from operating activities


 


 


14,072


 


(2,761)




 


 


 


 


 


 




Investing activities


 


 


 


 


 




Proceeds from disposal of investment properties


 


 


-


 


685




Purchase of property, plant and equipment


 


 


-


 


(4)




 


 


 


 


 


 




Net cash inflow from investing activities


 


 


-


 


681




 


 


 


 


 


 




Cash flow from financing activities


 


 


 


 


 




(Repayment)/Increase in borrowings


 


 


(1,863)


 


20,483




Equity dividend paid


 


 


(15,596)


 


(11,698)




 


 


 


 


 


 




Net cash (outflow)/inflow from financing activities


 


 


(17,459)


 


8,785




 


 


 


 


 


 




Net (decrease)/increase in cash and cash equivalents


 


 


(3,387)


 


6,705




 


 


 


 


 


 




 
Opening cash and cash equivalents
 


 


 


 
5,368


 


 
(1,337)




Cash and cash equivalents at the end of the year


 


 


1,981


 


5,368




 
Notes to the Preliminary Announcement
 
1.   Financial Information
 
The financial information presented within this document does not comprise the statutory accounts for the financial years ended 31 March 2019 and 31 March 2018, but represents extracts from them.
 
The statutory accounts for the financial year ended 31 March 2018 have been filed with the Registrar of Companies.  The auditor reported on those accounts: their report was (i) unqualified, (ii) did not include references to any matters to which the auditor drew attention by way of emphasis without qualifying the reports and (iii) did not contain statements under section 498(2) or (3) of the Companies Act 2006.
 
The statutory accounts for the year ended 31 March 2019 are expected to be finalised and signed following approval by the Board of Directors and delivered to the Registrar of Companies following the Company's Annual General Meeting on 7 August 2019.
 
2.   Basis of Preparation
 
The preliminary announcement has been prepared in accordance with International Financial Reporting Standards as adopted by the European Union ("IFRS") but does not contain sufficient information to comply fully with IFRS.  The Financial Statements to be presented to Members at the 2019 AGM are expected to comply fully with IFRS.
 
 ~ Ends ~
 
This announcement contains information which, prior to its disclosure, was inside information for the purposes of the Market Abuse Regulation.
 
  
For further information on the Company, visit: www.mountviewplc.co.uk 
SPARK Advisory Partners Limited (Financial Advisor)   www.sparkadvisorypartners.com 
Miriam Greenwood                                                      0203 368 3553
Mark Brady                                                                  0203 368 3551
 
 




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