REG - Trifast PLC - Preliminary Results - year ended 31 March 2017 <Origin Href="QuoteRef">TRFT.L</Origin> - Part 2
13/06/2017 07:06
- Part 2: For the preceding part double click ID:nRSM8723Ha
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6. TAXATION
Recognised in the income statement 2017£000 2016£000
Current UK tax expense:
Current year 520 554
Adjustments for prior years (8) 210
512 764
Current foreign tax expense:
Current year 4,756 3,052
Adjustments for prior years (138) 19
4,618 3,071
Total current tax 5,130 3,835
Deferred tax expense:
Origination and reversal of temporary differences (454) (196)
Adjustments for prior years (34) (787)
Deferred tax income (488) (983)
Tax in income statement 4,642 2,852
Tax recognised directly in equity 2017 £000 2016 £000
Current tax recognised directly in equity - IFRS2 share based tax credit (522) (70)
Deferred tax recognised directly in equity - IFRS2 share based tax charge/(credit) 130 (90)
Total tax recognised in equity (392) (160)
Reconciliation of effective tax rate ('ETR') and tax expense 2017 £000 ETR% 2016 £000 ETR%
Profit for the period 12,698 10,225
Tax from continuing operations 4,642 2,852
Profit before tax 17,340 13,077
Tax using the UK corporation tax rate of 20% (2016: 21%) 3,468 20 2,615 20
Tax suffered on dividends 264 2 133 2
Retention tax 102 1 71 -
Non-deductible expenses 190 1 223 2
Tax incentives (274) (2) (123) (1)
IFRS2 share option charge / (credit) (1) - 112 1
Deferred tax assets not recognised 511 3 72 -
Different tax rates on overseas earnings 540 3 256 2
Adjustments in respect of prior years (180) (1) (558) (4)
Tax rate change 22 - 51 -
Total tax in income statement 4,642 27 2,852 22
A reduction in the UK corporation tax rate from 21% to 20% (effective from 1
April 2015) was substantively enacted on 2 July 2013. Further reductions to
19% (effective from 1 April 2017) and to 18% (effective 1 April 2020) were
substantively enacted on 26 October 2015, and an additional reduction to 17%
(effective 1 April 2020) was substantively enacted on 6 September 2016. This
will reduce the Company's future current tax charge accordingly. Deferred tax
has been calculated based on these rates.
7. INVENTORIES - GROUP
2017£000 2016£000
Raw materials and consumables 4,903 4,067
Work in progress 1,972 1,458
Finished goods and goods for resale 35,051 33,913
41,926 39,438
8. TRADE AND OTHER RECEIVABLES
Group Company
2017 £000 2016 £000 2017 £000 2016 £000
Trade receivables 47,497 41,931 - -
Non trade receivables and prepayments 1,863 1,455 183 41
Amounts owed by subsidiary undertakings - - 31,199 33,572
49,360 43,386 31,382 33,613
9. CASH AND CASH EQUIVALENTS/BANK OVERDRAFTS
Group Company
2017 £000 2016 £000 2017 £000 2016 £000
Cash and cash equivalents per Statement of financial position 24,645 17,614 2,587 1,406
Bank overdrafts per Statement of financial position - (33) - (2,273)
Cash and cash equivalents per Statements of cash flows 24,645 17,581 2,587 (867)
10. OTHER INTEREST BEARING LOANS AND BORROWINGS
This note provides information about the Group and Company's existing
interest-bearing loans and borrowings.
Initial loan value Rate Maturity Current Non-current
2017 £000 2016 £000 2017 £000 2016 £000
Group
Asset based lending Base +1.49% - 3,280 3,144 - -
PSEP acquisition loan Fixed 3.14% 2016 - 1,170 - -
VIC unsecured loan EURIBOR +1.95% 2020 513 476 1,283 1,665
Kuhlmann unsecured loan EURIBOR +1.55% 2024 - 18 - 132
Finance lease liabilities Various 2017-19 2 2 8 12
Group and Company
Facility A VIC acquisition loan EURIBOR +1.50% 2021 3,208 2,091 12,830 14,866
Facility B Revolving Credit Facility LIBOR/EURIBOR +1.50% 2019/2021 7,869 10,000 - -
Property Loan Base +1.25% 2021 - - 2,100 -
Total Group 14,872 16,901 16,221 16,675
Total Company 11,077 12,091 14,930 14,866
11. TRADE AND OTHER PAYABLES
Group Company
2017 £000 2016 £000 2017 £000 2016 £000
Trade payables 19,302 17,164 - -
Amounts payable to subsidiary undertakings - - 954 2,630
Deferred consideration - 1,348 - 1,348
Non-trade payables and accrued expenses 15,322 13,149 2,073 1,623
Other taxes and social security 2,521 1,369 1,335 119
37,145 33,030 4,362 5,720
12. DIVIDENDS
During the year the following dividends were recognised and paid by the
Group:
2017£000 2016£000
Final paid 2016 - 2.00p (2015: 1.50p) per qualifying ordinary share 2,376 1,743
Interim paid 2016 - 0.80p (2015: 0.60p) per qualifying ordinary share 934 697
3,310 2,440
After the balance sheet date a final dividend of 2.50p per qualifying ordinary
share (2016: 2.00p) was proposed by the Directors and an interim dividend of
1.00p (2016: 0.80p) was paid in April 2017.
2017£000 2016£000
Final proposed 2017- 2.50p (2016: 2.00p) per qualifying ordinary share 3,007 2,376
Interim paid 2017 - 1.00p (2016: 0.80p) per qualifying ordinary share 1,203 934
4,210 3,310
Subject to Shareholder approval at the Annual General Meeting which is to be
held on 27 July 2017, the final dividend will be paid on 13 October 2017 to
Members on the Register at the close of business on 15 September 2017. The
ordinary shares will become ex-dividend on 14 September 2017.
13. EARNINGS PER SHARE
Basic earnings per share
The calculation of basic earnings per share at 31 March 2017 was based on the
profit attributable to ordinary shareholders of £12.7m (2016: £10.2m) and a
weighted average number of ordinary shares outstanding during the year ended
31 March 2017 of 118,493,886 (2016: 116,388,265), calculated as follows:
Weighted average number of ordinary shares
2017 2016
Issued ordinary shares at 1 April 116,747,887 116,174,086
Effect of shares issued 1,745,999 214,179
Weighted average number of ordinary shares at 31 March 118,493,886 116,388,265
Diluted earnings per share
The calculation of diluted earnings per share at 31 March 2017 was based on
profit attributable to ordinary shareholders of £12.7m (2016: £10.2m) and a
weighted average number of ordinary shares outstanding during the year ended
31 March 2017 of 122,143,769 (2016: 120,345,662), calculated as follows:
Weighted average number of ordinary shares (diluted)
2017 2016
Weighted average number of ordinary shares at 31 March 118,493,886 116,388,265
Effect of share options on issue 3,649,883 3,957,397
Weighted average number of ordinary shares (diluted) at 31 March 122,143,769 120,345,662
The average market value of the Company's shares for the purposes of
calculating the dilutive effect of share options was based on quoted market
prices for the period that the options and deferred equity awards were
outstanding.
Underlying earnings per share
EPS (total) 2017 EPS 2016 EPS
Earnings£000 Basic Diluted Earnings £000 Basic Diluted
Profit after tax for the financial year 12,698 10.72p 10.40p 10,225 8.78p 8.50p
Separately disclosed items:
IFRS2 share option 1,512 1.28p 1.24p 1,687 1.45p 1.40p
Intangible amortisation 1,273 1.07p 1.04p 974 0.84p 0.81p
Net acquisition costs - - - 264 0.23p 0.22p
Costs on exercise of
executive share options 567 0.48p 0.46p - - -
Sale of fixed assets (195) (0.17p) (0.16p) - - -
Tax charge on adjusted items^ (193) (0.16p) (0.16p) (1,132) (0.97p) (0.94p)
Underlying profit after tax 15,662 13.22p 12.82p 12,018 10.33p 9.99p
^ For the 2016 calculation this includes adjusting for the recognition
of the deferred tax asset in TR Fastenings Inc
The 'underlying diluted' earnings per share is detailed in the above tables.
In the Directors' opinion, this best reflects the underlying performance of
the Group and assists in the comparison with the results of earlier years.
14. Preliminary statement
The financial information set out above does not constitute the Group's
statutory Report and Accounts for the years ended 31 March 2017 or 2016 but is
derived from the 2017 Report and Accounts. The Report and Accounts for 2016
have been delivered to the Registrar of Companies and those for 2017 will be
delivered in due course. The external auditor has reported on the 2017 Report
and Accounts; the report was (i) unqualified, (ii) did not include references
to any matters to which the external 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.
15. INVESTOR COMMUNICATIONS
The Company is not proposing to bulk print and distribute hard copies of this
Preliminary statement unless specifically requested by individual
shareholders, however it can be downloaded from the investor website. News
updates, Regulatory News, and previous years' Annual Reports, can also be
viewed and downloaded from the Group's website, www.trifast.com.
The Report and Accounts for the year ended 31 March 2017, together with the
Notice of Meeting will be posted to shareholders where requested and uploaded
to the National Storage Mechanism (http://www.morningstar.co.uk/uk/NSM) and
the Group's website, www.trifast.com in due course.
The 2017 Annual Report and Financial Statements will also be available on
request by writing to: The Company Secretary, Trifast plc, Trifast House,
Bellbrook Park, Uckfield, East Sussex, TN22 1QW, Email:
corporate.enquiries@trifast.com.
16. ANNUAL GENERAL MEETING
The Annual General Meeting will be held on 27 July 2017 at Trifast House,
Bellbrook Park, Uckfield, East Sussex, TN22 1QW.
13 June 2017
This information is provided by RNS
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