REG - Vp PLC - Final Results
08/06/2022 07:00
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RNS Number : 0665O Vp PLC 08 June 2022
For immediate release 8 June 2022
Vp plc
('Vp', the 'Group' or the 'Company')
Final Results
Strong performance across all key metrics, underpinned by ESG and innovation
Vp plc, the equipment rental specialist, today announces its audited Final
Results for the year ended 31 March 2022.
Financial Highlights
31 March 2022 31 March 2021 % change
Revenues (£m) 350.9 308.0 +14%
Profit before tax, amortisation and exceptional items (£m) 38.9 23.3 +67%
Return on average capital employed 14.5% 9.2% +57%
Basic EPS pre-amortisation and exceptional items (pence) 71.2 46.8 +52%
Proposed final dividend (pence per share) 25.5 25.0 +2%
Dividend for the year (pence per share) 36.0 25.0 +44%
EBITDA before exceptional items (£m)(1) 88.9 72.7 +22%
Net debt (£m) 130.6 121.9 +7%
Capital investment in rental fleet (£m) 59.8 40.2 +49%
Exceptional items - (15.1)
Statutory profit/(loss) before taxation (£m) 35.6 (2.3)
Statutory earnings/(loss) per share (pence) 64.5 (11.6)
Profit before tax, amortisation and exceptional items inclusive of IFRS 16 38.9 23.2 +68%
impact (£m)
Operational Highlights
· Material recovery in the quality of profits measured by return on
average capital employed
· Significant growth in operating profits across UK divisions, driven
by the strength of certain infrastructure, construction and housebuilding
sectors
· Purchase of M&S Hire Limited in November 2021, complementing the
MEP service offering
- M&S Hire has performed in line with the Board's expectations
· Two substantial contract wins during the period, include;
- In March 2022, Valero Refinery renewed its long running support
contract
- Additionally in March, a new five-year exclusive hire partnership
with Watkin Jones
§ Partnership agreement included the acquisition of Watkin Jones' in-house
plant and tools fleet
§ Strength of ESG offering proved key to success of winning the partnership
· Increased investment in rental fleet reflects growing demand across
the Group's network
· Good progression in digital innovation across the entire business
- New Brandon Hire Station website launched in early 2022 as a
progressive web app, compatible with mobile devices
§ Anticipated growth in rental channels
- Groundforce's three-year digital roadmap well underway and already
seeing results with increased customer take-up
· Continued development and implementation of ESG initiatives across
all divisions
- Achieved the International Energy Management System Standard
across three of the Group's businesses with the aim of attaining it across the
whole Group by the end of 2022
- All businesses continue to introduce new greener equipment
solutions to their customer base
- Supporting UK regional restoration and conservation projects
during the year with further projects in the pipeline
Outlook / Current Trading
· Encouraging start to the new financial year with an anticipated
increase in AMP7 and other infrastructure activity
· Management taking a proactive approach to mitigate cost inflation and
supply chain delays
· Growth across the Group's three key sectors provides a supportive
market backdrop for the new financial year
· The Company has launched a formal sale process and further
communication with shareholders will be made if and when appropriate to do so.
In the meantime, it is 'business as usual' as we stay fully focused on
delivering on our plans for the current financial year.
Commenting on the Final Results, Jeremy Pilkington, Chairman of Vp plc, said:
"These results represent significant progress across the Group, as the
business continues its recovery following Covid related impacts and we have
seen substantial progress across all key financial metrics.
"We are particularly pleased with the increased investment into the rental
fleet which was driven by increased demand and an emphasis on lower emission
products. The strong return on average capital employed performance
demonstrates the resilience of the Group's quality of earnings. In line with
our stated dividend policy and reflecting our confidence in the business, we
are pleased to propose a final dividend of 25.5 pence per share, making a
total for the year of 36.0 pence.
"Although there are some macro related headwinds from cost inflation and
supply chain disruptions, we see significant upside growth opportunities for
this year and further ahead. We have every confidence that Vp will continue
to deliver sector leading results for all our stakeholders. I would like to
thank all colleagues at Vp for their hard work and commitment which yet again
has made these excellent results possible."
Neil Stothard, Chief Executive of Vp plc, added: "The quality of the recovery
in our trading performance is extremely pleasing and these results demonstrate
a significant increase in profitability and a material recovery in the quality
of those profits. These strong results have been largely supported by the core
markets which we serve.
"Over the last financial year, I am particularly pleased with our ESG
initiatives where we have continued to invest in apprenticeships and our
employees as well as our commitment to the environment. Throughout the year
we continued to invest in our ambition to be net carbon zero by 2050 with all
our businesses continuing to introduce new greener equipment solutions to
their customers.
"Although there are widely reported macro issues for all businesses, we
continue to meet current challenges on a day to day basis. I am optimistic
of Vp's future prospects and believe our core markets will continue to offer
good opportunities for further increases in demand for our products and
services in the new financial year. The Group is in a strong position to
continue to embrace those new opportunities as well as managing any potential
headwinds."
- Ends -
The information contained in this announcement is deemed by the Company to
constitute inside information for the purposes of Article 7 of the Market
Abuse Regulation (EU) No. 596/2014.
For further information:
Vp plc Tel: +44 (0) 1423 533 400
Jeremy Pilkington, Chairman www.vpplc.com (http://www.vpplc.com)
Neil Stothard, Chief Executive
Allison Bainbridge, Group Finance Director
Media enquiries:
Buchanan
Henry Harrison‐Topham / Jamie Hooper / George Beale Tel: +44 (0) 20 7466 5000
Vp@buchanan.uk.com www.buchanan.uk.com (http://www.buchanan.uk.com)
Notes on alternative performance measures:
(1. ) IFRS 16 was adopted on 1 April 2019 for statutory
reporting. As a result, the primary statements are shown on an IFRS 16
basis. The table below provides the impact on the consolidated income
statement for the period ended 31 March 2022. As the decision makers
currently allocate resource and assess performance primarily on the basis of
applying the previous leasing standard IAS 17, the alternative performance
measures are disclosed on this basis.
Impact on Consolidated Income Statement, EBITDA and earnings per share
Basic earnings per share before the amortisation of intangibles and
exceptional items increased by 0.04 pence for the period to 31 March 2022 as a
result of the adoption of IFRS 16. The financial impact of IFRS 16 on the
Group's Consolidated Income Statement and EBITDA for the year ended 31 March
2022 is set out below:
Unaudited Audited
excluding IFRS 16 Reported
IFRS 16
Impact
£000 £000 £000
Operating profit before amortisation and exceptional items 43,333 2,966 46,299
Operating profit 40,031 2,966 42,997
EBITDA 88,868 19,525 108,393
Net financial expense (4,428) (2,925) (7,353)
Profit before taxation, amortisation and exceptional items 38,905 41 38,946
Profit before taxation 35,603 41 35,644
· All performance measures stated as before amortisation are also
before impairment of intangibles and exceptional items.
· Basic earnings per share pre amortisation and exceptional items is
reconciled to basic earnings per share in note 3.
· Profit before tax, amortisation and exceptional items is reconciled
to profit before tax in the Income Statement.
· EBITDA is reconciled to profit before tax, amortisation and
exceptional items by adding back net financial expenses and depreciation.
· Return on average capital employed is based on profit before tax,
interest, amortisation and exceptional items divided by average capital
employed on a monthly basis using the management accounts. Profit before tax,
interest, amortisation and exceptional items is reconciled to profit before
interest and tax in the Income Statement.
CHAIRMAN'S STATEMENT
I am delighted to report a robust set of results that demonstrates the very
strong progress and continued recovery in trading performance across all our
core markets following the impact of Covid last year.
Profit before tax, amortisation and exceptional items rose by 67% to £38.9
million (2021: £23.3 million) on turnover ahead 14% to £350.9 million (2021:
£308.0 million). EBITDA (pre IFRS 16) improved to £88.9 million (2021:
£72.7 million).
Capital investment in the rental fleet grew almost 50% to £59.8 million
(2021: £40.2 million). This increased spending was in response to improving
customer demand with particular emphasis on new lower emission product
substitutions and also reflects pre-emptive bulk purchasing to avoid some of
the supply chain difficulties that we were anticipating.
Year end net debt (pre IFRS 16) rose marginally to £130.6 million (2021:
£121.9 million).
Return on average capital employed ('ROCE') recovered strongly to 14.5% (2021:
9.2%) in line with our long term target, an excellent result which reflects
once again the underlying resilience in the Group's quality of earnings.
Earnings per share grew 52% to 71.2 pence per share (2021: 46.8 pence per
share).
At the AGM, scheduled to be held on 21 July 2022, the Board will be
recommending payment of a final dividend of 25.5 pence per share (2021: 25.0
pence per share) making a total for the year of 36.0 pence per share (2021:
25.0 pence per share). Subject to Shareholder's approval it is proposed to
pay the final dividend on 5 August 2022 to members registered at 24 June
2022. This proposed level of dividend is based on our policy to distribute
on a two times covered earnings basis going forward.
In November 2021, we purchased the fit-out specialist M&S Hire Limited
('M&S') for £2.8 million. M&S complements and extends our MEP
service offering and since acquisition has performed in line with our
expectations. We are excited about the opportunities presented by this new
niche market.
We also achieved two notable contract wins in the period. In March 2022, we
were awarded a further renewal to our long running support contract with the
Valero Refinery in Pembrokeshire and at the very end of the financial year, we
finalised a five-year exclusive hire partnership with Watkin Jones plc, the
UK's leading developer and manager of residential for rent homes. This
partnership agreement included the acquisition of Watkin Jones' in-house plant
and tools fleet as they transitioned to a pure outsourced rental supply
model. Key to our success in winning this vigorously contested contract was
the strength of our ESG offering.
In April, Vp announced that its controlling shareholder, a company connected
to me, had indicated to the Board its desire to explore opportunities to
dispose of its c.50.26% shareholding in Vp. In light of this, the Company has
launched a formal sale process and further communication with shareholders
will be made if and when appropriate to do so. In the meantime, it is
'business as usual' as we stay fully focused on delivering on our plans for
the current financial year.
Although we are facing some headwinds from cost inflation and supply chain
disruptions, we identify significant upside growth opportunities for this year
and further ahead. This gives us every confidence that we can continue to
deliver sector-leading results for all our stakeholders.
It remains my great pleasure to thank, on behalf of Shareholders and the
Board, all our employees for their hard work and commitment that has made
these excellent results possible.
Jeremy Pilkington
Chairman
8 June 2022
BUSINESS REVIEW
OVERVIEW
Vp plc is a rental business providing specialist products and services to a
diverse range of end markets including infrastructure, construction,
housebuilding, and energy. The Group comprises a UK and an International
Division.
Year ended Year ended
31 March 2022 31 March 2021
Revenue £350.9 million £308.0 million
Operating profit before amortisation and exceptionals £43.3 million £27.7 million
Operating margin 12.3% 9.0%
Investment in rental fleet £59.8 million £40.2 million
Return on average capital employed 14.5% 9.2%
Statutory Operating profit £43.0 million £5.7 million
The year to 31 March 2022 was a period of significant recovery for the Group
as the Covid-19 restrictions were gradually removed and our customers began to
trade back towards pre-pandemic levels of activity.
Group operating profits before amortisation and exceptional items showed a
significant recovery in the year to £43.3 million compared with prior year of
£27.7 million, a 56% increase. Operating margins improved to 12.3% (2021:
9.0%) with Group revenues at £350.9 million (2021: £308.0 million) 14% up on
prior year. Return on average capital employed of 14.5% increased strongly
on the prior year of 9.2% demonstrating the resilience of the Group in being
able to restore the quality of profits back towards our long term, through the
cycle, ROCE target of 15%.
Cash generation also improved and EBITDA before exceptionals was £88.9
million (2021: £72.7 million). Net debt at 31 March 2022 was £130.6
million (2021: £121.9 million), a small increase of £8.7 million and after
funding a healthy increase in capital expenditure during the year.
The increased investment in rental fleet reflected growing demand across our
business network. Gross capital expenditure was £59.8 million (2021: £40.2
million). Fleet disposal proceeds were £17.8 million (2021: £17.5 million)
generating profit on disposals of £7.0 million (2021: £4.3 million). The
increase in capex during the year was partially driven by increased demand
within our divisions, and also due to bulk buying of products ahead of the
usual timeframes to compensate for the extended lead times in certain of our
supply chains, a necessary and successful strategy.
The markets which the Group serves experienced different paces of recovery
both in functionality and geography. In the UK and Europe, certain of the
infrastructure markets e.g. HS2 and transmission fared well, whilst water
(AMP7) and Rail (CP6) were more subdued, only starting to show signs of uplift
in Q4.
The general construction market was mixed with repair and maintenance strong
whilst new construction was more subdued. The house building market provided
sustained demand.
Internationally, border restrictions initially inhibited business recovery but
in early 2022 these were eased facilitating both improved customer contact and
a subsequent increase in activity.
The operating profit (before amortisation) result of £43.3 million was
primarily sourced in the UK division, but it is the quality of all our
specialist divisions across the whole Group in the UK, Europe and
Internationally that has driven an excellent overall performance.
UK DIVISION
Year ended Year ended
31 March 2022 31 March 2021
Revenue £320.2 million £281.3 million
Operating profit before amortisation and exceptionals £41.8 million £27.2 million
Investment in rental fleet £55.2 million £35.6 million
Operating profits (before amortisation and exceptionals) in the UK division
increased to £41.8 million compared with £27.2 million in the prior year.
Revenues of £320.2 million (2021: £281.3 million) were 14% up on prior year.
The UK division comprises seven main business units: UK Forks, Groundforce,
TPA, Brandon Hire Station, ESS, MEP Hire and Torrent Trackside. Whilst
mainly operating in the UK, TPA and Groundforce also have operations in
mainland Europe, primarily in Germany and Austria. All of the business units
in the UK division support the three core market sectors of infrastructure,
construction and housebuilding.
The following section comments on the highlights and key actions for the
constituent businesses within the UK division.
The UK Forks business had a good year, experiencing high levels of activity
for their telehandler fleet, particularly in the residential construction
sector where demand remained very good throughout the year. This performance
was despite the ongoing challenges of supply chain delays on acquiring new
machines for the hire fleet and as a result, the division is not yet back to
its pre Covid fleet size. Overall fleet numbers grew by 7%. Disposal of
fleet was also slowed down and equipment retained longer in the rental fleet
to ensure that we were able to meet the demands of our customer base. As
part of our sustainability commitments the business has started to introduce
electric versions of both the 6m telehandler and teletruck products and
further investment in these lines will continue into the current financial
year. Whilst we have seen inflationary cost increases in both parts and
labour the business has been able to pass on some of these costs by increasing
hire rates.
We have successfully renewed all our key account relationships during the
year. In March 2022 the Higher Access spider platform business transitioned
to a partnered services offer, with our customer base primarily utilising
third party products.
The Groundforce UK & Ireland business experienced a positive year which
having started relatively slowly, accelerated as activity increased in the
final quarter and into the new financial year.
Activity in Groundforce was buoyed by good demand from the HS2 and Hinkley
Point projects in addition to a supportive housebuilding sector. The general
construction and civil engineering sectors outside of infrastructure were
slower to recover in the year. The AMP7 water industry capital investment
programme was frustrated as activity levels remained relatively subdued for
most of what was the second full year of the five year AMP programme. The
transition from the planning to implementation stage was delayed and we also
saw regional differences in levels of AMP activity.
Investment in hire fleet grew by over 88% on prior year partially to satisfy
increased demand and partially in anticipation of a busier AMP programme in
the new financial year. The foundation year of Groundforce's three year
digital roadmap went well as ecommerce capability was introduced to the
website and the online, self-service specification tool, 'Your Solutions' for
shoring was upgraded and continued to enjoy increased customer take-up.
Future prospects remain good with an anticipated increase in AMP and other
infrastructure activity.
The Groundforce Europe business had an excellent year making good progress
both in its core shoring offer and also with much improved activity in
significant major project support solutions in Germany, Scandinavia and
France. The signs remain positive for this to continue.
The TPA UK business traded well in the year with strong demand for roadway
panels particularly from HS2 and the transmission sectors which provided an
increase in longer term hires. The business delivered an excellent result
for the year against a backdrop of product and labour cost inflation. We
continued to invest in aluminium roadway panels, which enabled the business to
meet solid demand. There will be further opportunities in both the
construction and enabling phases of HS2 and the outdoor event sector should
provide further demand as this market re-opens after a two year break.
For TPA Europe it was a successful, if challenging year, as the business
consolidated a strong prior year performance. Demand from the transmission
and renewables sectors was good in both Germany and Austria and we continued
to support the business with new fleet investment. Whilst revenues grew
there were some costs pressures in particular on transport and recruitment.
The end markets for TPA in Germany and Austria remain positive for the coming
year.
The Brandon Hire Station business secured further recovery particularly in the
early months of the year, though activity levels did subsequently flatten out
through to the end of the year. As reported before, construction markets were
led by a buoyant repair and maintenance segment, whilst new build construction
was less busy and impacted by materials and labour shortages. The business
has good customer retention, but many of our SME customers are still trading
on fewer contracts than they were pre-Covid. A number of new strategic
accounts were secured in the period notably the tool and plant fleet of Watkin
Jones plc, which was acquired at the end of the financial year alongside a
five year sole supply arrangement.
In early 2022 the new Brandon Hire Station website was launched and developed
as a progressive web app for use on mobile devices. We anticipate growth in
this rental channel as customers increasingly interface with us on mobile
devices. The National Partnered Service Centre made further excellent
progress in the year in support of those of our customers who are looking for
a captive provider for their rental requirements. The fleet investment
programme in Brandon Hire Station moved ahead strongly in the year with a
marked re-alignment towards environmentally friendly asset solutions for our
customer base. The core fleet holding (top 350 products) continues to
transition to battery powered, solar and electrically driven solutions and
replacing traditional diesel / petrol powered products. These include e.g.
mini excavators, hedge trimmers and cut-off saws. The older equipment
continues to be sold off as new products are added to the fleet thereby
accelerating the transition to greener fleet solutions.
In the year, Brandon Hire Station gained the FORS Gold accreditation for
continuous improvement in driving standards and safety processes, together
with RoSPA Gold award for Health & Safety. Recently ISO 50001, the
International Standard for continuous improvement in environmental
performance, energy efficiency and sustainability, was also secured by the
Brandon Hire Station business.
ESS, our UK market leading Safety, Survey and Test & Measurement rental
business had a good year and delivered excellent year on year profit growth.
The completion of the Valero shutdown contract in Pembrokeshire made for a
very busy start to the year for ESS. The focus of the business has been in
strengthening of the management team and the re-positioning of the divisions
into a core (branch network) mainstream rental offer complemented by
specialist services supporting the wider industrial sector in the UK.
Operationally the business moved into new flagship premises in Manchester
providing further operational capacity. Aside from the core survey and
safety rental activities, ESS has some excellent additional service offers to
their customer base including communications, confined space training, test
& measurement, safety teams and breathing air solutions. These specific
services provide further growth opportunities going forward, over and above
the core survey and safety revenue streams.
MEP Hire ('MEP') which provides low level access and press fitting equipment
and associated services to the mechanical, electrical and plumbing sectors
delivered another excellent performance in the year. The business recovered
quicker than most after the worst of the pandemic in the prior year and
pleasingly this trend was maintained. The business benefitted from good
demand from contracts in schools and hospitals alongside projects aimed at
re-purposing existing buildings into living accommodation or re-configuring
offices for new modes of working. MEP further expanded its national
operational footprint opening new depots in Scotland and Manchester during the
year. Recent growth in the business has been derived from further market
penetration in the major conurbations outside of London. The important London
market also started to recover back towards historic levels of demand. As
previously reported, in November 2021, MEP acquired M&S Hire Limited, a
South East based supplier to the large scale commercial fit out sector.
This acquisition widens MEP's offer and also establishes an important foothold
in the commercial fit out market. Capital investment in the fleet was strong
combining fleet refreshment with the introduction of additional new and
innovative product solutions to further enhance the customer experience.
Torrent Trackside experienced a relatively quiet rail market for most of the
financial year, with activity only picking up in the final quarter. A number
of larger projects such as the Transpennine Route Upgrade ('TRU'), the
Transport for Wales, Core Valleys line upgrade and the CP6 programme in
general offered lower demand than anticipated for most of the year. A
contributory factor to a volatile 2021 was the cancellation of planned
blockades and engineering works as the train operators struggled with a
combination of Covid impact and major timetable changes. The good news is
that these projects are now underway and the Network Rail High output contract
also resumed in the final quarter.
Proactive investment in fleet was maintained to ensure supply to the customer
base. The business further enhanced its sustainability focus with the
acquisition of solar powered lighting products, via a strategic relationship
with Prolectric, delivering excellent product efficiencies and emission
reductions to our rail customers. The expectation is for improved and more
consistent levels of rail demand into the new financial year as the major
projects, listed above, in particular, gather further momentum.
INTERNATIONAL DIVISION
Year ended Year ended
31 March 2022 31 March 2021
Revenue £30.7 million £26.7 million
Operating profit before amortisation and exceptionals £1.5 million £0.6 million
Investment in rental fleet £4.6 million £4.6 million
The International division reported operating profits before amortisation and
exceptionals of £1.5 million, on revenues 15% ahead of prior year of £30.7
million (2021: £26.7 million).
The International division comprises Airpac Rentals, a global supplier to the
energy sector and TR Group, which operates in Australia, New Zealand, Malaysia
and Singapore and is a leading technical equipment rental group. The
following section comments on the highlights and key actions for the two main
business groupings within the International division.
The Airpac Rentals business made good progress in the year despite trading
conditions remaining changeable. Operations were impacted by Covid
restrictions causing customer driven contract delays due to lack of labour
availability. In spite of this, revenues recovered well compared with prior
year, driven by solid demand in Asia, and a much improved performance in
Europe and Australia. The improved oil price certainly changed sentiment for
the better in well testing where we have seen enhanced demand in both the
North Sea and Asia. In Asia, the business also secured preventative
maintenance revenues, and in Australia LNG infrastructure maintenance as
shutdown activity increased. We have committed further investment to support
a combination of high pressure pipeline applications and core well test,
together with a growing focus on geothermal drilling projects. We acquired
more electric compressors to support our European markets and to complement
those electric units already on long term contracts in Asia and Australia as
we seek to offer alternatives to diesel driven compressors where we can.
The TR Group ('TR') enjoyed a satisfactory year achieving results ahead of
plan but still below pre-Covid levels. In spite of the extended lockdowns
experienced, particularly in Australia and New Zealand, the business traded
well overall. TR provides instrumentation and communication products to a
wide range of markets including construction, mining and infrastructure.
In Australia, the closure of state borders actually contributed to improved
activity in Western Australia and Queensland where the resource sectors
experienced buoyant conditions. This was tempered by weaker non-resource
driven markets in other Australian states. Highlights included a strong
recovery in long term rental activity in the communication business Hirecom,
and solid demand in TR New Zealand, Malaysia and Singapore. The audio visual
business Vidcom, in New Zealand, had a better year with further development of
their livestreaming solution for events customers compensating for the
significantly reduced number of 'in person' events during the year. As
elsewhere in the Vp Group, supply chain delays and cost inflation are common
but, again, mitigated by a focus on increasing rental rates where possible.
TR anticipates further recovery, particularly in those market areas e.g.
aviation and outdoor events, where demand has been subdued but where there is
likely to be a catch up in due course.
Employees
The success of the Group is fundamentally down to the quality of our team and
their individual and collective contributions to the ongoing development of
the business.
We are therefore committed to provide relevant support to colleagues to allow
them to develop as individuals within our business. We have launched a range
of internal learning and development programmes during the year aimed at
delivering on that commitment.
We have continued to invest in engineering apprenticeships group wide and are
currently working on the 2022 intake for both apprentices and graduates across
the Group. The Group HR team are leading a wide range of new initiatives
including sales professional development, talent management, career pathways,
mental health first aid, essentials of management and customer service
training amongst others. We also invested in a new SAP, HR & Payroll
system which will significantly streamline and modernise all areas of human
resource administration. Allied to that we also introduced the SAP Litmos
learning management system to support the learning and development initiatives
listed above.
Environmental
We have continued, throughout the year, to invest in the journey to deliver on
our commitment to achieve net carbon zero by 2050 in line with the Science
Based Targets Initiative to which the Group has signed up. The Environmental
Steering Group, which I chair, acts as the main co-ordinator in terms of the
Group approach to this wide ranging topic. We have achieved ISO 50001, the
International Energy Management System Standard across three of our businesses
with the aim to attain this Group wide by the end of calendar year 2022. All
of our businesses have continued to introduce new 'greener' equipment
solutions to their customer base and I comment on some of those initiatives
within the respective business sections. We supported three UK regional
restoration and conservation projects during the year with allied employee
engagement opportunities. We plan to continue our investment in such
projects in the coming year.
Outlook
We are extremely pleased with the quality of the recovery in our trading
performance as the impact of Covid-19 diminished during the financial year.
These results not only demonstrate a significant increase in profitability but
also importantly a material recovery in the quality of those profits measured
by return on average capital employed.
The Group has made a positive start to the new financial year and in line with
our expectations.
The markets, which the Group serves, are for the most part supportive and we
believe offer good prospects for further increases in demand for our products
and services into the new financial year. As with all businesses, the current
challenges of managing cost inflation, supply chain delays and labour
shortages are being met on a day-to-day basis.
The entire Vp team have contributed significantly to a successful year and we
are well set as a Group to both embrace the opportunities, and manage through
the inevitable challenges, over the next twelve months.
Neil Stothard
Chief Executive
8 June 2022
Consolidated Income Statement
for the year ended 31 March 2022
2022 2021
Note £000 £000
Revenue 1 350,915 307,997
Cost of sales (263,950) (259,887)
Gross profit 86,965 48,110
Administrative expenses (43,968) (42,427)
Operating profit before amortisation and exceptional items 1
46,299 30,928
Amortisation and impairment 1 (3,302) (10,373)
Exceptional items 2 - (14,872)
Operating profit 42,997 5,683
Net financial expense (7,353) (7,752)
Profit before taxation, amortisation and exceptional items
38,946 23,176
Amortisation and impairment 1 (3,302) (10,373)
Exceptional items 2 - (15,072)
Profit/(loss) before taxation 35,644 (2,269)
Taxation 5 (10,109) (2,332)
Profit/(loss) attributable to owners of the parent 25,535 (4,601)
Pence Pence
Basic earnings per share 3 64.49 (11.62)
Diluted earnings per share 3 63.83 (11.62)
Dividend per 5p ordinary share interim paid and final deferred 6 36.0 25.0
*IFRS 16 was adopted on 1 April 2019 for statutory reporting. As a result,
the primary statements are shown on an IFRS 16 basis. The note on
alternative performance measures above provides the impact on the consolidated
income statement for the period ended 31 March 2022, including the £3.0
million positive impact on operating profit before amortisation, (£43.3
million pre-IFRS 16), £2.9 million adverse impact on net financial expense
(£4.4 million pre-IFRS 16) and £0.04 million positive impact on profit
before taxation, amortisation and exceptional items (£38.9 million pre-IFRS
16).
Consolidated Statement of Comprehensive Income
for the year ended 31 March 2022
2022 2021
£000 £000
Profit/(loss) for the year 25,535 (4,601)
Other comprehensive income/(expense):
Items that will not be reclassified to profit or loss
Remeasurements of defined benefit pension schemes 693 (795)
Tax on items taken to other comprehensive income (183) 56
Impact of tax rate change 110 -
Items that may be subsequently reclassified to profit or loss
Foreign exchange translation difference 361 439
Effective portion of changes in fair value of cash flow hedges 221 584
Total other comprehensive income 1,202 284
Total comprehensive income/(expense) for the year attributable to
owners of the parent 26,737 (4,317)
Consolidated Statement of Changes in Equity
for the year ended 31 March 2022
2022 2021
£000 £000
Total comprehensive income/(expense) for the year 26,737 (4,317)
Dividends to shareholders (14,054) (8,674)
Net movement relating to shares held by Vp Employee Trust (516) (5,076)
Share option charge in the year 1,249 1,098
Tax movements to equity 90 165
Impact of tax rate change (11) -
Movement in minority interest (27) -
Change in Equity 13,468 (16,804)
Equity at start of year 153,117 169,921
Equity at end of year 166,585 153,117
Consolidated Balance Sheet
as at 31 March 2022
Restated*
Note 2022 2021
£000 £000
Non-current assets
Property, plant and equipment 247,526 233,912
Intangible assets 62,422 64,366
Right of use assets 54,151 56,795
Employee benefits 2,738 2,175
Total non-current assets 366,837 357,248
Current assets
Inventories 7,956 7,342
Trade and other receivables 76,057 66,472
Income tax receivable - 817
Cash and cash equivalents 4 13,617 15,917
Total current assets 97,630 90,548
Total assets 464,467 447,796
Current liabilities
Interest-bearing loans and borrowings 4 - (73,009)
Lease liabilities 4 (14,147) (16,477)
Income tax payable (152) -
Trade and other payables (80,676) (83,490)
Total current liabilities (94,975) (172,976)
Non-current liabilities
Interest-bearing loans and borrowings 4 (144,221) (64,814)
Lease liabilities 4 (43,496) (44,603)
Provisions (1,512) (1,892)
Deferred tax liabilities (13,678) (10,394)
Total non-current liabilities (202,907) (121,703)
Total liabilities (297,882) (294,679)
Net assets 166,585 153,117
Equity
Issued share capital 2,008 2,008
Capital redemption reserve 301 301
Share premium 16,192 16,192
Foreign currency translation reserve (1,020) (1,386)
Hedging reserve - (221)
Retained earnings 149,104 136,196
Total equity attributable to equity holders of the parent 166,585 153,090
Non-controlling interests - 27
Total equity 166,585 153,117
* The comparative figures have been restated to reclassify a number of
balances between financial statement line items. See note 7 for more
details.
Consolidated Statement of Cash Flows
for the year ended 31 March 2022
Restated*
2022 2021
Note £000 £000
Cash flow from operating activities
Profit/(loss) before taxation 35,644 (2,269)
Share based payment charge 1,249 1,098
Depreciation 45,532 44,980
Depreciation of right of use asset 16,561 20,752
Amortisation and impairment 1 3,302 10,373
Release of arrangement fees 314 215
Financial expense 7,355 7,760
Financial income (2) (8)
Profit on sale of property, plant and equipment (7,045) (4,263)
Operating cash flow before changes in working capital 102,910 78,638
(Increase)/decrease in inventories (614) 1,731
(Increase)/decrease in trade and other receivables (9,133) 17,717
(Decrease)/increase in trade and other payables (2,781) 14,450
Cash generated from operations 90,382 112,536
Interest paid (4,456) (4,723)
Interest element of lease liability payments (2,940) (3,342)
Interest received 2 7
Income tax paid (6,282) (2,867)
Net cash generated from operating activities 76,706 101,611
Cash flow from investing activities
Proceeds from sale of property, plant and equipment 17,819 17,536
Purchase of property, plant and equipment (68,679) (46,582)
Acquisition of businesses and subsidiaries (net of cash acquired) (2,693) -
Net cash used in investing activities (53,553) (29,046)
Cash flow from financing activities
Purchase of own shares by Employee Trust (516) (5,076)
Repayment of borrowings (95,044) (53,000)
New loans 102,044 17,000
Arrangement fees (773) -
Capital element of lease liability payments (17,149) (20,803)
Dividends paid (14,054) (8,674)
Net cash used in financing activities (25,492) (70,553)
(Decrease)/increase in cash and cash equivalents (2,339) 2,012
Effect of exchange rate fluctuations on cash held 39 (242)
Cash and cash equivalents net of overdrafts at the beginning
of the year 15,917 14,147
Cash and cash equivalents net of overdrafts at the end of the year
4 13,617 15,917
* The comparative figures have been restated to reclassify the interest
element of lease liability payments. See note 7 for more details.
NOTES
The final results have been prepared on the basis of the accounting policies
which are set out in Vp plc's annual report and accounts for the year ended 31
March 2022. The accounting policies applied are in line with those applied
in the annual financial statements for the year ended 31 March 2021 and
conform with the requirements of the Companies Act 2006 and UK adopted
International Financial Reporting Standards ("IFRSs"). The financial
statements have also been prepared in accordance with International Financial
Reporting Standards as issued by the IASB.
Whilst the financial information included in this announcement has been
computed in accordance with adopted IFRSs, this announcement does not itself
contain sufficient information to comply with IFRSs. The Company expects to
publish full financial statements in June 2022.
The financial information set out above does not constitute the Company's
statutory accounts for the year ended 31 March 2022 or 2021. Statutory
accounts for 31 March 2021 have been delivered to the registrar of companies,
and those for 31 March 2022 will be delivered in due course. The auditor has
reported on those accounts; the reports were (i) unqualified, (ii) included a
reference to going concern to which the auditor drew attention by way of
emphasis without qualifying the report and (iii) did not contain a statement
under section 498 (2) or (3) of the Companies Act 2006 in respect of the
accounts for 31 March 2021.
The financial statements were approved by the Board of Directors on 8 June
2022.
Going Concern
The going concern basis has been adopted in preparation of the consolidated
financial statements. As noted in the Chairman's statement, on 28 April 2022
the Company launched a formal sale process (the 'sale'). As at the date of
this report the sale process is in its early stages and as a result the
Directors do not have visibility of the Company's post sale ownership or
funding structure, including the terms on which such funding will be provided.
In addition, the Group's existing committed debt facilities contain standard
change of control clauses which, upon completion of the sale process, could
result in the existing committed debt facilities being withdrawn. These
conditions indicate the existence of a material uncertainty which may cast
significant doubt about the group's and the parent company's ability to
continue as a going concern.
Notwithstanding the above, the Directors have a reasonable expectation that
the Group and parent company have adequate resources to continue in
operational existence for at least the next 12 months from the date of
approval of these financial statements. The Directors have reviewed the
Group's and parent company's financial projections and cash flow forecasts and
believe, based on those projections and forecasts, that it is appropriate to
prepare the Group and parent company financial statements on the going concern
basis. The Group and parent company forecast positive cash inflows through a
pipeline of existing and new hire agreements and other services; the Group and
parent company also have sufficient finance facilities available if required.
The assessment included an analysis of the Group's and parent company's
current financial position, ability to trade, principal risks facing the
Group, and the effectiveness of its strategies to mitigate the impact of
liquidity risks.
1. Business Segments
Operating profit
Revenue before amortisation and exceptional items
2022 2021 2022 2021
£000 £000 £000 £000
UK 320,203 281,309 44,704 30,266
International 30,712 26,688 1,595 662
Total 350,915 307,997 46,299 30,928
Operating profit before amortisation and exceptional items is reconciled to
profit before tax in the Income Statement. In addition, all performance
measures stated as before amortisation are also before impairment of
intangibles and exceptional items.
The amortisation and impairment charge of £3.3 million (2021: £10.4 million)
includes £nil (2021: £7.1 million) in relation to impairment of goodwill and
intangibles. Furthermore, return on average capital employed is based on
profit before tax, interest, amortisation and exceptional items divided by
average capital employed on a monthly basis.
2. Exceptional Items
During the year, the Group incurred no exceptional costs. The prior period
costs are analysed as follows:
2022 2021
£000 £000
Regulatory review costs - 7,519
Restructuring costs - 7,353
Exceptional items recognised in Operating Profit - 14,872
Financing expense - 200
Exceptional items recognised in Net Financial Expenses - 200
Total Exceptional items - 15,072
During the year to 31 March 2021, the Group incurred £15.1 million of
exceptional costs in relation to regulatory review costs, restructuring costs
and Covid-19 covenant amendments. The regulatory review costs related to an
investigation by the Competition and Markets Authority which was concluded in
February 2021.
3. Earnings Per Share
The calculation of basic earnings/(loss) per share of 64.49 pence (2021:
(11.62) pence) is based on the profit attributable to equity holders of the
parent of £25,535,000 (2021: loss of £4,601,000) and a weighted average
number of ordinary shares outstanding during the year ended 31 March 2022 of
39,597,000 (2021: 39,595,000), calculated as follows:
2022 2021
Shares Shares
000s 000s
Issued ordinary shares 40,154 40,154
Effect of own shares held (557) (559)
Weighted average number of ordinary shares 39,597 39,595
Basic earnings per share before the amortisation of intangibles and
exceptional items was 71.24 pence (2021: 46.56 pence) and is based on an after
tax add back of £2,675,000 (2021: £23,073,000) in respect of the
amortisation of intangibles and exceptional items.
The calculation of diluted earnings per share of 63.83 pence (2021: (11.62)
pence) is based on profit attributable to equity holders of the parent of
£25,535,000 (2021 loss of £4,601,000) and a weighted average number of
ordinary shares outstanding during the year ended 31 March 2022 of 40,009,000
(2021: 40,218,000), calculated as follows:
2022 2021
Shares Shares
000s 000s
Weighted average number of ordinary shares 39,597 39,595
Effect of share options in issue 412 623
Weighted average number of ordinary shares (diluted) 40,009 40,218
Diluted earnings per share before the amortisation of intangibles and
exceptional items was 70.51 pence (2021: 45.84 pence). The calculation of
diluted earnings per share in the prior year does not assume conversion,
exercise, or other issue of potential ordinary shares that would have an
antidilutive effect on earnings per share.
4. Analysis of Net Debt
As at 31 Mar 2021 Cash movements Non-cash movements As at 31 Mar 2022
£000 £000 £000 £000
Secured loans 138,143 6,857 - 145,000
Arrangement fees (320) (773) 314 (779)
Cash and cash equivalents (15,917) 2,339 (39) (13,617)
Net debt excluding lease liabilities 121,906 8,423 275 130,604
Lease liabilities 61,080 (17,149) 13,712 57,643
Net debt including lease liabilities 182,986 (8,726) 13,987 188,247
Year end gearing (calculated as net debt expressed as a percentage of
shareholders' funds) stands at 77% (2021: 78%).
As at 31 March 2022 the Group had £183.0 million (2021: £200.0 million) of
debt capacity comprising committed revolving credit facilities of £90.0
million and private placements of £93.0 million. In addition to the
committed facilities, the Group net overdraft facility at the year-end was
£7.5 million (2021: £7.5 million).
The Group had £135.0 million of revolving credit facilities which were due to
mature in December 2021. Consequently in April 2021, the Group drew down a new
£28.0 million seven year private placement under the existing agreement with
PGIM, Inc. In June 2021, the Group also refinanced its £135.0 million
committed revolving credit facilities with a new £90.0 million facility.
The new revolving credit facility agreement also includes a £20.0m
uncommitted accordion facility.
5. Taxation
The charge for taxation for the year represents an effective tax rate of 28.3%
(2021: -102.8%). The underlying tax rate was 20.6% (2021: 24.2%) before
exceptional items, prior year adjustments, impact of tax rate changes and
impairment of intangible assets.
6. Dividend
The Board has proposed a final dividend of 25.5 pence per share to be paid on
5 August 2022 to shareholders on the register at 24 June 2022. Including the
interim dividend of 10.5 pence per share, this makes a total dividend for the
year of 36.0 pence per share (FY-2021: 22.0 pence per share).
The ex-dividend date will be Thursday 23 June 2022 and the last day to elect
to participate in the dividend reinvestment plan will be Friday 8 July 2022.
7. Restatement of prior year balances
Following a review of certain financial statement line items within the
consolidated balance sheet and the consolidated statement of cash flows the
directors identified a number of errors impacting the prior period, which have
been adjusted in these financial statements, as follows:
a) Right of use assets and ease liabilities
Certain leases entered into in the periods up to and including the financial
year ended 31 March 2021 had not been previously captured in the accounting
under IFRS 16. The impact of correcting this error on the balance sheet at 31
March 2021 was to increase right of use assets by £3.5 million, current lease
liabilities by £0.8 million and non-current lease liabilities by £2.6
million. There was no impact on the Income Statement for the year ended 31
March 2021 or on the balance sheet at 1 April 2020 consequently there was no
impact on opening reserves.
b) Classification of items within trade and other payables
Certain items previously classified within trade and other payables should
have been classified into either lease liabilities or provisions on the
balance sheet. The impact of correcting this error on the balance sheet at 31
March 2021 was to decrease trade and other payables by £2.7 million, increase
provisions by £1.9m and increase current lease liabilities by £0.8 million.
There was no impact on the Income Statement for the year ended 31 March
2021. If the same changes had been made at 1 April 2020, the impact would
have been to decrease trade and other payables by £1.2 million, increase
provisions by £0.8 million and increase current lease liabilities by £0.4
million. Consequently there was no impact on opening reserves.
The total impact of correcting the above errors on the balance sheet at 31
March 2021 was to increase right- of- use assets from £53.3 million to £56.8
million, current lease liabilities from £14.9 million to £16.5 million,
non-current lease liabilities from £42.0 million to £44.6 million and
provisions from nil to £ 1.9 million. Trade and other payables decreased from
£86.2 million to £83.5 million.
c) Classification of interest in the consolidated statement of cash flows
Interest on lease liabilities had been included within 'Payments for lease
liabilities' (now renamed to 'Capital element of lease liability payments') in
the 'Cash flows from financing activities' section of the consolidated
statement of cash flows, rather than within 'Interest element of lease
liability payments' within the 'Cash flows from operating activities' section.
The impact of this correction on the consolidated statement of cash flows for
the year ended 31 March 2021 was to decrease 'Capital element of lease
liability payments' by £3.3 million from £24.1 million to £20.8 million
and increase 'Interest element of lease liability payments' from £nil to
£3.3 million. 'Net cash generated from operating activities' for the year
ended 31 March 2021 is therefore £3.3 million lower than as previously
reported and 'Net cash used in financing activities' is lower by the same
amount.
8. Principal risks and uncertainties
The Board is responsible for determining the level and nature of risks it is
appropriate to take in delivering the Group's objectives, and for creating the
Group's risk management framework. The Board recognises that good risk
management aids effective decision making and helps ensure that risks taken on
by the Group are adequately assessed and challenged.
The Group has an established risk management strategy in place and regularly
reviews divisional and departmental risk registers as well as the summary risk
registers used at board level. A risk register is prepared as part of the
due diligence carried out on acquisitions and the methodology is subsequently
embedded.
All risk registers have a documented action plan to mitigate each risk
identified. The progress made on the action plan is considered as part of
the risk review process. Within the last financial year the Group Internal
Audit Department has completed key control reviews in all divisions.
The summary divisional and departmental risk registers and action plans were
reviewed at risk meetings held in May 2022. In all cases it is considered
that the risk registers are being used as working documents which provides the
required assurance that existing risks are being managed appropriately. Work
is also underway on communicating risk registers more effectively using our
chosen visualisation software. This will enhance accountability over key
risk areas.
The risk registers are reviewed at the start (to facilitate the planning
process) and at the end of each internal audit project. A post audit risk
rating is agreed with management. If new risks are identified following an
audit project they are added to the relevant risk register. Heat maps
illustrating post audit risk ratings and new risks are provided to the board
in each published internal audit report.
Further information is provided below on our principal risks and mitigating
actions to address them.
Market risk
Risk description
An economic downturn (as a result of economic cycles, political or global
uncertainty) could result in worse than expected performance of the business
due to lower activity levels or prices.
Mitigation
Vp provides products and services to a diverse range of markets with
increasing geographic spread. The Group regularly monitors economic conditions
and our investment in fleet can be flexed with market demand.
Competition
Risk description
The equipment rental market is already competitive and could become more so,
potentially impacting market share, revenues and margins.
Mitigation
Vp aims to provide a first class service to its customers and maintains
significant market presence in a range of specialist niche sectors. The
Group monitors market share, market conditions and competitor performance and
has the financial strength to maximise opportunities.
Investment/product management
Risk description
In order to grow it is essential the Group invests in first class products at
attractive prices and keeps them well maintained.
Mitigation
Vp has well established processes to manage its fleet from investment decision
to disposal. The Group's return on average capital employed was 14.5%
(FY-2021: 9.2%) in 2021/22. The quality of the Group's fleet disposal margins
also demonstrate robust asset management and appropriate depreciation
policies. During the year the Group invested £59.8 million in fleet capital
(FY-2021: £40.2 million).
People
Risk description
Retaining and attracting the best people is key to our aim of exceeding
customer expectations and enhancing shareholder value.
Mitigation
Vp offers well-structured reward and benefit packages, and nurtures a positive
working environment. We also try to ensure our people fulfil their potential
to the benefit of both the individual and the Group, by providing appropriate
career advancement and training.
Safety
Risk description
The Group operates in industries where safety is a key consideration for both
the wellbeing of our employees and customers that hire our equipment.
Failure in this area would impact our results and reputation.
Mitigation
The Group has robust health and safety policies and management systems. Our
induction and training programmes reinforce these policies. We have
compliance teams in each division.
We provide support to our customers exercising their responsibility to their
own workforces when using our equipment.
Financial risks
Risk description
To develop the business, Vp must have access to funding at a reasonable
cost. The Group is also exposed to interest rate and foreign exchange
fluctuations which may impact profitability and has exposure to credit risk
relating to customers who hire our equipment.
Mitigation
The Group has borrowing facilities of £190.5 million and strong relationships
with all lenders. Our treasury policy defines the level of risk that the
Board deems acceptable. Vp continues to benefit from a strong balance sheet,
and EBITDA, which allows us to invest into opportunities.
Our strong balance sheet position and committed borrowing facilities also
provide adequate headroom to pursue growth opportunities or against any
potential downturn in activity. The Group ended the financial year in a
healthy financial position and continues to generate strong cash flows. After
funding the acquisition of M & S Hire Limited for £2.8 million and a year
on year increase in fleet capital investment of £19.6 million, net debt
increased by only £8.7 million from £121.9 million at 31 March 2021 to
£130.6 million at 31 March 2022. Management are in regular dialogue with
our lenders who continue to express their commitment to the business.
Our treasury policy requires a significant proportion of debt to be at fixed
interest rates and we facilitate this through fixed interest borrowings. We
have agreements in place to buy or sell currencies to hedge against foreign
exchange movements. We have strong credit control practices and use credit
insurance where it is cost effective. Debtor days were 55 days (2021: 56
days) and bad debts, as a percentage of revenue remained low at 0.6% (2021:
0.6%).
Contractual risks
Risk description
Ensuring that the Group commits to appropriate contractual terms is essential;
commitment to inappropriate terms may expose the Group to financial and
reputational damage.
Mitigation
The Group mainly engages in supply only contracts. The majority of the
Group's hire contracts are governed by the hire industry standard terms and
conditions. Vp has defined and robust procedures for managing non-standard
contractual obligations.
Climate change
Risk description
The effects of climate change and the transition to a lower carbon economy
could lead to increasing levels of regulation and demands on the business from
customers, employees and shareholders. Changes in weather patterns may
increase the likelihood of disruption to our business, although this is
considered minimal at this stage.
Mitigation
The Group has formally declared to be net carbon zero by 2050 at the latest.
This declaration is part of a wider body of work in relation to quantifying
and ultimately reducing the environmental impact of the Group's operations.
Once our scope 3 inventory is complete the Group will commit to, and
publish, Science-Based Targets.
Legal and regulatory requirements
Risk description
Failure to comply with legal or regulatory obligations culminating in
financial penalty and/or reputational damage.
Mitigation
The Group mitigates this risk utilising:
· Specialist Project Committees (e.g. GDPR) with ongoing responsibility
to review key compliance areas and investigate breaches and non-conformance.
· Assurance routines from Group Internal Audit and External Auditors.
· Comprehensive training and awareness programmes rolled out to the
wider business (including GDPR, Modern Slavery, Competition Law, Bribery and
Corruption) by representatives from Group Finance, HR, Internal Audit and IT.
Many of these programmes are completed using our preferred on line training
portals.
· Established whistleblowing policy circulated to all employees.
· Use of legal advisers where required.
8. Forward Looking Statements
The Chairman's Statement and Business Review include statements that are
forward looking in nature. Forward looking statements involve known and
unknown risks, assumptions, uncertainties and other factors which may cause
the actual results, performance or achievements of the Group to be materially
different from any future results, performance or achievements expressed or
implied by such forward looking statements. Except as required by the
Listing Rules and applicable law, the Company undertakes no obligation to
update, review or change any forward looking statements to reflect events or
developments occurring after the date of this report.
9. Annual Report and Accounts
The Annual Report and Accounts for the year ended 31 March 2022 will be
provided to shareholders before the end of June 2022.
Directors' Responsibility Statement in Respect of the Annual Financial Report
(extracted from the Annual Financial Report)
We confirm that to the best of our knowledge:
· The Group and Parent Company financial statements which have been
prepared in accordance with IFRSs as adopted by the European Union, give a
true and fair view of the assets, liabilities, financial position and profit
of the Group and Parent Company; and
· The Business Review and Financial Review, which form part of the
Directors' Report, include a fair review of the development and performance of
the business and the position of the Company and the undertakings included in
the consolidation taken as a whole, together with the description of the
principal risks and uncertainties that they face.
Alternative Performance Measures
(i) All performance measures stated as before
amortisation are also before impairment of intangibles and exceptional items.
(ii) Basic earnings per share pre amortisation and
exceptional items is reconciled to basic earnings per share in note 3.
(iii) Profit before tax, amortisation and exceptional items
is reconciled to profit before tax in the Income Statement.
(iv) EBITDA is reconciled to profit before tax, amortisation
and exceptional items by adding back net financial expenses and depreciation.
(v) Return on average capital employed is based on profit
before tax, interest, amortisation and exceptional items divided by average
capital employed on a monthly basis using the management accounts. Profit
before tax, interest, amortisation and exceptional items is reconciled to
profit before interest and tax in the Income Statement.
For and on behalf of the Board of Directors.
J F G Pilkington A M Bainbridge
Director Director
- ENDS -
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