Interim Results
12 Dezember 2003 - 12:26PM
UK Regulatory
RNS Number:1985T
Dunham-Bush (Europe) PLC
12 December 2003
DUNHAM-BUSH (EUROPE) PLC
Interim Statement
for the six months ended
31 October 2003
Chairman's Statement
Operating results
Turnover for the six months ended 31 October 2003 at #5,070,600 was slightly
less than last year (#5,234,000), although the comparative figures include
#114,000 for Santric, a business that was sold in July 2002 and therefore
excluded from the latest half year's results. However, in continuance of the
trend noted in the last annual report, a much improved product mix has resulted
in an operating profit of #440,000 (2002: #251,000).
Management has been very selective in not accepting orders producing only small
margins which can be swiftly eroded into losses by the slightest change in
circumstances. Product mix has again improved with big gains in heating sales
and continued increases in parts and services. Administration expenses have been
held in check
The result of this is an increase in the pre-tax profits from #69,000 in 2002 to
#271,000 in the current period. This is a great tribute to the hard-line
management and cost-cutting process which has been pursued for several years and
is now finally showing results.
Prospects
In the annual report I noted a marked reluctance on the part of many clients to
proceed with construction projects because of the general uncertainty created by
the global political and economic situation which, in turn, created difficult
trading conditions for the Group. Although trading is holding up, we cannot say
that we have identified any sustained improvement in the general trading
conditions.
On 8 August 2003, the Company announced that it had entered into a memorandum of
understanding which, if implemented, would have led to a change in control of
the Company. However, it did not prove possible to conclude those arrangements.
Accordingly, the Directors have been pursuing alternative opportunities and are
currently at an advanced stage of negotiations on a proposal which, if
completed, will be a significant step towards securing the financial stability
of the Company.
Staff and associates
We thank our loyal staff, together with our customers and professional partners,
for their steadfast support.
Freddie Pang Hock Cheng
Chairman
12 December 2003
Group Profit and Loss Account 2003 2002
For the six months ended 31 October #'000 #'000
Turnover 5,071 5,243
Operating profit 440 251
Net bank interest and finance charges payable (169) (182)
Profit on ordinary activities before taxation 271 69
Tax on profit on ordinary activities - -
Profit after taxation 271 69
Net dividends paid (Note 2) - -
Retained profit 271 69
Profit per share (Note 3) 0.66p 0.17p
Group Balance Sheet 2003 2002
At 31 October #'000 #'000
Fixed assets
Intangible assets 21 67
Tangible assets 3,313 3,436
3,334 3,503
Current assets
Stocks 1,060 1,256
Debtors 1,880 1,882
Cash at bank and in hand 1 1
2,941 3,139
Creditors: amounts falling due within one year (7,049) (7,173)
Net current liabilities (4,108) (4,034)
Total assets less current liabilities (774) (531)
Creditors: amounts falling due after more than one year (42) (70)
(816) (601)
Capital and reserves
Called up share capital 1,032 1,032
Share premium account 2,893 2,893
Profit and loss account (4,741) (4,526)
(816) (601)
Group Cashflow Statement 2003 2002
for the six months ended 31 October #'000 #'000
Operating profit 440 251
Depreciation 96 87
Amortisation of development expenditure 17 33
Decrease/(increase) in debtors (249) 38
Decrease in stocks 49 325
Decrease in creditors (216) (380)
Net cash inflow from continuing operating activities 137 354
Returns on investments and servicing of finance
Interest paid (165) (178)
Interest element of finance lease rentals (4) (4)
Net cash outflow from returns on investments and (169) (182)
servicing of finance
Taxation
Corporation tax - -
Capital expenditure
Payments to acquire tangible fixed assets (3) (1)
Net cash outflow from capital expenditure (3) (1)
Net cash inflow/(outflow) before financing (35) 171
Financing
Receipts from borrowings 185 -
Repayment of borrowings - (224)
Capital element of finance lease rental (13) (18)
Net cash inflow/(outflow) from financing 172 (242)
Increase/(decrease) in cash 137 (71)
Notes to the Interim Statement
1 Basis of preparation
The consolidated profit and loss account, balance sheet and cashflow statement have been prepared on a basis
consistent with the financial statements for the year ended 30 April 2003. The financial information contained in the
interim statement, which is unaudited, does not constitute statutory accounts within the meaning of section 240 of
the Companies Act 1985.
2 Dividends
The Directors do not propose the payment of an interim dividend.
3 Profit per share
The calculation of profit per share is based on a profit of #271,000 (2002: #69,000) and on 41,288,627 ordinary
shares, being the number of shares in issue during the period (2002: 41,288,627). As the exercise price of the share
options is in excess of the fair value of the shares, no dilution of profit per share would occur if the share
options were exercised.
4 Publication
Copies of this statement will be sent to shareholders and will be available to the public from the registered office
of Dunham-Bush (Europe) plc, Downley Road, Havant, Hampshire PO9 2JD.
This information is provided by RNS
The company news service from the London Stock Exchange
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