ABBY.L Regulatory News (ABBY)

12 Jan 2006 07:00

Abbey PLC12 January 2006 ABBEY PLC - INTERIM STATEMENT JANUARY 2006 The Board of Abbey plc reports a profit before taxation of €22.32m whichcompares with a profit of €26.12m for the corresponding period last year.Profits at the operating level were €21.34m as compared to €25.17m at the halfway stage last year. Our housebuilding division completed 330 sales (UK 194; Ireland 136) with aturnover of €86.53m generating an operating profit of €20.29m. Margins havecontinued to be eroded as higher margin projects are gradually replaced by morerecent lower margin schemes. The housing market in Southern England remainschallenging although some slight improvement has been evident towards the end ofthe calendar year. The Irish market continues to be firm and we are expecting agood performance in Ireland in the next few months. Looking forward the housing division is, as last year, on course for more salesin the second half, however, the final outcome will likely turn on the level ofUK sales in the last quarter. During the period contracts were exchanged for thepurchase of in excess of 400 plots subject to the grant of planning permissionand provision of relevant services. The land market continues to be verycompetitive. In Prague a planning permit was issued for 95 plots for our site atSlivenec. In addition further lands adjacent to our site in Slivenec and zonedfor development are now under contract and should allow another 32 units in duecourse. We expect to start construction in the second half of this calendaryear. Further opportunities are being pursued. M & J Engineers, our UK plant hire business, generated operating profits of€927,000 on a turnover of €10.35m. Trading has been consistent throughout theperiod. Cash generation from the division continues to be reliable. A programmeof productivity enhancements will support trading next year. Rental income for the period amounted to €117,000 for the half year. The Group's Irish operating companies have relocated their offices from Dublinto a purpose built office in Clonee, Co. Meath. Some surplus offices and retailspace are being let to third party tenants. Once final lettings have beenachieved these additional rents will be in the region of €200,000 per annum. Further to the authority granted at the EGM on 21 June 2005 the Company hasduring the period purchased 3,067,739 ordinary shares to be held as TreasuryShares at a cost of €27,829,465. On the 7th of November 2005 a further 1,000,000ordinary shares were purchased and cancelled at a cost of €9,121,501. There arenow 33,077,782 shares in issue of which 3,067,739 are held as Treasury Shares. The Group held substantial cash balances at the end of October. Commitments forland purchases amounting to €33.8m existed at the end of October and the Groupcontinues to actively pursue further opportunities. The Board is pleased to declare an interim dividend of 12 cents per share. Thedividend is covered 4.68 times. This dividend will be paid on 15th February 2006to shareholders on the register at 20th January 2006. Overall, the Group istrading steadily and the Board is hopeful of a satisfactory outcome for theyear. On behalf of the Board Charles H Gallagher - Chairman 12th January 2006 GROUP PROFIT AND LOSS ACCOUNT Unaudited 6 months ended Audited Year ended 31/10/2005 31/10/2004 30/04/2005 euro'000 euro'000 euro'000 Turnover - continuing (including share of 96,993 99,400 206,854 joint venture) Less: share of joint venture - (334) (334) Group turnover 96,993 99,066 206,520 Operating costs (75,656) (74,223) (151,296) Group operating profit- continuing 21,337 24,843 55,224 Share of joint ventures operating profit - 328 122 Trading profit, including share of joint venture 21,337 25,171 55,346 Net interest receivable 987 952 1,916 Profit on ordinary activities before taxation 22,324 26,123 57,262 Estimated taxation on profit on ordinary activities (5,462) (6,055) (13,048) Profit attributable to shareholders 16,862 20,068 44,214 Dividends paid - - (3,749) Dividends proposed - (3,749) (7,497) Retained profit 16,862 16,319 32,968 Earnings per share - basic and diluted 50.77 c 58.89 c 129.74 c Earnings per share has been calculated by reference to the weighted averagenumber of shares in issue of 33,213,379 at 31 October 2005 (34,077,782 at 31October 2004 and 30 April 2005). SEGMENTAL ANALYSIS Turnover Building and property development 86,528 88,846 186,429 Plant hire 10,348 10,438 20,190 Property rental 117 116 235 96,993 99,400 206,854 Less: share of joint venture - (334) (334) 96,993 99,066 206,520 Net Assets Building and property development 136,648 121,326 145,069 Plant hire 29,820 28,223 29,575 Property rental 1,452 731 1,454 167,920 150,280 176,098 Investment in joint venture 2,398 2,561 2,398 Dividends proposed - (3,749) (7,497) Investments 7 7 7 Cash at bank 53,558 63,265 64,164 223,883 212,364 235,170 Unaudited 6 months ended Audited Year ended 31/10/2005 31/10/2004 30/04/2005 euro'000 euro'000 euro'000 STATEMENT OF TOTAL RECOGNISED GAINS AND LOSSES Profit for the financial period 16,862 20,068 44,214 including share of joint venture Unrealised revaluation surplus - - 2,465 arising in period Translation adjustment (320) (3,547) 145 arising in period Total recognised gains and losses related to the period 16,542 16,521 46,824 The valuation of land and buildings and investment properties have been carriedforward from the 30 April 2005 audited financial statements. RECONCILIATION OF MOVEMENTS IN SHAREHOLDERS' FUNDS Profit for the financial period 16,862 20,068 44,214 Dividends - (3,749) (11,246) Profit retained for the financial period 16,862 16,319 32,968 Unrealised revaluation surplus arising in period - - 2,465 Translation adjustment arising in period (320) (3,547) 145 Purchase of own shares (27,829) - - Net movement in shareholders' funds (11,287) 12,772 35,578 Opening shareholders' funds 235,170 199,592 199,592 Closing shareholders' funds 223,883 212,364 235,170 GROUP BALANCE SHEET Unaudited Unaudited Audited 31/10/2005 31/10/2004 30/04/2005 euro'000 euro'000 euro'000 Fixed Assets 35,866 31,361 35,945 Investment in joint venture 2,398 2,561 2,398 38,264 33,922 38,343 Current Assets Stocks 203,732 169,637 196,812 Debtors 9,535 8,670 8,787 Other investments 7 7 7 Cash at bank and in hand 53,558 63,265 64,164 266,832 241,579 269,770 Creditors (amounts falling due within one year) Trade and other creditors (79,827) (62,205) (71,555) Net current assets 187,005 179,374 198,215 Total assets less current liabilities 225,269 213,296 236,558 Provisions for liabilities and charges Deferred taxation (1,386) (932) (1,388) 223,883 212,364 235,170 Shareholders' Funds Called up share capital 10,905 10,905 10,905 Share premium account 13,321 13,321 13,321 Revaluation reserve 7,337 4,769 7,346 Other reserves Capital redemption reserve fund 1,478 1,478 1,478 Currency translation 1,128 (2,141) 1,439 Profit & loss account 189,714 184,032 200,681 223,883 212,364 235,170 Notes 1) The above summarised consolidated balance sheet and consolidated profitand loss account do not constitute full accounts and except where indicated areunaudited. Full statutory accounts for the year ended 30 April 2005, prepared inaccordance with Irish GAAP and containing an unqualified audit report, have beenfiled with the Irish Registrar of Companies. 2) The 31 October 2005 Interim Report and Accounts have been prepared on abasis consistent with the 30 April 2005 audited financial statements. 3) At 31 October 2005 the number of Issued Ordinary Shares was 34,077,782 ofwhich 3,067,739 are held as Treasury Shares. 4) An interim dividend of 12 cent per share will be paid on 15th February2006 to ordinary shareholders on the register at 20th January 2006. 5) A copy of this statement will be circulated to shareholders on Friday the20th of January 2006. Copies are available to members of the public at thecompany's registered office, 25/28 North Wall Quay, Dublin 1. Unaudited 6 months ended Audited Year ended 31/10/2005 31/10/2004 30/04/2005 euro'000 euro'000 euro'000 GROUP CASH FLOW STATEMENT Net cash inflow from operating activities 30,889 13,577 27,352 Returns on Investment and Servicing of Finance 987 952 1,916 Corporation Tax Paid (4,360) (6,460) (14,504) Capital Expenditure Purchase of tangible fixed assets (4,203) (4,386) (9,119) Sale of tangible fixed assets 1,486 1,139 2,475 (2,717) (3,247) (6,644) Equity Dividends Paid (7,497) (6,815) (10,564) Net cash inflow (outflow) before use of liquid resources and financing 17,302 (1,993) (2,444) Financing Purchase of own shares (27,829) - - Net Cash Outflow From Financing (27,829) - - Management of liquid resources (11,331) 5,780 903 (Decrease) increase in cash (21,858) 3,787 (1,541) RECONCILIATION OF NET CASH FLOW TO MOVEMENT IN NET FUNDS (Decrease) increase in cash in the period (21,858) 3,787 (1,541) Cash flow from increase (decrease) in liquid resources 11,331 (5,780) (903) Translation difference (79) (1,394) (44) Movement in net funds in the period (10,606) (3,387) (2,488) Opening net funds 64,164 66,652 66,652 Closing net funds 53,558 63,265 64,164 RECONCILIATION OF OPERATING PROFIT TO NET CASH INFLOW FROM OPERATING ACTIVITIES Operating profit 21,337 24,843 55,224 Depreciation 3,355 3,254 6,514 Profit on disposal of tangible fixed assets (606) (445) (1,037) Translation adjustment (53) 507 (76) Increase in stocks (7,130) (6,618) (31,650) Increase in debtors (756) (140) (84) Increase (decrease) in creditors 14,742 (7,824) (1,539) Net cash inflow from operating activities 30,889 13,577 27,352 - FINANCIAL DIARY - Interim Statement 12th January 2006 Interim Dividend Payment 15th February 2006 Preliminary Statement July 2006 Annual Report September 2006 Annual General Meeting October 2006 12 January, 2006 END This information is provided by RNS The company news service from the London Stock Exchange