Last checked at 19 Mar 2013 07:00
Press Release 19th March 2013
Billington Holdings Plc
Billington Holdings Plc
("Billington" or "the Group")
Full Year Results
Billington Holdings Plc (AIM:BILN), one of the UK's leading structural steel and construction safety solutions specialists, today announces audited full year results for the year ended 31st December 2012.
2012 | 2011 | |
Revenue | £38.2 million | £53.9 million |
Loss before tax and exceptional items | (£0.1 million) | (£1.7 million) |
Loss before tax | (£0.5 million) | (£2.2 million) |
Year-end cash balance | £1.0 million | £1.8 million |
Loss per share | (3.6 pence) | (14.9 pence) |
Highlights
·; Results in line with management's expectations
·; Operational review concluded; business right-sized in accordance with market conditions; restructuring activity delivered annualised savings of £3 million
·; Further growth in 'hoard-it' division
·; Balance sheet strength remains, with sufficient funds to cover working capital requirements
·; Anticipate marginal improvement in trading conditions throughout 2013; Group has committed additional resource to take advantage of opportunities in non-traditional sectors such as energy and transport, in addition to complex structural steel projects
Commenting on the results, Steve Fareham, Chief Executive, said:
"Market conditions within the structural steel industry remained highly challenging in 2012. Billington responded accordingly, taking action to ensure that our operations accurately matched market demand.
"The strategic review which was concluded in 2012 resulted in a decision to revert to a single shift working pattern that helped to deliver annualised cost savings of £3 million. This decision, along with other operational efficiency improvements and being selective about work undertaken, enhanced margins and helped deliver an improved performance for the Group.
"There was a growing sense of order and stability in structural steel markets towards the end of 2012, helped by further small reductions in capacity as smaller players consolidated or failed. Although we expect conditions to remain challenging throughout 2013, we do foresee marginal improvement. Having invested accordingly to take advantage of opportunities in non-traditional, growth sectors, and with our financial strength intact, we look to the future with cautious optimism."
For further information please contact:
Billington Holdings Plc Tel: 01226 340666
Peter HemsNon Executive Chairman
Steve FarehamChief Executive
Blythe Weigh Communications Tel: 020 7138 3204
Paul Weigh, Robert Kellner
W H Ireland Limited Tel: 0161 819 8875
Katy Mitchell
Chairman's Statement
I am pleased to report that the full year results for Billington Holdings Plc ('Billington'/'Group'/'Company') for 2012 were in line with market expectations, after adjusting for redundancy costs.
Market conditions remained extremely challenging throughout the course of the year and the proactive restructuring action that the Group commenced in 2011, which was completed in 2012, resulted in an appropriate right-sizing of the business to market conditions, delivered annualised cost savings of nearly £3 million and led to a final result that was much improved on the Group's prior year performance.
Results
The loss before tax for the year, excluding redundancy costs, improved by £1.6 million to £0.1 million on revenue of £38.2 million, compared with a loss of £1.7 million on revenue of £53.9 million in the previous year. The reduction in revenue was primarily due to the decision to revert to a single shift working pattern in our core structural steel business, which was taken in order to adjust production levels to market demand.
The overall loss per share for the year amounted to 3.6p, compared with 14.9p in 2011, reflecting the difficult trading conditions during the year.
Liquidity and capital resources
There has been an outflow of cash during the year of £0.8 million, which can be attributed to a combination of additional working capital requirements and capital equipment replacement. The Group maintained a robust balance sheet, with cash balances of £1.0 million at 31 December 2012, which together with the bank overdraft facilities available will provide adequate funds to cover the projected working capital requirements of the business.
Dividend
The Board remains committed to supporting the shareholders with the payment of a dividend when it is prudent to do so. Although the results show a considerable improvement over the previous year the net result is still a loss and it is in the best interests of the Group to continue to preserve cash for its working capital requirements. Therefore the Board has decided not to declare a final dividend.
Divisional performance
The review of operations which commenced in 2011 was concluded in the early part of 2012, resulting in further redundancy and reorganisation costs in 2012totalling £0.3 million. This review also resulted in the decision to revert to a single shift working pattern with effect from the early part of the year. The Group also introduced a number of operating efficiencies in order to ensure that the current capacity on a single shift work pattern is capable of meeting anticipated demand in current market conditions. The Group has sought to improve its operating margins through cost reductions and operating efficiencies as well as being selective about work undertaken.
Market sectors related to commercial, industrial and retail schemes remain extremely competitive through a significant number of structural steelwork providers being able to deliver such projects. The Group continues to target value added work in energy, rail and other transport projects along with tubular and complex steelwork schemes where competition remains less fierce and margins appear to be higher. The Group continues to further promote to customers the areas in which it considers it can differentiate itself from the competition and where value can be added to a project as opposed to solely focusing on price.
The results of the Peter Marshall Stairs subsidiary were disappointing. The decision was taken to strengthen the management team and in January 2013 a new MD designate was appointed with significant managerial experience within the structural steelwork sector. He is in the process of carrying out a full review of the company's operations and processes with the objective of achieving a positive contribution for 2013.
The easi-edge safety barrier division noted a reduced level of contribution to that which it had achieved in previous years due to a reduction in the level of demand for its barriers. There were changes to the management team during the year and I am pleased to report that we are seeing a gradual increase in demand for barriers such that we are anticipating an improved contribution from this division for 2013.
The hoard-it division continued to make steady progress with increasing demand for its products. The decision was taken to strengthen the management of this division to work with the existing small team to take the business forward. A new commercial director joined the business in January 2013.
Prospects
The reorganisation and operational efficiencies introduced in 2011 and 2012 leave the core structural steel business well placed to respond to the demands of its traditional markets, as well as being capable of responding to new opportunities in different sectors when opportunities arise. Further resource has been committed to targeting sectors Billington Structures has not previously been actively involved in; these include rail, energy from waste and further emphasis on complex structural steel projects. Although it is anticipated that the market will remain challenging in 2013 the Group as a whole is committed to and confident of improving its operating margins. The strengthening of the management teams in all Group subsidiaries should enable those businesses to achieve improved results for 2013 and also provide a platform for greater stability, growth and improved contributions in future years.
Billington Structures has progressed well in establishing itself in the rail sector following its successful Linkup approval in 2011 and has completed a number of projects in this sector in the year. Further planned expansion of the UK rail infrastructure combined with the Company's ability to tackle complex and challenging contracts will place it in a strong position as this work is completed over the coming years.
It is difficult to forecast when there will be a sustained recovery in the structural steelwork market, there have been a number of false dawns to date and the only way to move forward is to assume that the current market conditions are the new norm in the short term. We anticipate that there will be some marginal improvement in trading conditions during 2013 and to that end we are looking to enhance and improve our sales and marketing activities to ensure that we are well placed to seek out opportunities and take advantage of any increased demand for the Group's services as and when that demand arises. The Group commenced the year with an improved order book over that of the previous year with a portfolio of work across a number of markets.
Management and workforce
I should like to express my thanks to all the directors and employees for their efforts and assistance over the last twelve months which has continued to be a particularly challenging time.
I am also pleased to welcome Dr Alexander Ospelt to the Board as a non executive director with effect from 1 January 2013. Dr Ospelt is a lawyer by profession and sits on a number of Boards, has a wide range of commercial experience and will also strengthen the relationship between the Board and the Company's major shareholders.
Peter Hems
Non Executive Chairman
19 March 2013
Operational Review 2012
2012 remained difficult for the sector with the UK structural steelwork industry continuing to flat line at circa 800,000 tonnes per annum, almost half of the peak of five years ago. The year has seen further small reductions in capacity as competitors fail and consolidate, a trend that we foresee continuing in 2013 as the industry continues to rebalance the supply/demand equation. Confidence in the sector has been adversely affected by a series of negative trading statements from the market leader, which is the only other London listed competitor. Against this trading backdrop, our planned reductions in production and manning levels, coupled with a complete review of our business processes, has enabled the Group to make significant progress towards its mission of 'Stability and a return to profitability'.
Health, Safety, Sustainability, Quality and the Environment
Health, safety, sustainability, quality and environmental remains the cornerstone of our businesses. The Group actively seeks continual improvement across all these areas and, as such, has recently appointed a new Group SHEQ manager who has significant industry experience and a proven track record of delivering improved results.
Many new initiatives to improve our performance commenced in 2012 including site based training and stand down days for our sub-contractors.
Billington Structures Limited
Over 15,000 tonnes of structural steel was efficiently fabricated on a single shift basis from our factories in Barnsley and Bristol during 2012.
Key projects included:
·; The completion of St George's Park, the new training centre near Burton on Trent for the Football Association.
·; The new stand for Saracens RFC.
·; Educational facilities in Sheffield, Rochdale, Kings Lynn, Blackpool and Stoke.
·; A major facility for West Yorkshire Police.
·; Bicester town centre retail development.
Billington Structures starts 2013 with a strong portfolio of work including footbridges and a new station in the rail sector, a major plant in Plymouth in the waste to energy sector and in the sport sector the first Olympic legacy project at Derby Arena. We were pleased to be awarded a Structural Steel Design award for our work at the Royal Shakespeare Theatre. The Company continues to target and address sectors where we believe the margins remain stronger. Sales and marketing has been strengthened with a focus on these sectors which to date have yielded good results and it is anticipated this will continue.
Our JV with the Bourne Group, BS2, remains robust and we have several major opportunities presenting themselves in 2013.
Tubecon
Tubecon continues to grow its market share and expand its client base.
Major projects included:
·; The Coca Cola pavilion and Wayfinder Gantries at the Olympic Park.
·; A major sports facility for The University of Cambridge.
·; Various canopies and atriums in Manchester, Glasgow, Bristol and West Bromwich.
Tubecon started 2013 with several major projects in The City of London and Glasgow.
easi-edge Limited
2012 was a year of consolidation as the slowdown in the construction sector impacted the business. During the period the long serving senior management team of Managing Director and Commercial Director both sought early retirement on health grounds. We were fortunate in being able to promote and transfer a member of the Billington Structures' management into the position of Operations Director.
Major projects where safety edge protection was supplied included:
·; The Ageas Bowl, Southampton.
·; Wigmore Street, London.
·; School projects in Felixstowe, Huddersfield, Peterborough and Cumbria.
·; Lancashire Cricket Club, Manchester.
Enquiries in the closing months of 2012 were 40 per cent up on the previous year and good conversion rates have increased the stock utilisation by five per cent over the same period.
hoard-it division
Our unique sustainable site security hoarding system continues to grow, develop new products and increase its market share.
Major projects included:
·; Guy's Hospital, London.
·; Major installations for the Ministry of Defence.
·; School projects in Littlehampton, Barnsley, Rotherham, Bournemouth and Kings Lynn.
·; University projects in Northampton, Sheffield, Exeter and Bristol.
·; Green living hoardings in Enfield.
·; House building sites in Cambridge, Oxford and Rotherham.
The start of 2013 has seen a surge in orders and our new internal hoarding system, known as screen-it, has been installed at Heathrow Airport Terminal 2. On 1 January 2013 a Commercial Director was appointed to provide further knowledge and expertise of the sector to assist in taking the company forward to the next level.
Peter Marshall Steel Stairs Limited
Mirroring the difficulties in the structural steelwork sector, 2012 proved problematic for Peter Marshall Stairs as a result of competitive pressure in the marketplace.
Some notable projects have included:
·; Staircases for the iconic Bevis Marks building in London.
·; Complex steelwork for the British Museum.
·; Stairs and metalwork to several waste to energy projects.
To further strengthen and develop the management team on 1 January 2013 a Managing Director designate was appointed. Work has commenced on achieving the required CE marking standards by the end of 2013.
People
As always I would like to take the opportunity of thanking all of our employees, my fellow board members and wider stakeholders for your continuing support in what continues to be the most extraordinary of times.
There have been a significant number of changes at senior management level during the period and I would like to wish the directors who have sought to leave early a long and healthy retirement. May I also offer a warm welcome to the newly appointed directors in our various subsidiaries.
Conclusion
We continue to make inroads into alternative sectors to our traditional commercial and industrial steelwork market. Having commissioned an external report into how we can offer our customers a broader portfolio of products and services, we intend to implement the report's recommendations to further strengthen the Group's marketing and sales resource to assist in promoting a more connected and expansive offering to customers in 2013. As such we have appointed a Group marketing manager, together with a number of business development managers, and look forward to an improvement in our presence in the market place as Billington Holdings.
Towards the end of 2012 there appeared to be a growing sense of order and stability entering the structural steelwork sector as cutthroat pricing below cost was finally recognised as an unsustainable approach. If this sense of order in the sector can continue, then I remain cautiously optimistic that although 2013 will continue to be challenging, further improvements and a return to modest profitability is possible.
Steve Fareham
Chief Executive
19 March 2013
Financial Review | |||||||||||||||
Consolidated Income Statement | |||||||||||||||
2012 | 2011 | ||||||||||||||
£'000 | £'000 | ||||||||||||||
Revenue | 38,171 | 53,878 | |||||||||||||
Operating loss | (438) | (2,240) | |||||||||||||
Loss before tax | (455) | (2,159) | |||||||||||||
Loss after tax | (415) | (1,729) | |||||||||||||
Loss before tax excluding redundancy costs | (133) | (1,687) | |||||||||||||
Loss for shareholders | (415) | (1,729) | |||||||||||||
Loss per share | (3.6)p | (14.9)p | |||||||||||||
The results for the year indicate a much improved performance by the Group and are indicative of the progress made to date following the restructuring of the businesses in late 2011 and early 2012.
| |||||||||||||||
Revenue decreased by 29 per cent primarily as a result of the Billington Structures' business reverting back to a single shift operation at its plants in Barnsley and Bristol as a conscious effort to target value added work as opposed to production volumes. Demand for structural steel in 2012 still remains at depressed levels, approximately half of the pre-recession levels, and although the industry as a whole has seen a significant amount of supply removed from the market there remains an imbalance of supply and demand, albeit at a reduced level. | |||||||||||||||
Operating margins (after redundancy costs) improved to (1.1) per cent, which was 74 per cent higher than in 2011. | |||||||||||||||
Loss per share improved from 14.9p in 2011 to 3.6p in 2012. | |||||||||||||||
Redundancy costs of £322,000 were expended in the year further to £472,000 in 2011; the annualised cost saving of these redundancies is £2,846,000. The Group continues to monitor its resources on an on-going basis with a view to aligning the cost base with that of anticipated demand and the related price the Group feels it is able to achieve for its products. | |||||||||||||||
Consolidated Balance Sheet | |||||||||||||||
2012 | 2011 | ||||||||||||||
£'000 | £'000 | ||||||||||||||
Non current assets | 9,331 | 9,994 | |||||||||||||
Current assets | 11,127 | 15,588 | |||||||||||||
Current liabilities | 7,791 | 12,372 | |||||||||||||
Non current liabilities | 368 | 413 | |||||||||||||
Total equity | 12,299 | 12,797 | |||||||||||||
Capital expenditure has been kept to a minimum where possible; the total amount expended in the year was £347,000 against £1,969,000 in 2011. | |||||||||||||||
Within non current assets property, plant and equipment decreased by £788,000, and deferred tax assets increased by £68,000. Capital expenditure of £347,000 was incurred in the year with net disposals being £55,000 and depreciation was charged in the year of £1,080,000. The balance of the movement is as a result of a surplus on the defined benefit pension scheme. | |||||||||||||||
The reduction of £4,461,000 in current assets included decreases of £1,897,000 in inventories, £1,737,000 in trade and other receivables and £827,000 in cash. | |||||||||||||||
The total reduction of £4,581,000 in current liabilities principally comprised a reduction in trade and other payables. | |||||||||||||||
A property loan of £469,000 was taken in 2011 to purchase the trading premises of Peter Marshall Steel Stairs. £368,000 of this is reflected within non-current liabilities with repayments made against the balance in the year of £49,000. | |||||||||||||||
Total equity reduced by £498,000 in the year to £12,299,000 and while this is disappointing the financial position of the Group at the end of the year remains robust and provides a platform from which to continue to move forward through these difficult economic times. | |||||||||||||||
Consolidated Cash Flow Statement | |||||||||||||||
2012 | 2011 | ||||||||||||||
£'000 | £'000 | ||||||||||||||
Result for shareholders | (415) | (1,729) | |||||||||||||
Depreciation | 1,080 | 1,265 | |||||||||||||
Capital expenditure | (347) | (1,969) | |||||||||||||
Tax | (10) | 150 | |||||||||||||
Increase in working capital | (934) | (1,226) | |||||||||||||
Net property loan movement | (49) | 462 | |||||||||||||
Others | (152) | 32 | |||||||||||||
Net cash outflow | (827) | (3,015) | |||||||||||||
Cash at beginning of year | 1,839 | 4,854 | |||||||||||||
Cash at end of year | 1,012 | 1,839 | |||||||||||||
The primary factors underlying the net cash outflow in the year were capital expenditure and a larger proportionate decrease in trade and other payables as compared to inventories and work in progress and trade and other receivables. The Group remains committed to treating its suppliers and subcontractors fairly and to paying them in line with their agreed payment terms. | |||||||||||||||
Working capital was as shown below: | |||||||||||||||
2012 | 2011 | ||||||||||||||
£'000 | £'000 | ||||||||||||||
Inventories | 5,897 | 7,794 | |||||||||||||
Accounts receivable | 4,218 | 5,955 | |||||||||||||
Accounts payable | (7,746) | (12,314) | |||||||||||||
Working capital at end of year | 2,369 | 1,435 | |||||||||||||
Cash balances at the year-end totalled £1,012,000 and there were property loans outstanding of £413,000. While the cash position has decreased by £827,000 from 2011 the Group continues with significant headroom over its agreed facilities with its bankers. | |||||||||||||||
Pension Scheme | |||||||||||||||
2012 | 2011 | ||||||||||||||
£'000 | £'000 | ||||||||||||||
Scheme assets | 6,025 | 5,854 | |||||||||||||
Scheme liabilities | (5,641) | (5,527) | |||||||||||||
Surplus | 384 | 327 | |||||||||||||
Other finance income | - | 88 | |||||||||||||
Contributions to defined benefit scheme | 167 | 109 | |||||||||||||
To limit the Group's exposure to future potential pension liabilities the decision was taken to close the remaining Billington defined benefit pension scheme to future accrual from 1 July 2011. | |||||||||||||||
A recovery plan for the Billington scheme was agreed with the trustees following an actuarial valuation of the scheme liabilities as at 31 March 2011 (approved 18 June 2012), in accordance with the requirements of the Pensions Act. Additional contributions are being made in accordance with this agreement. | |||||||||||||||
Trevor Taylor | |||||||||||||||
Financial Director | |||||||||||||||
19 March 2013 | |||||||||||||||
BILLINGTON HOLDINGS PLC | |||||||||||||||
Consolidated income statement for the year ended 31 December 2012 | |||||||||||||||
Note | 2012 | 2011 | |||||||||||||
£'000 | £'000 | £'000 | £'000 | ||||||||||||
Revenue | 38,171 | 53,878 | |||||||||||||
(Decrease)/increase in work in progress | (1,824) | 1,179 | |||||||||||||
36,347 | 55,057 | ||||||||||||||
Raw materials and consumables | 21,402 | 38,296 | |||||||||||||
Other external charges | 2,946 | 3,408 | |||||||||||||
Staff costs | 10,027 | 12,948 | |||||||||||||
Redundancy | 322 | 472 | |||||||||||||
Depreciation | 1,080 | 1,265 | |||||||||||||
Other operating charges | 1,008 | 908 | |||||||||||||
(36,785) | (57,297) | ||||||||||||||
Group operating loss | (438) | (2,240) | |||||||||||||
Share of post tax profit in joint ventures | - | - | |||||||||||||
Total operating loss | (438) | (2,240) | |||||||||||||
Net finance cost | (17) | (7) | |||||||||||||
Other finance income - pension scheme | - | 88 | |||||||||||||
Loss before tax | (455) | (2,159) | |||||||||||||
Tax | 40 | 430 | |||||||||||||
Loss for the year | (415) | (1,729) | |||||||||||||
Loss for the year attributable to equity holders of the parent company | (415) | (1,729) | |||||||||||||
Loss per share (basic and diluted) | 3 | (3.6) p | (14.9) p | ||||||||||||
All results arose from continuing operations. | |||||||||||||||
BILLINGTON HOLDINGS PLC | |||||||||||||
Consolidated statement of comprehensive income for the year ended 31 December 2012 | |||||||||||||
2012 | 2011 | ||||||||||||
£'000 | £'000 | ||||||||||||
Loss for the year | (415) | (1,729) | |||||||||||
Other comprehensive income | |||||||||||||
Actuarial loss recognised in the pension scheme | (110) | (134) | |||||||||||
Movement on deferred tax relating to pension liability | (14) | 26 | |||||||||||
Current tax relating to pension liability | 41 | 24 | |||||||||||
Other comprehensive income, net of tax | (83) | (84) | |||||||||||
Total comprehensive income for the year attributable to equity holders of the parent company | (498) | (1,813) | |||||||||||
BILLINGTON HOLDINGS PLC | ||||||||||||||||
Consolidated balance sheet as at 31 December 2012 | ||||||||||||||||
2012 | 2011 | |||||||||||||||
£'000 | £'000 | £'000 | £'000 | |||||||||||||
Assets | ||||||||||||||||
Non current assets | ||||||||||||||||
Property, plant and equipment | 8,069 | 8,857 | ||||||||||||||
Pension assets | 384 | 327 | ||||||||||||||
Investments in joint ventures | - | - | ||||||||||||||
Deferred tax asset | 878 | 810 | ||||||||||||||
Total non current assets | 9,331 | 9,994 | ||||||||||||||
Current assets | ||||||||||||||||
Inventories and work in progress | 5,897 | 7,794 | ||||||||||||||
Trade and other receivables | 4,218 | 5,955 | ||||||||||||||
Cash and cash equivalents | 1,012 | 1,839 | ||||||||||||||
Total current assets | 11,127 | 15,588 | ||||||||||||||
Total assets | 20,458 | 25,582 | ||||||||||||||
Liabilities | ||||||||||||||||
Current liabilities | ||||||||||||||||
Current portion of long term borrowings | 45 | 49 | ||||||||||||||
Trade and other payables | 7,746 | 12,314 | ||||||||||||||
Current tax payable | - | 9 | ||||||||||||||
Total current liabilities | 7,791 | 12,372 | ||||||||||||||
Non current liabilities | ||||||||||||||||
Long term borrowings | 368 | 413 | ||||||||||||||
Total non current liabilities | 368 | 413 | ||||||||||||||
Total liabilities | 8,159 | 12,785 | ||||||||||||||
Net assets | 12,299 | 12,797 | ||||||||||||||
Equity | ||||||||||||||||
Share capital | 1,293 | 1,293 | ||||||||||||||
Share premium | 1,864 | 1,864 | ||||||||||||||
Capital redemption reserve | 132 | 132 | ||||||||||||||
Other reserve | (909) | (909) | ||||||||||||||
Accumulated profits | 9,919 | 10,417 | ||||||||||||||
Total equity | 12,299 | 12,797 | ||||||||||||||
BILLINGTON HOLDINGS PLC | |||||||||||||||
Consolidated statement of changes in equity for the year ended 31 December 2012 | |||||||||||||||
Share capital | Share premium account | Capital redemption reserve | Other reserve - ESOP | Accumulated profits | Total equity | ||||||||||
£'000 | £'000 | £'000 | £'000 | £'000 | £'000 | ||||||||||
At 1 January 2011 | 1,293 | 1,864 | 132 | (902) | 12,230 | 14,617 | |||||||||
Transactions with owners | |||||||||||||||
ESOP movement in year | - | - | - | (7) | - | (7) | |||||||||
Transactions with owners | - | - | - | (7) | - | (7) | |||||||||
Loss for the financial year | - | - | - | - | (1,729) | (1,729) | |||||||||
Other comprehensive income | |||||||||||||||
Actuarial gain recognised in the pension scheme | - | - | - | - | (134) | (134) | |||||||||
Income tax relating to components of other comprehensive income | - | - | - | - | 50 | 50 | |||||||||
Total comprehensive income for the year | - | - | - | - | (1,813) | (1,813) | |||||||||
At 31 December 2011 | 1,293 | 1,864 | 132 | (909) | 10,417 | 12,797 | |||||||||
Share capital | Share premium account | Capital redemption reserve | Other reserve - ESOP | Accumulated profits | Total equity | ||||||||||
£'000 | £'000 | £'000 | £'000 | £'000 | £'000 | ||||||||||
At 1 January 2012 | 1,293 | 1,864 | 132 | (909) | 10,417 | 12,797 | |||||||||
Transactions with owners | |||||||||||||||
ESOP movement in year | - | - | - | - | - | - | |||||||||
Transactions with owners | - | - | - | - | - | - | |||||||||
Loss for the financial year | - | - | - | - | (415) | (415) | |||||||||
Other comprehensive income | |||||||||||||||
Actuarial loss recognised in the pension scheme | - | - | - | - | (110) | (110) | |||||||||
Income tax relating to components of other comprehensive income | - | - | - | - | 27 | 27 | |||||||||
Total comprehensive income for the year | - | - | - | - | (498) | (498) | |||||||||
At 31 December 2012 | 1,293 | 1,864 | 132 | (909) | 9,919 | 12,299 | |||||||||
BILLINGTON HOLDINGS PLC | ||||||
Consolidated cash flow statement for the year ended 31 December 2012 | ||||||
2012 | 2011 | |||||
£'000 | £'000 | |||||
Cash flows from operating activities | ||||||
Group loss after tax | (415) | (1,729) | ||||
Taxation (paid)/received | (10) | 150 | ||||
Interest received | - | 12 | ||||
Depreciation on property, plant and equipment | 1,080 | 1,265 | ||||
Difference between pension charge and cash contributions | (167) | (2) | ||||
Profit on sale of property, plant and equipment | (28) | (68) | ||||
Taxation credit recognised in income statement | (40) | (430) | ||||
Net finance expense/(income) | 17 | (81) | ||||
Decrease/(increase) in inventories and work in progress | 1,897 | (1,261) | ||||
Decrease/(increase) in trade and other receivables | 1,737 | (2,709) | ||||
(Decrease)/increase in trade and other payables | (4,568) | 2,744 | ||||
Net cash flow from operating activities | (497) | (2,109) | ||||
Cash flows from investing activities | ||||||
Purchase of property, plant and equipment | (347) | (1,969) | ||||
Proceeds from sale of property, plant and equipment | 83 | 627 | ||||
Net cash flow from investing activities | (264) | (1,342) | ||||
Cash flows from financing activities | ||||||
Interest paid | (17) | (19) | ||||
Proceeds of bank and other loans | - | 469 | ||||
Repayment of bank and other loans | (49) | (7) | ||||
Employee Share Ownership Plan share purchases | - | (7) | ||||
Net cash flow from financing activities | (66) | 436 | ||||
Net decrease in cash and cash equivalents | (827) | (3,015) | ||||
Cash and cash equivalents at beginning of period | 1,839 | 4,854 | ||||
Cash and cash equivalents at end of period | 1,012 | 1,839 | ||||
Notes (audited)
Full year results for the year ended 31 December 2012
1. Basis of preparation
The financial information in this preliminary announcement has been prepared in accordance with accounting policies which are based on the International Financial Reporting Standards (IFRSs) as adopted by the European Union and in issue and in effect at 31 December 2012.
2. Accounts
The summary accounts set out above do not constitute statutory accounts as defined by Section 434 of the UK Companies Act 2006. The summarised consolidated balance sheet at 31 December 2012, the summarised consolidated income statement, the summarised consolidated statement of comprehensive income, the summarised consolidated statement of changes in equity and the summarised consolidated cash flow statement for the year then ended have been extracted from the Group's 2012 statutory financial statements upon which the auditor's opinion is unqualified and did not contain a statement under either sections 498(2) or 498(3) of the Companies Act 2006. The audit reports for the year ended 31 December 2011 did not contain statements under sections 498(2) or 498(3) of the Companies Act 2006. The statutory financial statements for the year ended 31 December 2011 have been delivered to the Registrar of Companies. The 31 December 2012 accounts were approved by the directors on 18 March 2013, but have not yet been delivered to the Registrar of Companies.
3. Loss per share
Loss per share is calculated by dividing the loss for the year of £415,000 (2011 - loss - £1,729,000) by 11,581,358 (2011 - 11,586,616) fully paid ordinary shares, being the weighted average number of ordinary shares in issue during the year, excluding those held in the ESOP Trust.
There is no impact on a full dilution of the (loss)/earnings per share calculation as there are no potential dilutive ordinary shares.
4. Report and accounts and AGM
The Annual Report and Accounts for the year ended 31 December 2012 will be posted to shareholders at the end of April and will be available on the company's website: www. billington-holdings.plc.uk.
The Annual General Meeting will be held on Monday 3 June 2013 at 3pm at Billington Holdings Plc, Steel House, Barnsley Road, Wombwell, South Yorkshire S73 8DS.
5. Segmental information
The Group trading operations of Billington Holdings plc are only in Structural Steel, and all are continuing. This includes the activities of Billington Structures Limited, easi-edge Limited and Peter Marshall Steel Stairs Limited. The Group activities, comprising services and assets provided to Group companies and a small element of external property rentals and management charges, are considered incidental to the activities of Billington Structures Limited and have therefore not been shown as a separate operating segment but have been subsumed with Structural Steel. All assets of the Group reside in the UK.