C.H. Bailey Plc Regulatory News (BLEY)

21 Dec 2006 07:01

Bailey(C.H.) PLC21 December 2006 CHAIRMAN'S INTERIM STATEMENT AND FINANCIAL RESULTSSIX MONTHS ENDED 30TH SEPTEMBER 2006 6 months to 6 months to 30th Septmber 2006 30th September 2005 £ £ Turnover 6,196,338 5,670,613Operating (loss) (397,324) (309,815)Loss before tax (453,436) (350,261)Loss per share (5.47p) (4.22p) Results for the 6 month period ended 30th September 2006 show a loss of £453,436(2005: loss £350,261). Turnover has increased by £525,725 (8.48%) with acorresponding increase in gross profit of 12.8%. The trading loss shows anincrease of £113,766, however, when exchange losses of £217,173 (2005: exchangegains of £109,000) are excluded, the adjusted trading loss is £260,266, areduction of 44.94% over last year (2005: loss £472,673). UK Operations I am pleased to report that our UK Engineering group of companies have seen anincrease in turnover and in particular Specialist Heavy Engineers Ltd. (SHE).Sales for SHE are projected to reach £1,600,000 for the year end, an increase ofsome 23% on last year. Modular Automation International Limited continues totrade profitably and Midway Precision Limited has also performed well. Aspreviously reported, our forecasts for 2006/7 show further improvements andcoupled with continuing reviews of costs and an increase in sales for allcompanies, every indication is that this trend will continue into the New Year. P&D Electrical Services Ltd currently has a very healthy order book butcontinues to make losses. The losses have been reduced as management has focusedtheir efforts on better controls and obtaining better margins. Malta Our hotel in Malta continues to contribute to Group and the profits for the halfyear have increased. As previously reported, the Maltese Government has releasedthe 'North Harbour Local Plan' (NHLP) which encompasses the outline plan and wehave submitted outline plans to redevelop the site. We have had furtherdiscussions with planners and interested third parties in developing the siteand we hope progress will continue at a faster pace in the next few months. Tanzania Beho Beho, our safari camp in the Selous Game Reserve has continued to exceedall expectations in terms of forecasts and revenues, and bookings for the 2007/8season are already encouraging. Mikumi Wildlife Camp continues to tradeprofitably and contribute to overheads. With regards to the Oyster Bay Hoteloffice complex development, the site clearance has been completed, permitsissued and negotiations with contractors will hopefully be completed early inthe New Year. Investments The investments have performed well in a fluctuating and volatile market.However the current strength of Sterling, in particular against the US Dollarhas meant that Sterling holding values have been affected as a majority of theportfolio is held in US Dollars. Conclusion In September I reported that the underlying trading results of certain Groupcompanies were improving and that the restructuring changes were beginning toshow results. There continue to be signs of growth in all Group companies and Istill believe we are moving in the right direction. We need to make some furtherreductions in our central and other operating costs as well as look for furtherefficiencies as we continue to increase our sales and achieve better margins. Iwould like to thank the management and staff for all their concerted efforts andask them for their continued support over the next 12 months, when we will needto make further changes. Charles BaileyChairman and Managing Director 21st December 2006 UNAUDITED CONSOLIDATED PROFIT AND LOSS ACCOUNTFOR THE SIX MONTHS ENDED 30TH SEPTEMBER 2006 6 months to 6 months to 30th September 30th September 2006 2005 Continuing Continuing £ £ Turnover 6,196,338 5,670,613Cost of sales (4,789,916) (4,423,916) ---------------------------------Gross profit 1,406,422 1,246,697 Administrative expenses (1,883,861) (1,610,370) ---------------------------------Trading (loss) (477,439) (363,673) Investment activities and other income 80,115 53,858 ---------------------------------Operating (loss) (397,324) (309,815) Interest receivable 5,645 7,315Interest payable (61,757) (47,761) ---------------------------------(Loss) on ordinary activities before taxation (453,436) (350,261)Taxation 22,704 21,259 --------------------------------- (Loss) on ordinary activities after taxation (430,732) (329,002)Minority interest (17,124) (22,903) ---------------------------------(Loss) for the period (447,856) (351,905) ================================= Earnings per share from total operating results (5.47p) (4.22p) UNAUDITED CONSOLIDATED BALANCE SHEETAS AT 30TH SEPTEMBER 2006 30th September 30th September 2006 2005 (as restated) £ £ Fixed assetsIntangible assets 717,050 805,588Tangible assets 7,398,035 7,484,825 --------------------------------- 8,115,085 8,290,413 ---------------------------------Current assetsStock and work in progress 350,195 713,154Debtors 3,874,442 2,880,890Investments 2,387,186 2,620,342Cash at bank and in hand 294,329 515,815 --------------------------------- 6,906,152 6,730,201 Creditors: amounts falling due within one year 5,701,642 4,930,628 --------------------------------- Net current assets 1,204,510 1,799,573 --------------------------------- Total assets less current liabilities 9,319,595 10,089,986 Creditors: amount falling due after more than one year 948,677 916,884Provision for liabilities and charges 137,582 89,054 ---------------------------------Net assets 8,233,336 9,084,048 =================================Financed by:Capital and reservesCalled up share capital 833,541 4,830,414Share premium account 609,690 553,332Capital redemption reserve 5,163,332 1,166,459Investment in own shares (187,528) -Revaluation reserve 1,682,274 1,697,856Other reserves 661,296 592,553Investment revaluation reserve 603,243 211,528Profit and loss account (1,039,826) 168,723 ---------------------------------Equity shareholders' funds 8,326,022 9,220,865Minority interest (92,686) (136,817) --------------------------------- 8,233,336 9,084,048 ================================= Net assets per share £1.00 £1.09 UNAUDITED CONSOLIDATED CASHFLOW STATEMENTSIX MONTHS ENDED 30TH SEPTEMBER 2006 6 months to 6 months to 30th Septmber 2006 30th September 2005 £ £ £ £Net cash inflow (outflow) from operating activities 54,498 (83,925) Return on investments and servicing of financeInterest received 5,645 7,315Interest paid (61,757) (47,761) --------- --------- (56,112) (40,446)Taxation - - Capital expenditure and financial investmentPurchase of tangible fixed assets (245,068) (252,205)Sale of tangible fixed assets - 18,387Sale of intangible fixed assets - 7,500 --------- --------- (245,068) (226,318) --------- ---------Cash (outflow) before use of liquid resources and financing (246,682) (350,689) Equity dividends paid - - Management of liquid resourcesPurchase of investments (305,118) (67,037)Sale of investments 234,322 171,412Movement in short term deposits 446,896 451,881 --------- --------- 376,100 556,256FinancingSale of investment in own shares - 827,416Directors loans (276,250) (735,666)Movement in other loans due within one year 9,565 (36,170)Movement in bank loans due after more than one year 50,929 (21,506)Capital element of finance leases 11,442 14,569 --------- --------- (204,314) 48,643 --------- ---------(Decrease) increase in cash in the period (74,896) 254,210 ========= ========= UNAUDITED CONSOLIDATED STATEMENT OF TOTAL RECOGNISED GAINS AND LOSSESSIX MONTHS ENDED 30TH SEPTEMBER 2006 6 months to 6 months to 30th Septmber 2006 30th September 2005 £ £ (Loss) for the financial period (447,856) (351,905)Revaluation of investments held for resale (104,611) -Exchange rate adjustments 63,202 (47,188) ------------------------------Total recognised (loss) since last annual report (489,265) (399,093)Sale of investment in own shares - 827,416 ------------------------------ (489,265) 428,323 ============================== For further information please contact: Charles Bailey, ChairmanC.H. Bailey Plc Telephone 01633 262961 Richard Day Arden Partners Plc Telephone 020 7398 1632 This information is provided by RNS The company news service from the London Stock Exchange