Castings PLC Regulatory News (CGS)

24 May 2007 09:00

Castings PLC24 May 2007 Castings plcFINANCIAL REPORT 2007 Chairman's Statement Profit before tax for the year ended 31 March 2007 was £13,057,000 compared with£12,701,000 in the year to 31 March 2006. Turnover increased from £76.7m to £86.2m due to partial recovery of raw materialprices and energy price increases and from an increased turnover from CNCSpeedwell during the second half of the year. The foundries at Brownhills and William Lee have enjoyed full order booksthroughout the year, but profit margins have been affected by the raw materialand energy prices, which have not been fully recovered or where full recoveryhas been delayed. CNC are now seeing the result of the company's continued investments with growthin orders, turnover and profitability. As reported last year the balance of £4.4m has been paid into the pensionschemes, which hopefully will rectify the previous funding deficit. The board are proposing a final dividend of 6.94 pence per share compared to6.67 pence last year. BRIAN J. COOKE Chairman 24 May 2007 Castings plcLichfield RoadBrownhillsWest MidlandsWS8 6JZ Consolidated Income Statement - Unaudited Year to Year to 31 March 2007 31 March £'000 2006 £'000 Revenue 86,230 76,696 ----------- ---------- Profit from operations 11,560 11,561 Finance income 1,497 1,140 ----------- ---------- Profit before income tax 13,057 12,701 Income tax expense 3,647 3,946 ----------- ---------- Profit for the year 9,410 8,755 ----------- ---------- Earnings per shareBasic and diluted 21.57p 20.07p ----------- ---------- Dividend per share paid 9.25p 8.88p =========== ========== Dividend per share proposed 6.94p 6.67p =========== ========== Consolidated Balance Sheet - Unaudited 31 March 31 March 2007 2006 £'000 £'000Assets Non-current assetsProperty, plant and equipment 35,495 32,566Financial assets 823 1,139Deferred tax asset - 574 ----------- ---------- 36,318 34,279 ----------- ---------- Current assetsInventories 6,318 5,276Trade and other receivables 21,784 20,449Cash and cash equivalents 25,452 27,686 ----------- ---------- 53,554 53,411 ----------- ---------- Total assets 89,872 87,690 ----------- ---------- Liabilities Current liabilitiesTrade and other payables 16,212 15,063Current tax liabilities 883 1,808 ----------- ---------- 17,095 16,871 ----------- ---------- Non-current liabilitiesRetirement Benefit Obligations - 1,913Deferred tax liabilities 2,141 1,781 ----------- ---------- 2,141 3,694 ----------- ----------Total liabilities 19,236 20,565 ----------- ---------- Net Assets 70,636 67,125 ----------- ---------- Shareholders' equityShare Capital 4,363 4,363 Share premium account 874 874 Other reserves 13 13 Retained earnings 65,386 61,875 ----------- ---------- Total equity 70,636 67,125 ----------- ---------- Consolidated Cash Flow - Unaudited Year to Year to 31 March 31 March 2007 2006 £'000 £'000Cash flows from operating activitiesCash generated from operations 12,582 12,678Interest received 1,497 1,140Tax paid (2,858) (3,060) ----------- ---------- Net cash generated from operating activities 11,221 10,758 Cash flows from investing activitiesPurchase of property, plant and equipment (9,637) (4,301)Purchase of financial assets (47) -Proceeds from disposal of property, plant and equipment 45 9Proceeds from disposal of financial assets 220 21 ----------- ----------Net cash used in investing activities (9,419) (4,271) Cash flow from financing activitiesDividends paid to shareholders (4,036) (3,875) ----------- ----------Net cash used in financing activities (4,036) (3,875) Net increase/(decrease) in cash and cash equivalents (2,234) 2,612Cash and cash equivalents at beginning of year 27,686 25,074 ----------- ---------- Cash and cash equivalents at end of year 25,452 27,686 ----------- ---------- Consolidated Statement of Recognised Income and Expense - Unaudited Year to Year to 31 March 31 March 2007 2006 £'000 £'000 Profit for the year 9,410 8,755 Changes in fair value of available for sale financialassets (143) 176 Actuarial (losses)/gains on defined pension schemes (2,500) 1,987 Tax effect of gains and losses recognised directly inequity 780 (649) ----------- ---------- Total recognised income for the year 7,547 10,269 ----------- ---------- Supplementary Statement - Unaudited Reconciliation of operating profit to net cash inflow from operating activities Year to Year to 31 March 31 March 2007 2006 £'000 £'000 Profit before income tax 13,057 12,701 Depreciation 6,663 4,889 Interest received (1,497) (1,140) Excess of employer pension contributions over incomestatement charge (4,413) (2,357) (Increase)/decrease in inventories (1,042) 183 Increase in receivables (1,335) (3,668) Increase in payables 1,149 2,070 ----------- ---------- Net cash inflow from operating activities 12,582 12,678 ----------- ---------- Castings plc Notes to the financial report Basis of preparation The financial information has been prepared under International FinancialReporting Standards (IFRS) as adopted by the EU using the same accountingpolicies that were used in the group financial statements for the year ended 31March 2006. 1. Dividends The Board are proposing a final dividend amounting to 6.94 pence per share (2006:6.67p). An interim dividend of 2.58p per share (2005:2.53p) has already been paid, making the total dividend for the year 9.52p per share (2006:9.20p). The Annual General Meeting will be held on Tuesday 14 August 2007 and if the proposed final dividend is approved by the members the dividend will be paid on 17 August 2007 to shareholders registered on 27 July 2007. 2. The basic and diluted earnings per share are based on the weighted average number of shares in issue of 43,632,068 in 2007 and in 2006. 3. The company operates two defined benefit pension schemes. The funded status of these schemes at 31 March 2007 was a surplus of £4,348,000 (2006: liability of £1,913,000). In accordance with IAS 19 paragraph 58b the asset disclosed in this financial information has been reduced by £4,335,000 to £nil. 4. The financial information set out above does not constitute the company's statutory accounts within the meaning of section 240 of the Companies Act 1985. The 2007 figures are based on unaudited accounts for the year ended 31 March 2007. The auditors do not expect to issue a qualified report on the statutory accounts which will be finalised on the basis of the financial information presented by the directors in the preliminary announcement and which will be delivered to the Registrar of Companies following the company's annual general meeting. Statutory accounts for 2006, have been delivered to the Registrar of Companies. The auditors' report was unqualified and did not contain statements under the Companies Act 1985, S237 (2) or (3). This information is provided by RNS The company news service from the London Stock Exchange