Last checked at 26 Apr 2010 09:00
ELEMENTIS PLC
CHANGE OF PRESENTATION CURRENCY
2009 COMPARATIVES RE-PRESENTED IN US DOLLARS
INTRODUCTION
Elementis announced at the time of its 2009 preliminary results announcement that the Board had decided to change the Group's reporting currency to US Dollars in 2010. Below, the key financial information for 2009 re-presented in US Dollars is set out for comparative purposes.
BACKGROUND
The majority of the Group's sales and earnings originate in US Dollars or US Dollar linked currencies and the change of presentation currency to the US Dollar will more closely align the Group's external financial reporting with the profile of the Group, as well as with current internal management reporting.
The change of the Group's presentation currency has been accounted for in accordance with IAS21, The Effects of Changes in Foreign Exchange Rates.
The following methodology has been used to re-present the 2009 results, originally reported in Sterling, into US Dollars:
a) Income and expenses have been translated at the average exchange rate for the relevant period;
b) Assets and liabilities have been translated at the closing exchange rate for each balance sheet date: and
c) Equity items have been translated at historical exchange rates.
The relevant exchange rates used are as follows:
|
| 6 months ended 30 June 2009 | Year ended 31 December 2009 |
|
| £1=US$ | £1=US$ |
| Average rate | 1.47 | 1.55 |
| Closing rate | 1.65 | 1.61 |
Further enquiries:
| Elementis | 020 7408 9300 |
| Brian Taylorson, Finance Director |
|
| Financial Dynamics | 020 7831 3113 |
| Greg Quine |
|
ELEMENTIS PLC
CHANGE OF PRESENTATION CURRENCY
2009 COMPARATIVES RE-PRESENTED IN US DOLLARS
Consolidated income statement
|
| 6 months ended 30 June 2009 |
| Year ended 31 December 2009 | |||||
|
| Before exceptional | Exceptional items | After exceptional |
| Before exceptional | Exceptional items | After exceptional | |
|
| items |
| items |
| items |
| Items | |
|
| $million | $million | $million |
| $million | $million | $million | |
| Revenue | 253.1 | - | 253.1 |
| 563.7 | - | 563.7 | |
| Cost of sales | (173.6) | (2.9) | (176.5) |
| (385.3) | (2.9) | (388.2) | |
| Gross profit | 79.5 | (2.9) | 76.6 |
| 178.4 | (2.9) | 175.5 | |
| Distribution costs | (36.8) | - | (36.8) |
| (75.4) | - | (75.4) | |
| Administrative expenses | (34.5) | (44.7) | (79.2) |
| (66.8) | (73.8) | (140.6) | |
| Operating profit/(loss) | 8.2 | (47.6) | (39.4) |
| 36.2 | (76.7) | (40.5) | |
| Finance income | 0.4 | - | 0.4 |
| 1.2 | - | 1.2 | |
| Finance costs | (5.4) | - | (5.4) |
| (9.1) | - | (9.1) | |
| Profit/(loss) before income tax | 3.2 | (47.6) | (44.4) |
| 28.3 | (76.7) | (48.4) | |
| Tax | (0.4) | - | (0.4) |
| (9.3) | 0.3 | (9.0) | |
| Profit/(loss) for the year | 2.8 | (47.6) | (44.8) |
| 19.0 | (76.4) | (57.4) | |
| Attributable to: |
|
|
|
|
|
|
| |
| Equity holders of the parent | 2.8 | (47.6) | (44.8) |
| 19.0 | (76.4) | (57.4) | |
| Minority interests | - | - | - |
| - | - | - | |
|
| 2.8 | (47.6) | (44.8) |
| 19.0 | (76.4) | (57.4) | |
|
|
| |||||||
| Earnings per share |
|
|
|
|
|
|
|
|
| Basic (cents) |
|
| (10.1)c |
|
|
| (12.9)c |
|
| Diluted (cents) |
|
| (10.1)c |
|
|
| (12.9)c |
|
| Basic before exceptionals (cents) |
|
| 0.6c |
|
|
| 4.3c |
|
| Diluted before exceptionals (cents) |
|
| 0.6c |
|
|
| 4.3c |
|
ELEMENTIS PLC
CHANGE OF PRESENTATION CURRENCY
2009 COMPARATIVES RE-PRESENTED IN US DOLLARS
Consolidated balance sheet
|
| As at | As at |
|
| 30 June 2009 | 31 December 2009 |
|
| $million | $million |
| Non-current assets |
|
|
| Goodwill and other intangible assets | 332.3 | 338.4 |
| Property, plant and equipment | 173.8 | 168.7 |
| Interests in associates | 0.1 | 0.1 |
| Total non-current assets | 506.2 | 507.2 |
|
Current assets |
|
|
| Inventories | 139.9 | 105.0 |
| Trade and other receivables | 104.6 | 102.4 |
| Cash and cash equivalents | 23.6 | 28.8 |
| Total current assets | 268.1 | 236.2 |
| Total assets | 774.3 | 743.4 |
|
Current liabilities |
|
|
| Bank overdrafts and loans | (11.9) | (17.9) |
| Trade and other payables | (81.8) | (82.3) |
| Derivatives | (14.5) | (4.5) |
| Current tax liabilities | (3.0) | (6.5) |
| Provisions | (26.7) | (51.8) |
| Total current liabilities | (137.9) | (163.0) |
|
Non-current liabilities |
|
|
| Loans and borrowings | (137.8) | (117.2) |
| Retirement benefit obligations | (117.5) | (111.7) |
| Deferred tax liabilities | (16.5) | (22.7) |
| Provisions | (45.7) | (39.0) |
| Government grants | (2.1) | (1.9) |
| Total non-current liabilities | (319.6) | (292.5) |
| Total liabilities | (457.5) | (455.5) |
| Net assets | 316.8 | 287.9 |
|
Equity |
|
|
| Share capital | 43.2 | 43.2 |
| Share premium | 11.0 | 11.0 |
| Other reserves | 110.0 | 116.0 |
| Retained earnings | 151.0 | 116.1 |
| Total equity attributable to equity holders of the parent | 315.2 | 286.3 |
| Minority equity interests | 1.6 | 1.6 |
| Total equity | 316.8 | 287.9 |
ELEMENTIS PLC
CHANGE OF PRESENTATION CURRENCY
2009 COMPARATIVES RE-PRESENTED IN US DOLLARS
Consolidated cash flow statement
|
|
| 6 months ended 30 June 2009 | Year ended 31 December 2009 | ||
|
|
|
| $million |
| $million |
| Operating activities: |
|
|
|
|
|
| Loss for the period |
|
| (44.8) |
| (57.4) |
| Adjustments for: |
|
|
|
|
|
| Finance income |
|
| (0.4) |
| (1.2) |
| Finance costs |
|
| 5.4 |
| 9.1 |
| Tax charge |
|
| 0.4 |
| 9.0 |
| Depreciation and amortisation |
|
| 10.1 |
| 20.5 |
| Decrease in provisions |
|
| (0.9) |
| (2.4) |
| Pension contributions net of current service cost |
|
| (2.8) |
| (10.7) |
| Share based payments |
|
| 0.9 |
| 0.9 |
| Exceptional items |
|
| 47.6 |
| 76.7 |
| Cash flow in respect of exceptional items |
|
| (8.1) |
| (22.8) |
| Operating cash flow before movement in working capital |
|
| 7.4 |
| 21.7 |
| Decrease in inventories |
|
| 10.6 |
| 44.0 |
| Decrease in trade and other receivables |
|
| 5.1 |
| 7.3 |
| Decrease in trade and other payables |
|
| (41.7) |
| (43.2) |
| Cash generated by operations |
|
| (18.6) |
| 29.8 |
| Income taxes paid |
|
| (4.1) |
| (6.2) |
| Interest paid |
|
| (1.8) |
| (4.0) |
| Net cash flow from operating activities |
|
| (24.5) |
| 19.6 |
| Investing activities: |
|
|
|
|
|
| Interest received |
|
| 0.4 |
| 1.6 |
| Purchase of property, plant and equipment |
|
| (7.6) |
| (13.5) |
| Purchase of business |
|
| - |
| (8.7) |
| Disposal of investment in associate |
|
| 0.9 |
| 0.1 |
| Acquisition of intangibles |
|
| - |
| (0.3) |
| Net cash flow from investing activities |
|
| (6.3) |
| (20.8) |
| Financing activities: |
|
|
|
|
|
| Dividends paid |
|
| (9.1) |
| (20.0) |
| Increase / (decrease) in borrowings |
|
| 14.1 |
| (1.4) |
| Net cash (used in)/ from financing activities |
|
| 5.0 |
| (21.4) |
| Net decrease in cash and cash equivalents |
|
| (25.8) |
| (22.6) |
| Cash and cash equivalents at 1 January |
|
| 48.4 |
| 48.4 |
| Foreign exchange on cash and cash equivalents |
|
| 1.0 |
| 3.0 |
| Cash and cash equivalents at end of the period |
|
| 23.6 |
| 28.8 |
ELEMENTIS PLC
CHANGE OF PRESENTATION CURRENCY
2009 COMPARATIVES RE-PRESENTED IN US DOLLARS
Operating segments
6 months ended 30 June 2009
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|
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|
|
|
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|
|
| Speciality |
|
| Segment |
|
|
|
| Products | Surfactants | Chromium | totals | Central costs | Total |
|
| $million | $million | $million | $million | $million | $million |
| Revenue | 139.1 | 36.3 | 77.7 | 253.1 | - | 253.1 |
| Operating profit before exceptionals | 11.9 | 0.1 | 7.2 | 19.2 | (11.0) | 8.2 |
| Head office cost allocations | (3.1) | (0.1) | (2.9) | (6.1) | 6.1 | - |
| Exceptionals | - | - | (40.7) | (40.7) | (6.9) | (47.6) |
| Profit / (loss) before interest | 8.8 | 0.0 | (36.4) | (27.6) | (11.8) | (39.4) |
Year ended 31 December 2009
|
|
|
|
|
|
|
|
|
| Speciality |
|
| Segment |
|
|
|
| Products | Surfactants | Chromium | totals | Central costs | Total |
|
| $million | $million | $million | $million | $million | $million |
| Revenue | 301.6 | 76.3 | 185.8 | 563.7 | - | 563.7 |
| Operating profit before exceptionals | 35.0 | 0.5 | 22.3 | 57.8 | (21.6) | 36.2 |
| Head office cost allocations | (6.5) | (0.4) | (6.0) | (12.9) | 12.9 | - |
| Exceptionals | - | - | (44.5) | (44.5) | (32.2) | (76.7) |
| Profit / (loss) before interest | 28.5 | 0.1 | (28.2) | 0.4 | (40.9) | (40.5) |
Note:
The classification of exceptional items between cost of sales and administrative expenses in the June 09 consolidated income statement has been amended to be consistent with the presentation in the 2009 full year accounts. This has no impact on the results before exceptional items or on reported operating profit in either the Interim Statement or in the 2009 full year results.
END