FD Technologies Regulatory News (FDP)

26 Sep 2006 07:01

First Derivatives PLC26 September 2006 26th September 2006 First Derivatives plc AIM : FDP ("FDP" or "the Company") Interim results for the six months ended 31st August 2006 The principal activities of FDP are the provision of a range of support servicesto the investment banking market and the derivatives technology industry and theprovision of its own range of e-business applications. Financial Highlights • Turnover £4.178 million (2005: £2.744 million) + 52% • Profit before tax £1.173 million (2005: £0.651 million) + 80% • Earnings per share 6.2p (2005: 3.7p) + 68% • Maiden interim dividend of 1.4p per share Business Highlights • Increased staff utilisation in capital markets activities. • Further Kx sales to existing and new customers. • Continuing pipeline of R&D products moving to evaluation • Improved performance expected to continue during the second half of the year. David Anderson, Chairman of FDP commented: "The Company has now reached the point where it is starting to exploit its ownsoftware products and is continuing to experience strong demand for Kx productsand services to the capital markets. The Directors regard the outlook for theyear as extremely encouraging." For further information please contact: First Derivatives Corporate Synergy Parkgreen CommunicationsBrian Conlon Luke Ahern Justine Howarth / Victoria ThomasManaging Director T: 020 7448 4430 T: 020 7493 3713T: 028 3025 2242 www.firstderivatives.com First Derivatives plc (FDP)Interim results for the six months ended 31st August 2006 CHAIRMAN'S STATEMENT The Company announces an increased interim pre-tax profit of £1.173 millioncompared with £0.651 million in the corresponding period of the previous year.Revenues were £4.178 million (2005: £2.744 million) and earnings per shareincreased by 68% to 6.2p (2005: 3.7p). The Board is pleased to announce the payment of a maiden interim dividend. Aninterim dividend of 1.4p per ordinary share will be paid on 16th October 2006 tothose shareholders on the register on 29th September 2006. The shares will beex-dividend on 27th September 2006. In my statement sent to shareholders in May I referred to the fact that twomajor Kx contracts had been signed during the first half of the current year.Further sales have continued to new and existing customers and the salespipeline is encouraging. Our capital markets activity has achieved a further increase in business levelsresulting in more effective staff utilisation. We continue to expand ourgeographical reach with assignments in Australia, Singapore, Japan and Dublinundertaken during the period. Appointments were made during the period tofurther strengthen the senior management team. The Company continues to generate a significant cash flow from operations.Further properties have been acquired during the period for staff accommodationlargely from operational cashflow.The net asset value per share at the end ofthe period was 29.6p. The Company has now reached the point where it is starting to exploit its ownsoftware products and is continuing to experience strong demand for Kx productsand services to the capital markets. The Directors regard the outlook for theyear as extremely encouraging. David AndersonChairman25th September 2006 Profit and Loss Account (unaudited)For the period ended 31 August 2006 6 months ended 31 6 months ended 31 12 months ended 28 August 2006 August 2005 February 2006 £'000 £'000 £'000 Turnover 4,178 2,744 6,313 Cost of sales (2,679) (1,747) (3,959) Gross profit/(loss) 1,499 997 2,354 Administrative expenses (313) (297) (812) Other income 38 23 101 Operating profit - continuing operations 1,224 723 1,643 Interest receivable 14 1 7 Interest payable and other similar charges (65) (73) (113) Profit on ordinary activities before taxation 1,173 651 1,537 Tax on profit on ordinary activities (385) (193) (468) Profit on ordinary activities after taxation 788 458 1,069 Retained profit brought forward 2,334 1,265 1,446 3,122 1,723 2,515 Dividends paid (381) (181) (181) Transfer from reserves - - - Retained profit carried forward 2,741 1,542 2,334 Pence Pence Pence Earnings per ShareBasic 6.2 3.7 8.6 Balance Sheet (unaudited)As at 31 August 2006 6 months ended 6 months ended 12 months ended 31 August 2006 31 August 2005 28 February 2006 £'000 £'000 £'000 Fixed AssetsIntangible assets 270 450 360Tangible assets 4,871 2,460 3,439 5,141 2,910 3,799Current AssetsDebtors 2,790 1,098 2,251Cash at bank and in hand 860 1,161 1,061 3,650 2,259 3,312CreditorsAmounts falling due within one year (2,910) (1,491) (2,082) Net current assets 740 768 1,230 Total assets less current liabilities 5,881 3,678 5,029 CreditorsAmounts falling due after more than one year (2,102) (1,252) (1,717) Provision for liabilities and charges - (3) - Net assets 3,779 2,423 3,312 Share capital and reservesCalled Up Share Capital 64 62 64Share Premium & Shares To Be Issued 974 819 914Profit and loss account 2,741 1,542 2,334 Equity Shareholders' funds 3,779 2,423 3,312 Cash Flow Statement (unaudited)For the period ended 31 August 2006 6 months ended 31 6 months ended 31 12 months ended 28 August 2006 August 2005 February 2006 £'000 £'000 £'000 Cash inflow from operating activities 1,290 1,043 1,606 Return on investment and servicing of finance (51) (72) (106)Taxation - - (232)Capital expenditure (1,410) (398) (1,389)Equity dividends paid (381) (181) (181)Investment in Shares (76) - - Cash inflow/(outflow) before financing (628) 392 (302) Financing 428 (19) 574 Increase/(decrease) in cash in the period (200) 373 272 Reconciliation of net cash flow to movement in net debt (unaudited)For the period ended 31 August 2006 6 months ended 31 6 months ended 31 12 months ended 28 August 2006 August 2005 February 2006 £'000 £'000 £'000 Increase/(Decrease) in cash in the period (200) 373 272(Increase)/Decrease in debt 85 36 103 Change in net debt resulting from cash flows (115) 409 375Long term loan (500) - (550) Movement in net funds/(debt) in the period (615) 409 (175)Net debt at start of the period (797) (622) (622) Net debt at end of the period (1,412) (213) (797) Notes to the Interim Results 1. Basis of Preparation The results for the six months ended 31st August 2006 are unauditedand have not been reviewed by the Auditors. They have been prepared onaccounting bases and policies that are consistent with those used in thepreparation of the financial statements of the Company for the period ended 28thFebruary 2006. The financial statements contained in this report do not constitute statutoryaccounts within the meaning of Section 248 of the Companies (Northern Ireland)Order 1986 (as amended by Article 12 of the Companies (Northern Ireland) Order1990). The results for the period ended 28th February 2006 were reported on bythe auditors and received an unqualified audit report. Full accounts for theperiod ended 28th February 2006 have been delivered to the Registrar ofCompanies. 2. Dividends An Interim Dividend of 1.4p per share is proposed for the yearending 28 February 2007. This will be paid to shareholders on 16th October toshareholders on the register on 29th September 2006. Shares will Ex-Dividend on27th September 2006. 3. Earnings per Share The earnings per share for the six months ended 31 August 2006 has beencalculated on the basis of the profit after taxation. The calculation ofearnings per share is based on the profit on ordinary activities. Earnings pershare has been calculated based on 12,764,858 shares outstanding. 4. Reconciliation of operating profit to net cash inflow from operatingactivities 6 months ended 6 months ended 31 12 months ended 31 August 2006 August 2005 28 February 2006 £'000 £'000 £'000 Operating profit 1,224 723 1,643Depreciation on tangible fixed assets 51 42 93Amortisation of intangible asset 90 90 180Decrease/(increase) in debtors (538) (52) (1,184)(Decrease)/increase in creditors 413 240 879Issue of in the money share options - - (5)Provision for Shares To Be Issued 50 - - Net cash inflow/(outflow) from operating activities 1,290 1,043 1,606 5. Analysis of net changes in debt during the period 6 months ended 31 6 months ended 31 12 months ended 28 August 2006 August 2005 February 2006 £'000 £'000 £'000 Cash in hand and bank 860 1,161 1,060 Bank overdraft - - - Debt due within one year (171) (121) (140) Debt due after one year (2,102) (1,253) (1,717) (1,413) (213) (797) 6. Dividend Following the adoption of FRS21: Events after the balance sheet date, dividendshave been accounted for in the financial year in which they were declared andapproved. This information is provided by RNS The company news service from the London Stock Exchange