Ms Intl. Regulatory News (MSI)

27 Nov 2006 07:00

MS International PLC27 November 2006 MS INTERNATIONAL plc EXECUTIVE DIRECTORS Michael Bell Michael O'Connell David Pyle NON EXECUTIVE Roger Lane-Smith SECRETARY David Pyle REGISTERED OFFICE Balby Carr Bank Doncaster DN4 8DH PRINCIPAL OPERATING DIVISIONS Defence Forgings Petrol Station Superstructures JOINT VENTURE Global-MSI plc MS INTERNATIONAL plc Chairman's Statement I am pleased to report that we have continued to make good progress in the firsthalf of the current year. The Group achieved a marked upgrading in performanceacross a range of measures during the previous year and I am delighted that wehave consolidated that elevated status in the six months to 28 October 2006. A profit before taxation of £1.98m (2005 - £2.00m) was achieved on revenue of£22.88m (2005 - £23.22). Earnings per share were 8.1p (2005 - 8.1p) The three operating divisions - defence, forgings and petrol stationsuperstructures sustained a good and stable level of performance, subject onlyto programme variations and the timing of their respective market demands. The balance sheet remains robust, with net cash of £3.24m albeit our policy ofpropitious and unrelenting capital investment in advancing the technologicalexpertise of the businesses proceeds at a high level. The order book is strong and of good quality and we are positioning ourselves tomake further progress, supported in the belief that there are some interestingopportunities for the Group in the markets we serve. The Board continues to view the outlook with cautious optimism. Taking thesematters into account the Board has declared an interim dividend of 0.60p pershare (2005 - 0.58p) Michael Bell 24 November 2006. MS INTERNATIONAL plc Basis of Preparation These interim financial statements, which have been prepared on the basis of theaccounting policies set out in the Company's 2006 statutory accounts (other thanthe adoption of the proportionate method of accounting for the joint venture asset out below) do not constitute statutory accounts within the meaning ofsection 254 of the Companies Act 1985 and are unaudited. The figures for the year ended 30th April, 2006 do not constitute the Company'sstatutory accounts for the period but have been extracted from the statutoryaccounts. The auditor's report on those accounts, which have been filed with the Registrarof Companies, was unqualified and did not contain any statement under section237(2) or (3) of the Companies Act 1985. These interim financial statements have been prepared using the proportionatemethod of accounting for the interest of the Group in Global-MSI plc, a jointlyowned entity. The figures for the 26 weeks ended 29th October, 2005 and for the52 weeks ended 29th April, 2006 have been restated accordingly. It is theopinion of the directors that the proportionate method of accounting, ratherthan the equity method, better reflects the substance and economic reality ofour interest in the joint venture. As a result of the change, the balance sheetincludes the Group's share of the joint venture's assets and liabilities and theincome statement includes its share of the income and expenses but therestatement does not affect the previously reported figures for profit beforetaxation, earnings per share or equity. Consolidated Income Statement Restated Restated 26 weeks ended 26 weeks ended 52 weeks ended 28th Oct. 2006 29th Oct. 2005 29th April 2006 £'000 £'000 £'000Revenue 22,878 23,216 44,435 Profit before finance and taxation 1,683 1,959 3,871Net finance revenue 292 36 104 Profit before taxation 1,975 1,995 3,975 Taxation (633) (638) (1,478) Profit for the period attributable to equity holders 1,342 1,357 2,497of the parent Earnings per share - basic 8.1p 8.1p 15.0p Earnings per share - diluted 7.8p 7.7p 14.3p MS INTERNATIONAL plc Statement of Recognised Income and Expense Restated Restated 26 weeks ended 26 weeks 52 weeks 28th Oct. 2006 ended 29th ended 29th Oct. 2005 April 2006 £'000 £'000 £'000 Actuarial (losses)/ gains on defined benefit pension scheme (970) 636 3,726Deferred taxation on actuarial losses/gains on defined benefit 291 (191) (1,118)pension schemeCurrency translation differences on foreign investments (29) 52 85 Net income recognised directly in equity (708) 497 2,693 Profit attributable to equity holders of the parent 1,342 1,357 2,497 Total recognised income and expense for the period 634 1,854 5,190attributable to equity holders of the parent Notes 1. Taxation has been calculated at 32% (2005 - 32%) on the Group profit for the period as adjusted for taxation purposes. 2. The Board has declared an interim dividend of 0.60p per share. Dividend warrants will be posted on 26th January, 2007 to members registered on the books of the Company at 5th January, 2007 MS INTERNATIONAL plc Consolidated Balance Sheet Restated Restated As at 28th As at 29th As at 29th Oct. 2006 Oct. 2005 April 2006 £'000 £'000 £'000ASSETSNon current assetsProperty, plant and equipment 13,011 8,750 12,368Intangible assets 271 275 296Deferred income tax asset - 301 - 13,282 9,326 12,664 Current assetsInventories 4,447 5,246 4,176Trade and other receivables 6,725 8,545 8,013Prepayments 2,706 682 1,863Cash and cash equivalents 3,241 - 5,907 17,119 14,473 19,959 TOTAL ASSETS 30,401 23,799 32,623 EQUITY AND LIABILITIESEquityIssued capital 1,871 1,881 1,871Capital redemption reserve 870 860 870Other reserves 1,544 1,544 1,544Revaluation reserve 2,942 - 2,942Special reserve 1,629 1,629 1,629Foreign exchange reserve (122) (126) (93)Own shares (738) (738) (738)Retained earnings 5,381 2,022 5,082 13,377 7,072 13,107 Non current liabilitiesPension liability 1,883 4,337 1,171Loans and borrowings 2 4 4Provisions 81 146 114Government grants 35 46 41Deferred income tax liability 713 - 927 2,714 4,533 2,257 Current liabilitiesTrade and other payables 13,590 11,193 16,385Loans and borrowings 2 67 2Provisions 65 65 65Government grants 13 13 13Income tax payable 640 780 794Cash and cash equivalents - 76 - 14,310 12,194 17,259 TOTAL EQUITY AND LIABILITIES 30,401 23,799 32,623 MS INTERNATIONAL plc Consolidated Cash Flow Statement Restated Restated 26 weeks ended 26 weeks ended 52 weeks ended 28th Oct. 2006 29th Oct. 2005 29th April 2006 £'000 £'000 £'000 Net Cash (Outflow)/Inflow from Operating Activities (1,057) (189) 7,005Investing activitiesPurchase of intangible fixed assets (85) (8) (42)Purchase of tangible fixed assets (1,247) (842) (1,729)Sale of tangible fixed assets 89 97 115 Net Cash Used in Investing Activities (1,243) (753) (1,656)Financing activitiesPurchase of own shares - (60) (207)Dividends paid (364) (276) (372)Repayment of bank loan - (139) (167)Repayment of capital element of finance leases (2) (44) (81) Net Cash Flow from Financing Activities (366) (519) (827) Movement in cash and cash equivalents (2,666) (1,461) 4,522Opening cash and cash equivalents 5,907 1,385 1,385 Closing cash and cash equivalents 3,241 (76) 5,907 MS INTERNATIONAL plc Reconciliation of Movement in Equity Issued Capital Other Revaluation Special Foreign Own Retained Total capital redemption reserves reserve reserve exchange shares earnings reserve reserve £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 At 30th April, 2005 1,886 855 1,544 - 1,629 (178) (738) 556 5,554Total recognised - - - - - 52 - 1,802 1,854income and expensefor the periodDividends paid - - - - - - - (276) (276)Repurchase of own (5) 5 - - - - - (60) (60)shares At 29th October, 1,881 860 1,544 - 1,629 (126) (738) 2,022 7,0722005Total recognised - - - - - 33 - 3,303 3,336income and expensefor the periodDividends paid - - - - - - - (96) (96)Repurchase of own (10) 10 - - - - - (147) (147)sharesRevaluation of Land - - - 3,396 - - - - 3,396and BuildingsDeferred taxation on - - - (454) - - - - (454)revaluation At 29th April 2006 1,871 870 1,544 2,942 1,629 (93) (738) 5,082 13,107Total recognised - - - - - (29) - 663 634income and expensefor the periodDividends paid - - - - - - - (364) (364) At 28th October 2006 1,871 870 1,544 2,942 1,629 (122) (738) 5,381 13,377 MS INTERNATIONAL plc Net Cash (Outflow)/Inflow from Operating Activities Restated Restated 26 weeks 26 weeks 52 weeks ended ended 28th ended 29th 29th April Oct. 2006 Oct. 2005 2006 £'000 £'000 £'000 Profit before finance and taxation 1,683 1,959 3,871Adjustments to reconcile trading profit to net cash flow fromoperating activitiesDepreciation 507 615 1,250Amortisation of intangible fixed assets 110 47 69Foreign exchange (losses)/gains (29) 52 85Government grant release (6) (6) (11)Provisions utilised (33) (32) (64)Pension charge 304 249 486Loss/(profit) on sale of fixed assets 8 (4) -Decrease in inventories 823 1,356 2,323Decrease/(increase) in receivables 1,288 (2,389) (1,857)Increase in prepayments (843) (302) (1,483)(Decrease)/increase in payables (714) 40 215(Decrease)/increase in progress payments (3,224) (1,130) 3,991Pension fund payments (295) (242) (486) Cash generated from operations (421) 213 8,389Interest received/(paid) 74 (37) (38)Taxation paid (710) (365) (1,346) Net cash (outflow)/inflow from operating activities (1,057) (189) 7,005 This information is provided by RNS The company news service from the London Stock Exchange