4 Sep 2009 07:00
Norish plc
Interim Results
4 September 2009
Results
Norish plc announces an increase of 39% in pre-tax profits to £256,000 for the six months ended 30 June 2009. This compares with pre-tax profits of £184,000 for the same period last year. Turnover from continuing operations increased by 5% to £4,939,000. Earnings per share increased to 2.0p compared to 1.4p for the same period last year.
The majority of our coldstores performed better than in the equivalent period last year. The only real exception is our store at Wrexham where management are concentrating on trying to improve business volumes.
Our ambient site at York has performed very well in the period to the end of June and the contribution from the site has significantly improved over the same period in 2008.
Dividend
The board recommends the payment of an interim dividend of 1.25 cent per share. This will be paid on the 26th October 2009 to those shareholders on the register on the 25th September 2009. No Interim dividend was paid last year.
Outlook
Despite continuing pressure on margin, we are satisfied with our performance in the first half of the year and would be hopeful that this positive trend will continue for the remainder of the year.
Financial Strength
Shareholders funds at 30 June 2009 were £6,471,000 compared with £6,390,000 at 31 December 2008. Net debt at 30 June 2009 was £7,895,000, compared with a net debt of £8,048,000 at 31 December 2008.
Ted O'Neill
Chairman
04 September 2009
| Norish plc | ||||
| Consolidated income statement | ||||
| For the six months ended 30 June 2009 | ||||
| Six months | Six months | Year | ||
| ended | ended | ended | ||
| 30 June | 30 June | 31 December | ||
| 2009 | 2008 | 2008 | ||
| (Unaudited) | (Unaudited) | (Audited) | ||
| £'000 | £'000 | £'000 | ||
| Continuing operations | ||||
| Revenue | 4,939 | 4,718 | 9,693 | |
| Cost of sales | (4,450) | (4,314) | (8,958) | |
| Gross profit | 489 | 404 | 735 | |
| Other income | - | 100 | 326 | |
| Administrative expenses | (158) | (120) | (274) | |
| Operating profit from continuing operations | 331 | 384 | 787 | |
| Finance expenses | (149) | (230) | (696) | |
| Finance income | 74 | 30 | 20 | |
| Profit on continuing activities before taxation | 256 | 184 | 111 | |
| Tax on profit on ordinary activities | (86) | (64) | (467) | |
| Profit for the period attributable to shareholders | 170 | 120 | (356) | |
| Profit per share expressed in pence per share: | ||||
| From continuing operations - basic | 2.0p | 1.4p | (4.2)p | |
| Weighted average number of ordinary shares | 8,466,230 | 8,466,230 | 8,466,230 | |
| - diluted | 2.0p | 1.4p | (4.2)p | |
| Weighted average number of diluted ordinary shares | 8,466,230 | 8,466,230 | 8,466,230 |
| Norish plc | |||
| Interim balance sheet | |||
| As at 30 June 2009 | |||
| As at | As at | As at | |
| 30 June | 30 June | 31 December | |
| 2009 | 2008 | 2008 | |
| (Unaudited) | (Unaudited) | (Audited) | |
| £'000 | £'000 | £'000 | |
| Assets | |||
| Non current assets | |||
| Goodwill | 216 | 216 | 216 |
| Property, plant and equipment | 15,088 | 15,517 | 15,285 |
| 15,304 | 15,733 | 15,501 | |
| Current assets | |||
| Trade and other receivables | 2,788 | 2,927 | 2,690 |
| Financial assets: Fair value of interest rate swaps | - | 44 | - |
| Current tax asset | - | - | 236 |
| Cash and cash equivalents | 35 | 13 | 15 |
| 2,823 | 2,984 | 2,941 | |
| Liabilities | |||
| Current liabilities | |||
| Trade and other payables | (1,784) | (2,372) | (2,068) |
| Financial liabilities: Fair value of interest rate swaps | (129) | - | (198) |
| Current tax liabilities | (65) | (326) | - |
| Bank overdraft and loans | (946) | (678) | (796) |
| (2,924) | (3,376) | (3,062) | |
| Net current assets | (101) | (392) | (121) |
| Non-current liabilities | |||
| Bank loans | (6,984) | (7,584) | (7,267) |
| Provisions | (378) | (376) | (391) |
| Deferred tax | (1,370) | (523) | (1,332) |
| (8,732) | (8,483) | (8,990) | |
| Net assets | 6,471 | 6,858 | 6,390 |
| Equity | |||
| Share capital | 1,493 | 1,493 | 1,493 |
| Share premium account | 3,156 | 3,156 | 3,156 |
| Capital conversion reserve fund | 23 | 23 | 23 |
| Retained earnings | 1,799 | 2,186 | 1,718 |
| Equity attributable to equity holders of the parent | 6,471 | 6,858 | 6,390 |
| Norish plc | |||||
| Consolidated statement of changes in equity | |||||
| For the six months ended 30 June 2009 | |||||
| Capital | |||||
| Share | Share | Conversion | Retained | ||
| capital | premium | Reserve | earnings | Total | |
| (Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | (Unaudited) | |
| £'000 | £'000 | £'000 | £'000 | £'000 | |
| At 1 January 2008 | 1,493 | 3,156 | 23 | 2,144 | 6,816 |
| Net profit for the period | - | - | - | 120 | 120 |
| Credit in respect of employee share schemes | - | - | - | 7 | 7 |
| Equity dividends paid (recognised directly in equity) | - | - | - | (85) | (85) |
| At 30 June 2008 | 1,493 | 3,156 | 23 | 2,186 | 6,858 |
| Net profit for the period | - | - | - | (475) | (475) |
| Credit in respect of employee share schemes | - | - | - | 7 | 7 |
| At 31 December 2008 | 1,493 | 3,156 | 23 | 1,718 | 6,390 |
| Net profit for the period | - | - | - | 170 | 170 |
| Credit in respect of employee share schemes | - | - | - | 7 | 7 |
| Equity dividends paid (recognised directly in equity) | - | - | - | (96) | (96) |
| At 30 June 2009 | 1,493 | 3,156 | 23 | 1,799 | 6,471 |
| Norish plc | |||
| Consolidated cash flow statement | |||
| For the six months ended 30 June 2009 | |||
| Six months | Six months | Year | |
| Ended | ended | Ended | |
| 30 June | 30 June | 31 December | |
| 2009 | 2008 | 2008 | |
| (Unaudited) | (Unaudited) | (Audited) | |
| £'000 | £'000 | £'000 | |
|
| |||
| Profit on continuing activities before taxation | 256 | 184 | 111 |
| Adjustments for: | |||
| Finance expenses | 149 | 230 | 696 |
| Finance income | (74) | (30) | (20) |
| Depreciation - property, plant and equipment | 285 | 249 | 541 |
| Employee share schemes | 7 | 7 | 14 |
| Changes in working capital: | |||
| (Increase)/decrease in trade and other receivables | (98) | (489) | (252) |
| Increase/(decrease) in payables | (284) | 213 | (91) |
| (Decrease)/Increase in provisions | (13) | 376 | 391 |
| Cash generated from operations | 228 | 740 | 1,390 |
| Interest paid - bank loans and overdrafts | (149) | (230) | (469) |
| Taxation refunded / (paid) | 253 | - | (156) |
| Net cash from operating activities | 332 | 510 | 765 |
| Investing activities | |||
| Interest received | 5 | 15 | 20 |
| Purchase of property, plant and equipment | (88) | (3,265) | (3,325) |
| Net cash used in investing activities | (83) | (3,250) | (3,305) |
| Financing activities | |||
| Dividends paid to shareholders | (96) | (85) | (84) |
| Net cash used in financing activities | (96) | (85) | (84) |
| Net increase in cash and cash eqivalents | 153 | (2,825) | (2,624) |
| Cash and cash equivalents at the beginning of the period | (8,048) | (5,424) | (5,424) |
| Cash and cash equivalents at end of period | (7,895) | (8,249) | (8,048) |
Note: The accounting policies applied throughout the period are consistent with those applied for the year ended 31 December 2008, as set out in the 2008 Annual Report