15 Mar 2016 07:00
15 March 2016
Premier Technical Services Group PLC
("PTSG" or the "Group")
Final Results
Premier Technical Services Group PLC ("PTSG" or the "Group"), the niche specialist services provider, announces its final results for the year ended 31 December 2015.
Key highlights
· Group revenue up 43% to £25.8m (2014: £18.0m)
· Gross profit up 36% to £14.0m (2014: £10.3m)
· Adjusted EBITDA increased 31% to £6.2m (2014: 4.7m)
· Adjusted profit before tax up 35% to £5.0m (2014: £3.7m)
· Adjusted eps up 29% to 4.87p (2014: 3.77p)
· Final dividend of 0.54p
· Six acquisitions completed which complement and extend our existing service offering
· Renewal rates of 88% (2014: 85%)
John Foley, Chairman of Premier Technical Services Group PLC commented
"2015 was a very significant year for PTSG during which the Group became a publicly quoted company. Since then, we completed six acquisitions, strengthened our management structures and broadened our range of service offerings. We achieved record levels of turnover, gross profit, EBITDA and underlying profit before taxation and we continue to face the future with confidence."
Enquiries:
PTSG | +44 (0)1977 668 771 |
Paul Teasdale, Chief Executive Officer
|
|
N+1 Singer | +44 (0)207 496 3000 |
Sandy Fraser / James White
|
|
Hudson Sandler | +44 (0)207 796 4133 |
Cat Valentine / Katie Matthews |
|
About PTSG - www.ptsg.co.uk
PTSG is the UK's leading provider of façade access and fall arrest equipment services, lightning protection and electrical testing, high-level cleaning and training solutions.
Operating through four divisions, Access & Safety, Electrical Services, High Level Cleaning and Training Solutions, the Group provides highly-engineered industrial products and quality services and has a substantial presence in a number of niche markets.
PTSG provides a central information service for its businesses and champions the dissemination of key information and best practice. PTSG unites its constituent businesses under one clear identity, which supports smarter working and delivers top class service to its customers.
Headquartered in Castleford, West Yorkshire, the Group employs more than 350 people across 14 UK sites, who service more than 100,000 buildings across the whole of the UK for over 12,000 customers in a wide range of industries.
Chairman's statement
2015 - A summary
2015 was a very significant year for PTSG. The Group became a publicly quoted company and was formally admitted to AIM on 11 February after a successful IPO process. Since then, we completed six acquisitions, strengthened our management structures, broadened our range of service offerings, secured numerous notable contract wins, produced strong levels of organic growth, achieved record levels of turnover, gross profit, EBITDA and underlying profit before taxation and declared a maiden dividend as a plc.
Overview of results
Turnover increased by 43% to £25.8m (2014: £18.0m). Gross profit increased by 36% to £14.0m (2014: £10.3m), adjusted EBITDA increased by 31% to £6.2m (2014: £4.7m) and underlying profit before taxation before adjusting items increased to £5.0m (2014: £3.7m). Adjusting items of £4.2m were one off or non trading items and included £2.3m relating to share option costs, £0.9m for contingent payments in relation to acquisitions, £0.5m for costs incurred in connection with the IPO, £0.2m for restructuring costs and £0.3m for refinancing and intangible amortisation. Statutory profit before tax was £0.8m (2014: £1.2m). Adjusted earnings per share increased by 29% to 4.87p (2014: 3.77p). Basic earnings per share were 0.57p (2014: 0.69p).
We paid a maiden interim dividend of 0.46p per share on 30 October 2015 and the Board has recommended a final dividend of 0.54p per share to shareholders on the register on 1 July; the expected payment date is 22 July 2016.
Borrowings at 31 December 2015 increased to £7.6m (2014: £5.8m) following payments of £2.3m paid in relation to acquisitions made in the year coupled with an increase in working capital levels as a result of the substantial increase in the scale of the Group's operations. The IPO raised net cash for the business of £3.75m.
Operational highlights
We have now completed 18 acquisitions since the Group's formation in 2007 to expand the range of our service offering. The range of niche specialist services that we can offer customers on a national basis assists our organic growth. We delivered 24% organic turnover growth in 2015 if the turnover of acquisitions made in 2015 is excluded. The acquisitions completed in 2015 are settling into PTSG in a satisfactory manner and collectively are contributing to group profits at a higher level than their aggregate run rate at acquisition.
Our gross profit margin in 2015 was 54.3% and the reduction from a 57.3% margin in 2014 was because of an increased level of installation sales which carry higher material costs than maintenance and repair sales. Our renewals teams achieved an 88% renewal rate in maintenance contracts, up from 85% in 2014. The performance of our Electrical Services division was particularly pleasing in 2015 and this division has become a major player in its selected areas of operation with new or increased service offerings in the areas of lightning protection, steeple jacking and electrical testing.
We continue to invest in and develop our proprietary internal systems in order to efficiently manage the high volume of low value transactions that is a characteristic of our business model. We were proud to win industry awards both for the quality of our service delivery and for innovations in our business model initiated by our CEO. Service delivery, customer satisfaction, efficiency and innovation remain high priority items for all members of our management team.
We secured a high number of contract wins including framework agreements with major FM customers. Full details of these wins can be found on the News section on our website www.ptsg.co.uk.
Strategy
We have a scalable, efficient operating model which is capable of delivering a broad range of niche specialist services on a national basis. Many of those services have technical or legislative barriers to entry and all require a high level of health and safety knowledge and practice. We chose to become a public company so that we could accelerate our growth plans. We have a strong pipeline of carefully selected acquisition targets which can be accessed at sensible prices once acquisitions made in 2015 have been integrated into the group.
Our people
We now have over 350 employees in the group which is an increase of 45% from the time of our IPO. We expect a great deal from our employees and they continue to provide our customers with a great service because of their hard work and commitment. On behalf of the Board, I thank all our employees for their efforts.
Outlook
The process of an IPO can seem like an end in itself and can sometimes slow down growth plans; it has had the opposite effect on PTSG. We regard it as the start of another phase in our development and it has made us want to "step up" our energy levels to realise available growth opportunities and deliver further profitable growth. Sales have been strong in the early part of the financial year and the Group has record levels of orders in hand. We continue to face the future with confidence.
John Foley
Chairman
Chief Executive's review
Overview
2015 was an outstanding year for Premier Technical Services Group PLC, with an excellent performance across the Group. High levels of employee engagement and customer satisfaction supported impressive like-for-like and total sales growth, which, together with our continued focus on driving efficiencies and disciplined organic growth, produced an impressive increase in profits and strong returns for our shareholders.
Our growth exceeded both the Board's projections and market expectations, with a revenue increase of 43% and a gross profit growth of 36%. Our turnover was £25.8m, which equates to a pre-tax operating profit (before adjusting items) of £5.3m. On behalf of the Board, I would like to thank each and every one of our team members. It is their hard work, passion and commitment that make PTSG the successful and progressive company it is today.
We put our customers at the heart of everything we do and use this powerful model throughout our business. We are passionate about making every day experiences special for our many thousands of customers and invest in high-quality products and services to build market-leading brands, based on strong customer preference and loyalty. By driving sales and managing efficiencies we generate the margins and cash flow to maintain a healthy balance sheet and finance continuing profitable organic growth.
By carrying this momentum into 2016, we can reach even greater heights.
Market environment
PTSG was formed to fulfil demand from the Facilities Management market for a provider of multiple expert services, stabled under the same roof. Today we occupy a strong position across the areas of Access and Safety, Electrical Services, High Level Cleaning and Training Solutions, having established an outstanding track record in each.
We believe we can build on our position within our chosen markets. This belief is based on our ability to drive strong organic growth from our wide customer base and increasing geographical coverage, as well as through opportunities for cross-selling services - with our proven ability to integrate business acquisitions in complementary market areas.
Another reason for our strong market position is the sustainability of our margins: we have a contract renewal rate of 88%, the UK's largest repair and maintenance contract base in Access & Safety and an efficient business model in all sectors, which has contributed to PTSG winning a number of industry awards.
We now see great opportunities to grow our market share within our principal industry sectors, achieving our aim of being the nationwide market leader across the Facilities Management industry.
Strategy
Our aim is simple: to deliver high-quality investment returns to our shareholders. This will be achieved by increasing our share of each of the niche markets in which we operate. Our strategy for achieving this is to generate organic growth and leverage our customer relationships.
We operate in a fast-moving environment and we need to be agile in order to evolve. Investment in technology is key to staying at the forefront of the market and continuing to deliver shareholder value.
Our growth strategy can be summarised as follows:
Efficiency - This is the key to achieving organic growth, we have positioned ourselves at strategic geographic locations across the UK, enabling us to deliver first-class solutions in all four divisions of our business.
Scalability - Our ability to grow is proven through successful acquisitions in all the sectors in which we operate, many of these acquired in 2015, and the fact that we now have staff living and operating in most towns and cities across the UK.
Innovation - Clarity, our innovative system comprising unique software, designed in-house, which is set to transform the way we do business.
Acquisitions
Strategic acquisition and business integration have been key to PTSG's success since its inception in 2007 and will continue to be going forward, while our vision and intuition have helped us to identify possible expansions into new sectors, allowing real opportunities for margin improvement.
In 2015, our service delivery and geographical coverage was substantially boosted by a number of new business acquisitions. In June, Pendrich Height Services and NATHS Ltd. - specialist steeple jacks, rope access experts and working at height professionals - became part of PTSG. October saw the integration into the group of Integral Cradles - a cradle installation business based in London and JW Gray - a lightning protection, design, installation and testing company based in Essex. November was a very busy month, with the acquisition of Langston Jones - a long-established and respected electrical testing company; Access Contracting Ltd and Lightning Protection Testing Ltd (LPT) - specialists in the maintenance, inspection and testing of permanent façade access equipment, fall arrest systems and lightning protection testing and repair.
All of which helped to consolidate PTSG's position at the forefront of its markets, offering a comprehensive range of specialisms throughout the UK. These acquisitions have certainly generated significant interest nationally and we are seeing more enquiries for our services as a consequence.
Divisional results
Each of our divisions contributed to the outstanding performance of PTSG during 2015, thanks to our highly trained experts.
Access and Safety: Safety Testing and Installation, Cradle Maintenance and Installation. As the UK's leading supplier of fall arrest systems and safety testing services, we achieved a turnover of £12.0m in 2015 (2014: £9.6m) - a 47% contribution to the turnover of the group. Adjusted operating profits increased to £2.0m from £1.7m in 2014 with growth across all segments. The acquisition of Integral Cradles Ltd in October brought PTSG closer to its goal of becoming the UK's leading cradle installation business.
Electrical Services: Lightning Protection, Fixed Wire and PAT Testing, Fire Alarms and Extinguishers and Steeplejack Services. Whether it's testing a portable appliance or a complete lightning and surge protection system, in 2015 we proved we can do it in style. We achieved a turnover of £10.4m in 2015 (2014: £6.6m) - a 40% contribution to the turnover of the group. Adjusted operating profits increased from £1.9m in 2014 to £2.5m. We saw good growth across all services and the acquisitions broadened our geographic coverage and provided new service offering for our clients.
High Level Cleaning: Window Cleaning, Gutter Cleaning, Building Cleaning and Pressure Cleaning. Our team members are experts at working at height and performing a high-quality service even in the most inaccessible locations. In 2015 we achieved a turnover of £3.4m (2014: £1.8m) - a 13% contribution to the turnover of the group. Adjusted operating profits rose from £0.4m in 2014 to £0.7m in 2015, reflecting a full year's contribution from Acescott which was acquired in July 2014.
Training Solutions: Training: Consultancy and Insurance Inspections. As well as training our own people - the best in the business - we work closely with our clients to ensure the safety of their staff through our bespoke training programmes.
People
We are committed to creating a great place to work for our 350+ team members and the development of opportunities which will help them realise their potential. As we pursue our new growth milestones we will create many more jobs at our strategic bases around the UK. Our award-winning apprenticeship programme is built in such a way as to identify talented young people as well as develop the skill sets of more established employees.
PTSG creates winning teams and better leaders by investing significantly in training and development programmes to help our people build their skills and careers. Due to the specialist works we undertake, we need to ensure our teams are fully equipped to face an array of challenges. Their safety and ongoing training and development are of huge importance to us.
We take an avid interest in the development of PTSG's workforce, helping to identify ways in which we can improve on delivery and stay up-to-date with the latest policies, procedures and practices. As is the case in any successful business, our people are our principal asset - they are the reason behind our continued success.
Outlook for 2016
Our vision is for PTSG to be the standard against which all similar companies are measured and we have implemented a business plan which we are steadfastly executing. PTSG will continue to cement its position as the UK's leading supplier of niche specialist services throughout 2016. By adhering to our business plan, continuing to drive innovation and delivering unbeatable customer service, we will ensure growth is maintained.
In the year under review, we moved much closer to realising this vision, through our flotation on AIM and vastly increasing the breadth and depth of services PTSG offers across the UK, as well as overseas with projects in Norway, Iraq and Qatar.
PTSG was formed nine years ago with a clear target of becoming number one across all its sectors within a decade. With a superb team of professionals in all divisions, all of whom are committed to the business plan, delivering exceptional customer service, we are confident that 2016 will be another record-breaking year.
Paul Teasdale
Chief Executive
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
For the year ended 31 December 2015
|
| Year ended 31 December 2015 | Year ended 31 December 2014 | ||||
|
| Before adjusting items£ | Adjusting items £ | Total£ | Before adjusting items£ | Adjusting items £ | Total£ |
Revenue |
| 25,770,503 | - | 25,770,503 | 18,002,687 | - | 18,002,687 |
Cost of sales |
| (11,785,079) | - | (11,785,079) | (7,683,423) | - | (7,683,423) |
Gross profit |
| 13,985,424 | - | 13,985,424 | 10,319,264 | - | 10,319,264 |
Net operating costs |
| (8,709,361) | (4,016,196) | (12,725,557) | (6,311,864) | (2,529,716) | (8,841,580) |
Total operating profit |
| 5,276,063 | (4,016,196) | 1,259,867 | 4,007,400 | (2,529,716) | 1,477,684 |
Finance costs |
| (273,437) | (155,446) | (428,883) | (305,030) | - | (305,030) |
Profit before taxation |
| 5,002,626 | (4,171,642) | 830,984 | 3,702,370 | (2,529,716) | 1,172,654 |
Taxation |
| (814,927) | 473,046 | (341,881) | (794,752) | 154,138 | (640,614) |
Profit attributable to owners of the parent |
| 4,187,699 | (3,698,596) | 489,103 | 2,907,618 | (2,375,578) | 532,040 |
Total comprehensive income for the year attributable to owners of the parent |
| 4,187,699 | (3,698,596) | 489,103 | 2,907,618 | (2,375,578) | 532,040 |
Earnings per share (pence): |
|
|
|
|
|
|
|
Basic and diluted earnings per share |
|
| 0.57 |
|
|
| 0.69 |
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
For the year ended 31 December 2015
|
|
| Attributable to owners of the parent |
|
| ||||
|
| Share capital £ | Capital Redemption reserve£ |
Share premium account £ | Retained earnings£ | Total£ | Non-controlling interest£ | Totalequity£ | |
Balance at 31 December 2013 |
| 771,437 | 128,573 |
- | 313,629 | 1,213,639 | 179 | 1,213,818 | |
Profit for the year |
| - | - |
- | 532,040 | 532,040 | - | 532,040 | |
Total comprehensive income |
| - | - |
- | 532,040 | 532,040 | - | 532,040 | |
Transactions with owners |
|
|
|
|
|
|
|
| |
Value of employee services |
| - | - |
- | 165,418 | 165,418 | - | 165,418 | |
Ordinary dividends paid |
| - | - | - | (790,000) | (790,000) | - | (790,000) | |
Transactions with owners |
| - | - |
- | (624,582) | (624,582) | - | (624,582) | |
Balance at 31 December 2014 |
| 771,437 | 128,573 |
- | 221,087 | 1,121,097 | 179 | 1,121,276 | |
Profit for the year |
| - | - |
- | 489,103 | 489,103 | - | 489,103 | |
Total comprehensive income |
| - | - |
- | 489,103 | 489,103 | - | 489,103 | |
Transactions with owners Issue of share capital |
| 105,010 | - |
4,942,818 | - | 5,047,828 | - | 5,047,828 | |
Share based payments charge |
| - | - |
- | 2,333,915 | 2,333,915 | - | 2,333,915 | |
Tax credit relating to share based payments |
| - | - |
- | 462,592 | 462,592 | - | 462,592 | |
Ordinary dividends paid |
| - | - | - | (533,825) | (533,825) | - | (533,825) | |
Reduction of capital |
| - | - | (4,942,818) | 4,942,818 | - | - | - | |
Transactions with owners |
| 105,010 | - |
- | 7,205,500 | 7,310,510 | - | 7,310,510 | |
Balance at 31 December 2015 |
| 876,447 | 128,573 |
- | 7,915,690 | 8,920,710 | 179 | 8,920,889 | |
CONSOLIDATED BALANCE SHEET
As at 31 December 2015
|
| 2015£ | 2014£ |
Assets |
|
|
|
Non-current assets |
|
|
|
Intangible assets |
| 10,735,826 | 3,615,748 |
Property, plant and equipment |
| 2,373,544 | 1,340,886 |
Deferred tax asset |
| 784,061 | - |
Total non-current assets |
| 13,893,431 | 4,956,634 |
Current assets |
|
|
|
Inventories |
| 381,760 | 201,560 |
Trade and other receivables |
| 13,108,313 | 8,060,904 |
Total current assets |
| 13,490,073 | 8,262,464 |
Liabilities |
|
|
|
Current liabilities |
|
|
|
Trade and other payables |
| 6,429,608 | 4,408,865 |
Bank overdraft, net of cash |
| 317,466 | 1,260,845 |
Finance leases |
| 641,001 | 474,529 |
Borrowings |
| 25,033 | 1,000,000 |
Deferred consideration |
| 1,125,897 | 899,440 |
Current tax liabilities |
| 749,642 | 440,282 |
Total current liabilities |
| 9,288,647 | 8,483,961 |
Net current assets/(liabilities) |
| 4,201,426 | (221,497) |
Non-current liabilities |
|
|
|
Borrowings |
| 5,993,808 | 2,750,000 |
Loan notes |
| 2,527,000 | - |
Finance leases |
| 653,160 | 357,715 |
Deferred tax liability |
| - | 6,146 |
Deferred consideration |
| - | 500,000 |
Total non-current liabilities |
| 9,173,968 | 3,613,861 |
Net assets |
| 8,920,889 | 1,121,276 |
Equity attributable to the owners of the parent |
|
|
|
Share capital |
| 876,447 | 771,437 |
Capital redemption reserve |
| 128,573 | 128,573 |
Retained earnings |
| 7,915,690 | 221,087 |
|
| 8,920,710 | 1,121,097 |
Non-controlling interests |
| 179 | 179 |
Total equity |
| 8,920,889 | 1,121,276 |
CONSOLIDATED CASH FLOW STATEMENT
For the year ended 31 December 2015
|
| 2015£ | 2014£ |
Cash flows from operating activities |
|
|
|
Profit after taxation |
| 489,103 | 532,040 |
Adjustments for: |
|
|
|
Income tax charge |
| 341,881 | 640,614 |
Depreciation |
| 898,889 | 700,813 |
Amortisation of intangible assets |
| 108,600 | - |
Profit on disposal of property, plant and equipment |
| (384,778) | (128,250) |
Finance costs |
| 273,437 | 305,030 |
Share based payments |
| 2,333,915 | 165,418 |
|
| 4,061,047 | 2,215,665 |
Changes in working capital: |
|
|
|
Increase in inventories |
| (40,995) | (56,084) |
Increase in trade and other receivables |
| (3,673,880) | (1,593,043) |
(Decrease) / increase in trade and other payables |
| (876,303) | 2,069,034 |
Cash (used in) / generated from operations |
| (530,131) | 2,635,572 |
Interest paid |
| (273,437) | (305,030) |
Tax paid |
| (489,732) | (561,245) |
Net cash (outflow) / inflow from operating activities |
| (1,293,300) | 1,769,297 |
Cash flows from investing activities
|
|
|
|
Acquisition of businesses |
| (2,274,530) | (350,000) |
Purchase of property, plant and equipment |
| (521,691) | (346,536) |
Payment of deferred consideration |
| (1,057,940) | (327,540) |
Net proceeds from sale of property, plant and equipment |
| 404,817 | 128,250 |
Net cash outflow from investing activities |
| (3,449,344) | (895,826) |
Cash flows from financing activities |
|
|
|
Proceeds from borrowings |
| 5,945,727 | - |
Repayment of bank borrowings |
| (3,750,000) | (1,250,000) |
Capital element of finance lease payments |
| (648,707) | (467,233) |
Issue of shares |
| 4,672,828 | - |
Dividends paid |
| (533,825) | (790,000) |
Net cash inflow / (outflow) from financing activities |
| 5,686,023 | (2,507,233) |
Net increase / (decrease) in cash and cash equivalents |
| 943,379 | (1,633,762) |
Cash and cash equivalents at 1 January |
| (1,260,845) | 372,917 |
Cash and cash equivalents at 31 December |
| (317,466) | (1,260,845) |
Notes to the Final Results
Basis of preparation
The preliminary financial information does not constitute statutory accounts within the meaning of section 434 of the Companies Act 2006, for the financial years ended 31 December 2015 and 31 December 2014, but has been derived from those accounts.
These financial statements have been prepared in accordance with the requirements of the AIM Rules, in accordance with International Financial Reporting Standards as adopted by the European Union ("IFRS"), the International Financial Reporting Interpretations Committee's ("IFRSIC") interpretations and with those parts of the Companies Act 2006 as applicable to companies reporting under IFRS, however, this announcement in itself does not contain sufficient information to comply with IFRS. The accounting policies used in preparation of this preliminary announcement have remained unchanged from those set out statutory accounts for the year ended 31 December 2014. They are also consistent with those in the full financial statements which have yet to be published.
Statutory accounts for 2014 have been delivered to the Registrar of Companies and those for the financial year ended 31 December 2015 will be delivered following the Company's annual general meeting. The auditors have reported on those accounts and their opinion was unqualified and did not contain statements under section 498(2) or (3) of the Companies Act 2006.
Segmental information
Management has determined the operating segments based on the operating reports reviewed by the Board of Directors that are used to assess both performance and strategic decisions. Management has identified that the Board of Directors is the chief operating decision maker in accordance with the requirements of IFRS 8 "Operating segments".
The Board of Directors considers the business to be split into three main types of business generating revenue; Access and Safety, Electrical Services and High Level Cleaning. There was no trade in the Training Solutions division.
| 2015 | ||||
| Access and Safety£ | ElectricalServices£ | High LevelCleaning£ | Group£ | Total£ |
Revenue |
|
|
|
|
|
Total revenue | 12,035,772 | 10,402,313 | 3,332,418 | - | 25,770,503 |
Total revenue from external customers | 12,035,772 | 10,402,313 | 3,332,418 | - | 25,770,503 |
Operating profit before adjusting items | 2,030,685 | 2,518,872 | 669,957 | 56,549 | 5,276,063 |
Restructuring costs | (114,030) | (115,127) | (13,792) | - | (242,949) |
IPO costs | (520,777) | - | - | - | (520,777) |
Head Office rebuild costs | 63,891 | - | - | - | 63,891 |
Share options granted to directors and employees | (2,259,364) | - | - | - | (2,259,364) |
Amortisation of intangible asset acquired | (108,600) | - | - | - | (108,600) |
Contingent payments in relation to acquisitions | (123,333) | (335,064) | (490,000) | - |
(948,397) |
Segment operating profit | (1,031,528) | 2,068,681 | 166,165 | 56,459 | 1,259,867 |
Net finance cost | - | - | - | (428,883) | (428,883) |
Profit before taxation | (1,031,528) | 2,068,681 | 166,165 | (372,334) | 830,984 |
Other segmental items |
|
|
|
|
|
Segment assets | 7,437,448 | 2,169,577 | 1,317,932 | 16,458,547 | 27,383,504 |
Segment liabilities | (4,431,872) | (2,391,487) | (1,655,540) | (9,983,716) | (18,462,615) |
Capital expenditure | 685,467 | 761,688 | 56,449 | - | 1,503,604 |
Depreciation | 427,771 | 422,671 | 48,447 | - | 898,889 |
Segmental operating profit
The reconciliation of Adjusted EBITDA to statutory operating profit is shown below.
| Access and Safety£ | Electrical Services£ | High Level Cleaning£ | Group£ | Total£ |
Adjusted EBITDA | 2,458,456 | 2,941,543 | 718,404 | 56,549 | 6,174,951 |
Depreciation | (427,771) | (422,671) | (48,447) | - | (898,889) |
Operating profit before adjusting items | 2,030,685 | 2,518,872 | 669,957 | 56,549 | 5,276,063 |
Restructuring costs | (114,030) | (115,127) | (13,792) | - | (242.949) |
IPO Costs | (520,777) | - | - | - | (520,777) |
Head Office rebuild costs | 63,891 | - | - | - | 63,891 |
Share options granted to directors and employees | (2,259,364) | - | - | - | (2,259,364) |
Amortisation of intangible asset acquired | (108,600) | - | - | - | (108,600) |
Contingent payments in relation to acquisitions | (123,333) | (335,064) | (490,000) | - | (948,397) |
Statutory operating profit | (1,031,528) | 2,068,681 | 166,165 | 56,549 | 1,259,867 |
| 2014 | ||||
| Access and Safety£ | ElectricalServices£ | High LevelCleaning£ | Group£ | Total£ |
Revenue |
|
|
|
|
|
Total revenue | 9,585,682 | 6,583,257 | 1,833,748 | - | 18,002,687 |
Total revenue from external customers | 9,585,682 | 6,583,257 | 1,833,748 | - | 18,002,687 |
Operating profit before adjusting items | 1,738,058 | 1,876,214 | 415,422 | (22,294) | 4,007,400 |
Rebranding | - | (500) | - | - | (500) |
Restructuring costs | (255,713) | (36,816) | (28,805) | - | (321,334) |
IPO costs | (516,740) | - | - | - | (516,740) |
Head Office rebuild costs | (530,224) | - | - | - | (530,224) |
Share options granted to directors and employees | (165,418) | - | - | - | (165,418) |
Contingent payments in relation to acquisitions | - | (527,500) | (468,000) | - | (995,500) |
Segment operating profit | 269,963 | 1,311,398 | (81,383) | (22,294) | 1,477,684 |
Net finance cost | - | - | - | (305,030) | (305,030) |
Profit before taxation | 269,963 | 1,311,398 | (81,383) | (327,324) | 1,172,654 |
Other segmental items |
|
|
|
|
|
Segment assets | 5,392,293 | 3,027,413 | 1,535,246 | 3,264,146 | 13,219,098 |
Segment liabilities | (4,223,120) | (2,483,865) | (1,805,558) | (3,585,279) | (12,097,822) |
Capital expenditure | 431,090 | 435,617 | 68,856 | - | 935,563 |
Depreciation | 393,491 | 292,868 | 14,454 | - | 700,813 |
Segmental operating profit
The reconciliation of Adjusted EBITDA to statutory operating profit is shown below.
| Access and Safety£ | Electrical Services£ | High Level Cleaning£ | Group£ | Total£ |
Adjusted EBITDA | 2,131,549 | 2,169,082 | 429,876 | (22,294) | 4,708,213 |
Depreciation | (393,491) | (292,868) | (14,454) | - | (700,813) |
Operating profit before adjusting items | 1,738,058 | 1,876,214 | 415,422 | (22,294) | 4,007,400 |
Rebranding | - | (500) | - | - | (500) |
Restructuring costs | (255,713) | (36,816) | (28,805) | - | (321,334) |
IPO Costs | (516,740) | - | - | - | (516,740) |
Head Office rebuild costs | (530,224) | - | - | - | (530,224) |
Share options granted to directors and employees | (165,418) | - | - | - | (165,418) |
Contingent payments in relation to acquisitions | - | (527,500) | (468,000) | - | (995,500) |
Statutory operating profit | 269,963 | 1,311,398 | (81,383) | (22,294) | 1,477,684 |
Earnings per share
Conditional upon and with effect immediately prior to the Placing and Admission, each existing ordinary share in the Company was converted into 100 Ordinary Shares pursuant to the capital reorganisation. The issued ordinary share capital of the Company immediately prior to the Placing and Admission was 77,142,800 Ordinary Shares of one penny each.
The calculation of basic and diluted earnings per Ordinary Share, in 2014, is based on profit for the year attributable to owners of the parent and on 77,142,800 Ordinary Shares in issue immediately prior to the Placing and Admission.
The calculation of basic earnings per share for the year ended 31 December 2015 was based on the profit attributable to ordinary shareholders of £489,103 (year ended 31 December 2014: £532,040).
| 2015£ | 2014£ |
Profit for the year attributable to owners of the parent | 489,103 | 532,040 |
Weighted average number of ordinary shares in issue for the basic earnings per share | 85,920,559 | 77,142,800 |
Basic and diluted earnings per share (in pence per share) | 0.57 | 0.69 |
The calculation of adjusted earnings per share for the year ended 31 December 2015 was based on the profit before adjusting items of £4,187,699 (Year ended 31 December 2014: £2,907,618).
| 2015£ | 2014£ |
Adjusted earnings | 4,187,699 | 2,907,618 |
Weighted average number of shares | 85,920,559 | 77,142,800 |
Adjusted earnings per share (pence) | 4.87 | 3.77 |
Annual Report
The annual report will be mailed to shareholders and will be available in due course on our website www.ptsg.co.uk.
Annual General Meeting
The annual general meeting will be held at 13 Flemming Court, Whistler Drive, Castleford, WF10 5HW on Monday 20 June 2016 at 2.00pm.
ENDS