27 Aug 2008 12:18
TEX HOLDINGS PLC
INTERIM STATEMENT
TEX HOLDINGS PLC
INDEX
| Page | |
| Chairman's Statement | 2 |
| Consolidated Income Statement | 3 |
| Consolidated Statement of Recognised Income and Expense | 3 |
| Consolidated Balance Sheet | 4 |
| Consolidated Statement of Changes in Equity | 5 |
| Consolidated Cash Flow Statement | 6 |
TEX HOLDINGS PLC
CHAIRMAN'S STATEMENT
Tex Group turnover for the six months to 30th June 2008 amounted to £19.3m - an increase of 9% over the comparable figure in 2007. Pre-tax profit totalled £753k which represents a rise of 29% over the previous year.
Sales in the Plastics Division were £10.3m which compares with £10.1m in 2007, a marginal increase, reflecting the first signs of the impact of the current economic downturn. Operating profit earned was £556k down from the comparable periods £663k.
A strategic cost control exercise has commenced along with a targeted sales development plan.
The Engineering Division saw a 31.7% increase in turnover to £5.6m compared to the same period in 2007. Operating profit also increased from £121k to £452k reflecting the impact of the additional sales.
As a result of the markets the Engineering Division operates in, the immediate impact of the economic situation will be limited. The second half is anticipated to remain sound.
In the Boards & Panels Division, turnover has remained at the same level as the comparable period, however the operating profit has reduced from £274k to £216k. As a result of the expected softening of demand in the Division's main markets, a restructuring exercise has been carried out.
Across the Group the current indication is that the softening in demand on the Plastics and Boards & Panels Divisions will be offset by the strengthening of demand in the Engineering Division. The Group order book remains above the long term average.
The Board is proposing to pay an interim dividend of 4.5 pence (2007: 3.5 pence) which will be paid on 13th October 2008 to shareholders on the register as at 19th September 2008.
ARB Burrows
Chairman
27th August 2008 TEX HOLDINGS PLC
CONSOLIDATED INCOME STATEMENT
| Notes | 6 months ended 30.06.08 (Unaudited) £000 | 6 months ended 30.06.07 (Unaudited) £000 | Year ended 31.12.07 (Audited) £000 | |
| Revenue | 3 | 19,332 | 17,678 | 36,873 |
| Cost of sales | (12,636) | (11,781) | (27,659) | |
| Gross profit | 6,696 | 5,897 | 9,214 | |
| Selling and marketing costs | (465) | (410) | (946) | |
| Administrative expenses | (5,342) | (4,744) | (6,838) | |
| Operating profit | 889 | 743 | 1,430 | |
| Finance costs | (136) | (161) | (204) | |
| Profit before tax | 753 | 582 | 1,226 | |
| Taxation | (223) | (172) | (312) | |
| Profit for the period attributable to the equity holders of the parent | 3 | 530 | 410 | 914 |
| Basic earnings per share | 8.3p | 6.5p | 14.4p |
STATEMENT OF RECOGNISED INCOME AND EXPENSE
| 6 months ended 30.06.08 (Unaudited) £000 | 6 months ended 30.06.07 (Unaudited) £000 | Year ended 31.12.07 (Audited) £000 | |
| Actuarial gains arising in defined benefit pension scheme | - | - | 73 |
| Tax recognised on income and expenses recognised directly in equity | - | - | (22) |
| Net income recognised directly in equity | - | - | 51 |
| Profit for the period | 530 | 410 | 914 |
| Total recognised income and expense | 530 | 410 | 965 |
TEX HOLDINGS PLC
CONSOLIDATED BALANCE SHEET
| Notes | 6 months ended 30.06.08 (Unaudited) £000 | 6 months ended 30.06.07 (Unaudited) £000 | Year ended 31.12.07 (Audited) £000 | |
| ASSETS | ||||
| Non-current assets | ||||
| Property, plant and equipment | 7 | 6,985 | 7,163 | 7,117 |
| Goodwill | 252 | 252 | 252 | |
| 7,237 | 7,415 | 7,369 | ||
| Current assets | ||||
| Stocks | 5,822 | 4,915 | 5,349 | |
| Trade and other receivables | 9,147 | 8,497 | 9,687 | |
| 14,969 | 13,412 | 15,036 | ||
| Total assets | 22,206 | 20,827 | 22,405 | |
| EQUITY | ||||
| Capital and reserves attributable to the equity holders of the parent | ||||
| Share capital | 635 | 635 | 635 | |
| Other reserves | 2,906 | 2,906 | 2,906 | |
| Retained earnings | 5,397 | 4,788 | 4,867 | |
| Total equity | 8,938 | 8,329 | 8,408 | |
| LIABILITIES | ||||
| Non-current liabilities | ||||
| Other interest bearing loans and borrowings | 1,845 | 2,056 | 1,787 | |
| Employee benefits | - | 278 | - | |
| Deferred tax liabilities | 529 | 480 | 503 | |
| 2,374 | 2,814 | 2,290 | ||
| Current liabilities | ||||
| Bank overdraft | 2,345 | 2,538 | 2,333 | |
| Other interest bearing loans and borrowings | 154 | 270 | 326 | |
| Trade and other payables | 7,868 | 6,564 | 8,666 | |
| Tax payable | 527 | 312 | 382 | |
| 10,894 | 9,684 | 11,707 | ||
| Total liabilities | 13,268 | 12,498 | 13,997 | |
| Total equity and liabilities | 22,206 | 20,827 | 22,405 |
TEX HOLDINGS PLC
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
| Share Capital £000 | Capital Redemption Reserve £000 | Share Premium Account £000 | Retained Earnings £000 | Total Equity £000 | |
| Balance at 1 January 2007 | 635 | 16 | 2,890 | 4,378 | 7,919 |
| Profit for the period | - | - | - | 410 | 410 |
| Pension fund actuarial movement net of tax | - | - | - | - | - |
| Dividends paid | - | - | - | - | - |
| - | - | - | 410 | 410 | |
| Balance at 30 June 2007 | 635 | 16 | 2,890 | 4,788 | 8,329 |
| Balance at 1 January 2007 | 635 | 16 | 2,890 | 4,378 | 7,919 |
| Profit for the period | - | - | - | 914 | 914 |
| Pension fund actuarial movement net of tax | - | - | - | 51 | 51 |
| Dividends paid | - | - | - | (476) | (476) |
| - | - | - | 489 | 489 | |
| Balance at 31 December 2007 | 635 | 16 | 2,890 | 4,867 | 8,408 |
| Balance at 1 January 2008 | 635 | 16 | 2,890 | 4,867 | 8,408 |
| Profit for the period | - | - | - | 530 | 530 |
| Pension fund actuarial movement net of tax | - | - | - | - | - |
| Dividends paid | - | - | - | - | - |
| - | - | - | 530 | 530 | |
| Balance at 30 June 2008 | 635 | 16 | 2,890 | 5,397 | 8,938 |
TEX HOLDINGS PLC
CONSOLIDATED CASH FLOW STATEMENT
| 6 months ended 30.06.08 (Unaudited) £000 | 6 months ended 30.06.07 (Unaudited) £000 | Year ended 31.12.07 (Audited) £000 | |
| Cash flows from operating activities | |||
| Profit for the period | 530 | 410 | 914 |
| Adjustments for: | |||
| Depreciation | 526 | 468 | 1,004 |
| Financial expense | 136 | 161 | 204 |
| Profit on sale of property, plant and equipment | - | - | - |
| Taxation | 223 | 172 | 312 |
| Operating profit before changes in working capital and provisions | 1,415 | 1,211 | 2,434 |
| Movement in trade and other receivables | 540 | (1,095) | (2,285) |
| Movement in stock | (473) | 299 | (135) |
| Movement in trade and other payables | (690) | (22) | 2,080 |
| Movement in employee benefits | (108) | (82) | (216) |
| Cash generated from operations | 684 | 311 | 1,878 |
| Income tax paid | (52) | 1 | (68) |
| Net cash generated from operating activities | 632 | 312 | 1,810 |
| Cash flows from investing activities | |||
| Proceeds from sale of PPE | 78 | 21 | 57 |
| Purchases of property, plant and equipment (PPE) | (471) | (649) | (1,175) |
| Net cash used in investing activities | (393) | (628) | (1,118) |
| Cash flows from financing activities | |||
| Interest paid | (136) | (161) | (275) |
| Repayments of borrowings | (16) | (116) | (234) |
| New finance leases | - | 245 | |
| Finance lease payments | (99) | (176) | (26) |
| Dividends paid to company's shareholders | - | - | (476) |
| Net cash used in financing activities | (251) | (208) | (1,011) |
| Net increase in cash and cash equivalents | (12) | (524) | (319) |
| Cash and cash equivalents at beginning of the period | (2,333) | (2014) | (2,014) |
| Cash and cash equivalents at end of the period | (2,345) | (2,538) | (2,333) |
TEX HOLDINGS PLC
NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
| 2008 | Plastics | Engineering | Boards & Panels | Total for continuing operations | |
| £000 | £000 | £000 | £000 | ||
| Revenue | |||||
| External sales | 10,354 | 5,632 | 3,346 | 19,332 | |
| Inter segment sales | - | - | - | - | |
| Total revenue from continuing operations | 10,354 | 5,632 | 3,346 | 19,332 | |
| Result | |||||
| Segment result from continuing operations | 556 | 452 | 216 | 1,224 | |
| Expenses pertaining to the Company | (335) | ||||
| Operating profit | 889 | ||||
| Finance costs | (136) | ||||
| Profit before tax | 753 | ||||
| Taxation | (223) | ||||
| Profit for the year from continuing operations | 530 |
TEX HOLDINGS PLC
NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
| 2007 | Plastics | Engineering | Boards & Panels | Total for continuing operations | |
| £000 | £000 | £000 | £000 | ||
| Revenue | |||||
| External sales | 10,092 | 4,278 | 3,308 | 17,678 | |
| Inter segment sales | - | - | - | - | |
| Total revenue from continuing operations | 10,092 | 4,278 | 3,308 | 17,678 | |
| Result | |||||
| Segment result from continuing operations | 663 | 121 | 274 | 1,058 | |
| Expenses pertaining to the Company | (315) | ||||
| Operating profit | 743 | ||||
| Finance costs | (161) | ||||
| Profit before tax | 582 | ||||
| Taxation | (172) | ||||
| Profit for the year from continuing operations | 410 |
Earnings
| 6 months ended 30.06.08 (Unaudited) £000 | 6 months ended 30.06.07 (Unaudited) £000 | ||
| Earnings for the purposes of basic earnings per share (profit for the year attributable to equity holders of the parent) | 914 | 599 |
Number of shares
| 6 months ended 30.06.08 (Unaudited) £000 | 6 months ended 30.06.07 (Unaudited) £000 | ||
| Weighted average number of ordinary shares for the purposes of basic earnings per share | 6,351,452 | 6,351,452 |