EMIS Group PLC Restatement of segmental reporting (3082L)

TIDMEMIS

RNS Number : 3082L

EMIS Group PLC

18 July 2017

18 July 2017

EMIS Group plc

("EMIS Group" or "the Group")

Restatement of segmental reporting

EMIS Group plc (AIM: EMIS.L), the UK leader in connected healthcare software and services, today announces its restated segmental reporting.

Overview

Since 2013 the Group has presented its results split into three segments: Primary & Community Care; Community Pharmacy; and Secondary & Specialist Care. As previously announced, the Primary & Community Care and Secondary (Acute) Care businesses are now under common leadership, and Patient has been established as a separate entity. The directors therefore consider the following segmental split to represent better the Group's present structure, activities and the markets being served:

   --           Primary, Community & Acute Care 
   --           Community Pharmacy 
   --           Specialist & Care 
   --           Patient 

This split reflects how the business is managed and reported internally. Tables setting out the previous and new segmental reporting for the 2016 comparative periods are provided below. With the exception of the previous segmental numbers for the year ended 31 December 2016, which have been extracted from the audited 2016 Annual Report and Accounts, the numbers are unaudited.

Segmental reporting for half year

 
                                Previous segmental                                    New segmental 
                                 Six months ended                                   Six months ended 
                                   30 June 2016                                       30 June 2016 
                                                                     Primary, 
                       Primary                 Secondary            Community 
                   & Community  Community   & Specialist              & Acute  Community  Specialist 
                          Care   Pharmacy           Care    Total        Care   Pharmacy      & Care  Patient    Total 
                       GBP'000    GBP'000        GBP'000  GBP'000     GBP'000    GBP'000     GBP'000  GBP'000  GBP'000 
----------------  ------------  ---------  -------------  -------  ----------  ---------  ----------  -------  ------- 
Revenue                 48,983     10,348         19,339   78,670      60,256     10,348       7,046    1,020   78,670 
----------------  ------------  ---------  -------------  -------  ----------  ---------  ----------  -------  ------- 
Segmental 
 operating 
 profit 
 as reported 
 internally             14,745      2,214          1,469   18,428      15,298      2,214         369      547   18,428 
Development 
 costs 
 capitalised             1,052        895            935    2,882       1,987        895           -        -    2,882 
Amortisation of 
 development 
 costs                 (2,315)          -          (646)  (2,961)     (2,961)          -           -        -  (2,961) 
Amortisation of 
 acquired 
 intangible 
 assets                  (527)      (288)        (2,505)  (3,320)     (2,702)      (288)       (330)        -  (3,320) 
Cost reduction 
 programme               (412)      (107)        (1,633)  (2,152)     (1,894)      (107)       (151)        -  (2,152) 
----------------  ------------  ---------  -------------  -------  ----------  ---------  ----------  -------  ------- 
Segmental 
 operating 
 profit/(loss)          12,543      2,714        (2,380)   12,877       9,728      2,714       (112)      547   12,877 
----------------  ------------  ---------  -------------  -------  ----------  ---------  ----------  -------  ------- 
Group operating 
 expenses                                                   (736)                                                (736) 
Operating profit                                           12,141                                               12,141 
Net finance 
 costs                                                      (231)                                                (231) 
Share of result 
 of joint 
 venture                                                      271                                                  271 
----------------  ------------  ---------  -------------  -------  ----------  ---------  ----------  -------  ------- 
Profit before 
 taxation                                                  12,181                                               12,181 
----------------  ------------  ---------  -------------  -------  ----------  ---------  ----------  -------  ------- 
 

Segmental reporting for full year

 
                                Previous segmental                                    New segmental 
                                    Year ended                                         Year ended 
                                 31 December 2016                                   31 December 2016 
                                                                     Primary, 
                       Primary                 Secondary            Community 
                   & Community  Community   & Specialist              & Acute  Community  Specialist 
                          Care   Pharmacy           Care    Total        Care   Pharmacy      & Care  Patient    Total 
                       GBP'000    GBP'000        GBP'000  GBP'000     GBP'000    GBP'000     GBP'000  GBP'000  GBP'000 
----------------  ------------  ---------  -------------  -------  ----------  ---------  ----------  -------  ------- 
Revenue                 99,615     21,425         37,672  158,712     120,565     21,425      14,163    2,559  158,712 
----------------  ------------  ---------  -------------  -------  ----------  ---------  ----------  -------  ------- 
Segmental 
 operating 
 profit 
 as reported 
 internally             32,202      4,876          3,292   40,370      33,792      4,876         213    1,489   40,370 
Development 
 costs 
 capitalised             1,882      1,927          1,875    5,684       3,757      1,927           -        -    5,684 
Amortisation of 
 development 
 costs                 (4,497)          -        (1,516)  (6,013)     (6,013)          -           -        -  (6,013) 
Amortisation of 
 acquired 
 intangible 
 assets                (1,054)      (576)        (5,009)  (6,639)     (5,405)      (576)       (658)        -  (6,639) 
Cost reduction 
 programme             (1,162)      (140)        (2,328)  (3,630)     (2,707)      (140)       (783)        -  (3,630) 
Impairment of 
 goodwill                    -          -        (4,616)  (4,616)           -          -     (4,616)        -  (4,616) 
----------------  ------------  ---------  -------------  -------  ----------  ---------  ----------  -------  ------- 
Segmental 
 operating 
 profit/(loss)          27,371      6,087        (8,302)   25,156      23,424      6,087     (5,844)    1,489   25,156 
----------------  ------------  ---------  -------------  -------  ----------  ---------  ----------  -------  ------- 
Group operating 
 expenses                                                 (1,617)                                              (1,617) 
Operating profit                                           23,539                                               23,539 
Net finance 
 costs                                                      (237)                                                (237) 
Share of result 
 of joint 
 venture                                                      499                                                  499 
Gain on sale of 
 associate                                                  1,532                                                1,532 
----------------  ------------  ---------  -------------  -------  ----------  ---------  ----------  -------  ------- 
Profit before 
 taxation                                                  25,333                                               25,333 
----------------  ------------  ---------  -------------  -------  ----------  ---------  ----------  -------  ------- 
 

For further information, contact:

EMIS Group plc Tel: [phone]

Andy Thorburn, CEO

Peter Southby, CFO

www.emisgroupplc.com

   Numis Securities Limited (Nominated Adviser & Broker)            Tel: [phone] 

Oliver Hardy/Simon Willis/James Black

MHP Communications Tel: [phone]

Reg Hoare/Giles Robinson/Charlie Barker

This information is provided by RNS

The company news service from the London Stock Exchange

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July 18, 2017 02:00 ET (06:00 GMT)