Vp PLC Vp Plc : Final Results -3-

   Torrent experienced a year of high demand with the division busy on 
track renewals, rail projects and track maintenance activities.  In 
addition, activity was busy on the London Underground infrastructure 
programme.  During the year the UK rail industry embarked on Control 
Spend Period 5 (CP5), which is now well underway after a slow start in 
the early months of the year.  This is a five year funded plan for the 
maintenance, enhancement and renewal of track on the UK national rail 
network. 
 
   During the course of the year Torrent acquired the plant assets, depots 
and staff of the track plant and equipment division of Balfour Beatty 
Rail.  The acquisition also enhanced Torrent's depot network in the 
South East where there is the greatest density of track, and as a result 
new locations were secured at Romford, Ashford, Eastleigh and Ruislip. 
 
   Investment in fleet increased to GBP4.7 million (2014: GBP3.0 million) 
both to refresh the fleet and also in support of new growth 
opportunities. 
 
   The rail market continues to be well funded, buoyant and challenging. 
The industry maintains its focus on delivering improved productivity, 
efficiency gains and unit price reductions.  Torrent's market leadership 
places it well to meet those demands whilst continuing to deliver 
service excellence to both existing and new customers. 
 
   PROSPECTS 
 
   The year ended 31 March 2015, generated the best ever financial results 
for Vp plc. 
 
   Moving into the new financial year, the constituent business units are 
well positioned to reap the benefits of sustained market demand 
particularly in general construction, housebuilding and large elements 
of the infrastructure sector.  Oil and gas presents some shorter term 
challenges, but overall the Group continues to be well positioned in 
markets which are generally supportive. 
 
   We expect to actively invest in the infrastructure of the Group in the 
coming year, recruiting more talent, expanding the branch network and 
investing strongly in fleet.  This will ensure that the Group is fit and 
ready to deliver further incremental growth. 
 
   Trading into the new financial year has started well and the Board is 
confident of making further positive progress for shareholders this 
year. 
 
   Neil Stothard 
 
   Group Managing Director 
 
   4 June 2015 
 
   Consolidated Income Statement 
 
   for the year ended 31 March 2015 
 
 
 
 
                                                      2015       2014 
                                              Note    GBP000     GBP000 
 
  Revenue                                       1     205,602    183,064 
Cost of sales                                       (148,773)  (133,470) 
 
Gross profit                                           56,829     49,594 
Administrative expenses                              (29,733)   (28,883) 
 
Operating profit before amortisation             1     28,780     21,831 
Amortisation                                          (1,684)    (1,120) 
 
 
Operating profit                                       27,096     20,711 
Net financial expense                                 (2,023)    (1,778) 
 
Profit before taxation and amortisation                26,757     20,053 
Amortisation                                          (1,684)    (1,120) 
Profit before taxation                                 25,073     18,933 
Taxation                                         4    (5,202)    (3,238) 
 
Profit attributable to owners of the parent            19,871     15,695 
 
                                                        Pence      Pence 
Basic earnings per share                         2      51.03      39.78 
Diluted earnings per share                       2      47.01      36.31 
Dividend per share paid and proposed             5      16.50      14.00 
 
 
 
 
 
 
 
   Consolidated Statement of Comprehensive Income 
 
   for the year ended 31 March 2015 
 
 
 
 
                                                                2015      2014 
                                                               GBP000    GBP000 
 
Profit for the year                                             19,871   15,695 
 
  Other comprehensive (expense)/income: 
  Items that will not be reclassified to profit or loss 
Remeasurements of defined benefit pension scheme                  (55)      233 
Tax on items taken to other comprehensive income                    12     (53) 
Impact of tax rate change                                            -    (118) 
Foreign exchange translation difference                        (1,028)    (181) 
Items that may be subsequently reclassified to profit 
 or loss 
Effective portion of changes in fair value of cash 
 flow hedges                                                   (1,011)      704 
Total other comprehensive (expense)/income                     (2,082)      585 
Total comprehensive income for the year                         17,789   16,280 
 
 
 
   Consolidated Statement of Changes in Equity 
 
   for the year ended 31 March 2015 
 
 
 
 
                                                        2015     2014 
                                                       GBP000   GBP000 
Total comprehensive income for the year                 17,789   16,280 
Dividends paid                                         (5,986)  (4,962) 
Net movement relating to shares held by Vp Employee 
 Trust                                                (11,059)  (8,593) 
Share option charge in the year                          1,894    1,735 
Tax movements to equity                                  1,145    2,876 
Impact of tax rate change                                    -    (274) 
Change in Equity                                         3,783    7,062 
Equity at start of year                                107,984  100,922 
Equity at end of year                                  111,767  107,984 
 
 
 
 
 
 
   Consolidated Balance Sheet 
 
   as at 31 March 2015 
 
 
 
 
                                                 Note    2015       2014 
                                                        GBP000     GBP000 
 
Non-current assets 
Property, plant and equipment                            147,817    124,834 
Intangible assets                                         43,394     41,351 
Employee benefits                                          1,043        689 
Total non-current assets                                 192,254    166,874 
Current assets 
Inventories                                                6,495      5,352 
Trade and other receivables                               41,102     38,356 
Cash and cash equivalents                           3      5,236      8,978 
Total current assets                                      52,833     52,686 
Total assets                                             245,087    219,560 
Current liabilities 
Interest bearing loans and borrowings               3          -       (17) 
Income tax payable                                       (1,948)      (632) 
Trade and other payables                                (54,988)   (44,396) 
Total current liabilities                               (56,936)   (45,045) 
 
Non-current liabilities 
Interest bearing loans and borrowings               3   (72,000)   (62,000) 
Deferred tax liabilities                                 (4,384)    (4,531) 
Total non-current liabilities                           (76,384)   (66,531) 
Total liabilities                                      (133,320)  (111,576) 
Net assets                                               111,767    107,984 
 
Equity 
Issued share capital                                       2,008      2,008 
Capital redemption reserve                                   301        301 
Share premium account                                     16,192     16,192 
Hedging reserve                                          (1,101)       (90) 
Retained earnings                                         94,340     89,546 
Total equity attributable to equity holders of the 
 parent                                                  111,740    107,957 
Non-controlling interests                                     27         27 
Total equity                                             111,767    107,984 
 
 
 
 
 
 
   Consolidated Statement of Cash Flows 
 
   for the year ended 31 March 2015 
 
 
 
 
                                                     Note    2015      2014 
                                                            GBP000    GBP000 
Cash flow from operating activities 
Profit before taxation                                       25,073    18,933 
Pension fund contributions in excess of service 
 cost                                                         (409)     (376) 
Share based payment charge                                    1,894     1,735 
Depreciation                                            1    25,023    22,507 
Amortisation                                            1     1,684     1,120 
Financial expense                                             2,024     1,790 
Financial income                                                (1)      (12) 
Profit on sale of property, plant and equipment             (3,277)   (2,862) 
Operating cash flow before changes in working 
 capital                                                     52,011    42,835 
(Increase)/decrease in inventories                            (854)       364 
Increase in trade and other receivables                     (2,746)   (3,525) 
Increase in trade and other payables                          6,114     7,581 
Cash generated from operations                               54,525    47,255 
Interest paid                                               (2,016)   (1,848) 
Interest element of finance lease rental payments               (2)       (5) 
Interest received                                                 1        12 
Income tax paid                                             (2,873)   (3,949)