Interim Results

RNS Number:7880M
SectorGuard PLC
26 June 2003



                         SECTORGUARD PLC ("the Group")

                                INTERIM RESULTS

Interim Results from SectorGuard plc, the AIM listed manned guarding solutions
provider, for the six months ended 31 March 2003.

Overview:

   *Pre-tax profits up 219% to #211,437 on turnover of #4,528,045 up 52%

   *Strong cash position of #667,787 at bank

   *Net current assets up 202% to #1,298,846

   *Continued growth both organic and through strategic acquisitions

   *First Response Security Services acquired on 20 June, anticipated to add
    another #1.4 million per annum to the Group's turnover

CEO David Marks said: "These are good results for us. Our business model of
organic growth and strategic acquisitions has continued to produce increased
profits, turnover and assets. We have made four acquisitions this year, which,
through improved economies of scale and enhanced efficiencies, are contributing
significantly to our success. Emphasising our achievements, analyst Plimsoll
Publishing Ltd recently ranked us the 24th largest and 8th most profitable
manned security company in the UK."

Chairman's Statement

I am pleased to announce our results for the six months ended 31 March 2003,
which show pre-tax profits up 219% to #211,437 (2001: #66,189), turnover up 52%
to #4,528,045 (2001: #2,984,826) and net current assets up 202% to #1,298,846
(2001: #429,867). At the end of the period we had a strong cash position of
#667,787 at bank.

The current year has begun well with the figures reflecting the progress we have
achieved. In line with our business model we continue to expand the Group both
organically and through acquisition to become a major provider of manned
security solutions in a traditionally fragmented market.

We now have an extensive client base of local authorities, large corporations
and landmark sites, which have enabled us to establish a reputation of providing
high quality, manned guarding solutions at cost effective levels. This success
has been reflected in a recent survey by financial analyst Plimsoll Publishing
Ltd, which placed SectorGuard 24th in size and 8th in profitability in an
analysis of the top 50 UK manned guarding businesses.

We are constantly looking for new business opportunities. In line with this
strategy, we have acquired four businesses in the past six months, reinforcing
our position as a leading service supplier in London and the Home Counties and
giving us further presence outside our core geographic area. Three of the
acquisitions will impact the business in the second half of the year.

Our most recent acquisition, First Response Security Services, added an
additional #1.4 million annually to our turnover. It also provides further
critical mass in the London market and builds up our growing presence in the
Midlands.

During the first half of the year we raised in excess of #1.25 million through
the placing of new ordinary shares with institutional and other investors. This
has provided working capital as well as the funds with which to take advantage
of acquisition opportunities as they arise.

We believe that to retain a high quality of service delivery, it is important to
invest in our employees. We operate an intensive training system for all our
staff and also offer all employees the opportunity to participate in a company
share option scheme.

The second half is showing progressively healthy business volumes, so we look
forward to the future with confidence. We believe the strength of our service
offering coupled with the financial stability we enjoy will stand us in good
stead and hope to report further progress in our year-end statement.

Peter Gorty
Chairman
26th June 2003

Profit and Loss Account
For the six months ended 31 March 2003

                             Six months      Six months    Year ended 30
                         ended 31 March  ended 31 March  September 2002
                                 2003            2002

                          (Unaudited)     (Unaudited)        (Audited)

                                    #               #                #

Turnover                    4,528,045       2,984,826        7,373,705

Cost of sales              (3,590,447)     (2,471,271)      (5,840,495)
                            _________       _________        _________

Gross profit                  937,598         513,555        1,533,210

Administrative               (681,323)       (402,520)        (938,690)
expenses
                            _________       _________        _________

Operating profit              256,275         111,035          594,520

Interest receivable and           416           7,542            1,529
similar income

Interest payable and          (45,254)        (52,388)         (94,018)
similar charges
                             ________       _________         ________

Profit on ordinary            211,437          66,189          502,031
activities before
taxation

Tax on profit on              (63,431)        (19,857)        (163,169)
ordinary activities
                             ________       _________         ________

Retained profit for the       148,006          46,332          338,862
period
                             ________       _________         ________


Balance Sheet
As at 31 March 2003

                              Unaudited        Unaudited       Audited
                                  as at            as at         as at
                          31 March 2003    31 March 2002    30 September
                                                                  2003

                                      #                #             #

Fixed Assets

Intangible assets             2,909,461        1,356,928     2,549,969

Tangible assets                 173,569          181,265       178,504
                               ________        _________      ________

                              3,083,030        1,538,193     2,728,473
                              _________        _________      ________

Current assets

Debtors                       2,548,205        1,210,079     2,198,462

Cash at bank and in             667,787          292,162       241,096
hand
                              _________        _________     _________

                              3,215,992        1,502,241     2,439,558

Creditors: amounts           (1,917,146)      (1,072,374)   (1,867,696)
falling due within one
year
                              _________        _________     _________

Net current assets/           1,298,846          429,867       571,862
(liabilities)
                              _________        _________     _________

Total assets less             4,381,876        1,968,060     3,300,335
current liabilities

Creditors: amounts             (505,111)        (587,418)     (451,108)
falling due after more
than one year

Provisions for                 (516,630)          (6,750)     (548,135)
liabilities and
charges
                              _________         ________     _________

Net Assets                    3,360,135        1,373,892     2,301,092
                              _________         ________     _________

Capital and reserves

Called up share                 797,000          155,000       562,000
capital

Share premium account         1,861,223          957,516     1,185,186

Profit and loss                 701,912          261,376       553,906
account
                              _________         ________     _________

Shareholders' funds           3,360,135        1,373,892     2,301,092
                              _________         ________     _________


Notes:

 1. Financial Information

    The interim results for the six months ended 31 March 2003 and six months
    ended 31 March 2002 are un-audited and do not constitute statutory accounts
    within the meaning of section 240 of the Companies Act 1985. They have been
    drawn up using accounting policies and principles consistent with those
    applied in the preparation of the audited accounts for the year ended 30
    September 2002. The comparative information contained in the report for the
    year ended 30 September 2002 does not constitute the statutory accounts for
    that financial period. Those accounts have been reported on by the Company's
    Auditors, Nexia Audit Limited, and delivered to the Registrar of Companies.

    The report of the auditors was unqualified.

 2. Taxation

    The tax charge for the period is based on the anticipated effective tax rate
    for the year to 30 September 2003.

 3. Interim Report

    Copies of this interim report are being sent to all shareholders and will be
    available to the public from the Company's Head Office, Gainsborough House,
    Sheering Lower Road, Sawbridgeworth, Herts, CM21 9RG.



Contacts:
David Marks  SectorGuard Plc   Tel: [phone]
Hugo de Salis  St Brides Media & Finance Ltd Tel: [phone]




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