We could not find any results for:
Make sure your spelling is correct or try broadening your search.
Share Name | Share Symbol | Market | Type |
---|---|---|---|
Accor | TG:ACR | Tradegate | Ordinary Share |
Price Change | % Change | Share Price | Bid Price | Offer Price | High Price | Low Price | Open Price | Shares Traded | Last Trade | |
---|---|---|---|---|---|---|---|---|---|---|
1.15 | 2.87% | 41.25 | 41.00 | 41.50 | 41.49 | 40.03 | 40.03 | 1,614 | 22:50:06 |
RNS Number:0541L Abbeycrest PLC 14 May 2003 For Immediate Release 14 May 2003 Abbeycrest Plc Final results for the 12 months ended 28 February 2003 Results in line with expectations; Turnover up to #99m; Proposed Final Dividend Abbeycrest Plc, the UK's leading jewellery manufacturing and distribution business, announces final results for the year ended 28 February 2003. The results are in line with the trading update made by the Company in January of this year. In his statement to shareholders, Mr. Michael Lever, Chairman said: "Excellent progress has been made in turning around the fortunes of the Company in the second half of the year. Some difficult decisions have had to be made in order to ensure that the necessary levels of financial and management control are in place but the results of this action are now beginning to be manifest." Key extracts from the Chairman's Statement and Results: *Turnover of #98.8m (2002: #91.5m) *Pre-tax loss before goodwill of #0.3m (2002: #2.4m profit) *Basic loss per share of 4.1p (2002: earnings per share of 4.7p) *Proposed final dividend of 1.0p per share *Total net assets at year-end of #27.3m (110p per share) excluding minority interests *Year-end gearing reduced to 88% (2002: 97%) - expected to fall further next year *Much improved financial controls over working capital *Major operational improvements in stock procurement and planning *New #2m purpose-built factory in Thailand now operational On Current Trading, Mr. Lever stated: "Sales in G&A, the main trading subsidiary of the Group have begun the year ahead of our targets... elsewhere within the Group I am pleased to report that sales overall for the first month of the year have exceeded both the equivalent period last year and budget. For the second month we have seen a slowdown, which we believe to be a temporary reaction to international events." On Prospects he said: "Initial indications for the current financial year are promising. The improvements that have been achieved in the operation and control of G&A Limited, in particular, and the Group in general over the second half of the year have been manifest and are already bearing fruit. The commercial advantages and growth potential of Abbeycrest Thailand's new gold jewellery factory will be felt in the current financial year, as will the concentration of Essex International's production on the same site. "The business review process, established in September 2002, continues with the aims of focusing and simplifying the business and I anticipate reporting the benefits of this later in the year and returning, in due course, Abbeycrest Plc to historical levels of financial performance" -ends- Enquiries: Michael Lever, Chairman, Abbeycrest Plc Phil Walker, Group Finance Director, Abbeycrest Plc 020 7786 9600 Today Only 0113 284 5702 Thereafter Paul Vann/Victoria Stephens, Binns & Co. PR Limited 020 7786 9600 Chairman's Statement The difficulties experienced by the Group during the first half of the year ended 28th February 2003 have been well documented in the interim report and therefore it is my intention here to outline the excellent progress that has been made in turning around the fortunes of the company in the second half of the year. In that regard some difficult decisions have had to be made in order to tighten up the Group's financial and management controls. The results of this action are now beginning to be manifest and are outlined in more detail in the trading review below. Results For the year ended 28th February 2003, Group turnover increased by 8.1% to #98.8m. Pre-tax loss before goodwill was #0.3m (2002 - #2.4m profit). After tax and minority interest of #0.4m (2002 - #1.0m) loss attributable to shareholders was #1.0m (2002 - #1.1m profit). Basic loss per share was 4.1p (2002 - 4.7p profit). At 28th February 2003 total net assets, excluding minority interests, were #27.3m equating to #1.10p per share. Dividends At the interim announcement it was noted that the directors felt it inappropriate to pay an interim dividend. In the light of the working capital improvements achieved in the second half of the year and the Group's improving prospects, the directors recommend that a final dividend of 1.0p per share be paid (2002 - total dividend 6p). Balance Sheet One of the most significant improvements during the second half of the year ended 28th February 2003 has been the much improved control over working capital within G&A Limited which has naturally fed through into the Group balance sheet. Tighter financial controls under the new G&A finance director have contributed significantly but undoubtedly the biggest impact has been in the area of stock planning and purchasing. A supply chain specialist has been brought in to establish "best practice" in stock systems. The impact on the stock balances within G&A has been marked, resulting in Group stock levels dropping by #4.2m with further reductions planned in the current financial year. This, together with tighter controls on debtors, has resulted in Group borrowings (including leased gold) reducing by #3.6m in the year to #25.0m, despite having paid off #3.4m in loan notes to the Brown & Newirth directors and invested around #2m in Abbeycrest Thailand in the year. This has resulted in a reduction in year end gearing to 88% (2002 - 97%). The directors foresee a further significant reduction in gearing next year as the improved planning and purchasing systems take effect over a full trading cycle. Review of Business Whilst the Group experienced a number of operational issues in the first half of the financial year, it has been encouraging that demand has remained robust and Group sales have increased by 8.1%. The improvements in practices and procedures in key areas across the Group should mean that turnover should convert through more effectively to profit in the current year rather than being lost in inefficiencies. The UK G&A Ltd generates around 80% of the Group's turnover and remains one of Europe's largest distributors of gold and gemset jewellery. The pre-tax loss of #1.9m (2002 - #0.3m profit) has to be set against the context of significant re-assessment of provisions made at the previous year-end which, when reviewed at the half-year, were shown to be inadequate. The largest single item in this process was an additional stock provision of #1.9m to cover excess and obsolete stock with a gross value of around #6m. Progress in disposing of this excess stock has been pleasing, with around #2.2m being sold in the second half of the year. G & A is now operating on a much tighter basis with regard to customer stock returns. I am pleased to report that the SAP computer system, about which much has previously been written, is performing adequately to support the business. Levels of customer service have now returned to those enjoyed before the system was implemented. A business process review has been undertaken and a drive is well underway to simplify the business and apply strict commercial criteria to all operational areas. It is anticipated that the benefits of this will be felt in enhanced gross margins. The downscaling of the G&A gold jewellery manufacturing facility in Birmingham has proceeded extremely well with assembly of product being established in Thailand. The move has unfortunately led to job losses in the UK but it is essential that the company remains competitive in world markets. Brown & Newirth ("B & N") our market leading wedding ring manufacturer, has completed another excellent year with record sales and pre-tax profits. B&N has proved a splendid purchase for the Group and has outperformed projections made at the time of acquisition. DRT, the Group's wristwear manufacturer based in Teesside, produced a disappointing result for the year with a small pre-tax loss, largely due to a move in fashion away from its staple product, the lightweight "gate" bracelet. A new range of products introduced at Christmas has been well received by the market and the Group looks forward to a positive contribution this year. Eric's Jewellers Ltd continues to provide a useful outlet to dispose of excess inventories and recorded an excellent increase in pre-tax profit and strong cash generation. Overseas Dynamic Creations Limited, based in Hong Kong, continues to go from strength to strength and provides an excellent source of innovative low cost gemset product for the UK multiple market and new export markets. Turnover rose 6% to #12.1m with pre-tax profits rising 30% to #1.6m. As noted above, the Group has opened a brand new purpose built factory in Lamphun in northern Thailand under the "Abbeycrest Thailand Limited" banner. Built to allow low-cost, world-class assembly of gold jewellery, the transfer of production out from our Birmingham site has gone better than expected. The benefits of this low cost base will only be felt for the first time in the current financial year. Commercial production commenced in February 2003. Essex International, based in Thailand, has had a mixed year with well-publicised management issues having to be addressed. The company recorded a loss before tax of #0.2m for the year ended 28th February 2003 (2002 - #0.2m profit) The process of recruiting has been completed and we look forward to the current financial year with confidence in the new management. In addition a cost reduction programme has been instituted together with a centralisation of production by closing the two existing factories and sharing the new facilities recently opened by Abbeycrest Thailand. It is anticipated that this will give rise to significant operating synergies, though the effect of these will only really be felt in the year 2004/05. People The first half of the year was a testing one for our employees, particularly within G&A and Essex International. The reaction of our employees to such challenges has been excellent and is a contributor to the optimism with which we have entered the new financial year and I would like to thank them for this. Current Trading Sales in G&A, the main trading subsidiary of the Group, have begun the year ahead of our targets helped by lower crediting levels, a reflection of the better levels of customer service being delivered. In the interim statement I stated that the challenge for the management was to ensure that the areas of business that the company is involved in translate efficiently through to the bottom line, I am pleased to report that this challenge has been met and we are now seeing the benefits in enhanced financial performance. Elsewhere within the Group, I am pleased to report that sales overall for the first month of the new financial year at the other Group subsidiaries have exceeded both the equivalent period last year and budget. For the second month we have seen a slowdown, which we believe to be a temporary reaction to international events. Prospects As indicated above, initial indications for the current financial year are promising. The improvements that have been achieved in the operation and control of G&A Limited, in particular, and the Group in general over the second half of the year to 28th February 2003 have been manifest and are already bearing fruit. The commercial advantages and growth potential of Abbeycrest Thailand's new gold jewellery factory will be felt in the current financial year, as will the concentration of Essex International's production on the same site. The business review process, established in September 2002, continues with the aims of focusing and simplifying the business and I anticipate reporting the benefits of this later in the year and returning , in due course, Abbeycrest Plc to historical levels of financial performance. Consolidated Profit and Loss Account For the year ended 28 February 2003 Unaudited 2003 2002 #'000 #'000 Turnover - Existing operations 99,099 91,627 - Less share of joint venture (259) (152) -------- -------- - Continuing operations 98,840 91,475 ----------------------------- -------- -------- Operating profit - Before goodwill and exceptional 1,956 4,348 item - Goodwill (net) (233) (224) ----------------------------- -------- -------- - Continuing operations 1,723 4,124 Share of operating loss in joint venture (6) (30) Interest 241 220 receivable Interest payable and similar charges (2,521) (2,176) Interest payable by joint venture - (1) -------- -------- -------- (Loss)/profit on ordinary activities before taxation (563) 2,137 Tax on (loss)/profit on ordinary activities 132 (611) -------- -------- -------- (Loss)/profit on ordinary activities after taxation (431) 1,526 Minority equity interests (568) (397) -------- -------- -------- (Loss)/profit for the financial period (999) 1,129 Dividends paid and proposed on equity shares (249) (1,491) -------- -------- -------- Retained (loss)/profit for the period (1,248) (362) -------- -------- -------- (Loss)/earnings per share - basic (4.1p) 4.7p - diluted (4.0p) 4.5p Dividends per share 1.0p 6.0p Consolidated Balance Sheet As at year ended 28 February 2003 Unaudited 2003 2002 #'000 #'000 Fixed assets Goodwill 2,579 2,914 Negative goodwill (407) (644) --------- -------- 2,172 2,270 Tangible fixed assets 10,663 9,929 Investments 540 540 --------- -------- 11,203 10,469 Investment in joint venture: Share of gross assets 166 165 Share of gross liabilities (125) (122) --------- -------- -------- 41 43 --------- -------- 13,416 12,782 --------- -------- Current assets Stocks 32,200 36,398 Debtors 17,706 19,617 Cash at bank and in hand 7,917 5,286 --------- -------- -------- 57,823 61,301 Creditors Amounts falling due within one year 37,917 40,302 --------- -------- Net current assets 19,906 20,999 Total assets less current liabilities 33,322 33,781 Creditors Amounts falling due after more than one year 4,909 3,768 Provisions for liabilities and charges 123 478 --------- -------- -------- Net assets 28,290 29,535 --------- -------- Capital and reserves Called up share capital 2,488 2,486 Shares to be issued 580 580 Share premium account 5,186 5,178 Merger reserve 199 199 Profit and loss account 18,861 20,533 --------- -------- Equity shareholders' funds 27,314 28,976 Minority equity interests 976 559 --------- -------- Total capital employed 28,290 29,535 --------- -------- Consolidated Cash Flow Statement For the year ended 28 February 2003 Unaudited Notes 2003 2002 #'000 #'000 Net cash inflow from operating activities 1 6,126 1,813 Returns on investments and servicing of 2 (2,468) (2,080) finance Taxation (456) (918) Capital expenditure and financial investment 2 (2,809) (1,158) Acquisitions 2 - (723) Equity dividends paid (1,045) (1,627) --------- -------- Cash outflow before financing (652) (4,693) Financing 2 2,437 (321) --------- -------- Increase/(decrease) in cash in the period 3 1,785 (5,014) --------- -------- Notes to the Year End Financial Statements For year ended 28 February 2003 1. Reconciliation of operating profit to net cash inflow from operating activities Unaudited 2003 2002 #'000 #'000 Operating profit 1,723 4,124 Depreciation 1,961 1,883 Decrease in value of own shares - 50 Amortisation of goodwill 233 224 Loss/(profit) on sale of tangible fixed assets 55 (54) Profit on sale of investments - (21) Foreign exchange movement - 51 Decrease/(increase) in stocks 4,075 (9,558) Decrease/(increase) in debtors 1,937 (1,131) (Decrease)/increase in creditors (3,858) 6,245 -------- --------- Net cash inflow from operating activities 6,126 1,813 -------- --------- 2. Analysis of cash flows Unaudited 2003 2002 Returns on investments and servicing of finance #'000 #'000 Interest received 241 220 Interest paid (2,556) (2,298) Interest element of finance lease rental payments (2) (2) Dividend paid to minority interest (151) - -------- --------- Net cash outflow from returns on investments and (2,468) (2,080) servicing of finance -------- --------- Capital expenditure and financial investment Purchase of tangible fixed assets (3,078) (1,291) Sale of tangible fixed assets 269 133 -------- --------- Net cash outflow from capital expenditure and (2,809) (1,158) financial investment -------- --------- Acquisitions and disposals Purchase of business - (1,127) Cash from sale of investments - 404 -------- --------- Net cash outflow from acquisitions and disposals - (723) -------- --------- Financing Issue of ordinary share capital 10 3 New secured loan 6,500 - Repayment of secured loan (650) (300) Repayment of loan notes (3,399) - Capital element of finance lease rental payments (24) (24) -------- --------- Net cash inflow/(outflow) from financing 2,437 (321) -------- --------- Notes to the Year End Financial Statements For year ended 28 February 2003 3. Reconciliation of net cash flow to the movement in net debt Unaudited 2003 2002 #'000 #'000 Increase/(decrease) in the 1,785 (5,014) period Cash (inflow)/outflow and (increase)/ (2,427) 324 decrease in debt and lease financing -------- -------- --------- (642) (4,690) New finance leases (28) - Exchange difference (71) (17) --------- -------- (741) (4,707) Net debt at the (23,502) (18,795) beginning of --------- -------- the year Net debt at the (24,243) (23,502) end of the --------- -------- year Analysis of net At 28 February debt 2003 At 1 March Exchange Non Cash 2002 Cashflow Movement Movement #'000 #'000 #'000 #'000 #'000 Cash at bank 5,286 2,702 (71) - 7,917 and in hand Overdrafts (25,335) (917) - - (26,252) -------- --------- --------- --------- -------- (20,049) 1,785 (71) - (18,335) Debt due after - (4,550) - - (4,550) one year Debt due within - (1,300) - - (1,300) one year Loan Notes (3,399) 3,399 - - - Finance (54) 24 - (28) (58) Leases -------- --------- --------- --------- -------- (3,453) (2,427) - (28) (5,908) -------- --------- --------- --------- -------- (23,502) (642) (71) (28) (24,243) -------- --------- --------- --------- -------- 4. Analysis of gearing Unaudited 2003 2002 #'000 #'000 Bank loans and overdrafts (26,252) (25,335) Gold leasing (676) (4,984) Finance leases (31) (24) Cash 7,917 5,286 Deferred consideration - loan notes (150) (3,549) Medium term loan (5,850) - --------- -------- (25,042) (28,606) --------- -------- Net assets 28,290 29,535 --------- -------- Gearing 88% 97% Notes to the Year End Financial Statements (continued) Note 5 The accounting policies used in this preliminary statement are consistent with those applied in the financial statements for the financial period ended 28 February 2002. Note 6 The financial information set out above does not comprise the company's statutory accounts. Statutory accounts for the previous year ended 28 February 2002 have been delivered to the Registrar of Companies. The auditor's report on those accounts was unqualified and did not contain any statement under section 237(2) or (3) of the Companies Act 1985. Note 7 The auditors have not reported on the financial statements for the year ended 28 February 2003, nor have any such financial statements been delivered to the Registrar of Companies. Note 8 (Loss)/earnings per share have been calculated using the weighted average number of shares in issue during the period of 24,269,362 (2002 - 24,813,749). The proposed final dividend of 1p per share will be paid on 17 July 2003 to shareholders on the register on 27 June 2003. Note 9 Copies of the Report and Accounts are being sent to shareholders on the 18 June 2003 and will be available to members of the general public at that date from the Company Secretary, Abbeycrest Plc, Peter Rosenberg House,11/15 Wilmington Grove, Leeds, LS7 2BQ. This information is provided by RNS The company news service from the London Stock Exchange END FR DGGMKVFLGFZM
1 Year Accor Chart |
1 Month Accor Chart |
It looks like you are not logged in. Click the button below to log in and keep track of your recent history.
Support: +44 (0) 203 8794 460 | support@advfn.com
By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions