We could not find any results for:
Make sure your spelling is correct or try broadening your search.
Share Name | Share Symbol | Market | Type | Share ISIN | Share Description |
---|---|---|---|---|---|
2 Travel Group | LSE:TLG | London | Ordinary Share | GB0032498775 | ORD 0.2P |
Price Change | % Change | Share Price | Bid Price | Offer Price | High Price | Low Price | Open Price | Shares Traded | Last Trade | |
---|---|---|---|---|---|---|---|---|---|---|
0.00 | 0.00% | 0.00 | - |
Industry Sector | Turnover | Profit | EPS - Basic | PE Ratio | Market Cap |
---|---|---|---|---|---|
0 | 0 | N/A | 0 |
RNS Number:9334V 2 Travel Group PLC 27 February 2004 2 Travel Group Plc Preliminary statement of results for the year ended 31 August 2003. Chairman's statement Overview The Company floated on the Alternative Investment Market ("Aim") in January 2003. Depressed financial markets slowed the flotation process until well into our financial year 2002/3, and this unfortunately pushed back many of the initiatives we had budgeted for earlier in the year. This has had a detrimental impact on the year's results. As outlined in our Prospectus, the Board has concentrated its efforts on moving the coach business away from tour work to more predictable domestic business. We have frozen the expansion of the coach fleet, and developed and expanded the business towards a mid level regional bus operator. Given the volatility of coach operations in the year, due to internationalevents such as SARS and the Iraq war, this position has been vindicated. At the start of the financial year, the Company had its two depots at Swansea and Cwmbran. By August 2003, facilities and infrastructure had been established at both Cardiff and Llanelli. This significantly expanded the potential range and size of our bus services and facilitated closer links with a number of Local Authorities to whom we could tender for bus services. These depots are now fully operational and have been inspected and approved by the Vehicle Inspectorate. Since flotation, the Company has applied for, and was successful in its application to increase the number of vehicle operating discs it holds by 30 to a total of 110. The Company can now grow its activities by 37% . Other achievements included the purchase of CTC in April 2003. CTC is a clearing house for coach tour operators and gives 2 Travel's coach unit first choice of available domestic work improving the general utilisation of the internal coach fleet. Additionally, in June 2003 the Company acquired the freehold on its Head Office site in Swansea. As described in more detail below, the site is adjacent to a major retail development scheme which is currently well underway.The Board is examining how to capitalise on the site for the benefit of shareholders. Results Turnover (including a contribution of #506,626 from acquisitions) increased to #4.2m (2002: #3.7m), operating loss was (#686,654) (2002: profit #375,763) and the loss before taxation was (#996,663) (2002: profit #212,135). In view of the losses, no dividend will be paid for 2003. The main reason for the fall in profits were: * Exceptional costs arising from the Company's flotation, totalling approximately #250,000. * Depot development costs totalling approximately #50,000. * Route development costs totalling approximately #40,000. * Increased insurance premiums. * Increased staff costs, up by 12% on the previous years in preparation for the bus expansion programme. This was also partly attributable to the higher national insurance rates. * Substantial additional operating costs were incurred to support the build up of business at the two new depots in Llanelli and Cardiff. The benefits from this did not materialise until the two new depots were fully operational and the additional licences were obtained. This did not occur until the end of the financial year. * General overhead costs increased by approximately #400,000. This included Directors remuneration increases of #144,000, administration wage increases of #114,000, legal and professional fee increases of #47,000 and bad debts of #10,000. Funds received from the flotation before expenses amounted to #1.6m. In addition after flotation a further #550,000 was raised before costs. Net debt as at 31 August 2003 was #3.6m (2002:#3.2m).Debt, increased during the year, helping to fund fixed asset additions of #1.7m (2002:#1.5m).Total repayments on finance agreements, including interest were #1.1m (2002:#0.8m), with new finance agreements of #0.7m (2002: #1.4m). Operating cash flow during the year was an outflow of #47,157 (2002:#477,065 inflow). The main contributory factor was a operating loss of #686,654 (2002: #375,763 operating profit). Depreciation charges rose to #266,591 (2002: #213,707), whilst stocks and debtor balances fell by #139,892 (2002:#117,450 increase), and creditor balances grew by #233,014 (2002:#5,045 increase). Coach operations The UK coach industry experienced lower activity as a result of reduced inbound tourism due to the Iraqi war, perceived terrorist threats generally and SARS. Incoming tourist work, which had formed a significant part of the previous years trading, virtually disappeared and there was a general downturn in outward European tours. Despite this, the Company maintained turnover by establishing new customers within the UK tour market. The addition of CTC provided some improved utilisation of the coach fleet, although CTC itself suffered from reduced volumes experienced throughout the industry. Bus operations In line with the Company's intention to become a mid level localbus service provider, bus operations benefited from the new commercial and local authority tendered routes gained towards the end of the year. Development costs have been incurred to enable further expansion through to 2005. With the new depots at Llanelli and Cardiff the Company has facilities in place to operate up to 200 vehicles. Between April and August 2003, 10 bus services were registered to operate in Neath, Swansea and Cwmbran. By April 2004 over 60 bus workings will be in operation. The start up costs included in the 2003 figures have enabled this significant development to take place, however the full effect of the move to bus workings will not be felt until 2004/2005. Experience with existing routes, confirm that after an establishment period, of approximately 6 months more predictable income streams and improved cash flows are achieved. It is the intention to consolidate the development of the bus operations during 2003/2004. Whilst some benefits are expected to flowin the current year the full benefits will be achieved in the following financial year. Premises The significant Retail and Leisure development on local authority land adjacent to the Company's 5 acre premises at Swansea which is due to complete later this year will result in a marked increase in the value of the Company's premises. During the year the local authority officially recognised the existing use of the site, which is an important step towards enhancing the planning status of the premises. The premises have already attracted attention from national companies looking for a base in Swansea. This has prompted the Board to investigate the possibility of relocating its operations in the Swansea area. Whilst it is not expected that a significant cash return will be generated from the premises in the next financial year there clearly exists a potential opportunity for the Company to relocate and build a purpose- built depot and generate additional profit from a redevelopment of the site. Any significant progress in this regard will be announced. Current trading Although the year has started slower than expected, the development of new bus routes, and continued support to existing routes until they fully mature, should have a positive impact during the current year. Now that the Company's overhead base is relatively fixed the Board believe that the contribution from the expanding bus operations will increase. Therefore to implement the final part ofthis first phase of the company's expansion programme a secured facility has been negotiated of #675,000 to meet the Company's short to medium term working capital requirements. The facility has been guaranteed by Nigel Short and Huw Francis, on commercial terms secured by a second charge on the Company's freehold property in Swansea. To further assist cash flow a refinancing and rescheduling of some finance agreements has been undertaken post year end with the aim of reducing monthly repayments and to take advantage of the lower interest rates then available in the market. It is hoped that debt levels should begin to fall at the end of the year and this will continue in the following financial year. Summary This has been a period of transition for the Company; a significant amount of work has been completed in developing this bus network and the Board remains optimistic for the future. The year has seen significant costs being incurred to grow and support the infrastructure of the business whilst the bus services are further developed. It is expected that further development will continue through the first half of the next financial year when the remaining 40 bus workings will come on stream. The full effect ofthe first phase of the Company's development plan will not be felt until the next financial year when it is expected that significant improvements in the financial results will be achieved. On behalf of the Board, I would like to thank all of our staff for their contribution and effort during 2003. I look forward to their continued support as the Company meets the challenges of 2004. Sir Richard Needham Chairman Consolidated profit and loss account For the year ended 31 August2003 2003 2002 #'000 #'000 Turnover (incl. acquisition effect of #507k) 4,245 3,679 Other Operating Income 2 10 ------- ------- 4,247 3,689 Operating Costs (4,685) (3,313) Exceptional Costs associated with flotation (249) - -------- --------- Gross Operating (loss)/profit (687) 376 Profit on disposal of fixed assets 72 106 Net interest payable (382) (270) ------- ------- (Loss)/profit on ordinary activities before taxation (997) 212 Tax on (loss)/profit on ordinary activities 47 (41) ------- ------- (Loss)/profit for the financial year (950) 171 Dividends - (81) ------- ------- Retained(loss)/profit for the financial year (950) 90 ======= ======= Surplus on property revaluation 167 - Total recognised (losses)/gains for the year (783) 90 ===== ===== The results for the current and prior years all relate to continuing operations. Consolidated Balance Sheet At 31 August 2003 31.8.03 31.8.02 #'000 #'000 #'000 #'000 Fixed assets Tangible assets 4,959 3,478 Intangible assets 180 1 ------- -------- 5,139 3,479 Current assets Stocks 171 215 Debtors 692 624 Cash at bank and in hand 154 - ----- ----- 1,017 839 Creditors: amounts falling due within (2,350) (1,768) one year --------- --------- Net current liabilities (1,333) (929) Total assets less current liabilities 3,806 2,550 Creditors: amounts falling due after (2,737) (2,085) more than one year Provisions for liabilities and charges - (42) --------- -------- Net assets 1,069 423 ===== ===== Capital and reserves Called up share capital 98 25 Share premium 1,692 337 Revaluation reserve 167 - Profit and loss account (888) 61 ------ ----- Shareholders funds 1,069 423 ====== ===== Consolidated cash flow statement For the year ended 31 August 2003 2003 2002 #'000 #'000 Cash (outflow)/inflow from operating (47) 477 activities Returns on investments and servicing of (376) (270) financing Capital expenditure (691) 198 Acquisitions and disposals (27) - Equity dividends paid - (81) ----- ----- Cash (outflow)/inflow before financing (1,141) 324 Financing 1,256 (334) ------- ------- Increase/(decrease) in cash in the period 115 (10) ======= ======= Notes 1. Basis of accounting. The financial statements have been prepared under the historical cost convention as modified by the revaluation of certain assets. 2. Profit on ordinary activities before taxation Profit on ordinary activities before taxation is stated after charging/ (crediting): 2003 2002 #'000 #'000 Depreciation Owned assets 5312 Leased assets 206 201 Auditors remuneration - audit 16 4 Auditors remuneration - non audit 23 - 3. Loss per ordinary share The basic earnings per ordinary share is calculated by reference to the loss of #949,636 attributable to ordinary shareholders. This calculation was based on the loss for the period of #949,636 and on a weighted average number of ordinary shares in issue in the financial period of 37,034,432. The basic earnings per ordinary share before flotation costs is calculated by reference to the loss of #949,636 attributable to ordinary shareholders less flotation costs of #248,645. This calculation was based on the loss before flotation costs for the period of #700,991 and on a weighted average number of ordinary shares in issue in the financial period of 37,034,432. The share option and the convertible loan stock are at present non dilutive. 4. Reconciliation of net cash flow to movement in net debt 2003 2002 #'000 #'000 Increase/(decrease) in cash in the period 115 (10) Cash(inflow)/outflow from (increase) / decrease in (103) 553 debt lease finance Cash(outflow)/inflow from (decrease) in factoring 245 (219) account ----- ------ Change innet debt resulting from cash flows 257 324 New finance leases (723) (1,443) ------ -------- Movement in net debt in the year (466) (1,119) Net debt at beginning of year (3,182) (2,063) -------- --------- Net debt at end of year (3,648) (3,182) ===== ===== 5. Analysis of net debt At 1.9.02 Cashflow Other non cash At 31.8.03 flows #'000 #'000 #'000 #'000 Cash at bank and in hand 154 154 Bank overdrafts (48) (40) (88) ----- ----- ------ ----- (48) 114 - 66 Hire Purchase (2,671) 801 (723) (2,593) Factoring Account (463) 245 (218) Debts falling due within one (25) (25) year Debts falling due after more (878) (878) than one year -------- ------ -------- -------- Total (3,182) 257 (723) (3,648) ===== === ===== ===== 6. Financial Information The financial information set out above does not constitute statutory accounts within the meaning of Section 154 of the Companies Act 1985 forthe years ended 31 August 2003 and 2002 but it is derived from the Groups audited accounts which have been approved and signed by the directors. Statutory accounts for 2002 have been delivered to the Registrar of Companies, and those for 2003 will be delivered following the Group's Annual General Meeting. The auditors have reported on those accounts; their reports were unqualified and did not contain statements under either Section 237(2) or 237(3) of the Companies Act 1985. 7. Report and Accounts Copies of the Report and Accounts will be sent to shareholders. Copies will be available from the Group's Registered Office at Upper Bank, Pentrechwyth , Swansea, SA1 7DB. This information is provided by RNS The company news service from the London Stock Exchange END FR GGGZZVNNGDZM
1 Year 2 Travel Group Chart |
1 Month 2 Travel Group 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