Ab Dynamics Share Discussion Threads

[wylecoyote] 28/4/2014 07:14

Nickg2, thanks.

[nickg2] 28/4/2014 07:11

AB Dynamics PLC Interim ResultsTIDMABDPRNS Number : 5957FAB Dynamics PLC28 April 201428 April 2014AB Dynamics plc("ABD" or the "Group" )Interim ResultsAB Dynamics plc (AIM:ABDP), a designer, manufacturer and supplier of advanced testing systems and measurement products to the global automotive industry, is pleased to announce its Interim Results for the six month period to 28 February 2014.Financial Highlights -- Revenues increased 14% to GBP6.69 million (H1 2013: GBP5.87 million) -- Profit Before Tax increased 9% to GBP1.16 million (H1 2013: GBP1.07 million) -- Cash at 28 February 2014 of GBP4.55 million (H1 2013: GBP3.04 million) -- Maiden interim dividend of 1.0p per ordinary share Operational Highlights-- Wiltshire council has formally resolved to grant planning permission for its new purpose built factory subject to completion of negotiations on an agreement under section 106 between the local council and the developers -- 6th SPMM order from China placed -- Investment in staff and product development in the Track Testing Systems Division -- Engineer placed in Japan to support further market growth Tim Rogers, Managing Director of AB Dynamics, commented: "The Company has enjoyed a strong first half of the year, with improved revenues, profits and cash generation. We have an enviable and loyal client base and continue to add new customers."With our new facility with increased capacity likely to complete in the first half of 2016, our strong order book and continued product development, the Board is confident of a prosperous future and is therefore pleased to announce a maiden interim dividend of 1.0p per share."For further information please contact: AB Dynamics plc Tim Rogers, Managing Director Tony Best, Chairman 01225 860 200 Cairn Financial Advisers LLP (Nomad) Tony Rawlinson Avi Robinson 0207 148 7900 Charles Stanley Securities Limited (Broker) Dugald J. Carlean Karri Vuori Laura White 0207 149 6000 Newgate Threadneedle (PR) Josh Royston Heather Armstrong Caroline Evans-Jones 0207 653 9850 Overview of AB Dynamics plcABD is a leading designer, manufacturer and provider of advanced testing and measurement products for vehicle suspension, brakes and steering to the global automotive research and development sector. The Group was founded in 1982 and listed on AIM in May 2013. The Group is headquartered in Bradford on Avon employing approximately 50 staff. ABD currently supplies all of the top twenty automotive manufacturers, including Honda, Toyota, Ford and Volkswagen, who routinely use the Group's products to test vehicle safety.Managing Director's and Chairman's StatementWe are delighted to report on a successful first half of the financial year for AB Dynamics. Continued strong performance resulted in profit before tax for the half year to 28 February 2014, of GBP1.16 million (2013: GBP1.07 million) an increase of 9% and revenues of GBP6.69 million (2013: GBP5.87 million) an increase of 14% over the prior year's first half. Cash at the period end was GBP4.55 million (2013: GBP3.04 million).Over the last 6 months the Group has seen an excellent performance in its "Track Testing Systems" offering, which has benefited from the recent investments made in staff and new product development. The business continues to grow strongly with a significant flow of new orders, notably from European car makers in the run up to the New Year.The Group continues to work closely with its customers in the field of Advanced Driver Assistance Systems (ADAS) and is able to provide a unique package of Driverless Robots synchronising with our latest Soft Target products. These are important to the automotive industry for meeting the latest vehicle passenger and pedestrian safety standards such as Euro NCAP.The Group has also seen continued demand in its "Laboratory Testing" business, where it has completed a comprehensive upgrade to its Suspension Parameter Measuring Machine (SPMM). The upgraded SPMM 5000 meets the requirements of larger SUV type vehicles and keeps the product relevant for the future. These improvements have led to a new order from China Automobile Engineering Research Institute (CAERI), valued at more than GBP1.6 million, to be delivered in June 2015. This will be the 6th SPMM that the Group will have supplied to China. As stated at the time of admission to AIM, Asia is an important market for the Group, where continued orders from China, Japan and Korea provide the management with confidence in the Group's growth strategy.The Group has recently located an Engineer in Japan to support its customers in the region and is seeking to place additional engineering resources in the Asia region in the near future.On a note of caution, as an exporter we continue to regularly monitor the foreign exchange rates and the current strength of the UK Pound. The Group, takes and will continue to take, where possible, all appropriate measures to protect itself in this regard.On 13 February 2014, Wiltshire Council's Strategic Planning Committee formally resolved to grant planning permission for a mixed use development on land South West of Kingston Farm, Bradford on Avon to include the Group's proposed new purpose built factory. Formal planning permission is subject to completion of negotiations on an agreement under section 106 of the Town and Country Act 1990 between Wiltshire Council and the developer of the site. We continue to make our case to the local planning authorities to expedite full planning permission and are hopeful, but cannot be certain, that this may be granted in the second quarter of this year. If this is the case, we believe that we will be able to complete the move in the first half of 2016. In the meantime we continue to expand our current capacity and to that end plan to lease additional premises to accommodate our order book and to tide us over any potential delay.Since the founding of the business in 1982, AB Dynamics has built a reputation for providing excellent advanced testing and measurement products to the global automotive research and development sector, and it is encouraging to see that so many of our early customers are still with us today in addition to new customers that make up a strong future order book.The Group has been able to build this reputation by attracting and retaining some of the very best talent in UK engineering, and several of our colleagues have been with the Company for more than 20 years. We would both like would like to thank all of the team for their continued hard work and dedication. With strong links to both Bath and Cambridge universities, we feel confident that we can continue to provide both a creative and a rewarding environment for young engineers.With our current order book taking us into the next financial year, the Group continues to seek ways to increase factory throughput, to meet demand and develop new products to expand our offering to the automotive testing market. Current trading is in line with management expectations and we remain confident of meeting our financial targets this financial year.Our strong balance sheet and cash generation provide a good basis for a dividend and as indicated in our Trading Update on 19 February 2014; we are pleased to announce that the Directors are declaring an interim dividend of 1.0p per ordinary share. The ex-dividend date will be 7th May, the record date 9th May and the payment date 23(rd) May 2014. Anthony Best Tim Rogers Chairman Managing Director 28 April 2014 28 April 2014 Unaudited consolidated statement of comprehensive incomefor the six months ended 28 February 2014 Proforma Unaudited Unaudited Audited 6 months 6 months Year Ended Ended Ended 28 February 28 February 31 August 2014 2013 GBP GBP GBP Notes Revenue 6,694,460 5,873,883 12,171,473 Cost of sales (4,895,035) (4,313,795) (9,048,895) Gross profit 1,799,425 1,560,088 3,122,578 Administrative expenses (651,413) (420,508) (914,344) Operating profit before AIM transaction costs 1,148,012 1,139,580 2,208,234 AIM transaction costs - - (315,305) Operating profit 1,148,012 1,139,580 1,892,929 Net finance income and (costs) 16,362 (71,469) (27,698) Profit before taxation 1,164,374 1,068,111 1,865,231 Income tax expense (292,852) (244,452) (441,974) Profit after taxation and total comprehensive income for the period 871,522 823,659 1,423,257 Earnings per share-Basic 2 5.34p 6.15p 10.01p Earnings per share-Diluted 2 4.90p 6.15p 9.48p Adjusted EPS (before AIM transaction costs): Adjusted earnings per share - Basic 2 5.34p 6.15p 12.23p Adjusted earnings per share - Diluted 2 4.90p 6.15p 11.58p Unaudited consolidated statement of financial positionfor the six months ended 28 February 2014 Proforma Unaudited Unaudited Audited 28 February 28 February 31 August 2014 2013 2013 GBP GBP GBP ASSETS NON-CURRENT ASSETS Property, plant and equipment 1,141,123 534,686 1,012,109 CURRENT ASSETS Inventories 1,831,655 1,423,450 1,486,390 Trade receivables 1,933,902 1,000,614 1,132,625 Other receivables, deposits and prepayments 407,351 289,543 266,950 Amount owing by contract customers 1,884,811 1,616,979 1,736,598 Cash and cash equivalents 4,550,221 3,044,632 5,990,176 10,607,940 7,375,218 10,612,739 TOTAL ASSETS 11,749,063 7,909,904 11,624,848 EQUITY AND LIABILITIES Called up share capital 163,470 134,000 163,070 Share premium account 2,336,528 43,000 2,302,528 Reconstruction reserve (11,284,500) 62,500 (11,284,500) Merger relief reserve 11,390,000 - 11,390,000 Retained earnings 6,537,891 5,132,705 5,650,416 TOTAL EQUITY ATTRIBUTABLE TO OWNERS OF THE COMPANY AND TOTAL EQUITY 9,143,389 5,372,205 8,221,514 NON-CURRENT LIABILITIES Deferred tax liabilities 117,048 36,219 41,923 CURRENT LIABILITIES Trade and other payables 2,251,536 1,759,375 3,163,093 Derivative financial instrument - 32,736 - Provision for taxation 237,090 709,369 198,318 2,488,626 2,501,480 3,361,411 TOTAL LIABILITIES 2,605,674 2,537,699 3,403,334 TOTAL EQUITY AND LIABILITIES 11,749,063 7,909,904 11,624,848 Unaudited statement of changes in equityfor the six months ended 28 February 2014 Share Share Merger Reconstruction Retained Total Capital Premium relief reserve profits equity reserve GBP GBP GBP GBP GBP GBP At 31 August 2013 163,070 2,302,528 11,390,000 (11,284,500) 5,650,416 8,221,514 Share based payment reserve - - - - 15,953 15,953 Profit after taxation and Total comprehensive Income for the financial year - - - - 871,522 871,522 Issue of shares, net of share issue costs 400 34,000 - - - 34,400 At 28 February 2014 163,470 2,336,528 11,390,000 (11,284,500) 6,537,891 9,143,389 At 31 August 2012 134,000 43,000 - 62,500 4,443,046 4,682,546 Profit after taxation and Total comprehensive Income for the financial year - - - - 823,659 823,659 Dividends paid prior to group reconstruction - - - - (134,000) (134,000) At 28 February 2013 134,000 43,000 - 62,500 5,132,705 5,372,205 At 31 August 2012 134,000 43,000 - 62,500 4,443,046 4,682,546 Group reconstruction - (43,000) 11,390,000 (11,347,000) - - Share based payment reserve - - - - 18,613 18,613 Profit after taxation and Total comprehensive Income for the financial year - - - - 1,423,257 1,423,257 Dividends paid prior to group reconstruction - - - - (234,500) (234,500) Issue of shares, net of share issue costs 29,070 2,302,528 - - - 2,331,598 At 31 August 2013 163,070 2,302,528 11,390,000 (11,284,500) 5,650,416 8,221,514 Unaudited cash flow statementfor the six months ended 28 February 2014 Proforma Unaudited Unaudited Audited 6 months 6 months Year Ended Ended Ended 28 February 28 February 31 August 2014 2013 2013 GBP GBP GBP Cash flow from operating activities Profit before taxation 1,164,374 1,068,111 1,865,231 Adjustments for:- Depreciation of property, plant and equipment 57,234 44,142 92,127 Loss on sale of property, plant and equipment - 2,846 2,753 Finance income and costs - 77,557 44,821 Interest income (16,362) (6,088) (17,123) Share based payment 15,953 - 18,613 Operating cash flows, before working capital changes 1,221,199 1,186,568 2,006,422 Decrease/(increase) in inventories (345,265) 51,655 (11,285) (Increase) in trade and other receivables (1,089,891) (382,473) (611,510) (Decrease)/increase in other payables (911,557) (11,846) 1,391,872 Cash flow (used in) / from operations (1,125,514) 843,904 2,775,499 Interest received 16,362 6,088 17,123 Income tax paid (178,955) - (702,869) Net cash flow (used in) / from operating activities (1,288,107) 849,992 2,089,753 Cash flow used in investing activities Purchase of property, plant and equipment (186,248) (152,836) (678,461) Sale of property, plant and equipment - - 310 Net cash flow used in investing activities (186,248) (152,836) (678,151) Cash flow used in financing activities Dividends paid - (134,000) (234,500) Proceeds from issue of share capital, net of share issue costs 34,400 - 2,331,598 Net cash flow from/(used in) financing activities 34,400 (134,000) 2,097,098 Net (decrease) / increase in cash and cash equivalents (1,439,955) 563,156 3,508,700 Cash and cash equivalents at beginning of period 5,990,176 2,481,476 2,481,476 Cash and cash equivalents at end of period 4,550,221 3,044,632 5,990,176 Notes to the unaudited interim reportfor the six months ended 28 February 2014 1. Basis of preparation The Company is a public limited company limited by shares and incorporated under the UK Companies Act. The Company is domiciled in the United Kingdom and the registered office and principal place of business is Holt Road, Bradford upon Avon, Wiltshire, BA15 1AJ.The principal activity is the specialised area of design and manufacture of test equipment for vehicle suspension, steering, noise and vibration. The company also offers a range of services which include analysis, design, prototype manufacture, testing and development.The interim financial information has been prepared in accordance on the basis of the accounting policies set out in the annual report and accounts for the year ended 31 August 2013, which have been prepared in accordance with International Financial Reporting Standards as adopted for use by the European Union. The interim accounts are unaudited and do not constitute statutory accounts as defined in Section 434 of the Companies Act 2006.The same accounting policies, presentation and methods of computation have been followed in this unaudited interim financial information as those which were applied in the preparation of the Group's annual statements for the year ended 31 August 2013, upon which the auditors issued an unqualified opinion, and which have been delivered to the registrar of companies.The interim financial information has been drawn up using accounting policies and presentation expected to be adopted in the Group's full financial statements for the year ended 31 August 2014. Any new standards that will be adopted in full for the first time in the year-end financial statements did not have a material impact on this interim financial information.The interim financial information for the six months ended 28 February 2014 was approved by the Board on 25(th) April 2014.The Directors are declaring an interim dividend of 1.0p per ordinary share. The ex-dividend date is 7 May 2014, the record date is 9 May and the payment date 23rd May 2014. 2. Earnings per share The calculation of earnings per share is based on the following earnings and number of shares: Proforma Unaudited Unaudited Audited 6 months 6 months Year ended ended ended 31 August 28 February 28 February 2013 2014 2014 GBP GBP GBP Profit after tax attributable to owners of the company 871,522 823,659 1,423,257 Weighted average number of shares Basic 16,322,446 13,400,000 14,212,360 Diluted 17,772,645 13,400,000 15,010,940 Earnings per share Basic 5.34 pence 6.15 pence 10.01 pence Diluted 4.90 pence 6.15 pence 9.48 pence Profit for the period attributable to owners of the company 871,522 823,659 1,423,257 AIM transaction costs - - 315,305 Profit for the period attributable to owners of the company before AIM transaction costs 871,522 823,659 1,738,562 Adjusted earnings per share before AIM transaction costs Basic 5.34 pence 6.15 pence 12.23 pence Diluted 4.90 pence 6.15 pence 11.58 pence 3. Analysis of revenue by geographical area and major customers Material revenues attributable to individual foreign countries are as follows: Proforma Unaudited Unaudited Audited 6 months 6 months Year ended ended ended February February August 2014 2013 2013 GBP GBP GBP United Kingdom 1,030,456 1,137,804 2,206,917 Rest of the European Union 2,109,872 1,575,020 3,364,214 North America 555,268 672,630 973,702 Rest of the World 2,998,864 2,488,429 5,626,640 ------------ ------------ ------------ 6,694,460 5,873,883 12,171,473 ------------ ------------ ------------ Revenues derived from major customers, which individually represent 10% or more of total Company revenue are as follows: Proforma Unaudited Unaudited Audited 6 months 6 months Year ended ended ended February February August 2014 2013 2013 GBP GBP GBP Customer A 36,705 1,052,035 1,743,998 Customer B 930,522 15,598 111,475 Other customers 5,727,233 4,806,250 10,316,000 ------------ ----------- ----------- 6,694,460 5,873,883 12,171,473 ------------ ----------- ----------- There were no material non current assets located outside the United Kingdom.Revenues are derived from the following: Revenue from sale of goods 4,525,466 3,934,769 7,346,430 Revenue from construction contracts 2,168,994 1,939,114 4,825,043 ---------- ---------- ----------- 6,694,460 5,873,883 12,171,473 ---------- ---------- ----------- 4. Share Capital On 20(th) December 2013 the Company announced that Cairn Financial Advisers LLP had exercised warrants to subscribe for 40,000 new ordinary shares of 1p each at a price of 86 pence per share. These warrants were granted to Cairn at the time of the Company's admission to AIM in May 2013. Following the issue of the new ordinary shares the company's enlarged issued share capital now comprises 16,346,976 shares. 5. Comparative Information The following figures have been reclassified to conform with the presentation of the current financial year:Condensed Consolidated Statement of Comprehensive Income (Extract): Admission Document Restated Proforma Proforma Unaudited Unaudited 6 months 6 months ended ended 28 February 28 February 2013 2013 Revenue 5,873,883 5,873,883 Cost of sales (4,147,700) (4,313,795) Gross profit 1,726,183 1,560,088 Administrative expenses (586,603) (420,508) Operating profit before AIM transaction costs 1,139,580 1,139,580 The Cost of Sales and Administrative expenses as shown in the company's Admission Document have been restated to reflect the reallocation of bonus and Commercial Manager costs.There is no overall impact to the total Operating Profit before AIM transaction costs.This information is provided by RNSThe company news service from the London Stock ExchangeENDIR IAMFTMBTTBJI

[wylecoyote] 28/4/2014 07:03

Where is the report?

[nickg2] 27/4/2014 22:18

Results due tomorrow"Trading is in line with market expectations and the Group has seen an excellent performance in its "Track Testing Systems" offering, which has benefitted from the recent investments made in staff and product development. We have also seen significant revenue growth from existing clients as well as a number of new client wins. Overseas growth has continued and the Group has located an engineer in Japan to support its customers in the region.As highlighted at the time of our final results in November, we hope to recommend the payment of a dividend in the year ending 31 August 2014."

[wylecoyote] 24/4/2014 13:01

Due week starting from Monday.

[nickg2] 24/4/2014 06:47

Results due on Monday... Solid company, significant revenue growth etc etc...

[nickg2] 14/4/2014 08:29

AB Dynamics plc (AIM:ABDP), a designer, manufacturer and supplier of advanced testing systems and measurement products to the global automotive industry, will be announcing its Half Year Results for the six month period to 28 February 2014 on Monday, 28(th) April 2014.

[rafieh] 24/3/2014 08:04

Has got the potential to double up in 18-24 months.

[nickg2] 24/3/2014 07:55

Couldn't agree more...

[grahamhacker] 24/3/2014 07:26

Another good quality order - this is a solid reliable British engineering company, good investment in any investor's port folio!

[ryandj2222] 19/2/2014 10:50

Bought back in this morning

[ukinvestor220] 19/2/2014 08:08

pleasant update, seeing growth, rec divi

[ukinvestor220] 10/2/2014 14:11

LOL - good luck with that !!

[drewz] 10/2/2014 11:47

Best wait for market sell-off (which is now imminent) and buy this around IPO price.

The merde is about to hit the fan in US as economy turns back down and debt soars still higher, dollar sinks. Plenty of informed analysis and evidence for those prepared to dig for it. All imho, etc.

[ukinvestor220] 10/2/2014 11:37

Looks a buy here on technicals

[pjhutchy] 23/1/2014 22:39

The is Chart looking a bit ugly. Maybe it will eventually find support.

[modform] 23/1/2014 19:51

Thanks Ricardo for your advice. There doesn't seem to be that much value in the market where ever you look.

[rivaldo] 23/1/2014 14:21

Modform, the forecasts are for 10.51p EPS for 2014 and 11.26p EPS for 2015.

This gives P/E's of 15.1 this year and 14.1 going forward, which given 12.23p EPS last year (with only a little dilution since) still strikes me as too high considering the lack of EPS growth.

It may be that ABDP will announce some new contracts, or that the market is prepared to pay a premium for the expansion going on. But for me the price would have to drop back again to say 120p-130p to give sufficient upside and protection on the downside.

[modform] 21/1/2014 21:58

Is it a good time to buy this share, looks like a good company with reasonable pe ratio. Cheers

[cnx] 10/11/2013 20:21

my sympathies to all who sold early.....................but spare a small pity for me..................I bought 2 weeks ago....................only to discover I put them in my wife's isa instead of my own!

[jamielein] 08/11/2013 10:25

Charles Stanley are their house broker so I'd imagine that they have a pretty good idea about what management expect for the next couple of years.

They may turn out to be wrong, but I've been looking for an excuse to sell something in my portfolio to realise some cash for other opportunities that may arise.

Regards,
Jamie

[wylecoyote] 08/11/2013 10:14

incredible how ppl are ignoring it's performance and deciding to sell on the basis of a broker forecast. They don't know any more than me or you.

[jamielein] 08/11/2013 10:01

Thanks for the update rivaldo. I had based my top-up on the strong growth continuing, but now that I've seen Charles Stanley's forecasts, I've also sold out completely.