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 |
---|---|---|---|---|---|
Airea Plc | LSE:AIEA | London | Ordinary Share | GB0008123027 | ORD 25P |
Price Change | % Change | Share Price | Bid Price | Offer Price | High Price | Low Price | Open Price | Shares Traded | Last Trade | |
---|---|---|---|---|---|---|---|---|---|---|
0.00 | 0.00% | 30.50 | 29.00 | 32.00 | 30.50 | 30.50 | 30.50 | 0.00 | 01:00:00 |
Industry Sector | Turnover | Profit | EPS - Basic | PE Ratio | Market Cap |
---|---|---|---|---|---|
Misc Homefurnishings Stores | 21.59M | 769k | 0.0186 | 16.40 | 12.61M |
TIDMAIEA
RNS Number : 5902A
Airea PLC
21 February 2014
AIREA plc
Interim Results for the Six Months Ended 31 December 2013
Review of Operations
Introduction
The six months to December 2013 have been a challenging period for Airea plc as we continue to reshape the business towards our goal of sustainable profitable growth against a backdrop of ongoing hostile market conditions. We stated in the annual report that we could not see any reliable signs of an upturn in market conditions and this continued to be the case throughout the period. Whilst we discerned some marginal improvement in demand for our residential carpet range in the final quarter of the calendar year, this was patchy and volatile. Demand in the contract flooring market remained weak as the non-residential construction sector continued to be subdued. Our revenue reflected this general market picture and was further impacted by timing issues on larger contracts and stocking deals.
Against this back-ground of weak demand, the business has demonstrated financial resilience. Margin improvement, resulting from the work done on product engineering and price management, and a lower cost base kept the business in profit and we have maintained the financial headroom to allow us to operate debt free.
We continue to make good progress in strengthening the product portfolio and a number of important product launches were successfully completed in the first half from which we can expect to see sales in future periods. New wool mix collections extolling the virtues of wool over synthetic materials, emphasising the superior lasting appearance, resilience, cleaning properties and allergy benefits have been welcomed by retailers. Our carpet tile collection has been strengthened in the medium price sector and we have re-launched our best selling product with enhanced design options at a very competitive price point.
Group results
Revenue for the period was GBP11.6m (2012: GBP13.5m). The operating profit was GBP222,000 (2012: GBP359,000). After charging pension related finance costs of GBP200,000 (2012: GBP89,000) and incorporating the appropriate tax charge the net profit for the period was GBP16,000 (2012: GBP176,000). Basic earnings per share were 0.03p (2012: 0.38p).
The change in operating profit resulted from a combination of reduced sales volumes improved margins and a lower cost base. The increase in pension related finance costs arises from the new approach to calculating and presenting the net interest expense on the net defined liability introduced by a revision to the appropriate accounting standard. The notional interest is now calculated as a single net figure, based on the discount rate that is used to measure the defined benefit obligation. As a consequence the long term expected return on the plan assets actually held is no longer used. In common with many other entities, this results in a lower reported net profit. It does not reflect any real deterioration in the underlying pension funding level.
Operating cash flows before movements in working capital were GBP599,000 (2012: GBP929,000). Working capital increased by GBP373,000 (2012: reduction GBP1,355,000) due to timing of payments to suppliers. Contributions to the defined benefit pension scheme were GBP200,000 (2011: GBP217,000) in line with the agreement reached with the scheme trustees following the last triennial valuation as at 1(st) July 2011. Capital expenditure of GBP113,000 (2012: GBP134,000) was focussed on essential replacements and productivity improvements.
Current trading and future prospects
Despite the generally more optimistic tone concerning the wider economy we have not seen this work through into the particular sectors in which we operate. The residential carpet market has yet to see any sustained improvement from an increase in activity in the housing market, and demand remains volatile. On the contract flooring side, the dearth of development activity over the last six years in commercial construction and now the cut backs in public sector investment has led to challenging market conditions with intensified competition for the available business. However, the products we have launched in the first half of our financial year, combined with the work we have been doing in reshaping the salesforce, puts us in a stronger competitive position and we continue to demonstrate our financial resilience. Given the current trading position, and the ongoing need to carefully husband our financial resources, the board has decided not to make a dividend payment at the interim stage.
Enquiries:
Neil Rylance 01924 266561
Chief Executive Officer
Roger Salt 01924 266561
Group Finance Director
Richard Lindley 0113 388 4789
N+1 Singer
Consolidated Income Statement 6 months ended 31st December 2013 Unaudited Unaudited Audited 6 months 6 months year ended ended ended 31st December 31st December 30th June 2013 2012 2013 GBP000 GBP000 GBP000 Revenue 11,555 13,521 25,049 Operating costs (11,333) (13,162) (24,340) Operating profit after exceptional items 222 359 709 Finance income 2 - 2 Finance costs (200) (89) (178) -------------- -------------- ------------ Profit before taxation 24 270 533 Taxation (8) (94) (90) -------------- Profit for the period 16 176 443 ============== ============== ============ Earnings per share (basic and diluted) 0.03p 0.38p 0.96p All amounts relate to continuing operations Consolidated Statement of Comprehensive Income 6 months ended 31st December 2013 Unaudited Unaudited Audited 6 months 6 months year ended ended ended 31st December 31st December 30th June 2013 2012 2013 GBP000 GBP000 GBP000 Profit attributable to shareholders of the group 16 176 443 Actuarial losses recognised in the pension scheme - - 2,350 Related deferred taxation - - (797) Total comprehensive income/(loss) for the period 16 176 1,996 ============== ============== ============ Consolidated Balance Sheet as at 31st December 2013 Unaudited Unaudited Audited 31st December 31st December 30th June 2013 2012 2013 GBP000 GBP000 GBP000 Non-current assets Property, plant and equipment 6,165 6,872 6,428 Deferred tax asset 1,476 2,495 1,476 7,641 9,367 7,904 -------------- -------------- ------------ Current assets Inventories 8,723 7,501 8,874 Trade and other receivables 3,205 3,467 4,331 Cash and cash equivalents 2,406 3,090 2,747 -------------- -------------- ------------ 14,334 14,058 15,952 -------------- -------------- ------------ Total assets 21,975 23,425 23,856 -------------- -------------- ------------ Current liabilities Trade and other payables (3,797) (4,368) (5,440) Non-current liabilities Pension deficit (5,668) (8,129) (5,668) Deferred tax (41) (41) (41) (5,709) (8,170) (5,709) -------------- -------------- ------------ Total liabilities (9,506) (12,538) (11,149) -------------- -------------- ------------ 12,469 10,887 12,707 ============== ============== ============ Equity Called up share capital 11,561 11,561 11,561 Share premium account 504 504 504 Capital redemption reserve 2,395 2,395 2,395 Share option reserve - 16 - Retained earnings (1,991) (3,589) (1,753) 12,469 10,887 12,707 ============== ============== ============ Consolidated Cash Flow Statement 6 months ended 31st December Unaudited Unaudited Audited 2013 6 months 6 months year ended ended ended 31st December 31st December 30th June 2013 2012 2013 GBP000 GBP000 GBP000 Operating activities Profit attributable to shareholders of the group 16 176 443 Tax charged 8 94 90 Finance costs 198 89 176 Depreciation 377 570 1,137 -------------- -------------- ------------ Operating cash flows before movements in working capital 599 929 1,846 (Increase)/decrease in working capital (373) 1,355 416 Contributions to defined benefit pension scheme (200) (217) (415) -------------- -------------- ------------ Cash generated from operations 26 2,067 1,847 -------------- -------------- ------------ Investing activities Purchase of property, plant and equipment (113) (134) (257) -------------- -------------- ------------ Financing activities Equity dividends paid (254) (185) (185) -------------- -------------- ------------ Net (decrease)/increase in cash and cash equivalents (341) 1,748 1,405 Cash and cash equivalents at start of period 2,747 1,342 1,342 Cash and cash equivalents at end of period 2,406 3,090 2,747 ============== ============== ============ Consolidated Statement of Changes in Equity 6 months ended 31st December 2013 Share capital Share premium Capital Share Retained Total account redemption option Earnings equity reserve reserve GBP000 GBP000 GBP000 GBP000 GBP000 GBP000 At 1st July 2012 11,561 504 2,395 16 (3,580) 10,896 Profit attributable to shareholders of the group - - - - 176 176 Dividend paid - - - - (185) (185) -------------- -------------- ------------ --------- ---------- At 1st January 2013 11,561 504 2,395 16 (3,589) 10,887 Profit attributable to shareholders of the group - - - - 267 267 Other comprehensive income for the period - - - - 1,553 1,553 Reserve transfer relating to share based payment - - - (16) 16 - At 1st July 2013 11,561 504 2,395 - (1,753) 12,707 Profit attributable to shareholders of the group - - - - 16 16 Dividend paid - - - - (254) (254) At 31st December 2013 11,561 504 2,395 - (1,991) 12,469 ============== ============== ============ ========= ========== ======== Note BASIS OF PREPARATION AND ACCOUNTING POLICIES The financial information for the six month periods ended 31(st) December 2013 and 31(st) December 2012 has not been audited and does not constitute full financial statements within the meaning of Section 434 of the Companies Act 2006. The financial information relating to the year ended 30th June 2013 does not constitute full financial statements within the meaning of Section 434 of the Companies Act 2006. This information is based on the group's statutory accounts for that period. The statutory accounts were prepared in accordance with International Financial Reporting Standards as adopted by the European Union ("IFRS") and received an unqualified audit report and did not contain statements under Section 498(2) or (3) of the Companies Act 2006. These financial statements have been filed with the Registrar of Companies. These interim financial statements have been prepared using the recognition and measurement principles of International Financial Reporting Standards as adopted by the European Union ("IFRS"). The accounting policies used are the same as those used in preparing the financial statements for the year ended 30th June 2013. These policies are set out in the annual report and accounts for the year ended 30th June 2013. The interim and annual reports are available on the company's website at www.aireaplc.co.uk.
This information is provided by RNS
The company news service from the London Stock Exchange
END
IR MMGZZNGLGDZM
1 Year Airea Chart |
1 Month Airea 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