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 : 9882G
Airea PLC
30 July 2021
AIREA PLC
(the "Group")
Interim report for t he six months ended 30 June 2021
The principal activity of the group is the design, manufacture, marketing and distribution of floor coverings.
Chairman's Statement
The group's performance in the six months ended 30th June 2021 has continued to be impacted by the COVID-19 pandemic and the related lockdown restrictions which continue to suppress activity in our key markets. Our export business has been most severely impacted by lockdown restrictions in target markets and the additional costs of administration and freight following the post Brexit transition period. Availability of labour and raw materials have been a major challenge with unprecedented increases in raw material prices. H1 delivered improved sales and operating profit versus the prior year as demand in the market continued to recover albeit at a slower pace than expected.
Throughout H1 the group has remained open for business and continues to support customers whilst also looking to prioritise the well-being of employees. The board recognises and values the tremendous efforts of our employees throughout the period.
With reference to COVID-19 support packages deferred VAT repayments have commenced, our loan balance repayments have recommenced and the level of furlough support has reduced significantly in the first half.
As at 30th June 2021 our cash reserves were GBP6.2m (2020: GBP6.5m), excluding the CBILS loans our cash position was
GBP3.5m (2020: GBP3.7m), with further liquidity available of GBP1.0m via our unutilised overdraft facility (2020: GBP1.0m unutilised). Our cash reserves and strong balance sheet enable us to manage the impact of the pandemic and related risks.
Group Results
Revenue for the period was GBP0.3m above the prior year, GBP7.4m (2020: GBP7.1m). In the UK our sales were 18.5% ahead of the prior six month comparative period as home sales began to recover. Export sales were down 35.5% compared to the comparative period, largely due to the effect of COVID-19 on all our target export markets and the significant disruption caused by differing interpretations of import regulations post Brexit.
The operating profit was GBP574,000 (2020: GBP137,000). Excluding inventory absorption impacts, underlying product margins are broadly in line with prior year, however product margins are facing significant pressure due to significant raw material inflation and our ability to pass on these price increases. After charging pension, lease and loan related finance costs of GBP114,000 (2020: GBP193,000) and incorporating the appropriate tax charge the net profit for the period was GBP440,000 (2020: GBP43,000 loss). Basic earnings per share were 1.14p (2020:loss 0.11p).
Operating cash flows before movements in working capital were GBP0.5m (2020: GBP0.5m). Working capital increased in the period by GBP0.1m (2020: GBP1.0m decrease). Contributions to the defined benefit pension scheme were GBP0.2m (2020: GBP0.2m) in line with the agreement reached with the scheme trustees following the last triennial valuation as at 1st July 2017. Capital expenditure of GBP1.2m (2020: GBP0.2m) was spent renewing and enhancing manufacturing plant and equipment, with major spend on new equipment to continue to support our new exciting product development programme.
Outlook
The UK sales recovery is expected to continue with a strong order book, however the impact of lifting lockdown restrictions is unknown and so forecasting sales performance in the second half is particularly difficult. Market activity in our European Markets is expected to improve but relatively slowly. Difficulties exporting to Europe are now well documented, with significant increases in cost and additional complexity in exporting to Europe Post-Brexit.
Of greatest concern is the level of raw material price inflation and supply chain tensions putting a strain on the availability of materials and the costs of obtaining them, the increases experienced to date are relentless and unprecedented. Key to our success will be our ability to pass on these price increases and a halt or reversal of current pricing trends.
We have however continued to invest in development of our product range with investment in new equipment and the launches of new products ongoing throughout 2021 based upon our confidence in the future prospects of the business and our secure financial position.
Given the financial performance of the group and the continued levels of uncertainty in the market and wider economy the group will continue to prioritise cash to ensure medium to long-term stability and therefore will not be proposing an interim dividend (2020: nil).
MARTIN TOOGOOD
Chairman 30th July 2021
Consolidated Income Statement 6 months ended 30th June 2021 Unaudited 6 Unaudited Audited months ended 6 months 12 months 30th June ended ended 31st 2021 30th June December 2020 2020 GBP000 GBP000 GBP000 -------------------------------------------- --------------------------- --------------- --------------------- Revenue 7,431 7,100 14,554 Operating costs (6,997) (7,103) (14,090) Other operating income 140 140 280 -------------------------------------------- --------------------------- --------------- --------------------- Operating profit before valuation gain 574 137 744 Unrealised valuation gain - - 125 -------------------------------------------- --------------------------- --------------- --------------------- Operating profit 574 137 869 Finance income 4 2 7 Finance costs (114) (193) (376) -------------------------------------------- --------------------------- --------------- --------------------- Profit/(loss) before taxation 464 (54) 500 Taxation (24) 11 (109) -------------------------------------------- --------------------------- --------------- --------------------- Profit/(loss) attributable to shareholders of the group 440 (43) 391 -------------------------------------------- --------------------------- --------------- --------------------- Earnings per share (basic and diluted) for the group 1.14p 0.11p 1.00p Consolidated Statement of Comprehensive Income
6 months ended 30th June 2021
Unaudited Unaudited Audited 6 months 6 months 12 months ended 30th ended ended June 30th June 31st December --------------------------------------------- 2021 2020 2020 --------------------------------------------- GBP000 GBP000 GBP000 --------------------------------------------- -------------------- -------------- --------------------- Profit/(loss) attributable to shareholders of the group 440 (43) 391 Items that will not be reclassified to profit or loss Actuarial gain/(loss) recognised in the pension scheme 3,997 (3,448) (389) Related deferred taxation (797) 655 74 --------------------------------------------- -------------------- -------------- --------------------- 3,200 (2,793) (315) --------------------------------------------- -------------------- -------------- --------------------- Items that will be reclassified subsequently to profit or loss when specific conditions are met Revaluation of property - 12 37 Related deferred taxation - (2) (4) --------------------------------------------- -------------------- -------------- ---------------------
- 10 33 --------------------------------------------- -------------------- -------------- --------------------- Total other comprehensive income/(loss) 3,200 (2,783) (282) --------------------------------------------- -------------------- -------------- --------------------- Total comprehensive income/(loss) attributable to shareholders of the group 3,640 (2,826) 109 --------------------------------------------- -------------------- -------------- --------------------- Consolidated Balance Sheet as at 30th June 2021 Unaudited 30th Unaudited Audited June 30th June 31st December 2021 2020 2020 GBP000 GBP000 GBP000 ------------------------------ ---------------------------------- --------------- ----------------------- Non-current assets Property, plant and equipment 5,279 4,282 4,271 Intangible assets 62 67 54 Investment property 3,725 3,600 3,725 Right-of-use asset 1,011 1,126 1,086 Pension Surplus 2,310 - - Deferred tax asset 733 1,563 920 ------------------------------ ---------------------------------- --------------- ----------------------- 13,120 10,638 10,056 Current assets Inventories 5,877 4,728 5,622 Trade and other receivables 2,093 1,915 1,712 Cash and cash equivalents 6,226 6,451 6,555 ------------------------------ ---------------------------------- --------------- ----------------------- 14,196 13,094 13,889 ------------------------------ ---------------------------------- --------------- ----------------------- Total assets 27,316 23,732 23,945 ------------------------------ ---------------------------------- --------------- ----------------------- Current liabilities Trade and other payables (3,679) (2,482) (2,895) Provisions (138) (320) (465) Lease liabilities (145) (213) (243) Loans and borrowings (1,359) (580) (1,071) ------------------------------ ---------------------------------- --------------- ----------------------- (5,321) (3,595) (4,674) Non-current liabilities Pension deficit - (4,888) (1,789) Deferred tax (1,206) (526) (609) Lease liabilities (174) (297) (188) Loans and borrowings (2,911) (3,317) (2,641) ------------------------------ ---------------------------------- --------------- ----------------------- (4,291) (9,028) (5,227) ------------------------------ ---------------------------------- --------------- ----------------------- Total liabilities (9,612) (12,623) (9,901) ------------------------------ ---------------------------------- --------------- ----------------------- Net assets 17,704 11,109 14,044 ------------------------------ ---------------------------------- --------------- ----------------------- Equity Called up share capital 10,339 10,339 10,339 Share premium account 504 504 504 Own Shares (876) (1,518) (1,197) Share-based payment reserve 161 141 141 Capital redemption reserve 3,617 3,617 3,617 Revaluation reserve 3,014 3,058 3,014 Retained earnings 945 (5,032) (2,374) ------------------------------ ---------------------------------- --------------- ----------------------- Total equity 17,704 11,109 14,044 ------------------------------ ---------------------------------- --------------- ----------------------- Consolidated Cash Flow Statement 6 months ended 30(th) June 2021 Unaudited Unaudited Audited 6 months 6 months 12 months ended 30(th) ended ended 31(st) June 30(th) December 2021 June 2020 2020 GBP000 GBP000 GBP000 --------------------------------------- ------------------------ --------------- ----------------------- Cash flow from operating activities Profit/(loss) for the period 440 (43) 391 Depreciation 123 114 228 Depreciation of right-of-use assets 128 140 270 Amortisation 16 25 38 Movement in Provision (327) - 145 Share-based payment expense 20 56 56 Net Finance costs 110 191 369 Tax charge/(credit) 24 (11) 109 Unrealised valuation gain - - (125) --------------------------------------- ------------------------ --------------- ----------------------- Operating cash flows before movements in working capital 534 472 1,481 (Increase)/decrease in inventory (255) 733 (161) (Increase)/decrease in trade and other receivables (417) 197 456 Increase in trade and other payables 784 70 467 --------------------------------------- ------------------------ --------------- ----------------------- Cash generated from operations 646 1,472 2,243 Contributions to defined benefit pension scheme (200) (200) (400) --------------------------------------- ------------------------ --------------- ----------------------- Net cash generated from operating activities 446 1,272 1,843 --------------------------------------- ------------------------ --------------- ----------------------- Cash flows from investing activities Payments to acquire intangible fixed assets (24) (33) (53) Payments to acquire tangible fixed assets (1,131) (156) (233) (1,155) (189) (286) --------------------------------------- ------------------------ --------------- ----------------------- Cash flows from financing activities Interest paid on lease liabilities (6) (8) (15)
Interest paid on borrowings (11) (18) (33) Interest received 4 2 7 Proceeds from new loans and borrowings 934 2,750 2,750 Principal paid on lease liabilities (166) (177) (344) Repayment of loans and borrowings (375) (138) (324) Net cash generated from financing activities 380 2,411 2,041 --------------------------------------- ------------------------ --------------- ----------------------- Net (decrease)/increase in cash and cash equivalents (329) 3,494 3,598 Cash and cash equivalents at start of the period 6,555 2,957 2,957 --------------------------------------- ------------------------ --------------- ----------------------- Cash and cash equivalents at end of the period 6,226 6,451 6,555 --------------------------------------- ------------------------ --------------- -----------------------
Consolidated Statement of Changes in Equity
6 months ended 30th June 2021
Share Share-based Capital Profit Share premium Own payment redemption Revaluation and Total capital account Shares reserve reserve reserve loss equity account -------------- GBP000 GBP000 GBP000 GBP000 GBP000 GBP000 GBP000 GBP000 -------------- ------------ ------------ ------------- --------------- --------------- ------------- ----------- ------------ At 1st January 2020 10,339 504 (1,839) 85 3,617 3,048 (1,875) 13,879 Comprehensive income for the year Profit for the year - - - - - - 391 391 Actuarial loss recognised on the pension scheme - - - - - - (315) (315) Impairment of property - - - - - - 33 33 -------------- ------------------------------------------------------------------------------------------ ----------- -------------- Total comprehensive income for the year - - - - - - 109 109 Contributions by and distributions to owners Dividend paid - - - - - - - - Share-based payment - - - 56 - - - 56 Own share transfer - - 642 - - - (642) - Revaluation Reverse Transfer - - - - - (34) 34 - ---------------------------- ------------ ------------- --------------- --------------- ------------- ----------- ------------ Total contributions by and distributions to owners - - 642 56 - (34) (608) 56 ---------------------------- ------------ ------------- --------------- --------------- ------------- ----------- ------------ At 31st December 2020 and 1st January 2021 10,339 504 (1,197) 141 3,617 3,014 (2,374) 14,044 ---------------------------- ------------ ------------- --------------- --------------- ------------- ----------- ------------ Comprehensive income for the period Profit for the period - - - - - - 440 440 Actuarial gain recognised on the pension scheme - - - - - - 3,200 3,200 Revaluation of - - - - - - - - property -------------- ------------ ------------ ------------- --------------- --------------- ------------- ----------- ------------ Total comprehensive income for the period - - - - - - 3,640 3,640 Contributions by and distributions to owners Share-based payment - - - 20 - - - 20 Own Shares Transfer - - 321 - - - (321) - ---------------------------- ------------ ------------- --------------- --------------- ------------- ----------- ------------ Total contributions by and distributions to owners - - 321 20 - - (321) 20 ---------------------------- ------------ ------------- --------------- --------------- ------------- ----------- ------------ At 30th June 2021 10,339 504 (876) 161 3,617 3,014 945 17,704 ---------------------------- ------------ ------------- --------------- --------------- ------------- ----------- ------------
Notes to the Financial Statements
1. BASIS OF PREPARATION AND ACCOUNTING POLICIES
The financial information for the six months ended 30th June 2021 and the six months ended 30th June 2020 have not been audited and do not constitute full financial statements within the meaning of Section 434 of the Companies Act 2006.
The financial information relating to the year ended 31st December 2020 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 period ended 31st December 2020. These policies are set out in the annual report and accounts for the period ended 31st December 2020 which is available on the company's website at www.aireaplc.co.uk.
Further copies of this report are available from the Company Secretary at the registered office at Victoria Mills, The Green, Ossett, Wakefield, West Yorkshire WF5 0AN and are also available, along with this announcement, on the company's website at www.aireaplc.co.uk.
Enquiries:
Neil Rylance 01924 266561
Chief Executive Officer
Ryan Thomas 01924 266561
Group Finance Director
Peter Steel 020 7496 3000
Singer Capital Markets
This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy.
END
IR SEMFWUEFSELW
(END) Dow Jones Newswires
July 30, 2021 02:00 ET (06:00 GMT)
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