Half Yearly Report

 

TIDMCDY 
 
RNS Number : 0297G 
Cassidy Brothers PLC 
25 January 2010 
 
CASSIDY BROTHERS plc (the "Company") 
Interim Results to 31 October 2009 
 
 
Chairman's Statement 
 
 
The Company has produced strong results for the six months to 31 October 2009. A 
46% increase in turnover to GBP3.03 million (2008: GBP2.08 million), has 
generated an interim profit before taxation of GBP334,928 (2008: GBP274,239). 
 
 
The result has been achieved by a general increase in UK sales across the range, 
and the purchase of the toy Kenwood food mixer by De Longhi Appliances SRL as a 
European promotional sales incentive. 
Worldwide FOB sales in Japan and the 
USA continue to provide a valuable contribution to the Company's performance. 
 
The Company maintains a strong balance sheet with net assets of GBP3,716,240 
(2008: GBP3,571,675), 
representing a net asset value of 67.3 pence per share 
(2008: 64.7 pence per share). As at 31 October 2009 the Company had a cash 
balance of GBP508,186. 
 
 
Current Trading 
The UK toy market has seen some significant sales increases from the independent 
regional stores, cash and carry's, and smaller retailers, supplied very often by 
wholesalers. The sales from our wholesale group customers have seen an increase 
of over 50%. This has been attributed to the traditional Woolworth customers 
looking for alternative toy outlets, offering a branded range. Brands are also 
essential for the online retailer, as they project an image of reliability to 
the wary consumer, important to fledgling businesses. 
 
 
Our first venture into TV advertising just two products has not been a success, 
and the extra turnover generated has added little to the bottom line. We have 
learnt from it however, and with the small comfort of the adage that a painful 
lesson is the one not forgotten 
 
 
Future Prospects 
In my statement of twelve months ago our growth was in overseas FOB sales, and 
we struggled to maintain our UK sales figures due to the retail malaise. This 
has, thankfully, changed for the better, for although November and December are 
not included in these results, I am looking forward to writing my statement in 
six months hence. 
 
 
The London Toy Fair has now moved from Excel at Canary Wharf, back to the firm 
favourite of Olympia. Domestic trade fairs are suffering worldwide from lack of 
trade buyer's support, and as a consequence the suppliers are looking for 
cheaper venues, smaller cheaper exhibition stands, and cheaper accommodation for 
staff. 
 
 
We have also decided to exhibit once again at the NEC Spring Fair, and hopefully 
contact a new breed of buyer, after a gap of eight years. We will be showing at 
a total of five trade fairs over a five week period, the last being New York in 
mid February. 
 
 
Whilst on the subject of the USA we are pleased to report that negotiations are 
underway to obtain the US licence for the toy George Foreman grill, a very 
welcome addition to the Company's range of world licences. 
 
 
The Company has also opened a Hong Kong office and showroom, in response to 
numerous requests from overseas FOB customers eager to view our range. We have 
not been able to justify this expense in previous years, but agreement has been 
reached with two other UK vendors whose products do not clash with Casdon, and 
we are to share an office and showroom premises between us. 
 
 
Interim Dividend 
In spite of challenging trading conditions the Company has benefited from some 
resilient growth in both the UK and world markets, which we expect to be 
sustainable throughout 2010. The Board has therefore announced an interim 
dividend of 2.0 pence per share (2008: Interim Dividend 1.0 pence per share) to 
be paid on 9 April 2010 to shareholders on the register on 5 March 2010. 
 
 
The Directors would like to wish all shareholders a prosperous new year for 
2010, and to thank you all for your support. 
 
 
 
 
Paul M. Cassidy 
Chairman 
25 January 2010 
 
 
 
 
 
 
 
 
 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|      Profit & Loss Account       |  Six months |  |  Six months |  |        Year | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |       ended |  |       ended |  |       ended | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |  31 October |  |  31 October |  |    30 April | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |        2009 |  |        2008 |  |        2009 | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  | (unaudited) |  | (unaudited) |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |         GBP |  |         GBP |  |         GBP | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
| Turnover                         |  3,033,375  |  |  2,075,962  |  |  3,896,854  | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
| Cost of Sales                    | (2,055,203) |  | (1,211,017) |  | (2,405,785) | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
| Gross Profit                     |    978,172  |  |    864,945  |  |  1,491,069  | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
| Warehouse and Distribution Costs |   (492,664) |  |   (446,500) |  |   (968,333) | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
| Administrative Expenses          |   (224,608) |  |   (209,022) |  |   (336,080) | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
| Other Operating Income           |     80,258  |  |     66,309  |  |    146,718  | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
| Operating profit                 |    341,158  |  |    275,732  |  |     333,374 | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
| Net interest payable             |     (6,230) |  |     (1,493) |  |     (8,967) | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
| Profit on ordinary               |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
| activities before taxation       |    334,928  |  |    274,239  |  |     324,407 | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
| Taxation                         |  (73,391)   |  |  (57,590)   |  |  (59,000)   | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
| Profit attributable              |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
| to shareholders                  |    261,537  |  |    216,649  |  |     265,407 | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
| Dividends                        |  (110,487)  |  |   (82,865)  |  |  (138,108)  | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
| Retained profit                  |    151,050  |  |    133,784  |  |     127,299 | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
| Earnings per share               |       4.73p |  |       3.92p |  |       4.80p | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
| Summarised Balance Sheets        |       As at |  |       As at |  |       As at | 
|                                  |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |  31 October |  |  31 October |  |    30 April | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |        2009 |  |        2008 |  |        2009 | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  | (unaudited) |  | (unaudited) |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |         GBP |  |         GBP |  |         GBP | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
| Fixed assets                     |  2,244,243  |  |  2,114,481  |  |  2,208,865  | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
| Stock                            |    681,440  |  |    541,442  |  |    853,358  | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
| Debtors                          |  1,869,508  |  |  1,640,966  |  |    510,154  | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
| Cash                             |    508,186  |  |    440,794  |  |    542,648  | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
| Current assets                   |  3,059,134  |  |  2,623,202  |  |  1,906,160  | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
| Creditors: amounts falling due   |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|   within one year                | (1,547,191) |  | (1,122,930) |  |   (506,357) | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
| Net current assets               |  1,511,943  |  | 1,500,272   |  |  1,399,803  | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
| Total assets less current        |  3,756,186  |  |  3,614,753  |  |  3,608,668  | 
| liabilities                      |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
| Deferred liabilities and         |    (39,946) |  |    (43,078) |  |    (43,478) | 
| provisions                       |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
| Net assets employed              |  3,716,240  |  |  3,571,675  |  |  3,565,190  | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
| Share capital                    |    552,435  |  |    552,435  |  |    552,435  | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
| Reserves                         |  3,163,805  |  |  3,019,240  |  |  3,012,755  | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
| Shareholders' funds              |  3,716,240  |  |  3,571,675  |  |  3,565,190  | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
| NAV per share                    |       67.3p |  |       64.7p |  |       64.5p | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
|                                  |             |  |             |  |             | 
+----------------------------------+-------------+--+-------------+--+-------------+ 
 
 
 
 
 
 
 
 
 
+----------------------------------+--------+------+----+----+--------+------+----+----+-------+-------+----+ 
| Cash Flow Statement              |           Six |         |           Six |         |          Year | 
|                                  |        Months |         |        Months |         |               | 
+----------------------------------+---------------+---------+---------------+---------+---------------+ 
|                                  |         Ended |         |         Ended |         |         Ended | 
+----------------------------------+---------------+---------+---------------+---------+---------------+ 
|                                  |            31 |         |            31 |         |            30 | 
|                                  |       October |         |       October |         |         April | 
+----------------------------------+---------------+---------+---------------+---------+---------------+ 
|                                  |          2009 |         |          2008 |         |          2009 | 
+----------------------------------+---------------+---------+---------------+---------+---------------+ 
|                                  |           GBP |         |           GBP |         |           GBP | 
+----------------------------------+---------------+---------+---------------+---------+---------------+ 
|                                  |               |         |               |         |               | 
+----------------------------------+---------------+---------+---------------+---------+---------------+ 
|                                  |               |         |               |         |               | 
+----------------------------------+---------------+---------+---------------+---------+---------------+ 
| Operating Profit                 |      341,158  |         |      275,732  |         |       333,374 | 
+----------------------------------+---------------+---------+---------------+---------+---------------+ 
|                                  |               |         |               |         |               | 
+----------------------------------+---------------+---------+---------------+---------+---------------+ 
| Depreciation charges             |       71,110  |         |       58,650  |         |      114,974  | 
+----------------------------------+---------------+---------+---------------+---------+---------------+ 
| Profits on sale of tangible      |         2,025 |         |               |         |               | 
| fixed assets                     |               |         |               |         |               | 
+----------------------------------+---------------+---------+---------------+---------+---------------+ 
| Decrease / (Increase) in Stock   |      171,918  |         |    (161,492)  |         |    (473,408)  | 
+----------------------------------+---------------+---------+---------------+---------+---------------+ 
| (Increase) in Debtors            |   (1,359,354) |         |   (1,360,969) |         |     (230,157) | 
+----------------------------------+---------------+---------+---------------+---------+---------------+ 
| Increase in Creditors            |      282,344  |         |      379,727  |         |        77,608 | 
+----------------------------------+---------------+---------+---------------+---------+---------------+ 
|                                  |               |         |               |         |               | 
+----------------------------------+---------------+---------+---------------+---------+---------------+ 
|                                  |     (490,799) |         |     (808,352) |         |    (177,609)  | 
+----------------------------------+---------------+---------+---------------+---------+---------------+ 
|                                  |               |         |               |         |               | 
+----------------------------------+---------------+---------+---------------+---------+---------------+ 
| Net Interest paid                |       (6,230) |         |       (1,493) |         |       (8,967) | 
+----------------------------------+---------------+---------+---------------+---------+---------------+ 
| Taxation                         |               |         |               |         |      (14,406) | 
+----------------------------------+---------------+---------+---------------+---------+---------------+ 
| Capital Expenditure              |     (108,513) |         |      (41,347) |         |     (175,255) | 
+----------------------------------+---------------+---------+---------------+---------+---------------+ 
| Equity Dividends paid            |     (110,487) |         |      (82,865) |         |     (138,108) | 
+----------------------------------+---------------+---------+---------------+---------+---------------+ 
| Unsecured loan and Finance lease |       (3,532) |         |       13,830  |         |      (6,253)  | 
+----------------------------------+---------------+---------+---------------+---------+---------------+ 
|                                           |           |             |           |            |            | 
+-------------------------------------------+-----------+-------------+-----------+------------+------------+ 
| Decrease in Cash Flow                     | (719,561) |             | (920,227) |            | (520,598)  | 
+-------------------------------------------+-----------+-------------+-----------+------------+------------+ 
|                                           |           |             |           |            |            | 
+----------------------------------+--------+------+----+----+--------+------+----+----+-------+-------+----+ 
 
 
 
 
 
 
Notes 
1. The results for the half year ended 31 October 2009, which have been prepared 
in accordance with the accounting policies adopted in the financial statements 
for the year ended 30 April 2009, have not been audited or reviewed by the 
Company's Auditors and do not constitute statutory accounts as defined in s434 
of the Companies Act 2006. 
 
 
The financial information for the year ended 30 April 2009 is an abridged 
version of the full accounts for that year, which have received an unqualified 
audit report and have been filed with the Registrar of Companies. 
 
 
2. Taxation for the six months ended 31 October 2009 has been based on the 
estimated effective tax rate for the full year. 
 
 
3. The calculation of Earnings per share is based upon the profit after taxation 
for the period divided by the number of ordinary shares in issue during the 
period. The number of shares in issue was 5,524,350 ordinary shares. 
 
 
4. The calculation of Net Asset Value per share is based upon shareholders funds 
divided by the number of ordinary shares in issue at the balance sheet date. The 
number of shares in issue was 5,524,350 ordinary shares. 
 
 
5. Deferred liabilities and provisions relate to provisions for deferred 
taxation and motor vehicle hire purchase. 
 
 
6. This interim report will be sent to shareholders in due course. Further 
copies will be available to the public from the Company's registered office, 
Cornford Road, Off Clifton Road, Marton, Blackpool, FY4 4QQ and on the Company's 
website www.casdon.com. 
 
 
 
 
 
 
 
 
 
This information is provided by RNS 
            The company news service from the London Stock Exchange 
   END 
 
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