We could not find any results for:
Make sure your spelling is correct or try broadening your search.
Register for Free to get streaming real-time quotes, interactive charts, live options flow, and more.
| Share Name | Share Symbol | Market | Type | Share ISIN | Share Description |
|---|---|---|---|---|---|
| Nichols Plc | LSE:NICL | London | Ordinary Share | GB0006389398 | ORD 10P |
| Price Change | % Change | Share Price | Bid Price | Offer Price | High Price | Low Price | Open Price | Shares Traded | Last Trade | |
|---|---|---|---|---|---|---|---|---|---|---|
| -4.00 | -0.41% | 974.00 | 966.00 | 990.00 | 974.00 | 974.00 | 974.00 | 6,255 | 09:56:11 |
| Industry Sector | Turnover | Profit | EPS - Basic | PE Ratio | Market Cap |
|---|---|---|---|---|---|
| Btld & Can Soft Drinks,water | 170.74M | 18.36M | 0.5034 | 19.35 | 355.3M |
TIDMNICL
RNS Number : 7355F
Nichols PLC
17 July 2019
Hot Features
Premium
Date: Embargoed until 0700 Wednesday 17 July 2019
Contacts: Marnie Millard, Group Chief Executive Officer
Tim Croston, Group Chief Financial Officer
Andrew Milne, Group Chief Operating Officer
Nichols plc
Telephone: 01925 222 222
Website: www.nicholsplc.co.uk
Alex Brennan/ Hattie
Dreyfus
Hudson Sandler Richard Lindley/ Rachel Hayes
Telephone: 020 7796 N+1 Singer (Nominated Adviser
4133 and Broker)
Email: nichols@ hudsonsandler.com Telephone: 0207 496 3000
Website: www.n1singer.com
Nichols plc
2019 INTERIM RESULT & BOARD CHANGES
Nichols plc ('Nichols' or the 'Group'), the soft drinks Group, announces its Interim results for the half year ended 30 June 2019 (the 'period').
Financial Highlights:
*EBITDA is the statutory Half Year Half Year % movement
profit before tax, interest, ended ended
depreciation and amortisation 30 June 2019 30 June 2018
GBPm GBPm
-------------- -------------- -----------
Group Revenue 71.6 65.0 10.2%
-------------- -------------- -----------
Operating Profit 13.3 13.1 2.1%
-------------- -------------- -----------
Operating Profit margin 18.6% 20.1%
-------------- -------------- -----------
Profit Before Tax (PBT) 13.3 13.1 2.0%
-------------- -------------- -----------
PBT Margin 18.6% 20.1%
-------------- -------------- -----------
EBITDA* 15.3 14.0 9.7%
-------------- -------------- -----------
Earnings per share (basic) 29.63p 28.81p 2.8%
-------------- -------------- -----------
Interim dividend 12.4p 11.3p 9.7%
-------------- -------------- -----------
John Nichols, Non-Executive Chairman, said:
"Nichols plc has delivered another good trading performance in the first half of 2019, with growth across both the UK and international markets. As a result, revenue, profit before tax and earnings per share have all increased during the period, and we have increased the interim dividend by 9.7%."
Chairman's Statement
I am pleased to announce that the Group has delivered a good trading performance for the first six months of 2019. The Group's revenue, profit before tax and earnings per share have all increased during the period, and we have increased the interim dividend by 9.7%.
Trading
Total Group revenue in the period increased by 10.2% to GBP71.6m against the prior year (H1 2018: GBP65.0m). Across the Group, revenue from Still products has increased by 11.6% to GBP33.9m driven by Vimto dilute in the UK and Vimto concentrate sales to the Middle East. Sales of Carbonate products grew by 8.4% to GBP37.7m as a result of the Africa performance and Out of Home (OoH) growth.
Sales were strong in our international markets, albeit against softer prior year comparatives. International revenues totalled GBP14.5m in the period (H1 2018: GBP11.2m), with sales to the Middle East in line with expectations at GBP4.6m (H1 2018: GBP2.1m). Elsewhere in our international markets, sales to Africa grew by 12.6% to GBP7.6m, driven by strong execution in our core markets.
In the UK, revenue increased by 6.2% to GBP57.1m (H1 2018: GBP53.8m) as sales of Vimto grew by 4.0%, against very strong prior year comparatives (H1 2018: +9.0%). Year to date growth in the total soft drinks market was 4.1% (Nielsen to 15 June 2018) reducing from 5.7% in May (Nielsen to 18 May 2019) as the industry laps last year's record summer weather. Elsewhere in the UK business, OoH sales increased by 11.8% to GBP21.5m (H1 2018: GBP19.2m).
Profit
Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) increased by 9.7% to GBP15.3m (H1 2018: GBP14.0m).
To support the trading growth, the Group has invested in its infrastructure during the period. In addition, administrative expenses include the retranslation cost of US Dollar and Euro currency balances reflecting adverse forex movements.
Profit Before Tax at the half year was GBP13.3m, 2.0% ahead of the prior period.
Dividend
Reflecting the Board's ongoing confidence in the Group's financial position, we are pleased to recommend an interim dividend of 12.4 pence per share (H1 2018: 11.3 pence).
The interim dividend will be paid on 30 August 2019 to shareholders registered on 26 July 2019; the ex-dividend date is 25 July 2019.
The Board intends to deliver continued returns to shareholders through a progressive dividend policy, with increases aligned to growth in earnings per share with the alignment being fully implemented by 2021.
Board changes
After 14 years with the Group and 10 years as Group Chief Financial Officer, Tim Croston has informed the Board of his intention to step down from the Board by 30 June 2020. The notice that Tim has given the Board affords sufficient time to ensure a smooth transition to his successor, with the recruitment process commencing immediately.
Separately, we are delighted to announce that Andrew Milne who has served on the Board since January 2016 as Group Commercial Director has been promoted to the role of Group Chief Operating Officer with immediate effect.
On behalf of the Board I would like to thank Tim for his significant contribution to the Group during the last 14 years and wish Andrew every success in his new role.
Summary and outlook
The Board is pleased with the Group's performance in the first six months of 2019 in both our UK and international markets.
While UK trading conditions are expected to remain challenging, as a result of the Group's diversified business model and sales momentum, the Board is confident that full year earnings will be delivered in line with its expectations.
John Nichols
Non-Executive Chairman
16 July 2019
This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014.
Notes to Editors:
Nichols plc is an international soft drinks business with sales in over 85 countries, selling products in both the Still and Carbonate categories. The Group is home to the iconic Vimto brand which is popular in the UK and around the world, particularly in the Middle East and Africa. Other brands in its portfolio include Feel Good, Starslush, ICEE, Levi Roots and Sunkist.
CONSOLIDATED INCOME STATEMENT
Unaudited Unaudited Audited
Half year Half year Full year
ended ended ended
30-Jun-2019 30-Jun-2018 31-Dec-2018
GBP'000 GBP'000 GBP'000
Revenue 71,611 64,989 142,037
Operating Profit 13,337 13,058 31,638
Finance income 120 75 192
Finance expense (118) (60) (77)
Profit Before Taxation 13,339 13,073 31,753
------------ ------------ ------------
Taxation (2,419) (2,436) (6,238)
Profit for the financial
period 10,920 10,637 25,515
------------ ------------ ------------
Earnings Per Share (basic) 29.63p 28.81p 69.23p
Earnings Per Share (diluted)
- all activities 29.62p 28.79p 69.19p
Dividends paid per share 26.80p 23.40p 34.70p
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
Unaudited Unaudited Audited
Half year Half year Full year
ended ended ended
30-Jun-2019 30-Jun-2018 31-Dec-2018
GBP'000 GBP'000 GBP'000
Profit for the financial period 10,920 10,637 25,515
Items that will not be reclassified subsequently to profit or loss
Re-measurement of net defined
benefit liability - - (412)
Deferred taxation on pension obligations and employee benefits - - (44)
Other comprehensive income/ (expense) for the period - - (456)
Total comprehensive income for the period 10,920 10,637 25,059
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
Unaudited Unaudited Audited
30-Jun-2019 30-Jun-2018 31-Dec-2018
GBP'000 GBP'000 GBP'000
ASSETS
Non-current assets
Property, plant and equipment 20,885 14,391 14,572
Goodwill 38,585 33,726 34,451
Intangibles 8,414 7,767 7,748
Deferred tax assets 835 1,065 835
Total non-current assets 68,719 56,949 57,606
----------- ----------- -----------
Current assets
Inventories 8,767 6,212 7,164
Trade and other receivables 42,440 34,120 38,153
Cash and cash equivalents 29,504 37,148 38,896
Total current assets 80,711 77,480 84,213
----------- ----------- -----------
Total assets 149,430 134,429 141,819
----------- ----------- -----------
LIABILITIES
Current liabilities
Trade and other payables 26,437 26,296 22,339
Current tax liabilities 2,531 2,479 2,814
Total current liabilities 28,968 28,775 25,153
----------- ----------- -----------
Non-current liabilities
Trade and other payables 3,093 - -
Pension obligations 2,215 2,521 2,755
Deferred tax liabilities 2,013 1,602 1,801
----------- ----------- -----------
Total non-current liabilities 7,321 4,123 4,556
----------- ----------- -----------
Total liabilities 36,289 32,898 29,709
----------- ----------- -----------
Net assets 113,141 101,531 112,110
----------- ----------- -----------
EQUITY
Share capital 3,697 3,697 3,697
Share premium reserve 3,255 3,255 3,255
Capital redemption reserve 1,209 1,209 1,209
Other reserves 666 157 666
Retained earnings 104,314 93,213 103,283
Total equity 113,141 101,531 112,110
----------- ----------- -----------
CONSOLIDATED STATEMENT OF CASH FLOWS
Unaudited Unaudited Audited
Half year ended Half year ended Full year ended
30-Jun-2019 30-Jun-2018 31-Dec-2018
GBP'000 GBP'000 GBP'000 GBP'000 GBP'000 GBP'000
Profit for the financial period 10,920 10,637 25,515
Cash flows from operating activities
Adjustments for:
Depreciation and amortisation 2,009 934 2,179
Loss on sale of property, plant and equipment 2 32 127
Finance income (120) (75) (192)
Finance expense 118 60 77
Tax expense recognised in the income statement 2,419 2,436 6,238
Change in inventories (1,332) (1,321) (2,274)
Change in trade and other receivables (2,812) 684 (3,347)
Change in trade and other payables 1,008 3,079 1,197
Change in pension obligations (540) (400) (578)
-------------------------------------------------- --------- ---------- --------- --------- ---------- ---------
752 5,429 3,427
Cash generated from operating activities 11,672 16,066 28,942
Tax paid (2,760) (2,555) (5,679)
-------------------------------------------------- --------- ---------- --------- --------- ---------- ---------
Net cash generated from operating activities 8,912 13,511 23,263
Cash flows from investing activities
Finance income 120 75 192
Acquisition of property, plant and equipment (3,288) (2,314) (3,857)
Acquisition of trade and assets - - (143)
Acquisition of subsidiary (4,718) (1,549) (3,814)
Net cash used in investing activities (7,886) (3,788) (7,622)
Cash flows from financing activities
Payment of lease liabilities (529) - -
Dividends paid (9,889) (8,633) (12,803)
-------------------------------------------------- --------- ---------- --------- --------- ---------- ---------
Net cash used in financing activities (10,418) (8,633) (12,803)
Net (decrease)/ increase in cash and cash
equivalents (9,392) 1,090 2,838
Cash and cash equivalents at beginning of period 38,896 36,058 36,058
-------------------------------------------------- --------- ---------- --------- --------- ---------- ---------
Cash and cash equivalents at end of period 29,504 37,148 38,896
-------------------------------------------------- --------- ---------- --------- --------- ---------- ---------
NOTES
1. Basis of Preparation
The financial information set out in this Interim Report does not constitute statutory accounts as defined in Section 434 of the Companies Act 2006. The Group's statutory financial statements for the year ended 31 December 2018, prepared under IFRS, have been filed with the Registrar of Companies. The auditor's report on those financial statements was unqualified and did not contain a statement under Section 498 (2) or (3) of the Companies Act 2006.
The interim financial information has been prepared in accordance with the recognition and measurement principles of International Financial Reporting Standards (IFRS) and on the same basis and using the same accounting policies as used in the financial statements for the year ended 31 December 2018, aside from the fact that this is the first set of the Group's financial statements where IFRS 16 has been applied, the impact of which is detailed in section 2 below. The Interim Report has not been audited or reviewed in accordance with the International Standard on Review Engagement 2410 issued by the Auditing Practices Board.
2. New Accounting Standards
IFRS 16, Leases
IFRS 16, Leases has replaced IAS 17, Leases with effect from 1 January 2019. The adoption of IFRS 16 has resulted in the Group recognising right-of-use assets and lease liabilities on the consolidated statement of financial position for all contracts that are, or contain, a lease. The new standard removes the distinction between operating and finance leases, with all leases now being accounted for by recognising a right-of-use asset and a lease liability except for leases of low value assets and leases with a term of 12 months or less ("short term leases").
Lease liabilities are measured at the present value of the contractual payments due to the lessor over the lease term, with the discount rate determined by reference to the rate inherent in the lease unless (as is typically the case) this is not readily determinable, in which case the Group's incremental borrowing rate on commencement of the lease is used.
Subsequent to initial measurement, lease liabilities increase as a result of interest charged at a constant rate on the balance outstanding and are reduced for lease payments made. Right-of-use assets are depreciated on a straight-line basis over the remaining term of the lease.
The Group has identified non-cancellable operating lease commitments totalling GBP4.7m as at 1 January 2019, relating to property leases for operational sites and motor vehicles. The Group has applied the modified retrospective transition approach to its leases with effect from 1 January 2019, whereby the asset and liability values recognised are equal to one another, with no adjustment to opening reserves. The impact of adopting IFRS 16 on a modified retrospective basis was therefore to recognise a right-of-use asset and a lease liability of GBP4.1m at 1 January 2019.
The Group has presented right-of-use assets within property, plant and equipment, with the corresponding liabilities presented within trade and other payables split between current and non-current liabilities on the consolidated statement of financial position.
The Group has classified the principal portion of lease payments within financing activities and the interest portion within operating activities on the consolidated statement of cash flows. Lease payments for short-term leases and low-value assets not included in the measurement of the lease liability are classified as cash flows from operating activities.
The application of IFRS 16 has resulted in an increase in depreciation and finance costs offset by a decrease in rental costs, resulting in no material impact on Profit Before Tax. However, the application of IFRS 16 has increased reported EBITDA by the amount of its current operating lease cost, which for the 6 months ended 30 June 2019 was GBP0.5m.
3. Dividends
The interim dividend of 12.4 pence (2018: 11.3 pence) will be paid on 30 August 2019 to shareholders registered on 26 July 2019; the ex-dividend date is 25 July 2019.
4. Earnings Per Share
Basic earnings per share are based on the weighted average number of shares in issue in the six months to 30 June 2019 of 36,857,600 (six months to 30 June 2018 of 36,857,624 and 12 months to 31 December 2018 of 36,857,758).
Interim Report
The interim report will be available on the Group's website (www.nicholsplc.co.uk) on or around 17 July 2019.
Cautionary Statement
This Interim Report has been prepared solely to provide additional information to shareholders to assess the Group's strategies and the potential for those strategies to succeed. The Interim Report should not be relied on by any other party or for any other purpose.
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.
END
IR BSGDRUSBBGCL
(END) Dow Jones Newswires
July 17, 2019 02:00 ET (06:00 GMT)
1 Year Nichols Chart |
1 Month Nichols 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
