Final Results
21 May 2003 - 5:00PM
UK Regulatory
RNS Number:3392L
Chamberlin & Hill PLC
21 May 2003
CHAMBERLIN & HILL PLC
PRELIMINARY ANNOUNCEMENT OF RESULTS FOR THE YEAR ENDED
31 MARCH 2003
Chairman's Statement
This time last year we were looking for an improvement in trading conditions. In
the event we were disappointed. Indeed, with slow trading, combined with
pressure for lower selling prices and significant upward pressure on costs, we
made no overall progress.
With both turnover and margins down, operating profit fell to #1,373,000 (2002:
#2,545,000) and adjusted earnings per share (before restructuring costs) to
13.3p (2002: 24.0p). The balance sheet remains strong with net cash of #692,000
at the year end. The Directors are recommending a maintained final dividend of
8.00p making a total for the year of 11.85p (2002: 11.85p).
In a year when trading is tough it is tempting to avoid difficult decisions in
order to protect short term results. Cutting costs, particularly reducing the
number of employees, is both unwelcome and expensive as our restructuring charge
demonstrates. Continued capital expenditure and vigorous product development
also limit short term results but, as we see it, we have no alternative but to
maintain an aggressive policy of improvement.
We cannot report a significant upturn and the pressure on costs and prices
remains. We are winning new business but schedules are not yet sufficiently
buoyant. There will come a day when the cycle turns and when it does I am
confident that we will break new ground. We have a good team, well led and, with
a strong balance sheet to back sound market positions, we have every prospect of
resuming progress.
John Eccles
Chairman
Consolidated profit and loss account for the year ended 31 March 2003
2003 2002
#000 #000
Turnover 27,027 30,548
Operating profit 1,373 2,545
Exceptional item - restructuring costs (451) -
Operating profit after exceptional item 922 2,545
Interest (payable)/receivable (14) (19)
Profit on ordinary activities before taxation 908 2,526
Taxation (250) (778)
Profit after taxation 658 1,748
Dividend (871) (866)
Retained (loss)/profit (213) 882
Earnings per share - basic 9.0p 24.0p
- adjusted 13.3p 24.0p
- diluted 9.0p 24.0p
Dividend per share: proposed final 8.00p 8.00p
interim already paid 3.85p 3.85p
Statement of total recognised gains and losses for the year ended 31 March 2003
2003 2002
#000 #000
Profit after taxation 658 1,748
Prior year adjustment -
adoption of FRS 19 "Deferred Taxation" - (752)
Total recognised gain 658 996
Consolidated balance sheet as at 31 March 2003
As at As at
31 March 2003 31 March 2002
#000 #000 #000 #000
Fixed assets
Tangible assets 9,045 8,892
Intangible assets 215 9,260 229 9,121
Current assets
Stock 3,282 3,362
Debtors 5,623 6,634
Cash at bank and in hand 692 626
9,597 10,622
Creditors - under one year (4,449) (5,124)
Net current assets 5,148 5,498
Provisions (762) (790)
Net assets 13,646 13,829
Capital and reserves
Called up share capital 1,835 1,830
Share premium account 718 693
Reserves 11,093 11,306
Shareholders' funds 13,646 13,829
Reconciliation of movement in shareholders' funds
2003 2002
#000 #000
Profit for the year 658 1,748
Dividends (871) (866)
Issue of share capital 30 80
Net movement in the year (183) 962
Opening shareholders' funds 13,829 12,867
Closing shareholders' funds 13,646 13,829
Consolidated cash flow statement for the year ended 31 March 2003
2003 2002
#000 #000
Net cash inflow from operating activities 3,218 3,586
Return on investments and servicing of finance (14) (19)
Taxation paid (679) (778)
Net capital expenditure and financial investment (1,619) (1,073)
Dividends paid (870) (844)
Net cash flow before financing 36 872
Financing: redemption of loan notes - (504)
issue of shares (including premium) 30 80
Increase in cash and bank balances 66 448
Reconciliation of operating profit to net cash flow from operating activities
2003 2002
#000 #000
Operating profit 1,373 2,545
Exceptional item - restructuring costs (451) -
Depreciation 1,542 1,527
Amortisation of goodwill 14 14
Profit on disposals (76) (95)
Government grants credited (5) (10)
Decrease/(increase) in stocks 80 (40)
Decrease in debtors 1,011 288
(Decrease) in creditors (270) (643)
3,218 3,586
Notes:
1. The results for the year to 31 March 2003 have been extracted from the
financial statements for the year which have been audited and will be filed
with the Registrar of Companies. The results for the year to 31 March 2002
are an abridged version of the Company's full accounts for that year which
have been filed with the Registrar of Companies. The auditors' opinion on
those accounts was unqualified and did not include a statement under Section
237(2) or (3) of the Companies Act.
2. The calculation of basic earnings per share is based on a profit of #658,000
(2002: #1,748,000) and a weighted average of 7,336,439 shares (2002:
7,274,281) in issue during the period. Adjusted earnings per share is after
adding back the effect of the exceptional item which was #316,000 (net of
tax).
3. The full published accounts will again include the transitional provisions of
FRS17 (Retirement Benefits) and this will consequently not impact on the
2002/2003 figures. If FRS17 had been fully adopted during the year, the
Group would have recorded an increased net liability in its balance sheet of
#2.97 million, up from #0.8 million last year.
4. A copy of the Annual Report and Accounts for the year ended 31 March 2003
will be posted to shareholders in the week commencing 23 June 2003. The
Annual General Meeting will be held on Friday, 25 July 2003.
5. Subject to shareholders' approval at the Annual General Meeting, the dividend
will be paid on 25 July 2003 to ordinary shareholders registered at the
close of business on Friday, 4 July 2003.
This information is provided by RNS
The company news service from the London Stock Exchange
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