TIDMLTC
RNS Number : 6196G
Latchways PLC
10 June 2013
10 June 2013
LATCHWAYS PLC
PRELIMINARY RESULTS FOR THE YEAR ENDED 31 MARCH 2013
Latchways plc is the world leader in the design, manufacture and
sale of engineered fall protection safety systems, which offer
continuous protection to individuals working at height. Latchways'
systems are sold globally through a network of trained installers
to a legislation-driven marketplace. These systems are used to
provide worker safety on a diverse range of applications including
commercial rooftops, wind power turbines, electricity transmission
towers, aircraft wings and industrial plants.
Financial Summary
-- Strong second half performance -Product revenues 34% higher than first half
-- Full year Group revenues up 2.5% to a record GBP42.4 million (2012: GBP41.4 million)
-- Adjusted Profit before tax up 3.3% to a record GBP10.3 million (2012: GBP9.9 million)
-- Statutory Profit before tax up 10.1% to GBP10.9 million (2012: GBP9.9 million)
-- Adjusted Basic earnings per share up 6.5% to 70.32 pence (2012: 66.04 pence)
-- 10% increase in final dividend to 25.00 pence per share,
total regular dividends of 36.00 pence per share for the year
(2012: 32.73 pence)
-- Net cash GBP10.5 million (2012: GBP8.4 million)
Business Development Summary
-- Strong performance from Wingrip, Vertical systems and Self Retracting Lifelines
-- Encouraging first year for Personal Rescue Device
-- Further investment in sales and product development resources
-- New 2,800 square metre production facility under construction
Commenting on the results, Paul Hearson, Chairman, said
"I am pleased to report an excellent result for Latchways, with
a strong second half resulting in record revenues and profits for
the year. While the underlying economic conditions remain subdued
in our traditional markets, with a well-stocked prospect pipeline
and continuing investment in revenue-generating resources, I look
forward to the future with confidence."
Enquiries:
Latchways plc Newgate Threadneedle
David Hearson, Chief Executive Graham Herring
Rex Orton, Financial Director Tel: 020 7653 9858
Tel: 01380 732700
10 June 2013
LATCHWAYS PLC
PRELIMINARY RESULTS FOR THE YEAR ENDED 31 MARCH 2013
Chairman's Statement
I am pleased to report an excellent result for Latchways, with a
strong second half resulting in record revenues and profits for the
year. Some of the strongest growth was achieved with our more
recent product developments and in the newest geographical markets.
While the underlying economic conditions remain subdued in our
traditional markets, we continue to unlock new opportunities for
further growth and I am excited about our future.
The strength of the second half recovery was very encouraging,
with product revenues 34% ahead of the first half and 25% better
than the same period last year. This included some significant
business for Wingrip and our Vertical product range, and also a
strong performance from our Self Retracting Lifeline ("SRL")
range.
As our product range has expanded, partnerships with key
customers have become even more important and the Personal Rescue
Device ("PRD") is a good example of this. In its first year of
sales, this product generated over GBP1.2 million of revenue, and
the relationships that this product has enabled us to develop
provide considerable growth opportunities. In this regard, we have
recently contracted with our first major harness manufacturer, 3M,
to supply this product into the Americas.
Our focus remains on building our team to address the changing
global nature of the fall protection market. Although we have
already made considerable investments, we continue to recruit
further resources to drive sales revenues, and to develop
innovative new products.
We are also investing in the physical infrastructure of the
business. A GBP3 million, 2,800 square metre production unit is
under construction adjacent to our existing facility. This will
enable us to consolidate existing facilities as well as provide us
with growth capacity for years to come. The building is scheduled
for completion in the Autumn.
Results
Group revenue for the year ended 31 March 2013 was GBP42.4
million (2012: GBP41.4 million), a 2.5% increase on last year.
Safety Products revenue was up 7%, whilst the smaller, UK focused
Safety Services division saw revenues fall by 17%.
Group profit before taxation was 10% higher than last year at
GBP10.9 million (2012: GBP9.9 million), including a GBP0.7 million
exceptional credit relating to the Latchways Value Creation
Plan.
Basic earnings per share rose 13% to 74.49 pence (2012: 66.04
pence). Adjusted basic earnings per share (excluding exceptional
items) rose 6% to 70.32 pence.
Net cash balances at year end were GBP10.5 million (2012: GBP8.4
million), GBP2.1 million higher than last year.
Latchways 2010 Value Creation Plan ("VCP")
During the period since August 2010, Latchways has delivered
substantial returns to shareholders, well in excess of the FTSE
Small Cap Index, despite the considerable headwinds faced by the
business. Actual compound EPS growth has been in excess of 12.5%
per annum, but below the challenging 15% compound EPS growth target
required for awards to vest.
Latchways' Remuneration Committee plans to consult with
shareholders on the effects of this in the coming days.
Dividends
The board remains committed to maintaining a progressive
dividend policy whilst ensuring that the group retains sufficient
funds to make ongoing investments without recourse to banks or
shareholders.
Cash flow has been strong again during the year. As a result,
the board is recommending a 10% increase in the final dividend to
25.00 pence per share (2012: 22.73 pence). Taken together with the
interim dividend of 11.00 pence, the total regular dividend for the
year of 36.00 pence per share represents a 10% increase on last
year (excluding special dividends), and is approximately twice
covered by earnings.
Subject to approval at the Annual General Meeting, the final
dividend will be paid on 13 September 2013 to shareholders on the
register as at 16 August 2013.
Our trading environment
Our growth this year has been achieved despite very poor
conditions in the UK and European construction sectors. Whilst this
has created significant challenges for our business, it has
reinforced our ambition to seek growth opportunities with new
products and new markets. As a result, the long term prospects for
our business are stronger than ever. As and when construction
markets recover, this will further drive our growth.
Despite further contraction in UK construction activity, we have
achieved strong growth in the UK through sales of Wingrip and the
SRL range, with the latter gaining further success in the offshore
wind industry.
European revenues fell slightly this year, despite successes
with the SRL and Vertical product lines. This reflects the depth of
the construction recession within the Eurozone, combined with the
relative weakness of the Euro during the period.
Our North American business saw some improvement during the
year, but remained below the levels seen in 2011. The Wingrip
business was constrained by US Government spending restrictions,
although the potential for this business remains very high. We are
recruiting more sales staff to drive our North American revenues,
and we have also recently concluded two new agreements with 3M, for
distribution of both the PRD and the SRL range. We are confident of
achieving strong growth in the North American market in the coming
year.
The rest of the world had another strong year, led by our
Vertical product line in Australia and New Zealand, with a number
of good prospects beginning to firm up in other markets such as
South America, the Middle East and the Far East. Although we
continue to work extensively with agents in these geographies, we
are also increasing our internal resources to ensure that the
potential for these markets is fully exploited.
New Product Development
Innovation remains at the heart of our business. The substantial
impact that products such as the SRL and Wingrip variants have made
to our revenues in recent years demonstrate the importance of this
aspect of the business.
Our latest major product innovation, the Personal Rescue Device
("PRD"), has now been in production for a year, and has made an
important contribution to revenues. We are working with a number of
global companies who are excited by the PRD as a solution to their
rescue needs worldwide. This process takes time because those
companies undertake thorough investigations and field testing
before moving to budgeting and procurement. We are now at advanced
stages of discussion with a number of such customers which gives us
confidence in the future for this product. In addition, in 3M we
have our first harness manufacturer committed to selling the PRD in
combination with their own harness range, and they have placed an
initial year's procurement commitment.
We have also recently developed a guardrail system for use on
aircraft in conjunction with the Wingrip system. This enabled us to
secure a significant contract with Airbus for long term maintenance
works, and we expect the system to prove popular with other Wingrip
customers.
We are now working on a new, patented product range which will
take time to fully bring to market but which we believe will
significantly reduce end user costs whilst also improving our own
margins on some existing products. We expect the first products in
this range to be ready for sale towards the end of the current
financial year.
Recent Projects
As our international presence expands, we continue to provide
fall protection for some of the most prestigious projects
worldwide. Recent major projects include Baku International
Airport, Azerbaijan, a Coca Cola facility in Mexico City, and
Nestle's manufacturing facility in Mumbai, India. Closer to home,
the SECC Glasgow and the O2 Skywalk in London were also completed
during the year.
Our vertical business has had a number of notable successes in
the year, particularly in the telecommunications sector.
On the wind energy side, our sealed SRL continues to be the
product of choice for the industry. During the year, systems were
supplied for, amongst others, the Lincs, Robin Rigg and Scroby
Sands offshore wind farms in the UK, together with Anholt and
Dan-Tysk off the Danish coast.
Wingrip was also selected for a number of significant projects,
including a long term-maintenance project with Airbus, and Qatar
Airways at the new Doha International Airport.
People
It is when conditions are at their most challenging that we see
the true value of having a dedicated and talented workforce. Our
whole team has risen to the challenge of recovering from the weak
start to the year, and we have seen some outstanding performances
from both existing team members and those who have joined us in the
past 18 months. The additional sales resources are now up to speed
and actively identifying and supporting new customers around the
world. In addition, our strengthened operations team is getting to
grips with the challenge of managing an expanded product range and
consolidating production into our new factory, construction of
which is well underway with completion planned for October
2013.
The coming year will see further strengthening of the sales
team, together with additional resources for New Product
Development, to enhance the rate of progress across the business. I
am quite sure that our existing team will welcome these
enhancements and on behalf of the board I would like to thank
everyone for their efforts over another successful year.
Current Trading and Prospects
Order inflow has been encouraging in the early part of the new
year, and our order book is considerably ahead of the same period
last year. With a well-stocked prospect pipeline and continuing
investment in revenue-generating resources, I look forward to the
future with confidence.
Paul Hearson
Chairman
OPERATING AND FINANCIAL REVIEW
The board of Latchways plc is pleased to report these
consolidated results for the year ended 31 March 2013.
Financial Results
Group revenue for the year was GBP42.4 million, up 2.5% on the
2012 figure of GBP41.4 million. This resulted in a statutory
operating and pre-tax profit of GBP10.9 million, 10% better than
the prior year (2012: GBP9.9 million). After deducting exceptional
credits, adjusted operating and pre-tax profits were GBP10.3
million, 3.3% ahead of last year.
The exceptional credit relates to the release of accumulated
charges associated with the Latchways 2010 Value Creation Plan
("VCP"). Over the past three years Latchways has delivered returns
to shareholders well in excess of the FTSE small cap index.
However, due to the recession in UK and European construction,
earnings per share growth has fallen short of the 15% compound
growth required under the scheme, and as such it is necessary to
reverse the accumulated charges relating to the scheme that were
recognised in previous years. Given the size and one-off nature of
the resulting credit, this has been presented as an exceptional
item in these accounts, and the results excluding the credit are
presented below as "Adjusted".
Both gross and operating margins are among the group's key
performance indicators.
The consolidated gross margin was 0.2% higher than last year at
53.0% (2012: 52.8%). This was due to the relatively strong
performance of the higher-margin Safety Products division compared
with Safety Services.
Adjusted overheads were 2.5% higher than last year at GBP12.2
million. This was due to the additional sales and operational
resources that have been recruited in the past 19 months, partly
offset by the absence of VCP related charges for the year.
The slight improvement in gross margins resulted in adjusted
operating margins improving by 0.2% to 24.2%.
The adjusted effective rate of taxation for the year was 23.5%
(2012: 25.8%). The reduced rate is due to the reduction in
corporation tax rates from 26% to 24% for the year, together with
the effect of a prior year tax refund in the year. The statutory
effective rate of taxation was 24.5%, reflecting the write down of
deferred tax assets relating to the VCP.
Adjusted basic earnings per share increased by 6.5% to 70.32
pence (2012: 66.04 pence), whilst adjusted diluted earnings per
share increased by 11% to 70.17 pence (2012: 63.39 pence). This
increase reflects the absence of the dilutive effects of the VCP in
this year's diluted figures. Statutory basic and diluted earnings
per share were 74.49 pence and 74.33 pence respectively.
On the balance sheet, non-current assets reduced by GBP0.1
million to GBP10.0 million (2012: GBP10.1 million). Initial spend
on the new factory unit was offset by a reduction in deferred tax
assets relating to the VCP. Goodwill was unchanged at GBP4.4
million. Intangible assets of GBP2.1 million (2012: GBP2.1 million)
comprise the intellectual property, brands, order books and
customer relationships acquired since 2004, together with
internally generated patents and trademarks, computer software and
ongoing development costs that have been capitalised. Property,
plant and equipment of GBP3.4 million (2012: GBP3.1 million) mainly
represents premises, production plant and tooling. The premises
consist of a 2,000 square metre assembly unit, warehouse and head
office at Devizes, together with a further 2 acres of additional
land directly adjacent. We are in the process of constructing a
second production facility on this land, with completion expected
in October 2013.
Inventory of GBP5.3 million (2012: GBP5.4 million) was GBP0.1
million lower than last year.
Trade and other receivables were GBP2.7 million higher at
GBP14.9 million (2012: GBP12.2 million). This increase was due to
the timing of business during the much stronger second half, with
several large contracts being delivered in the fourth quarter.
Group creditor days were 42 days (2012: 43 days). Our long term
policy of ensuring that suppliers are paid on time remains
unchanged.
Cash generation is a key performance indicator for the group.
Cash generated from operations as a proportion of adjusted
operating profit was 96% (2012: 93%), a strong performance despite
the timing of second half business and the resultant increase in
receivables. Tax payments in the year were unchanged at GBP2.6
million (2012: GBP2.6 million). Capital expenditure increased
slightly in the year, due to investment in the new facility.
Regular dividend payments increased by GBP0.4 million to GBP3.8
million (2012: GBP3.4 million). A special dividend of GBP4.5
million was paid in 2012. Total dividend payments therefore reduced
by GBP4.1 million, from GBP7.9 million to GBP3.8 million.
Cash and cash equivalents were GBP2.1 million higher than last
year at GBP10.5 million (2012: GBP8.4 million). The group has no
borrowings.
Strategic Overview
Latchways is a world leader in the provision of high quality
fall protection equipment and related services. Our aim is to
maximise shareholder returns through providing the most innovative
and functional equipment to a largely legislation-driven market,
with a customer support network and after-sales service that is
unrivalled in our industry. There has been no change to this
strategy during the year.
The challenging global economic climate of recent years has
provided considerable affirmation of our long term strategy of
diversification of our product range, customer base and geographic
coverage within the field of fall protection and rescue.
Traditional UK and European construction-facing markets, whilst
still a significant contributor to our revenues, are inherently
cyclical and it has therefore been our strategy to diversify into
other sectors and to expand our product range into personal
protective equipment and rescue. The success of our Vertical
systems, Wingrip, and more recently the SRL and PRD products
demonstrate the importance of this, allowing us to continue to
achieve growth despite the worst construction market conditions in
many years. The continued development of innovative new products
remains at the core of our strategy.
Operating Review
The Latchways group has two business segments, each of which is
managed independently with strategic input from the group board.
The Safety Products division is the main Latchways product
business, operating out of the group headquarters in Devizes and a
small production plant in Kozina, Slovenia. Safety Products
generates over three quarters of group revenue, and produces 96% of
group operating profits. 65% of Safety Products' revenue comes from
exports. The Safety Services division allows us to offer turnkey
solutions by installing and servicing safety products in the UK,
and generates the remaining revenue and profit.
Safety Products
Latchways designs and manufactures fall protection equipment for
people working at height. This equipment is sold worldwide, both
directly to end users and also through a network of independent,
trained installers. In addition, certain products such as the PRD
and SRL range are sold through distributors. The business is
broadly categorised between horizontal business (systems for those
working at height, eg on rooftops, crane rails etc) and vertical
business (systems for those climbing to or from height, eg ladders,
telecom masts, electricity transmission towers). In recent years
the range has been enhanced, both through acquisition and product
development, to include Personal Protective Equipment, guardrails
and walkways, and most recently rescue equipment.
The Safety Products business saw total revenues increase by 7%
in the year, whilst adjusted operating profits increased by 8% to
GBP9.8 million.
Fall protection is a global business. As such, revenue
performance by geographical segment is a key performance measure
for the Safety Products business.
Further contractions in UK construction have created significant
challenges for our UK business this year. Despite this, we have
grown UK product revenues by 14% to GBP12.5 million. Wingrip sales,
mainly to Airbus and also British Airways, were very strong, while
the PRD contributed GBP0.6 million, with the Ministry of Defence a
notable customer in the year. Vertical sales were also
encouraging.
European revenues reduced by 3% to GBP13.4 million, reflecting
weakness in both the construction sector and also the Euro. On a
constant currency basis revenues would have increased by 3%.
Although traditional installer revenues were down, strong sales of
vertical systems to European telecoms customers, together with a
good performance for the sealed SRL in the wind energy market,
largely offset those reductions. The PRD generated first year
revenues of GBP0.3 million.
North America improved slightly this year, with revenues up 7%
to GBP4.2 million. However this was largely due to the PRD, which
generated revenues of GBP0.3 million, and North America remains a
significant market prospect which we are working hard to address.
We have increased our installer base considerably in the past year,
and are in the process of refocusing key members of our sales team
onto the US market. In particular, there remains a significant
requirement for Wingrip from both the commercial and military
sectors. Recent agreements with 3M will result in significant
increases in our SRL and PRD revenues for the coming year, whilst
we continue to make progress with the Oil & Gas market. These
factors give us confidence in a strong performance from North
America in the coming year.
The rest of the world produced further growth in the year, with
revenues up 16% to GBP5.3 million. Our vertical business in
Australia and New Zealand, together with worldwide Wingrip sales,
were responsible for the increase.
Safety Services
The Safety Services division is Latchways' UK installation arm.
The continued contraction of the construction market was
exacerbated by reduced revenues in the Specialist Fixing operation.
As a result, revenues reduced by 17% in the year. Safety Services
revenues were GBP9.5 million (2012: GBP11.4 million). Gross margins
were maintained at 34%, whilst operating costs were reduced by 9%,
but the reduction in revenues resulted in operating profit falling
from GBP0.9 million to GBP0.5 million.
During the year, Safety Services, as the largest installer of
Latchways products, purchased GBP2.5 million of product from
Latchways, a 22% reduction on the previous period, due both to
underlying market conditions and also to the large retrofit
projects carried out in 2012 not being repeated this year.
Risks and the Operational Environment
As a provider of fall protection solutions to a global
marketplace, the group is subject to a number of external factors
which affect its risk profile. The more important of these are
discussed below.
The Global Economy
As Latchways expands its geographic footprint, the risks
inherent in one particular market diminish in importance. However
the current problems in both the Eurozone and UK economies are of
direct concern to all businesses, and Latchways is not immune to
this. By continuing to expand our geographical footprint, and
through the development of innovative new products such as the PRD,
Latchways is seeking to minimise the impact of the Eurozone and UK
economic downturn. The strong revenue growth in the second half of
the year demonstrates that this can be achieved.
The Commercial Construction Market
Latchways operates in a diverse and growing range of markets.
This ensures that we are not excessively dependent on one market
for our growth. Through diversifying our geographic and end user
markets, we continue to reduce the importance of both the UK and
European commercial construction markets to our overall business,
but they remain among our larger markets.
The Legislative Environment
The increasing emphasis on Health and Safety legislation
throughout the European Union has been one of the key drivers of
the fall protection business over the past decade. The UK, and
certain other EU countries, which have interpreted this into
specific fall-protection legislation have become significant
markets for the Latchways product range. Within the UK, the most
obvious examples of this legislation are the Workplace (Health,
Safety & Welfare) Regulations 1992, the Construction (Design
and Management) Regulations 1994 (revised in 2007), and the Working
at Height Regulations 2005. Latchways sees the development of
appropriate, workable safety regulations as of critical importance,
not just to its own business but to business as a whole. As a
result, we have ensured that Latchways is represented on a number
of key legislative standards committees, both in the UK and
overseas. Outside the EU, we are progressively seeing other
countries adopting Health and Safety standards which should
continue to provide us with opportunities in the years to come.
Commodity Prices
The majority of Latchways products are constructed of either
marine grade stainless steel or, to a lesser extent, aluminium.
Market prices for these commodities can be volatile, although
prices have remained quite stable over the past two years.
It remains Latchways' philosophy to protect our customers from
the volatility of commodity prices through a combination of modest
annual price increases and product re-sourcing efforts. This policy
has served us well over a number of years, and will continue.
Currency Risk
Latchways has exposure to fluctuations in the Sterling/Euro
exchange rate, as our European sales are invoiced in Euros. This
risk is partly mitigated by the fact that guardrail and cable are
now purchased in Euros. Forward exchange contracts are used to
mitigate the remaining exposures.
Our planned revenue growth in North America is expected to be
predominantly US Dollar based, which will increase our exposure to
the Sterling/US Dollar exchange rate. We expect to use forward
exchange contracts to mitigate this exposure.
Other currency exposures currently include Australian and New
Zealand Dollars. Where large contracts are won, forward contracts
are used to mitigate these risks as appropriate.
Prospects
We continue to see excellent prospects for the Latchways product
range around the world and are investing further to ensure that we
can meet the opportunities and challenges that these prospects will
create. With our existing product lines and further innovations in
the pipeline, we remain confident in our ability to continue to
generate strong long term returns for our shareholders.
David Hearson
Chief Executive
Latchways plc
Group Statement of Comprehensive Income
for the year ended 31 March 2013
2013 2012
Pre-exceptional Exceptional
items items Total
GBP'000 GBP'000 GBP'000 GBP'000
Revenue 42,402 - 42,402 41,372
Cost of sales (19,939) - (19,939) (19,548)
--------------- ------------- -------- --------
Gross profit 22,463 - 22,463 21,824
Administrative expenses (12,202) 671 (11,531) (11,903)
--------------- ------------- -------- --------
Operating profit 10,261 671 10,932 9,921
Finance costs (20) - (20) (24)
Finance income 24 - 24 37
--------------- ------------- -------- --------
Profit before income tax 10,265 671 10,936 9,934
Income tax expense (2,411) (205) (2,616) (2,565)
--------------- ------------- -------- --------
Profit for the year attributable to
equity shareholders 7,854 466 8,320 7,369
Other comprehensive income:
Exchange differences on consolidation
(net of tax) 2 - 2 (116)
--------------- ------------- -------- --------
Total comprehensive income for
the year 7,856 466 8,322 7,253
--------------- ------------- -------- --------
Basic earnings per share (pence) 70.32 74.49 66.04
Diluted earnings per share (pence) 70.17 74.33 63.39
The directors propose a final dividend of 25.00 pence per share
(2012: 22.73 pence) at an estimated cost of GBP2,792,000 (2012:
GBP2,539,000), which will be subject to shareholder approval at the
Annual General Meeting on 6 September 2013.
Latchways plc
Group Balance Sheet
as at 31 March 2013
2013 2012
GBP'000 GBP'000
Assets
Non-current assets
Goodwill 4,351 4,363
Intangible assets 2,088 2,110
Property, plant and
equipment 3,413 3,125
Deferred income tax
assets 162 489
-------- -------
10,014 10,087
-------- -------
Current assets
Financial assets
- Derivative financial instruments - 62
Inventories 5,345 5,387
Trade and other receivables 14,863 12,174
Cash and cash equivalents 10,473 8,371
30,681 25,994
-------- -------
Liabilities
Current Liabilities
Financial liabilities
- Derivative financial instruments (102) -
Trade and other payables (5,822) (4,972)
Deferred consideration (99) (89)
Current tax liabilities (1,154) (1,346)
-------- -------
(7,177) (6,407)
-------- -------
Net current assets 23,504 19,587
-------- -------
Non-current liabilities
Deferred consideration (209) (307)
Deferred income tax liabilities (612) (580)
-------- -------
(821) (887)
-------- -------
Net assets 32,697 28,787
-------- -------
Equity
Ordinary shares 559 559
Share premium account 1,905 1,905
Translation reserve 85 83
Other reserves 290 777
Retained earnings 29,858 25,463
Total shareholders'
equity 32,697 28,787
-------- -------
Latchways plc
Group Cash Flow Statement
for the year ended 31 March
2013
2013 2012
GBP'000 GBP'000
Cash flows from operating
activities
Cash generated from operations 9,819 9,216
Taxation paid (2,607) (2,597)
-------- -------
Net cash generated from
operating activities 7,212 6,619
-------- -------
Cash flows from investing activities
Additional consideration paid
to acquire subsidiaries (81) (75)
Interest received 24 34
Purchase of property, plant and
equipment (813) (684)
Purchase of intangible assets (335) (308)
Development expenditure capitalised (138) (277)
Net cash used in investing activities (1,343) (1,310)
-------- -------
Cash flows from financing activities
Net proceeds from issue of ordinary
share capital - 100
Dividends paid to shareholders (3,767) (7,892)
Net cash used in financing
activities (3,767) (7,792)
-------- -------
Net increase/(decrease) in cash and
cash equivalents 2,102 (2,483)
Cash and cash equivalents at 1 April 8,371 10,854
Cash and cash equivalents at 31 March 10,473 8,371
-------- -------
Latchways plc
Group Statement of Changes in Shareholders' Equity
for the year ended 31 March
2013
Share Share Retained Other Total
Capital Premium Earnings Reserves Reserves
GBP'000 GBP'000 GBP'000 GBP'000 GBP'000
1 April 2011 557 1,807 25,853 676 28,893
Profit for the year attributable
to equity shareholders - - 7,369 - 7,369
Exchange differences on
consolidation - - - (116) (116)
-------- -------- --------- --------- ---------
Total comprehensive income - - 7,369 (116) 7,253
Transactions with owners:
Share options:
Proceeds from shares issued 2 98 - - 100
- Value of employee services - - - 300 300
Deferred taxation on share
options - - 133 - 133
Dividends - - (7,892) - (7,892)
-------- -------- --------- --------- ---------
At 31 March 2012 559 1,905 25,463 860 28,787
Profit for the year attributable
to equity shareholders - - 8,320 - 8,320
Exchange differences on
consolidation - - - 2 2
-------- -------- --------- --------- ---------
Total comprehensive income - - 8,320 2 8,322
Transactions with owners:
Share options:
- Value of employee services - - - (487) (487)
Deferred taxation on share
options - - (158) - (158)
Dividends - - (3,767) - (3,767)
-------- -------- --------- --------- ---------
At 31 March 2013 559 1,905 29,858 375 32,697
-------- -------- --------- --------- ---------
NOTES
1. Basis of accounting
This financial information does not constitute the group's
statutory accounts for the years ended 31 March 2012 and 2013. The
financial information in respect of 2013 has been extracted from
the audited financial statements for the year ended 31 March 2013
which have not yet been delivered to the Registrar of Companies.
The auditors have reported on these financial statements; their
reports were (i) unqualified, (ii) did not include a reference to
any matters to which the auditors drew attention by way of emphasis
without qualifying their report, and (iii) did not contain a
statement under section 498(2) or (3) of the Companies Act
2006.
The information has been prepared in accordance with the
EU-adopted International Financial Reporting Standards (IFRS) and
IFRIC interpretations and with those parts of the Companies Act
2006 which are applicable to companies reporting under IFRS.
2. Accounting Policies
The accounting policies applied by the group were published in
the Annual Report and Accounts for the year ended 31 March 2012,
which are available on the group's website at www.latchways.com,
and they will also be included in the Annual Report and Accounts
for the year ended 31 March 2013. There have been no significant
changes to the group's accounting policies during the year.
3. Forward-looking statements
Certain statements in this preliminary results announcement are
forward-looking. Although the group believes that the expectations
reflected in these forward-looking statements are reasonable, we
can give no assurance that these expectations will prove to have
been correct. Because these statements involve risk and
uncertainties, actual results may differ materially from those
expressed or implied by these forward-looking statements.
We undertake no obligation to update any forward-looking
statements whether as a result of new information, future events or
otherwise.
4. Earnings per share
The calculation of basic earnings per ordinary share is based on
a weighted average of 11,169,028 ordinary shares in issue and
ranking for dividend (2012: 11,159,145) and on a profit of
GBP8,320,000 (2012: GBP7,369,000).
The calculation of adjusted basic earnings per ordinary share is
based on a weighted average of 11,169,028 ordinary shares in issue
and ranking for dividend (2012: 11,159,145) and on a profit of
GBP7,854,000 (2012: GBP7,369,000).
The calculation of both statutory and adjusted diluted earnings
per share is based on a weighted average of 11,192,810 ordinary
shares (2012: 11,625,499), and uses an average market price for the
year of GBP10.19 (2012: GBP11.36).
5. Dividends
2013 2012
GBP'000 GBP'000
Final Paid 22.73p (2012: 20.66p) per
5p share 2,539 2,307
Special Paid nil p (2012: 40.00p) per
5p share - 4,468
Interim Paid 11.00p (2012: 10.00p) per
5p share 1,228 1,117
Total Paid 3,767 7,892
------- -------
In addition, the directors are proposing a final dividend in
respect of the financial year ended 31 March 2013 of 25.00p (2012:
22.73p) per share which will absorb an estimated GBP2,792,000 of
shareholders' funds (2012: GBP2,539,000). Subject to approval at
the Annual General Meeting, the dividend will be paid on 13
September 2013 to shareholders who are on the register of members
on 16 August 2013.
6. The Annual Report and Accounts
The Annual Report and Accounts for Latchways plc for the year
ended 31 March 2013 will be posted to shareholders on or before 6
August 2013 and copies will be available from the registered
office, Latchways plc, Hopton Park, Devizes, Wiltshire, SN10
2JP.
7. The Annual General Meeting
The Annual General Meeting will be held at Hopton Park, Devizes,
Wiltshire, SN10 2JP on 6 September 2013 at 12 noon.
This information is provided by RNS
The company news service from the London Stock Exchange
END
FR NKCDDNBKDOAK
Latchways (LSE:LTC)
Historical Stock Chart
From Jun 2024 to Jul 2024
Latchways (LSE:LTC)
Historical Stock Chart
From Jul 2023 to Jul 2024