Final Results

Braime (T.F.& J.H.) (Hldgs) PLC
03 April 2007




At a meeting of the directors held here today, the accounts for the year ended
31st December 2006 were submitted and approved by the directors. The
preliminary profits statement is as follows:



      Consolidated Income Statement for the year ended 31st December 2006



                                              Note         2006           2005
                                                              £              £
Revenue                                              11,119,745      9,699,124

Changes in inventories of finished goods and
work in progress                                          4,676        383,972
Raw materials and consumables used                   (6,011,478)    (5,250,183)
Employee benefits costs                              (3,225,406)    (3,098,576)
Depreciation expense                                   (125,623)      (114,728)
Other expenses                                       (1,887,710)    (1,870,790)
                                                    

Loss from operations                                   (125,796)      (251,181)
                                                    

Finance costs                                          (282,913)      (244,903)
Finance income                                          292,509        267,643
                                                     

Loss before tax                                        (116,200)      (228,441)

UK corporation tax                                       12,800         13,289
Foreign corporation tax                                 (83,976)       (82,579)
                                                     

Loss for the year attributable to                      (187,376)      (297,731)
shareholders                                         

Basic loss per share                           1         (13.0p)        (20.7p)
                                                     




Consolidated Statement of Recognised Income and Expense for the year ended 31st
                                 December 2006


                                                                                      2006         2005
                                                                                         £            £
Foreign exchange gains/(losses) on re-translation of overseas operations           (35,370)      17,958
Actuarial gains and losses recognised directly in equity                            73,000     (163,000)                
                                                                                    
Total income and expense recognised in equity                                       37,630     (145,042)

Loss for the year                                                                 (187,376)    (297,731)

Total recognised income and expense for the year                                  (149,746)    (442,773)





               Consolidated Balance Sheet  at 31st December 2006


                        Note       2006         2006         2005         2005
                                      £            £            £            £

Assets
Non-current assets
Property, plant and             733,481                   737,867
equipment
Total non-current                            733,481                   737,867
assets

Current assets
Inventories                   2,197,922                 2,342,363
Trade and other               2,611,737                 1,832,979
receivables
Cash and cash                 1,629,317                 1,567,840
equivalents
Total current assets                       6,438,976                 5,743,182

Total assets                               7,172,457                 6,481,049

Liabilities
Current liabilities
Bank overdraft                1,346,114                 1,410,300
Trade and other               1,846,792                   861,945
payables
Other financial                 182,292                   177,170
liabilities
Corporation tax                  33,063                    33,033
liability
Total current                              3,408,261                 2,482,448
liabilities

Non-current
liabilities
Financial liabilities           348,867                   347,526
Employee benefits                12,000                    98,000
Total non-current                            360,867                   445,526
liabilities

Total liabilities                          3,769,128                 2,927,974

Total net assets                           3,403,329                 3,553,075

Capital and reserves
attributable to equity
holders of the parent
company
Share capital                                360,000                   360,000
Capital reserve                               77,319                    77,319
Foreign exchange                             (26,549)                    8,821
reserve
Retained earnings                          2,992,559                 3,106,935

Total equity             2                 3,403,329                 3,553,075






     Consolidated Cash Flow Statement for the year ended 31st December 2006


                            Note      2006        2006        2005        2005
                                         £           £           £           £
Operating activities
Net loss from ordinary                        (187,376)               (297,731)
activities
Adjustments for:
Depreciation                       125,623                 114,728
Grants amortised                    (1,656)                 (1,656)
Foreign exchange (losses)/         (34,791)                 14,919
gains
Investment income                 (292,509)               (267,643)
Interest expense                   282,913                 244,903
Gain on sale of plant,              (9,394)                 (6,216)
machinery and motor vehicles                      
Income tax expense                  71,176                  69,290
Operating profit before                        141,362                 168,325
changes in working capital                                     
and provisions

(Increase)/decrease in            (726,998)                595,747
trade and other receivables                  
Decrease/(increase) in             144,441                (226,682)
inventories
Increase/(decrease) in             982,205                (206,464)
trade and other payables                   
Decrease in provisions and          36,000                  52,000
employee benefits                           

                                               435,648                 214,601

Cash generated from                            389,634                  85,195
operations

Income taxes paid                              (71,146)                (39,576)

Investing activities
Purchases of plant,               (142,730)               (142,306)
machinery and motor vehicles              
Sale of plant, machinery            30,308                   6,768
and motor vehicles                          
Interest received                   48,509                  47,643
                                               (63,913)                (87,895)

Financing activities
Repayment of hire purchase         (40,999)                (35,313)
creditors
Interest paid                      (87,913)                (56,903)
Dividends paid to equity                 -                 (43,200)
shareholders
                                              (128,912)               (135,416)
Increase/(decrease) in                         125,663                (177,692)
cash and cash equivalents                                 
Cash and cash equivalents,                     157,540                 335,232
beginning of period                                  
Cash and cash equivalents,                     283,203                 157,540
end of period                                        



Notes

1.  Earnings per share and dividends

Both the basic and diluted earnings per share have been calculated using the net
results attributable to shareholders of T.F. & J.H. Braime (Holdings) P.L.C. as
the numerator.

The weighted average number of outstanding shares used for basic earnings per
share amounted to 1,440,000 (2005 - 1,440,000).  There are no potentially
dilutive shares in issue.

During the twelve months to 31st December 2006, T.F. & J.H. Braime (Holdings)
P.L.C. paid dividends of £Nil to its equity shareholders (2005 - £43,200).  This
represents a payment of 0.00p per share (2005 - 3.0p per share).


2.  Changes in shareholders' equity                              2006         2005
                                                                    £            £
    Total recognised income and expense                      (149,746)    (442,773)
    Equity dividends paid                                           -      (43,200)


    Capital and reserves attributable to equity holders     3,553,075    4,039,048
    of the parent company at the beginning of the period
   

    Capital and reserves attributable to equity holders     3,403,329    3,553,075
    of the parent company at the end of the period    
    

3.  Cash and cash equivalents                                    2006         2005
                                                                    £            £
    Cash at bank and in hand                                1,629,317    1,567,840
    Bank overdrafts                                         1,346,114    1,410,300
                                                              283,203      157,540

4.  Major non-cash transaction

During the year the group acquired £156,450 of tangible assets under hire
purchase agreements.


5.  Basis of preparation

The results incorporated in the preliminary announcement have been prepared in
accordance with International Financial Reporting Standards (IFRS and IFRIC
interpretations) issued by the International Accounting Standards Board (IASB)
as adopted by the EU and with those parts of the Companies Act 1985 applicable
to companies preparing their accounts under IFRS.

The financial information set out above does not constitute the company's
statutory accounts for the years ended 31st December 2006 or 2005.  Statutory
accounts for 2005 have been delivered to the Registrar of Companies.  The
statutory accounts for 2006 will be delivered to the Registrar of Companies
following the company's annual general meeting.  The auditors have reported on
the 2006 and 2005 accounts; their reports were unqualified, did not include
references to any matters to which the auditors drew attention by way of
emphasis without qualifying their reports and did not contain a statement under
S237(2) or (3) of the Companies Act 1985.


Chairman's statement

Review of business

Although group sales increased by 15% to £11.12m (2005 - £9.70m), the group made
a loss before tax of £116,000 for the year ending 31st December 2006, compared
to a loss of £228,000 in 2005.  After incurring tax of £71,000 on profits made
in the USA, this loss increased to £187,000 (2005 - £298,000).

While this result is very disappointing, the loss in 2006 was largely due to the
one off costs involved in the necessary restructuring of the business.
Moreover, the result for the whole year indicates a significant improvement from
the position at the half year, when the pre-tax loss for the first six months
ending 30th June 2006 stood at £218,000.

Following the changes in our manufacturing operation put in place in 2006, the
group is on course to return to profit in 2007, providing other group
subsidiaries continue to meet forecasts.

Nevertheless, in view of the result for 2006, the directors have decided, with
regret, that it would not be prudent to pay a dividend to the Ordinary and 'A'
Ordinary shareholders.


Braime Pressings Limited

The trading position of Braime Pressings Limited continued to deteriorate in the
early part of 2006 as a result of falling sales volume as yet more of our
traditional customer base either resourced requirements overseas or closed their
UK manufacturing operations altogether.  The loss from trading was exacerbated
by the exceptional costs of redundancies and restructuring undertaken to
significantly reduce our overheads.

The sudden and rapid exodus of so much of UK engineering has proved an enormous
challenge to the business; our customer list today is almost entirely different
from three years ago.  Our strategy is to seek out major new partners among
companies who do remain committed to manufacturing in the UK and who can be seen
to be actively continuing to invest in their UK facilities and, with them, to
sign long term agreements which enable us to invest with confidence in cost
effective dedicated machinery.  We also continue to look for products which
involve assembly and offer higher added value.

We are currently investing in the installation of two large automated production
cells to supply two new major customers.  We are also in the process of
installing a new management information system which will give us much tighter
control over all elements of our manufacturing.  New valuable work was secured
in 2006 and a second major new contract will come on stream in 2007.  This new
high volume business, combined with our reduction in overheads and improvements
in productivity, should significantly improve the future trading position of
Braime Pressings Limited.


Braime Elevator Components Limited

The company had an excellent year, benefiting from sales increases which were
concentrated on newer product lines, particularly electronic monitoring sensors
and systems.

Along with the other subsidiaries distributing our range of material handling
components under the 4B brand, the company has benefited from the investment in
our website.

Major new contracts for monitoring systems have already been secured for 2007
and consequently we expect a further improvement in profitability in the current
year.


Sarl S.E.T.E.M. (France and Germany)

Sales increased by 50%.  A much improved result was spoilt by an exceptional
loss caused when our largest customer went into administration.  Despite this
set back, Setem is expected to make further progress in 2007.


4B Elevator Components Limited (USA)

Overall sales grew by 16%, primarily due to the continuing and substantial year
on year growth in the sales of our monitoring systems.  Having strengthened the
team supporting the sales and servicing of these products, we expect this trend
to continue in 2007, albeit at a slower rate.


Cash flow and debt

Given the unwelcome combination of two years of consecutive group losses and the
need to continue to pay tax on profits made in the USA, we have had to pay very
particular attention to our cash flow and to the management of our debt.

Despite an increase in group turnover, we have been successful in significantly
reducing stocks of raw material in our manufacturing business, while maintaining
finished stocks across the group at levels marginally below those in 2005,
creating a net reduction in total group inventories of £144,000.

The consolidated balance sheet shows a net increase of £230,000 in our current
liabilities less current assets.  This is primarily a result of the significant
growth in sales in the last quarter of 2006 compared to 2005.  The cash flow
statement shows a positive improvement in our position of £126,000.

During the year, we re-negotiated our borrowings with National Westminster Bank
by replacing some of our previous overdraft facilities with an invoice
discounting facility.  This has both reduced the cost of servicing our debt and
given us more flexibility.  We are operating well within our borrowing facility
and our forecast for 2007 shows no substantial change in this position.


Outlook

We expect that all the subsidiaries selling 4B material handling components will
make further progress in 2007.

The prospects for Braime Pressings Limited, our manufacturing business have
improved following the restructuring undertaken during 2006.  Significant
additional business has been found and we believe we now have a more secure
customer base.  The challenge now is to bring the new business on stream and to
secure the necessary additional volume to restore this part of the group to
profit.


Overall we believe that the group will return to profit in 2007.


D. H. Brown
Company Secretary
T.F. & J.H. Braime (Holdings) P.L.C.


3rd April 2007



                      This information is provided by RNS
            The company news service from the London Stock Exchange