Final Results

Chamberlin & Hill PLC
09 June 2005

CHAMBERLIN & HILL PLC



PRELIMINARY ANNOUNCEMENT OF RESULTS FOR THE YEAR ENDED

31 MARCH 2005




Highlights



     •    Turnover up 54% to £42m


     •    Operating profit up 103% to £2.05 million


     •    Basic earnings per share up 87% to 18.0p


     •    Strong performance from Russell Castings acquisition


     •    Dividend maintained at 11.85p for the year


     •    Dividend cover increased to 1.5 times


     •    Balance sheet remains strong



                                                                           Year to            Year to
                                                                          31 March           31 March
                                                                              2005               2004
                                                                              £000               £000

Turnover                                                                    41,970             27,311

Operating profit                                                             2,046              1,007

Profit before taxation                                                       1,986              1,013

Basic earnings per share                                                     18.0p               9.6p

Dividends per share                                                         11.85p             11.85p







Chairman's Statement

When I reported to shareholders in November 2004, we expected that the activity
levels experienced in the first half would continue to be broadly similar for
the remainder of the year.  In the event this was indeed the case, and I am
pleased to report that, for the year ended 31 March 2005, it has allowed the
Group to record a significant improvement over the previous year despite the
difficulties arising from the escalating costs of raw materials and energy.

Turnover for the group reached £42.0m (2004: £27.3m), a growth of 54%.
Operating profit increased 103% to £2.05m (2004: £1.01m), while profit before
tax, after exceptional items of £325k relating primarily to restructuring of the
foundry divisions, and a net goodwill credit mainly arising from the Russell
acquisition of £299k, was £1.99m (2004: £1.01m).  Fully diluted earnings per
share rose to 18.0p.  The balance sheet remains strong with net debt at the year
end of £42k (2004: net cash £482k) after the purchase of Russell Castings for
£1.12m in cash, and capital investment of £1.25m.

The Board is recommending an unchanged final dividend of 8.0p per share (11.85p
total for the year) payable on 29 July 2005 to shareholders on the register as
at the close of business on 8 July 2005.

The largest contributor to the Group's welcome return to growth was an excellent
performance from Russell Castings, which we acquired on 2 April 2004. Russell
Castings has fully lived up to our initial expectations and continues to
demonstrate that it was a sound investment. Synergy opportunities and plans for
longer term integration of our foundry activities continue to be developed.  The
Walsall foundry and PFP Electrical Products, our specialised lighting business,
also showed welcome progress.

An improvement in demand was accompanied by very substantial increases in the
costs of our raw materials and energy.  Difficulties and delays in recovering
these cost rises have had the inevitable effect of reducing net margins.  At the
time of writing there has been a lull in cost increases, although uncertainty
remains over their future direction.

The Group is presently operating in line with budgeted levels of sales and
profitability. We currently anticipate activity to remain broadly similar for
the foreseeable future and if this proves to be the case, we anticipate another
year of underlying progress.  In addition, we will continue to seek new
opportunities to use the Group's strong balance sheet to further enhance
earnings.




Tom Brown
Chairman
9 June 2005




Consolidated Profit and Loss Account
for the year ended 31 March 2005
                                                           Goodwill
                                            Before     amortisation    
                                          goodwill              and
                                         and other         negative         Other                    
                                       exceptional         goodwill   exceptional               Year ended 31
                                             items          release         items         Total    March 2004
                                              £000             £000          £000          £000          £000
Turnover
  - continuing activities                   30,788                                       30,788        27,311
  - acquisition                             11,182                                       11,182             -

                                            41,970                                       41,970        27,311
Cost of sales                             (34,831)                                     (34,831)      (22,526)

Gross Profit                                 7,139                                        7,139         4,785
Other operating expenses                   (5,067)              299         (325)       (5,093)       (3,778)

Operating profit
  - continuing activities                    1,290             (13)         (325)           952         1,007
  - acquisition                                782              312                       1,094             -

Total operating profit                       2,072              299         (325)         2,046         1,007

Interest (payable)/receivable                 (60)                                         (60)             6

Profit on ordinary activities
before taxation                              2,012              299         (325)         1,986         1,013
                                          
Taxation                                     (656)            (106)            97         (665)         (306)

Profit on ordinary activities
after taxation                               1,356              193         (228)         1,321           707

Dividends                                                                                 (872)         (871)

Transfer to/(from) reserves                                                                 449         (164)

Earnings per share:
      basic                                                                               18.0p          9.6p
      adjusted                               18.5p                                                       9.8p
      diluted                                                                             18.0p          9.6p
      adjusted                               18.4p                                                       9.8p

      diluted
Dividend per share                                                                       11.85p        11.85p
  -   interim paid                                                                        3.85p
  -   final proposed                                                                      8.00p

Dividend cover                                                                             1.52          0.81



All items dealt with in arriving at the operating profit for both 2005 and 2004
relate to continuing activities.

The group has no material recognised gains or losses other than the profit for
the year as disclosed.




Consolidated Balance Sheet
At 31 March 2005

                                                            31 March 2005                  31 March 2004
                                                           £000        £000               £000        £000
Fixed assets
Intangible assets - goodwill                                188                            201
  - negative goodwill                                     (105)                              -
                                                                         83                            201
Tangible assets                                                       9,042                          8,770

                                                                      9,125                          8,971

Current assets
Stocks                                                    5,055                          3,496
Debtors                                                   9,325                          6,656
Cash at bank and in hand                                      1                            482

                                                         14,381                         10,634

Creditors: amounts falling due
           within one year                              (8,819)                        (5,389)
Net current assets                                                    5,562                          5,245
Total assets less current liabilities                                14,687                         14,216
Provisions                                                            (726)                          (734)

Net assets                                                           13,961                         13,482

Capital and reserves
Called up share capital                                               1,840                          1,835
Share premium account                                                   743                            718
Capital redemption reserve                                              109                            109
Revaluation reserve                                                     575                            583
Profit and loss account                                              10,694                         10,237
Equity shareholders' funds                                           13,961                         13,482







Consolidated Cash Flow Statement
For the year ended 31 March 2005


                                                                 2005                           2004
                                                            £000        £000               £000        £000

Net cash inflow from operating activities                              2,942                          2,001
Return on investments and servicing of finance
Interest paid                                               (70)                            (8)
Interest received                                             10                             14

Net cash (outflow)/inflow from returns on
investments and servicing of finance                                    (60)                              6

Taxation
UK Corporation Tax paid                                                (278)                          (247)

Acquisition of business and assets of Russell
Castings
                                                                     (1,116)                              -

Capital expenditure and financial investment
Purchase of fixed assets                                 (1,248)                        (1,147)
Disposal of fixed assets                                      76                             49

Net cash outflow from capital expenditure and
financial investment                                                 (1,172)                        (1,098)
                                                                 
Equity dividends paid                                                  (870)                          (871)

Net cash flow before financing                                         (554)                          (209)
Financing
Issue of shares (including premium)                           30                              -

Net cash inflow from financing                                            30                              -

Decrease in cash and bank balance                                      (524)                          (209)

Reconciliation of operating profit to net cashflow
from operating activities

Operating profit                                                       2,046                          1,007
Depreciation                                                           1,654                          1,377
Amortisation                                                           (299)                             14
Profit on disposal of fixed assets                                       (1)                            (4)
Government grants credited                                                 -                            (3)
(Increase)/Decrease in stocks                                          (674)                          (214)
(Increase)/Decrease in debtors                                         (950)                        (1,033)
Increase/(Decrease) in creditors                                       1,116                            857
Increase/(Decrease) in provisions                                         50                              -
                                                                       2,942                          2,001

There were no activities which would fall under the heading of 'management of
liquid resources' during the year.



Notes:

1   The results for the year to 31 March 2005 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 2004 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 1985.


2   The calculation of basic earnings per share is based on the profit after 
    tax of £1,321,000 (2004: £707,000) and a weighted average of 7,347,398 
    shares (2004: 7,340,908) in issue during the year. Adjusted earnings
    per share is calculated after adjusting the profit to exclude exceptional 
    items, the amortisation or release of goodwill and the taxation effects of 
    those adjustments.  The adjusted profit figure used was £1,356,000 (2004: 
    £721,000).


3   The full published accounts will again include the transitional provisions 
    of FRS 17 (Retirement Benefits). If FRS 17 had been fully adopted during 
    the year, the effect of making provision for the funding deficit in the 
    staff pension scheme would have resulted in the recognition of a net 
    liability in the balance sheet of the Group of £2,324,000 (2004: 
    £2,001,000).



4   A copy of the Annual Report and Accounts for the year ended 31 March 2005 
    is expected to be posted to shareholders in week commencing 28 June 2005. 
    The Annual General Meeting will be held on Friday 29 July 2005.

5   Subject to shareholders' approval at the Annual General Meeting, the 
    dividend will be paid on 29 July 2005 to ordinary shareholders on the 
    register at the close of business on 8 July 2005.



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