Interim Results
M.P. EVANS GROUP PLC
Interim results for the six months ended 30 June 2006
* Profit before taxation £7,906,000 including exceptional gains of
£4,762,000 (2005 £3,285,000, including exceptional costs of
£625,000)
* Interim dividend payment of 2p per share (2005 - 2p); minimum of a
further 4.25p per share anticipated as final dividend
* Balance sheet remains strong
* Palm oil continues to trade at robust levels in response to
increased demand, including from the bio-fuels sector
* Beef-cattle prices also remain buoyant
* Implementation of Group's new strategy well on track
- Sale of three Malaysian estates completed (of which two accounted
for in first half 2006) for total of £16.1 million
- Sale of part (181 hectares) of fourth estate, Perhentian Tinggi,
agreed for £2.6 million
- 2,000 hectares expected to be planted on new 12,000-hectare Bangka
project by end 2006
- Acquisition of new 14,000-hectare project in East Kalimantan -
nursery area being established and clearing work expected to
commence shortly
- A minimum of a further 20,000 hectares, suitable for oil-palm
development, being sought in East Kalimantan
- Following acquisition of Flinton Station, adjoining Woodlands,
further expansion planned for Australian beef-cattle operations
Commenting on the results, Richard Robinow, chairman of M.P. Evans Group
PLC, said:-
"I am delighted to report that the Group's strategy of capitalising on the high
real-estate value that has accrued to its Malaysian estates by selling them and
re-investing the proceeds, largely in the Indonesian palm-oil sector and partly
in the Australian beef-cattle sector, continues apace.
We are making good progress within the Group and have great confidence looking
forward. The outlook for both palm oil and cattle continues to be favourable in
both the near and longer term."
Enquiries:
M.P. Evans Group PLC Telephone 020 7796 4133 on 19 September only.
Thereafter telephone 01892 516333
Peter Hadsley-Chaplin Joint managing director
Philip Fletcher Joint managing director
Hudson Sandler
Andrew Hayes
James White
An analysts' meeting will be held today at 9:30 a.m. at the offices of
Hudson Sandler, 29 Cloth Fair, London EC1A 7NN
INTERIM REVIEW
The board has pleasure in presenting the interim report for the six months ended
30 June 2006. We have made good progress during the first half as we continue to
implement our stated strategy of divesting from Malaysia and investing the
proceeds in both Indonesian palm-oil and Australian beef-cattle operations.
The period was marked by slightly improved palm-oil prices, lower Group
Indonesian crops of oil palm fresh fruit bunches ("f.f.b.") (although higher in
the associates), dry conditions in Australia and exceptional profits arising
from the disposal of two of the Malaysian estates.
Profit before taxation amounted to £7,906,000 (including exceptional gains of
£4,762,000) compared with £3,285,000 (exceptional costs £625,000) for the same
period last year. The Group generated net operating cash flows of £2,808,000
(2005 £3,901,000). The balance sheet remains strong. The board proposes, as last
year, to pay an interim dividend of 2p per share.
REVIEW OF THE PERIOD
Strategic developments, including new projects
The Group's strategy of capitalising on the high real-estate value that has
accrued to its Malaysian estates by selling them and re-investing the proceeds,
largely in the Indonesian palm-oil sector and partly in the Australian beef-
cattle sector, continues apace. The sale of three Malaysian estates for a total
of approximately £16.1 million has been completed and, as announced on 13 June
2006, the sale of 181 hectares of Perhentian Tinggi Estate for approximately
£2.6 million has been agreed. Both the balance of Perhentian Tinggi Estate (745
hectares) and the whole of Sungei Kruit Estate (828 hectares) continue to be
marketed.
Following some early delays, significant progress has been made on the
development of the new, 12,000-hectare, oil-palm project on Bangka Island,
Indonesia. It is currently expected that a total of approximately 2,000 hectares
will have been planted by the year end.
With regard to the new, 14,000-hectare, East Kalimantan oil-palm project, a
nursery area is in the course of being established and substantial clearing work
is expected to commence shortly. The board continues to seek a minimum of an
additional 20,000 hectares of suitable land for development to oil palm in
Indonesia and it is hoped that this may be achieved in the vicinity of the
14,000-hectare site in East Kalimantan.
As far as Australian developments are concerned, it is planned that, further to
the acquisition of the 7,586-hectare Flinton Station, adjoining Woodlands, in
March 2006, the Group will add to its beef-cattle activities in the area of the
Woodlands aggregation, thereby affording even greater economies of scale. During
the period the Group acquired a further 229,988 shares (1.37%) in The North
Australian Pastoral Company Pty Limited ("NAPCo") at a cost of A$7 per share,
bringing the total holding to 29.29%.
The palm-oil market
The palm-oil price remained within the US$400 to US$450 per tonne bracket during
the first half of 2006. The average was US$432, some 4% higher than the US$415
for the first half of 2005. Although world production and stocks of palm oil are
at historically high levels, continued robust demand, underpinned by increasing
requirements for bio-fuels, has resulted in upward pressure on the price,
particularly since the end of June 2006. The price is currently in excess of
US$500. Palm oil remains competitively priced compared with the other major
vegetable oils.
The beef-cattle market
Despite the unseasonally dry weather that was experienced in many parts of
Australia, cattle prices remained at reasonably buoyant levels throughout the
first half. This was no doubt helped by the continuing higher-than-usual demand
for Australian beef from Japan as a result of its ban on US beef imports
following BSE concerns. Some welcome June rains, which were not, however,
completely widespread throughout Australia, led to a further increase in prices
in July. Although this was followed by a slight easing in prices, partly as a
result of the lifting of the Japanese ban on US beef imports, the market has
continued to trade at firm levels.
Dividend
In respect of the dividend relating to 2006, it is the board's intention at
least to maintain the 6.25p-per-share dividend paid in respect of 2005 (2.00p
interim plus 4.25p final). As referred to above and in note 4), an interim
dividend of 2.00p in respect of 2006 is proposed to be paid on 3 November 2006.
RESULTS FOR THE PERIOD
Gross profit
Indonesia and Malaysia
Production, crop and selling-price details for the majority-owned estates were
as follows:-
6 months 6 months Year
ended ended ended
30 June 30 June 31 December
2006 2005 2005
Tonnes Tonnes Tonnes
1) Crops - f.f.b.
Indonesia 67,500 73,100 156,200
Malaysia 35,700 34,100 66,500
------- ------- -------
2) Production - Indonesia
Crude palm oil 10,300 9,400 21,600
Palm kernels 2,600 2,100 5,009
------- ------- -------
3) Selling prices
Rotterdam cif
- average per tonne US$432 US$415 US$420
Pangkatan sales fob
- average per tonne Rp3,400,000 Rp3,300,000 Rp3,410,000
----------- ----------- -----------
F.f.b. crops in Indonesia were lower than expected in the first half as a result
of a cyclical downturn and some 8% lower than for the same period last year.
Inflationary pressures were experienced on costs, mainly arising from the
increase in oil prices, the removal of fuel subsidies and resulting wage
inflation. The Malaysian f.f.b. crop was in line with both budget and last year.
The rubber areas on the Indonesian estates continued to be phased out during
2006 and replanted with oil palms. As a result of this replanting programme,
some rubber tappers had to be retrenched. The costs associated with this in the
first half of the year amounted to £96,000 (2005 £43,000).
Australia
The area in which the Group's cattle-fattening property is located in Southern
Queensland again experienced unusually dry conditions which adversely affected
the amount of feed (both forage crops and pastures) that could be grown.
Accordingly, the numbers that could be fattened and turned off were below
expectations and a loss was experienced. 1,593 head were sold compared with
1,077 in the first half of last year.
As a result of all of the above, the gross profit for the first half of 2006,
which relates entirely to the Group's majority-owned operations, amounted to
£1,759,000, compared with £2,409,000 for the same period in 2005. The following
is a breakdown between the various areas of activity:-
Six months ended 30 June 2006
Gross
Cost of profit/
Turnover sales (loss)
£'000 £'000 £'000
Plantations
Indonesia 3,104 (1,912) 1,192
Malaysia 1,446 (815) 631
------ ------ ------
Total plantations 4,550 (2,727) 1,823
Cattle - Australia 568 (737) (169)
Manufacturing - Thailand * 1,536 (1,442) 94
Other - UK 11 - 11
------ ------ ------
Group total 6,665 (4,906) 1,759
------ ------ ------
Six months ended 30 June 2005
Gross
Cost of profit/
Turnover sales (loss)
£'000 £'000 £'000
Plantations
Indonesia 3,341 (1,816) 1,525
Malaysia 1,484 (823) 661
------ ------ ------
Total plantations 4,825 (2,639) 2,186
Cattle - Australia 404 (261) 143
Manufacturing - Thailand 613 (532) 81
Other - UK - (1) (1)
------ ------ ------
Group total 5,842 (3,433) 2,409
------ ------ ------
Year ended 31 December 2005
Cost of Gross
Turnover sales profit
£'000 £'000 £'000
Plantations
Indonesia 7,222 (3,573) 3,649
Malaysia 2,957 (1,787) 1,170
------ ------ ------
Total plantations 10,179 (5,360) 4,819
Cattle - Australia 840 (665) 175
Manufacturing - Thailand 1,139 (1,075) 64
Other - UK 24 - 24
------ ------ ------
Group total 12,182 (7,100) 5,082
------ ------ ------
* Very high rubber prices impacted on both turnover and cost of sales in
Thailand. The Thai rubber factory buys unprocessed rubber from smallholders,
processes it and sells it on the open market.
Associated companies
Indonesia
The Group's share of its Indonesian associated companies' operating profits for
the period, compared with the first half of 2005 and the whole of 2005, are set
out below:-
6 months 6 months Year
ended ended ended
30 June 30 June 31 December
2006 2005 2005
£'000 £'000 £'000
PT Agro Muko (31.53%) 827 743 1,759
PT Kerasaan Indonesia (36.00%) 258 306 605
------ ------ ------
1,085 1,049 2,364
------ ------ ------
Crops and production were as follows:-
6 months 6 months Year
ended ended ended
30 June 30 June 31 December
2006 2005 2005
Tonnes Tonnes Tonnes
F.f.b. crops -
PT Kerasaan Indonesia 26,000 27,600 55,700
PT Agro Muko - own 140,100 123,200 266,300
- outgrowers 31,000 31,100 78,700
-------- -------- --------
197,100 181,900 400,700
-------- -------- --------
Production -
(PT Agro Muko) - crude palm oil 35,900 32,300 71,200
- palm kernels 8,200 7,300 16,500
-------- -------- --------
Rubber crops -
(PT Agro Muko) - own 1,066 1,152 1,904
- outgrowers 912 676 933
-------- -------- --------
1,978 1,828 2,837
-------- -------- --------
After an unexpectedly long downturn in PT Agro Muko's f.f.b. crop during 2005,
the anticipated improvement occurred in the first half of 2006. With regard to
rubber, the company's own production was slightly lower than last year but
bought-in raw material from outside sources increased markedly. With rubber
prices at very high levels, the company reported improved profits from this
source compared with the first half of 2005.
PT Kerasaan Indonesia achieved f.f.b. crops in line with expectations but
slightly below those for the same period last year. With a similar selling price
and cost inflation, referred to above under "Gross profit", the result for the
period was lower.
Malaysia
The Group's share of its Malaysian associated companies' operating
profits/(losses) for the period, compared with the first half of 2005 and the
whole of 2005 are set out below:-
6 months 6 months Year
ended ended ended
30 June 30 June 31 December
2006 2005 2005
£'000 £'000 £'000
Bertam Properties Sdn. Bhd. (40.00%) 419 84 395
Kennedy, Burkill & Co. Bhd. (20.01%) 48 79 134
Asia Green Environmental
Sdn. Bhd (30.00%) (19) (23) 16
------ ------ ------
448 140 545
------ ------ ------
The f.f.b. crop on Bertam Estate (owned by Bertam Properties Sdn. Bhd.) was as
follows:-
6 months 6 months Year
ended ended ended
30 June 30 June 31 December
2006 2005 2005
Tonnes Tonnes Tonnes
Bertam Estate 8,500 8,000 12,800
------ ------ ------
The sale of some 9 hectares of land, at a price of RM7.50 per square foot, by
Bertam Properties Sdn. Bhd. for a hotel development was completed in the first
half of 2006 and realised a profit before tax of approximately £635,000, of
which the Group's 40% share amounted to £254,000. This, together with profits
released from the company's housing developments, gave rise to a marked increase
in the overall profit for the period.
Australia
The Group's share of its Australian associated company's operating profit for
the period compared with the first half of 2005 and the whole of 2005 is set out
below:-
6 months 6 months Year
ended ended ended
30 June 30 June 31 December
2006 2005 2005
£'000 £'000 £'000
NAPCo (29.29%) 641 843 885
------ ------ ------
NAPCo's first-half earnings were above expectations but lower than for the same
period last year when exceptionally dry conditions prevailed and significant
numbers of cattle had to be sold earlier in the season than usual. The reason
for the strong first-half results for 2006 was twofold: first, the selling price
of cattle was higher than had been expected and, second, expenses were below
budget owing to the late start to the season.
Exceptional items
The exceptional gains arose primarily from the sale of the two Malaysian
estates, Sungei Reyla (660 hectares) and Beradin (1,085 hectares) for RM31.38
million (approximately £4.6 million) and RM53.22 million (approximately £7.8
million) respectively. Both sales were subject to Malaysian Real Property Gains
Tax of 5%. The proceeds from the sale of Sungei Reyla Estate were received in
the period and from Beradin Estate were received after the period end.
In the second half of the year, the sale of the 195-hectare Lendu Estate (for
RM26.00 million - approximately £3.70 million at the current rate of exchange)
was completed. The profit before tax of approximately £3.2 million arising from
this transaction will be brought into account in the second half of 2006.
Sennah Estate lawsuit
It is hoped that the hearing by the Supreme Court in Jakarta of the appeal by DR
Rahmat Shah will be heard before the end of 2006. The Group continues to contest
this appeal.
Prospects
F.f.b. crops in Indonesia are, as in previous years, expected to be higher in
the second half of the year than the first but, despite this, may, on the
majority-owned estates, be a little lower than that achieved for 2005. Crops
from the estates of the associated companies, particularly PT Agro Muko, are
expected to be substantially higher for 2006 as a whole, compared with 2005.
With the sale of Sungei Reyla and Beradin Estates having been completed in the
first half and that of Lendu Estate early in the second half of 2006, the
Malaysian crops will be markedly lower than for 2005.
With continuing strong demand for palm oil both for traditional human
consumption, particularly in China, and from the bio-fuel industry, the palm-oil
price has strengthened since the half year to around the US$500-per-tonne level.
The prospect of further significant expansion of bio-diesel production capacity
in Europe and South East Asia appears to be underpinning the price.
The Australian beef-cattle market remains at historically buoyant levels, with
demand for high-quality beef continuing to grow in Australia's principal market,
namely Asia.
Accordingly, the board remains optimistic, in the short term, of an improvement
in trading results in the second half and, in the long term, about prospects for
palm oil and beef cattle.
19 September 2006
CONSOLIDATED PROFIT AND LOSS ACCOUNT
For the six months ended 30 June 2006
6 months 6 months Year
ended ended ended
30 June 30 June 31 December
2006 2005 2005
as restated as restated
(see note 2) (see note 2)
£'000 £'000 £'000
Turnover
Continuing operations 6,010 5,200 10,791
Discontinued operations 655 642 1,391
------ ------ ------
6,665 5,842 12,182
Cost of sales (4,906) (3,433) (7,100)
------ ------ ------
Gross profit 1,759 2,409 5,082
------ ------ ------
Foreign-exchange (losses)/gains (94) (16) 234
Other administrative expenses (634) (574) (1,227)
------ ------ ------
Total administrative expenses (728) (590) (993)
------ ------ ------
Group operating profit
Continuing operations 786 1,605 3,588
Discontinued operations 245 214 501
------ ------ ------
1,031 1,819 4,089
Share of operating profit in
associates 2,174 2,032 3,794
------ ------ ------
Total operating profit 3,205 3,851 7,883
Exceptional items (note 3) 4,762 (625) (525)
------ ------ ------
Profit on ordinary activities
before interest 7,967 3,226 7,358
Interest receivable and similar
income 158 200 318
Interest payable (219) (141) (283)
Income from other fixed-asset
investments - - 89
------ ------ ------
Profit on ordinary activities
before taxation 7,906 3,285 7,482
Tax on profit on ordinary
activities (1,032) (1,228) (2,617)
------ ------ ------
Profit on ordinary activities
after taxation 6,874 2,057 4,865
Minority interests (157) (208) (499)
------ ------ ------
Profit on ordinary activities
attributable to the members of
M.P. Evans Group PLC 6,717 1,849 4,366
------ ------ ------
Basic earnings per 10p share 13.23p 3.67p 8.67p
------ ------ ------
Diluted earnings per 10p share 12.72p 3.54p 8.38p
------ ------ ------
CONSOLIDATED BALANCE SHEET
At 30 June 2006
30 June 30 June 31 December
2006 2005 2005
as restated as restated
(see note 2) (see note 2)
£'000 £'000 £'000
Fixed assets
Goodwill 285 - 292
Negative goodwill (843) (935) (889)
------ ------ ------
(558) (935) (597)
Tangible assets 36,472 36,604 40,500
Investments 32,976 28,970 31,789
------ ------ ------
68,890 64,639 71,692
------ ------ ------
Current assets
Stocks 1,644 1,052 1,622
Debtors 9,256 3,285 3,516
Investments 1,297 6,568 2,790
Cash at bank and in hand 6,231 1,546 3,006
------ ------ ------
18,428 12,451 10,934
------ ------ ------
Creditors: amounts falling due
within one year
Bank loans and overdrafts 5,950 2,379 2,755
Trade creditors 826 1,444 839
Amounts owed to associated
undertakings 109 124 72
Other creditors including taxation
and social security 2,801 2,379 3,356
------ ------ ------
9,686 6,326 7,022
------ ------ ------
Net current assets 8,742 6,125 3,912
------ ------ ------
Total assets less current
liabilities 77,632 70,764 75,604
Creditors - amounts falling due
after more than one year (529) (833) (536)
Provisions for liabilities (670) (727) (779)
Minority interests (3,421) (2,998) (3,319)
------ ------ ------
73,012 66,206 70,970
------ ------ ------
Capital and reserves
Called-up share capital 5,078 5,060 5,078
Share premium account 10,317 10,185 10,317
Revaluation reserve 13,329 19,852 20,372
Capital redemption reserve 2,139 2,139 2,139
Merger reserve (4,099) (4,099) (4,099)
Other reserve 264 184 231
Share of associated companies'
reserves 6,150 2,857 5,093
Profit and loss account 39,834 30,028 31,839
------ ------ ------
Total shareholders' funds (note 5) 73,012 66,206 70,970
------ ------ ------
CONSOLIDATED CASH-FLOW STATEMENT
For the six months ended 30 June 2006
6 months 6 months Year
ended ended ended
30 June 30 June 31 December
2006 2005 2005
as restated as restated
(see note 2) (see note 2)
£'000 £'000 £'000
Net cash inflow from operating
activities 2,808 3,901 5,499
Dividends from associated
undertakings 225 361 1,180
Returns on investments and
servicing of finance (note 6) (67) (68) (327)
Taxation (note 6) (1,826) (1,225) (1,838)
Capital expenditure and financial
investment (note 6) 218 (1,026) (4,199)
Acquisitions (note 6) (687) (4,102) (4,276)
Dividend paid (2,158) (3,035) (4,049)
------ ------ ------
Net cash outflow before management
of liquid resources and financing (1,487) (5,194) (8,010)
Management of liquid resources
Decrease/(increase) in short-term
deposits 1,399 (1,727) 2,151
Financing (note 6) (333) (205) (214)
------ ------ ------
Decrease in cash (421) (7,126) (6,073)
------ ------ ------
Reconciliation of total operating
profit to net cash inflow from
operating activities
Total operating profit 3,205 3,851 7,883
Exchange differences (136) 328 27
Depreciation and amortisation of
goodwill and negative goodwill (103) (150) (184)
Share-based payments 33 48 94
Share of associated undertakings'
operating profits (2,174) (2,032) (3,794)
Increase in stocks (70) (139) (516)
Decrease in debtors 1,531 883 1,169
Increase in creditors 522 1,112 820
------ ------ ------
Net cash inflow from operating
activities 2,808 3,901 5,499
------ ------ ------
NOTES TO THE INTERIM STATEMENTS
For the six months ended 30 June 2006
1. STATUTORY INFORMATION
The financial information for the six-month periods ended 30 June 2006 and 2005
has been neither audited nor reviewed by the Group's auditors and does not
constitute accounts within the meaning of section 240 of the Companies Act 1985.
The financial information for the year ended 31 December 2005 is abridged from
the statutory accounts and restated in accordance with the requirements of FRS
20 Share-Based Payments. The 31 December 2005 statutory accounts have been
reported on by the Group's auditors, Deloitte & Touche LLP, and have been filed
with the Registrar of Companies. The report of the auditors thereon was
unqualified and did not contain a statement under section 237(2) or (3) of the
Companies Act 1985.
2. ACCOUNTING POLICIES
These interim accounts have been prepared on the basis of accounting policies as
set out in the annual financial statements at 31 December 2005 other than as
noted below.
Share-based payments
The Company has issued equity-settled, share-based payments to certain directors
and employees, which are measured at fair value at the date of grant. The fair
value is expensed on a straight-line basis over the vesting period, based on the
Company's estimate of shares that will eventually vest. The impact of this is a
charge, which has been included in the profit and loss account, with a
corresponding adjustment to reserves. The Group has taken advantage of the
transitional provisions of FRS 20 in respect of equity-settled awards and has
applied FRS 20 only to equity-settled awards granted after 7 November 2002.
The proceeds received net of any directly attributable transaction costs are
credited to share capital (nominal value) and share premium when the options are
exercised. As a result of this change of policy, administrative expenses have
been increased by £33,000 (June 2005 £48,000, December 2005 £94,000).
3. EXCEPTIONAL ITEMS
6 months 6 months Year
ended ended ended
30 June 30 June 31 December
2006 2005 2005
£'000 £'000 £'000
Continuing operations
Loss on sale of tangible
fixed assets (27) - (72)
Gain on sale of fixed-asset
investments 4 - 95
Previously unrealised profit
on sale of land to associated
undertaking released to the
profit and loss account on sale
of land by associated undertaking
to third party 57 - 33
Re-organisation expenses - (625) (590)
Share of associated undertakings'
exceptional items (4) - 9
------ ------ ------
30 (625) (525)
Discontinued operations
Profit on sale of discontinued
operations 4,732 - -
------ ------ ------
4,762 (625) (525)
------ ------ ------
4. DIVIDENDS
6 months 6 months Year
ended ended ended
30 June 30 June 31 December
2006 2005 2005
£'000 £'000 £'000
2004 final dividend
- 6.00p per 10p share - 3,035 3,035
2005 interim dividend
- 2.00p per 10p share - - 1,014
2005 final dividend
- 4.25p per 10p share 2,158 - -
------ ------ ------
2,158 3,035 4,049
------ ------ ------
Subsequent to 30 June 2006, the board has declared an interim dividend of 2.00p
per 10p share. The dividend will be paid on or after 3 November 2006 to those
shareholders on the register at the close of business on 29 September 2006.
5. RECONCILIATION OF MOVEMENTS IN SHAREHOLDERS' FUNDS
6 months 6 months Year
ended ended ended
30 June 30 June 31 December
2006 2005 2005
as restated as restated
(see note 2) (see note 2)
£'000 £'000 £'000
Profit attributable to members
of the Company 6,717 1,849 4,366
Dividend (note 4) (2,158) (3,035) (4,049)
------ ------ ------
4,559 (1,186) 317
Issue of shares - 5,367 5,525
Share-based payments 33 48 94
Other recognised gains and losses
relating to the period (2,550) 2,143 5,200
------ ------ ------
Net addition to shareholders'
funds 2,042 6,372 11,136
Opening shareholders' funds 70,970 59,834 59,834
------ ------ ------
Closing shareholders' funds 73,012 66,206 70,970
------ ------ ------
6. ANALYSIS OF MOVEMENTS IN CASH FLOW
6 months 6 months Year
ended ended ended
30 June 30 June 31 December
2006 2005 2005
£'000 £'000 £'000
Returns on investments and
servicing of finance
Other dividends received - - 89
Interest received 158 200 318
Interest paid (219) (141) (283)
Dividends paid to minorities (6) (127) (451)
------ ------ ------
Net cash outflow from returns
on investments and servicing
of finance (67) (68) (327)
------ ------ ------
Taxation
Corporation tax paid (1,826) (1,225) (1,838)
------ ------ ------
Capital expenditure and
financial investment
Purchase of tangible fixed assets (4,954) (1,085) (4,409)
Sale of tangible fixed assets 5,165 59 62
Sale of fixed-asset investments 7 - 148
------ ------ ------
Net cash inflow/(outflow) from
capital expenditure and
financial investment 218 (1,026) (4,199)
------ ------ ------
Acquisitions
Re-organisation expenses - (625) (640)
Net overdraft acquired with
subsidiary undertaking - (1,722) (1,722)
Investment in subsidiary undertaking - - (36)
Investment in associated undertaking (687) (1,755) (1,878)
------ ------ ------
(687) (4,102) (4,276)
------ ------ ------
Financing
Repayment of loan (333) (205) (458)
Issue of shares - - 244
------ ------ ------
(333) (205) (214)
------ ------ ------
7. RECONCILIATION OF NET CASH FLOW AND MOVEMENT IN NET FUNDS
6 months 6 months Year
ended ended ended
30 June 30 June 31 December
2006 2005 2005
£'000 £'000 £'000
Decrease in cash in the period (421) (7,126) (6,073)
(Decrease)/increase in liquid
resources (1,399) 1,727 (2,151)
Movements in loans 333 205 458
Exchange differences 32 266 444
------ ------ ------
Movements in net funds (1,455) (4,928) (7,322)
Net funds at 1 January 2,508 9,830 9,830
------ ------ ------
Net funds at 30 June/31 December 1,053 4,902 2,508
------ ------ ------
8. EXCHANGE RATES
6 months 6 months Year
ended ended ended
30 June 30 June 31 December
2006 2005 2005
£'000 £'000 £'000
£1 = Indonesian Rupiah
- average 16,476 17,640 17,653
- period end 17,132 17,494 16,893
------ ------ ------
US$1 = Indonesian Rupiah
- average 9,205 9,420 9,712
- period end 9,263 9,760 9,840
------ ------ ------
£1 = US$
- average 1.79 1.87 1.82
- period end 1.85 1.79 1.72
------ ------ ------
£1 = Malaysian Ringgit
- average 6.60 7.12 6.89
- period end 6.80 6.81 6.49
------ ------ ------
£1 = Australian Dollar
- average 2.41 2.47 2.39
- period end 2.49 2.35 2.34
------ ------ ------
9. DISTRIBUTION
The interim report for the six-month period ended 30 June 2006 will be
despatched to shareholders on 25 September 2006 and copies thereof will be
available from the Company at 3 Clanricarde Gardens, Tunbridge Wells, Kent TN1
1HQ on and after that date.
By order of the board
J F Elliott
Secretary
19 September 2006
Latest directors dealings
- 1 day ago The Renewables Infrastructure Group Limited
- 1 day ago The Renewables Infrastructure Group Limited
- 1 day ago Smurfit Westrock (DI)
- 1 day ago Menhaden Resource Efficiency
- 1 day ago BP