Special Dividend

RNS Number : 9885W

Photo-Me International PLC

04 February 2013

 



4th February 2013

PHOTO-ME INTERNATIONAL PLC

("PHOTO-ME or The Group")

SPECIAL DIVIDEND

In the half-year results announcement released on 7 December 2012, Photo-Me announced that its net cash position at the end of October 2012 had increased to £70 million and that the Board would be considering options to return some of this cash to shareholders.

The Group is therefore pleased to announce that the Board has approved the return of approximately £11 million to shareholders by way of a special dividend of 3 pence per ordinary share (the "Special Dividend") which will be payable on 8 March 2013 to shareholders on the register at 15 February 2013, the ex-dividend date being 13 February 2013.

Background

Following the reappointment of Serge Crasnianski as CEO, the Group's financial performance has improved considerably over the last three years and the company has moved from a net debt position of £23.5 million at the end of April 2009 to a net cash position of £70.0 million at the end of October 2012 - an improvement of some £93.5 million. The dividend was restored in the year ending April 2010 and since then the Group has pursued a progressive dividend policy, which it plans to continue.

The Group will be investing in and self-financing its new laundry product as announced in December 2012, as well as other new product initiatives.

The level of the Special Dividend takes into account:

1.    The Group's capital expenditure programme going forward

2.    The intention to maintain a progressive dividend policy

3.    The level of distributable reserves available to pay dividends

Photo-Me is not making any commitment at this time to any further return of cash, but will continue to review the situation in the light of the Group's financial performance going forward.

Serge Crasnianski, CEO, commented:

"We have made great strides in the last three years both in terms of product development and financial performance, particularly cash generation. We have some exciting new products to launch in the coming months and it is pleasing to be in a position to be able to finance these internally and at the same time increase our returns to shareholders".

Enquiries:

Photo-Me International

Serge Crasnianski or Françoise Coutaz-Replan   01372 453 399

Media: Madano Partnership                                     

Matthew Moth /Julien Cozens   020 7593 4000                                                           

Investors: IR Focus

Neville Harris    020 7593 4015    

 

END

 

 

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