Interim Results

RNS Number : 2106O

Norish PLC

14 September 2011

 

Norish plc

Interim results 2011

 

Results

Norish plc announces pre-tax profits of £186,000 for the six months ended 30 June 2011. This compares with pre-tax profits of £208,000 for the same period last year. Turnover from continuing operations increased by 7% to £5,338,000.Earnings per share decreased to 1.8p, compared to 2.1p for the same period last year.

Our cold store business performed better than the first half of last year, primarily due to increased turnover. However, the business suffered from increased power costs and an increase in labour intensive handling activities for some of our customers.

Our ambient site at York did not perform as well as the same period last year due to an across the board fall off in stock holding and throughput which we expect to correct to some degree  in the second half of the year.

We currently use R22 refrigeration gas at 3 of our cold stores.  R22 is a Hydrochlorofluorcarbon (HCFC) which is classed as an ozone depleting gas and with effect from 1^st January 2010 it is no longer possible to purchase virgin R22. However, the use of re-cycled R22 is still permitted until 31^st December 2014. We currently have an option to purchase 44,808 kg of re-cycled R22 at £4.05 per kg which is below the current market value. Under IAS39 Financial Instruments (Recognition and measurement) we have accounted for a unrealised profit of £100,000 in the first half of the year, which compares with £208,000 for the same period last year.

Dividend

The board does not recommend a payment of an Interim dividend, unchanged from last year.

Financial Strength

Shareholders funds at 30 June 2011 were £7,563,000 compared with £7,500,000 at 31 December 2010. Net debt at 30 June 2011 was £7,628,000, compared with a net debt of £8,135,000 at 30 June 2010.

Ted O'Neill

Chairman

14 September 2011

Norish plc
Consolidated income statement
For the six months ended 30 June 2011
		Six months	Six months	Year
		ended	ended	ended
		30 June	30 June	31 December
		2011	2010	2010
		(Unaudited)	(Unaudited)	(Audited)
		£'000	£'000	£'000
Continuing operations
Revenue		5,338	4,983	10,654
Cost of sales		(5,004)	(4,686)	(9,850)
Gross profit		334	297	804
Other income		100	208	410
Administrative expenses		(185)	(185)	(481)
Operating profit from continuing operations		249	320	733
Finance expenses		(96)	(136)	(278)
Finance income		33	24	97
Profit on continuing activities before taxation		186	208	552
Tax on profit on ordinary activities		(37)	(26)	(111)
Profit for the period attributable to shareholders		149	182	441
Profit per share expressed in pence per share:
From continuing operations - basic		1.8p	2.1p	5.2p
Weighted average number of ordinary shares		8,466,230	8,466,230	8,466,230
- diluted		1.8p	2.1p	5.2p
Weighted average number of diluted ordinary shares		8,466,230	8,466,230	8,466,230

Norish plc
Interim balance sheet
As at 30 June 2011
	As at	As at	As at
	30 June	30 June	31 December
	2011	2010	2010
	(Unaudited)	(Unaudited)	(Audited)
	£'000	£'000	£'000
Assets
Non current assets
Goodwill	216	216	216
Property, plant and equipment	15,313	15,675	15,384
Derivate financial instruments	579	277	479
	16,108	16,168	16,079
Current assets
Trade and other receivables	2,940	3,040	2,494
Financial assets: Fair value of interest rate swaps	5	-	-
Current tax asset	10	-	10
Cash and cash equivalents	172	8	194
	3,127	3,048	2,698
Liabilities
Current liabilities
Trade and other payables	(2,420)	(2,217)	(2,556)
Financial liabilities: Fair value of interest rate swaps	-	(86)	(13)
Current tax liabilities	(37)	(110)	-
Bank overdraft and loans	(1,519)	(1,334)	(666)
	(3,976)	(3,747)	(3,235)
Net current assets	(849)	(699)	(537)
Non-current liabilities
Bank loans	(6,109)	(6,809)	(6,442)
Provisions	(496)	(527)	(509)
Deferred tax	(1,091)	(899)	(1,091)
	(7,696)	(8,235)	(8,042)
Net assets	7,563	7,234	7,500
Equity
Share capital	1,493	1,493	1,493
Share premium account	3,156	3,156	3,156
Capital conversion reserve fund	23	23	23
Retained earnings	2,891	2,562	2,828
Equity attributable to equity holders of the parent	7,563	7,234	7,500

Norish plc
Consolidated statement of changes in equity
For the six months ended 30 June 2011
			Capital
	Share	Share	Conversion	Retained
	capital	premium	Reserve	earnings	Total
	(Unaudited)	(Unaudited)	(Unaudited)	(Unaudited)	(Unaudited)
	£'000	£'000	£'000	£'000	£'000
At 1 January 2010	1,493	3,156	23	2,373	7,045
Net profit for the period	-	-	-	182	182
Credit in respect of employee share schemes	-	-	-	7	7
Equity dividends paid (recognised directly in equity)	-	-	-	-	-
At 30 June 2010	1,493	3,156	23	2,562	7,234
Net profit for the period	-	-	-	259	259
Credit in respect of employee share schemes	-	-	-	7	7
Equity dividends paid (recognised directly in equity)	-	-	-	-	-
At 31 December 2010	1,493	3,156	23	2,828	7,500
Net profit for the period	-	-	-	149	149
Credit in respect of employee share schemes	-	-	-	7	7
Equity dividends paid (recognised directly in equity)	-	-	-	(93)	(93)
At 30 June 2011	1,493	3,156	23	2,891	7,563

Norish plc
Consolidated cash flow statement
For the six months ended 30 June 2011
	Six months	Six months	Year
	Ended	ended	Ended
	30 June	30 June	31 December
	2011	2010	2010
	(Unaudited)	(Unaudited)	(Audited)
	£'000	£'000	£'000
Profit on continuing activities before taxation	186	208	552
Adjustments for:
Finance expenses	96	136	278
Finance income	(33)	(24)	(97)
Fair value gains on interest rate swaps/caps	15	24	97
Depreciation - property, plant and equipment	286	303	608
Employee share schemes	7	7	14
Changes in working capital:
Increase  in trade and other receivables	(551)	(750)	(413)
(Decrease)/increase in payables	(146)	(57)	186
(Decrease) in provisions	(13)	(41)	(60)
Cash generated from operations	(153)	(194)	1,165
Interest paid - bank loans and overdrafts	(96)	(136)	(278)
Taxation paid	-	-	(13)
Net cash from operating activities	(249)	(330)	874
Investing activities
Interest received	15	-	-
Purchase of property, plant and equipment	(215)	(950)	(966)
Net cash used in investing activities	(200)	(950)	(966)
Financing activities
Dividends paid to shareholders	(93)	-	-
Term loan advance	-	500	500
Term loan repayments	(333)	(325)	(659)
Net cash used in financing activities	(426)	175	(159)
Net decrease in cash and cash equivalents	(875)	(1,105)	(251)
Cash and cash equivalents and bank overdrafts, at beginning of period	194	445	445
Cash and cash equivalents and bank overdrafts, end of period	(681)	(660)	194

Note: The accounting policies applied throughout the period are consistent with those applied for the year ended 31 December 2010, as set out in the 2010 Annual Report.

 

END

 

 

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