Half Yearly Report

RNS Number : 7632O

Slingsby(H.C.)Plc

23 September 2011

 



23 September 2011

H C Slingsby plc ("the Company")

Report for the half year ended 30 June 2011

Statement by the Chairman

As previously notified, activity levels slowed markedly from late April onwards and the trading environment has become very challenging.  This has been reflected in our results for the first half, with turnover of £7,792,000 (2010: £8,414,000) and a pre-tax profit of £276,000 (2010: £604,000).

Activity levels have continued to be depressed since the period end and your Board can see no signs of any immediate upturn.  In this light we maintain our focus on controlling costs.  We do, however, continue to invest in information technology.  We are looking to further enhance our website and to fully integrate it with improved business systems.  Together with the continuing strength of the Company's balance sheet, your Board remains confident that the Company will be well placed as and when the economy starts to recover.

We recommend an interim dividend of 4.0p (2010: 5.0p). This will be paid on 4 January 2012 to shareholders on the Register at the close of business on 2 December 2011.

J R Waterhouse

Non-Executive Chairman

23 September 2011

Registered Office

Otley Road, Baildon, Shipley BD17 7LW

For further information please contact:

H C Slingsby plc
Dominic Slingsby, Managing Director	01274 535 030
Ray Hudson, Financial Director
Evolution Securities Limited
Joanne Lake/Peter Steel	0113 243 1619

Unaudited Condensed Consolidated Income Statement for the half year ended 30 June 2011

		Half year	Half year	Year
		ended	ended	ended
		30/06/11	30/06/10	31/12/10
	Note	£'000	£'000	£'000
Turnover		7,792	8,414	16,652
		---------	---------	---------
Operating profit		383	697	1,259
Finance income		19	15	38
Finance expense		(126)	(108)	(215)
		--------	--------	--------
Profit before taxation		276	604	1,082
Taxation	2	(21)	(179)	(365)
		--------	--------	--------
Profit for the period attributable to equity shareholders		255  --------	425  --------	717  --------
Basic and diluted earnings per share		25.5p	42.5p	71.7p
		--------	--------	--------
Proposed interim/final dividend per share		4.0p	5.0p	35.0p
		--------	--------	--------

The results set out above derive entirely from continuing operations.

The above unaudited condensed consolidated income statement should be read in conjunction with the accompanying notes.

Unaudited Consolidated Statement of Comprehensive Income and Expense for the half year ended 30 June 2011

		Half year	Half year	Year
		ended	ended	Ended
		30/06/11	30/06/10	31/12/10
		£'000	£'000	£'000
Actuarial loss on pension scheme		(167)	(444)	(394)
Movement in deferred tax relating to pension liability		(23)	125	42
Exchange adjustment		14	(21)	(9)
		--------	--------	--------
Net expense recognised directly in equity		(176)	(340)	(361)
Profit for the period		255	425	717
		--------	--------	--------
Total income recognised for the period attributable to equity shareholders		79	85	356
		--------	--------	--------

The above unaudited consolidated statement of comprehensive income and expense should be read in conjunction with the accompanying notes.

Unaudited Consolidated Balance Sheet as at 30 June 2011

		30/06/11	30/06/10	31/12/10
		£'000	£'000	£'000
Assets
Non-current assets
Property, plant and equipment		6,654	6,676	6,642
Intangible asset		152	215	202
Deferred tax asset		852	975	824
		---------	---------	--------
		7,658	7,866	7,668
		---------	---------	--------
Current assets
Inventories		2,087	1,494	1,785
Trade and other receivables		2,475	2,687	3,233
Cash and cash equivalents		3,575	3,457	3,420
		---------	---------	---------
		8,137	7,638	8,438
		---------	---------	---------
Liabilities
Current liabilities
Trade and other payables Derivative financial liability		(2,793) -	(2,492) -	(2,960)             (8)
Current tax liabilities		(380)	(330)	(308)
		---------	---------	---------
		(3,173)	(2,822)	(3,276)
		---------	---------	---------
Net current assets		4,964	4,816	5,162
		---------	---------	---------
Non-current liabilities
Retirement benefit obligation		(6,774)	(6,784)	(6,661)
		---------	---------	---------
Net assets		5,848	5,898	6,169
		---------	---------	---------
Capital and reserves
Called up share capital		250	250	250
Retained earnings		5,555	5,631	5,890
Translation reserve		43	17	29
		---------	---------	---------
Total equity		5,848	5,898	6,169
		---------	---------	---------

The above unaudited consolidated balance sheet should be read in conjunction with the accompanying notes.

Unaudited Consolidated Statement of Changes in Shareholders' Equity

	Share Capital	Retained earnings	Translation reserve	Total equity
	£'000	£'000	£'000	£'000
At 1 January 2010	250	5,865	38	6,153
Total income recognised for the period	-	160	(21)	85
Dividends paid	-	(340)	-	(340)
	---------	---------	---------	---------
At 30 June 2010	250	5,631	17	5,898
	---------	---------	---------	---------
At 1 January 2011	250	5,890	29	6,169
Total income recognised for the period	-	65	14	79
Dividends paid	-	(400)	-	(400)
	---------	---------	---------	---------
At 30 June 2011	250	5,555	43	5,848
	---------	---------	---------	---------

The above unaudited consolidated statement of changes in shareholders' equity should be read in conjunction with the accompanying notes.                                                                               

Unaudited Consolidated Statement of Cash Flows for the half year ended 30 June 2011

		Half year	Half year	Year
		ended	ended	Ended
		30/06/11	30/06/10	31/12/10
	Note	£'000	£'000	£'000
Cash flows from operating activities
Cash generated from operations	3	702	796	1,344
Interest received		11	9	28
UK corporation tax received/(paid)		-	91	(49)
		---------	---------	---------
Cash generated from operating activities		713	896	1,323
		---------	---------	---------
Cash flows from investing activities
Purchase of property, plant and equipment		(209)	(160)	(394)
Proceeds from sales of property, plant and equipment		37	7	65
		---------	---------	---------
Net cash used in investing activities		(172)	(153)	(329)
		---------	---------	---------
Cash flows from financing activities
Equity dividends paid		(400)	(40)	(340)
		---------	---------	---------
Net cash used in financing activities		(400)	(40)	(340)
		---------	---------	---------
Net increase in cash and cash equivalents		141	703	654
Opening cash and cash equivalents		3,420	2,775	2,775
Exchange differences		14	(21)	(9)
		---------	---------	---------
Closing cash and cash equivalents		3,575	3,457	3,420
		---------	---------	---------

The above unaudited consolidated statement of cash flows should be read in conjunction with the accompanying notes.

Notes to the Interim Report for the half year ended 30 June 2011

1.	Interim Financial Information
	The condensed consolidated interim financial information does not constitute statutory accounts within the meaning of Section 434 of the Companies Act 2006. The interim financial statements, which are unaudited and have not been reviewed by the Company's auditors, have been prepared in accordance with the policies set out in the 2010 Annual Report and Accounts. The comparative figures for the year ended 31 December 2010 do not constitute full financial statements and have been abridged from the full accounts for the year ended on that date, on which the auditors gave an unqualified report, which did not contain an emphasis of matter paragraph and did not contain any statement under Section 498 of the Companies Act 2006. The 2010 accounts have been delivered to the Registrar of Companies.  The Company has chosen not to adopt IAS 34 'Interim Financial Statements' in preparing the financial information.
2.	Taxation
		Half year	Half year	Year
		ended	ended	Ended
		30/06/11	30/06/10	31/12/10
		£'000	£'000	£'000
	Current tax	72	168	286
	Deferred tax	(51)	11	79
		---------	---------	---------
		21	179	365
		---------	---------	---------
	The effective tax rate is 19% (2010 half year: 30%, 2010 full year: 34%).
3.	Reconciliation of operating profit to net cash inflow from operating activities
		Half year	Half year	Year
		ended	ended	ended
		30/06/11	30/06/10	31/12/10
		£'000	£'000	£'000
	Operating profit	383	697	1,259
	Depreciation	224	226	455
	Profit on sale of property, plant and equipment	(8)	(3)	(19)
	Difference between pension charge and contributions	(180)	(180)	(360)
	Increase in inventories	(302)	(107)	(398)
	Decrease/(Increase) in trade and other receivables	761	(17)	(546)
	(Decrease)/Increase in trade and other payables	(176)	180	953
		---------	---------	---------
	Net cash inflow from operating activities	702	796	1,344
		---------	---------	---------

 

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