Printing.com plc
20 April 2005
TO BE RELEASED 7.00AM 20 APRIL 2005
PRINTING.COM PLC
('Printing.com' or 'the Company')
Specialist retail chain with 102 Outlets (plus 17 pending) across the UK
Pre close trading update
* Robust trading to year end
* Results in line with market expectations
* Additional 7 Bolt-on Franchise Agreements completed
* Additional 2 Printing.com Territory Franchise Stores open
* 3 new Territory Franchises under Option
* 119 Outlets, 102 operational plus 17 pending
* Cash generation strong in second half
* Prospect of maiden dividend
* Directors optimistic that the outlook for the Group is positive
Recent Trading and Market Expectations
We are pleased to report that, post our last market update on 17 February 2005,
trading continued to prove robust and in line with expectations. Additionally
the estate expansion, for both Territory and Bolt-on Franchises, has proved
encouraging.
The Company's unaudited management accounts for the year ending 4 April 2005
indicate a pre tax profit in line with recent market expectations. Of particular
note has been the strong generation of cash from operational activity during the
second half of the fiscal year.
Territory Franchise Development
When last updating the market we reported our anticipation that the Coventry and
Dublin North Territory Franchises would be open by 31 March 2005. These
Franchise Agreements have now been completed. The Dublin North Territory
Franchise is now operational, albeit from interim premises, whilst Coventry
still requires the completion of certain property matters. We are also pleased
to report that last month a further Store commenced trading in Luton (part of
our Hertfordshire Territory Franchise) several months ahead of expectations.
Encouragingly, property has now been secured for the Brighton Territory
Franchise and the Store is currently undergoing shop fitting. An offer has also
been made in respect of premises in the Manchester North area.
Also, at the time of the last update, we reported that an Option had been taken
out covering the Territory Franchise for our Nottingham Store and that a
Management Buyout of our Sheffield Store was expected. We are pleased to report
that both of these transactions were completed prior to the year end.
In addition a further three Options (each involving the payment of a
non-refundable deposit of £6,000) have been taken out, covering Birmingham East,
Birmingham South West and Northamptonshire. This took the number of operational
Stores by the year end to 32 (9 company owned), with a further 8 pending under
'Option'.
The recent Franchise exhibition in London proved to be a success, adding to the
number of high calibre prospective Franchisees being interviewed and assessed,
and we are optimistic that additional Options will be granted in the first half
of the next financial year.
Bolt-on Franchise Development
Since the last market update an additional 7 Bolt-on Franchise Agreements have
been completed. This took the total number of operational Bolt-ons at the year
end to 70 with a further 9 pending. The overwhelming majority of these
additional Bolt-on Franchises were secured in territories where either a Company
Store or Territory Franchise is in operation. This lends further weight to the
belief that Bolt-on Franchise expansion will continue to accelerate with further
development of the Territory Franchise structure.
The Directors note the strong pipeline of prospective Bolt-on Franchises and are
confident that additional agreements will be completed over the coming months.
Cash
We commented in the Company's Annual Report & Accounts for the year ended 31
March 2004 that the Company's model indicated that future cash flow should more
closely follow profit. We are pleased to announce that this expectation has been
realised during the year just ended on 4th April 2005. Indeed during the second
half of the year the Company's operating cash flow exceeded the Company's
unaudited operating profit.
Commencement of Dividends
With Printing.com's balance sheet now showing distributable reserves, albeit at
a modest level at this juncture, it is anticipated that the Company will be in a
position to declare a maiden dividend when it announces its preliminary results
in June of this year; A further very important milestone in the Company's rapid
development
The Directors remain optimistic that the outlook for the future development of
the Group is positive and that shareholders can look forward to further growth.
For further information:
Printing.com plc
Tony Rafferty (Chief Executive) 07966 517 336
Alan Roberts (Finance Director) 0161 848 5713
Beattie Financial
Brian Coleman-Smith / Jo Clewlow 020 7053 6400
The Directors of Printing.com plc take full responsibility for this
announcement.
Outlet Region Town Post Code
Red Hot Media East Lowestoft NR32 1EB
Goldengate East Suffolk IP30 9QS
Dublin Store Ireland Dublin Dublin 2
North Dublin Ireland Dublin Dublin 7
Central London Store London Baker Street NW1 6UY
Hampstead Store London Hampstead NW3 5HS
Watford Store London Watford WD17 1RA
Harrow Store London Harrow HA7 2QJ
Reading Store London Reading RG1 4QA
Ealing Store London Ealing W13 8SB
Orpington London Orpington BR6 0JY
Luton London Luton LU1 2PL
Expocentric - Wardour London Soho W1V 3AU
Expocentric - Dover London Mayfair W1X 3PH
London & General London Chelsea SW10 0XF
Full Colour Store London Clapham SW17 9SH
Print Express London Colindale NW9 5DL
0800 Promote London Finchley N3 1TR
Printer Net Services London Wimbledon SW19 8TY
London Print Compamy London Shaftesbury Avenue WC2H 8EB
Printhouse London Nottinghill W11 3HT
0800 Promote London North Finchley N12 9QG
Birmingham Store Midlands Birmingham B5 4JL
Oxford Store Midlands Oxford OX2 7HT
Leicester Store Midlands Leicester LE1 1LB
Wolverhampton Midlands Wolverhampton WV1 4BL
Nottingham Store Midlands Nottingham NG1 6DQ
Kaleidoscope Midlands Leamington Spa CV31 1BZ
Albry Printing Company Midlands Wallingford OX10 9DA
Final Imaging Midlands Sawtry PE28 5SB
Dove Signs Midlands Nuneaton CV11 6GX
Custard Creative Midlands Northampton NN3 6WL
Cre8ive Design Midlands Kenilworth CV8 1JD
For Colour Midlands Newark, Nottingham NG24 1LE
Sign It Midlands Beeston, Nottingham NG9 2AY
Ozmedia Print Midlands Barrow Upon Soar LE12 8JH
Pewter Design Midlands Market Harborough LE16 7DS
St Ives Quickprint Midlands St Ives PE27 3WS
Artichoke Design Midlands Birmingham B18 6NN
The Ideas Room Midlands Leicester LE3 0DL
Ideas Taking Shape Midlands Rugby CV21 2SD
Graphic Results Midlands Belper DE56 1AY
The Studio Midlands Walsall WS1 1JQ
Hussellworks Midlands Halesowen B63 3HR
Hull Store North East Hull HU1 2AG
Newcastle Store North East Newcastle NE1 5EE
Leeds Store North East Leeds LS1 3DL
Middlesbrough North East Middlesbrough DL16 7HH
Sheffield Store North East Sheffield S1 4GF
Colour Box Design North East York YO23 1NA
Multiprint North East Normanton WF6 2AF
Print House Direct North East Bishop Auckland DL14 0LZ
The Factory North East Leeds LS12 2DS
Maskerade Design North East Sunderland SR2 7PR
Pro-Actif Communications North East Darlington DL3 7TD
GOWEB North East Wakefield WF2 9BL
Creative Web design UK North East Alnwick NE71 6EA
Blah D Blah North Wales Bangor LL57 1NY
Manchester Store North West Manchester M3 4BQ
The Hub North West Trafford Park M17 1FG
Liverpool Store North West Liverpool L2 2HF
Lancaster Store North West Lancaster LA1 1XN
Warrington North West Warrington WA1 1EP
Granthams - Preston North West Preston PR1 2UQ
Granthams - Blackpool North West Blackpool FY1 4PE
Print Design Warehouse North West Marple SK6 7AD
RAS Limited North West Chester CH3 5AG
Silverback North West Isle of Man IM1 2LA
Mailboxes North West Stockport SK1 1LE
Printel North West Widnes WA3 8LG
ER Design & Print North West Alsager CW2 5PR
Impact Advertising North West Timperley WA15 7SP
Masterprint North West St Helens WA10 1DH
Copycat North West Maghull L31 2HB
Alert 2 Media North West Manchester M1 1DZ
Print Hub Design North West Bolton BL1 3QJ
Bradbury Graphics Northern Ireland Belfast BT7 1BS
Xpress Creative Northern Ireland Newtonabbey BT36 4PU
Mooney Media Northern Ireland County Down BT32 4QD
Edinburgh Store Scotland Edinburgh EH3 6QY
Edinburgh Store Scotland Edinburgh EH3 9LY
Glasgow Store Scotland Glasgow G3 8LZ
Color Co. - Edinburgh Scotland Edinburgh EH2 2PA
Glasgow Print Scotland North Glasgow G64 1RX
Hamilton (662c) Scotland Hamilton ML3 7AR
Ashford Store South East Ashford TN24 8UU
TRS Graphics South East Croydon CR2 6EB
Felix Communications South East Rochester ME2 4HZ
Studio Direct South East Chelmsford CM2 6HE
Lussh Creative South East Chesterfield S40 2BY
Inprint South East Colchester CO1 1PB
Haus of Print South West Andover SP11 6RU
Bristol Store South West Bristol BS1 3LZ
Plymouth Store South West Plymouth PL4 0AU
Bournemouth South West Bournemouth DT1 1HS
Anneset South West Weston-Super-Mare BS23 3DE
Presto Print South West Christchurch BH23 1QD
Malthouse South West Taunton TA1 3EP
Wessex Direct South West Minehead TA24 5UB
Print Creative South West Bath BA1 2JB
Printing South West South West Totnes TQ9 5DW
Australian Welsh Wales Cardiff CF14 3JP
This information is provided by RNS
The company news service from the London Stock Exchange
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