Final Results

Toad PLC 4 April 2001 TOAD plc Report and Accounts 53 weeks to DECEMBER 31st 2000 PROFITS UP 40% to £2.6 million Launch of ACTRA New Telematics Product Savoy Hotel Presentation Today - April 4th TOAD plc CHAIRMAN'S STATEMENT I am pleased to present our results for the 53 week period ended 31 December 2000. This was another excellent period of trading for the company, in which we grew turnover to £33.6 million (52 weeks to December 1999: £31.9 million) and again achieved a substantial growth in our net profit before tax, which leapt to £2.6 million (52 weeks to December 1999: £1.8 million). These figures were achieved in spite of September's unexpected fuel crisis, which severely affected that month's profit performance. Toad today is a sound and profitable company with a dynamic management team that is committed to developing new products and services that will exploit the company's substantial operational infrastructure. The sales, call centre, installation and distribution infrastructure has already established Toad as the UK's number one specialist vehicle audio, security and multi-media company and over the last five years we have fitted over 1 million cars with a Toad related product. This gives us the solid foundations from which we can attack new and rapidly growing sectors such as the potentially huge vehicle telematics market. I am delighted to announce that today we are launching the first of our new telematics products into the market. ACTRA(TM), our active travel system, is a web-based GPS GSM intelligent vehicle location system that utilises the latest wireless technology to provide location specific information and services to the car driver and fleet owner. The first product in the range is ACTRA(TM) Fleet, providing the fleet manager with the latest vehicle asset management tools through the internet. This will be followed in Quarter 3 with the first of our consumer on-board product range, ACTRA(TM) Touch. All of these will be web-enabled and can be viewed at www.myactra.com. This is a substantial new opportunity for the company and as the UK's leading after-market specialists we plan to invest over £1m in the next two years, to establish ourselves as a major player in this new and exciting market. To spearhead our expansion into this growing market Stephen Wheatley replaced John Lewin as Chief Executive on 28 November 2000. John has done a fantastic job turning the company into the profitable business it is today and I would like to thank him for all his hard work over the last three years. Stephen has been closely involved with Toad over the last 18 months as a non-executive director and was a founder director of Tracker Network plc until it was sold in 1999. He is a leading expert in the telematic market. Stephen has considerable experience in launching new vehicle technology systems and the directors believe the long term potential value of the telematics markets, combined with Stephen's ability to leverage our existing infrastructure and customer base to become a major telematics player, will outweigh the cost of investing in telematics during 2001 and increase shareholder value over the long term. Sir Christopher Evans OBE Chairman CHIEF EXECUTIVE'S REPORT I am delighted to give my first report for the company in what has been another excellent period for Toad. We improved our pre-tax profits by 40% to £ 2.6 million during the period, despite the problems that we, along with many other companies, suffered in September during the unexpected fuel crisis. As market leader in the vehicle security, audio and multi-media markets, we have developed an excellent operational infrastructure that is providing us with the ability to leverage our position as the UK's number one after-market specialist and develop new markets where we can capitalise on these strengths. TOAD CORPORATE SERVICES Our mobile installation service to the fleet, insurance and multiple retail companies continued to consolidate itself as the market leader in this specialist installation field. Sales remained steady at £14.0 million and we continue to be the major supplier to almost all of the major insurance and multiple retail companies in the UK. We had a number of new contract wins during the year that have reinforced this position and the directors are confident that the business will show growth during 2001. TOAD AUDIO EXPRESS Our audio wholesale business, which was re-branded Toad Audio Express in February 2000, had an excellent period increasing sales by over 23% to £9.0 million. We continue to be the UK's number one audio wholesaler to the specialist after-market and have excellent relationships with all the UK's major audio companies. Encouragingly the Toad Audio Express team sold over £ 0.5 million of the new Toad multi-media range during the period and expect this to grow during 2001. TOAD VEHICLE TECHNOLOGY DIVISION 2000 was a difficult year for our Vehicle Technology Division (VTD). The underlying vehicle alarm business is performing well but due to the ending of our relationship with Laserline Italy towards the end of the year, and the impact of the fuel crisis on consumer spending in September, our vehicle alarm sales decreased by 6.5% in the period to £9.5 million. The negative impact of the dollar exchange rate on our TOAD and Sigma alarm ranges depressed margins in November and December. To grow the business in 2001 we have appointed a new Divisional Director to head up the VTD business and replaced the Laserline brand, which had become our weakest UK brand, with a new ground breaking vehicle security product. Mike Beagrie was appointed as the Divisional Director of the Toad VTD in October 2000. Mike joined us from a major UK car alarm competitor, where he was UK Sales Director. He has a wealth of experience in the vehicle after-market sector and will help to drive the divisions sales forward during 2001. During March 2001 we announced an innovative new partnership with Max Power, one of the UK's leading motoring magazines, published by EMAP. Max Power's target audience is the younger male car owner with a high disposable income that is mainly spent on his car. We have launched a Max Power branded range of premium alarm systems that will be supported by a year's advertising campaign by Max Power. The high impact advertising and point-of-sale campaign is aimed at the two million male car owners who read Max Power and the directors are confident that the product will succeed in opening up a new sector of the market for the company and provide up to £1 million of sales in the first year. The directors believe that these measures will show positive results for Toad's Vehicle Technology Division in the year 2001. TOAD M3 In April 2000 we launched our new mobile multi-media range of in-car screens, video, DVD players. The launch, through our existing sales and distribution network was extremely successful, generating over £0.7 million of revenue in the period and in June 2000 our portable in-car Video Traveller won the Auto Express 'Car Accessory of the Year' award, reinforcing the new brand's position in the market. We currently have 9 multi-media products in the range and we're gaining distribution in the franchise motor dealers and multiple retailers that the directors believe will have a significant impact on sales in 2001. TOADE.COM In April 2000 we launched our new e-commerce operation www.toade.com, an interactive web proposition with secure on-line ordering, a nationwide installation service, news, magazine features, chat rooms, competitions and information on the latest products such as multi-media, navigation and digital audio. As the after-market specialist in the audio, security and multi-media sector, the site has enabled us to capitalise on the needs of the motoring e-commerce companies who require high quality warehouse, fulfilment and national 'at home' installation services. During the period our e-commerce operation turned over approximately £0.4 million and we now have contracts with many of the major internet car retailing sites and motoring services portals. We will continue to develop this new market in 2001. TOADPLC.COM In August we launched our investor relations website designed to keep shareholders and prospective shareholders up to date on Toad. The site gives details on the company, the directors, news and press releases and the latest share price. You can visit the site at www.toadplc.com INTEGRATED TECHNOLOGIES (INTERNATIONAL)LTD During the period we took a controlling interest in Integrated Technologies (International) Limited (ITI), a start up company developing and distributing audio interface cables that link after-market CD and MD changers, such as Sony and Kenwood, to car manufacturers radio head units. These cables not only improve the choice available to the car owner but also reduce the price of upgrading a car entertainment system to play CD or mini-disc. Like most start ups, ITI made a small loss during the period, but we are encouraged by its performance to date and the directors believe the business will generate profits during 2001. This profitability will be enhanced by the acquisition, in December 2000, of the Intellectual Property Rights (IPR) for several of the audio interface cables, for £110,000. During the period we invested £294,000 in ITI, in addition to the IPR investment, and anticipate no further investment during 2001. BELRON INTERNATIONAL The marketing alliance with Autoglass in the UK continues to provide operational benefits in our insurance audio replacement business and we continue to work with Autoglass on developing new business opportunities. We have spent the last 18 months developing a relationship with Carglass S.A. with a view to launching an audio and security based installation service in Paris. However with Toad focussing on the development of its telematics business in the UK, we have postponed the launch of the service in Paris and the two companies will meet during April to discuss the option of a joint French telematic venture. TOAD TELEMATICS In November 2000 we announced the launch of our new telematics division and that we were developing a range of products and services for the new emerging telematics market. This is an extremely exciting market, which has huge potential growth over the next ten years, and as the vehicle after-market specialist, the directors believe Toad is perfectly placed to exploit the potential of telematics in the after-market. I am delighted therefore to announce the launch of our new ACTRA(TM) Fleet telematics product. Based on our new compact ACTRA(TM) GPS GSM vehicle location unit, ACTRA(TM) Fleet provides the fleet manager with a unique fleet management package of asset tracking and reporting tools that feature our new FFS(TM) 'Flexible Functionality System' enabling the fleet manager to manage his fleet of vehicles through the web environment. This will be the first product in the ACTRA(TM) range and will be followed by our first consumer product, ACTRA(TM) Touch, in Quarter 3 and a next generation PDA based system, ACTRA(TM) Pro-V, in Quarter 4. The directors believe this market offers tremendous potential future value for Toad because the ACTRA(TM) product range will be sold through our extensive distribution network and utilise our existing call centre and national mobile installation network. Over the next two years we will be investing £1 million in the ACTRA(TM) range of products and services. The 'Spacetrac' system being developed by Eagle Eye Tech. in America is at advanced prototype stage and Eagle Eye Tech. have recently raised additional funding of over US $4 million to take the system through to manufacture. We are told that discussions are now taking place with a major satellite conglomerate regarding the use of their LEO satellite network for data transmission. In its current format the product has excellent potential for the stolen vehicle and container tracking market but it also has the potential to be an alternative telematics gateway unit for our new ACTRA(TM) range of products and services. CURRENT TRADING Trading within the group up to March is in-line with our budget forecasts and although the negative dollar exchange rate, the ending of our relationship with Laserline Italy and launch of ACTRA(TM) will have an impact on our 2001 figures, we expect the investment in telematics, new multi-media products and the launch of the new Max Power product will provide a more profitable business in the long term. The directors are convinced that ACTRA(TM) will make us a major player in the vehicle telematics after-market, dramatically increasing shareholder value. OUR STAFF Since becoming Chief Executive in November 2000 I have been impressed by the commitment and motivation of all the staff in the company. The team at Toad is an excellent one, who have done a terrific job over the year and I am looking forward to working with them during 2001. Stephen Wheatley Chief Executive CONSOLIDATED PROFIT AND LOSS ACCOUNT 53 weeks 52 weeks ended ended 31 December 22 December 2000 1999 £'000 £'000 TURNOVER 33,557 31,939 COST OF SALES (18,893) (18,408) ------ ------ GROSS PROFIT 14,664 13,531 Other operating expenses (11,390) (10,985) ------ ------ OPERATING PROFIT 3,274 2,546 Profit on disposal of fixed assets - 12 Interest receivable and similar income - 3 Interest payable and similar charges (704) (729) ------ ------ PROFIT ON ORDINARY ACTIVITIES BEFORE TAXATION 2,570 1,832 Taxation (140) 125 ------ ------ PROFIT ON ORDINARY ACTIVITIES AFTER TAXATION 2,430 1,957 Minority interests 43 - ------ ------ PROFIT FOR THE PERIOD ATTRIBUTABLE TO MEMBERS OF THE PARENT COMPANY 2,473 1,957 ------ ------ Earnings per share - basic 3.58p 3.01p - diluted 3.26p 2.63p TOTAL RECOGNISED GAINS AND LOSSES There are no recognised gains and losses other than those included in the profit and loss account above, and accordingly no separate statement of total recognised gains and losses has been presented. CONSOLIDATED BALANCE SHEET Group Company 31 December 22 December 31 December 22 December 2000 1999 2000 1999 £'000 £'000 £'000 £'000 FIXED ASSETS Intangible assets 1,479 1,452 730 730 Tangible assets 2,726 2,825 - - Investments - - 16,340 16,339 ------ ------ ------ ------ 4,205 4,277 17,070 17,069 ------ ------ ------ ------ CURRENT ASSETS Stocks 4,229 3,772 - - Debtors 7,356 5,271 8,666 9,782 Cash at bank and in hand 1,972 1,658 - - ------ ------ ------ ------ 13,557 10,701 8,666 9,782 CREDITORS: amounts falling due within one year (12,004) (9,261) (4,318) (2,849) ------ ------ ------ ------ NET CURRENT ASSETS 1,553 1,440 4,348 6,933 ------ ------ ------ ------ TOTAL ASSETS LESS CURRENT LIABILITIES 5,758 5,717 21,418 24,002 CREDITORS: amounts falling due after more than one year (1,162) (3,615) (1,009) (3,417) Minority Interests - equity 43 - - - ------ ------ ------ ------ Net assets 4,639 2,102 20,409 20,585 ------ ------ ------ ------ CAPITAL AND RESERVES Called up share capital 7,499 6,876 7,499 6,876 Share premium account 11,353 10,450 11,353 10,450 Share capital to be issued 1,189 2,651 1,189 2,651 Merger reserve - - 1,001 1,001 Profit and loss account (15,402) (17,875) (633) (393) ------ ------ ------ ------ SHAREHOLDERS' FUNDS Equity 3,860 1,323 19,630 19,806 Non-equity 779 779 779 779 4,639 2,102 20,409 20,585 ------ ------ ------ ------ CONSOLIDATED CASH FLOW STATEMENT 53 weeks 52 weeks ended ended 31 December 22 December 2000 1999 £'000 £'000 NET CASH INFLOW FROM OPERATING ACTIVITIES 525 2,299 ------ ------ RETURNS ON INVESTMENTS AND SERVICING OF FINANCE Finance arrangement fees - (253) Interest received - 3 Interest paid (669) (682) Interest paid on finance leases (12) (22) ------ ------ (681) (954) ------ ------ TAXATION UK corporation tax paid (33) (157) ------ ------ CAPITAL EXPENDITURE Purchase of intangible fixed assets (110) - Purchase of tangible fixed assets (254) (780) Sale of tangible fixed assets 63 354 ------ ------ (301) (426) ------ ------ ACQUISITIONS Purchase of subsidiary undertakings (1) (2,590) Purchase of Foxguard and Code businesses - (331) ------ ------ (1) (2,921) ------ ------ CASH OUTFLOW BEFORE FINANCING (491) (2,159) ------ ------ FINANCING Issue of shares 26 795 Movement in short term borrowings 358 1,059 Movement in long term borrowings (2,408) 2,406 Repayment of principal under finance leases (90) (142) ------ ------ (2,114) 4,118 ------ ------ (DECREASE)/INCREASE IN CASH IN THE PERIOD (2,605) 1,959 ------ ------ Issued by TOAD plc Further Information from Tony Edwards ANTHONY EDWARDS (LONDON) LIMITED TEL 01932 336161 FAX 01932 336131 Mobile 041-002 5957

Companies

Tekmar Group (TGP)
UK 100
FTSE quotes by TradingView

Latest directors dealings

All directors dealings today