Final Results

Thorpe(F.W.) PLC
16 September 2004

FW THORPE PLC

The following unaudited consolidated results for the year ended 30 June 2004 
were announced today:

Abridged financial information

Chairman's statement

The year to 30th June 2004 produced a turnover of £37.3M, up 14% on last year's
turnover of £32.7M. This resulted in an operating profit of £5.0M being an
increase of 44% on the 2003 operating profit of £3.5M.

All areas of the business have performed well and have made significant
progress. Some businesses have been able to translate this progress into
increases in operating profit whilst others have held their own in this regard
but have made significant operational improvements that will add to
profitability in the future.

I will probably say this each year of my tenure as Chairman as it is a well
established ethos within your Group that we have during the year, again, made
serious investments in both manufacturing space and manufacturing plant. These
investments have been, in the main, at Thorlux Lighting and Mackwell
Electronics.

Whilst the Company traditionally derives the majority of its business within the
UK, it has exported its products widely since its early days. Volumes have at
times been close to 15% of Group turnover with the major part being sold to
'traditional' UK export markets. Export is still an important factor in Group
sales and, despite the well known problems in recent years of the high pound and
foreign competition, a number of Group companies are finding improved export
potential with now a greater emphasis being placed on trade with nearer European
markets. Group exports grew by some 29% last year to 12% of turnover.

Product development continues apace within the Company and a greater emphasis on
training has meant an increase in the number of apprentice positions available.
Your Company has a long tradition of training many of its own young people,
through apprentice schemes, allowing the successful to see a clear path of
progress within the Company and the Company itself to maintain a continually
evolving pool of knowledgeable staff and management.

To reflect the above results your Board is recommending a final dividend of 6.4p
which, when included with the interim dividend, already paid, makes a total for
the year of 8.6p, which is a 30% increase above last year. The percentage
increase in this final dividend partly reflects the performance of your Company
during the past year, and partly restores the dividend to the percentage of
profit level of some four or five years ago.

Review of Divisions

Thorlux Lighting

Thorlux, the largest single Group site, manufacturing industrial and commercial
lighting products and systems has, as suggested in my six-monthly report,
continued to enjoy buoyant trading in excess of expectations. Turnover has shown
a 16% increase over 2003 resulting in an operating profit which increased by
61%. Newer commercial lighting products introduced in recent years and new
ranges added during this year have all found further favour with our customers.
Progress and additional sales have also been made on the 'heavy' end of lighting
in regard to our tunnel lighting systems where Thorlux is pursuing a number of
road tunnel projects worldwide.

The project to establish more substantial sales under the Thorlux brand in
Europe has moved forward with the establishment of a small German office in
Munich with a staff of one. Throughout the year the German office has been
'laying foundations' to the extent that there is now a German version Thorlux
catalogue, and a German language website. Only small sales have been achieved by
this route so far but this is seen as the start of a long term project to
establish the name Thorlux on the European 'mainland'.

Thorlux has also, during the year, taken delivery of, installed and is making
good use of the £1M integrated sheet metal punching and bending line mentioned
in the Interim Statement.

Mackwell Electronics

Mackwell manufactures electronic emergency lighting control gear. The Company's
new 900 square metre link building mentioned last year and built between the two
existing sections of the Mackwell factory was completed in structure at the
beginning of the year and has been brought into full operation during the year.
New plant including sophisticated PCB manufacturing equipment has been installed
and this has allowed Mackwell to increase output again over the previous year.
Despite the costs involved in bringing this new area on line and continued
downward pressure on electronic pricing Mackwell maintained last years operating
profit albeit on a turnover up some 13%. Further progress has been made opening
new sales accounts especially on the export market which is now running at a
rate of 27% of turnover.

Compact Lighting

Compact Lighting, which supplies display lighting to the retail sector, has
maintained both turnover and profit to a similar level as last year. These
statistics disguise the real progress made at Compact in that throughout the
year a sizeable amount of output destined for delivery to and re-sale by Thorlux
Lighting was lost to them as Thorlux took on manufacture of these products
themselves. New business had, therefore, to be gained to fill this shortfall and
this was successfully achieved. This new business was, of course, new 
to the Group replacing business that was previously inter-company.

Philip Payne

Payne's being the smallest member of the Group with fourteen people and
manufacturing specialist emergency exit signage, also maintained its operating
profit on a turnover up 14% on last year. Management and personnel strengthening
at Philip Payne's should enable further progress in its established market, and
the Company will also, shortly, be offering a range of luminaires outside of its
traditional styles.

Sugg Lighting

Sugg Lighting, the Group's manufacturer of heritage and traditional outdoor
lighting has, as predicted last year, continued to show further improvements in
its trading position resulting in an increase in turnover of some 27% and a
reduction in trading losses compared to the previous year. The management
team at Sugg continues to improve cost effectiveness within the business both in
operational system terms and by product redesign and value analysis. The
foundations of a successful business are laid and Sugg will now be concentrating
on achieving a more satisfactory level of order intake.

People

Companies are, of course, not really the faceless entities that they may
sometimes appear, but are made up of people, its employees. Without these
employees your Company could not grow and prosper and so I would, once again,
like to thank all our Group employees for their loyalty and effort over the past
year.

The Future

Your Group has again started the new financial year on a satisfactory note and
although a cautionary tune is being heard in regard to house prices, retail
sales and pressure on Government budgets, the economy seems fair for the
present. Your Company continues to drive forward on a number of fronts and seems
to be pleasing its customers. We will continue in the same vein and trust that
our markets will stay healthy.

Andrew Thorpe
Chairman
16 September 2004

Group Profit and Loss Account                                 2004        2003
                                                             £'000       £'000
Turnover - continuing operations                            37,258      32,677

Operating profit - continuing operations                     5,020       3,487

Interest receivable and similar income                         342         245

Profit on ordinary activities before taxation                5,362       3,732
Taxation on profit on ordinary activities                   (1,479)     (1,110)

Profit on ordinary activities after taxation                 3,883       2,622

Dividends                                                   (1,014)       (773)

Retained profit for the year                                 2,869       1,849
Earnings per ordinary share
- ordinary                                                    33.1p       22.4p
- diluted                                                     32.5p       21.8p

Dividends per share                                           8.60p       6.60p


Group Balance Sheet                                      As at         As at
                                                        30.06.04      30.06.03
                                                           £'000         £'000
Fixed assets
Tangible assets                                            9,343         8,601
Investments                                                  281           244
                                                           9,624         8,845
Current assets
Stocks                                                     6,599         6,196
Debtors                                                    8,355         6,303
Investments                                                   70            70
Cash at bank and in hand                                   7,554         6,742
                                                          22,578        19,311

Creditors: amounts falling due within one year            (7,053)       (5,919)

Net current assets                                        15,525        13,392

Total assets less current liabilities                     25,149        22,237

Provisions for liabilities and charges
Deferred taxation                                           (403)         (428)

Net assets                                                24,746        21,809

Capital and reserves
Called up share capital                                    1,177         1,171
Capital Redemption Reserve                                   135           135
Share premium account                                        473           411
Profit and loss account                                   22,961        20,092

Equity shareholders' funds                                24,746        21,809



Group Cash Flow Statement                                       2004      2003
                                                               £'000     £'000
Net cash inflow from operating activities                      4,379     4,203

Returns on investments and servicing of finance
Interest and dividends received                                  342       245

Taxation
UK corporation tax paid                                       (1,230)     (677)

Capital expenditure and financial investment
Purchase of tangible fixed assets                             (1,958)     (879)
Sale of tangible fixed assets                                     66       169
Purchase of fixed asset investments                              (37)        -
Net cash outflow for capital expenditure and financial
investments                                                   (1,929)     (710)

Equity dividends paid                                           (810)     (714)
Cash inflow before financing                                     752     2,347
Financing
Issue of shares                                                   68        56
Repayment of hire purchase and finance leases                     (8)      (13)
Cash inflow from financing                                        60        43
Increase in cash in the period                                   812     2,390

Notes:

1. Reconciliation of operating profit to net cash inflow from operating
activities
                                                              2004        2003
                                                             £'000       £'000

Operating profit                                             5,020       3,487
Depreciation                                                 1,168       1,193
Profit on sale of fixed assets                                 (18)        (62)
(Increase) in stocks                                          (403)       (773)
(Increase) in debtors                                       (2,052)       (296)
Increase in creditors                                          664         654
Net cash inflow from operating activities                    4,379       4,203

2. Reconciliation of movement in net funds

                                        1 July 2003   Cashflow   30 June 2004
                                              £'000      £'000           £'000

Cash at bank and in hand                      6,742        812           7,554
Finance leases and purchase contracts:           70          -              70
Due within 1 year                                (7)         7               -
Liquid resources                                 70          -              70
Net Funds                                     6,805        819           7,624

3. Ordinary earnings per share is calculated by dividing the net profit
attributable to shareholders of £3,883,000 (2003: £2,622,000) by the weighted
average number of ordinary shares in issue during the year of 11,743,094 (2003:
11,705,128).

For diluted earnings per share, the weighted average number of ordinary shares
in issue is adjusted to assume conversion of all dilutive potential ordinary
shares. The weighted average number of ordinary shares is calculated at
11,943,559 (2003: 12,009,165).

Dates:

AGM: 11-Nov-2004

Dividend payment date 18-Nov-2004

Ex-dividend date 22-Sep-2004

Record date 24-Sep-2004

The above financial information does not constitute statutory accounts within
the meaning of Section 240(5) of the Companies Act 1985. The statutory accounts
have not been delivered to the Registrar of Companies but will be delivered in
due course.

The unaudited preliminary information included herein has been prepared on the
basis of the accounting policies as set out in the annual financial statements
for the year ended 30 June 2003. The Auditors have given an unqualifed report on
those statutory accounts.

ENQUIRIES to the Chairman: Andrew Thorpe, F W Thorpe Plc, Redditch.
Tel: [phone]




                      This information is provided by RNS
            The company news service from the London Stock Exchange