Interim Results

RNS Number : 2359M

Norish PLC

13 September 2012

 

Norish plc

Interim results 2012

 

Results

Norish plc announces pre-tax profits of £9,000 for the six months ended 30 June 2012. This compares with pre-tax profits of £186,000 for the same period last year. Turnover from continuing operations increased by 1% to £5,427,000.

Our cold store business performed better than the first half of last year, primarily due to increased turnover. However, the results were impacted by increased power costs and a refit at our West Midlands site which reduced our occupancy levels at the site. The refit at our West Midlands site has been successfully completed, within budget, and we look forward to increased efficiencies from this site in the years ahead.

Our ambient site at York performed better than the same period last year with increased occupancy.

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. At the 30 June 2012 we had 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 £88,000 in the first half of the year, which compares with £100,000 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 2012 were £7,941,000 compared with £8,025,000 at 31 December 2011. Net debt at 30 June 2012 was £8,192,000, compared with a net debt of £7,628,000 at 30 June 2011.  The increase in net debt was caused primarily by the £1,200,000 refit at our West Midlands site.

Ted O'Neill

Chairman

13 September 2012

Norish plc
Consolidated income statement
For the six months ended 30 June 2012
		Six months	Six months	Year
		ended	ended	ended
		30 June	30 June	31 December
		2012	2011	2011
		(Unaudited)	(Unaudited)	(Audited)
		£'000	£'000	£'000
Continuing operations
Revenue		5,427	5,338	11,213
Cost of sales		(5,183)	(5,004)	(10,375)
Gross profit		244	334	838
Other income		88	100	190
Administrative expenses		(203)	(185)	(362)
Operating profit from continuing operations		129	249	666
Finance expenses-interest paid		(104)	(96)	(186)
Finance expenses-fair value loss swaps/caps		(16)	-	(89)
Finance income		-	33	15
Profit on continuing activities before taxation		9	186	406
Tax on profit on ordinary activities		(2)	(37)	(44)
Profit for the period attributable to shareholders		7	149	362
Profit per share expressed in pence per share:
From continuing operations - basic		0.1p	1.8p	4.3p
Weighted average number of ordinary shares		9,312,852	8,466,230	8,510,301
- diluted		0.1p	1.8p	4.3p
Weighted average number of diluted ordinary shares		9,312,852	8,466,230	8,510,301

Norish plc
Interim balance sheet
As at 30 June 2012
	As at	As at	As at
	30 June	30 June	31 December
	2012	2011	2011
	(Unaudited)	(Unaudited)	(Audited)
	£'000	£'000	£'000
Assets
Non current assets
Goodwill	216	216	216
Property, plant and equipment	16,482	15,313	15,379
Derivate financial instruments	757	579	669
	17,455	16,108	16,264
Current assets
Trade and other receivables	2,611	2,940	2,827
Financial assets: Fair value of interest rate swaps	-	5	-
Current tax asset	-	10	-
Cash and cash equivalents	74	172	50
	2,685	3,127	2,877
Liabilities
Current liabilities
Trade and other payables	(2,538)	(2,420)	(2,892)
Financial liabilities: Fair value of interest rate swaps	(120)	-	(102)
Current tax liabilities	(81)	(37)	(81)
Bank overdraft and loans	(2,044)	(1,519)	(991)
	(4,783)	(3,976)	(4,066)
Net current assets	(2,098)	(849)	(1,189)
Non-current liabilities
Bank loans	(6,222)	(6,109)	(5,856)
Provisions	(139)	(496)	(139)
Deferred tax	(1,055)	(1,091)	(1,055)
	(7,416)	(7,696)	(7,050)
Net assets	7,941	7,563	8,025
Equity
Share capital	1,674	1,493	1,674
Share premium account	3,229	3,156	3,229
Capital conversion reserve fund	23	23	23
Retained earnings	3,015	2,891	3,099
Equity attributable to equity holders of the parent	7,941	7,563	8,025

Norish plc
Consolidated statement of changes in equity
For the six months ended 30 June 2012
			Capital
	Share	Share	Conversion	Retained
	capital	premium	Reserve	Earnings	Total
	(Unaudited)	(Unaudited)	(Unaudited)	(Unaudited)	(Unaudited)
	£'000	£'000	£'000	£'000	£'000
At 1 January 2011	1,493	3,156	23	2,828	7,500
Net profit for the period	-	-	-	148	148
Credit in respect of employee share schemes	-	-	-	7	7
Equity dividends paid (recognised directly in equity)	-	-	-	(92)	(92)
At 30 June 2011	1,493	3,156	23	2,891	7,563
Net profit for the period	-	-	-	208	208
Issue of share capital	181	73	-	-	254
Equity dividends paid (recognised directly in equity)	-	-	-	-	-
At 31 December 2011	1,674	3,229	23	3,099	8,025
Net profit for the period	-	-	-	9	9
Equity dividends paid (recognised directly in equity)	-	-	-	(93)	(93)
At 30 June 2012	1,674	3,229	23	3,015	7,941

Norish plc
Consolidated cash flow statement
For the six months ended 30 June 2012
	Six months	Six months	Year
	Ended	ended	Ended
	30 June	30 June	31 December
	2011	2011	2011
	(Unaudited)	(Unaudited)	(Audited)
	£'000	£'000	£'000
Profit on continuing activities before taxation	9	186	406
Adjustments for:
Finance expenses	120	96	275
Finance income	-	(33)	(15)
Fair value (losses)/gains on interest rate swaps/caps	(16)	18	(89)
Depreciation - property, plant and equipment	291	286	569
Employee share schemes	-	7	1
Changes in working capital:
Decrease/(Increase)  in trade and other receivables	128	(551)	(523)
(Decrease)/increase in payables	(336)	(150)	425
Decrease in provisions	-	(13)	(370)
Cash generated from operations	196	(154)	679
Interest paid - bank loans and overdrafts	(104)	(96)	(186)
Taxation paid	-	-	11
Net cash from operating activities	92	(250)	504
Investing activities
Interest received	-	15	15
Purchase of property, plant and equipment	(1,394)	(215)	(564)
Net cash used in investing activities	(1,394)	(200)	(549)
Financing activities
Dividends paid to shareholders	(93)	(92)	(92)
Share issue proceeds	-	-	254
Invoice finance receipts	906	853	278
Finance lease funding	-	-	155
Finance lease capital repayments	(23)	-	(28)
Term loan advance	900	-	-
Term loan repayments	(364)	(333)	(666)
Net cash used in financing activities	1,326	428	(99)
Net decrease in cash and cash equivalents	24	(22)	(144)
Cash and cash equivalents, at beginning of period	50	194	194
Cash and cash equivalents end of period	74	172	50

Note: The accounting policies applied throughout the period are consistent with those applied for the year ended 31 December 2011, as set out in the 2011 Annual Report.

Enquiries:

Norish
Aidan Hughes, Finance Director	Telephone: + 44 1293 862 498
Davy
Anthony Farrell / Ivan Murphy	Telephone: + 353 1 679 6363

 

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