Interim Results

Smart(J.)&Co(Contractors) PLC
22 April 2003



J. SMART & CO. (CONTRACTORS) PLC



CHAIRMAN'S REVIEW



INTERIM REPORT



Unaudited Group profits for the six months to 31st January 2003 amounted
to £2,172,000 compared with profits of £2,229,000 for the corresponding
period last year.



Turnover for the six month period under review was more than the
corresponding period last year and the Board expects that turnover for
the full year will be more than last year.



INTERIM DIVIDEND



The Board announces an interim dividend of 2.90p per share (2002, 2.90p)
to be paid on 7th July 2003 to shareholders on the register at the close
of business on 13th June 2003. After waivers by members holding
approximately 50% of the shares the interim dividend will cost the
Company £143,000.



FUTURE PROSPECTS



The volume of work in hand in contracting is less than at this time last
year and at the end of last year. Approximately half of the work in hand
has been obtained on a design and construct basis and the remainder by
traditional competitive tender. Pressure is mounting on volume and
margins in this sector.



As indicated at the year end industrial and commercial development
activity has been substantially curtailed. Although demand in this
sector is flat, forecast rental growth for the current year is being
achieved.



Demand for private housing continues to be healthy. It is anticipated
that increased house sales in the second half of the year and a sale of
development land will result in a profit for the current full year in
excess of last year's profit.



                                                           J. M. SMART

22nd April 2003                                               Chairman




PROFIT AND LOSS ACCOUNT FOR THE SIX MONTHS TO 31st JANUARY 2003

                                   6 months      6 months         year

                                 to 31-1-03    to 31-1-02   to 31-7-02

                                (Unaudited)   (Unaudited)    (Audited)

                                      £'000         £'000        £'000

TURNOVER                              9,261         8,179       17,368

Own Work Capitalised                  1,030         1,597        3,625

                                     10,291         9,776       20,993

Other Operating Income                2,546         2,425        4,948

                                     12,837        12,201       25,941

OPERATING PROFIT                      2,306         2,142        4,559

Share of operating profit in            127            54          224
Joint Ventures

                                      2,433         2,196        4,783

Interest payable/receivable,           (261)           33         (170)
dividends received and increase
in amount written off
investments

PROFIT ON ORDINARY ACTIVITIES         2,172         2,229        4,613
BEFORE TAXATION

TAXATION (Note 2)                       652           669        1,160

PROFIT ON ORDINARY ACTIVITIES         1,520         1,560        3,453
AFTER TAXATION

INTERIM DIVIDEND OF 2.90p PER           143           143          574
SHARE (2002, 2.90p) (Note 3)

RETAINED PROFIT                       1,377         1,417        2,879

EARNINGS PER SHARE                    15.08p        15.47p       34.25p

Notes:

   1.  The figures for the year to 31st July 2002 are abridged. Full
       accounts for that year have been filed with the Registrar of
       Companies and contain an Auditor's unqualified report.

   2.  Taxation on ordinary activities is calculated as Corporation Tax
       at 30% (2002, 30%).

   3.  Certain shareholders holding approximately 50% of the shares have
       waived their rights to the interim dividend and the dividends
       paid for the year to 31st July 2002. The interim dividend will be
       paid on 7th July 2003 to shareholders on the register at 13th
       June 2003.
   
   4.  Copies of the interim report are being sent to all shareholders.
       Further copies are available for members of the public at the
       Company's registered office (28 Cramond Road South, Edinburgh EH4
       6AB).




BALANCE SHEET AS AT 31st JANUARY 2003

                                   6 months      6 months         year

                                 to 31-1-03    to 31-1-02   to 31-7-02

                                (Unaudited)   (Unaudited)    (Audited)

                                      £'000         £'000        £'000

FIXED ASSETS

Intangible assets                         1             1            1

Tangible assets                      61,267        57,003       60,198

                                     61,268        57,004       60,199

Investment in Joint Ventures:

Share of gross assets                 3,818         3,326        3,649

Share of gross liabilities           (3,516)       (3,159)      (3,428)

                                     61,570        57,171       60,420

CURRENT ASSETS

Stocks and work in progress           9,458         6,351        8,100

Debtors: Amounts falling due          2,352         1,210        1,971
within one year

Debtors: Amounts falling due          1,480         1,480        1,480
after one year

Investments                             538           849          678

Cash at bank and in hand                  1             1          427

                                     13,829         9,891       12,656

CREDITORS: Amounts falling due       (6,943)       (8,659)      (5,998)
within one year

NET CURRENT ASSETS                    6,886         1,232        6,658

TOTAL ASSETS LESS CURRENT            68,456        58,403       67,078
LIABILITIES

CREDITORS: Amounts falling due       (6,000)            -       (6,000)
after more than one year

PROVISIONS FOR LIABILITIES AND         (115)          (88)        (114)
CHARGES

                                     62,341        58,315       60,964

CAPITAL AND RESERVES

Called up share capital               1,008         1,008        1,008

Revaluation reserve                  20,927        19,740       20,927

Profit and Loss account              40,406        37,567       39,029

SHAREHOLDERS' FUNDS                  62,341        58,315       60,964




CASH FLOW STATEMENT FOR THE SIX MONTHS TO 31st JANUARY 2003

                                   6 months      6 months         Year

                                 to 31-1-03    to 31-1-02   to 31-7-02

                                (Unaudited)   (Unaudited)    (Audited)

                                      £'000         £'000        £'000

OPERATING ACTIVITIES

Operating profit                      2,306         2,142        4,559

Depreciation                            214           202          486

Gain on sale of tangible fixed           (5)           (7)         (18)
assets

Interest received on                      -             -            1
investments

Dividends received                       18            26           52

Proceeds of sale of                     126           154          426
investments

Purchase of investments                 (38)          (26)        (136)

(Increase) in stocks and work        (1,358)       (1,422)      (3,171)
in progress

(Increase)/Decrease in                 (381)          800           39
debtors

(Increase) in loan to Joint               -          (110)        (110)
Venture

(Decrease)/Increase in               (2,477)         (405)       2,598
creditors

NET CASH (OUTFLOW)/INFLOW FROM       (1,595)        1,354        4,726
OPERATING ACTIVITIES

Interest received                         4             4            1

Interest paid                          (186)          (80)        (213)

Corporation tax paid                   (464)         (430)      (1,202)

Purchase of tangible fixed             (264)         (954)      (1,227)
assets

Grants received                           7             -            -

Sales of tangible fixed                   8            20           38
assets

Expenditure on own work              (1,030)       (1,597)      (3,625)
capitalised

Dividends paid                         (419)         (404)        (547)

MOVEMENTS IN NET FUNDS IN THE        (3,939)       (2,087)      (2,049)
PERIOD

New long-term loan                        -             -        6,000

Term loan repaid                          -             -         (400)

(DECREASE)/INCREASE IN CASH IN       (3,939)       (2,087)       3,551
THE PERIOD


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