Notice of AGM
Printing.com plc
28 June 2007
FOR RELEASE
7.30am
28 JUNE 2007
PRINTING.COM PLC
('Printing.com or 'the Group')
Specialist retail chain with 205 Outlets opened and pending across the UK and
Ireland
ANNUAL REPORT POSTED
RECORD YEAR
42.9% INCREASE IN THE DIVIDEND
ANNUAL GENERAL MEETING
FRIDAY, 3 AUGUST 2007
The Company has today posted its Annual Report and Accounts to all shareholders.
An electronic copy of the full Annual Report which includes the Chairman's
Statement, Chief Executive's Review and the Finance Director's Review can be
viewed and downloaded from the Company's website: www.printing.com from 6.00 pm
this evening.
The Annual General Meeting will be held 11.00 am on 3 August 2007 at the
Company's Head Office at Focal Point, Third Avenue, The Village, Trafford Park,
Manchester M17 IFG.
In his statement in the Report and Accounts, George Hardie, the Chairman,
reported on another record year, a 42.9% increase in the dividend, from 1.75p to
2.50p, and made the following comments regarding the outlook for the Company in
the current year:
'Importantly, in the year under review, significant infrastructure was put in
place that should position your Company for further growth over the coming
years. At the Manchester Hub, capacity was increased from £20-25m to £40-45m and
the first International Master Licence was granted for New Zealand. This allows
a printer operating in that marketplace to utilise Printing.com's, Flyerlink(R)
software, its systems and collateral in return for royalty payments.
Over the coming year we expect to see material growth across our UK and Irish
franchise network that feeds our Manchester Hub. Having invested £3.9m in the
year under review, we once again have an abundance of unutilised capacity.
Looking ahead, as volumes increase we would expect to see a proportionate net
increase in your Company's EBITDA. As a rule of thumb, assuming we are able to
maintain or improve current operational metrics, we would expect EBITDA to
increase by around £1m for each £5m of additional Total Retail Sales.
In the UK, we have launched our first 'new media' offering, 'Websites by
Printing.com'. Following significant development over the past year, the
majority of franchises are now trained in the service and the first websites are
now live. We believe there is great scope for this offering to further assist
our clients to better promote their own businesses, and for our franchisees and
your Company to generate incremental profits.
In 2003 we commenced shipping to the Republic of Ireland to test our systems
within the Euro zone, and this has proved very successful. In September this
year we will begin a similar operation in France. Over the past 18 months we
have invested in this new initiative and firmly believe that, by distributing
via Bolt-on Franchise partners, a great opportunity exists without the need to
directly invest in stores.
The gestation period, for the granting of international Master Licences, appears
longer than we would have hoped and its launch more costly than anticipated.
However, the success that has been achieved to date in New Zealand, coupled with
the granting of the second such agreement and the progressed negotiations in the
US, gives us confidence that in the years to come we will be able to exploit
your Company's intellectual property.
Collectively, we believe these initiatives herald an exciting time ahead for
your Company, reflected by our confidence in the acceleration of the dividend.
In the current year, we are cautiously optimistic that the International Master
Licence programme will make a material contribution to your Company's profits.'
For further information:
Printing.com plc
Tony Rafferty (Chief Executive) 07966 517 336
Alan Roberts (Finance Director) 0161 848 5713
Cubitt Consulting
Brian Coleman-Smith / Leanne Denman / James Verstringhe 020 7367 5100
Background note:
Printing.com
Printing.com offers a broad product range including leaflets, booklets,
postcards, promotional cards, invitations, letterheads and business cards to
consumers and small and medium sized companies. Unlike its competitors,
Printing.com Stores and Franchises do not depend on any printing equipment on
location. The Company's printing and ancillary equipment is based at the
centralised Production Hub with the head office in Manchester. All work is
produced in full four colour rather than two colour. Delivery to the customer is
usually within three days. The printing sector has traditionally been served by
smaller printing companies or other On Demand Printers and is estimated to be
worth some £1 billion.
Printing.com has three routes to market: Franchise Stores, Bolt-on Franchises
and Company owned Stores.
This information is provided by RNS
The company news service from the London Stock Exchange