Park Group sees profits improve and dividend increase
By BFN News | 08:02 AM | Tuesday 12 June, 2012
Park Group profit before taxation and other operating income for the year to 31 March 2012 was ahead by 22.6 per cent at £8.6m (2011 - £7.0m).
Operating profit before other operating income increased 22.1 per cent to £6.9m (2011 - £5.6m). Finance income was £1.7m (2011 - £1.4m) reflecting the ongoing low interest rate environment, with the uplift in income resulting from higher cash balances, which continue to be managed very conservatively to minimise risk. Park is cash generative and has no bank debt on its balance sheet.
Revenue for the year reduced by 0.3 per cent to £279.0m (2011 - £279.9m). Customer billings increased 10.5 per cent to £329.0m (2011 - £297.6m).
It is important to note that customer billings differ from revenue reflecting the effect of the flexecash�® prepaid card accounting policy announced in our results statement of June 2011. Revenue from prepaid cards is recorded differently to revenue from paper vouchers and is the margin earned based on customer billings, recognised when the value loaded on the card has been redeemed. This policy has no effect on the level of margin contribution or profit, but delays recognition. The board proposes raising the final dividend by 22.9 per cent to 1.475p per share (2011 - 1.20p) making a total dividend for the year of 2.0p per share (2011 - 1.70p).
At 8:02am: (LON:PKG) Park Group share price was +0.25p at 45.75p
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