Final Results

RNS Number : 7588Z
Dart Group PLC
24 July 2008
 



DART GROUP PLC

PRELIMINARY RESULTS FOR YEAR ENDED 31 MARCH 2008


Dart Group PLC (the 'Group'), the aviation and distribution group, announces its preliminary results for the year ended 31 March 2008. These results are presented under International Financial Reporting Standards (IFRS). 


CHAIRMAN'S STATEMENT

I am pleased to report on the Group's trading for the year ended 31 March 2008.

The year ended 31 March 2008 was another successful year of growth for the Group. Turnover increased by 23% to £429m, driven by further expansion of our scheduled airline operations. This significant growth was partly at the expense of profitability as Jet2.com expanded its route network from 114 to 133 routes. Profit before tax amounted to £11.8m (2007: loss £3.6m) with earnings per share of 6.18p (2007: 0.46p). If the Group had been in a position to hedge account in 2006/7 under IFRS, profit before tax would have been £3.9m (2007: £14.1m). Whilst summer 2008 trading remains very encouraging, the Board has concluded that it is not appropriate to pay a final dividend given both the current economic climate and trading performance for the year to 31 March 2008.  

In total, capital expenditure reduced to £38.5m (2007: £70.2m) with no further aircraft acquired in the year. The majority of the capital expenditure related to long term maintenance spend on engines and airframes. As at 31 March 2008 the Group's net debt amounted to £17.2m (2007: £14.1m).

All of Jet2.com's expected fuel requirements for its passenger operations have been hedged for the year ending 31 March 2009, as have the Group's forecast US$ and Euro requirements. Neither Jet2.com's freight operations nor Fowler Welch-Coolchain currently has any material exposure to oil price risk as this is substantially covered in their commercial contracts.

Aviation 

Jet2.com, the Group's low-cost airline, continued its expansion in 2007/8 with the net addition of 19 new city and sun routes principally from Manchester and Leeds. Passenger volumes grew 32% to 4 million reflecting the continued strong customer demand for flying with Jet2.com. In August 2007, according to the Civil Aviation Authority, Jet2.com flew more passengers from the North of England than any other airline and the service continues to win customer awards. Encouragingly, a recent customer satisfaction survey conducted by Which? identified Jet2.com as having the highest level of satisfaction amongst UK short haul carriers.

Following its launch in February 2007, over 34,000 holidaymakers travelled with Jet2holidays.com, the Group's tour operator, in its first year of operation. We believe that there is an opportunity to significantly grow this segment of our aviation business by packaging attractive hotels with Jet2.com scheduled flights, offering flexible holidays to a wide range of destinations. Consistent with our aim to fly fuller planes, we also see Jet2holidays.com as a means of selling last minute flight inventory. This scheduled flight based activity will be supplemented by more specialist trips as exemplified by a series of New York shopping trips launched for this winter. 

Our charter airline operations, both freight and passenger, continue to deliver a significant revenue stream. In particular the night flights for Royal Mail on 'Quick Change' aircraft allow us to maximise the use of the Group's aircraft through both day and night time operations. Our ability to respond at very short notice to meet customers' passenger charter requirements has also enabled us to win new business in this competitive area in the current year.

In a very significant development for the business, Jet2.com switched over to its own in-house developed reservation system in February 2008, having served notice to the Group's previous provider of this service. The introduction of our own reservation system allows us to tailor the system more quickly and effectively to meet customer needs and to improve the on-line experience.

Looking forward, Jet2.com will continue to focus its growth on the leisure sector of the airline market.  The continuing development of its in-house IT capabilities is recognised as being particularly important to ensure that both its scheduled flights and holiday offerings meet the demands of its growing customer base.  The Group also intends to work more closely with the travel trade in making its flight and holiday offerings more accessible to all forms of distribution.  

Distribution

The Group's logistics operation, Fowler Welch-Coolchain has had another successful year. The Company primarily provides an integrated supply chain solution to supermarkets and their suppliers as well as food manufacturers, growers and importers. Its capabilities include both chilled and ambient distribution together with warehousing and pick-to-order services.

Despite the poor summer weather impacting on supermarket demand for chilled produce, revenues increased by 10% as a result of growth across all chilled and ambient distribution activities, together with growth in pick-to-order and other warehousing services. The Stockport based ambient business acquired in April 2006 has now been fully integrated into the Fowler Welch-Coolchain operations. The fit-out of the Washington facility, one of six which enable the business to offer national coverage for chilled distribution, was completed during the year allowing the business to expand operations in that part of the country.  

During the year, the Company continued its strategy of investing in new technology with the introduction of further dual fuel vehicles and double deck trailers into the fleet, together with further investment in its driver training initiative.  These investments will not only lead to a reduction in operating costs, but also help reduce carbon emissions.

It is our intention to continue to grow this operation both organically and by selective acquisition, should attractive opportunities arise to add skills or scale.

Our Staff

All our businesses have earned a reputation for high quality customer service from their customers. This can only be achieved through the dedication and hard work of all of the Group's operational and administrative staff in Fowler Welch-CoolchainJet2.com and Jet2holidays.com.  All businesses are customer-focused and operationally demanding at all hours of the day.  We are grateful to all and look forward to continuing to grow our business together.

Outlook

We expect to grow both our businesses organically in the year ahead, supplemented particularly in Fowler Welch-Coolchain by the possibility of selective acquisitions should sensibly priced opportunities arise.

In the Aviation business, we will continue to invest in the development of both Jet2.com and Jet2holidays.com, which offers a low cost local airport holiday option to our Northern based customers. The key to success in the scheduled low-cost travel market will increasingly become load factor as the industry tackles both higher fuel prices and the proposed introduction of an aircraft departure tax to replace the current per passenger based Air Passenger Duty. With our expected fuel requirements fully hedged for the current year and with a more focused flying programme, we are well placed to improve financial performance in this financial year.






Philip Meeson 

Chairman


24 July 2008 



For further information about Dart Group PLC and its subsidiary companies please visit our website, www.dartgroup.co.uk



BUSINESS AND FINANCIAL REVIEW

Financial Overview

Dart Group PLC's financial performance for the year to 31 March 2008 is reported for the first time in line with International Financial Reporting Standards (IFRS). Under IFRS, the Group was not able to adopt hedge accounting in restating its 2006/7 results, since certain internal documentation was not in place in April 2006.  In order to provide an understanding of underlying performance, results are also presented as if hedge accounting had been available to the Group in both 2006/7 and 2007/8 under IFRS.

Whilst overall Group turnover increased by 23%, underlying EBITDA fell by 6.3(to £37.2m) and Group underlying profit before tax fell by 72.3%, reflecting an investment in the continued expansion of Jet2.com, our low-cost airline operation. The Group's effective tax rate for the year was 26% (2007: 50%), the prior year rate being distorted as a result of the restatement under IFRS. The effective rate for 2007/8 is below the mainstream Corporation Tax rate principally as a result of the recognition of a lower tax rate on deferred taxation. 

After careful consideration, the Group has decided not to pay a final dividend for the year, given both the current economic climate and trading performance for the year to 31 March 2008.  The Group's net debt position increased by a further £3.2m in the year. This was driven by a combination of lower EBITDA, smaller working capital movements in Jet2.com, and lower capital expenditure, with no aircraft being added to the fleet in the year.

The Group's balance sheet changed little in character relative to the previous year end position, with no new aircraft acquisitions in the year. Asset additions largely reflect the capitalisation of long term maintenance expenditure. Under IFRS, the Group is required to report the fair value of its hedging contracts on the balance sheet; increases in the value of these contracts, primarily reflecting fuel price movements has added to current assets and reduced current liabilities. Gearing has remained stable with net debt at approximately 25% of shareholders' funds (excluding cash-flow hedge reserve).

Segmental Performance

Aviation

The Aviation division comprises the Group's passenger and freight charter operations, low-cost scheduled airline and associated tour operator activities trading under the Jet2.com and Jet2holidays.com brands. It operates 21 Boeing 737-300 aircraft, including eight 'Quick-Change' aircraft, and eight Boeing 757-200 aircraft from its home base of Leeds Bradford International Airport and five other Northern bases.  

2007/8 was a year of significant expansion for the Jet2.com scheduled airline activities. Capacity was increased by 35% with additional aircraft being based at Manchester and Leeds. In the summer, 25 new city and sun routes were added, principally out of Manchester and Leeds. In the winter, additional capacity was added on existing ski routes and the Canary Islands programme was expanded with services added at all six UK bases.

The introduction of these new routes created downward pressure on load factors with revenue growth at 29% lagging capacity growth.

Retail revenues are a very important source of income for the scheduled airline business allowing low fares to be maintained. Revenue per passenger increased from £6.13 to £9.10 in 2007/8 with hold baggage charges being introduced on all routes from November. A new car hire deal was agreed with Hertz in March to improve our earnings from car hire bookings. The Jet2Plus service was also introduced in the year, allowing customers access to airport lounges, a pre-ordered meal, and priority check-in.  

Jet2.com switched over to its own in-house developed reservation system in February 2008, having served notice to the Group's previous provider of this service. The introduction of our own reservation system allows us to tailor the system more quickly and effectively to meet customer needs and to improve the on-line shopping experience.


Retail revenue, in particular on-line seat assignment, has increased significantly as a result of the introduction of this system. Currently a trade website is under development to improve access to the travel trade.  

Jet2.com's charter activities were further expanded in the year. The Royal Mail contract, under which night mail flights are undertaken from six UK airports, continues to be serviced well with a 98.6% on time service delivery level in the year. Passenger charter revenue remained in line with prior year, providing flights for tour operators, specialist holiday providers and in support of promotional and sporting events. Increasingly we are working with tour operators on a part aircraft basis to supplement load factor on our scheduled services as well as using charter activity to improve utilisation of aircraft outside peak periods.

Following its launch in February 2007, Jet2holidays.com sold over 34,000 holidays in the year, 99% of them on Jet2.com flights. Holidays are packaged dynamically by linking flights with accommodation provided by our bed supplier and a range of airport transfer options. As a pilot activity, a small allocation was taken on a third party flight to a destination not served by Jet2.com, this being the only inventory risk taken by Jet2holidays.com.

In the Aviation business, the cost of fuel has become a significant issue. In common with other carriers, we have sought to delay the impact through hedging strategies and to mitigate these cost increases by developing additional retail revenues. The business has fully hedged its expected fuel requirement for the year ending 31 March 2009 and has substantially hedged its forecast summer 2009 requirements. We have also introduced a small fuel supplement, variable by route length, reflecting the additional fuel costs incurred by the business, notwithstanding this hedging activity.

On 1 June 2007, we finalised a long term agreement with Pratt & Whitney for the fixed price maintenance of the CFM56-3 series engines which power our Boeing 737-300 aircraft. Pratt & Whitney have also started to manufacture and supply a range of parts for these engines at attractive pricing under their Global Material Solutions Programme. This agreement delivers cost certainty for the business. 

Jet2.com financial performance was significantly impacted by the expansion of the business in 2007/8, leading to reduced yield and load factors. Total revenue grew by 29% including the increase in retail revenues driven principally by a part year of hold baggage charges.  Cost growth at 36% was in line with the increase in scheduled capacity, despite significant costs associated with a late lease of two aircraft for Summer 2007, caused by delayed maintenance work.  The Group has subsequently moved to a different maintenance supplier.  Depreciation has increased year on year reflecting the increase in hours flown by owned aircraft which were brought into service at the end of the 2006/7 year.  

Distribution

The Group's Distribution business, Fowler Welch-Coolchain, has distribution centres strategically located in Spalding, Lincolnshire; Stockport, CheshireWashington, Tyne and Wear; Teynham and Paddock Wood in Kent; and Portsmouth, Hampshire. It is one of the UK's leading temperature controlled distribution businesses, specialising in the distribution of fresh produce and chilled foods on behalf of UK supermarkets, other retailers and their suppliers. In addition the business has substantial pick to order and value added warehousing capabilities, together with an established ambient distribution business. It remains the Company's strategy to grow and invest in of each of these business areas.


The distribution market place remains a cost-conscious arena.  Despite the pressures of this competitive environment the Company grew its revenue 10%, with increased sales in both chilled and ambient distribution, together with significant growth in pick-to-order and other warehousing operations.

 

The pick-to-order operations growth during 2007/8 was driven by the addition of a Spanish citrus supplier serving a major UK retailer mid way through the financial year. Further volume from a chilled meats supplier, serving all major UK retailers, was secured early in the 2008/9 financial year.  Ambient distribution activity and revenue has increased substantially during its first full year of operation with the addition of a new consolidation contract for a major UK retailer, together with the addition of a significant stock hold, order pick and distribution operation for a supplier of bakery products to most UK supermarkets.


Typically Fowler Welch-Coolchain picks and delivers approximately 1.25 million cases of prepared meats, ready meals, citrus juice and pasta on a weekly basis.


During the year the Company identified an opportunity to utilise equipment in what would be traditional periods of down time to collect and distribute containers from ports to UK destinations. It is anticipated this operation will be further developed through 2008/9.


The Company increased its investment in driver training initiatives during the year, particularly with regard to fuel efficiency training and defensive driving techniques, and continues to recruit and train Eastern European drivers, in order to counteract the shortage of domestic LGV drivers in the marketplace.  The fleet replacement programme continues to place increased reliance on new technologies, with further introduction of dual fuel vehicles and double deck trailers into the fleet. This fleet strategy, coupled with reduced empty vehicle running within the network will not only reduce operational costs, but should also lessen the environmental impact of our activities and reduce overall food miles within the supply chain.


The Company offers a differentiated service in the FMCG market, with the ability to handle all short order lead time products, both day one collection for day one or day two distribution together with chilled and ambient stock hold and value added services.  A new warehouse management system is being rolled out during 2008/9 to support further growth in this core business area.  Further developments during 2008/9 include the utilisation of one of the Company's depots to facilitate a trunking, order consolidation and store delivery operation for a leading UK retailer, this combining the use of double deck trailers on the trunking leg, and smaller more efficient city trailers on the delivery leg.


The ongoing need to be cost competitive remains a key driver of the business, and the Company anticipates that it will be competitively placed to take full advantage of further opportunities in this sector.  


  For further information contact:



Dart Group PLC

Tel:        0113 238 7444


Philip Meeson

Group Chairman and Chief Executive    



Mobile:   07785 258666


Andrew Merrick

Group Finance Director    



Mobile:   07788 565358


Andy Pedrette

Smith & Williamson Corporate Finance Limited



Tel:        020 7131 4000



                    


        


                

  Consolidated Group Income Statement

for the year ended 31 March 2008


Year ended 31 March 2008


Year ended 31 March 2007


Results before specific IAS 39 fair value movements

Specific 

fair value movements (1)

Results for the year


Results before specific IAS 39 fair value

movements

Specific 

fair value movements (1)

Results for the year

 

£m

£m

£m


£m

£m

£m









Revenue

429.3

-

429.3


349.0

-

349.0









Net operating expenses

(423.7)

7.9

(415.8)


(330.1)

(17.7)

(347.8)

















Operating profit

5.6

7.9

13.5


18.9

(17.7)

1.2









Finance income

2.7

-

2.7


2.4

-

2.4

Finance costs

(5.7)

-

(5.7)


(7.1)

-

(7.1)

Net financing costs

(3.0)

-

(3.0)


(4.7)


(4.7)









Profit / (loss) on disposal of fixed assets

1.3

-

1.3


(0.1)

-

(0.1)










Profit / (loss) before taxation


 

3.9


 

7.9


 

11.8



 

14.1


 

(17.7)


 

(3.6)

              

 


 

 

 









Taxation

(0.8)

(2.3)

(3.1)


(3.5)

5.3

1.8

















Profit / (loss) for the year from continuing operations

3.1

5.6

8.7


10.6

(12.4)

(1.8)









Profit from discontinued operations, net of tax

-

-

-


2.5

-

2.5









Profit/(loss) for the year

3.1

5.6

8.7


13.1

(12.4)

0.7









Earnings per share - Total

- basic

2.15p


6.18p


 

9.29p


0.46p

- diluted

2.12p


6.13p


 

9.22p


0.46p

Earnings / (loss) per share - Continuing operations

- basic

2.15p


6.18p


 

7.54p


(1.29)p

- diluted

2.12p


6.13p


 

7.48p


(1.28)p


  

Consolidated Group Balance Sheet

at 31 March 2008


2008


  2007


£m


£m

Non-current assets




Goodwill

6.8


6.8

Property, plant and equipment

193.4


185.5

Derivative financial instruments

1.6


0.5

Deferred tax assets

2.8


5.5


204.6


198.3

Current assets




Inventories

0.3


0.2

Trade and other receivables

50.0


44.0

Derivative financial instruments

13.7


1.1

Cash and cash equivalents

4.0


3.9


68.0


49.2





Total assets

272.6


247.5

Current liabilities




Trade and other payables

147.1


138.1

Derivative financial instruments

5.9


11.3


153.0


149.4

Non-current liabilities




Other non current liabilities

2.9


-

Borrowings

21.2


18.0

Derivative financial instruments

2.5


6.8

Deferred tax liabilities

18.6


14.3


45.2


39.1





Total liabilities

198.2


188.5





Net assets

74.4


59.0

Shareholders' equity




Share capital

1.8


1.8

Share premium

9.3


9.2

Cash flow hedging reserve

10.0


0.9

Retained earnings

53.1


47.1

Other reserves

0.2


-





Total Shareholders' equity 

74.4


59.0




  Consolidated Group Cash Flow Statement

for the year ended 31 March 2008



2008


2007


£m


£m





Cash flows from operating activities








Profit / (loss) before taxation from continuing operations

11.8


(3.6)





Adjustments for:




Finance income

(2.7)


(2.4)

Finance costs

5.7


7.1

(Profit) / loss on disposal of property, plant and equipment

(1.3)


0.1

Profit from discontinued operations before taxation

-


0.2

Depreciation

30.3


20.9

Equity settled share based payments

0.2


0.2

Specific fair value adjustments

(7.9)


17.7





Operating cash flows before movements in working capital

36.1


40.2





Increase in inventories

(0.1)


(0.7)

Increase in trade and other receivables

(6.5)


(21.5)

Increase in trade and other payables

12.9


44.2





Cash generated from operations

42.4


62.2





Interest received

0.1


1.1

Interest paid

(4.4)


(2.2)

Income taxes paid

(0.5)


(1.0)





Net cash from operating activities

37.6


60.1





Cash flows from investing activities




Disposal of subsidiary

-


3.8

Purchase of property, plant and equipment

(38.5)


(70.2)

Proceeds from sale of property, plant and equipment

1.5


2.8





Net cash used in investing activities

(37.0)


(63.6)





Cash flows from financing activities




Proceeds from issue of share capital

0.1


0.7

Net proceeds (repayments) from borrowings

3.2


(13.5)

Equity dividends paid

(2.9)


(2.7)





Net cash generated from / (used in) financing activities

0.4


(15.5)





Effect of foreign exchange rate changes

(0.9)


(3.1)





Net increase / (decrease) in cash in the year

0.1


(22.1)





Cash and cash equivalents at beginning of year

3.9


26.0





Cash and cash equivalents at end of year

4.0


3.9

 

    

  Consolidated Statement of Recognised Income and Expense

for the year ended 31 March 2008




2008


2007



£m


£m






Fair value (losses)/gains, gross of tax:





On cash flow hedges:





Transfers to profit and loss on maturity of cash flow hedges


(0.9)


(3.6)

Changes in fair value of cash flow hedges


13.9


-

Taxation on items taken directly to equity


(3.9)


1.6

Exchange differences on translation of foreign operations


0.2


-






Net Income and expense recognised directly in equity


9.3


(2.0)

Profit for the year


8.7


0.7

Total recognised income and expense for the year attributable to equity holders of the parent


18.0


(1.3)





NOTES TO THE GROUP FINANCIAL STATEMENTS

 

1.   General information 

Dart Group PLC and its subsidiary companies (the 'Group') have previously prepared consolidated financial statements under UK Generally Accepted Accounting Principles ('UK GAAP'). In common with other companies listed on AIM, the Group is required to adopt International Financial Reporting Standards ('IFRS') for its first consolidated financial statements for periods beginning on or after 1 January 2007.

2.    Transition to Adopted IFRSs

In preparing the Group's IFRS balance sheet at 1 April 2006 ('transition date'), the Group has followed the requirements of IFRS 1 First-time Adoption of International Financial Reporting Standards, which in general requires the full retrospective adoption of IFRS accounting policies. However, IFRS 1 contains certain mandatory exceptions and certain optional exemptions from this principle. The following optional exemptions from full retrospective adoption of IFRS have been adopted:

(a) Business combinations: The Group has chosen not to restate business combinations prior to the transition date of 1 April 2006 on an IFRS3 Business Combinations basis.

(b) Cumulative translation differences: One of the requirements of IAS21 The Effects of Changes in Foreign Exchange Rates is that exchange differences arising on the retranslation of the results and net assets of overseas operations must be held as a separate component of equity and on a subsequent disposal of an overseas operation, the cumulative amount of exchange differences previously recognised directly in equity for that operation are to be transferred to the income statement as part of the profit or loss on disposal. The Group has adopted the exemption allowing cumulative translation differences to be reset to zero at the transition date such that any profit or loss on disposal will exclude translation differences that arose before the transition date.

(c) Share based payment transactions: The Group has adopted the exemption allowing the application of IFRS2 Share based Payments only to those equity instruments granted after 7 November 2002 which had not vested at the date of transition of 1 April 2006. 


3.    Basis of preparation

The financial statements have been prepared under the historical cost convention except for all derivative financial instruments that have been measured at fair value and disposal groups held for sale that have been measured at the lower of fair value less costs to sell and their carrying amounts prior to the decision to treat them as held for sale.

In order to allow a better understanding of the financial information presented, and specifically the Group's underlying business performance, the Group presents its income statement in three columns such that it identifies: (i) results excluding specific IAS 39 fair value movements; (ii) the effect of specific IAS 39 fair value movements; and (iii) results for the year. For the purpose of clarity, in the explanation of the basis of preparation applied in these consolidated financial statements, we describe these columns as the 'left hand column', the 'middle column' and the 'right hand column' respectively.

The Group uses forward foreign currency contracts, currency option products and aviation fuel swaps to hedge exposure to foreign exchange rates and aviation fuel price volatility. Such derivative financial instruments are stated at fair value. 

Ineffectiveness in qualifying cash flow hedges under IAS 39 can arise as a result of the difference between the contractual profile of a hedge and the profile of transactions defined as the hedged item. IAS 39 requires ineffectiveness in qualifying cash flow hedges to be recorded in the income statement, and therefore the Group records this ineffectiveness in the left hand column when it relates to a cash flow hedge.

IFRS compliant hedge documentation was not in place prior to 1 April 2007. Movements in the fair value of derivatives in existence at this time, along with subsequent fair value movements on these cash flow hedges that would have qualified for hedge accounting had the documentation requirement been met, are separately presented in the middle column to assist the readers understanding of underlying business performance and to provide a more meaningful presentation.  For the avoidance of doubt, references to underlying performance refer to the left hand column.

The right hand column presents the results for the year showing all gains and losses recorded in the Consolidated Group Income Statement.

The Group's financial statements have been prepared and approved by the Directors in accordance with International Financial Reporting Standards ('IFRSs') as adopted by the European Union ('Adopted IFRSs').

The Group's financial statements are presented in pounds sterling and all values are rounded to the nearest £100,000, except where indicated otherwise.

The accounting policies set out in the announcement of 5 November 2007 covering the conversion to IFRS have been applied consistently to all periods presented.  In addition the policy for aircraft maintenance has been expanded to cover new circumstances as set out below.

Aircraft maintenance provisions

The Group operates a power by the hour contract for the maintenance of its B737 engines. This contract fixes the maintenance costs for the overhaul of these engines and payments are made to the maintenance provider to reflect usage.


Amounts payable under this contract are held in the balance sheet until an individual engine overhaul is undertaken. At such an event, the notional cost of overhaul is capitalised and then depreciated in line with usage, over the remaining life of the aircraft.


4.    Earnings per share

Earnings per share is presented both before specific IAS 39 fair value movements and after specific IAS 39 fair value movements in order to allow a better understanding of the financial information presented, and specifically the Group's underlying business performance. 



2008


                 2007


No.


No.

Basic weighted average number of shares in issue

141,029,664


140,073,882

Dilutive potential ordinary shares:




Employee share options

2,062,732


1,048,142





Diluted weighted average number of shares in issue

143,092,396


141,122,024






Basis of calculation - earnings (basic and diluted)

£m


£m

Profit before specific IAS 39 fair value movements

3.1


13.1

Specific IAS 39 fair value movements

5.6


(12.4)

Profit after specific IAS 39 fair value movements 

for the purposes of calculating basic and diluted earnings

8.7


0.7




Year to 31 March 2008


Year to 31 March 2007



Before specific IAS 39 fair value movements


After specific 

IAS 39 fair value movements


Before specific IAS 39 fair value movements


After specific 

IAS 39 fair value movements

Earnings per share (basic) - Total





- basic


2.15p

6.18p


9.29p

0.46p

- diluted


2.12p

6.13p


9.22p

0.46p








Earnings per share (basic) - Continuing





- basic


2.15p

6.18p


7.54p

(1.29)p

- diluted


2.12p

6.13p


7.48p

(1.28)p








Earnings per share (basic) - Discontinued





- basic


-

-


1.75p

1.75p

- diluted


-

-


1.74p

1.74p


5.    Segmental Reporting

 

       Business segments

The primary reporting segment format is business segments as the Group's risk and rates of return are affected predominantly by the different services provided. Secondary segmental information is reported geographically.

 

Year ended 31 March 2008



Distribution

Aviation

Un-allocated


Total continuing


£m

£m

£m


£m







Revenue

120.5

308.8

-


429.3







Operating profit before specific fair value adjustments

5.3

0.3

-


5.6







Specific fair value adjustments

-

7.9

-


7.9







Operating profit after specific fair value adjustments

5.3

8.2

-


13.5







Profit on disposal of property, plant and equipment 

-

1.3

-


1.3

Finance income

-

2.6

0.1


2.7

Finance costs

-

(1.3)

(4.4)


(5.7)







Profit/loss before taxation

5.3

10.8

(4.3)


11.8







Taxation

-

-

(3.1)


(3.1)







Profit/loss for the year after taxation

5.3

10.8

(7.4)


8.7








    Year ended 31 March 2007



Distribution

Aviation

Un-allocated


Total continuing


£m

£m

£m


£m







Revenue

110.0

239.0

-


349.0







Operating profit before specific fair value adjustments

5.9

13.0

-


18.9







Specific fair value adjustments

-

(17.7)

-


(17.7)







Operating profit after fair value adjustments

5.9

(4.7)

-


1.2







Loss on disposal of property, plant and equipment 

-

(0.1)

-


(0.1)

Finance income

-

0.4

2.0


2.4

Finance costs

-

(2.5)

(4.6)


(7.1)







Profit/loss before taxation

5.9

(6.9)

(2.6)


(3.6)







Taxation

-

-

1.8


1.8







Profit/loss for the year after taxation

5.9

(6.9)

(0.8)


(1.8)




6    The financial information set out in the announcement does not constitute the Group's statutory accounts for the financial years ended 31 March 2008 or 2007. The financial information for the year ended 31 March 2007 is derived from the restatement under IFRS published on 5 November 2007 of the statutory accounts for that year, which have been delivered to the Registrar of Companies and those for 2008 will be delivered following the Company's Annual General Meeting. The auditors have reported on those accounts; their reports were unqualified and did not contain statements under Section 237 (2) of the Companies Act 1985.

7.    Post balance sheet event

Subsequent to the year-end, Dart Group PLC has reached a revised agreement with its bankers, which increases the Group's funding flexibility. The revised arrangements allow the Group to increase significantly the use of lease arrangements which the Group regards as an increasingly important part of its aircraft fleet management plans. In return for making this amendment, a reduction in the facility term to October 2009 has been agreed with the syndicate banks but the Directors believe this increased flexibility puts the Group in a stronger position in the current market environment. 


8.    The 2008 Annual Report and Accounts (together with the Auditor's Report) will be posted to shareholders no later than 1 August 2008. The Annual General Meeting will be held on 28 August 2008.


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

Companies

Jet2 (JET2)
UK 100

Latest directors dealings