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Fins Growth Inc Tst (FGT)

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Thursday 04 May, 2006

Fins Growth Inc Tst

Interim Results - Amendment

Finsbury Growth & Income Trust PLC
04 May 2006


This announcement replaces RNS 3597c released at 13.01pm on 3 May 2006. The
primary amendment to the previous announcement is the replacement of the 31
March 2005 comparative figures within the Cash Flow Statement.

                                                           For immediate release

                                                                      4 May 2006

Finsbury Growth & Income Trust PLC

Announces Interim Results for the six months to 31 March 2006

Financial Highlights:           (Unaudited)             *Restated       % change
                                31 March 2006           (Audited)
                                                     30 September
                                                             2005

Share price                           301.5p              260.3p          15.8
Net Asset Value per
share                                 296.9p              257.8p          15.2
Premium/(discount)                      1.5%                1.0%             -
Shareholders' Funds                  £143.4m             £115.9m          23.7
Market
capitalisation                       £145.6m             £117.0m          24.4

                                Six months to       Six months to
                                31 March 2006            31 March
                                                           2005

Dividend                                4.2p                4.0p           5.0

                                Six months to         One year to
                                31 March 2006
                                                     30 September
                                                             2005
Share price (total
return #)                             +17.5%              +37.2%             -
Net Asset Value per
share (total return #)                +16.6%              +31.5%             -
FTSE All-Share Index
(total return)                        +12.7%              +24.9%             -


* Restated - see note 1d
# Source - Fundamental Data for the AITC





For and on behalf of
Close Finsbury Asset Management Limited, Secretary
4 May 2006

                                    - ENDS -


The following are attached:

* Chairman's Statement
* Income Statement
* Reconciliation of Movements in Shareholders' Funds
* Balance Sheet
* Cash Flow Statement
* Notes to the interim accounts


For further information please contact:

Alastair Smith/Tracey Lago, Close Finsbury Asset Management Limited 
020 7426 6240/6219

Jo Stonier/Eleanor Clarke, Quill Communications 020 7758 2230

Nick Train, Lindsell Train Limited 020 7225 6400



Chairman's Statement

In the six months to 31 March 2006 your Company continued to grow in size and
value. 3,337,930 new Ordinary shares were issued (increasing the issued share
capital by 7.4%) at an average price of £2.73 per share, all of which were
issued at a premium to net asset value per share of at least 1.5%. The market
value of your shares increased from 260.3p on 30 September 2005 to 301.5p on 31
March 2006, an increase of 15.8% and the market capitalisation of your Company
increased by 24.4% to £145.6m.


At an Extraordinary General Meeting on 12 April 2006 shareholders approved a
resolution to increase the authorised share capital to £25m, renewed the
authority to allot new Ordinary shares and to disapply pre-emption rights in
respect of the allotment of up to a further 10.0% of the issued share capital of
the Company. In order to maintain compliance with the Prospectus Rules, a
Prospectus was published to enable new shares to be issued.


Return and Dividends

The Income Statement shows a total return per share of 43.35p made up of a
revenue return of 5.14p and a capital return of 38.21p.


An interim dividend of 4.2p per share (2005: 4.0p) was declared on 9 March 2006
and paid on 18 April 2006 to shareholders on the register at the close of
business on 17 March 2006.


Investments

In the six months ended 31 March 2006 the net asset value (total return)
increased by 16.6% compared with that of the FTSE All-Share Index (total
return), the Company's benchmark, of 12.7%. The Board is delighted with this
outperformance of 3.9%.


Major contributors to this outperformance were your Company's investments in the
London Stock Exchange, Bradford & Bingley, Rathbone Brothers and Royalblue which
showed increases in total return in the period of 87.0%, 49.9%, 42.3% and 45.1%
respectively. In fact only one investment showed a loss during the period,
namely Shell with a total return of minus 2.8%.


Borrowings

Your Company has a committed revolving credit facility of £20 million for a
fixed term expiring in December 2008 which is subject to a variable rate of
interest but which is capable of being fixed at any time. Your Company also has
a further uncommitted facility of £5 million.


At 31 March 2006, all the committed facility was drawn down.


Outlook

In my statement accompanying last year's Annual Report and Accounts I said that
it would not be easy for your Company to repeat the substantial progress that it
made in that year. In the six months under review, although the rate of progress
has slowed, substantial progress has been made. Your Board intend to continue to
issue new shares at a premium to net asset value per share as demand for your
Company's shares requires. Such demand will be a reflection of a continuing good
investment performance.


Michael Reeve

Chairman

3 May 2006







Income Statement

For the six months ended 31 March 2006

                               (Unaudited)                    Restated*                    Restated*
                               Six months                   (Unaudited)                    (Audited)
                                    ended
                            31 March 2006                   Six months                   Year ended
                                                                 ended
                                                         31 March 2005                 30 September
                                                                                               2005
                Revenue   Capital   Total    Revenue   Capital   Total    Revenue   Capital   Total
                £'000     £'000     £'000    £'000     £'000     £'000    £'000     £'000     £'000
 -------------  -------    ------    ------  -------   -------   -------  -------   -------   -------
Gains on
investments
held at fair
value through
profit or loss      -    18,699    18,699        -    13,019    13,019        -    21,224    21,224
Income from
investments
held at fair
value through
profit or loss
(note 2)        3,002         -     3,002    1,821         -     1,821    4,369         -     4,369

Management fee   (164)     (331)     (495)    (107)     (218)     (325)    (246)     (499)     (745)
(note 3)
Other
administration
expenses         (237)      (80)     (317)    (215)        -      (215)    (458)        -      (458)
-------------   -------    ------    ------  -------   -------   -------  -------   -------   -------
Net return on
ordinary
activities
before finance
charges and
taxation        2,601    18,288    20,889    1,499    12,801    14,300    3,665    20,725    24,390
Finance          (197)     (400)     (597)    (161)     (326)     (487)    (334)     (677)   (1,011)
charges         
-------------   -------    ------    ------  -------   -------   -------  -------   -------   -------
Net return on
ordinary
activities
before
taxation        2,404    17,888    20,292    1,338    12,475    13,813    3,331    20,048    23,379
Taxation on         -         -         -        -         -         -        -         -         -
ordinary        
activities
-------------   -------    ------    ------  -------   -------   -------  -------   -------   -------
Net return on
ordinary
activities
after taxation  2,404    17,888    20,292    1,338    12,475    13,813    3,331    20,048    23,379
-------------   -------    ------    ------  -------   -------   -------  -------   -------   -------
Return per
Ordinary share
(note 4)         5.14p    38.21p    43.35p    3.56p    33.16p    36.72p    8.21p    49.41p    57.62p
-------------   -------    ------    ------  -------   -------   -------  -------   -------   -------


*Restated - see note 1


The total column of this statement represents the Company's Income Statement.
The revenue return and capital return columns are supplementary to this and are
prepared under guidance published by the Association of Investment Trust
Companies.



Reconciliation of Movements in Shareholders' Funds


Six months ended 31 March 2005


-----------------       -------       -------          ------    --------       -------         -------   -------
                      Called up Share Premium Special Reserve     Capital Other Capital Revenue Reserve   Total
                                        £'000                  Redemption       Reserve           £'000
                  Share Capital                       £'000       Reserve       £'000                     £'000
                          £'000                                     £'000
-----------------       -------       -------          ------    --------       -------         -------   -------

At 30
September 2004
(as previously
stated)                 9,614           121          12,424       3,453        47,451           1,167    74,230

Add final
dividend of
4.1p per share
accrued but
not paid in
respect of the
year ended 30
September 2004              -             -               -           -             -           1,496     1,496
-----------------       -------       -------          ------    --------       -------         -------   -------

At 30
September 2004
(restated)              9,614           121          12,424       3,453        47,451           2,663    75,726

Net return
from ordinary
activities                  -             -               -           -        12,475           1,338    13,813

Dividend of
4.1p per share
paid in
respect of
year ended 30
September 2004              -             -               -           -             -          (1,496)   (1,496)

Treasury
shares sold                 -           721           3,514           -             -               -     4,235
-----------------       -------       -------          ------    --------       -------         -------   -------

At 31 March
2005                    9,614           842          15,938       3,453        59,926           2,505    92,278
-----------------       -------       -------          ------    --------       -------         -------   -------

Year ended 30 September 2005

-----------------       -------       -------          ------    --------       -------         -------   -------
                      Called up Share Premium Special Reserve     Capital Other Capital Revenue Reserve   Total
                                        £'000                  Redemption       Reserve           £'000
                  Share Capital                       £'000       Reserve       £'000                     £'000
                          £'000                                    £'000
-----------------       -------       -------          ------    --------       -------         -------   -------

At 30
September 2004
(as previously
stated)                 9,614           121          12,424       3,453        47,451           1,167    74,230

Add final
dividend of
4.1p per share
accrued but
not paid in
respect of the
year ended 30
September 2004              -             -               -           -             -           1,496     1,496
-----------------       -------       -------          ------    --------       -------         -------   -------

At 30
September 2004
(restated)              9,614           121          12,424       3,453        47,451           2,663    75,726

Net return
from ordinary
activities                                                                     20,048           3,331    23,379

Dividend paid
in respect of
the year ended
30 September
2004                        -             -               -           -             -          (1,496)   (1,496)

Less first
interim
dividend (4.0p
per share) for
the year ended
30 September
2005                        -             -               -           -             -          (1,565)   (1,565)

Ordinary
shares issued           1,623        14,000               -           -             -               -    15,623

Treasury
shares sold                 -           722               -           -         3,479               -     4,201
-----------------       -------       -------          ------    --------       -------         -------   -------

At 30
September 2005         11,237        14,843          12,424       3,453        70,978           2,933   115,868
-----------------       -------       -------          ------    --------       -------         -------   -------



Six months ended 31 March 2006

-----------------       -------       -------         -------    --------       -------         -------    -------
                      Called up Share Premium Special Reserve     Capital Other Capital Revenue Reserve    Total
                                        £'000                  Redemption       Reserve           £'000
                  Share Capital                       £'000       Reserve       £'000                      £'000
                          £'000                                    £'000
-----------------       -------       -------         -------    --------       -------         -------    -------

At 30
September 2005
(as restated)          11,237        14,843          12,424       3,453        70,978           2,933    115,868

Net return
from ordinary
activities                  -             -               -           -        17,888           2,404     20,292

Second interim
dividend of
4.0p paid in
respect of
year ended 30
September 2005              -             -               -           -             -          (1,796)    (1,796)

Issue of
ordinary
shares                    835         8,190               -           -             -               -      9,025
-----------------       -------       -------         -------    --------       -------         -------    -------

At 31 March
2006                   12,072        23,033          12,424       3,453        88,866           3,541    143,389
-----------------       -------       -------         -------    --------       -------         -------    -------



Balance Sheet

As at 31 March 2006

                                                                   -------------
                                     (Unaudited)        Restated*      Restated*
                                     31 March 2006  (Unaudited)      (Audited)
                                           £'000    31 March 2005   30 September
                                                                            2005
                                                          £'000          £'000
                   ----------------   ------------    -----------  -------------
Fixed assets                             161,848        107,810        132,911

Investments held at fair value
through profit or loss                
----------------                      ------------    -----------  -------------

Current assets

Investments held for trading                   -            645            645
Debtors                                    1,919          1,194          1,313
Bank balances and short term
deposits                                     226            287            218
----------------                      ------------    -----------  -------------
                                           2,145          2,126          2,176
Creditors

Amounts falling due within one
year                                     (20,604)       (17,658)       (19,219)
----------------                      ------------    -----------  -------------
Total assets less current
liabilities                              (18,459)       (15,532)       (17,043)
----------------                      ------------    -----------  -------------
Total net assets                         143,389         92,278        115,868
----------------                      ------------    -----------  -------------
Capital and reserves
Called up share capital                   12,072          9,614         11,237
Share premium                             23,033            842         14,843
Special reserve                           12,424         15,938         12,424
Capital redemption reserve                 3,453          3,453          3,453
Capital reserve - realised                45,119         40,918         45,931
Capital reserve - unrealised              43,747         19,008         25,047
Revenue reserve                            3,541          2,505          2,933
----------------                      ------------    -----------  -------------
Equity shareholders' funds               143,389         92,278        115,868
----------------                      ------------    -----------  -------------
Net asset value per Ordinary share
(note 5)                                   296.9p         240.0p         257.8p
----------------                      ------------    -----------  -------------



*Restated - see note 1



Cash Flow Statement

For the six months ended 31 March 2006

                                     (Unaudited)    (Unaudited)      (Audited)
                                     31 March 2006  31 March 2005   30 September
                                                                            2005
                                           £'000          £'000          £'000
                 ------------------    -----------   ------------  -------------
Net cash inflow from
operating activities                       1,142            593          2,573
Servicing of finance
Loan and bank overdraft
interest paid                               (571)          (472)        (1,020)
Financial investment
Purchase of investments                   (9,486)       (17,526)       (40,111)
Sale of investments                            -         12,478         19,006
------------------                     -----------   ------------  -------------
Net cash outflow from
financial investment                      (9,486)        (5,048)       (21,105)
Equity dividends paid                     (1,796)        (1,523)        (3,061)
------------------                     -----------   ------------  -------------

Net cash outflow before
financing                                (10,711)        (6,450)       (22,613)

Financing

Issue of new shares                        8,819              -         15,494

Treasury shares sold                           -          4,236          4,236

Drawdown of loans                          1,900          2,250          2,850
------------------                     -----------   ------------  -------------

Net cash inflow from
financing                                 10,719          6,486         22,580
------------------                     -----------   ------------  -------------
Increase/(decrease) in
cash                                           8             36            (33)
------------------                     -----------   ------------  -------------
Reconciliation of net cash flow to
movement in net debt
Increase/(decrease) in
cash resulting from
cashflows                                      8             36            (33)
Increase in debt                          (1,900)        (2,250)        (2,850)
------------------                     -----------   ------------  -------------
Movement in debt                          (1,892)        (2,214)        (2,883)
Net debt at start of
period/year                              (17,882)       (14,999)       (14,999)
------------------                     -----------   ------------  -------------
Net debt at end of
period/year                              (19,774)       (17,213)       (17,882)
------------------                     -----------   ------------  -------------





Notes to the interim accounts

 1.  Accounting Policies

     a) Changes in presentation
     The Company has adopted the provisions of the revised SORP (statement of
     recommended practice, dated December 2005) and revised UK Accounting Standards
     which has resulted in some changes to the presentation of the Company's
     accounts.

     The Statement of Total Return is now called the Income Statement. Dividends
     payable to equity shareholders are no longer reflected in the Income Statement,
     although they continue to be shown in the Reconciliation of Movements in
     Shareholders' Funds which is now presented as a primary statement.

     b) Changes in accounting policies
     The Company has changed its accounting policy for the valuation of listed
     investments and the recognition of dividends payable to equity shareholders in
     accordance with the provisions of FRS 26 - Financial instruments: Recognition
     and Measurement ('FRS 26') and FRS 21 - Events after the balance sheet date
     ('FRS 21') respectively. These changes in policy and the associated impact on
     the results of the Company are referred to below. As permitted by FRS 26,
     comparatives have not been restated for the change in basis of valuation from
     mid to bid.

     c) Valuation of fixed asset investments
     Following the introduction of FRS 26, listed investments have been designated by
     the Board as held at fair value through profit or loss and accordingly are
     valued at fair value, deemed to be bid market prices. The market value of listed
     investments for previous periods have not been restated.

     Changes in the fair value of investments held at fair value through profit or
     loss and gains and losses on disposal are recognised in the Income Statement as
     'Gains or losses on investments held at fair value through profit or loss'. Also
     included within this caption are transaction costs in relation to the purchase
     or sale of investments, including the difference between the purchase price of
     an investment and its bid price at the date of purchase. Purchase transaction
     costs for the period to 31 March 2006 were £65,965 (30 September 2005: £233,456
     and 31 March 2005: £90,301), which comprise stamp duty and commission. Sale
     transaction costs for the period to 31 March 2006 were nil, (30 September 2005:
     £674 and 31 March 2005: nil). All purchases and sales are accounted for on a
     trade date basis.

     d) Dividends payable to equity shareholders
     Under FRS 21 dividends should not be accrued in the accounts unless they have
     been approved by shareholders before the Balance Sheet date. The final dividend
     payable to equity shareholders is recognised in the Reconciliation of Movements
     in Shareholders' Funds when it has been approved by shareholders and becomes a
     liability to the Company; whereas an interim dividend will be recognised when it
     is paid.

     The effect of this change is to increase net assets at 30 September 2005 by
     £1,796,000 (or 4.0p per share) (31 March 2005: £1,565,000 or 4.0p per share).

 2.  Income
                                              Six months     Six months    Year ended
                                                   ended          ended
                                           31 March 2006  31 March 2005  30 September
                                                                                 2005
                                                 £'000          £'000         £'000

     Investment income                           2,320          1,788         4,296
     Dividend paid from subsidiary                 645              -             -
     Bank interest                                  37             33            73
                                            ------------     ----------   -----------
                                 Total           3,002          1,821         4,369
                                            ------------     ----------   -----------

 3.  Management fees

                                               Six months     Six months   Year ended
                                                    ended          ended
                                            31 March 2006  31 March 2005 30 September
                                                                                 2005
                                                  £'000          £'000        £'000

     Management fee                                 421            277          634
     Irrecoverable VAT thereon                       74             48          111
                                              -----------     ----------  -----------
                                   Total            495            325          745
                                              -----------     ----------  -----------

 4.  Return per Ordinary share

     The revenue return per Ordinary share is calculated by dividing the net revenue
     return of £2,404,000 (six months ended 31 March 2005: return of £1,338,000; year
     ended 30 September 2005: return of £3,331,000) by 46,805,418 (six months ended
     31 March 2005: 37,616,627; year ended 30 September 2005: 40,573,992), being the
     weighted average number of Ordinary shares in issue. The capital return per
     Ordinary share is calculated by dividing the net capital gains attributable to
     Ordinary shareholders of £17,888,000 (six months ended 31 March 2005:
     £12,475,000; year ended 30 September 2005: gain of £20,048,000) by the weighted
     average number of Ordinary shares in issue as above.
     For the six months ended 31 March 2006, using the actual number of shares in
     issue of 48,286,573 the total return per Ordinary share is 42.02p, split between
     revenue 4.98p and capital 37.04p.

 5.  Net asset value per share
     The net asset value per Ordinary share is based on net assets attributable to
     Ordinary shares of £143,389,000 (31 March 2005: £92,278,000 and 30 September
     2005: £115,868,000) and on 48,286,573 Ordinary shares in issue (31 March 2005:
     38,456,430 and 30 September 2005: 44,948,643).

 6.  2005 Accounts

     The figures and financial information for the year ended 30 September 2005 as
     restated are extracted from the latest published accounts of the Company and do
     not constitute statutory accounts for the year.
     Those accounts have been delivered to the Registrar of Companies and received an
     audit report which was unqualified, did not include a reference to any matters
     to which the auditors drew attention by way of emphasis without qualifying the
     report, and did not contain a statement under either Section 237(2) and 237(3)
     of the Companies Act 1985.




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