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TR European Growth (TRG)

  Print      Mail a friend       Annual reports

Thursday 11 February, 2010

TR European Growth

Half Yearly Report

RNS Number : 0143H
TR European Growth Trust PLC
11 February 2010
 



Page 1 of 15

11 February 2010

TR EUROPEAN GROWTH TRUST PLC

 

Unaudited Results for the Half Year ended 31 December 2009

 

This announcement contains regulated information

 

 

HIGHLIGHTS

 

31 December

2008

(unaudited)

£'000

31 December

2009

(unaudited)

£'000

30 June

2009

(audited)

£'000

 

 

%

change

202,531


Total net assets

247,269

215,398

+14.8







%


Divided between:

%

%


76.6


Quoted equities

90.1

78.0


8.8


Unquoted equities

7.6

9.1


14.6


Net current assets

2.3

12.9


-------



-------

-------


100.0



100.0

100.0


  ====



  ====

====








292.86p

Net asset value per ordinary share

431.28p

334.08p

+29.1



Net asset value total return



+30.8






265.50p

Ordinary share price

397.00p

303.00p

+31.0



Share price total return



+32.9







9.34%


Discount to NAV

7.95%

9.30%








-

Benchmark

-

-

+31.8

350.83


HSBC Smaller Europe (ex UK) Index *

499.86

375.30

+33.2

426.85


S&P/Citigroup EMI Europe (ex UK) Index *

550.53

422.36

+30.3







574.51


FTSE World Europe (ex UK) Index *

689.92

529.87

+30.2















†  Source: Morningstar

* Indices expressed on a total return basis; source: Datastream


 

 

 

 

 

 

- MORE -

 



Page 2 of 15

TR EUROPEAN GROWTH TRUST PLC

 

Unaudited Results for the Half Year ended 31 December 2009

 

Chairman's Statement

The six months to 31 December 2009 continued the trend seen since March of strongly rising equity markets and increasing appetite for risk from investors.

 

Over the first half of the financial year, our net asset value total return was 30.8% and our share price total return was 32.9%, resulting in a slight narrowing of the discount. This compares to a total return of 31.8% for our benchmark.

 

At the EGM in November we received shareholder approval to buy back up to 10% of the Company's outstanding shares, through a tender offer, in accordance with the terms of our discount protection mechanism. We received applications to tender only 5.2% of the Company's shares.  We were gratified by this demonstration of support from our shareholders and were pleased to able to satisfy the preferences of all our shareholders in full.

 

Approval was also given to modify the methodology used in the discount protection mechanism to calculate the average discount over the financial year.  The new calculation uses the average of the daily discounts during each month, instead of using only the month end discount.  We believe that this change gives a much more representative picture of the discount throughout the year.

 

We have continued to buy back our own shares for cancellation. These were all done at a discount to the net asset value per share, thus enhancing the net asset value for the remaining shareholders.  During the six months to 31 December 2009, 7,141,834 shares were repurchased (including the tender offer), representing 11.1% of our share capital.

 

Prospects, principal risks and uncertainties

Markets have bounced back very strongly from their lows. Whilst it seems clear that the economic environment has stabilised, and in some areas is even showing signs of improvement, a number of large questions remain. The key issue is trying to gauge what the genuine, underlying level of demand will be once governments seriously start to scale back the massive levels of stimulus that they have been using to try to prevent a slip from recession into depression.

 

This will likely result in a period of volatility, with market sentiment prone to rapid mood swings as at times positive economic news will be seen as good, because the economy is strengthening, and at other times bad, because recovery means we are closer to governments tightening conditions and interest rates rising.

 

This type of environment should present opportunities for our Manager to add some attractively valued holdings to our portfolio, particularly during periods of market concern and I look forward to reviewing our progress in our annual report.

 

 

A W Twiston-Davies

Chairman

 

 

- MORE -

 



 

 

Page 3 of 15

TR EUROPEAN GROWTH TRUST PLC

 

Unaudited Results for the Half Year ended 31 December 2009

 

 

Manager's Report

The strong rally over the last six months was really a function of a rebound in confidence. It was certainly not a case of everything being great but rather a recognition that the world was not ending and that recovery would emerge over time. For this reason, many of our best performers were companies in businesses which are rather sensitive to the economic cycle and hence who's share prices had earlier been punished for this sensitivity.

 

A good example of this was Aalberts Industries, a Dutch specialist engineering group which despite having a good long term track record of building the business had seen its share price fall by 84% from its high in July 2007 to its low in March 2009. However, since reaching that low in March, it had almost trebled by the end of the year.

 

We also had strong performance from OHL, the Spanish construction and concessions company. Its share price had suffered from negative investor sentiment towards both construction and Spain, whilst giving little regard to the fact that the company derives a significant part of its business from South America. Another company involved in construction and concessions which performed well for us was the German group Hochtief.

 

 

Geographical distribution (% of portfolio)


31 December 2009

30 June 2009

Austria

4.0

4.0

Belgium

1.6

1.9

Bulgaria

0.1

0.6

Denmark

-

2.1

Finland

2.5

5.2

France

17.0

16.3

Germany

21.7

14.4

Greece

1.1

2.3

Italy

4.9

5.9

Kazakhstan

3.4

3.4

Luxembourg

2.9

2.6

Netherlands

8.8

7.4

Norway

4.3

1.5

Romania

0.7

0.5

Russia

1.1

1.0

Spain

9.5

8.5

Switzerland

9.5

13.8

Turkey

4.1

4.5

Other

2.8

4.1


-------

-------


100.0

100.0


====

====

 

- MORE -

 

 

 

 

Page 4 of 15

TR EUROPEAN GROWTH TRUST PLC

 

Unaudited Results for the Half Year ended 31 December 2009

 

Manager's Report (continued)

 

As well as the economic outlook, the other major concern of investors had been leverage - that some companies had taken on more debt than they could manage. Rising markets meant that many companies had the opportunity to rectify this situation by raising fresh money, often by having rights issues. Improving the balance sheet issue was often the catalyst for strong share price performance. We had a positive performance from Wavin, the Dutch plastic pipes producer. We also had strong contributions from ArcelorMittal, the world's largest steel group, and UBS, the Swiss banking group; both of which had previously raised money to strengthen their balance sheets.

 

We also had another strong contribution from Temenos, the Swiss banking software producer which rebounded as it managed to continue to win new business, despite the troubles of its banking customers.

 

Negative contributors tended to be either companies which were struggling operationally, or simply where the share prices remained flat against a strongly rising market.  These included Batla Minerals, the French listed minerals exploration and production group, where the share price languished amid a lack of newsflow. This has subsequently changed somewhat as the company's joint venture has been awarded a lease in Lesotho.

 

We also had a negative contribution from Dietswell. This French group provides drilling services to oil companies and its business suffered greatly as its customers scaled back their spending.

 

Another negative performer was Acino, the Swiss generics producer which struggled with uncertainty over the regulatory and reimbursement environment in the German market.

 

We also had a poor performance from Televista, the French television producer which struggled amid the lower spending environment in the industry.

 

We have already noted that rights issues have been a feature of the recent period and we used a number of these as opportunities to either increase some of our existing positions or to start brand new ones. We increased our position in Wavin, which has been struggling with very weak business conditions and too much debt, through its rights issue. OHL used its rights issue to pay for an acquisition that it had made. We subscribed to it and also supported the rights issue of Rhön-Klinikum, the German private hospitals operator which also raised money to fund its ongoing acquisition programme as it takes advantages of the opportunities presented by the new wave of German hospital privatisations. We started a brand new position in HeidelbergCement, the German building material company which is the world's largest producer of aggregates. The company had a combined sale of both new and existing shares following the death of its owner and a need to restructure its debt load.

 

Another new German holding was Fresenius. This is a diversified healthcare group with a range of businesses from running specialist hospitals to dialysis products and services which we believe is undervalued given its strong long term growth profile.

 

- MORE -

 

 

 

Page 5 of 15

TR EUROPEAN GROWTH TRUST PLC

 

Unaudited Results for the Half Year ended 31 December 2009

 

 

Manager's Report (continued)

 

We added a holding in Clariant, the Swiss speciality chemicals company which is undergoing a restructuring programme driven by its new CEO. Another company in the midst of restructuring is Vueling, the Spanish low cost airline. We added a holding as we think that the recent merger with one of its key competitors should make for a profitable future for the new group.

 

A sure sign of the return of market confidence was the reappearance of the IPO market, ie companies listing on the market for the first time. We took the opportunity to add a holding in CFAO, the French leader in specialised distribution to Africa and the French Overseas Territories. The company is particularly strong in Automotive and Pharmaceuticals and should see good long term growth as the economies in those regions mature.

 

Sales included Velcan Energy, the French alternative energy producer which has struggled as market economics have changed, and Puma, the German sports apparel business which has found the weak consumer climate to be challenging.

 

We also took profit on a number of holdings where we felt that we could now do better elsewhere. These included Aryzta, the Irish ready prepared baked goods company, Swatch, the Swiss watches group and UBS, the Swiss bank.

 

The weighted average market capitalisation of the portfolio at 31 December 2009 was £4,130m which compares with £2,943m at 30 June 2009.

 

 

Sector distribution (% of portfolio)


31 December 2009

30 June 2009

Basic materials

26.1

17.3

Business providers

9.1

10.4

Consumer goods

15.0

10.1

Financials

18.6

21.3

Industrial goods

6.6

9.9

Natural resources

11.9

15.9

Retail providers

2.2

0.7

Technology

10.5

14.4

-------

-------

100.0

100.0

====

====

 

 

 

- MORE -

 

 

 

 

 

 

 

Page 6 of 15

TR EUROPEAN GROWTH TRUST PLC

 

Unaudited Results for the Half Year ended 31 December 2009

 

 

Manager's Report (continued)

 

Outlook

After a year of cost cutting, the focus for many companies will now switch to sales and the prospects for growth. Economies have certainly stabilised; the question is how strong will the underlying demand be, once governments start reducing the levels of stimulus as they struggle with their own finances and as interest rates start to rise. This is still some way off but will certainly become an important factor as the year develops.

 

Reducing leverage will continue to be a feature. Such is the state of the world that this applies to individuals, to corporates and also to governments. This process will take a considerable time and will not be easy but there is no way to avoid it.

 

So the environment is likely to remain subdued but with some prospects for growth and profits. However, there are bound to be some hiccups and shocks along the way. It is likely that the banks will have to rebuild their balance sheets further and indeed a numbers of countries will have to do the same, and the prospects for steep cuts in state spending are unlikely to contribute to the creation of a buoyant environment.

 

All in all, this should mean a relatively stable environment but with some moments of panic. Our approach remains the same, which is to use these periods of distress to our advantage by taking a longer view and buying good companies when they are trading at attractive prices.

 

Stephen V Peak

Simon Savill

 

 

 

 

 

 

 

- MORE -

 



Page 7 of 15

TR EUROPEAN GROWTH TRUST PLC

 

Unaudited Results for the Half Year ended 31 December 2009

 

 

Consolidated Income Statement

for the half year ended 31 December 2009

 


Half year ended 31 December 2009

(unaudited)

Half year ended 31 December 2008

(unaudited)

Year ended 30 June 2009

(audited)


Revenue

Return

Capital

Return

 

Total

Revenue

Return

Capital

Return

 

Total

Revenue

Return

Capital

Return

 

Total

£'000

£'000

£'000

£'000

£'000

£'000

£'000

£'000

£'000

Investment income

597

-

597

1,164

-

1,164

4,388

-

4,388

Interest on VAT refunds

-

-

-

-

-

-

1,101

-

1,101

Other income

195

-

195

869

-

869

402

-

402

Gains/(losses) on investments held at fair value through profit or loss

-

62,267

62,267

-

(117,952)

(117,952)

-

(95,775)

(95,775)

----------

----------

----------

----------

----------

----------

----------

----------

----------

Total income/(loss)

792

62,267

63,059

2,033

(117,952)

(115,919)

5,891

(95,775)

(89,884)

----------

----------

----------

----------

----------

----------

----------

----------

----------











xpenses










Management fees

(129)

(515)

(644)

(111)

(444)

(555)

(210)

(841)

(1,051)

Write back of prior years' VAT

-

-

-

122

489

611

386

548

934

Other expenses

(266)

-

(266)

(253)

-

(253)

(505)

-

(505)

----------

----------

----------

----------

----------

----------

----------

----------

----------

Profit/(loss) before finance costs and taxation

397

61,752

62,149

1,791

(117,907)

(116,116)

5,562

(96,068)

(90,506)











Finance costs

-

-

-

(29)

(116)

(145)

(30)

(117)

(147)

----------

----------

----------

----------

----------

----------

----------

----------

----------

Profit/(loss) before taxation

397

61,752

62,149

1,762

(118,023)

(116,261)

5,532

(96,185)

(90,653)











Taxation

(73)

-

(73)

(485)

424

(61)

(1,540)

1,048

(492)


----------

----------

----------

----------

----------

----------

----------

----------

----------

Profit/(loss) for the period

324

61,752

62,076

1,277

(117,599)

(116,322)

3,992

(95,137)

(91,145)


======

======

======

======

======

======

======

======

======











Earnings/(loss) per ordinary share (note 2)

0.52p

99.64p

100.16p

1.80p

(165.85p)

(164.05p)

5.79p

(138.04p)

(132.25p)


======

======

======

======

=======

=======

=====

=======

=======











 

The total column of this statement represents the Consolidated Income Statement, prepared in accordance with IFRS. The revenue return and capital return columns are supplementary to this and are prepared under guidance published by the Association of Investment Companies.

 

All items in the above statement derive from continuing operations.

 

All income is attributable to the equity holders of TR European Growth Trust PLC, the parent company. There are no minority interests.

 

 

 

- MORE -


Page 8 of 15

TR EUROPEAN GROWTH TRUST PLC

 

Unaudited Results for the Half Year ended 31 December 2009

 

 

Consolidated Statement of Changes in Equity

for the half year ended 31 December 2009

 

 

Half year ended

31 December 2009

Called up share

capital

Share

premium

 account

Capital redemption reserve

Other

capital

reserves

Revenue reserve

Total

(unaudited)

£'000

£'000

£'000

£'000

£'000

£'000

Balance at 30 June 2009

8,059

115,451

12,119

62,270

17,499

215,398

Buy-backs of ordinary shares

(892)

-

892

(26,640)

-

(26,640)

Tender offer costs

-

-

-

(100)

-

(100)

Profit for the period

-

-

-

61,752

324

62,076

Ordinary dividend paid

-

-

-

-

(3,465)

(3,465)

----------

----------

----------

----------

---------

-----------

Balance at 31 December 2009

7,167

115,451

13,011

97,282

14,358

247,269


======

======

======

======

=====

======

















 

Half year ended

31 December 2008

Called up share

capital

Share

premium

account

Capital redemption reserve

Other

capital

reserves

 

Revenue reserve

 

 

Total

(unaudited)

£'000

£'000

£'000

£'000

£'000

£'000

Balance at 30 June 2008

9,045

115,451

11,133

179,167

17,056

331,852

Buy-backs of ordinary shares

(400)

-

400

(9,450)

-

(9,450)

(Loss)/profit for the period

-

-

-

(117,599)

1,277

(116,322)

Ordinary dividend paid

-

-

-

-

(3,549)

(3,549)

------------

------------

------------

------------

------------

------------

Balance at 31 December 2008

8,645

115,451

11,533

52,118

14,784

202,531


=======

=======

=======

=======

=======

=======

















Year ended 30 June 2009

Called up share

capital

Share

premium

account

Capital redemption reserve

Other

capital

reserves

Revenue reserve

Total

(audited)

£'000

£'000

£'000

£'000

£'000

£'000

Balance at 30 June 2008

9,045

115,451

11,133

179,167

17,056

331,852

Buy-backs of ordinary shares

(986)

-

986

(21,760)

-

(21,760)

(Loss)/profit for the year

-

-

-

(95,137)

3,992

(91,145)

Ordinary dividend paid

-

-

-

-

(3,549)

(3,549)

------------

------------

------------

------------

------------

------------

Balance at 30 June 2009

8,059

115,451

12,119

62,270

17,499

215,398


=======

=======

=======

=======

=======

=======

 

 

 

 

 

 

 

 

- MORE -



Page 9 of 15

TR EUROPEAN GROWTH TRUST PLC

 

Unaudited Results for the Half Year ended 31 December 2009

 

Consolidated Balance Sheets

at 31 December 2009

 



31 December 2009

(unaudited)

31 December 2008

(unaudited)

30 June 2009

(audited)



                £'000

                £'000

                £'000

Non current assets





Investments held at fair value through profit or loss


241,586

172,946

187,488


-----------

-----------

-----------

Current assets





Sales for future settlement


-

64

197

Taxation recoverable


177

194

291

Other receivables


59

6,010

800

Cash and cash equivalents


5,978

24,020

30,709


-----------

-----------

-----------


6,214

30,288

31,997



-----------

-----------

-----------






Total assets


247,800

203,234

219,485



-----------

-----------

-----------

Current liabilities





Purchases for future settlement


-

-

(2,277)

Accruals


(404)

(402)

(397)

Amounts due on repurchase of shares


(127)

(8)

(1,413)

Bank loans and overdrafts


-

(293)

-



-----------

-----------

-----------



(531)

(703)

(4,087)



-----------

-----------

-----------






Net assets


247,269

202,531

215,398


=======

=======

=======











Equity attributable to equity shareholders





Called up share capital (note 3)


7,167

8,645

8,059

Share premium account


115,451

115,451

115,451

Capital redemption reserve


13,011

11,533

12,119

Retained earnings:





   Other capital reserves


97,282

52,118

62,270

   Revenue reserve


14,358

14,784

17,499



-----------

-----------

-----------

Total equity


247,269

202,531

215,398



======

======

======











Net asset value per ordinary share (note 4)


431.28p

292.86p

334.08p



======

======

======

 

 

 

 

 

 

- MORE -



Page 10 of 15

TR EUROPEAN GROWTH TRUST PLC

 

Unaudited Results for the Half Year ended 31 December 2009

 

Consolidated Cash Flow Statement

for the half year ended 31 December 2009

 


Half year ended

31 December 2009

(unaudited)

Half year ended

31 December 2008

(unaudited)

 

Year ended

30 June 2009

(audited)


£'000

£'000

£'000

Net cash inflow from operating activities

(note 5)

6,854

50,061

69,988


----------

----------

---------

Net cash inflow before use of financing

6,854

50,061

69,988

Net cash outflow from financing activities

(31,506)

(29,050)

(41,353)


----------

-----------

-----------

Net (decrease)/increase in cash and cash equivalents

(24,652)

21,011

28,635

Cash and cash equivalents at the start of the period

30,709

1,300

1,300

Realised (loss)/profit on foreign currency

(79)

1,416

774


----------

----------

---------

Cash and cash equivalents at the period end

5,978

23,727

30,709


======

======

=====





 

 

 

 

 

 

 

 

 

- MORE -



 

Page 11 of 15

TR EUROPEAN GROWTH TRUST PLC

 

Unaudited Results for the Half Year ended 31 December 2009

 

Notes

 

1.   Accounting policies

 

a)  Basis of preparation

The condensed set of financial statements has been prepared using the same accounting policies as are set out in the Company's annual report and financial statements for the year ended 30 June 2009 and in accordance with IAS 34.

 

The condensed set of financial statements has not been either audited or reviewed by the Company's auditors.

 

b)  Basis of consolidation

The Group's financial statements consolidate the accounts of the Company and of its wholly owned subsidiary undertaking, TREG Finance Limited.

 

2.   Earnings/(loss) per ordinary share

The earnings per ordinary share figure is based on the profit for the half year of £62,076,000 (half year ended 31 December 2008: loss of £116,322,000; year ended 30 June 2009: loss of £91,145,000) and on 61,974,946 (half year ended 31 December 2008: 70,904,353; year ended 30 June 2009: 68,917,228) ordinary shares, being the weighted average number of ordinary shares in issue during the period. 

 

The earnings per ordinary share detailed above can be further analysed between revenue and capital, as below.

 



Half year ended 31 December 2009

(unaudited)

Half year

ended 31

December 2008

(unaudited)

Year ended

30 June 2009

(audited)



 £'000

 £'000

 £'000

Net revenue profit

324

1,277

3,992

Net capital profit/(loss)

61,752

(117,599)

(95,137)


----------

----------

----------

Net total profit/(loss)

62,076

(116,322)

(91,145)


======

======

======

Weighted average number of ordinary

     shares in issue during the period

61,974,946

70,904,353

68,917,228








 Pence

 Pence

 Pence

Revenue earnings per ordinary share

0.52

1.80

5.79

Capital earnings/(loss) per ordinary share

99.64

(165.85)

(138.04)


----------

----------

----------

Total earnings/(loss) per ordinary share

100.16

(164.05)

(132.25)


======

======

======

 

 

 

 

 

 

- MORE -



 

Page 12 of 15

TR EUROPEAN GROWTH TRUST PLC

 

Unaudited Results for the Half Year ended 31 December 2009

 

Notes (continued)

 

3.   Ordinary share capital

At 31 December 2009 there were 57,334,021 ordinary shares in issue (31 December 2008: 69,157,355; 30 June 2009: 64,475,855).  During the half year ended 31 December 2009 the Company bought 7,141,834 of its own issued ordinary shares in the market for cancellation (31 December 2008: 3,203,600; 30 June 2009: 7,885,100).  The cost of the share buy-backs, including stamp duty and tender offer costs, amounted to £26,740,000 (31 December 2008: £9,450,000; 30 June 2009: £21,760,000).

 

4.   Net asset value per ordinary share

The net asset value per ordinary share is based on the net assets attributable to equity shareholders of £247,269,000 (31 December 2008: £202,531,000; 30 June 2009: £215,398,000) and on 57,334,021 (31 December 2008: 69,157,355; 30 June 2009: 64,475,855) ordinary shares, being the number of ordinary shares in issue at the period end.

 

5.   Reconciliation of profit/(loss) before taxation to net cash inflow from operating activities

 


Half year ended

31 December

2009

(unaudited)


Half year ended

31 December

2008

(unaudited)


Year ended

30 June

2009

(audited)


£'000


£'000


£'000

Profit/(loss) before taxation

62,149


(116,261)


(90,653)

(Gains)/losses on investments held at fair value

(62,267)


117,952


95,775

Decrease/(increase) in accrued income

418


(467)


(84)

Increase/(decrease) in accruals

22


(1,897)


(1,902)

Taxation on overseas investment income

50


(27)


(593)

Decrease/(increase) in sales settlement debtor

197


(22)


(155)

Decrease/(increase) in VAT recoverable

323


(611)


4,215

Decrease in purchases settlement creditor

(2,277)


(2,542)


(265)

Net sales of investments

8,239


53,936


63,650


----------


-----------


----------


6,854


50,061


69,988

======


======


======

 

6.   Interim dividend

The Company has not declared an interim dividend (2008: nil).

 

7.   Transaction costs

Purchase transaction costs for the half year ended 31 December 2009 were £63,000 (half year ended 31 December 2008: £49,000; year ended 30 June 2009: £63,000).  These comprise mainly stamp duty and commission. Sales transaction costs for the half year ended 31 December 2009 were £106,000 (half year ended 31 December 2008: £85,000; year ended 30 June 2009: £123,000).

 

 

- MORE -



Page 13 of 15

TR EUROPEAN GROWTH TRUST PLC

 

Unaudited Results for the Half Year ended 31 December 2009

 

Notes (continued)

 

8.   Going concern

The directors believe that it is appropriate to adopt the going concern basis in preparing the financial statements.  The assets of the Group consist mainly of securities that are readily realisable and, accordingly, the Group has adequate financial resources to continue in operational existence for the foreseeable future.  The directors consider this to be the case, notwithstanding the continuation vote to be held at the Annual General Meeting in 2010.

 

9.   Related party transactions

Details of related parties are contained in the annual report.  Other than fees payable by the Company in the ordinary course of business, there have been no material transactions with our related parties affecting the financial position or performance of the Group during the six months to 31 December 2009.

 

10.   Comparative information

The financial information contained in this half year report does not constitute statutory accounts as defined in section 434 of the Companies Act 2006.  The information for the year ended 30 June 2009 has been extracted from the latest published audited financial statements. The audited financial statements for the year ended 30 June 2009 have been filed with the Registrar of Companies. The report of the auditors on those financial statements contained no qualification or statement under section 498(2) or 498(3) of the Companies Act 2006.

 

11.   Half year report

A copy of the Company's report for the half year ended 31 December 2009 will be posted to shareholders in February 2010 and will be available on our website (www.treuropeangrowth.com) from 26 February 2010.  Copies can also be requested thereafter from the Secretary at the Registered Office, 201 Bishopsgate, London EC2M 3AE.

 

 

Directors' Responsibility Statement

The Directors confirm that, to the best of their knowledge:

 

a)   the condensed set of financial statements has been prepared in accordance with IAS34;

 

b)   this report includes a fair review of the information required by Disclosure and Transparency Rule 4.2.7R (indication of important events during the first six months and description of principal risks and uncertainties for the remaining six months of the year); and

 

c)   this report includes a fair review of the information required by Disclosure and Transparency Rule 4.2.8R (disclosure of related party transactions and changes therein).

 

A W Twiston-Davies

Chairman

 

 

- MORE-



Page 14 of 15

TR EUROPEAN GROWTH TRUST PLC

 

Unaudited Results for the Half Year ended 31 December 2009

 

 

List of Investments as at 31 December 2009

 


Valuation

£'000

% of total

portfolio



Valuation

£'000

% of total

portfolio

Austria




Germany



A-Tec Industries

2,780



Bauer

4,471


Andritz

4,680



BrainLAB *

6,940


Schoeller-Bleckmann

2,089



Fresenius

7,509



-------

-------


Gerresheimer

2,923



9,549

4.0


HeidelbergCement

6,777



====

====


Hochtief

3,330


Belgium




Rhön-Klinikum

4,512


EVS Broadcast Equipment

3,969



TUI

3,206



-------

-------


Uzin Utz

3,440



3,969

1.6


Volkswagen

4,756



====

====


Washtec

1,383


Bulgaria




Wirecard

3.238


Equest Investments





--------

-------

   Balkans

305




52,485

21.7


-------

-------



=====

====


305

0.1


Greece




====

====


Goldenport

130


Finland




Sidenor

941


Ponsse

1,537



Technical Olympic

1,649


Sampo

4,370




-------

-------


-------

-------



2,720

1.1


5,907

2.5



====

====


====

====


Italy



France




Aeffe

1,042


21 Centrale Partners III *

7,994



Azimut

5,303


21 Développement *

465



Elica

1,728


Batla Minerals

1,606



Fiat

2,445


Cafom

1,417



Safwood

1,244


CFAO

2,287




-------

-------

CFI

1,582




11,762

4.9

Dietswell Engineering

1,496




====

====

Haulotte

1,187



Kazakhstan



Hi-Media

4,643



KazMunaiGas

6,168


Rhodia

3,081



ShalkiyaZinc

-


Sanofi-Aventis

4,060



Tau Capital

1,932


STS Group #

4,432




-------

-------

Televista

708




8,100

3.4

Uniross *

-




====

====

Vallourec

6,206



Luxembourg




---------

-------


ArcelorMittal

6,948



41,164

17.0



-------

-------


=====

====



6,948

2.9






====

====








 

- MORE-



Page 15 of 15

TR EUROPEAN GROWTH TRUST PLC

 

Unaudited Results for the Half Year ended 31 December 2009

 

List of Investments as at 31 December 2009 (continued)

 


Valuation

£'000

% of total portfolio



Valuation

£'000

% of total portfolio

Netherlands




Switzerland



Aalberts Industries

5,082



Acino

1,810


Binckbank

3,758



Clariant

3.645


Heijmans

2,435



Compagnie Financière Tradition

3,090


Smartrac

4,450



Dufry

2,290


Wavin

5,597



Gam

4,227



--------

-------


Partners Group

2,347


21,322

8.8


Temenos

5,630



=====

====



-------

-------

Norway





23,039

9.5

Norwegian Energy

5,403




====

====

Sevan Marine

4,987



Turkey




-------

-------


Selçuk Ecza Deposu

10,000



10,390

4.3



-------

-------


====

====



10,000

4.1

Romania





====

====

A&D Pharma

1,777



Other




-------

-------


Amerisur

343



1,777

0.7


Doughty Hanson & Co Fund II *

177



====

====


Doughty Hanson & Co Fund III *

3,144


Russia




IFR Capital

373


AFI Development

1,214



Regal Petroleum

2,679


Amtel-Vredestein *

-




--------

-------

Premier Telesports *

-




6,716

2.8

Primamedic *

-




=====

====

RGI International

1,314







-------

-------






2,528

1.1






====

====


Total Portfolio

241,586

100.0

Spain





======

====

Banco Popular

2,036






Enagas

3,152






Grifols

4,338



* Unquoted investments



OHL

10,208



#  More than one class of security



Realia

904






Vueling Airlines

2,267







--------

-------






22,905

9.5






=====

====





 

For further information please contact:

 

Stephen Peak, Fund Manager, TR European Growth Trust PLC

Telephone: 020 7818 4334

 

James de Sausmarez, Head of Investment Trusts, Henderson Global Investors

Telephone: 020 7818 3349

 

Sarah Gibbons-Cook, Investor Relations and PR Manager, Henderson Global Investors

Telephone: 020 7818 3198

- ENDS -


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