Information  X 
Enter a valid email address

Driver Group plc (DRV)

  Print          Annual reports

Tuesday 08 June, 2021

Driver Group plc

Interim Report: Half-year ended 31 March 2021

RNS Number : 0917B
Driver Group plc
08 June 2021
 

8 June 2021

 

DRIVER GROUP PLC

 

("Driver" or "the Group")

 

 

Interim Report

For the six months ended 31 March 2021

 

Key Points (for the six months ended 31 March 2021

 

 

6 months

  Ended

31 March 2021

£000

Unaudited

6 months

  Ended

31 March 2020

£000

Unaudited

Change

£000

Revenue

24,957

28,042

(3,085)

Gross Profit

6,397

7,175

(778)

Gross Profit %

26%

26%

-

Profit before tax

855

1,252

(397)

Add: Share-based payment charge

158

-

158

Underlying* profit before tax

1,013

1,252

(239)

Underlying* profit before tax %

4%

4%

-

Underlying* earnings per share

1.4p

1.8p

(0.4p)

Net cash**

7,222

3,301

3,921

 

 

· Underlying* profit before tax at £1.0m (2020: £1.3m) resulting in an underlying* profit before tax margin of 4% (2020: 4%).

 

· Profit before tax at £0.9m (2020: £1.3m).

 

· Net cash increase year on year of £3.9m to £7.2m (2020: £3.3m).

 

· Revenue down by 11.0% to £25.0m (2020: £28.0m) as a result of the impact of COVID-19.

 

· Gross profit at 26%, a £0.8m decrease to £6.4m (2020: £7.2m).

 

· Fee earner headcount decreased by 28 to 301 with an increase in EuAm offset by decreases in both APAC and Middle East.

 

· Overall utilisation rates of 72.1% (2020: 73.1%).

 

· Europe & Americas (EuAm) reported underlying * profit before tax for the period of £2.5m (2020: £1.7m) with utilisation rates at 71.6% (2020: 71.6%).

 

· Middle East (ME) reported underlying * loss before tax for the period of £0.4m (2020: breakeven) with utilisation rates at 75.0% (2020: 72.3%).

 

· Asia Pacific (APAC) reported underlying * loss before tax for the period of £0.3m (2020: £0.6m profit) with utilisation rates at 67.6% (2020: 77.1%).

 

 

  *  Underlying figures are stated before the share-based payment costs (this is not a GAAP measure).

  **  Net cash consists of cash and cash equivalents and bank loans

***  Utilisation % is calculated by dividing the total hours billed by the total working hours available for chargeable staff

 

 

 

 

Steve Norris, Chairman of Driver Group, said:

 

"The Group has continued to perform well despite the ongoing disruption caused by the COVID-19 pandemic. Meaningful progress has been made on implementing the five year strategy, and this has positioned the group well for future growth as restrictions following the pandemic are relaxed and we see the widely anticipated improvement in our key markets."

Results presentation

 

The leadership team will be hosting a live webcast for analysts and investors at 09.30 GMT on 8 June 2021. Analysts have already been invited to participate in a live Q&A during the presentation, but any eligible person not having received details should contact the Company's PR advisers, Acuitas Communications, at [email protected] or on +44 (0)20 3848 2810.

 

Enquiries:

Driver Group plc  

Mark Wheeler (CEO)

David Kilgour (CFO) 

 

+44 (0) 20 7377 0005

N+1 Singer - Nominated Adviser

Sandy Fraser

 

+44 (0)20 7496 3000

 

Acuitas Communications - Financial PR

Simon Nayyar

C atriona Foyle

+44 (0) 20 3848 2810

[email protected]

[email protected]

 

 

 

INTRODUCTION

During the COVID-19 affected first half of the 2021 financial year the Group has performed in line with the second half of the 2020 financial year. This resilient performance is creditable during the first half of the financial year with underlying* profit before tax (stated before share based payment charges) being slightly below the result for the same period last year, which was largely unaffected by COVID-19. Whilst the performance during the period has been adversely impacted by various lockdowns in key territories and the loss of senior staff and associated team members to a competitor in the APAC region, we have made meaningful progress in implementing the five year strategic plan which was announced in December 2020.  We have successfully established and grown a presence in the United States and Spain which has resulted in developing opportunities in these markets and in South America. Additionally, we have achieved the following strategic objectives:

 

• Grown the number of testifying Diales experts to 50

• Focused recruitment to further enhance our technical and geographic service offering

• Implemented a new long term incentive plan to aid the retention of key staff

• Won a long term contract with a major South Korean contractor based in Seoul which will help to further grow this sector

• Reduced the Group's cost base by approximately 13% year-on-year by bearing down selectively on operating costs whilst maintaining the Group's fee-earning capacity at maximum utilisation at pre-COVID levels

 

In addition, it is our intention to establish a forensic accounting service offering under the Diales brand. This new service line represents an excellent and complementary fit alongside our core construction-related quantum, delay and technical expert services. Implementation of these actions is consistent with the Group's stated strategic ambition to generate increased shareholder value through growing the proportion of revenues derived from higher margin expert assignments.

 

 

TRADING PERFORMANCE

Group revenue for the six months to 31 March 2021 was £25.0m, a decrease of 10.7% on the same period in 2020 (£28.0m), however the latter period was mainly unaffected by COVID-19.  Overall, the Group reported an underlying* profit before tax of £1.0m (2020: £1.3m).  Revenues in the EuAm region of £17.2m increased by 11.8% which was offset by decreases of 28.4% in ME and 55.7% in APAC respectively £5.7m and £2.1m. The EuAm region delivered operating profits of £2.5m (2020: £1.7m) whilst the ME region recorded an operating loss of £0.4m (2020: breakeven) and APAC region an operating loss of £0.3m (2020: operating profit £0.6m). The strong performance in EuAm was delivered across the region increasing the operating margin to 14.7% (2020: 11.2%) whilst the poor performances in ME and APAC regions reflect a combination of COVID-19 affected markets and the loss of key staff in Singapore to a competitor. Decisive action has been taken with a view to improving operating performance in both the ME and APAC regions, with both regions under the common leadership of a very experienced operational business leader, who joined the Group from a major competitor in September 2020.

 

The Group's effective tax rate is 34% (2020: 24%) reflecting a shift in the geographic split of overall Group profits with taxable profits generated in the EuAm region and losses in low tax regime in the ME region. Profit per share was 1.1p (2020: 1.8p).

 

The Group continues to maintain strict discipline over the management of its net working capital position and the Group's net cash** balance stood at £7.2m at 31 March 2021 compared to £8.2m at the traditionally seasonally higher financial year end position at 30 September 2020 and £3.3m at 31 March 2020.

 

Net cash inflow from operations was £0.3m (2020: £0.5m outflow) during the first six months, including a net inflow from a decrease in trade and other receivables of £0.1m (2020: £2.1m cash outflow) and a net cash outflow from a decrease in trade and other payables of £1.5m (2020: £0.4m). Tax paid totalled £0.2m (2020: £0.3m) and the acquisition of fixed assets absorbed £0.2m (2020: £0.1m). A further cash outflow during the period was the payment of dividends of £0.4m (2020: £0.7m).

 

DIVIDEND

The final dividend announced at the time of the results for the year to 30 September 2020 (0.75p per share) in December was paid in March 2021. Reflecting our confidence in the medium term prospects for the Group and the inherently cash generative nature of our business along with the strong balance sheet position the Board recommends the payment of an interim dividend of 0.75p per share for 2021 (2020: nil p per share).

 

 

OUTLOOK

Activity levels during April and May were broadly unchanged from those witnessed during the first half and while the pipeline of opportunities continues to build, the COVID impact on pipeline conversion timelines suggests that the prospects of a meaningful uptick during the remainder of the current financial year are now limited. Construction-related claims activity is a lagging indicator of broader trends in infrastructure spend and the Board's belief is that Driver's current activity levels are reflective of the wider market. Looking beyond the current financial year, recognising that Driver typically operates with limited forward revenue visibility, our expectation is that the very significant constraints on routine business development which have existed throughout the last twelve months will start to abate. The building blocks which underpin our five year plan are in place and the Board is confident that the actions already implemented to reposition the business with growth focussed on higher margin expert service lines and, including the significant reduction in the cost base and hence monthly revenue break-even level noted above, together ensure that the Group is well placed to take advantage of the widely anticipated improvement in our key markets as infrastructure spend recovers and the sector confronts the reality of a COVID-induced backlog of claims and disputes.

 

I would like to pay particular tribute to our CEO Mark Wheeler and CFO David Kilgour for the way they have managed the business during the COVID-19 affected times and in tandem have still made significant progress in implementing the objectives of the five year strategic plan.  I also thank my Board colleagues, Peter Collini, Elizabeth Filkin and John Mullen for their unstinting support and most of all, I thank every one of our staff wherever they are in the world for their continued diligence and loyalty. I am grateful for the confidence our shareholders have consistently demonstrated and I assure them that the Group will continue to do its utmost to repay that confidence.

 

Steven Norris

Non-Executive Chairman

8 June 2021

 

* Underlying figures are stated before the share-based payment costs (this is not a GAAP measure).

** Net cash consists of cash and cash equivalents and bank loans

 

 

Consolidated Income Statement

Interim report for the six months ended 31 March 2021

 

 

 

6 months

  ended

31 March 2021

£000

Unaudited

6 months

  ended

31 March 2020

£000

Unaudited

Year

ended

30 September 2020

£000

Audited

REVENUE

24,957

28,042

53,074

Cost of sales

(18,500)

(20,748)

(39,162)

Impairment movement

(60)

(119)

(778)

GROSS PROFIT

6,397

7,175

13,134

Administrative expenses

(5,576)

(5,946)

(11,413)

Other operating income

67

73

130

 Underlying* operating profit

1,046

1,302

2,618

 One off severance costs

-

-

(767)

 Share-based payment charge and associated costs

(158)

-

-

OPERATING PROFIT

888

1,302

1,851

Finance income

-

14

14

Finance costs

(33)

(64)

(128)

PROFIT BEFORE TAXATION

855

1,252

1,737

Tax expense (note 2)

(291)

(301)

(399)

PROFIT FOR THE PERIOD

564

951

1,338

Profit/(loss) attributable to non-controlling interests

-

1

(1)

Profit attributable to equity shareholders of the parent

564

950

1,339

 

564

951

1,338

Basic earnings per share attributable to equity shareholders of the parent (pence)

1.1p

1.8p

2.6p

Diluted earnings per share attributable to equity shareholders of the parent (pence)

1.0p

1.7p

2.5p

 

 

* Underlying figures are stated before the share-based payment costs (this is not a GAAP measure) and one off severance costs.

 

Consolidated Statement of Comprehensive Income

Interim report for the six months ended 31 March 2021

 

 

6 months

  ended

31 March 2021

£000

Unaudited

6 months

  ended

31 March 2020

£000

Unaudited

Year

ended

30 September 2020

£000

Audited

PROFIT FOR THE PERIOD

564

951

1,338

Other comprehensive income:

 

 

 

Items that could subsequently be reclassified to the Income Statement:

 

 

 

Exchange differences on translating foreign operations

37

73

(24)

Other comprehensive income for the year net of tax

37

73

(24)

TOTAL COMPREHENSIVE INCOME FOR THE PERIOD

601

1,024

1,314

Total comprehensive income attributable to:

 

 

 

Owners of the parent

601

1,023

1,315

Non-controlling interest

-

1

(1)

 

601

1,024

1,314

 

 

 

Consolidated Statement of Financial Position

Interim report for the six months ended 31 March 2021

 

 

31 March 2021

£000

Unaudited

31 March 2020

£000

Unaudited

30 September 2020

£000

Audited

NON-CURRENT ASSETS

 

 

 

Goodwill

2,969

2,969

2,969

Property, plant and equipment

433

593

501

Right of use asset

2,124

2,226

1,831

Intangible asset

319

57

182

Deferred tax asset

303

268

308

 

6,148

6,113

5,791

CURRENT ASSETS

 

 

 

Trade and other receivables

17,606

21,767

17,819

Derivative financial asset

317

275

171

Cash and cash equivalents

7,472

3,301

11,215

 

25,395

25,343

29,205

TOTAL ASSETS

31,456

34,996

CURRENT LIABILITIES

 

 

 

Borrowings

(250)

-

(3,000)

Trade and other payables

(8,139)

(8,788)

(9,446)

Derivative financial liability

(1)

(64)

(178)

Lease creditor

(826)

(916)

(679)

Current tax payable

(346)

(405)

(264)

 

(9,562)

(10,173)

(13,567)

NON-CURRENT LIABILITIES

 

 

 

Lease creditor

(1,224)

(1,184)

(1,040)

 

(1,224)

(1,184)

(1,040)

TOTAL LIABILITIES

(11,357)

(14,607)

NET ASSETS

20,099

20,389

SHAREHOLDERS' EQUITY

 

 

 

Share capital

216

216

216

Share premium

11,496

11,496

11,496

Merger reserve

1,055

1,055

1,055

Currency reserve

(412)

(352)

(449)

Capital redemption reserve

18

18

18

Treasury shares

(1,025)

(1,025)

(1,025)

Retained earnings

9,406

8,686

9,075

Own shares

(3)

(3)

(3)

TOTAL SHAREHOLDERS' EQUITY

20,751

20,091

20,383

NON-CONTROLLING INTEREST

6

8

6

TOTAL EQUITY

20,099

20,389

 

 

Consolidated Cashflow Statement

Interim report for the six months ended 31 March 2021

 

 

6 months

  ended

31 March 2021

£000

Unaudited

6 months

  ended

31 March 2020

£000

Unaudited

Year

ended

30 September 2020

£000

Audited

CASH FLOWS FROM OPERATING ACTIVITIES

 

 

 

Profit for the year

564

951

1,338

Adjustments for:

 

 

 

Depreciation

141

162

321

Amortisation of right to use assets

464

514

1,051

Exchange adjustments

32

(7)

55

Finance income

-

(14)

(14)

Finance expense

33

64

128

Tax expense

291

301

399

Equity settled share-based payment charge

158

-

-

OPERATING CASH FLOW BEFORE CHANGES IN WORKING CAPITAL AND PROVISIONS

1,683

1,971

3,278

Decrease/(increase) in trade and other receivables

126

(2,051)

2,056

(Decrease)/increase in trade and other payables

(1,486)

(394)

240

CASH GENERATED/(USED) IN OPERATIONS

323

(474)

5,574

Tax paid

(184)

(274)

(519)

NET CASH INFLOW/(OUTFLOW) FROM OPERATING ACTIVITIES

139

(748)

5,055

CASH FLOWS FROM INVESTING ACTIVITIES

 

 

 

Interest received

-

14

14

Acquisition of property, plant and equipment

(103)

(70)

(167)

Acquisition of intangible asset

(136)

(57)

(182)

NET CASH OUTflow FROM INVESTING ACTIVITIES

(239)

(113)

(335)

CASH FLOWS FROM FINANCING ACTIVITIES

 

 

 

Interest paid

(33)

(64)

(107)

Repayment of borrowings

(3,000)

(2,125)

(3,191)

Proceeds of borrowings

250

-

3,000

Repayment of lease liabilities

(437)

(505)

-

Dividends paid to the equity shareholders of the parent

(391)

(652)

(653)

Purchase of Treasury shares

-

(25)

(25)

NET CASH OUTFLOW FROM FINANCING ACTIVITIES

(3,611)

(3,371)

(976)

Net decrease in cash and cash equivalents

(3,711)

(4,232)

3,744

Effect of foreign exchange on cash and cash equivalents

(32)

7

(55)

Cash and cash equivalents at start of period

11,215

7,526

7,526

CASH AND CASH EQUIVALENTS AT END OF PERIOD

7,472

3,301

11,215

 

 

 

Consolidated Statement of Changes of Equity

Interim Report for the six months ended 31 March 2021

 

For the six months ended 31 March 2021 (Unaudited):

 

 

Share capital

£000

Share
premium

£000

Treasury shares

£000

Merger
reserve

£000

Other
reserves(2)

£000

Retained earnings

£000

Own
shares

£000

Total(1)

£000

Non-
controlling interest

£000

Total
Equity

£000

CLOSING BALANCE AT 30 SEPTEMBER 2020

216

11,496

(1,025)

1,055

(431)

9,075

(3)

20,383

6

20,389

Profit for the period

-

-

-

-

-

564

-

564

-

564

Other comprehensive income for the period

-

-

-

-

37

-

-

37

-

37

Total comprehensive income for the period

-

-

-

-

37

564

-

601

-

601

Contributions by and distributions to owners

 

 

 

 

 

 

 

 

 

 

Dividend

-

-

-

-

-

(391)

-

(391)

-

(391)

Share-based payment charge

-

-

-

-

-

158

-

158

-

158

Purchase of Treasury shares

-

-

-

-

-

-

-

-

-

-

Total contributions by and distributions to owners

-

-

-

-

-

(233)

-

(233)

-

(233)

CLOSING BALANCE AT 31 MARCH 2021

216

11,496

(1,025)

1,055

(394)

9,406

(3)

20,751

6

20,757

 

 

 

For the six months ended 31 March 2020 (Unaudited):

 

 

Share capital

£000

Share
premium

£000

Treasury shares

£000

Merger
reserve

£000

Other
reserves(2)

£000

Retained earnings

£000

Own
shares

£000

Total(1)

£000

Non-
controlling interest

£000

Total
Equity

£000

CLOSING BALANCE AT 30 SEPTEMBER 2019

216

11,496

(1,000)

1,055

(407)

8,127

(3)

19,484

7

19,491

Profit for the period

-

-

-

-

-

950

-

950

1

951

Other comprehensive income for the period

-

-

-

-

73

-

-

73

-

73

Total comprehensive income for the period

-

-

-

-

73

950

-

1,023

1

1,024

Contributions by and distributions to owners

 

 

 

 

 

 

 

 

 

 

Dividend

-

-

-

-

-

(391)

-

(391)

-

(391)

Issue of new shares

-

-

-

-

-

-

-

-

-

-

Purchase of Treasury shares

-

-

(25)

-

-

-

-

(25)

-

(25)

Total contributions by and distributions to owners

-

-

(25)

-

-

(391)

-

(416)

-

(416)

CLOSING BALANCE AT 31 MARCH 2020

216

11,496

(1,025)

1,055

(334)

8,686

(3)

20,091

8

20,099

 

 

Consolidated Statement of Changes of Equity (continued)

Interim Report for the six months ended 31 March 2020

 

For the year ended 30 September 2020 (Audited):

 

 

Share capital

£000

Share
premium

£000

Treasury shares

£000

Merger
reserve

£000

Other
reserves(2)

£000

Retained earnings

£000

Own
shares

£000

Total(1)

£000

Non-
controlling interest

£000

Total
Equity

£000

OPENING BALANCE AT 1 OCTOBER 2019

216

11,496

(1,000)

1,055

(407)

8,127

(3)

19,484

7

19,491

Profit for the year

-

-

-

-

-

1,339

-

1,339

(1)

1,338

Other comprehensive income for the year

-

-

-

-

(24)

-

-

(24)

-

(24)

Total comprehensive income for the year

-

-

-

-

(24)

1,339

-

1,315

(1)

1,314

Dividends

-

-

-

-

-

(391)

-

(391)

-

(391)

Share-based payment charge and associated costs

-

-

-

-

-

-

-

-

-

-

Purchase of Treasury shares

-

-

(25)

-

-

-

-

(25)

-

(25)

Issue of new shares

-

-

-

-

-

-

-

-

-

-

CLOSING BALANCE AT 30 SEPTEMBER  2020

216

11,496

(1,025)

1,055

(431)

9,075

(3)

20,383

6

20,389

 

 

 

(1)    Total equity attributable to the equity holders of the Parent

(2)  'Other reserves' combines the currency reserve and capital redemption reserve. The movement in the current and prior year relates to the translation of foreign currency equity balances and foreign currency non-monetary items.

 

 

 

1   BASIS OF PREPARATION

The consolidated interim financial information has been prepared using accounting policies which are consistent with those applied at the prior year end 30 September 2020 and that are expected to be adopted in the Group's full financial statements for the year ending 30 September 2021.

 

The financial information in this interim report is in compliance with the recognition and measurement principles of international accounting standards but does not include all disclosures that would be required under IFRSs and are not IAS 34 compliant. The accounting policies have been applied consistently throughout the Group for the purposes of preparation of this financial information. The financial information for the half years ended 31 March 2021 and 31 March 2020 does not constitute statutory accounts within the meaning of Section 434(3) of the Companies Act 2006 and is unaudited but has been reviewed by our auditors.

 

The comparative financial information for the year ended 30 September 2020 included within this report does not constitute the full statutory accounts for that period. The statutory Annual Report and Financial Statements for 2020 have been filed with the Registrar of Companies. The Independent Auditor's Report on that Annual Report and Financial Statements for 2020 was unqualified, did not draw attention to any matters by way of emphasis, and did not contain a statement under 498(2) or 498(3) of the Companies Act 2006.

The Financial Statements have been prepared on a going concern basis. In reaching their assessment, the Directors have considered a period extending at least twelve months from the date of approval of this financial report.

 

The Directors continue to monitor developments across the markets the Group operate in and the potential impact of COVID-19 in the short and medium term and is in particular focussed on the key risks of: delays by clients in contracting for claims advice; projects being suspended or planned projects not proceeding which could potentially result in a reduction in staff utilisation levels; and the impact of the current situation on the financial stability of clients causing delays to payments.

 

As Driver's business is geographically well spread across the world the Directors have been managing the impact of COVID-19 since January 2020 when the Singapore and Hong Kong offices started working remotely. As COVID-19 has spread, remote working has been successfully adopted at varying times in the Middle East offices and across Europe including the UK with minimal disruption of service to our clients.  Whilst the COVID-19 restrictions have been relaxed across some jurisdictions the ongoing impact continues to be felt. The Directors are continuing to closely monitor the impact on the business to ensure the welfare of the staff and the clients.

 

The Directors have prepared cash flow forecasts and a reverse stress test covering a period of more than 12 months from the date of releasing these financial statements. This assessment has included consideration of the forecast performance of the business for the foreseeable future, the cash and financing facilities available to the Group and the mitigating actions undertaken to reduce the impact of COVID-19. In preparing these forecasts, the Directors have considered sensitivities incorporating the potential impact of COVID-19 such as a reduction in both revenues and debtor receipts. The forecasts show that the Group could incur a further reduction in revenues of up to approximately 19% compared to existing depressed COVID-19 levels if combined with a minimal change to the cost base and a reduction of cash collections by up to 24% compared to current levels and still have sufficient headroom to operate. In all scenarios, the Group remained in a cash positive position with headroom throughout and as such there were no concerns with the banking covenants associated with the Group's facilities.

 

At 31 March 2021 the Group had cash reserves of £7.45m with an undrawn revolving credit facility of £5.0m and an undrawn £1.75m Coronavirus Large Business Interruption Loan Scheme Facility (£0.25m drawn). In addition to the above, the Group has also agreed a relaxation of its banking covenants until 30 September 2021.

 

Based on the cash flow forecasts prepared including appropriate stress testing, the Directors are confident that any funding needs required by the business will be sufficiently covered by the existing cash reserves and the undrawn additional credit facility. As such these Financial Statements have been prepared on a going concern basis.

 

2   TAXATION

The tax charge on the profit for the half-year ended 31 March 2021 is based on the estimated tax rates in the jurisdictions in which the Group operates, for the year ending 30 September 2021.

 

 

 

 

3  DIVIDEND

In view of the medium term prospects for the Group and the inherently cash generative nature of the business along with the strong balance sheet position, the Board recommends the payment of an interim dividend of 0.75p per share for 2021 (2020: interim dividend nil p per share).

 

4   SUMMARY SEGMENTAL ANALYSIS

 

REPORTABLE SEGMENTS

For management purposes, the Group is organised into three operating divisions: Europe & Americas (EuAm), Middle East (ME) and Asia Pacific (APAC).  These divisions are the basis on which the Group is structured and managed, based on its geographic structure. The following key service provisions are provided across all three operating divisions: quantity surveying, planning / programming, quantum and planning experts, dispute avoidance / resolution, litigation support, contract administration and commercial advice / management. Segment information about these reportable segments is presented below.

 

 

Six months ended 31 March 2021 (Unaudited)

Europe & Americas
£000

Middle East
£000

Asia Pacific
£000

Eliminations
£000

Unallocated
£000

Consolidated
£000

Total external revenue

17,179

5,689

2,089

-

-

24,957

Total inter-segment revenue

-

-

18

(18)

-

-

Total revenue

17,179

5,689

2,107

(18)

-

24,957

Segmental profit

2,527

(398)

(278)

-

-

1,851

Unallocated corporate expenses

-

-

-

-

(805)

(805)

Share-based payment charge

-

-

-

-

(158)

(158)

Operating profit/(loss)

2,527

(398)

(278)

-

(963)

888

Finance income

-

-

-

-

-

-

Finance expense

-

-

-

-

(33)

(33)

Profit/(loss) before taxation

2,527

(398)

(278)

-

(996)

855

Taxation

-

-

-

-

(291)

(291)

Profit/(loss) for the period

2,527

(398)

(278)

-

(1,287)

564

 

 

 

 

 

 

 

 

 

Six months ended 31 March 2020 (Unaudited)

Europe & Americas
£000

Middle East
£000

Asia Pacific
£000

Eliminations
£000

Unallocated
£000

Consolidated
£000

Total external revenue

15,371

7,951

4,720

-

-

28,042

Total inter-segment revenue

61

256

7

(324)

-

-

Total revenue

15,432

8,207

4,727

(324)

-

28,042

Segmental profit

1,715

30

633

-

-

2,378

Unallocated corporate expenses(1)

-

-

-

-

(1,076)

(1,076)

Operating profit/(loss)

1,715

30

633

-

(1,076)

1,302

Finance income

-

-

-

-

14

14

Finance expense

-

-

-

-

(64)

(64)

Profit/(loss) before taxation

1,715

30

633

-

(1,126)

1,252

Taxation

-

-

-

-

(301)

(301)

Profit/(loss) for the period

1,715

30

633

-

(1,427)

951

 

 

 

 

 

 

 

 

 

Year ended 30 September 2020 (AUDITED)

Europe & Americas
£000

Middle East
£000

Asia Pacific
£000

Eliminations
£000

Unallocated
£000

Consolidated
£000

Total external revenue

31,033

14,373

7,668

-

-

53,074

Total inter-segment revenue

53

576

24

(653)

-

-

Total revenue

31,086

14,949

7,692

(653)

-

53,074

Segmental profit

3,988

111

511

-

-

4,610

Unallocated corporate expenses(1)

-

-

-

-

(1,992)

(1,992)

One off severance costs

-

-

-

-

(767)

(767)

Operating profit

3,988

111

511

-

(2,759)

1,851

Finance income

-

-

-

-

14

14

Finance expense

-

-

-

-

(128)

(128)

Profit before taxation

3,988

111

511

-

(2,873)

1,737

Taxation

-

-

-

-

(399)

(399)

Profit for the period

3,988

111

511

-

(3,272)

(1,338)

 

 

 

 

 

 

 

OTHER INFORMATION

 

 

 

 

 

 

Non current assets

3,192

270

87

-

2,242

5,791

Reportable segment assets

16,061

8,796

2,117

-

8,022

34,996

Capital additions(2)

82

37

18

-

212

349

Depreciation and amortisation

543

327

247

-

255

1,372

 

(1) Unallocated costs represent Directors' remuneration, administration staff, corporate head office costs and expenses associated with AIM.

(2) Capital additions comprise of additions to property, plant and equipment and intangible assets.  

 

 

5  EARNINGS PER SHARE

 

 

6 months

  ended

31 March 2021

£000

Unaudited

6 months

  ended

31 March 2020

£000

Unaudited

Year

ended

30 September 2020

£000

Audited

Profit for the financial period attributable to equity shareholders

564

950

1,339

Compensation for loss of office

-

-

767

Share-based payments cost and associated costs

158

-

-

Underlying* profit for the financial period

722

950

2,106

Weighted average number of shares:

 

 

 

-  Ordinary shares in issue

53,962,868

53,962,868

53,962,868

-  Shares held by EBT

(3,677)

(3,677)

(3,677)

-  Treasury shares

(1,787,811)

(1,786,062)

(1,786,937)

Basic weighted average number of shares

52,171,380

52,173,129

52,172,254

Effect of employee share options

1,939,155

2,759,618

2,558,796

Diluted weighted average number of shares

54,110,535

54,932,747

54,731,050

Basic earnings per share attributable to equity shareholders of the Parent (pence)

1.1p

1.8p

2.6p

Diluted earnings per share attributable to equity shareholders of the Parent (pence)

1.0p

1.7p

2.5p

Underlying* basic earnings per share

1.4p

1.8p

4.0p

 

 

 

6  POST BALANCE SHEET EVENT

 

  There have been no significant events requiring disclosure since 31 March 2021.

 

 

 

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact [email protected] or visit www.rns.com.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy.
 
END
 
 
IR UBUKRAVUNRAR

a d v e r t i s e m e n t