Business
Preliminary Results to 31 Dec 2009
Preliminary Results to 31 Dec 2009.
About this update from Ceps Plc
[{"type":"text","content":"\n \n22 April 2010\n\n CEPS PLC (\"CEPS\" OR THE \"COMPANY\") \n\n PRELIMINARY ANNOUNCEMENT OF UNAUDITED RESULTS FOR \n\n YEAR ENDED 31 DECEMBER 2009 \n\nCHAIRMAN'S STATEMENT (extract)\n\nHIGHLIGHTS\n\n * Solid sales performance in a very challenging economic climate\n \n * Excellent operating cash generation at £1.3m (2008: £1.4m)\n \n * Net Debt reduced by £700,000\n \n * Gearing reduced to 38% (2008: 57%)\n \n * Total equity increased 12% to £5.8m (2008: £5.1m)\n \nReview of the year\n\nIn my last half yearly statement, I commented that business had stabilised in\nthe second quarter, but that I anticipated no fundamental improvement in\ntrading conditions in the second half. So it proved to be.\n\nOverall Group revenue in 2009 fell to £15.9m (2008: £16.8m) with second half\nrevenue falling only 3.2%. In all the business units, margins remained under\npressure throughout the year, and even with excellent overhead control, the\noperating profit for the year fell by 37% to £722,000 (2008: £1,148,000).\n\nFinance costs were much reduced at £146,000 (2008: £241,000) as a result of the\nrepayment of debt finance in accordance with the Group's acquisition strategy\nand lower interest rates. The taxation charge has benefited from the\nrecognition of a greater proportion of accumulated historical losses and for\nthe year was a credit of £43,000 (2008: charge £193,000). After finance costs\nand provision for taxation, the profit for the period was £619,000 (2008: £\n714,000).\n\nCareful management of cash continues to be a priority for the Group and at the\nyear end net debt was reduced by 24% to £2.2m from £2.9m at the end of 2008.\nGearing has, in consequence, been reduced to 38% (2008: 57%).\n\nFinancial review\n\nCash generated from operations for the year was £1.3m (2008: £1.4m). After\nfinance costs, tax and capital expenditure, the net increase in cash for the\nyear was £99,000 (2008: £156,000). Net cash and cash equivalents at the year\nend were £631,000 (2008: £532,000).\n\nBank loans at the year end were lower than a year earlier by £650,000 at £\n921,000 (2008: £1,571,000). All of these loans were non-recourse, secured only\nagainst the assets of the borrowing subsidiary companies.\n\nShareholder funds increased by 12% to £5.8m (2008: £5.1m).\n\nThe Group made an investment in 2005 in Friedman's t...