Business
Annual Financial Report
Annual Financial Report.
About this update from Hellenic Dynamics Plc
[{"type":"text","content":"\n \nRNS Number : 4313J Mountfield Group plc 30 June 2011 \n \n\n\n\n\n\nCHAIRMAN'S AND CHIEF EXECUTIVE'S STATEMENT\n\n\n\n\nFOR THE YEAR ENDED 31 DECEMBER 2010\n\n\n\n\n\n\n\n\n\nThe Company is pleased to present the Group's financial statements for the year ended 31 December 2010\n \nThe year to 31 December 2010 proved to be a tough year for the Group with both subsidiaries - Mountfield Building Group Limited and Connaught Access Flooring Limited - experiencing a decline in turnover as challenging market conditions persisted.\n \nThe return of tendering activity in our core data centre and IT market noted in the latter part of 2010 has continued to gather pace into 2011.\n \nIn May 2011 the Company announced that it had been awarded three contracts with an aggregate value of approximately £5 million to fit out various data centres in the UK for leading data centre operators. The Directors are encouraged by the increased level in demand and are optimistic that it will continue.\n \nIn May 2011 the Group completed a fundraising of £560,000, before expenses, resulting in the Group's shareholder base being enhanced with the addition of small cap institutions. \n \nThe market for new data centres was weak in 2010, not only in terms of enquiries but also the construction of new data centres. General construction and fit-out work also suffered due to the difficult economic environment, as a result margins on contracts won remained under pressure.\n \nWorking Capital\n \nAs a result of the difficult market conditions, working capital has been under pressure and the Group has taken steps to manage its creditors, cut costs and restructure the business by moving further towards using sub-contract labour rather than employing a fixed workforce.\n \nIn order to support the Group further, the Executive Directors have reduced their emoluments and also as loan note holders they have waived all interest relating to these loans (£130,355) for the year under review. In addition repayment of £4.4m of loan notes due in 2011 have been deferred to June 2016.\n \nResults\n \nRevenue &...