TGI PLC - Interim Results
02 Dicembre 1999 - 8:01AM
UK Regulatory
RNS Number:8165B
TGI PLC
2 December 1999
TGI plc
("TGI" or "the Group")
Interim Results for the Six Months Ended 30 September 1999
Chairman's Statement
After the challenges of the previous financial year, and
particularly the temporary downturn experienced during the
second half, the Group returned to a more satisfactory level
of performance for the six months ended 30 September 1999.
As anticipated in the preliminary statement, we are now seeing
the rewards of the extensive restructuring of the Group
undertaken in the last financial year. In addition, we have
seen an improvement in trading conditions in a number of our
major export markets, most notably the Hi-fi markets in Japan
and China, and our automotive business is now manufacturing
products outside of the UK for the first time, in the new
plant in Hungary.
Sales from the continuing businesses, at #22.6 million, were
very similar to the corresponding period in the previous year
and operating profit was #1.17 million (1998: #1.61 million).
Profit before tax was #1.1 million (1998: loss before tax
#0.14 million). Earnings per share were 4.0p (1998: loss per
share 1.3p).
Based on the recovery in the Group's financial performance and
our view of the future, the Board has declared a maintained
interim dividend of 1.2p per share. The interim dividend will
be paid on 28 January 2000 to shareholders on the register on
10 January 2000.
Professional
We continued to make progress in our strategic objective of
increasing the mix of Professional business within our total
group sales.
Martin Audio completed a very successful first half,
increasing sales on a wide geographical basis, but
particularly in the UK and North America. New product
introductions continued to have a positive impact with the WT2
and WT3 for use in theatres, and the CS265 for the
architectural market. In September 1999 we launched the
"Black Line" range which is aimed at the fast expanding
portable and club markets. We expect the Black Line product
to make an important contribution to Martin Audio's
performance in the next six months.
Tannoy Professional also achieved growth in the period
assisted by several new products in particular the Reveal
Active monitor and the successful launch of the new I6 all-
weather multi-purpose speaker for indoor and outdoor
installation. Tannoy has seen continued increased sales in
North America.
Sales at Audix were disappointing and the company is no longer
benefiting from the Lantau Crossing contract in Hong Kong,
which was completed in the previous financial year.
Hi-fi
As indicated in our AGM Statement in August, our Hi-fi markets
in the Far East have begun to recover, with Japan showing a
strong upturn and trading conditions also beginning to improve
in China.
Although European sales were hampered by difficult market
conditions and the continued strength of sterling, our efforts
to expand our North American sales are producing good results.
During the second half of the year sales will benefit from new
product launches across all geographical markets, including
some aimed specifically at the Japanese market.
Automotive
Following the temporary downturn in demand registered early in
1999 volumes stabilised, and our automotive business enjoyed
successful trading in the period under review.
As previously reported, the Group has established a
manufacturing operation in Hungary to improve the cost
competitiveness of its automotive business. The performance
of this facility has been very good and we have successfully
increased volumes such that the facility now accounts for more
than half of total production. In addition we have recently
achieved QS9000 approval for Hungary.
GLL attained the Environmental Management Standard ISO14001for
its Havant plant during the period. This certification is
becoming increasingly crucial to customers' requirements.
We have also made important investment in the marketing and
engineering support given to customers in North America and
France, with plans for a similar exercise in Germany. This
level of increased support will in the long term be central to
our ongoing success.
Cash Flow
We ended the period with a strong balance sheet and our
gearing remains less than 5% which will give us the ability to
invest where we see appropriate opportunities.
Prospects
Having stabilised the Group's performance and with the
beginnings of recovery in our world markets now evident, we
are confident of continued progress towards a satisfactory
full year outcome.
Enquiries
TGI plc 01705 400090
Nigel Hamilton, Chief Executive
Peter Russell, Finance Director
Square Mile Communications 0207 601 1000
Kevin Smith
TGI plc
Interim results for the six months ended 30 September 1999
Profit and Loss Account
Six months Six months Year
ended ended ended
30 September 30 September 31 March
1999 1998 1999
#000 #000 #000
Turnover
Continuing operations 22,553 22,776 43,651
Discontinued operations - 1,112 1,112
------------------------------------
Total turnover 22,553 23,888 44,763
------------------------------------
Operating profit/(loss)
Continuing operations 1,170 1,608 1,016
Discontinued operations - (499) (499)
------------------------------------
Total operating profit 1,170 1,109 517
------------------------------------
Exceptional items
Profit on the sale of fixed
assets
- continuing operations - 314 314
Loss on the termination of
operations
- discontinued operations - (1,500) (2,195)
------------------------------------
Profit/(loss) on ordinary
activities before interest 1,170 (77) (1,364)
Interest (60) (66) (172)
------------------------------------
Profit/(loss) before tax 1,110 (143) (1,536)
------------------------------------
Tax
On exceptional items - 62 87
Other (222) (197) (383)
------------------------------------
Total tax (222) (135) (296)
------------------------------------
Profit/(loss) after tax 888 (278) (1,832)
Minority interests (14) (16) (55)
------------------------------------
Profit/(loss) for the period 874 (294) (1,887)
Dividends (260) (260) (791)
------------------------------------
Retained profit/(loss) 614 (554) (2,678)
------------------------------------
Earnings/(loss) per share 4.0p (1.3)p (8.7)p
Diluted earnings/(loss) per share 4.0p (1.3)p (8.7)p
Headline earnings/(loss) per share 4.0p 3.8p (0.4)p
TGI plc
Interim Results for the six months ended 30 September 1999
Balance Sheet
At At At
30 September 30 September 31 March
1999 1998 1999
#000 #000 #000
Fixed assets
Tangible assets 3,119 3,732 3,238
------------------------------------
Current assets
Stocks and work in progress 6,165 7,460 6,450
Debtors 8,201 8,927 7,408
Cash 50 518 260
------------------------------------
14,416 16,905 14,118
------------------------------------
Creditors: amounts falling due
within one year (6,657) (8,176) (7,043)
------------------------------------
Net current assets 7,759 8,729 7,075
------------------------------------
Total assets less current
liabilities 10,878 12,461 10,313
Creditors: amounts falling due
after more than one year (297) (292) (341)
Provisions for liabilities and
charges (72) (200) (83)
------------------------------------
Net assets 10,509 11,969 9,889
------------------------------------
Capital and reserves
Equity shareholders' funds 10,298 11,812 9,692
Minority interests 211 157 197
------------------------------------
10,509 11,969 9,889
------------------------------------
TGI plc
Interim Results for the six months ended 30 September 1999
Cash Flow Statement
Six months Six months Year
ended ended ended
30 September 30 September 31 March
1999 1998 1999
#000 #000 #000
Net cash flow from operating
activities
Continuing operating activities 987 573 2,801
Discontinued operating activities - (715) (715)
------------------------------------
987 (142) 2,086
------------------------------------
Returns on investment and
servicing of finance
Interest paid (55) (48) (116)
Interest element of finance
lease repayments (10) (26) (56)
Interest received 5 - 2
Non-equity dividends paid - - (27)
------------------------------------
(60) (74) (197)
------------------------------------
Taxation (52) (65) (506)
------------------------------------
Capital expenditure
Purchase of fixed assets (425) (698) (1,048)
Sale proceeds from fixed assets - - 17
Sale of Coatbridge building - 1,765 1,766
------------------------------------
(425) 1,067 735
------------------------------------
Disposals
Closure of Mordaunt-Short - - (820)
------------------------------------
Equity dividends paid (531) (535) (796)
------------------------------------
Net cash flow before financing (81) 251 502
------------------------------------
Financing
Issue of ordinary share capital - 21 21
Purchase of own shares - (176) (176)
Capital payments on finance leases (141) (300) (460)
Capital payments on bank loans (6) (6) (12)
------------------------------------
(147) (461) (627)
------------------------------------
(Decrease) in cash (228) (210) (125)
------------------------------------
TGI plc
Interim Results for the six months ended 30 September 1999
Reconciliation of net cash flow to movement in net debt
Six months Six months Year ended
ended ended
30 September 30 September 31 March
1999 1998 1999
#000 #000 #000
(Decrease) in cash in the period (228) (210) (125)
Cash flow from change in debt
and lease financing 147 306 472
Change in net debt resulting
from cash flows (81) 96 347
New finance leases (22) (83) (140)
Translation differences 7 (4) (14)
Movement in the period (96) 9 193
Net debt at start of period (329) (522) (522)
Net debt at end of period (425) (513) (329)
Continuing operations
Operating profit 1,170 1,608 1,016
Depreciation and diminution in value 558 649 1,375
Loss on disposal of fixed assets - 2 203
Decrease/(increase) in stocks 285 (1,209) (15)
(Increase)/decrease in debtors (818) (290) 1,014
(Decrease) in creditors (197) (187) (755)
(Decrease) in provisions (11) - (37)
Net cash flow from continuing
operations 987 573 2,801
Discontinued operations
Operating (loss) - (499) (499)
Depreciation and diminution
in value - 13 13
Decrease in stocks - 180 180
(Increase) in debtors - (139) (139)
(Decrease) in creditors - (259) (259)
(Decrease) in provisions - (11) (11)
Net cash flow from
discontinued operations - (715) (715)
Notes:
1. The figures for the six months ended 30 September are
unaudited. These figures have been prepared in accordance
with the same accounting policies used in the accounts for the
financial year ended 31 March 1999.
2. The comparative figures for the financial year ended 31
March 1999 are not the Group's statutory accounts for that
financial year. Those accounts have been reported on by the
Group's auditors and delivered to the Registrar of Companies.
The report of the auditors was unqualified and did not contain
a statement under section 237 (2) or (3) of the Companies Act
1985.
3. The taxation charge reflects the write back of ACT
previously written off.
4. Earnings per share is based upon profits of #874,000 and
21,657,497 ordinary shares in issue during the six months
ended 30 September 1999. Headline earnings per share exclude
the impact of exceptional profits and losses and the
associated taxation.
5. The interim dividend of 1.2p per share will be paid on 28
January 2000 to shareholders on the register at 10 January
2000. The ex-dividend date is 4 January 2000.
6. Copies of the interim statement are being sent to
shareholders and further copies are available from the
registered office of TGI plc, 3 Ridgway, Havant, Hampshire,
PO9 1JS.
END
IR CCDCPODDDBBK
Grafico Azioni Tgi (LSE:TGI)
Storico
Da Mag 2024 a Giu 2024
Grafico Azioni Tgi (LSE:TGI)
Storico
Da Giu 2023 a Giu 2024
