20 September 2018 – interim results
In the six months to 30 June group revenues on continuing operations rose to £43.2m (2017: £42.9m) whilst pre-tax profits on the same basis rose to £0.85m (2017: £0.68m). Earnings per share rose t0 0.74p (2017: 0.62p) and as usual there is no dividend. Net debt at the end of the period had risen to £1.9m (31 December 2017: £1.6m) due to increased working capital requirements associated with the group’s expansion. The group has stated that it is experiencing a short-tem delay in the fulfilment of one large contract but expects to achieve current expectations for the year helped by a stronger second half. The fall in the share price following the announcement looks overdone to us and we re-iterate our recommendation of BUY.