26 November 2014 – interim results
The home shopping and education supplies group has reported results for the six months to 30 September which have shown a first half profit for the first time in six years. On revenues which were broadly flat at £244m, an adjusted pre-tax profit of £1.5m was reported compared with a loss of £0.4m last time. Adjusted earnings per share came in at 1.33p. The group’s largest business Express Gifts produced a strong trading performance over the period although the other businesses produced contrasting results, with Kleeneze and Findel Education struggling. Kitbag produced a better result though and the group continues to review its options with this business with a possible disposal on the cards. One positive feature of the results is the reduction in net debt during the period although this still remains at a high level.
Trading in the second half has started slowly although it has picked up more recently. The shares remain a BUY.