30 September 2014 – interim results
A strong set of figures has been posted for the six months ended 31 July 2014. Revenue was up 8.1% to £355.9m (2013: £329.2m). Profit before taxation rose by 5.4% to £4.2m (2013: £4.0m). It is also worth noting that there were no non-recurring items in the period (2013: costs of £2.2m). Adjusted earnings per share were 4.16p versus 3.75p last year and the interim dividend was lifted to 1.360p per share from 1.238p last year.
Cash generated from operating activities during the period, before movements in working capital, was £5.4m (2013: £3.2m). However, there was an overall net cash outflow of £8.2m (2013: outflow of £3.7m). A net increase in working capital of £7.9m had a significant impact. Tax paid in the period was £1.3m (2013: £0.5m), with tax refunded in Germany last year largely explaining the difference. Combined outflows on net share purchases of £1.3m, dividend payments of £1.4m and net interest paid of £0.3m also burnt through cash and net debt was £4.3m at the period end versus net cash of £1.2m a year earlier. We rate the shares as a BUY.