25 September 2014 – interim results
Interim results for the six months to 30 June have been released, broadly showing performance to be in line with expectations. Operating income was up 4% to £26.3m (2013: £25.4m). Headline operating profit was up 3% to £2.1m (2013: £2.0m), which along with reduced finance costs meant that headline profit before tax was up 9% to £1.8m (2013: £1.7m). This translated into headline diluted EPS of 1.68p (2013: 1.51p). The cash inflow from operating activities of £5.2m (2013: £5.0m) was impressive and the cash generative nature of the business is a key attraction. Net bank debt was reduced by £3.4m in the six months to £7.3m. The interim dividend was held at 0.25p. We rate the shares as a BUY.