30 September 2016 – interim results
In the six months to 30 June, group revenues rose by some 10% to £17.1m (2015: £15.6m) helped by a contribution for the whole period from E.S.C (Europe) Ltd, acquired last September. Revenues from the sports, leisure and toys business rose by 54% during the period to £11.0m (2015: £7.2m)helped by the E.S.C. acquisition although there was a decline in revenues in the bicycles, accessories and mobility business to £6.1m (2015: 8.4m), partly due to the fact that last year’s revenues were boosted by a significant sales promotion from a large national retailer. Adjusted pre-tax profits fell to £182,000 from £659,000 a year earlier for earnings per share of 2.82p (7.60p). The interim dividend was raised to 1.30p (2015: 1.25p). Net debt at the end of the period was £5.8m compared with £6.2m a year earlier. These are disappointing results in many ways although we continue to believe that the company will return to profits growth going forward and long term shareholders should be rewarded. The shares remain a BUY.