Final Results
04 3월 2003 - 4:01PM
UK Regulatory
RNS Number:2302I
Ben Bailey PLC
04 March 2003
Ben Bailey Plc ("the Company")
Preliminary Results for the year ended 31 December 2002
2002 2001 change
* Pre-tax Profit #7.51m #2.75m +173%
* Operating Profit #8.08m #3.47m +133%
* Turnover #49.20m #40.70m +20.9%
* EPS Basic 49.27p 18.18p +171%
* Final Dividend (per share) 5.00p 2.60p +92%
* Total Dividend for Year (per share) 7.50p 3.80p +97%
* Average selling price up to #121,000 from #96,000
* Operating margin up to 16.4% from 8.5%
Commenting on the results Richard Bailey, Chairman, said,
"Trading conditions in our area of operations remained favourable enabling an
improved, but realistic, pricing policy to be applied to new releases. The need
for discounting and part exchange arrangements has been negligible."
"We have entered the current financial year with forward reservations at a
highly satisfactory level. Demand remains strong across the Company's area of
operations from Leeds in the North and Newark in the South. Additionally there
are currently no indications of any downward pressure on prices in this area."
FULL STATEMENT ATTACHED
Enquiries:
Paul Russell, Chief Executive
Ben Bailey Plc
Tel: 01709 586261
BEN BAILEY PLC
Chairman's Statement
Results
I am very pleased to be able to report further significant increases in
profitability and improved performance of the Company at all levels.
Profit before taxation for the year ended 31 December 2002, was #7.51m compared
to #2.75m in 2001, an increase of 173%. This has resulted in improved Earnings
per Share of 49.3p as against 18.2p in 2001.
Turnover for the year rose by 20.9% to #49.2m (2001: #40.7m), but more
significantly our operating margins almost doubled to 16.4% from 8.5%.
The positive cash flow generated by the above provides a strong platform from
which to continue our successful land buying programme, essential to underpin
future growth.
Review of the Year
Trading conditions in our area of operations remained favourable enabling an
improved, but realistic, pricing policy to be applied to new releases. The need
for discounting and part exchange arrangements has been negligible.
The number of completed plot sales was 405 (2001: 429). This reduction arose as
a result of delays in obtaining detailed planning consent on a number of
developments. Average selling prices across the product range rose to #121,000
from #96,000.
The Company's range of house styles has widened to accommodate the market for
first time buyers and the demand for larger homes on superior sites. In
addition the product mix facilitates the compliance with more stringent planning
requirements.
Against a background of changing market conditions our management of land
acquisition, technical design, construction programmes and marketing have
remained robust. The year's record results could not have been achieved without
the skill and dedication of the Company's employees and the support of our many
suppliers and sub-contractors. I wish to place on record the Board's gratitude
to all who have served the Company so well.
Board Appointments
I am pleased to announce that with effect from 28 February 2003 Max Teare has
agreed to join the Board as a non-executive director, bringing the number of
non-executive directors to three. Max is a former partner in
PricewaterhouseCoopers and will bring a wealth of experience to the Board.
Future Prospects
We have entered the current financial year with forward reservations at a highly
satisfactory level. Demand remains strong across the Company's area of
operations from Leeds in the North and Newark in the South. Additionally there
are currently no indications of any downward pressure on prices in this area.
Our current land bank stands at 945 plots. There are a further 371 plots which
are awaiting legal completion. The availability of having more land assists in
cushioning the effects of planning delays now being experienced by all
house-builders.
The above factors coupled with a strong financial position enable the Board to
look forward confidently to fulfilling a policy of structured growth.
Dividend
The Board is recommending an increased final dividend of 5.0p per share making a
total of 7.5p for the year. This represents an increase of 97% from the 2001
level of 3.8p. The dividend will be paid on 9 May 2003 to shareholders on the
register at 11 April 2003.
Richard Bailey
Chairman
BEN BAILEY PLC
PRELIMINARY RESULTS FOR THE YEAR ENDED 31 DECEMBER 2002
Consolidated Profit and Loss Account for the Year Ended 31 December 2002
2002 2001
#'000 #'000
TURNOVER 49,201 40,698
Cost of sales (36,626) (34,001)
_____ ______
GROSS PROFIT 12,575 6,697
Administrative expenses (4,497) (3,231)
_____ _____
OPERATING PROFIT 8,078 3,466
Net interest payable and similar charges (568) (713)
_____ _____
PROFIT ON ORDINARY ACTIVITIES
BEFORE TAXATION 7,510 2,753
Tax on ordinary activities (2,211) (839)
_____ _____
PROFIT FOR THE FINANCIAL YEAR 5,299 1,914
Dividends (817) (400)
_____ ______
RETAINED PROFIT FOR THE YEAR 4,482 1,514
_____ ______
BASIC EARNINGS PER SHARE 49.27p 18.18p
_____ ______
DILUTED EARNINGS PER SHARE 48.34p 18.07p
_____ ______
The results above relate wholly to continuing operations of the Group.
The Group has no recognised gains and losses other than those included in the
results above, and therefore no separate statement of total recognised gains and
losses has been presented.
There is no difference between the profit on ordinary activities before taxation
and the retained profit for the year stated above, and their historical cost
equivalents.
BEN BAILEY PLC
PRELIMINARY RESULTS FOR THE YEAR ENDED 31 DECEMBER 2002
Group Balance Sheet at 31 December 2002
2002 2001
#'000 #'000
FIXED ASSETS
Tangible assets 496 557
Investments - -
_____ _____
496 557
_____ _____
CURRENT ASSETS
Land held for development 14,351 12,109
Stocks and work in progress 16,321 12,867
Debtors 891 613
_____ _____
31,563 25,589
CREDITORS: amounts falling due
within one year (18,118) (16,386)
_____ _____
NET CURRENT ASSETS 13,445 9,203
_____ _____
TOTAL ASSETS
LESS CURRENT LIABILITIES 13,941 9,760
CREDITORS: amounts falling due
After more than one year - (948)
_____ _____
NET ASSETS 13,941 8,812
_____ _____
CAPITAL AND RESERVES
Called up share capital 1,106 1,053
Share premium account 612 19
Profit and loss account 12,223 7,740
_____ _____
EQUITY SHAREHOLDERS'
FUNDS 13,941 8,812
_____ _____
BEN BAILEY PLC
PRELIMINARY RESULTS FOR THE YEAR ENDED 31 DECEMBER 2002
Consolidated Cash Flow Statement for the Year Ended 31 December 2002
2002 2001
#'000 #'000
OPERATING ACTIVITIES
Net cash inflow from continuing operating activities 5,092 1,672
_____ _____
RETURNS ON INVESTMENTS AND
SERVICING OF FINANCE
Interest received 287 67
Interest paid (866) (792)
Interest paid on finance leases - (1)
_____ _____
(579) (726)
_____ _____
TAXATION
UK corporation tax paid (1,538) (841)
_____ _____
CAPITAL EXPENDITURE
Purchase of tangible fixed assets (126) (203)
Sale of tangible fixed assets 6 12
_____ _____
(120) (191)
_____ _____
EQUITY DIVIDENDS PAID (537) (315)
_____ _____
CASH INFLOW/(OUTFLOW) BEFORE FINANCING 2,318 (401)
_____ _____
FINANCING
Issue of ordinary share capital 646 -
Net cash movement from loans (2,963) 566
Repayment of principal under finance leases (1) (13)
_____ _____
Net cash (outflow)/inflow from financing (2,318) 553
_____ _____
INCREASE IN CASH IN THE PERIOD - 152
_____ _____
BEN BAILEY PLC
PRELIMINARY RESULTS FOR THE YEAR ENDED 31 DECEMBER 2002
Consolidated Cash Flow Statement (continued)
Reconciliation of operating profit to net
cash inflow from continuing operating activities
2002 2001
#'000 #'000
CONTINUING ACTIVITIES
Operating profit 8,078 3,466
Depreciation of tangible fixed assets 187 110
Profit on sale of tangible fixed assets (6) (9)
(Increase) in land held for development (2,242) (6,003)
(Increase)/Decrease in stocks and work in progress (3,454) 2,126
(Increase)/Decrease in trade debtors (9) 447
(Increase)/Decrease in other debtors, prepayments and accrued income (269) 320
Increase/(Decrease) in trade creditors 3,814 (1,056)
(Decrease)/Increase in land creditors (1,348) 1,996
Increase/(Decrease) in other taxation and social security 38 (21)
Increase in accruals and deferred income 280 276
Increase in other creditors 23 20
_____ _____
Net cash inflow from continuing operating activities 5,092 1,672
_____ _____
BEN BAILEY PLC
PRELIMINARY RESULTS FOR THE YEAR ENDED 31 DECEMBER 2002
Notes to the Preliminary Results
1. The financial information for the year ended 31 December 2002 is
extracted from the consolidated accounts which have received an unqualified
audit report but which are yet to be filed with the Registrar of Companies.
2. Basic earnings per share are based on the profit on ordinary
activities after taxation of #5,299,000 (2001: #1,914,000) and on 10,754,481
ordinary shares, being the weighted average number of shares in issue during the
year (2001: 10,530,234).
Diluted earnings per share includes the potential dilutive effect of all the
ordinary shares issuable under the Company's Executive Share Option and SAYE
Schemes. Diluted earnings per share are based on the profit on ordinary
activities after taxation of #5,299,000 (2001: #1,914,000) and calculated on a
weighted average of 10,962,016 ordinary shares (2001: 10,592,850).
3. The Annual Report and Accounts will be posted to shareholders during
the week commencing 17 March 2003 and will be available to the public from the
Company's registered office at Elizabeth House, Cliff Street, Mexborough, South
Yorkshire S64 9HQ.
This information is provided by RNS
The company news service from the London Stock Exchange
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