Interim Results
September 24 2003 - 11:17AM
UK Regulatory
RNS Number:1330Q
Ross Group PLC
24 September 2003
Ross Group PLC
24 September 2003
INTERIM RESULTS
FOR THE SIX MONTHS ENDED 30 JUNE 2003
Chairman's statement
The result of the group for the six months ended 30 June 2003 was a loss of
#120,000 before tax (June 2002 loss #382,000). Whilst the management are
disappointed in not being able to record a profit the result does show an
improvement in the trading position.
The turnover for the group increased by #450,000 compared to the same period in
the preceding year. The figures also reflect the benefit from the tight control
of overheads. The successful raising of additional funds of #1,340,941 (net) by
way of an Open Offer in February 2003 to replace short term debt has resulted in
the strengthening of the financial position and a reduction in the amount of
interest payable. The Grande Group has replaced the existing short term inter
company debt by a long term inter company loan, as stated in the Open Offer
documentation.
Business review
The results demonstrate the benefit of the group's aggressive commercial policy
which produced an increase in sales orders for GEL Engineering during the later
part of 2002 and early 2003. To maintain this initiative the GEL sales team has
been supplemented by the addition of a Director of Business Development. Tadmod,
the distributor of battery chargers and electrical adaptors, has looked at
broadening its product range and effort has been directed at expanding the
business into growing and emerging markets.
Business Outlook
Top management are investigating the opportunities to increase the business
activities of the group which would secure a lasting return to profitability.
The engineering business is being moved forward with the proposed establishment
of a trading partnership to establish joint ventures for major contracts.
Dividend
No ordinary interim dividend is proposed considering the result for the first
half of the year (2002 - #Nil).
.
Board Changes
Trevor Wilkinson was appointed a Director on 9 July 2003 and Deputy Managing
Director on 12 August 2003. Alain Eman resigned as a Director and Deputy
Managing Director on 31 July 2003.
A C C Ma
Chairman
24 September 2003
CONSOLIDATED PROFIT AND LOSS ACCOUNT
6 Months 6 Months Year
Ended Ended Ended
30 June 30 June 31 December
2003 2002 2002
#'000 #'000 #'000
Turnover
Continuing Operations 1,663 1,213 2,449
Operating (Loss)/Profit
Continuing Operations (30) (250) (502)
Termination of Discontinued Activities 0 (26)
Loss On Ordinary Activities Before Interest (30) (250) (528)
Net Interest Payable (90) (132) (280)
Loss On Ordinary Activities Before Taxation (120) (382) (808)
Taxation 0 0 0
Loss On Ordinary Activities After Taxation (120) (382) (808)
Retained Loss For The Period (120) (382) (808)
Loss Per Share (0.07)p (0.57)p (1.21)p
Adjusted Loss Per Share (0.07)p (0.57)p (1.17)p
CONSOLIDATED BALANCE SHEET
30 June 30 June 31 December
2003 2002 2002
#'000 #'000 #'000
Tangible Fixed Assets 53 71 63
Stock 560 715 833
Debtors 577 674 274
Creditors (2,357) (2,231) (2,315)
Net Borrowings (1,335) (2,551) (2,601)
Net Liabilities (2,502) (3,322) (3,746)
Shareholder's Funds
Share Capital 11,135 10,444 10,444
Share Premium Account 2,512 1,647 1,647
Other Reserves 15,214 15,410 15,406
Profit and Loss Account (31,363) (30,823) (31,243)
(2,502) (3,322) (3,746)
CONSOLIDATED CASH FLOW STATEMENT
6 Months 6 Months Year
Ended Ended Ended
30 June 30 June 31 December
2003 2002 2002
#'000 #'000 #'000
Net Cash Inflow/(outflow) From Operating Activities 75 190 228
Servicing Of Finance
Interest Received 0 0 2
Interest Paid (90) (132) (218)
Finance Lease Interest Paid 0 0 0
(15) (132) (216)
Taxation 0 0 0
Capital Expenditure And Financial Investment
Purchase Of Fixed Assets 0 (4) (7)
Sale Of Tangible Assets 0 0 0
(15) (4) (7)
Financing
Cash Inflow from Issue of Share Capital 1,364 0 0
Cash (Outflow) From Financing (1,383) 0 0
Capital Element Of Finance Lease Rentals (2) 0 (1)
Net Cash Flow From Financing (21) 0 (1)
Increase In Cash Flow (36) 54 4
Notes to the accounts
(1) The interim financial statements have been prepared on the basis of
the accounting policies set out in the audited statutory accounts for the year
ended 31 December 2002.
The financial information contained in these statements for the six months ended
30 June 2003 and 30 June 2002 is unaudited and does not constitute statutory
accounts as defined in section 240 of the Companies Act 1985.
(2) An adjusted loss per share has been shown to highlight the effect of
excluding the loss on sale/termination of discontinued business from the
earnings per share calculation.
(3) No ordinary interim dividend is proposed (2002-#nil).
(4) Net Cash Inflow
Operating Loss On Continuing Activities (30) (250) (502)
Depreciation And Loss On Revaluation 7 11 33
Decrease/(Increase) In Stocks 273 (85) (203)
(Increase)/Decrease In Debtors (217) 395 795
Increase In Creditors 42 119 131
Net Cash Inflow/(Outflow) From Continued Operating 75 190 254
Activities
Net Cash Inflow/(Outflow) In Respect Of 0 0 (26)
Discontinued Activities And Termination Costs
Net Cash Inflow/(Outflow) From Operating 75 190 228
Activities
(5) The comparative cash flow for the year ended 31 December 2002 has been
extracted from the audited accounts. The cash flows for the six months ended 30
June 2002 and 30 June 2003 are unaudited.
(6) The Interim Report will be sent by mail to all registered shareholders
and copies will be available from the Company's head office at Ross Group PLC,
Brunel Road, Totton, Hampshire, SO40 3YS.
(7) Statement Of Recognised Gains and Losses
Share premium Account - Brought Forward 1,647 1,647 1,647
Movement 865 0 0
Carried Forward 2,512 1,647 1,647
Other Reserves - Brought Forward 15,406 15,412 15,412
(Depreciation) (3) (2) (6)
Open Offer Costs (189) 0 0
Carried Forward 15,214 15,410 15,406
Ross Group PLC
Registered Office
35 Paul Street Contact - Trevor Wilkinson, Deputy Managing Director
London EC2A 4UQ Tel. No. - 02380 675500 Fax No. - 02380 675555
This information is provided by RNS
The company news service from the London Stock Exchange
END
IR EASNLAESDEFE