28 May 2013 – AGM trading update
At the company’s AGM, being held this morning, a statement will be made with regards to current trading. Although trading in the current year is up year-on-year so far, there have been delays in progressing potential orders. This means that revenue for the year as a whole is expected to be broadly £14m, the same as in 2012. Underlying profit before tax is expected to be around £1.5m although there will be exceptional costs of around £0.5m incurred in developing the sales resource. Cash reserves are currently around £2.5m and a final dividend of 0.7p per share translates into a yield of 6.4% at the current price. On balance the shares do look good value but some patience may be required. LONG TERM BUY.