23 March 2011 – final results

Solid final results for 2010 have been released. Profit before tax was £0.9m (2009: £0.6m), with earnings per share from continuing operations rising from 0.56p to 0.67p. Earnings per share from continuing and discontinued operations came in at 0.61p versus 0.02p in 2009. At the period end net cash of £1.1m was held and a freehold property which is surplus to requirements is being actively marketed. The award of a £7.2m contract means that 2011 has started well and £6.3m of this business should be delivered in the current year. Nevertheless, the share price has been bouyant of late and this good news appears to be in the price. We would not chase the shares much higher than the current level and downgrade our rating to HOLD for now.