17 April 2012 – final results
Results for the year ended 31 December 2011 have been released, demonstrating solid progress from the industrial services and rental company. Revenue was up 29% to £24.9m (2010: £19.3m) and pre-tax profit prior to exceptionals was up 18% to £4.6m (2010: £3.9m). Adjusted earnings per share came in at 24.6p (2010: 23.4p) and a final dividend of 3.25p per share was declared, taking the total for the year to 5.0p (2010: 4.6p).
The company anticipates continued growth in the current year and has already announced three significant contract wins since the year end. Although net gearing increased from 14.3% to 39.5% in 2011, borrowings remain under control and we are not concerned by the increase in debt which has been required to finance business activities and acquisitions. Cashflow from operations before movements in working capital was £6.9m (2010: £5.9m) and this is impressive given that the market capitalisation is less than £43m. We continue to rate the shares as a BUY.