10 June 2013 – final results
Although performance in the year to 31 March 2013 was behind the previous year, it was still solid given the challenges faced. Turnover was down over 5% at £20.66m and profit before tax and exceptional costs dropped to £1.11m (2012: £1.30m). Fully diluted earnings per share were 1.69p (2012: 2.32p). The final dividend was held at 1.5p, maintaining the total for the year at 2.55p. Looking ahead it is likely that dividends will need to be covered by earnings, which is likely to see a cut in the near term. However, net funds were £1.39m (2012: £1.77m) so the balance sheet remains in good shape. The company is proposing a name change to Grafenia. There is considerable scope for the share price to rebound meaning we keep our BUY rating.