20 October 2010 – interim results

In the six months to 31 July, the group increased revenues to £19.1m (2009: £18.9m) with pre-tax profits increasing to £0.65m (2009: £0.55m).  Earnings per share for the period fell to 10.9p (2009: 12.8p) as the company incurred a tax charge this time around as opposed to a tax credit last year.  These are good results given the uncertainty caused by volatile raw material prices and both divisions (bicycles & accessories and sports, leisure & toys) increased operating profits.  September and October have been challenging months, especially in the bicycles and accessories business and the group is adopting a cautious approach ahead of the Christmas trading season.  Nevertheless, the prospects for next year are good with positive reaction being seen to improvements in the product range and we maintain our recommendation of BUY.