21 September 2012 – interim results
Results for the six months to 30 June 2012 showed revenue down year-on-year at £14.4m (2011: £15.8m). Nevertheless, profit before tax rose from £137k to £193k and a lower tax charge meant that diluted earnings per share more than doubled to 3.92p (2011: 1.94p). The interim dividend was nudged up to 1.1p (2011: 1.05p). The company has said that it expects profits in the current year to be behind 2011. Nevertheless, success for British cyclists in the Olympics and Tour de France is bound to have at least some positive impact. Investors are likely to have to be patient but fundamentally the shares are cheap. We maintain our BUY rating.