29 May 2012 – final results

In the year to 1 April, the group, which provides customised electrical and optical interconnect solutions, saw revenue increase by 6% to $517.8m (2011: $490.0m) and normalised  pre-tax profits rise by 23% to $28.2m (2011: $22.9m).  Earnings per share on the same basis were some 30% higher at 43.7c (2011: 33.7c) and the dividend was increased to 4.5c (2011: 2.op) following the change to reporting in dollars as opposed to sterling.  Net cash at the year end was was $3.6m (2011: net debt $7.4m).  These are clearly good results, especially given the challenging trading environment  and the fact that the company has made substantial investments for the future.  The group entered the new financial year with positive momentum and it expects to increase revenues, profits and earnings per share during the period.  Forecasts for the year to 31 March 2013 show that earnings per share could rise to over 30p, putting the shares on a low p/e ratio.  CEO Ray Walsh has bought 10,000 shares this morning at 244p and with the shares standing well below the 52 week high of 364p we rate them as a BUY.