13 June 2019 – final results

The company has announced its annual results for the year to 31 March and these have revealed a 15.4% increase in revenue to $372.1m (2018: $322.4m) whilst underlying pre-tax profits more than doubled to $20.2m (2018: $9.7m).  Underlying diluted earnings per share rose by 42.7% to 12.7c (2018: 8.9c).  Net cash at the year end also more than doubled to $20.6m (2018: $9.9m).  The growth in revenue included a $44.8m contribution from acquisitions whilst the larger increase in profitability was partly due to an increase in gross margins from 17.4% to 19.8%.  As usual, there is no dividend although the company hopes to re-instate an interim dividend in November.  The strong recovery seen at the group has continued and the group is now in a better position than for some time.  Although the group’s markets look set to remain challenging, both operating divisions occupy market leading positions and so further progress at the group is expected going forward.  The shares have performed well over the last 12 months but remain a BUY .