RNS Number:2982O
Anglo & Overseas Trust PLC
04 August 2003
ANGLO & OVERSEAS TRUST PLC AND SUBSIDIARY
PRELIMINARY ANNOUNCEMENT OF RESULTS
FOR THE HALF YEAR ENDED 30 JUNE 2003
Extract from the Chairman's Statement
After a weak first quarter, markets have recovered following the end of major
hostilities in Iraq. I am pleased to report that the value of our portfolio rose
by 6.0% over the six month period to 30 June 2003, broadly in line with our
benchmark composite index, comprising 60% of the MSCI World ex-UK Index and 40%
of the MSCI UK Index. As a result of our gearing our net asset value per share
did slightly better, increasing by 6.8%, 0.9% ahead of our benchmark. Our share
price lagged the performance of the net asset value per share, rising by 5.3%,
as the discount at which our shares traded remained historically high reflecting
the greater volatility of geared investment trusts. For the purposes of
comparison the FT-SE All-Share rose by 4.1% and the MSCI World Index rose by
7.3% in the same period.
Your Company gained some small benefit from its geared position over the period
as markets rose. In sterling terms our return was slightly affected by the
weakness of the US dollar, but this was offset, in part, by the strength of the
euro.
Action by central banks to reduce interest rates and stimulate economic growth
should be favourable to equities going forward, and currently make them a more
attractive investment option than bonds or cash. We believe that there will be
some consolidation in equity prices, but that markets will be modestly higher by
the year-end. We are taking a more positive stance in our equity allocation and
in the balanced use of our gearing, in line with this more optimistic outlook,
Income attributable to shareholders again fell slightly, mainly due to lower
unfranked income on overseas dividends. We are paying an unchanged interim
dividend of 0.70p per share.
Alistair Mitchell-Innes
Chairman
The interim dividend of 0.70p per share will be paid on 12 September 2003 to
shareholders on the register at the close of business on 15 August 2003.
The financial information for the year ended 31 December 2002 is derived from
the statutory accounts for 2002 which have been delivered to the Registrar of
Companies. The Auditors have reported on the 2002 accounts; their report was
unqualified and did not contain a statement under section 237 (2) or (3) of the
Companies Act 1985.
The half-yearly report will be sent to shareholders and will also be made
available to the public at the Company's registered office.
By order of the Board
M Pope
Company Secretary
Registered Office:
One Appold Street
London EC2A 2UU
4 August 2003
For further information please contact:
John Murray at Deutsche Asset Management
Tel: 020 7545 0108
CONSOLIDATED STATEMENT OF TOTAL RETURN
(incorporating the revenue account*)
Six months to 30 June 2003 Year to 31 December 2002 Six months to 30 June 2002
Revenue Capital Total Revenue Capital Total Revenue Capital Total
#'000 #'000 #'000 #'000 #'000 #'000 #'000 #'000 #'000
Gains/(losses) - 14,084 14,084 - (87,830) (87,830) - (38,878) (38,878)
on investments
Income 4,402 - 4,402 7,936 - 7,936 4,544 - 4,544
Investment (294) (294) (588) (653) (653) (1,306) (335) (335) (670)
management fee
Other expenses (285) - (285) (405) (62) (467) (177) (24) (201)
--------------------------------------------------
Net return 3,823 13,790 17,613 6,878 (88,545) (81,667) 4,032 (39,237) (35,205)
before
finance
costs and
taxation
Interest (1,576) (1,576) (3,152) (3,151) (3,151) (6,302) (1,576) (1,576) (3,152)
payable
--------------------------------------------------
Return on 2,247 12,214 14,461 3,727 (91,696) (87,969) 2,456 (40,813) (38,357)
ordinary
activities
before tax
Tax on ordinary (146) - (146) (237) - (237) (296) - (296)
activities
--------------------------------------------------
Return on
ordinary
activities
after tax for
the
financial year 2,101 12,214 14,315 3,490 (91,696) (88,206) 2,160 (40,813) (38,653)
attributable to
equity
shareholders
Dividends in (733) - (733) (4,086) - (4,086) (733) - (733)
respect of
equity shares
--------------------------------------------------
Transfer to reserves
after interim
dividend of 1,368 12,214 13,582 (596) (91,696) (92,292) 1,427 (40,813) (39,386)
0.70p (2002 -
0.70p)
====================================================================
Return per 2.01p 11.66p 13.67p 3.33p (87.52)p (84.19)p 2.06p (38.95)p (36.89)p
ordinary share
*The revenue column of this statement is the profit and loss account of the Group.
All revenue and capital items in the above statement derive from
continuing operations.
No operations were acquired or discontinued in the period.
The statement of total return, balance sheet and cash flow statement are unaudited. The figures are
the consolidated results for the group. The figures in respect of the year to 31 December 2002 are
taken from the full accounts which have been delivered to the Registrar of Companies and which contain
an unqualified audit report.
CONSOLIDATED CASH FLOW STATEMENT
Six months to Year ended Six months to
30 June 2003 31 December 2002 30 June 2002
#'000 #'000 #'000
Reconciliation of operating profit to net
cash
inflow from operating activities
Cash received from investments 4,164 7,268 4,252
Interest received 276 255 45
Other income received 13 45 32
Investment management fees paid (602) (1,363) (931)
Cash paid to and on behalf of directors (50) (98) (45)
Other cash payments (239) (362) (16)
-------------------------------------------------------
Net cash inflow from operating activities 3,562 5,745 3,337
-------------------------------------------------------
Servicing of finance
Interest paid (4,637) (6,125) (4,637)
-------------------------------------------------------
Net cash outflow from servicing of finance (4,637) (6,125) (4,637)
-------------------------------------------------------
Taxation
Overseas tax paid (213) (313) (309)
Consortium relief claimed - 104 -
-------------------------------------------------------
Taxation paid (213) (209) (309)
-------------------------------------------------------
Financial investment
Purchase of investments (86,431) (239,908) (142,045)
Sale of investments 91,385 261,988 150,686
-------------------------------------------------------
Net cash inflow from investing activities 4,954 22,080 8,641
-------------------------------------------------------
Equity dividends paid (3,353) (4,086) (3,353)
-------------------------------------------------------
Increase in cash 313 17,405 3,679
-------------------------------------------------------
CONSOLIDATED BALANCE SHEET
as at 30 as at 31 as at 30
June 2003 December 2002 June 2002
#'000 #'000 #'000
Fixed assets
Investments 263,379 254,716 313,445
Current assets
Debtors 1,020 758 3,351
Cash 20,331 20,002 6,592
--------------------------------
21,351 20,760 9,943
Creditors: amounts falling due
within one year (1,961) (6,377) (1,472)
--------------------------------
Net current assets 19,390 14,383 8,471
--------------------------------
Total assets less current 282,769 269,099 321,916
liabilities
Creditors: amounts falling due
after more than one year (68,128) (68,040) (67,951)
--------------------------------
Net assets 214,641 201,059 253,965
--------------------------------
Capital and reserves
Called-up share capital 10,477 10,477 10,477
Capital redemption reserve 18,076 18,076 18,076
Other reserves
Capital reserve - realised 176,881 195,786 227,919
Capital reserve - unrealised (7,149) (38,268) (19,518)
Revenue reserve 16,356 14,988 17,011
--------------------------------
Total equity shareholders' funds 214,641 201,059 253,965
--------------------------------
Net asset value per ordinary share 204.9p 191.9p 242.4p
--------------------------------
Mid-market quotation of ordinary shares 163.8p 155.5p 207.0p
--------------------------------
This information is provided by RNS
The company news service from the London Stock Exchange
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