RNS Number:2105U
Cassidy Brothers PLC
14 January 2004
CASSIDY BROTHERS plc
Interim Results to 31 October 2003
CHAIRMAN'S STATEMENT
In my year end statement to 30th April 2003 I mentioned our plans to market a
range of Cadbury licensed items which was in response to increased competition
hitting our kitchen role play products, which in the main was the reason for the
drop of 29% in turnover. The Cadbury range would not be subjected to the
copying we have had to contend with these last couple of years, and we received
excellent listings at the trade fairs in January 2003. We experienced delays in
the contract with Cadbury and as a result these first half figures do not
include the benefit from Cadbury sales.
Current Trading
Consumer purchasing is still moving closer to Christmas each year, which puts
the retail trade in a very defensive posture. This means that it is depending
heavily on the suppliers taking more of the inventory risk, drawing from them
only the immediate requirements. Our three KFC licensed products have proved
successful, returning revenue back to our cash register shopping role play
areas, which are all enjoying excellent sales together with Pick & Mix and
Cadbury Heroes. Warehouse and Distribution costs have reduced by #186,800 over
the last six months, with Administration cost remaining constant.
Interim Dividend
Your Directors have decided that an interim dividend of 0.75 pence per share
will be appropriate for the current results, optimised by future prospects,
payable on 5 April 2004. This will apply to ordinary shareholders on the
register at the close of business on 5 March 2004.
Future Prospects
We expect sales of the existing product range to plateau this year in the UK but
increase to the rest of the world, in particular Australia, Spain and Italy.
The latter sales don't affect turnover as we are paid on a commission basis.
Revenue earned in this way is used to reduce 'Cost of Sales'. Further regular
revenue can be expected as of 1 December 2003 from a successful long term
leasing of 12,000 sq ft of surplus warehouse space, which apart from some
occasional short term let income has remained empty for four years.
We plan to enter the Arts and Crafts category of trade with a product which is
based on forensic facial reconstruction using pegs placed in certain positions
on the skull. It hasn't been attempted before and we believe it will be a world
first. It will be aimed not only at the toy trade but also the adult hobby
market, and at varied skill levels. For those of us who have tried 'painting by
numbers' one could describe this range as 'sculpture by numbers' and patents
have been applied for. One of the sculptured subjects in the range will be a
character licensed from a recent box office hit film and an ideal subject for
this product, supported by Neanderthal man, Tyrannosaurus Rex and Julius Caesar.
Paul M. Cassidy
Chairman
14 January 2004
Enquiries
Paul Cassidy 01253 766 411
Chairman, Cassidy plc
Russell Cook 020 7739 2000
Charles Stanley
Profit and Loss Account Six months Six months Year
ended ended ended
31 October 31 October 30 April
2003 2002 2003
(unaudited) (unaudited)
# # #
Turnover 2,314,350 3,249,909 5,343,290
Cost of Sales (1,412,194) (1,920,196) (3,122,702)
Gross Profit 902,156 1,329,713 2,220,588
Warehouse and Distribution Costs (510,724) (697,580) (1,399,867)
Administrative Expenses (279,110) (279,634) (607,302)
Other operating income 14,008 14,455 26,444
Operating profit 126,330 366,954 239,863
Net interest payable (12,620) (26,801) (45,480)
Profit on ordinary
activities before taxation 113,710 340,153 194,383
Taxation (22,742) (68,031) (8,591)
Profit attributable
to shareholders 90,968 272,122 185,792
Dividends (see below) (41,432) (55,243) (165,730)
Retained profit 49,536 216,879 20,062
Dividends are as follows:
Interim dividend of 0.75p per share 41,432 55,243 55,243
Final dividend of 2.00p per share - - 110,487
41,432 55,243 165,730
Earnings per share 1.65p 4.93p 3.36p
Summarised Balance Sheets As at As at As at
31 October 31 October 30 April
2003 2002 2003
(unaudited) (unaudited)
# # #
Fixed assets 2,152,171 2,257,290 2,174,213
Stock 1,181,516 1,435,515 1,297,852
Debtors 1,787,097 2,172,213 329,243
Cash 287,316 412,444 524,038
Current assets 3,255,929 4,020,172 2,151,133
Creditors: amounts falling due
within one year (1,619,760) (2,290,730) (568,140)
Net current assets 1,636,169 1,729,442 1,582,993
Total assets less current liabilities 3,788,340 3,986,732 3,757,206
Deferred liabilities and provisions (81,924) (133,035) (100,326)
Net assets employed 3,706,416 3,853,697 3,656,880
Share capital 552,435 552,435 552,435
Reserves 3,153,981 3,301,262 3,104,445
Shareholders' funds 3,706,416 3,853,697 3,656,880
Cash Flow Statement Six Months Six Months Year
Ended Ended Ended
31 October 31 October 30 April
2003 2002 2003
# # #
Operating Profit 126,330 366,954 239,863
Depreciation charges 137,193 125,824 245,762
Profit on sale of tangible fixed assets (4,500) (4,500)
(Increase) / Decrease in Stock 116,336 (523,883) (386,220)
(Increase) / Decrease in Debtors (1,457,854) (1,634,122) 208,495
Increase / (Decrease) in Creditors 154,410 135,022 (220,373)
(923,585) (1,534,705) 83,027
Net Interest paid (12,620) (26,801) (45,480)
Taxation (27,661)
Capital Expenditure (115,151) (183,963) (331,270)
Equity Dividends paid (110,487) (117,392) (172,635)
Unsecured loan and Finance lease 75,174 1,081 (50,722)
(Decrease) in Cash Flow (1,086,669) (1,861,780) (544,741)
Notes
1. The results for the half year ended 31 October 2003, which have been prepared
inaccordance with the accounting policies adopted in the financial statements
for the year ended 30 April 2003, have not been audited or reviewed by the
Company's Auditors and do not constitute statutory accounts as defined in s240
of the Companies Act 1985.
The financial information for the year ended 30 April 2003 is an abridged
version of the full accounts for that year, which have received an unqualified
audit report and have been filed with the Registrar of Companies.
2. Taxation for the six months ended 31 October 2003 has been based on the
estimated effective tax rate for the full year.
3. The calculation of Earnings per share is based upon the profit after taxation
for the period divided by the weighted average number of ordinary shares in
issue during the period. The weighted average number of shares in issue was
5,524,350 ordinary shares.
4. This interim report will be available from the Company's offices and will be
sent to shareholders by no later than 21 January 2004.
5. Analysis of Deferred liabilities and provisions
As at As at As at
31 October 31 October 30 April
2003 2002 2003
# # #
Finance leases and Hire Purchase 15,924 61,035 34,326
Deferred Taxation 66,000 72,000 66,000
Deferred liabilities and provisions 81,924 133,035 100,326
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