TIDMNTBR
RNS Number : 9598F
Northern Bear Plc
21 July 2021
21 July 2021
Northern Bear PLC
("Northern Bear" or the "Company")
Preliminary results for the year ended 31 March 2021
The board of directors of Northern Bear (the "Board") is pleased
to announce its unaudited preliminary results for the year ended 31
March 2021 for the Company and its subsidiaries (together, the
"Group").
Financial summary
-- Revenue of GBP49.2m (2020: GBP54.4m)
-- Adjusted EBITDA* of GBP2.3m (2020: GBP3.2m)
-- Adjusted operating profit* of GBP1.4m (2020: GBP2.2m)
-- Adjusted basic earnings per share* of 5.5p (2020: 8.7p)
-- Cash generated from operations of GBP3.8m (2020: GBP1.4m)
-- Net cash position at year end of GBP2.1m (2020: net cash of GBP0.2m)
-- Impairment charge in relation to H Peel
-- Results significantly impacted by COVID-19 disruption during H1 FY21
* stated prior to the impact of impairments, amortisation,
transaction and other one-off costs
Steve Roberts, Executive Chairman of Northern Bear,
commented:
"This has been a turbulent year for all companies in our
sectors. Whilst we have obviously experienced severe difficulties
within certain businesses within the Group, others have performed
exceptionally well, particularly in the second half of the
financial year, given the backdrop against which they have had, and
continue, to operate."
"The work of the Executive team and subsidiary management teams
has been outstanding. All of the businesses have managed to control
costs, preserve cash, and maximise the opportunities which were
available during these unprecedented times and despite the
resulting difficulties in working conditions."
For further information contact:
+44 (0) 166
Northern Bear PLC 182 0369
Steve Roberts - Executive Chairman +44 (0) 166
Tom Hayes - Finance Director 182 0369
Strand Hanson Limited (Nominated Adviser
and Broker)
James Harris +44 (0) 20 7409
James Bellman 3494
Chairman's Statement
Introduction
I am pleased to report the results for the year to 31 March 2021
("FY21") for Northern Bear and its subsidiaries (together, the
"Group").
It has been an exceptionally challenging year, due to the impact
of the COVID-19 pandemic, particularly during the six months ended
30 September 2020 ("H1 FY21"), the lengthy uncertainty surrounding
Brexit, and issues which continue to affect construction industry
supply chains.
In light of all of those factors, we are very pleased with the
performance of the Group in FY21.
Trading
The COVID-19 pandemic began to impact our businesses from March
2020 and we took prompt actions to ensure the safety of our
employees, customers, and suppliers, and to manage the Group's cash
resources during the period.
In our interim results for H1 FY21, we noted substantial
disruption to activity levels as a result of COVID-19 (particularly
in the first quarter of FY21) and that we had a strong forward
order book that should be sufficient to support stronger operating
performance in the six month period ended 31 March 2021 ("H2
FY21"), conditional upon a continued ability to fulfil contracts on
site and subject to the uncertainty at that time over the extent of
the second wave of COVID-19 infections and associated
restrictions.
Whilst we have experienced some ongoing disruption from the
severity of the COVID-19 second wave and the other matters
described above, I am pleased to be able to report that Group
adjusted operating profit for H2 FY21 (GBP0.9 million) was slightly
ahead of the corresponding period in FY20 (GBP0.8 million). This
performance is testament to the hard work and commitment of all our
employees, and to the first-class safety procedures which our
safety team have implemented, which have minimised on-site
disruption during the pandemic.
Northern Bear Roofing
Despite on-site restrictions, our Roofing division has performed
well in H2 FY21. Whilst there was some weather-related disruption
in a very wet February, in general there was no repeat of FY20's
severe winter weather.
We are delighted to announce that Keith Muldoon has been
appointed to oversee the Group's Roofing division as part of our
longer-term succession planning. Keith was appointed Managing
Director at Springs Roofing Limited at the time of its acquisition
by the Company in 2006 and has demonstrated outstanding leadership
of that business, particularly in recent years. Matty Rowley has
replaced Keith as Managing Director at Springs Roofing Limited,
having previously served as Operations Director.
Northern Bear Construction
The businesses in our Construction division have seen a more
mixed performance in H2 FY21.
MGM Limited ("MGM"), our specialist construction and
refurbishment business, has performed exceptionally well following
the appointment of Phil Burridge as Managing Director in August
2020 and had an excellent finish to the year. Phil was brought into
MGM to allow Neil Jukes, Managing Director of Northern Bear
Building Services Limited, to focus on the continued development of
that business, where Neil and the team have expanded revenues over
time and are seeing further opportunities for growth.
H. Peel & Sons Limited ("H Peel"), our fit out and interiors
business, continued to experience very challenging trading
conditions in H2 FY21, due to the impact of COVID-19 on its core
hospitality and leisure markets. We recorded an impairment of the
goodwill and intangible assets related to H Peel in our interim
results for H1 FY21. We are cautiously hopeful of an improvement in
H Peel's core markets, and of a resultant improvement in H Peel's
trading, as the current year progresses.
J Lister Electrical Limited ("J Lister"), our electrical
contractor, traded well over the autumn period but has since
experienced COVID-19 related disruption due to the indoor nature of
works, which has impacted profitability for H2 FY21. In light of
current order book levels, we are optimistic that trading at J
Lister will improve significantly in the coming year.
Northern Bear Materials Handling
Our materials handling business, A1 Industrial Trucks Limited
("A1"), has also seen disruption to new truck sales and its ability
to deliver maintenance and service works on site during H2 FY21,
although its long-term hire revenue streams have helped support
this business. We are, again, hopeful of an improvement in trading
at A1 as COVID-19 restrictions are eased moving forward.
Other matters
As in prior years, we have presented amortisation and certain
other adjustments separately within the Consolidated Statement of
Comprehensive Income, in order to provide an indication of
underlying trading performance. The adjustments in the current year
are for the impairment charge related to H Peel, as described
below, and amortisation. Adjustments in the prior year include the
write-back of deferred consideration, transaction costs related to
the acquisition of J Lister and the tender offer in September 2019,
payments to departing employees, and all associated professional
costs. Calculations supporting alternative performance measures are
included in notes 3 and 4 below.
During periods when our businesses were unable to operate on
site, with the consequent furloughing of direct and indirect
employees, we received significant sums from the Government's
Coronavirus Job Retention Scheme. These amounts are shown in other
operating income and total GBP1.5 million (2020: GBPnil). The
majority of the related staff costs are included in cost of sales
and this consequently impacts reported gross margin in the
year.
The element of operating profit before amortisation and other
adjustments contributed by our trading subsidiaries was GBP2.1
million (2020: GBP3.1 million), which was offset by corporate and
central costs of GBP0.7 million (2020: GBP0.9 million). While we
were able to make some savings on corporate and central costs
during the period, this cost is more fixed than variable. Should
future subsidiary profits increase via organic growth or
acquisition, central costs would not be expected to increase
proportionately and this would, therefore, provide some operating
leverage.
Impairment charge
As mentioned above, we recorded an impairment of goodwill,
intangible assets, and related balances of GBP2.8m in our interim
results for H1 FY21. Following this, the Group made a loss for the
year of GBP1.8 million (2020: GBP1.5m profit for the year).
The impairment charge relates to H Peel, our fit out and
interiors business. H Peel has seen a major impact on its core
hospitality and leisure markets due to COVID-19 restrictions and,
as a result, has experienced a very challenging trading period.
We had noted in our annual report and financial statements for
the year ended 31 March 2020 that, should trading performance not
improve at H Peel, it was likely that a goodwill impairment would
need to be booked in future years. At that point in time, the
COVID-19 impact was still relatively low and we were hopeful of a
recovery in trading. However, given the situation has since
worsened and we have seen the impact of continued restrictions on
the hospitality and leisure sector, it seems there is no certainty
over how quickly that sector and, therefore, H Peel's trading will
recover, so we considered it prudent to record this impairment in
our interim report for H1 FY21.
The management team at H Peel continue to make every effort to
explore new markets and we expect them to be well positioned to
benefit from any recovery in their core sectors in due course.
Goodwill is a non-cash accounting estimate which arises on
acquisition of subsidiaries. It should be noted that the carrying
value of goodwill included estimated consideration payable during a
three year earn-out period. The majority of the proposed earn-out
was neither achieved nor paid.
Cash flow and bank facilities
The Group had a substantial net cash position (defined as cash
balances less revolving credit facility) of GBP2.1 million at 31
March 2021 (GBP0.2 million at 31 March 2020). Cash generated from
operations during the year was GBP3.8 million (2020: GBP1.4
million), following some favourable working capital swings in the
year. These have, to an extent, reversed post year-end although the
Group's financial position remains strong.
As we have emphasised in previous years' results, our net
cash/bank debt position represents a snapshot at a particular point
in time and can move by up to GBP1.5 million in a matter of days,
given the nature, size and variety of contracts that we work on and
the related working capital balances.
The lowest position during the year was GBP1.1 million net bank
debt, the highest was GBP2.2 million net cash, and the average was
GBP0.2 million net cash.
We have made limited use of our committed GBP1 million overdraft
and GBP3.5 million revolving credit facility in H2 FY21. While the
Group's working capital requirements will continue to vary
depending on the ongoing customer and contract mix, we believe that
our financial position and committed bank facilities provide us
with ample cash resources for the Group's strategic and operational
requirements.
Growth initiatives
We have challenged our subsidiary management teams during the
year to consider what opportunities there are to expand their
businesses over the medium term, notwithstanding the exceptionally
challenging trading conditions during FY21. This could include a
degree of geographic expansion and/or the opportunity to broaden
their product and service offerings. I would like to cover two
examples of this below.
A1 Industrial Trucks
A1 has seen significant disruption from COVID-19 restrictions
but we are backing Stuart Dawson, who has performed very well since
his appointment as MD in December 2018, to oversee a recovery and
future growth in the business. We are seeking to expand the
business via both geographical expansion and by adding additional
types of plant and machinery to complement the existing revenue
streams.
To support Stuart in this new venture we are looking into the
possibility of moving A1 into new, larger premises, in order to
provide capacity for expansion.
J Lister Electrical
I am delighted that J Lister Electrical recently succeeded in
gaining BAFE 'Installation of Fire Detection and Alarm Systems'
accreditation as well as retaining FIA (Fire Industry Association)
membership. BAFE is the independent registration body for Third
Party Certificated fire safety service providers across the UK and
a national independent register of quality fire safety
companies.
This accreditation allows us to work with companies in the fire
alarm industry as a third-party installer where BAFE certification
is required as well as complete our own installation work. I would
like to congratulate Nigel Shorney (MD) and Kevin Baxter (Fire
Division Manager) on their hard work in securing this
accreditation.
Supply Chain and Outlook
It has been well documented in the media that there have been
industry-wide challenges in recent months with both availability
and price inflation for construction materials. Our companies have
strong and well-established customer and supplier relationships and
have been able, on the whole, to work with both groups to ensure
continuity of supply for contracts and to pass on cost increases
where possible.
We have seen some impact from this on our results, mainly in our
Northern Bear Roofing division, and expect this situation could
provide a short term headwind to operations until industry supply
and demand revert to more typical levels.
Our forward order book remains strong and should support our
trading performance in the coming months, subject to potential
supply chain challenges and the business-specific considerations
noted in the trading statement above, and whilst there remains a
level of uncertainty over the long-term outlook for COVID-19.
We regularly report that the timing of Group turnover and
profitability is difficult to predict despite the continued strong
order book, and our results can also be volatile on a month to
month basis. This is the principal reason we consider that having
publicly available broker forecasts for the Group would be of
limited value. We have provided several trading updates in the past
year, and will continue to update shareholders of any material
changes in trading in between our interim and final results in each
year.
Dividend
As noted above, we received significant sums from the
Government's Coronavirus Job Retention Scheme during FY21. This,
together with our asking non-furloughed staff to take temporary pay
reductions across the Group, means that, on balance we do not
consider it appropriate to return capital to shareholders via a
final dividend for the year ended 31 March 2021.
I would note that we have the cash resources available to pay a
final dividend commensurable with the year ended 31 March 2019
(3.25p final dividend per share), should it have been deemed
appropriate.
Should trading continue to improve, and subject, inter alia, to
the ongoing cash requirements and general outlook for the Group,
our intention is to resume dividend payments in respect of the year
ending 31 March 2022.
The Board will continue to assess dividend levels generally and
our intention for the longer term remains to adjust future
dividends in line with the Group's relative performance, after
taking into account the Group's available cash, working capital
requirements, corporate opportunities, debt obligations, and the
macro-economic environment at the relevant time.
Strategy
We continue to seek acquisitions of established specialist
building services businesses, either in the same or complementary
sectors to our current operations. Our main criteria are that a
business is well-established in its sector, has a consistent track
record of profitability and cash generation and has a strong
management team who are committed to remaining with the business.
Any potential acquisition would, in addition, need to be earnings
accretive and provide an acceptable return on investment.
People
Ian McLean
It was with profound sadness that we had to announce in February
that our colleague and friend, Ian McLean, a Non-Executive Director
of the Company, had passed away following a short illness. I would
once again like to extend our deepest sympathies to his wife,
Lesley, and all his family and friends.
Ian was part of the broking team which originally helped
Northern Bear to obtain its listing on AIM and subsequently joined
the Board in November 2008. Ian helped to guide the Group through
difficult circumstances following his appointment, including a
severe recession and a major restructuring process, and his
continued involvement and support proved invaluable in recent
years.
John Holroyd
John Holroyd joined us as a Non-Executive Director in January
2021. John is both a Chartered Accountant and Chartered Tax Adviser
and has substantial experience in the professional services
industry, providing advisory services to a wide range of corporate
and public sector bodies. John also has an excellent network of
contacts in the business community in the North of England and has
previously supported, as a consultant, on acquisition search,
including for J Lister Electrical (which we acquired in January
2020). I would like to welcome John to the Board and look forward
to working with him over the coming years.
Simon Anderson
We also strengthened the Group's risk processes with the
appointment of Simon Anderson as the Group's Risk and Legal
Consultant in March 2021. Simon has extensive experience in the
construction sector and was previously a partner in a construction
law team at one of the North's leading firms. Simon's role will be
to work closely with the individual businesses on general and
specific risk issues and oversee the contractual legal requirements
of the Group. I am delighted that Simon has agreed to join Northern
Bear in this newly created role. His pragmatic skill set will
undoubtedly benefit the Group as we look to deal proactively with
our valued clients, current and future, in relation to risk and
contract related matters.
Our workforce
As always, our loyal, dedicated, and skilled workforce is a key
part of our success and we make every effort to both retain and
protect them through continued training and health and safety
compliance, supported by our health and safety advisory business,
Northern Bear Safety Limited.
Conclusion
I am pleased with the Group's results for the year in light of
the unprecedented impact of the COVID-19 pandemic and the other
challenges facing our industry.
I would like to once again thank all of our employees for their
hard work and their commitment during what has been an
exceptionally challenging year.
Steve Roberts
Executive Chairman
21 July 2021
Consolidated statement of comprehensive income
for the year ended 31 March 2021
2021 2020
GBP000 GBP000
Revenue 49,182 54,421
Cost of sales (40,726) (43,545)
--------- ---------
Gross profit 8,456 10,876
Other operating income 1,549 25
Administrative expenses (8,640) (8,682)
------------------------------------------------ --------- ---------
Operating profit (before amortisation
and other adjustments) 1,365 2,219
Transaction and other one-off costs - (264)
Deferred consideration adjustments - 277
Impairment charge (2,807) -
Amortisation of intangible assets arising
on acquisitions (13) (155)
------------------------------------------------ --------- ---------
Operating (loss)/profit (1,455) 2,077
Finance costs (176) (229)
--------- ---------
(Loss)/profit before income tax (1,631) 1,848
Income tax expense (162) (360)
--------- ---------
(Loss)/profit for the year (1,793) 1,488
--------- ---------
Total comprehensive income attributable
to equity holders of the parent (1,793) 1,488
========= =========
Earnings per share from continuing operations
Basic (loss)/earnings per share (9.6)p 8.0p
Diluted (loss)/earnings per share (9.6)p 8.0p
--------- ---------
Consolidated balance sheet
at 31 March 2021
2021 2020
GBP000 GBP000
Assets
Property, plant and equipment 3,596 3,213
Right of use asset 1,094 1,132
Intangible assets 18,044 20,923
Trade and other receivables 872 1,063
Total non-current assets 23,606 26,331
-------- --------
Inventories 974 1,007
Trade and other receivables 9,843 8,218
Cash and cash equivalents 2,114 3,658
-------- --------
Total current assets 12,931 12,883
-------- --------
Total assets 36,537 39,214
======== ========
Equity
Share capital 190 190
Capital redemption reserve 6 6
Share premium 5,169 5,169
Merger reserve 9,703 9,703
Retained earnings 7,218 9,011
-------- --------
Total equity attributable to equity holders
of the Company 22,286 24,079
-------- --------
Liabilities
Loans and borrowings - 3,500
Deferred consideration - 50
Trade and other payables 122 88
Lease liabilities 1,039 1,072
Deferred tax liabilities 487 354
-------- --------
Total non-current liabilities 1,648 5,064
-------- --------
Loans and borrowings 28 31
Deferred consideration 50 50
Trade and other payables 11,936 9,103
Lease liabilities 533 549
Current tax payable 56 338
-------- --------
Total current liabilities 12,603 10,071
-------- --------
Total liabilities 14,251 15,135
-------- --------
Total equity and liabilities 36,537 39,214
======== ========
Consolidated statement of changes in equity
for the year ended 31 March 2021
Share Capital Share Merger Retained Total
capital redemption premium reserve earnings equity
reserve
GBP000 GBP000 GBP000 GBP000 GBP000 GBP000
At 1 April 2019 189 6 5,169 9,605 8,277 23,246
Effect of adoption of IFRS
16 - - - - (18) (18)
-------- ----------- -------- -------- --------- --------
At 1 April 2019 (adjusted) 189 6 5,169 9,605 8,259 23,228
Total comprehensive income
for the year
Profit for the year - - - - 1,488 1,488
Transactions with owners,
recorded directly in equity
Issue of shares 1 - - - - 1
Exercise of share options - - - - 5 5
Equity dividends paid - - - - (741) (741)
Merger reserve arising on
acquisition - - - 98 - 98
At 31 March 2020 190 6 5,169 9,703 9,011 24,079
-------- ----------- -------- -------- --------- --------
At 1 April 2020 190 6 5,169 9,703 9,011 24,079
Total comprehensive income
for the year
Loss for the year - - - - (1,793) (1,793)
At 31 March 2021 190 6 5,169 9,703 7,218 22,286
======== =========== ======== ======== ========= ========
Consolidated statement of cash flows
for the year ended 31 March 2021
2021 2020
GBP000 GBP000
Cash flows from operating activities
Operating (loss)/profit for the year (1,455) 2,077
Adjustments for:
Depreciation of property, plant and equipment 600 570
Depreciation of lease asset 373 367
Amortisation 13 155
Impairment charge 2,807 -
Loss on sale of property, plant and equipment - 1
Deferred consideration adjustments - (277)
--------- -------
2,338 2,893
Change in inventories 33 (275)
Change in trade and other receivables (1,434) 1,039
Change in trade and other payables 2,867 (2,215)
--------- -------
Cash generated from operations 3,804 1,442
Interest paid (176) (202)
Tax paid (252) (485)
--------- -------
Net cash flow from operating activities 3,376 755
--------- -------
Cash flows from investing activities
Proceeds from sale of property, plant
and equipment 420 671
Acquisition of property, plant and equipment (1,200) (1,156)
Acquisition of subsidiary (net of cash
acquired) (50) (876)
-------
Net cash from investing activities (830) (1,361)
--------- -------
Cash flows from financing activities
(Repayment)/issue of borrowings (3,503) 2,513
Repayment of lease liabilities (587) (551)
Proceeds from the exercise of share options - 5
Equity dividends paid - (741)
--------- -------
Net cash from financing activities (4,090) 1,226
--------- -------
Net (decrease)/increase in cash and cash
equivalents (1,544) 620
Cash and cash equivalents at start of
year 3,658 3,038
--------- -------
Cash and cash equivalents at end of year 2,114 3,658
========= =======
Notes
1 Basis of preparation
This announcement has been prepared in accordance with the
Company's accounting policies, which in turn are in accordance with
International Financial Reporting Standards ("IFRS") as adopted by
the European Union ("EU") applied in accordance with the provisions
of the Companies Act 2006. IFRS is subject to amendment and
interpretation by the International Accounting Standards Board
("IASB") and the IFRS Interpretations Committee and there is an
on-going process of review and endorsement by the European
Commission. The accounting policies comply with each IFRS that is
mandatory for the financial year ended 31 March 2021.
The following standards, amendments and interpretations, which
became effective for the first time, were adopted by the Group for
the financial year ended 31 March 2021:
-- Conceptual Framework (Revised) and amendments to related
references in IFRS Standards - effective date on or after 1 January
2020;
-- IFRS 9 Financial Instruments, IAS 39 Financial Instruments:
Recognition and Measurement and IFRS 7 Financial Instruments:
Disclosures (Amendments): Interest Rate Benchmark Reform (effective
date for periods starting on or after 1 January 2020);
-- IFRS 3 Business Combinations (Amendment): Definition of a
Business (effective date for periods starting on or after 1 January
2020); and
-- Amendments to IAS 1 and IAS 8: Definition of Material
The adoption of the above standards and interpretations has not
had a significant impact on the Group's results for the year or
equity.
For the purposes of their assessment of the appropriateness of
the preparation of the Group's accounts on a going concern basis,
the directors have considered the current cash position and
forecasts of future trading including working capital and
investment requirements.
The Group's forecasts and projections, taking account of
reasonable possible changes in trading performance, show that the
Group and the Company should have sufficient cash resources to meet
its requirements for at least the next 12 months. Accordingly, the
adoption of the going concern basis in preparing the financial
statements remains appropriate.
2 Status of financial information
The financial information set out above does not constitute the
Company's financial statements for the years ended 31 March 2021 or
31 March 2020.
The financial information for the year ended 31 March 2020 is
derived from the financial statements for that year, which have
been delivered to the Registrar of Companies. The auditor has
reported on the 2020 financial statements; their report was i)
unqualified, ii) did not include references to any matters to which
the auditors drew attention by way of emphasis, without qualifying
their report, and iii) did not contain a statement under section
498(2) or (3) of the Companies Act 2006.
The financial statements for 2021 will be finalised on the basis
of the financial information presented by the Directors in this
preliminary announcement and will be delivered to the Registrar of
Companies following the Company's Annual General Meeting. The
results are unaudited; however, we do not expect there to be any
difference between the numbers presented and those within the
annual report.
3 Alternative performance measures
The Group uses Adjusted Operating Profit, Adjusted EBITDA, and
Adjusted EPS as supplemental measures of the Group's profitability,
in addition to measures defined under IFRS. The directors consider
these useful due to the exclusion of specific items that could
impact a comparison of the Group's underlying profitability, and is
aware that shareholders use these measures to assist in evaluating
performance.
The adjusting items for the alternative measures of profit are
either recurring but non-cash charges (amortisation of acquired
intangible assets), one-off non-cash items (impairment charges and
adjustments to contingent deferred consideration), or one-off
exceptional items (transaction costs and payments to departing
employees).
Adjusted operating profit is calculated as below:
2021 2020
GBP'000 GBP'000
Operating (loss)/profit (as reported) (1,455) 2,077
Transaction and other one-off costs - 264
Deferred consideration adjustments - (277)
Impairment charge 2,807 -
Amortisation of intangible assets arising on
acquisitions 13 155
Adjusted operating profit 1,365 2,219
-------- --------
Adjusted EBITDA is calculated as below:
2021 2020
GBP'000 GBP'000
Adjusted operating profit (as above) 1,365 2,219
Depreciation of property, plant and equipment 600 570
Depreciation of lease asset 373 367
Adjusted EBITDA 2,338 3,156
-------- --------
Adjusted basic and diluted earnings per share is presented in
note 4 below.
4 Earnings per share
Basic earnings per share is the profit or loss for the year
divided by the weighted average number of ordinary shares
outstanding, excluding those in treasury, calculated as
follows:
2021 2020
(Loss)/profit for the year (GBP000) (1,793) 1,488
Weighted average number of ordinary shares
excluding shares held in treasury for the proportion
of the year held in treasury ('000) 18,665 18,548
-------- --------
Basic (loss)/earnings per share (9.6)p 8.0p
The calculation of diluted earnings per share is the profit or
loss for the year divided by the weighted average number of
ordinary shares outstanding, after adjustment for the effects of
all potential dilutive ordinary shares, excluding those in
treasury, calculated as follows:
2021 2020
(Loss)/profit for the year (GBP000) (1,793) 1,488
-------- --------
Weighted average number of ordinary shares
excluding shares held in treasury for the proportion
of the year held in treasury ('000) 18,665 18,548
Effect of potential dilutive ordinary shares
('000) 43 57
-------- --------
Diluted weighted average number of ordinary
shares excluding shares held in treasury for
the proportion of the year held in treasury
('000) 18,708 18,605
-------- --------
Diluted (loss)/earnings per share (9.6)p 8.0p
-------- --------
The following additional earnings per share figures are
presented as the directors believe they provide a better
understanding of the trading performance of the Group.
Adjusted basic and diluted earnings per share is the profit or
loss for the year, adjusted for impairment charges, acquisition
related items and transaction and other one-off costs, divided by
the weighted average number of ordinary shares outstanding as
presented above.
Adjusted earnings per share is calculated as follows:
2021 2020
(Loss)/profit for the year (GBP000) (1,793) 1,488
Impairment charge 2,807 -
Transaction and other one-off costs - 264
Deferred consideration adjustments - (277)
Amortisation of intangible assets arising on
acquisitions 13 155
Unwinding of discount on deferred consideration
liabilities - 28
Corporation tax effect of above items - (50)
-------- --------
Adjusted profit for the year (GBP000) 1,027 1,608
Weighted average number of ordinary shares
excluding shares held in treasury for the proportion
of the year held in treasury ('000) 18,665 18,548
-------- --------
Adjusted basic earnings per share 5.5p 8.7p
Adjusted diluted earnings per share 5.5p 8.6p
-------- --------
5 Other operating income
2021 2020
GBP'000 GBP'000
Coronavirus Job Retention Scheme receipts 1,460 -
Grants received 65 -
Rental income 24 25
-------- --------
1,549 25
-------- --------
6 Finance costs
2021 2020
GBP'000 GBP'000
On bank loans and overdrafts 97 114
Finance charges on lease liabilities 79 87
Unwinding of discount on deferred consideration
liabilities - 28
-------- --------
176 229
-------- --------
7 Loans and borrowings
2021 2020
GBP'000 GBP'000
Non-current liabilities
Secured bank loans - 3,500
Other loans - -
-------- --------
- 3,500
-------- --------
Current liabilities
Other loans 28 31
-------- --------
28 31
-------- --------
The Group retains a GBP3.5 million revolving credit facility and
a GBP1.0 million overdraft facility, both with Yorkshire Bank, for
working capital purposes.
As at 31 March 2021 a total of GBPnil (2020: GBP3.5 million) was
drawn down on the revolving credit facility, providing a net cash
figure at 31 March 2021 of GBP2.1 million (2020: GBP0.2 million)
after offsetting cash and cash equivalents of GBP2.1 million (2020:
GBP3.7 million).
The revolving credit facility was renewed on 19 March 2020 and
is committed until 31 May 2023. The overdraft facility was last
renewed on 8 June 2021 and is next due for routine review and
renewal on 31 May 2022.
8 Availability of financial statements
The Group's Annual Report and Financial Statements for the year
ended 31 March 2021 are expected to be approved by 28 July 2021 and
will be posted to shareholders during the week commencing 26 July
2021. Further copies will be available to download on the Company's
website at: http://www.northernbearplc.com/ . It is intended that
the Annual General Meeting will take place at the Company's
registered office, A1 Grainger, Prestwick Park, Prestwick,
Newcastle upon Tyne, NE20 9SJ, at 10:00am on 24 August 2021.
The information contained within this announcement is deemed by
the Company to constitute inside information as stipulated under
the Market Abuse Regulation (EU) No. 596/2014 as it forms part of
United Kingdom domestic law by virtue of the European Union
(Withdrawal) Act 2018.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
FR GRGDRRBDDGBB
(END) Dow Jones Newswires
July 21, 2021 03:21 ET (07:21 GMT)
Northern Bear (LSE:NTBR)
Historical Stock Chart
From Aug 2024 to Sep 2024
Northern Bear (LSE:NTBR)
Historical Stock Chart
From Sep 2023 to Sep 2024