TIDMSGI
RNS Number : 7911L
Stanley Gibbons Group PLC
05 August 2011
THE STANLEY GIBBONS GROUP PLC
FOR IMMEDIATE RELEASE 5 August 2011
THE STANLEY GIBBONS GROUP PLC ("the Company" or "the Group")
Interim Results for the six months ended 30 June 2011
The Company today announces its interim results for the six
months ended 30 June 2011.
Key Financial Highlights
-- Sales of GBP15.0m (2010: GBP11.9m) up 25%
-- Adjusted profit before tax, before exceptional charges, of
GBP1.8m (2010: GBP1.6m), up 12%
-- Adjusted earnings per share of 6.18p (2010: 5.58p), up
11%
-- Interim dividend declared of 2.50p per share (2010: 2.25p),
up 11%, (payable on 26 September 2011 to all holders on the
Register at the close of business on 19 August 2011)
-- Cash generated from operating activities of GBP0.9m (2010:
GBP0.8m) after an increased investment of GBP0.9m (2010: GBP1.3m)
in quality rare stamps to support second half growth
Outlook
-- Online trading platform scheduled for launch in late 2011
-- Opening a new office in Hong Kong, being the primary location
for Chinese philatelic dealing, in September
-- Following the excellent sales performance of our investment
office in Jersey, we are moving to larger premises on the Island in
August. The increased gallery space available will enable us to
display the range of our exceptional quality collectibles and to
promote brand and our investment services more professionally
-- Meetings scheduled with potential trading partners in the US
in September
-- Specialist expertise acquired in the first half enabling us
to offer rare coins, commemorative medals and military medals
Martin Bralsford, Non-Executive Chairman, commented:
"We continue to invest in IT systems and recruitment of key
management. Growth achieved in the first half was delivered as well
as ongoing investment for future growth.
Prevailing economic instability, together with inflationary
concerns and low interest rates globally, is expected to result in
continued demand for our investment services in top quality rare
collectibles as a means of diversifying, protecting and growing
wealth."
For further information, contact:
The Stanley Gibbons Group plc
Michael Hall, Chief Executive +44 (0) 1534 766711
Peel Hunt LLP, NOMAD/Broker
Dan Webster/Daniel Harris/Matthew Armitt +44 (0) 20 7418
8900
Chairman's Statement
Introduction
The Group's trading performance for the six months ended 30 June
2011 was in line with the Board's expectations showing solid growth
in both sales and profits. The Group has made considerable progress
towards its strategic goals, most notably in the launch of the
principal components of the new www.stanleygibbons.com website at
the end of May, diversification into other collectibles categories
and development of sales opportunities in China.
Financials
Turnover for the half year to 30 June 2011 was GBP15m, over 25%
up on the prior period and profit before tax was GBP1.7m, up 5%.
Underlying profit before tax, excluding one off exceptional charges
incurred in the rationalisation of our Publishing division, was
GBP1.8m, up 12%.
Earnings per share were 5.88p (2010: 5.58p), representing an
increase of 5%. Adjusted earnings per share, excluding exceptional
costs, were 6.18p, up 11%, a better measure of progress in on-going
trading.
Dividend
Your Board is pleased to declare an increase in the interim
dividend of 11% to 2.50p (2010: 2.25p) per share, payable on 26
September 2011 to holders of Ordinary Shares on the Register at the
close of business on the record date of 19 August 2011. The Board
maintains its progressive policy on the dividend, which is covered
2.4 times by earnings in the first half.
The Company paid a final dividend of 3.25p per share in respect
of the year ended 31 December 2010, on 16 May 2011.
Outlook
Development of online philatelic trading community
We have completed the first steps in providing an online service
to the 60 million stamp collectors in the world, which ultimately
will give collectors the opportunity to:
-- Use our online services as the largest source of available
philatelic knowledge and real-time pricing information
-- Source items from the widest range of stamps and philatelic
accessories available in the world
-- Build and manage their own personal collections online
-- Network with fellow collectors online
We now have our extensive stockholding of lower value stamps
available to purchase online for the first time using this cost
effective distribution channel. The online trading platform is
scheduled for launch in late 2011.
Penetration into new overseas markets
We have made considerable progress in our efforts to enter the
highly attractive market in the Far East and in September 2011 we
are opening a new office in Hong Kong, being the primary location
for Chinese region philatelic dealing.
The Hong Kong office will place Stanley Gibbons in a strong
position to develop buying channels for rare Chinese stamps to
satisfy increased market demand both in Britain and in Asia. The
office will also provide a base to build further on the existing
trading relationships developed in the region over the past year.
We recently launched the "China Rarities Index", which tracks the
change in prices of a representative "basket" of rare Chinese
stamps. The index shows average annual growth of 44% between
November 2006 and April 2011.
Following the excellent sales performance of our investment
office in Jersey, we are moving to larger premises on the Island in
August. The increased gallery space available will enable us to
display the range of our exceptional quality collectibles and to
promote brand and our investment services more professionally.
Our Chief Executive has scheduled meetings with potential
trading partners in the US in September, with the aim of
identifying business opportunities there. The US is the biggest
collectibles market in the world and our objectives are similar to
the Far East to obtain the necessary specialist expertise to trade
in rare US stamps and to gain distribution into the US market.
Diversification into other collectibles
We recently acquired the necessary specialist expertise to start
to offer rare coins, commemorative medals and military medals.
These classes of collectibles are compatible with our current
offerings and have similar attributes. We intend to develop sales
further in these areas in the second half, although remain cautious
to ensure that we only trade within our sphere of confidence.
Provision of investment services in collectibles as an
alternative asset class
Our aim is to become the world's leading provider of investment
services in collectibles as an alternative asset class. We have
successfully developed sales of high value rare collectibles as a
direct investment in a tangible asset in recent years. Prevailing
economic instability, together with inflationary concerns and low
interest rates globally, is expected to result in continued demand
for our investment services in top quality rare collectibles as a
means of diversifying, protecting and growing wealth.
We continue to work with a third party distributor on the
potential launch of a rare stamp investment fund.
People
We have made some important recent appointments to the
management team to support the implementation of our strategy. I am
delighted to welcome Richard Watkins to the team as Head of
Auctions and Wayne Elliot as Retail Manager of our flagship store
at 399 Strand. Additionally, as part of the re-organisation of our
Publishing division in April, I also welcome Robert Swain, who has
been appointed as Publisher.
Our executive team is strengthened through the appointment of
Tony Grodecki (Managing Director of the Benham Group) as Business
Development Director, with particular focus in the short term on
development of opportunities in China and the Far East.
Martin Bralsford
Chairman
4 August 2011
Operating Review
6 months 6 months 6 months 6 months Year ended
to 30 to 30 to 30 to 30 31 Year ended
June June June June December 31 December
2011 2011 2010 2010 2010 2010
Sales Profit Sales Profit Sales Profit
GBP000 GBP000 GBP000 GBP000 GBP000 GBP000
Philatelic
trading and
retail
operations 11,193 2,130 9,148 1,845 19,422 4,621
Publishing
and
philatelic
accessories 1,265 202 1,380 233 3,146 672
Dealing in
other
collectibles 2,472 476 1,367 440 3,820 1,082
14,930 2,808 11,895 2,518 26,388 6,375
Internet
development 21 (40) 20 (29) 41 (24)
Corporate
overheads - (1,019) - (937) - (1,914)
Interest and
similar
income
(net) - 6 - 18 - 17
------------- -------- -------- -------- -------- ---------- -----------
Before
exceptional
items 14,951 1,755 11,915 1,570 26,429 4,454
------------- -------- -------- -------- -------- ---------- -----------
Exceptional
operating
costs - (105) - - - (150)
------------- -------- -------- -------- -------- ---------- -----------
Group total
sales and
profit
before tax 14,951 1,650 11,915 1,570 26,429 4,304
------------- -------- -------- -------- -------- ---------- -----------
Overview
Group turnover for the six months ended 30 June 2011 increased
by GBP3m (25%) compared to the same period last year. The profit
before tax for the period of GBP1.7m represented an increase of 5%.
Earnings per share were 5.88p (2010: 5.58p), up 5%. Adjusted profit
before tax, when excluding one-off and non-recurring charges in
respect of the rationalisation of our Publishing division, was up
GBP0.2m (12%) and adjusted earnings per share were 6.18p, up
11%.
The key contributors to sales growth in the period were:
-- Sales contribution from the Benham Group acquired in
September last year of GBP1.4m
-- Trade sales GBP0.8m higher from stronger networking within
our industry and building of mutually beneficial trading
relationships in the period
-- Acquisition and sale of rare stamps from China in period of
GBP0.7m
-- Sales of GB stamps and other collectibles to Chinese market
through trade distributor of GBP0.5m
-- Successful diversification and sale of rare coins of
GBP0.4m
The above positive factors were offset to some extent by a
decline of GBP0.7m in the sale of high value autographs and items
of historical importance compared to the prior period. This was
primarily the result of marketing focus being diverted towards new
product offerings, particularly rare coins and Chinese stamps,
together with a lack of available items of investment merit coming
onto the market during the period.
The gross margin percentage for the six months ended 30 June
2011 was 37.9% compared to 40.6% in the same period last year. The
decline in gross margin percentage reported compared to the prior
period was impacted by lower gross margins on a higher level of
trade sales in the period. Furthermore, the sales mix in the period
was more towards lower margin products.
Overheads were GBP0.6m (19%) higher than the prior period.
Overheads attributable to the recent acquisition of the Benham
Group were GBP0.4m. On a like-for like basis, overheads were
GBP0.2m (6%) up on the prior period. Overhead increases primarily
related to higher IT costs in support of the website development
and depreciation charges in respect of the 399 Strand capital
refurbishment costs.
Philatelic Trading and Retail Operations
Philatelic trading and retail sales were GBP2m (22%) higher than
the same period last year with profit contribution up by 15%.
Increased trade sales and sales of rare Chinese stamps, primarily
to investment clients, were the primary contributors to growth in
the first half of 2011.
Specialist stamp sales to collectors, excluding trade sales,
were up by 13% benefiting from the sale of GBP0.2m "fine used"
penny blacks to the Chinese market. Sales to investment clients
were up by 17% in the period highlighting the growing acceptance of
collectibles as an alternative asset class and the continued
success of our international and online marketing campaigns to
recruit new high net worth clients.
Retail sales from 399 Strand were up 21% compared to the prior
period. Sales in the prior period were however impacted by the
disruption during the substantial refurbishment works undertaken in
the first quarter last year.
Auction revenues were broadly flat against the prior period,
although, as a comparative, our June Public Auction last year was
particularly strong. Recent high profile auctions have highlighted
that the stamp market remains buoyant with new high net worth
collectors from overseas entering the market. The market for
Chinese and Indian stamps, in particular, continues to show
extraordinary realisations at auction with realisations being
achieved at up to 10 times auction estimates.
Publishing and Philatelic Accessories
Publishing and philatelic accessory sales were GBP0.1m (8%)
lower and profit contribution was down by 13%. We completed a
rationalisation programme in April in our Publishing division,
which will improve profit contribution from this part of our
business going forward.
Sales benefited in the prior period from a stronger publishing
schedule, together with the increased sales at the London 2010
Stamp Exhibition. Distractions during the restructuring this year
disrupted the publishing schedule resulting in some titles being
delayed, which will provide a benefit when they are published in
the second half. Furthermore, a number of our key annual titles are
scheduled for publication earlier this year including some new
popular titles, providing a much stronger publishing schedule in
the second half.
The restructured team is now better focussed on the key elements
of the strategy to delivering a stronger performance in our
Publishing division. Short-term initiatives underway, which we
expect to benefit the second half performance include:
-- Thorough review of print costs and tendering process to a
wider range of potential suppliers
-- Improved online sales through utilisation of the
functionality of the new website enabling better management of
regular special offers, e-mail campaigns and search engine
optimisation to drive increased traffic to site
-- Development of wider network of sales agents overseas to
improve international distribution of our titles (recently
appointed new agent in the US, with an initial order received of
GBP0.06m)
-- Development of online publishing opportunities
Dealing in Other Collectibles
Sales of other collectibles were GBP1.1m (81%) higher, although
profit contribution was up by only 8%. The lower level of profit
growth compared to the growth in sales reflects a change in the mix
of sales to lower margin products compared to the prior period.
We have made substantial progress in the development of our
strategy to diversify into other collectibles. Our range of
collectibles where we have developed the internal expertise either
through recruitment of specialised staff or through acquisition
include, primarily:
-- Celebrity signatures and memorabilia
-- Historical documents and iconic signatures
-- First day covers
-- Rare coins and commemorative medals
-- Military medals
-- Rare vinyl records
The acquisition of the Benham Group in September last year for
GBP1.5m is delivering a strong return on our investment, generating
sales of GBP1.4m (including GBP0.3m of product sales into the
Chinese market) and a profit contribution of GBP0.3m in the first
half. Performance in the period benefited from the sale of Royal
Wedding commemorative collectibles, although sales were lower than
we had initially anticipated. The primary benefit however is in the
recruitment of new clients for our continuity programmes from our
Royal Wedding marketing campaigns, which provide a long term
benefit to the business.
Autographs, historical documents, memorabilia and record sales
and profit contribution were substantially lower than in the prior
period. Sales to collectors and trade clients were however up 44%
in the period benefiting from the launch of the new
www.frasersautographs.com website in February and a consequent
improvement in responses from our e-mail marketing campaigns.
Sales to investors and high net worth clients of historical
documents and signatures were however minimal in the period as
marketing focus was directed towards other product offerings.
Fundamentally, there were few opportunities in the period to
acquire the kind of exceptional pieces we would offer to investors,
although we aim to source appropriate pieces in the second half
from our international buying trips to recover the current
shortfall.
We recently engaged one of the UK's most respected and
experienced specialists in the buying and selling of coins. This
has enabled us to source top quality rare coins to offer to our
investment clients as a means of further diversification. Initial
responses to our marketing communications have been encouraging
with sales generated in the first half of GBP0.4m, representing the
majority of the stock we had acquired for this purpose.
Internet Development
Sales reported within this department relate to online
subscription revenue only. Online sales represented 4% of revenue
and were 10% down on the prior period, when excluding investment
sales. Sales from www.frasersautographs.com were however up 13%
benefiting from the launch of the redesigned website in February
2011. Sales from www.stanleygibbons.com were down 14% in the
period, partly the result of disruptions to service during the
website development process. The new website was launched at the
end of May 2011 and the growth in sales and visitor numbers since
re-launch to date are encouraging.
Corporate Overheads
Corporate overheads were GBP0.1m (9%) higher than the same
period last year, representing primarily higher IT resource and web
development costs in support of our website development projects.
The return from this investment is expected to begin to materialise
in the second half of this year.
Corporate overheads include accounting charges in respect of our
defined benefit pension scheme of GBP0.06m (2010: GBP0.04m) and
IFRS share option charges of GBP0.05m (2010: GBP0.05m).
Cashflow
Cash generated from operating activities of GBP0.9m (2010:
GBP0.8m) is net of an increased investment in our stockholding of
GBP0.9m (2010: GBP1.3m). A number of exceptional buying
opportunities became available in June including the acquisition of
a top quality GB stamp collection. Recent acquisitions represent
primarily material in areas of high demand.
The reduction in cash during the period of GBP0.6m (2010:
GBP1.3m) reflects dividends paid of GBP0.8m, tax paid of GBP0.3m
and capital expenditure of GBP0.2m.
Strategic Focus and Opportunities
The first half saw some notable building blocks being put in
place to support future growth, particularly with the further
enhancements we have made to our senior management team and the
launch of the principal components of our new website at the end of
May. We will also be able to develop further sales in the new areas
of collectibles where we have acquired the necessary specialist
expertise, primarily in rare coins, commemorative medals and
military medals and decorations.
In terms of our geographical expansion plans, we will be
focussing most of our attention in the second half on the opening
of our new office in Hong Kong and are attending a major stamp
exhibition there in August to begin promotion of our products and
services. One of our senior specialist staff is being seconded to
the Hong Kong office on opening in September and we are actively
looking to recruit bi-lingual philatelic staff locally in the
region. We are also reviewing options regarding the opening of an
investment office in Switzerland, although our initial research has
not yet produced any immediate obvious opportunities for us.
The development of the online trading platform remains the most
important priority and we are currently reviewing resource
requirements to accelerate the delivery of what is our most
important strategic project with the potential to deliver
transformational levels of new business in the future. The new
website already provides opportunities to grow online revenues,
with a substantial uplift in sales in this respect being
experienced in the month of July.
We enter the second half of the year excited about the
opportunities we are working on and remain assured about the long
term strength of the collectibles market. On this basis, we feel
confident in our ability to deliver continued growth to
Shareholders in the second half of this trading year and
beyond.
Michael Hall
Chief Executive
4 August 2011
Condensed statement of comprehensive income
6 months
6 months to to Year ended
30 June 30 June 31 December
2011 2010 2010
(unaudited) (unaudited) (audited)
Notes GBP'000 GBP'000 GBP'000
----------- ----------- -----------
Revenue 3 14,951 11,915 26,429
Cost of sales (9,282) (7,079) (14,859)
-------------------------------- ----- ----------- ----------- -----------
Gross Profit 5,669 4,836 11,570
Administrative expenses before
exceptional operating costs (1,273) (1,082) (2,269)
Selling and distribution
expenses (2,647) (2,202) (4,864)
-------------------------------- ----- ----------- ----------- -----------
Operating Profit before
exceptional items 1,749 1,552 4,437
Exceptional operating costs (105) - (150)
-------------------------------- ----- ----------- ----------- -----------
Operating Profit 1,644 1,552 4,287
Finance income 28 18 36
Finance costs (22) - (19)
-------------------------------- ----- ----------- ----------- -----------
Profit before tax 1,650 1,570 4,304
Taxation 4 (170) (166) (473)
-------------------------------- ----- ----------- ----------- -----------
Profit for the period 1,480 1,404 3,831
Other comprehensive income:
Actuarial gains recognised
in the pension scheme - - 354
Tax on actuarial gains
recognised in the pension
scheme - - (113)
-------------------------------- ----- ----------- ----------- -----------
Other comprehensive income
for the period, net of tax - - 241
-------------------------------- ----- ----------- ----------- -----------
Total comprehensive income
for the period 1,480 1,404 4,072
-------------------------------- ----- ----------- ----------- -----------
Basic earnings per Ordinary 5 5.88p 5.58p 15.22p
Share
Diluted earnings per Ordinary 5 5.67p 5.57p 15.17p
Share
-------------------------------- ----- ----------- ----------- -----------
All profit and total comprehensive income is attributable to the
owners of the parent; there are no non-controlling interests.
Condensed statement of financial position
30 June 30 June 31 December
2011 2010 2010
(unaudited) (unaudited) (audited)
GBP'000 GBP'000 GBP'000
----------- ----------- -----------
Non-current assets
Intangible assets 1,087 461 1,014
Property, plant and equipment 1,872 1,784 1,862
Deferred tax asset 32 124 32
2,991 2,369 2,908
------------------------------- ----------- ----------- -----------
Current assets
Inventories 15,629 10,574 14,774
Trade and other receivables 7,993 9,663 8,866
Cash and cash equivalents 1,271 1,776 1,838
------------------------------- ----------- ----------- -----------
24,893 22,013 25,478
------------------------------- ----------- ----------- -----------
Total assets 27,884 24,382 28,386
------------------------------- ----------- ----------- -----------
Current liabilities
Trade and other payables 4,585 3,898 5,550
Borrowings 250 - 252
Current tax payable 204 176 349
------------------------------- ----------- ----------- -----------
5,039 4,074 6,151
------------------------------- ----------- ----------- -----------
Non-current liabilities
Retirement benefit obligations 75 442 114
Borrowings 312 - 435
Deferred tax liabilities 194 172 194
Provisions 512 834 504
------------------------------- ----------- ----------- -----------
1,093 1,448 1,247
------------------------------- ----------- ----------- -----------
Total liabilities 6,132 5,522 7,398
------------------------------- ----------- ----------- -----------
Net assets 21,752 18,860 20,988
------------------------------- ----------- ----------- -----------
Equity
Called up share capital 252 252 252
Share premium account 5,243 5,195 5,195
Share compensation reserve 298 217 244
Capital redemption reserve 38 38 38
Revaluation reserve 201 201 201
Retained earnings 15,720 12,957 15,058
------------------------------- ----------- ----------- -----------
Equity shareholders' funds 21,752 18,860 20,988
------------------------------- ----------- ----------- -----------
Condensed statement of changes in equity
Called
up Share Share Capital
share premium compensation Revaluation redemption Retained
capital account reserve reserve reserve earnings Total
GBP'000 GBP'000 GBP'000 GBP'000 GBP'000 GBP'000 GBP'000
At 1 January
2011 252 5,195 244 201 38 15,058 20,988
Profit and
total
comprehensive
income for
the period - - - - - 1,480 1,480
Dividends - - - - - (818) (818)
Share options
exercised - 48 - - - - 48
Cost of share
options - - 54 - - - 54
At 30 June
2011 252 5,243 298 201 38 15,720 21,752
-------------- ------- ------- ------------ ----------- ---------- -------- -------
At 1 January
2010 252 5,195 163 201 38 12,308 18,157
Profit and
total
comprehensive
income for
the period - - - - - 1,404 1,404
Dividends - - - - - (755) (755)
Cost of share
options - - 54 - - - 54
At 30 June
2010 252 5,195 217 201 38 12,957 18,860
-------------- ------- ------- ------------ ----------- ---------- -------- -------
At 1 January
2010 252 5,195 163 201 38 12,308 18,157
Profit for the
year - - - - - 3,831 3,831
Actuarial gain
on pension
scheme net of
deferred tax - - - - - 241 241
-------------- ------- ------- ------------ ----------- ---------- -------- -------
Total
comprehensive
income for
the year 4,072 4,072
Dividends - - - - - (1,322) (1,322)
Cost of share
options - - 81 - - - 81
At 31 December
2010 252 5,195 244 201 38 15,058 20,988
-------------- ------- ------- ------------ ----------- ---------- -------- -------
Condensed statement of cash flows
6 months 6 months
to to Year ended
30 June 30 June 31 December
2011 2010 2010
(unaudited) (unaudited) (audited)
Notes GBP'000 GBP'000 GBP'000
----------- ----------- -----------
Cash generated from operations 6 891 779 2,211
Interest paid (22) - (19)
Taxes paid (315) (275) (408)
-------------------------------- ----- ----------- ----------- -----------
Net cash generated from
operating activities 554 504 1,784
-------------------------------- ----- ----------- ----------- -----------
Investing activities
Purchase of property, plant
and equipment (126) (747) (871)
Purchase of intangible assets (101) (288) (604)
Acquisition of businesses - - (900)
Interest received 1 - 2
-------------------------------- ----- ----------- ----------- -----------
Net cash used in investing
activities (226) (1,035) (2,373)
-------------------------------- ----- ----------- ----------- -----------
Financing activities
Dividends paid to company
shareholders 7 (818) (755) (1,322)
Proceeds from borrowings - - 750
Repayment of borrowings (125) - (63)
Share options exercised 48 - -
Net cash used in financing
activities (895) (755) (635)
-------------------------------- ----- ----------- ----------- -----------
Net decrease in cash and
cash equivalents (567) (1,286) (1,224)
-------------------------------- ----- ----------- ----------- -----------
Cash and cash equivalents
at start of period 1,838 3,062 3,062
-------------------------------- ----- ----------- ----------- -----------
Cash and cash equivalents
at end of period 1,271 1,776 1,838
-------------------------------- ----- ----------- ----------- -----------
Notes to the condensed financial statements
1 Basis of preparation
These condensed financial statements have been prepared using
accounting policies consistent with International Financial
Reporting Standards (IFRS) and in accordance with International
Accounting Standard (IAS) 34 Interim Financial Reporting (as
amended).
2 Significant accounting policies
The accounting policies followed in the preparation of this
condensed interim report have been applied consistently to all
periods in these financial statements and are the same as those
applied by the Group in the preparation of its Annual Report for
the year ended 31 December 2010. An actuarial valuation of the
pension scheme was undertaken at 30 June 2009.
3 Segmental analysis
As outlined in the Operating Review the company has four main
business segments, operations being split between Philatelic
trading, Publishing and philatelic accessories, Other collectibles
and Internet development. Segments previously reported as 'Benham
first day covers' and 'Autographs, records and memorabilia' have
been combined to form 'Other collectibles'. This is based upon the
Group's internal organisation and management structure and is the
primary way in which the Board of Directors is provided with
financial information.
Publishing
and
Philatelic philatelic Other Internet
trading accessories collectibles development Unallocated Group
Segmental
income
statement GBP'000 GBP'000 GBP'000 GBP'000 GBP'000 GBP'000
6 months to
30 June
2011
Revenue 11,193 1,265 2,472 21 - 14,951
Operating
costs (9,063) (1,063) (1,996) (61) (1,019) (13,202)
Exceptional
costs - (105) - - - (105)
Net finance
income - - - - 6 6
------------- ----------- ------------ ------------- ------------ ------------ ---------
Profit
before tax 2,130 97 476 (40) (1,013) 1,650
Tax - - - - (170) (170)
------------- ----------- ------------ ------------- ------------ ------------ ---------
Profit for
the period 2,130 97 476 (40) (1,183) 1,480
------------- ----------- ------------ ------------- ------------ ------------ ---------
6 months to
30 June
2010
Revenue 9,148 1,380 1,367 20 - 11,915
Operating
costs (7,303) (1,147) (927) (49) (937) (10,363)
Net finance
income - - - - 18 18
------------- ----------- ------------ ------------- ------------ ------------ ---------
Profit
before tax 1,845 233 440 (29) (919) 1,570
Tax - - - - (166) (166)
------------- ----------- ------------ ------------- ------------ ------------ ---------
Profit for
the period 1,845 233 440 (29) (1,085) 1,404
------------- ----------- ------------ ------------- ------------ ------------ ---------
Year ended
31 December
2010
Revenue 19,422 3,146 3,820 41 - 26,429
Operating
costs (14,801) (2,474) (2,738) (65) (1,914) (21,992)
Exceptional
costs - - (127) (23) - (150)
Net finance
income - - - - 17 17
------------- ----------- ------------ ------------- ------------ ------------ ---------
Profit
before tax 4,621 672 955 (47) (1,897) 4,304
Tax - - - - (473) (473)
------------- ----------- ------------ ------------- ------------ ------------ ---------
Profit for
the year 4,621 672 955 (47) (2,370) 3,831
------------- ----------- ------------ ------------- ------------ ------------ ---------
Exceptional costs in 2011 relate to staff and legal costs
incurred in the rationalisation of the Publishing division.
Exceptional costs in 2010 relate to acquisition costs of the Benham
Group and the re-organisation of the web development
department.
Geographical information
Analysis of revenue by origin and destination
Period Period Year
Period ended 30 Period ended 30 Year ended ended 31
ended 30 June ended 30 June 31 December December
June 2011 2011 June 2010 2010 2010 Sales 2010
Sales by Sales by Sales by Sales by by Sales by
destination origin destination origin destination origin
GBP'000 GBP'000 GBP'000 GBP'000 GBP'000 GBP'000
Channel
Islands 2,014 8,192 656 6,528 1,952 14,894
United
Kingdom 9,444 6,759 7,682 5,387 15,838 11,535
Europe 752 - 482 - 1,239 -
North
America 1,016 - 501 - 1,419 -
Rest of
the
World 1,725 - 2,594 - 5,981 -
--------- ----------- -------- ----------- -------- ----------- --------
14,951 14,951 11,915 11,915 26,429 26,429
--------- ----------- -------- ----------- -------- ----------- --------
Rest of the World sales in the year ended 31 December 2010
included sales of GBP2,670,000 (period ended 30 June 2010:
GBP1,046,000) to one individual customer. There were no customers
in the period to 30 June 2011 from which the Group earned more than
10% of its revenues.
4 Taxation
The charge for taxation is based on the results for the period
and takes into account taxation deferred because of timing
differences between the treatment of certain items for taxation and
accounting purposes. Deferred tax is recognised on a full provision
basis in respect of all temporary differences which have
originated, but not reversed at the balance sheet date.
5 Earnings per ordinary share
The calculation of basic earnings per ordinary share is based on
the weighted average number of shares in issue during the period.
For diluted earnings per share, the weighted average number of
ordinary shares in issue is adjusted to assume conversion of all
dilutive potential ordinary shares. The Group has only one category
of dilutive ordinary shares: those share options granted to
employees where the exercise price is less than the average market
price of the Company's ordinary shares during the period.
6 months 6 months
to to Year ended
31 December
30 June 2011 30 June 2010 2010
(unaudited) (unaudited) (audited)
Weighted average number of ordinary
shares in issue 25,183,631 25,177,443 25,177,443
Dilutive potential ordinary
shares: Employee share options 914,314 42,534 84,101
Profit after tax (GBP) 1,480,000 1,404,000 3,831,000
Exceptional operating cost (net
of tax - GBP) 77,000 - 120,000
Adjusted profit after tax (GBP) 1,557,000 1,404,000 3,951,000
------------------------------------ ------------ ------------ -----------
Basic earnings per share - pence 5.88p 5.58p 15.22p
per share (p)
Diluted earnings per share - 5.67p 5.57p 15.17p
pence per share (p)
------------------------------------ ------------ ------------ -----------
Adjusted earnings per share 6.18p 5.58p 15.69p
- pence per share (p)
------------------------------------ ------------ ------------ -----------
Adjusted diluted earnings per 5.97p 5.57p 15.64p
share - pence per share (p)
------------------------------------ ------------ ------------ -----------
40,000 shares were issued on 3 June 2011 following the exercise
of share options.
6 Cash generated from operations
6 months 6 months
to to Year ended
31 December
30 June 2011 30 June 2010 2010
(unaudited) (unaudited) (audited)
GBP'000 GBP'000 GBP'000
Operating profit 1,644 1,552 4,287
Depreciation 116 66 170
Amortisation 29 13 32
(Decrease) / increase in provisions (4) 192 (95)
Cost of share options 54 54 81
Increase in inventories (856) (1,285) (4,081)
Decrease in trade and other
receivables 873 303 1,181
(Decrease) / increase in trade
and other payables (965) (116) 636
------------------------------------ ------------ ------------ -----------
Cash generated from operations 891 779 2,211
------------------------------------ ------------ ------------ -----------
7 Dividends
6 months 6 months
to to Year ended
30 June 30 June 31 December
2011 2010 2010
(unaudited) (unaudited) (audited)
GBP'000 GBP'000 GBP'000
Amounts recognised as distribution
to equity holders in period:
Dividend paid 818 755 1,322
----------------------------------- ------------ ------------ -------------
Dividend paid per share 3.25p 3.0p 5.25p
----------------------------------- ------------ ------------ -------------
Dividend proposed but not
paid 630 566 818
----------------------------------- ------------ ------------ -------------
Dividend proposed per share 2.5p 2.25p 3.25p
----------------------------------- ------------ ------------ -------------
8 Further copies of this statement
Copies of this statement are being sent to shareholders and can
be viewed on the Company's website at www.stanleygibbons.com.
Further copies are available on request from: The Company
Secretary, The Stanley Gibbons Group plc, 18 Hill Street, St
Helier, Jersey, JE2 4UA.
This information is provided by RNS
The company news service from the London Stock Exchange
END
IR FMGGRKDNGMZM
Stanley Gibbons (LSE:SGI)
Historical Stock Chart
From Jul 2024 to Aug 2024
Stanley Gibbons (LSE:SGI)
Historical Stock Chart
From Aug 2023 to Aug 2024
