TIDMVERO
RNS Number : 8208Z
Vero Software PLC
29 September 2009
The 'Half Yearly Report' announcement released on 29/09/09 at 07:00 under RNS No
7938Z is being replaced
In the earlier announcement, an incorrect document was attached
The full amended text is shown below.
29th September 2009
Vero Software Plc
("Vero Software" or "the Group")
Interim results for the six months to 30 June 2009
Vero Software Plc (AIM: VERO), leading suppliers of CAD/CAM software for the
mould and die industry, announces its interim results for the six months to
30 June 2009.
The Company operates worldwide from its headquarters in Cheltenham and wholly
owned subsidiaries in Italy, France, USA, Canada, Japan and China, providing
very specific packaged software to aid the design and manufacture of a wide
variety of moulds and dies.
Financial highlights:
· Turnover remained unchanged from 2008 at GBP6.6 million despite markedly
difficult trading
conditions
· Recurring revenues derived from maintenance have grown by 20% to GBP3.5
million (2008: GBP2.9
million
· 19% increase in earnings before interest, tax, depreciation and amortisation
("EBITDA") to
GBP603,000 (2008: GBP505,000)
· Profit after tax slightly lower at GBP27,000 (2008: GBP48,000) as a result of
an increased amortisation
charge largely derived from software
development.
· Earnings per share 0.07 pence (2008: 0.13 pence)
· Cash generated by operations for the six months was GBP1.3 million (2008:
GBP1.6million)
Operational highlights:
· Sales to key markets in the UK, USA and China, and our smaller markets all
increased in the period.
· Our VISI series software was voted 'Best Product' in the Engineering Software
category at the DPA (Design Products & Applications) 2009 Innovation Awards.
· The distribution of Release 16 of the VISI products introduced a significant
number of new modules and extended the ability of the company to offer the
widest range of design and simulation solutions available to the mould and die
sector.
· Despite being a disastrous year in macro economic terms for the automotive
sector the Vero offering for die stampings, plastic injection and progressive
dies has continued to be sold by virtue of its cost saving benefits.
Commenting on the interim results, Don Babbs, Chief Executive of Vero Software,
said:
Vero Software has produced a consistent result in the first six months of the
year that has seen the worst downturn in the manufacturing sector for decades.
Parts of the mould and die markets have remained buoyant as companies continue
to design, plan and produce new models to sharpen their competitive edge in the
continuing recession. Cost saving versus expansion has become the principal
driving force for product purchases and the growth in maintenance revenues
provides evidence of customers regarding Vero as a 'must have' weapon in their
protective armoury.
Enquiries, please contact:
+-------------------------------------+-------------------------------------+
| Don Babbs | Paul Shackleton |
| Chief Executive | Daniel Stewart & Company plc |
| Vero Software Plc | 020 7776 6550 |
| 01242 542040 | |
| | |
+-------------------------------------+-------------------------------------+
| Julie Randall | Tania Wild/Will Henderson |
| Finance Director | Smithfield |
| Vero Software Plc | 020 7360 4900 |
| 01242 542040 | |
+-------------------------------------+-------------------------------------+
Chairman's statement
I am pleased to announce a strong result for Vero Software for the six months to
30 June 2009.
Financial results
Group revenue for the first half of the year remained unchanged compared to
2008 despite the worst industrial environment the company has seen since its
inception. Contributions to the GBP6.6m in revenues came from a variety of
manufacturing sectors and were assisted by a very strong release of the
principal product. Software maintenance revenues not only held up well in the
face of company cut backs but also grew to GBP3.5m (2008: GBP2.9m) during the
period.
Earnings before interest, tax, depreciation and amortisation (EBITDA),
increased by 19% to GBP0.6m (2008: GBP0.5m) Pre-tax profits were GBP31,000
(2008: GBP64,000), the reduction being partly as a result of GBP156,000 of
additional software development amortisation arising from the major product
releases at the end of 2008.
Selling costs related to software sales and support fell to GBP3m from GBP3.4m
as a result of cost cutting. Development costs remained slightly above last year
at GBP1m (2008:GBP0.9m) as did general and
administration costs which have increased to GBP1.48m (2008:GBP1.35m). These
cost increases are largely the result of the significant fall in Sterling which
also enhanced revenues to counter the increased costs. In local currency terms
our cost base has been reduced significantly.
Exceptional costs of GBP39,000 were incurred during the period (2008:
GBP276,000) as a result of further
restructuring of our UK operations.
The corporation tax charge has again benefited from tax credits in respect of
our research and development expenditure in both the UK and Italy.
Cash generated by operations for the six months was GBP1.3m (2008: GBP1.6m). As
noted in the 2008 annual report the Company debt to Fortis bank was
re-classified as being current rather than long term following a covenant
breach. The company has made an early repayment of GBP250k to Fortis Bank in
addition to its regular loan repayments in the first half of the year and as a
result net short term borrowings at 30 June 2009 were GBP55,000 (31 December
2008: net cash GBP92,000). Net debt has reduced since the year end to
GBP2.1million (31 December 2008: GBP2.9m).
Markets
The Group's customers are located in many different geographic regions and
industry sectors and despite the recent economic conditions, interest in the
Group's products has remained strong as companies turn their attention to
streamlining their processes and reducing costs. In particular the UK and North
American mould and die markets have held up well as our customers have invested
in new
product designs in order to maintain their competitive edge and prepare for a
return to growth.
Product development
We were delighted that our VISI series software was awarded the accolade of
'Best Product' in the Engineering Software category at the recent DPA Innovation
Awards.
VISI 16 was a major new software release in October 2008 and included a number
of significant advances. VISI 17 was released this month and builds upon the
success of Version 16 with amongst other enhancements new 5 axis machining
techniques and advances in plastic flow analysis
Provisional approach for the Group
The Company announced on September 16th that it had received a provisional
approach from a financial institution that may or may not lead to an offer being
made for the Company. Discussions are still at a very early stage and there can
be no certainty that an offer will be forthcoming. Shareholders will be kept
informed of any further developments.
Outlook
Vero Software has performed strongly in the first six months of the year against
a background of customer budget cuts and uncertainty. The areas of North
America, China and the UK are showing signs of improving but many of our major
markets remain low in confidence while waiting for the macroeconomic
improvements to filter through to their markets.
The current economic environment remains a significant challenge. We have taken
steps to reduce our cost base and with hopeful signs in refinancing the Fortis
bank debt we are confident that we will continue to weather the current economic
downturn. In the longer term we remain confident in a positive outlook for the
Group.
Stephen Palframan
Chairman
29 September 2009
+---------------------------+------------+--------------+------------+-----------+----------+
| Consolidated statement of financial performance |
+-------------------------------------------------------------------------------------------+
| | 6 months | 6 months to | 6 months | 6 months | Year to |
| | to | | to | to | |
+---------------------------+------------+--------------+------------+-----------+----------+
| | 30 June | 30 June | 30 June | 30 June | 31 |
| | 2009 | 2009 | 2009 | 2008 | December |
| | | | | | 2008 |
+---------------------------+------------+--------------+------------+-----------+----------+
| | unaudited | unaudited | unaudited | unaudited | audited |
+---------------------------+------------+--------------+------------+-----------+----------+
| | Ordinary | Exceptional | Total | | |
+---------------------------+------------+--------------+------------+-----------+----------+
| | GBP'000 | GBP'000 | GBP'000 | GBP'000 | GBP'000 |
+---------------------------+------------+--------------+------------+-----------+----------+
| | | | | | |
+---------------------------+------------+--------------+------------+-----------+----------+
| Revenue | 6,633 | - | 6,633 | 6,641 | 13,913 |
+---------------------------+------------+--------------+------------+-----------+----------+
| Cost of sales | (411) | - | (411) | (482) | (833) |
+---------------------------+------------+--------------+------------+-----------+----------+
| Gross profit | 6,222 | - | 6,222 | 6,159 | 13,080 |
+---------------------------+------------+--------------+------------+-----------+----------+
| | | | | | |
+---------------------------+------------+--------------+------------+-----------+----------+
| Selling expenses | (3,048) | (39) | (3,087) | (3,403) | (6,688) |
+---------------------------+------------+--------------+------------+-----------+----------+
| Administrative expenses | (1,478) | - | (1,478) | (1,353) | (2,594) |
+---------------------------+------------+--------------+------------+-----------+----------+
| Product development | (1,054) | - | (1,054) | (920) | (2,056) |
+---------------------------+------------+--------------+------------+-----------+----------+
| Net other operating | - | - | - | 22 | 60 |
| income | | | | | |
+---------------------------+------------+--------------+------------+-----------+----------+
| Earnings before interest, | 642 | (39) | 603 | 505 | 1,802 |
| tax, depreciation and | | | | | |
| amortisation (EBITDA) | | | | | |
+---------------------------+------------+--------------+------------+-----------+----------+
| | | | | | |
+---------------------------+------------+--------------+------------+-----------+----------+
| Depreciation | (107) | - | (107) | (103) | (205) |
+---------------------------+------------+--------------+------------+-----------+----------+
| Amortisation | (383) | - | (383) | (227) | (509) |
+---------------------------+------------+--------------+------------+-----------+----------+
| Operating profit | 152 | (39) | 113 | 175 | 1,088 |
+---------------------------+------------+--------------+------------+-----------+----------+
| Interest income | 3 | - | 3 | 14 | 34 |
+---------------------------+------------+--------------+------------+-----------+----------+
| Interest expense | (85) | - | (85) | (125) | (198) |
+---------------------------+------------+--------------+------------+-----------+----------+
| Profit before taxation | 70 | (39) | 31 | 64 | 924 |
+---------------------------+------------+--------------+------------+-----------+----------+
| Taxation | (4) | - | (4) | (16) | (75) |
+---------------------------+------------+--------------+------------+-----------+----------+
| Profit after taxation | 66 | (39) | 27 | 48 | 849 |
+---------------------------+------------+--------------+------------+-----------+----------+
| | | | | | |
+---------------------------+------------+--------------+------------+-----------+----------+
| Earnings per share - | | | 0.07 | 0.13 | 2.28 |
| pence (basic) | | | | | |
+---------------------------+------------+--------------+------------+-----------+----------+
| Earnings per share - | | | 0.07 | 0.13 | 2.27 |
| pence (fully diluted) | | | | | |
+---------------------------+------------+--------------+------------+-----------+----------+
| | | | | | |
+---------------------------+------------+--------------+------------+-----------+----------+
Consolidated statement of comprehensive income
+---------------------------+------------+--------------+------------+-----------+----------+
| | | | 6 months | 6 months | Year to |
| | | | to | to | |
+---------------------------+------------+--------------+------------+-----------+----------+
| | | | 30 June | 30 June | 31 |
| | | | 2009 | 2008 | December |
| | | | | | 2008 |
+---------------------------+------------+--------------+------------+-----------+----------+
| | | | unaudited | unaudited | audited |
+---------------------------+------------+--------------+------------+-----------+----------+
| | | | GBP'000 | GBP'000 | GBP'000 |
+---------------------------+------------+--------------+------------+-----------+----------+
| Profit for the period | | | 27 | 48 | 849 |
+---------------------------+------------+--------------+------------+-----------+----------+
| Other Comprehensive | | | (124) | 73 | 205 |
| (expenses)/income for the | | | | | |
| period: Currency | | | | | |
| translations | | | | | |
| | | | | | |
+---------------------------+------------+--------------+------------+-----------+----------+
| Total comprehensive | | | (97) | 121 | 1,054 |
| (expenses)/income for the | | | | | |
| period attributable to | | | | | |
| shareholders | | | | | |
+---------------------------+------------+--------------+------------+-----------+----------+
| | | | | | |
+---------------------------+------------+--------------+------------+-----------+----------+
+----------------------------------------+-----------+-----------+-----------+
| Consolidated statement of financial | | | |
| position | | | |
+----------------------------------------+-----------+-----------+-----------+
| | As at | As at | As at |
+----------------------------------------+-----------+-----------+-----------+
| | 30 June | 30 June | 31 |
| | 2009 | 2008 | December |
| | | | 2008 |
+----------------------------------------+-----------+-----------+-----------+
| | unaudited | unaudited | audited |
+----------------------------------------+-----------+-----------+-----------+
| | | | |
+----------------------------------------+-----------+-----------+-----------+
| | GBP'000 | GBP'000 | GBP'000 |
+----------------------------------------+-----------+-----------+-----------+
| Assets | | | |
+----------------------------------------+-----------+-----------+-----------+
| Non-current assets | | | |
+----------------------------------------+-----------+-----------+-----------+
| Property, plant and equipment | 766 | 802 | 854 |
+----------------------------------------+-----------+-----------+-----------+
| Intangible assets | 7,191 | 6,527 | 7,143 |
+----------------------------------------+-----------+-----------+-----------+
| | 7,957 | 7,329 | 7,997 |
+----------------------------------------+-----------+-----------+-----------+
| | | | |
+----------------------------------------+-----------+-----------+-----------+
| Current assets | | | |
+----------------------------------------+-----------+-----------+-----------+
| Inventories | 11 | 8 | 14 |
+----------------------------------------+-----------+-----------+-----------+
| Trade and other receivables | 7,287 | 7,199 | 8,009 |
+----------------------------------------+-----------+-----------+-----------+
| Cash and cash equivalents | 1,364 | 1,492 | 1,632 |
+----------------------------------------+-----------+-----------+-----------+
| | 8,662 | 8,699 | 9,655 |
+----------------------------------------+-----------+-----------+-----------+
| | | | |
+----------------------------------------+-----------+-----------+-----------+
| Total assets | 16,619 | 16,028 | 17,652 |
+----------------------------------------+-----------+-----------+-----------+
| | | | |
+----------------------------------------+-----------+-----------+-----------+
| | | | |
+----------------------------------------+-----------+-----------+-----------+
| Liabilities | | | |
+----------------------------------------+-----------+-----------+-----------+
| Non-current liabilities | 2,295 | 2,993 | 2,407 |
+----------------------------------------+-----------+-----------+-----------+
| | | | |
+----------------------------------------+-----------+-----------+-----------+
| Current liabilities | 7,779 | 7,326 | 8,603 |
+----------------------------------------+-----------+-----------+-----------+
| | | | |
+----------------------------------------+-----------+-----------+-----------+
| Total liabilities | 10,074 | 10,319 | 11,010 |
+----------------------------------------+-----------+-----------+-----------+
| | | | |
+----------------------------------------+-----------+-----------+-----------+
| Equity | | | |
+----------------------------------------+-----------+-----------+-----------+
| Issued share capital | 186 | 186 | 186 |
+----------------------------------------+-----------+-----------+-----------+
| Share premium | 1,860 | 5,860 | 1,860 |
+----------------------------------------+-----------+-----------+-----------+
| Other reserves | (98) | (106) | 26 |
+----------------------------------------+-----------+-----------+-----------+
| Retained earnings | 4,597 | (231) | 4,570 |
+----------------------------------------+-----------+-----------+-----------+
| Total equity | 6,545 | 5,709 | 6,642 |
+----------------------------------------+-----------+-----------+-----------+
| | | | |
+----------------------------------------+-----------+-----------+-----------+
| Total liabilities and equity | 16,619 | 16,028 | 17,652 |
+----------------------------------------+-----------+-----------+-----------+
+-------------------+---------+----------+-------------+----------+----------+---------+
| Consolidated statement of changes in equity |
+--------------------------------------------------------------------------------------+
| | | | | | | |
+-------------------+---------+----------+-------------+----------+----------+---------+
| | | | | | | |
+-------------------+---------+----------+-------------+----------+----------+---------+
| | Share | Share | Translation | Other | Retained | Total |
+-------------------+---------+----------+-------------+----------+----------+---------+
| | Capital | Premium | Reserve | Reserves | Earnings | Equity |
+-------------------+---------+----------+-------------+----------+----------+---------+
| | | | | | | |
+-------------------+---------+----------+-------------+----------+----------+---------+
| | GBP'000 | GBP'000 | GBP'000 | GBP'000 | GBP'000 | GBP'000 |
+-------------------+---------+----------+-------------+----------+----------+---------+
| At 31 December | 186 | 1,860 | 12 | 14 | 4,570 | 6,642 |
| 2008 | | | | | | |
+-------------------+---------+----------+-------------+----------+----------+---------+
| Total | - | - | (122) | (2) | 27 | (97) |
| comprehensive | | | | | | |
| (expenses)/income | | | | | | |
+-------------------+---------+----------+-------------+----------+----------+---------+
| At 30 June 2009 | 186 | 1,860 | (110) | 12 | 4,597 | 6,545 |
+-------------------+---------+----------+-------------+----------+----------+---------+
| | | | | | | |
+-------------------+---------+----------+-------------+----------+----------+---------+
| | | | | | | |
+-------------------+---------+----------+-------------+----------+----------+---------+
| At 31 December | 186 | 5,860 | (191) | 12 | (279) | 5,588 |
| 2007 | | | | | | |
+-------------------+---------+----------+-------------+----------+----------+---------+
| Total | - | - | 72 | 1 | 48 | 121 |
| comprehensive | | | | | | |
| (expenses)/income | | | | | | |
+-------------------+---------+----------+-------------+----------+----------+---------+
| At 30 June 2008 | 186 | 5,860 | (119) | 13 | (231) | 5,709 |
+-------------------+---------+----------+-------------+----------+----------+---------+
| | | | | | | |
+-------------------+---------+----------+-------------+----------+----------+---------+
+-------------------+--------+----------+------------+----------+----------+---------+
| | | | | | | |
+-------------------+--------+----------+------------+----------+----------+---------+
| At 31 December | 186 | 5,860 | (191) | 12 | (279) | 5,588 |
| 2007 | | | | | | |
+-------------------+--------+----------+------------+----------+----------+---------+
| Total | - | - | 203 | 2 | 849 | 1,054 |
| comprehensive | | | | | | |
| (expenses)/income | | | | | | |
+-------------------+--------+----------+------------+----------+----------+---------+
| Transfer | - | (4,000) | - | - | 4,000 | - |
+-------------------+--------+----------+------------+----------+----------+---------+
| At 31 December | 186 | 1,860 | 12 | 14 | 4,570 | 6,642 |
| 2008 | | | | | | |
+-------------------+--------+----------+------------+----------+----------+---------+
| | | | | | | |
+-------------------+--------+----------+------------+----------+----------+---------+
+----------------------------------------+-----------+-----------+-----------+
| Consolidated cash flow statement | | | |
+----------------------------------------+-----------+-----------+-----------+
| | 6 months | 6 months | Year to |
| | to | to | |
+----------------------------------------+-----------+-----------+-----------+
| | 30 June | 30 June | 31 |
| | 2009 | 2008 | December |
| | | | 2008 |
+----------------------------------------+-----------+-----------+-----------+
| | unaudited | unaudited | audited |
+----------------------------------------+-----------+-----------+-----------+
| | GBP' 000 | GBP'000 | GBP'000 |
+----------------------------------------+-----------+-----------+-----------+
| Cash flows from operating activities | | | |
+----------------------------------------+-----------+-----------+-----------+
| Cash generated from operations | 1,293 | 1,577 | 1,916 |
+----------------------------------------+-----------+-----------+-----------+
| Interest paid | (92) | (138) | (213) |
+----------------------------------------+-----------+-----------+-----------+
| Taxes paid | (21) | (19) | (39) |
+----------------------------------------+-----------+-----------+-----------+
| Net cash from operating activities | 1,180 | 1,420 | 1,664 |
+----------------------------------------+-----------+-----------+-----------+
| | | | |
+----------------------------------------+-----------+-----------+-----------+
| Cash flows from investing activities | | | |
+----------------------------------------+-----------+-----------+-----------+
| Payment of deferred consideration | (7) | (7) | (587) |
+----------------------------------------+-----------+-----------+-----------+
| Purchase of property, plant and | (28) | (79) | (173) |
| equipment | | | |
+----------------------------------------+-----------+-----------+-----------+
| Proceeds from sale of property, plant | 11 | 228 | 247 |
| and equipment | | | |
+----------------------------------------+-----------+-----------+-----------+
| Purchases of intangible assets | (4) | (4) | (197) |
+----------------------------------------+-----------+-----------+-----------+
| Capitalised product development | (545) | (625) | (1,008) |
+----------------------------------------+-----------+-----------+-----------+
| Sale of financial asset | - | - | 118 |
+----------------------------------------+-----------+-----------+-----------+
| Interest received | 4 | 13 | 34 |
+----------------------------------------+-----------+-----------+-----------+
| Net cash used in investing activities | (569) | (474) | (1,566) |
+----------------------------------------+-----------+-----------+-----------+
| | | | |
+----------------------------------------+-----------+-----------+-----------+
| Cash flows from financing activities | | | |
+----------------------------------------+-----------+-----------+-----------+
| Payments of finance lease liabilities | (49) | (32) | (81) |
+----------------------------------------+-----------+-----------+-----------+
| Loans | - | - | 524 |
+----------------------------------------+-----------+-----------+-----------+
| Loans repaid | (680) | (299) | (613) |
+----------------------------------------+-----------+-----------+-----------+
| Net cash used in financing activities | (729) | (331) | (170) |
+----------------------------------------+-----------+-----------+-----------+
| | | | |
+----------------------------------------+-----------+-----------+-----------+
| Net increase in cash and cash | (118) | 615 | (72) |
| equivalents | | | |
+----------------------------------------+-----------+-----------+-----------+
| Cash and cash equivalents at beginning | 92 | (16) | (16) |
| of period | | | |
+----------------------------------------+-----------+-----------+-----------+
| Exchange gains on cash and bank | (29) | 1 | 180 |
| overdrafts | | | |
+----------------------------------------+-----------+-----------+-----------+
| Cash and cash equivalents at end of | (55) | 600 | 92 |
| period | | | |
+----------------------------------------+-----------+-----------+-----------+
| | | | |
+----------------------------------------+-----------+-----------+-----------+
Notes to the interim financial statements
1. Basis of preparation
General information
Vero Software Plc is a company incorporated and domiciled in the United Kingdom
under the Companies Act 2006. The nature of the Group's operations and its
principal activities are set out in the Chairman's statement above.
The interim financial statements are unaudited and were approved by the Board of
Directors on 28 September 2009. The financial information contained in this
statement does not constitute statutory accounts within the meaning of section
435 of the Companies Act 2006.
Basis of preparation
The condensed consolidated interim financial statements for the six months ended
30 June 2009 has been prepared in accordance with IAS 34 "Interim financial
reporting". The condensed consolidated interim financial information should be
read in conjunction with the annual financial statements for the year ended 31
December 2008, which have been prepared in accordance with IFRSs as adopted by
the European Union.
Accounting policies
Except as described below, the accounting policies are consistent with those of
the annual financial statements for the year ended 31 December 2008, as
described in those financial statements.
Statutory financial statements for the year ended 31 December 2008, upon which
the Company's auditors have given an unqualified report containing an emphasis
of matter regarding going concern, and which did not contain any statement under
S237 (2) and (3) of the Companies Act 1985, are available on the Company's
website and have been filed with the Registrar of Companies.
The following new standards and amendments to standards are mandatory for the
first time for the financial year beginning 1 January 2009 and are relevant for
the Group.
* IAS 1 (revised) "Presentation of financial statements". The Group has elected to
provide two statements to present items of income and expense: a statement of
financial performance and a statement of comprehensive income. The interim
financial statements have been prepared under the revised disclosure
requirements. In addition the income statement has been renamed statement of
financial performance and the balance sheet has been renamed statement of
financial position.
* IFRS 8 "Operating segments". IFRS 8 replaces IAS 14 "Segment reporting" and
requires a "management approach" under which segment information is presented on
the same basis as that used for interim reporting. This has not resulted in a
change in segments reported.
Operating segments are reported to the chief operating decision maker. The chief
operating decision maker has been identified as the board of directors.
Operating segments have been identified on a geographic basis in line with the
domicile of each main subsidiary or branch, with each segment led by a country
manager.
Review of accounting treatment under IAS 21 "The effects of changes in foreign
exchange rates"
The Group has reviewed its treatment and classification of intercompany balances
and those which are not repayable on demand are now considered to form part of
the net investment in overseas subsidiaries. Foreign exchange differences on
these balances are taken directly to the foreign currency translation reserve in
accordance with IAS 21.
2 Exceptional items
All exceptional costs relate to redundancy as part of cost reduction plans
within the Group (6 months to June 2008: GBP276,000). 3 Segmental reporting
The Group operates in one business segment - the development, marketing and
distribution of computer aided design and manufacturing software and related
services.
The board of directors reviews the Group's internal reporting in order to assess
performance and allocated resources. Operating segments have been identified as
subsidiaries and branches based on these reports.
+------------------+---------+---------+----------+---------+---------+---------+---------+
| | Six months to 30 June 2009 |
+------------------+----------------------------------------------------------------------+
| | Italy | United | North | Japan | China | France | Total |
| | |Kingdom | America | | | | |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| | GBP'000 | GBP'000 | GBP'000 | GBP'000 | GBP'000 | GBP'000 | GBP'000 |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| | | | | | | | |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| External sales | 1,838 | 2,177 | 971 | 1,228 | 146 | 273 | 6,633 |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| Inter-segment | - | 1,016 | - | - | - | - | 1,016 |
| revenue | | | | | | | |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| | 1,838 | 3,193 | 971 | 1,228 | 146 | 273 | 7,649 |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| Eliminations | | | | | | | (1,016) |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| Consolidated revenue | | | | | | 6,633 |
+----------------------------+---------+----------+---------+---------+---------+---------+
| | | | | | | | |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| Segment result- | (361) | 330 | 112 | 590 | 28 | (73) | 626 |
| EBITDA | | | | | | | |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| | | | | | | | |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| Assets | | | | | | | |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| by location of | 3,107 | 7,242 | 2,958 | 1,138 | 57 | 237 | 14,739 |
| assets | | | | | | | |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| Corporate items not | | | | | | 1,880 |
| allocated | | | | | | |
+----------------------------+---------+----------+---------+---------+---------+---------+
| Total assets | | | | | | | 16,619 |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| | | | | | | | |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| Liabilities | | | | | | | |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| by location of | 4,297 | 3,375 | 582 | 556 | 8 | 273 | 9,091 |
| liabilities | | | | | | | |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| Corporate items not | | | | | | 983 |
| allocated | | | | | | |
+----------------------------+---------+----------+---------+---------+---------+---------+
| Total | | | | | | | 10,074 |
| liabilities | | | | | | | |
+------------------+---------+---------+----------+---------+---------+---------+---------+
+------------------+---------+---------+----------+---------+---------+---------+---------+
| | Six Months to 30 June 2008 |
+------------------+----------------------------------------------------------------------+
| | Italy | United | North | Japan | China | France | Total |
| | |Kingdom | America | | | | |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| | GBP'000 | GBP'000 | GBP'000 | GBP'000 | GBP'000 | GBP'000 | GBP'000 |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| | | | | | | | |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| External sales | 2,072 | 2,364 | 769 | 1,112 | 38 | 286 | 6,641 |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| Inter-segment | - | 1,061 | - | - | - | - | 1,061 |
| revenue | | | | | | | |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| | 2,072 | 3,425 | 769 | 1,112 | 38 | 286 | 7,702 |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| Eliminations | | | | | | | (1,061) |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| Consolidated revenue | | | | | | 6,641 |
+----------------------------+---------+----------+---------+---------+---------+---------+
| | | | | | | | |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| Segment result | (373) | 577 | (45) | 611 | (133) | (47) | 590 |
| -EBITDA | | | | | | | |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| | | | | | | | |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| Assets | | | | | | | |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| by location of | 3,521 | 6,714 | 2,461 | 1,136 | 28 | 348 | 14,208 |
| assets | | | | | | | |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| Corporate items not | | | | | | 1,820 |
| allocated | | | | | | |
+----------------------------+---------+----------+---------+---------+---------+---------+
| Total assets | | | | | | | 16,028 |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| | | | | | | | |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| Liabilities | | | | | | | |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| by location of | 3,802 | 2,982 | 576 | 519 | 62 | 255 | 8,196 |
| liabilities | | | | | | | |
+------------------+---------+---------+----------+---------+---------+---------+---------+
| Corporate items not | | | | | | 2,123 |
| allocated | | | | | | |
+----------------------------+---------+----------+---------+---------+---------+---------+
| Total | | | | | | | 10,319 |
| liabilities | | | | | | | |
+------------------+---------+---------+----------+---------+---------+---------+---------+
A reconciliation of segment results to total profit after tax is provide as
follows:
+------------------+-------+-----------+----------+
| | | 6 months | 6 months |
| | | to | to |
+------------------+-------+-----------+----------+
| | | 30 June | 30 June |
| | | 2009 | 2008 |
+------------------+-------+-----------+----------+
| EBITDA for reportable | 626 | 590 |
| segments | | |
+--------------------------+-----------+----------+
| Corporate | | (23) | (85) |
| overheads | | | |
+------------------+-------+-----------+----------+
| Total EBITDA | | 603 | 505 |
+------------------+-------+-----------+----------+
| Depreciation | | (107) | (103) |
+------------------+-------+-----------+----------+
| Amortisation | | (383) | (227) |
+------------------+-------+-----------+----------+
| Operating profit | | 113 | 175 |
+------------------+-------+-----------+----------+
| Interest income | | 3 | 14 |
+------------------+-------+-----------+----------+
| Interest expense | | (85) | (125) |
+------------------+-------+-----------+----------+
| Profit before | | 31 | 64 |
| taxation | | | |
+------------------+-------+-----------+----------+
| Taxation | | (4) | (16) |
+------------------+-------+-----------+----------+
| Profit after | | 27 | 48 |
| taxation | | | |
+------------------+-------+-----------+----------+
4. Earnings per share
+------------------------------------------+----------+-----------+----------+
| | 6 months to 30 June 2009 |
+------------------------------------------+---------------------------------+
| | Earnings | Shares | EPS |
+------------------------------------------+----------+-----------+----------+
| | GBP'000 | 000 | pence |
+------------------------------------------+----------+-----------+----------+
| Basic earnings per share | 27 | 37,261 | 0.07 |
+------------------------------------------+----------+-----------+----------+
| Number of shares for which options were | - | 2,600 | - |
| outstanding | | | |
+------------------------------------------+----------+-----------+----------+
| Equivalent number of shares at fair | - | (2,696) | - |
| value | | | |
+------------------------------------------+----------+-----------+----------+
| Fully diluted earnings per share | 27 | 37,165 | 0.07 |
+------------------------------------------+----------+-----------+----------+
| | | | |
+------------------------------------------+----------+-----------+----------+
| | 6 months to 30 June 2008 |
+------------------------------------------+---------------------------------+
| | Earnings | Shares | EPS |
+------------------------------------------+----------+-----------+----------+
| | | | |
+------------------------------------------+----------+-----------+----------+
| | GBP'000 | 000 | pence |
+------------------------------------------+----------+-----------+----------+
| Basic earnings per share | 48 | 37,261 | 0.13 |
+------------------------------------------+----------+-----------+----------+
| Number of shares for which options were | - | 2,600 | - |
| outstanding | | | |
+------------------------------------------+----------+-----------+----------+
| Equivalent number of shares at fair | - | (2,131) | - |
| value | | | |
+------------------------------------------+----------+-----------+----------+
| Fully diluted earnings per share | 48 | 37,730 | 0.13 |
+------------------------------------------+----------+-----------+----------+
| | | | |
+------------------------------------------+----------+-----------+----------+
5. Notes to cash flow statement
Reconciliation of operating profit to net cash inflow from operating activities:
+--------------------------------------+-----------+-----------+--------------+
| | 6 months | 6 months | Year to |
| | to | to | |
+--------------------------------------+-----------+-----------+--------------+
| | 30 June | 30 June | 31 December |
| | 2009 | 2008 | 2008 |
+--------------------------------------+-----------+-----------+--------------+
| | unaudited | unaudited | audited |
+--------------------------------------+-----------+-----------+--------------+
| | GBP'000 | GBP'000 | GBP'000 |
+--------------------------------------+-----------+-----------+--------------+
| Operating profit for the period | 113 | 175 | 1,088 |
+--------------------------------------+-----------+-----------+--------------+
| Adjustments for: | | | |
+--------------------------------------+-----------+-----------+--------------+
| Depreciation and amortisation | 490 | 330 | 714 |
+--------------------------------------+-----------+-----------+--------------+
| (Profit) / loss on sale of plant, | (9) | 18 | 12 |
| property and equipment | | | |
+--------------------------------------+-----------+-----------+--------------+
| Decrease in inventories | 3 | 10 | (4) |
+--------------------------------------+-----------+-----------+--------------+
| (Increase) / decrease in trade and | 635 | (446) | (152) |
| other receivables | | | |
+--------------------------------------+-----------+-----------+--------------+
| Increase in trade and other payables | 61 | 1,490 | 258 |
+--------------------------------------+-----------+-----------+--------------+
| Cash generated from operations | 1,293 | 1,577 | 1,916 |
+--------------------------------------+-----------+-----------+--------------+
6. Current bank loans and borrowings
At the balance sheet date Vero Software Plc had outstanding loans from Fortis
Bank of GBP846,000 (December 2008 : GBP1,359,000). As a result of a breach of a
loan covenant relating to debt service cover, advance repayments of GBP250,000
have been made in the period and the interest charged on the loans increased to
7% over LIBOR. The Group has a revised facility letter and a "letter of comfort"
from Fortis Bank stating that it does not intend to withdraw the facilities
available to the Group. Alternative sources of finance are being actively
pursued.
This information is provided by RNS
The company news service from the London Stock Exchange
END
IR EAKNNASXNEEE
Vero Software (LSE:VERO)
Historical Stock Chart
From Jan 2025 to Feb 2025
Vero Software (LSE:VERO)
Historical Stock Chart
From Feb 2024 to Feb 2025
