Don't pay just to have an ISA. Find out more
(BVM.L) Belgravium Technologies PLC Buy/Sell
Add to portfolio Set Alert Level 2 Desktop Trader
Summary
|
|
|||||||||||||||||||||||||||||||||||||||||||
|
|
|
||||||||||||||||||||||||||||||||||||||||||
| Date/Time | Headline | Source |
|---|---|---|
| 03-03-10 | RNS |
|
This news article is displayed preformatted as it may contain results tables
RNS Number : 9678H
Belgravium Technologies PLC
03 March 2010
For Immediate Release 3 March 2010
Belgravium Technologies Plc
(BVM:AIM)
Belgravium Technologies plc
Preliminary Results for the Twelve Months ended 31 December 2009
The Board of Belgravium Technologies plc ('Belgravium' or 'the Group'), designers and suppliers of mobile data capture systems, is pleased to announce preliminary results for the twelve months ended 31 December 2009.
Highlights:
o Revenue maintained at £8,286,000 (2008: £8,330,000)
o Profit before tax increased to £405,000 (2008: £398,000)
o Cash generation of £244,000 reduces net debt position to £1,424,000
o EPS increased to 0.43p (2008: 0.39p)
o Market share maintained in uncertain conditions
Commenting on the year end results, John Kembery, Chairman of Belgravium, said:
"I am pleased to report that Belgravium has met its strategic business objectives whilst delivering a profit in line with market expectations and reduced net debt. This is a particularly pleasing outcome given the worldwide loss of financial confidence which has affected all of our markets throughout 2009".
For further information please contact:
Belgravium Technologies Plc
John Kembery 07770 731 021
WH Ireland
Eric Burns 07910 900 950
CHAIRMAN'S STATEMENT 2009
Results
I am pleased to report that Belgravium has met its strategic business objectives whilst delivering a profit in line with market expectations and reduced net debt. This is a particularly positive outcome given the worldwide loss of financial confidence which has affected all of our markets throughout 2009.
Despite a marginal fall in revenues from £8,330,000 to £8,286,000, the Group made a profit before tax of £405,000 in the twelve months ended 31 December 2009, an improvement on the £398,000 achieved in the previous year. Although sales were strong in the last quarter of 2009, this is usually our best quarter and the similarity of first and second half sales shows that the market has not yet improved.
Basic earnings per share increased from 0.39p per ordinary share in 2008 to 0.43p per share in 2009.
Cash flow continued to be positive and net debt reduced by £244,000 in the year.
The contraction in our market and the operational gearing inherent within the Belgravium business model is very obvious when these results are compared with 2007 when the Group achieved revenues of £10,637,000 and made a profit before tax of over £2 million. A sustained improvement in market conditions would quickly enable us to return to better profits.
Operational Review
On maintained revenues, gross profit fell by 6.7% in 2009 compared to 2008. This was caused by pressure on hardware prices mitigated to some extent by our strategy of placing greater emphasis on our software and complete solutions. There was a compensating drop in administration costs of 6.9%, following a cost saving programme which ran throughout the year. All costs not considered strategically important were strictly controlled and the success of this programme contributed significantly to the maintenance of profits. In addition, productivity has been improved but numbers employed, particularly in the technical departments, will have to be increased once sales activity starts to increase.
The new "Boston" hand-held terminal, announced in the early part of the year, won general acclaim for its rugged functionality. Equipped with a long range barcode scanner and integral camera, this product was important in winning a major contract for the location, tracking and condition of palletised goods. This project offered considerable operational advantages and should lead to further business.
In the early part of the year, we signed an international supply agreement with SHV Group to supply LPG delivery systems in each of their many countries of operation. In the last quarter we supplied a major contract for SHV's distribution company in Italy, based upon our unique products for the petrochemical market. Several more such systems have orders pending in other countries with authorisation awaited from local management.
We have made progress with other petrochemical companies on several promising contracts across Europe and some smaller outlets in the UK, incorporating continual refinement and improvement of our purpose built products. There is a lot of opportunity in this sector but the selling process is protracted.
Our distributor in the USA, a software house specialising in petrochemical systems, had a better 2009 compared with 2008 but has still not recovered to the levels enjoyed in previous years.
Group activity in mobile retailing has been historically targeted at planes and trains. Airlines, in particular, have been under serious pressure in the past two years and have sought ways of increasing their margins, which has brought more interest in in-flight retailing services. Whilst we have a long-established presence in this market, we have, until recently, been unable to supply all the functions that the operators now require. As a result of strenuous developments in hardware and software, some involving specialised partners, we now have the most complete product range in the business. This created a great deal of fresh interest as the year concluded, with excellent prospects for 2010.
In the second half of 2009, our product development plans tended to concentrate on refinement and improvement of existing hardware, through listening to our customers and responding to their requests for added functionality. There have also been some attractive improvements in software which contributed to the greater appeal of our range. This strategy will continue in 2010, as our current product range is comprehensive and refinement is therefore more appropriate.
Balance Sheet
Belgravium has a sound balance sheet and has always been cash generative. With recent lower levels of profitability, we have felt it necessary to use all our available cash to reduce bank borrowings. As the year closed, total net debt was £1,424,000, having reduced by £538,000 in the past two years, an excellent achievement in the current economic climate.. The objective must be to further reduce debt and as a result we are not recommending a final dividend for the year. The Directors recognise that this is important to many shareholders and remain committed to restoring dividend payments as soon as conditions allow.
The Market
Belgravium manufactures and installs complete systems, incorporating both hardware and software, for real time data capture in the logistics, petrochemical and mobile retailing markets. There is a very real need for such systems, either to improve operating costs, efficiency or turnover. In addition, there are plenty of new prospects and opportunities to expand as we add new functions and capability to our systems. We rarely have to convince operating management of these advantages but it has proved increasingly difficult, in the current economic climate, to gain financial authorisation for what are usually seen as capital projects.
This is currently the nature of our market; slow moving and frustrating. Margins are still healthy, and we believe that revenue growth will be restored once confidence returns.
Strategy
It is Belgravium's overall objective to grow revenues. This will automatically increase profits and cash generation, given our operational leverage. In the current market we have devised a strategy which was explained in the 2009 Interim Report, which we continue to pursue. It is:
1. Persistent and determined sales focus at all levels. Everyone is a salesman.
2. Making sure that all products are fit for purpose and fit the customer's needs.
3. Supplying the complete solution, with increasing elements of repeat revenue.
4. Controlling costs with a focus on cash management.
5. Where we do not have expertise in a chosen sector, seek a strategic relationship with a partner who does.
Employees
It is not easy to deliver profits in these conditions and this shows in the results of many companies. That Belgravium has managed to fulfil many of its strategic objectives whilst reducing its costs, has required great application and flexibility by staff at all levels. This has been given without question and is a great tribute to the professionalism of our team.
As previously announced, from the 1st January 2010 Mike Unwin joined the Board as Financial Director and Chris Phillips has taken over as Company Secretary. After nine years of valuable service as a Non-executive Director, Stephen Day has announced that he will not seek re-election at the next AGM.
Outlook
During 2009 we have maintained profitability and made significant progress against our strategic objectives whilst continuing to reduce our net debt position. As we enter 2010 there are several exciting prospects which could deliver improved results but the uncertainty as to the timing of when they will mature, remains.
J P Kembery
Executive Chairman
2 March 2010
Audited consolidated income statement as at 31 December 2009
2009 2008
£'000 £'000
Revenue 8,286 8,330
Cost of sales (4,084) (3,824)
Gross profit 4,202 4,506
Distribution costs (94) (89)
Administrative expenses (3,623) (3,892)
Operating profit 485 525
Finance income 4 5
Finance expense (84) (132)
Profit before income tax 405 398
Income tax credit 32 -
Profit for the year attributable to the owners of the 437 398
parent
Earnings per ordinary share (pence) attributable to equity holders of the parent
during the year
Basic 0.43p 0.39p
Diluted 0.43p 0.39p
Audited consolidated statement of changes in equity for the year ended 31 December 2009
Called up share Share premium Capital redemption Profit and loss Total
capital reserve account
£'000 £'000 £'000 £'000 £'000
Balance at 1 January 2008 5,047 2,932 2,100 (892) 9,187
Comprehensive income
Profit for the year - - - 398 398
Transactions with owners
Dividends relating to 2007 - - - (384) (384)
Balance at 31 December 2008 5,047 2,932 2,100 (878) 9,201
Comprehensive income
Profit for the year - - - 437 437
Balance at 31 December 2009 5,047 2,932 2,100 (441) 9,638
Audited consolidated balance sheet as at 31 December 2009
2009 2008
£'000 £'000
Non-current assets
Intangible assets
Goodwill 9,124 9,124
Development expenditure 298 285
Intangible assets 9,422 9,409
Property, plant and equipment 316 354
9,738 9,763
Current assets
Inventories 1,223 1,358
Trade and other receivables 2,527 2,647
Current tax assets 50 -
Cash and cash equivalents 2 2
3,802 4,007
Total assets 13,540 13,770
Current liabilities
Trade and other payables 2,420 2,818
Current income tax liabilities - 34
Deferred income tax liabilities 39 21
Financial liabilities: Borrowings 815 962
Short term provisions 17 26
3,291 3,861
Non-current liabilities
Financial liabilities: Borrowings 611 708
Total liabilities 3,902 4,569
Capital and reserves attributable to equity holders of the Company
Ordinary shares 5,047 5,047
Share premium 2,932 2,932
Capital redemption reserve 2,100 2,100
Profit and loss account (441) (878)
Total equity 9,638 9,201
Total equity and liabilities 13,540 13,770
Audited consolidated cash flow statement for the year ended 31 December 2009 2009 2008
£'000 £'000
Cash flows from operating activities
Operating profit 485 525
Depreciation 177 128
Amortisation 139 111
Profit on sale of tangible fixed assets - (3)
Movement in:
Provisions (9) (20)
Inventories 135 (96)
Trade and other receivables 120 1,254
Trade and other payables (398) (336)
Cash generated from operations 649 1,563
Interest received 4 5
Interest paid (84) (123)
Corporation tax paid (34) (410)
Net cash generated from operating activities 535 1,035
Cash flows from investing activities
Proceeds from sale of property, plant and equipment - 3
Expenditure on intangible fixed assets (152) (129)
Purchase of property, plant and equipment (139) (231)
Net cash used in investing activities (291) (357)
Cash flows from financing activities
Repayment of bank borrowings (141) (542)
Dividends paid to company's ordinary shareholders - (384)
Net cash used in financing activities (141) (926)
Net increase/(decrease) in cash, cash equivalents and bank 103 (248)
overdrafts
Cash, cash equivalents and bank overdrafts at start of the (460) (212)
year
Cash, cash equivalents and bank overdrafts at end of the (357) (460)
year
1. General Information
Belgravium Technologies plc is a public limited company incorporated and domiciled in the UK and listed on the Alternative Investment Market. Its registered office is 151 Vincent Street, Glasgow, G2 5NJ.
The consolidated financial statements were authorised for issue in accordance with a resolution of the Directors on 3 March 2010.
2. Basis of preparation
The financial information set out in this document does not constitute the Group's financial statements for the year ended 31 December 2009 or 31 December 2008. The annual report and financial statements for the year ended 31 December 2009 were approved by the Board of Directors on 2 March 2010 along with this preliminary announcement, but have not yet been delivered to the Registrar of Companies.
The auditors' report on the financial statements for the year ended 31 December 2009 was unqualified and did not contain a statement under section 498 of the Companies Act 2006. Financial statements for the year ended 31 December 2008 have been delivered to the Registrar of Companies. The auditors' report on the financial statements for the year ended 31 December 2008 was unqualified and did not contain a statement under section 237 of the Companies Act 1985.
The audited consolidated financial statements from which these results are extracted have been prepared under the historical cost convention and in accordance with International Financial Reporting Standards (IFRS) as adopted by the European Union, IFRIC interpretations and those parts of the Companies Act 2006 applicable to companies reporting under IFRS.
The accounting policies set out below represent an extract of the policies set out in the consolidated financial statements. There have been no changes in accounting policies in the year.
3. Critical accounting estimates and assumptions
The Group makes estimates and assumptions concerning the future. The resulting accounting estimates will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below.
(a) Estimated impairment of goodwill
The Group tests annually whether goodwill has suffered any impairment, in accordance with its accounting policy. The recoverable amounts of cash-generating units have been determined based on value-in-use calculations. These calculations require the use of estimates, both in arriving at the expected future cash flows and the application of a suitable discount rate in order to calculate the present value of these flows.
(b) Development expenditure
The Group recognises costs incurred on development projects as an intangible asset which satisfy the requirements of IAS 38. The calculation of the costs incurred includes the percentage of time spent by certain employees on the development project. The decision whether to capitalise and how to determine the period of economic benefit of a development project requires an assessment of the commercial viability of the project and the prospect of selling the project to new or existing customers.
4. Audited reconciliation of net financial liabilities
2009 2008
£'000 £'000
Reconciliation of net financial liabilities
Net increase/(decrease) in cash, cash equivalents and 103 (248)
bank overdrafts
Net change in bank loans and finance leases 141 542
Movement in net financial liabilities in the year 244 294
Net financial liabilities at beginning of year (1,668) (1,962)
Net financial liabilities at end of year (1,424) (1,668)
5. Audited earnings per ordinary share
2009 2008
Basic earnings per ordinary share 0.43p 0.39p
Diluted earnings per ordinary share 0.43p 0.39p
Basic earnings per share is calculated by dividing the earnings attributable to ordinary shareholders by the weighted average number of ordinary shares in issue during the year.
For diluted earnings per share, the weighted average number of ordinary shares in issue is adjusted to assume conversion of all dilutive ordinary shares. The dilutive ordinary shares represent the share options and warrants granted to employees where the exercise price is less than the average market price of the Company's ordinary shares during the year.
Reconciliations of the earnings and weighted average number of shares used in the calculation are set out below:
2009 2008
Earnings Weighted average Earnings Weighted average
£'000 number of shares (in £'000 number of shares (in
thousands) thousands)
Basic EPS
Earnings attributable to 437 100,937 398 100,937
ordinary shareholders
Effect of dilutive securities
Options - - - -
Diluted EPS
Adjusted earnings 437 100,937 398 100,937
This information is provided by RNS
The company news service from the London Stock Exchange
END
FR UGURPWUPUGQP
More |
||
| 23-12-09 | RNS |
|
|
RNS Number : 5946E Belgravium Technologies PLC 23 December 2009 Belgravium Technologies Plc (the "Company") Re: Directorate
The Board of Belgravium Technologies plc announces that with effect from 1 Jan 2010 Chris Phillips (currently a director of the Company) will also be appointed Company Secretary. From the same date, Mike Unwin, currently Company Secretary, will be appointed Finance Director and resign as Company Secretary. Stephen Day, having been a non-executive Director for 9 years, announces that he will not seek re-election at the next AGM. Other information Michael Paul Unwin (Mike) (age 55) is currently a director of the following companies: Belgravium Limited Eadie Industries Limited Ewen Engineering Limited Heathermoor Limited Envirotech Products Limited Mike has no shareholding in the Company. There is no further information required to be disclosed in accordance with Schedule 2, paragraph (g) of the AIM Rules for Companies. For further information please contact: Belgravium Technologies Plc John Kembery, Executive Chairman 01274 718800 KPMG Corporate Finance
Notes to Editors KPMG Corporate Finance, a division of KPMG LLP which is authorised and regulated by the Financial Services Authority for investment business activities, is acting for the Company as nominated adviser in relation to the matters set out in this announcement and is not acting for any other person in relation to these matters. KPMG Corporate Finance will not be responsible to anyone other than Company for providing the protections afforded to its clients or for providing advice in relation to the contents of this announcement. This information is provided by RNS The company news service from the London Stock Exchange END
BOAFESFWESUSEFE More |
||
| Date/Time | Subject | Author | ||
|---|---|---|---|---|
| Mon 17:35 | ||||
|
| ||||
|
| ||||
|
Mydoom
Following your advice of dyor I had lunch today with a Nomad who has spent time traipsing around the City trying to raise funds etc for smallish players. His initial thoughts about AIM, not just BVM, is that it is going to get harder and harder for them to raise funds for expansion etc. Unless there is a significant loosening of the noose from the financial sector, the likes of BVM will struggle to get above todays profits. He expects to see companies like BVM drift down and down until they go private. The cost of being on AIM is roughly 250K GBP and this is daft when your profits are relatively low. I also spoke to contacts within the big players, Moto, Intermec and Honeywell, all have struggled over the last 2 years. None expect 2010 to be much better but the majority of the redundancies are out of the way and they expect a period of calm (6 months) whilst companies decided whether to invest, or not, in new technologies. |
||||
| 12-03-10 |
SELL
BVM
|
|||
|
| ||||
|
| ||||
|
dyor !
|
||||
| 10-03-10 | ||||
|
| ||||
|
| ||||
|
Don't it give out, unless you can receive it, is my advice to you and I suggest you grow up and stop playing, on BB you dont invest, trying to create problems to genuine investors. Would you like a direct link to mydoom ? crash bung bang puff. DYOR.
|
||||
| 10-03-10 | ||||
|
| ||||
|
| ||||
|
Hey TartinMucker, you not using your other user name on here? why not? or is that one held specifically for posting on other boards that some of us post on? You really do need to grow up!! Or start posting facts as to why this share is going to go north? Not just links. But I guess other posters are right, you are a sad child that managed to get sucked in by some other ramper and your not trying to recover your losses.
As for posting over on BVM, you are making a fool of yourself!! Well Well Well, can't handle it a bit back, squealing like a pig, just like the others ? imho dyor ! |
||||
The contents of the postings summarised here represents the opinions of the authors and not of Interactive Investor Trading Limited.
They have not been approved or issued by Interactive Investor Trading Limited.
They have not been approved or issued by Interactive Investor Trading Limited.
Discussion Board Terms & Conditions FSA Market Abuse Fact Sheet
More...