The Board of Hill & Smith Holdings PLC announces a further improvement in the Group’s financial performance for the six months ended 30 June 2003.
Highlights:
- Profit before exceptional items, goodwill amortisation and tax up by 0.6%
- Turnover up by 21.3%
- Adjusted earnings per share up by 3.7%
- Interim dividend increased to 2.15p per share, covered 2.8 times
- Improved long-term banking facilities secured
- Disposal of non-core business for £3.0 million
Operating margin was 1% lower than last year as a result of higher raw material prices and an increase in pension costs of £0.7 million.
Chairman David Winterbottom said: “Our core businesses supplying the building, construction and transport infrastructure markets continued to make progress. The increased spending in public sector projects and the strength of the construction market has provided a healthy level of demand for our products.
“During the period, we benefited from the integration of the businesses that we acquired last year and from a number of major contracts including the supply of reinforced steel bar for London Heathrow’s Terminal 5. We also completed the disposal of SI Pressure Instruments Limited and closed the loss-making Wombwell Foundry Limited as indicated in our 2002 Annual Report.
“We have recently replaced the bank facilities arranged three years ago to fund the acquisition of Ash and Lacy Plc, with new facilities for five years, on terms more advantageous to the Group.
“Subject to there being no adverse change in trading conditions, we look forward to another satisfactory outcome for the full year”.
…Ends
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