Dewhurst Group
plc
Interim Results for the 6
months ended 31 March 2024
Directors' Interim
Report
FIRST HALF
We are pleased to report a busy, but
solid performance for the first half of the current financial year,
in line with management expectations. Overall, Group revenue
increased by 2% to £31.0 million (2023: £30.4 million). Our
operating profits have been impacted by the initial investment and
set-up costs required to get Dewhurst displays operational quickly
in Singapore and decreased slightly by 7% to £3.7 million (2023:
£4.0 million). However, it is pleasing to report that we are
seeing steady growth in lift display sales and increased
profitability, as customers deplete their Avire display inventory
and start purchasing Dewhurst displays. Profit before tax decreased
3% to £3.9 million (2023: £4.0 million). Earnings per share
improved 2% to 32.9p (2023: 32.1p). First half currency movements
decreased Group revenue and profit by 4%.
Lift Division sales grew in most
regions, led by a stronger performance in the UK, as well as growth
resulting from new lift display sales mentioned above. There was a
further modest recovery in Transport sales, although these continue
to be volatile. Keypad Division sales continued to experience
the low demand seen last year in the first quarter, but picked up
in the second quarter.
The Group balance sheet remains
strong with cash at the period end of £19.9 million (2023: £22.6
million). This is after paying £1.5 million to acquire the
remaining 25% stake in P&R on 14 March 2024 as well as spending
£1.8 million on a share buyback programme that ran throughout
February and March 2024. These shares will be cancelled in early
July when we are no longer in a close period.
OUTLOOK
In North America the market has
softened this year, due to the effect of increases in interest
rates on property investment. The impact of this will feed
gradually into sales during the rest of the year. Orders in
Australia have been healthy this year, which should generate sales
growth in the second half. The UK should continue its encouraging
performance, although the impact of the election is an uncertainty.
On balance, we expect overall growth in the second half, although
this will be dampened if the pound continues to strengthen in the
rest of the year. As such, the Board is confident the Company is
well positioned to achieve market expectations for FY24[1].
DIVIDENDS
The Directors have declared an
increased interim dividend of 5.00p per ordinary share (2023:
4.75p) which amounts to £387,000 (2023: £384,000). The interim
dividend is payable on 13 August 2024 and will be posted on 8
August 2024 to shareholders appearing in the Register on 19
July 2024 (ex-dividend date being 18 July 2024).
A final 2023 dividend of 11.00p
(2022: 10.25p) which amounted to £882,000 (2022: £828,000) was
approved at the AGM held on 20 February 2024 and was paid on 26
February 2024 to members on the register at 19 January
2024.
By Order of the Board
J C
SINCLAIR
Chief Financial Officer &
Secretary
21 June 2024
Dewhurst Group plc
The unaudited consolidated statement
of comprehensive income, statement of financial position, statement
of changes in equity and cash flow statement of Dewhurst Group plc
and its subsidiaries for the half-year ended 31 March 2024, as
compared with the corresponding half-year ended 31 March 2023 and
the year ended 30 September 2023, shows the following
results:
Consolidated statement of comprehensive
income
|
|
Half year
|
Half
year
|
Year
|
|
|
ended
|
ended
|
ended
|
|
|
31 March
|
31
March
|
30
Sept
|
|
|
2024
|
2023
|
2023
|
|
Continuing operations
|
£000's
|
£000's
|
£000's
|
|
|
|
|
|
|
Revenue
|
30,962
|
30,379
|
57,962
|
|
Operating costs
|
(27,301)
|
(26,423)
|
(50,212)
|
|
Adjusted operating profit
|
3,661
|
3,956
|
7,750
|
|
|
-
|
-
|
-
|
|
Operating profit
|
3,661
|
3,956
|
7,750
|
|
Finance income
|
343
|
181
|
494
|
|
Finance costs
|
(88)
|
(95)
|
(156)
|
|
Profit before taxation
|
3,916
|
4,042
|
8,088
|
|
Taxation
|
Est.
(1,293)
|
Est. (1,448)
|
(2,966)
|
|
Profit for the financial period
|
2,623
|
2,594
|
5,122
|
|
|
|
|
|
|
Other comprehensive income:
|
|
|
|
|
Actuarial gains/(losses) on the
defined benefit pension scheme
|
Est.
649
|
Est. (1,453)
|
(1,896)
|
|
Deferred tax effect
|
(162)
|
363
|
474
|
|
Current tax effect
|
Est.
157
|
Est. 218
|
348
|
|
Total that will not be subsequently
reclassified to income statement
|
644
|
(872)
|
(1,074)
|
|
|
|
|
|
|
Exchange differences on translation
of foreign operations
|
(702)
|
(3,236)
|
(3,544)
|
|
Total that may be subsequently
reclassified to income statement
|
(702)
|
(3,236)
|
(3,544)
|
|
Other comprehensive income/(expense) for the period, net of
tax
|
(58)
|
(4,108)
|
(4,618)
|
|
Total comprehensive income for the period
|
2,565
|
(1,514)
|
504
|
|
|
|
|
|
|
Profit for the period attributable
to:
|
|
|
|
|
Equity shareholders of the
company
|
2,495
|
2,532
|
5,037
|
|
Non-controlling interests
|
128
|
62
|
85
|
|
|
2,623
|
2,594
|
5,122
|
|
|
|
|
|
|
Total comprehensive income for the
period attributable to:
|
|
|
|
|
Equity shareholders of the
company
|
2,443
|
(1,425)
|
623
|
|
Non-controlling interests
|
122
|
(89)
|
(119)
|
|
|
2,565
|
(1,514)
|
504
|
|
|
|
|
|
|
Basic and diluted earnings per share
|
32.92p
|
32.10p
|
62.45p
|
|
Dividends per share
|
5.00p
|
4.75p
|
15.75p
|
Dewhurst Group
plc
Consolidated statement of financial position
|
|
Half year
|
Half
year
|
Year
|
|
|
ended
|
ended
|
ended
|
|
|
31 March
|
31
March
|
30
Sept
|
|
|
2024
|
2023
|
2023
|
|
|
£000's
|
£000's
|
£000's
|
|
Non-current assets
|
|
|
|
|
Goodwill
|
9,474
|
9,672
|
9,516
|
|
Other intangibles
|
676
|
17
|
389
|
|
Property, plant and
equipment
|
17,016
|
17,573
|
17,443
|
|
Right-of-use assets
|
2,228
|
2,159
|
2,426
|
|
Deferred tax asset
|
-
|
262
|
54
|
|
|
29,394
|
29,683
|
29,828
|
|
|
|
|
|
|
Current assets
|
|
|
|
|
Inventories
|
8,127
|
7,377
|
8,337
|
|
Trade and other
receivables
|
11,766
|
12,475
|
10,182
|
|
Current tax asset
|
21
|
-
|
-
|
|
Cash and cash equivalents
|
19,914
|
22,590
|
24,374
|
|
|
39,828
|
42,442
|
42,893
|
|
Total assets
|
69,222
|
72,125
|
72,721
|
|
|
|
|
|
|
Current liabilities
|
|
|
|
|
Trade and other payables
|
6,755
|
7,618
|
6,899
|
|
Current tax liabilities
|
-
|
319
|
578
|
|
Short-term provisions
|
157
|
343
|
158
|
|
Lease liabilities
|
716
|
501
|
719
|
|
|
7,628
|
8,781
|
8,354
|
|
Non-current liabilities
|
|
|
|
|
Retirement benefit
obligation
|
837
|
2,377
|
2,112
|
|
Deferred tax liabilities
|
364
|
-
|
-
|
|
Lease liabilities
|
1,741
|
1,894
|
1,938
|
|
Total liabilities
|
10,570
|
13,052
|
12,404
|
|
Net
assets
|
58,652
|
59,073
|
60,317
|
|
|
|
|
|
|
Equity
|
|
|
|
|
Share capital
|
773
|
808
|
802
|
|
Share premium account
|
157
|
157
|
157
|
|
Capital redemption reserve
|
363
|
329
|
334
|
|
Translation reserve
|
1,031
|
1,980
|
1,726
|
|
Retained earnings
|
55,676
|
54,357
|
55,916
|
|
Total attributable to equity shareholders of the
company
|
58,000
|
57,631
|
58,935
|
|
Non-controlling interests
|
652
|
1,442
|
1,382
|
|
Total equity
|
58,652
|
59,073
|
60,317
|
Dewhurst Group
plc
Consolidated statement of changes in equity
For
the period ended 31 March 2024
|
|
|
|
|
|
|
|
|
|
|
Share
|
Share
|
Capital
|
Translation
|
Retained
|
Non
|
Total
|
|
|
capital
|
premium
|
redemption
|
reserve
|
earnings
|
controlling
|
equity
|
|
|
|
account
|
reserve
|
|
|
interest
|
|
|
|
£(000)
|
£(000)
|
£(000)
|
£(000)
|
£(000)
|
£(000)
|
£(000)
|
|
|
|
|
|
|
|
|
|
|
At
30 September 2023
|
802
|
157
|
334
|
1,726
|
55,916
|
1,382
|
60,317
|
|
Exchange differences on
translation of foreign
operations
|
-
|
-
|
-
|
(695)
|
-
|
(7)
|
(702)
|
|
Share
Repurchase
|
(29)
|
-
|
29
|
-
|
(1,776)
|
-
|
(1,776)
|
|
Actuarial gains/(losses) on defined benefit pension
scheme
|
-
|
-
|
-
|
-
|
649
|
-
|
649
|
|
Deferred tax effect
|
-
|
-
|
-
|
-
|
(162)
|
-
|
(162)
|
|
Tax
on items taken directly to equity (Est.)
|
-
|
-
|
-
|
-
|
157
|
-
|
157
|
|
Dividends paid
|
-
|
-
|
-
|
-
|
(882)
|
(84)
|
(966)
|
|
Purchase of subsidiary and business
undertakings
|
-
|
-
|
-
|
-
|
(721)
|
(767)
|
(1,488)
|
|
Profit for the period
|
-
|
-
|
-
|
-
|
2,495
|
128
|
2,623
|
|
|
|
|
|
|
|
|
|
|
At 31 March
2024
|
773
|
157
|
363
|
1,031
|
55,676
|
652
|
58,652
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
For the period ended 31 March
2023
|
|
|
|
|
|
|
|
|
|
|
Share
|
Share
|
Capital
|
Translation
|
Retained
|
Non
|
Total
|
|
|
capital
|
premium
|
redemption
|
reserve
|
earnings
|
controlling
|
equity
|
|
|
|
account
|
reserve
|
|
|
interest
|
|
|
|
£(000)
|
£(000)
|
£(000)
|
£(000)
|
£(000)
|
£(000)
|
£(000)
|
|
|
|
|
|
|
|
|
|
|
At 30 September 2022
|
808
|
157
|
329
|
5,065
|
53,525
|
1,649
|
61,533
|
|
Exchange differences on
translation of foreign
operations
|
-
|
-
|
-
|
(3,085)
|
-
|
(151)
|
(3,236)
|
|
Actuarial gains/(losses) on defined
benefit pension scheme
|
-
|
-
|
-
|
-
|
(1,453)
|
-
|
(1,453)
|
|
Deferred tax effect
|
-
|
-
|
-
|
-
|
363
|
-
|
363
|
|
Tax on items taken directly to
equity (Est.)
|
-
|
-
|
-
|
-
|
218
|
-
|
218
|
|
Dividends paid
|
-
|
-
|
-
|
-
|
(828)
|
(118)
|
(946)
|
|
Profit for the period
|
-
|
-
|
-
|
-
|
2,532
|
62
|
2,594
|
|
|
|
|
|
|
|
|
|
|
At 31 March 2023
|
808
|
157
|
329
|
1,980
|
54,357
|
1,442
|
59,073
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
Dewhurst Group
plc
Consolidated statement of changes in equity
(cont'd)
For the year ended 30 September
2023
|
|
|
|
|
|
|
|
|
|
|
Share
|
Share
|
Capital
|
Translation
|
Retained
|
Non
|
Total
|
|
|
capital
|
premium
|
redemption
|
reserve
|
earnings
|
controlling
|
equity
|
|
|
|
account
|
reserve
|
|
|
interest
|
|
|
|
£(000)
|
£(000)
|
£(000)
|
£(000)
|
£(000)
|
£(000)
|
£(000)
|
|
|
|
|
|
|
|
|
|
|
At 30 September 2022
Share
Repurchase
|
808
(6)
|
157
--
|
329
6
|
5,065
--
|
53,525
(375)
|
1,649
--
|
61,533
(375)
|
|
Exchange differences on
translation of foreign
operations
|
-
|
-
|
-
|
(3,340)
|
-
|
(204)
|
(3,544)
|
|
Actuarial gains/(losses) on defined
benefit pension scheme
|
-
|
-
|
-
|
-
|
(1,896)
|
-
|
(1,896)
|
|
Deferred tax effect
|
-
|
-
|
-
|
-
|
474
|
-
|
474
|
|
Tax on items taken directly to
equity
|
-
|
-
|
-
|
-
|
348
|
-
|
348
|
|
Dividends paid
|
-
|
-
|
-
|
-
|
(1,197)
|
(148)
|
(1,345)
|
|
Profit for the year
|
-
|
-
|
-
|
-
|
5,037
|
85
|
5,122
|
|
|
|
|
|
|
|
|
|
|
At 30 September 2023
|
802
|
157
|
335
|
1,725
|
55,916
|
1,382
|
60,317
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
These half-year abbreviated
financial statements are unaudited and do not constitute statutory
accounts within the meaning of Section 435 of the Companies Act
2006. The results for the year ended 30
September 2023 set out above are abridged. Full accounts for
that year reported under IFRS, on which the auditors of the Company
made an unqualified report have been delivered to the Registrar of
Companies.
The presentation of these Interim
Financial Statements is consistent with the 2023 Financial
Statements and its accounting policies, but where necessary
comparative information has been reclassified or expanded from the
2023 Interim Financial Statements to take into account any
presentational changes made in the 2023 Financial Statements or in
these Interim Financial Statements.
Dewhurst Group
plc
Consolidated cash flow statement
|
|
Half year
|
Half
year
|
Year
|
|
|
ended
|
ended
|
ended
|
|
|
31 March
|
31
March
|
30
Sept
|
|
|
2024
|
2023
|
2023
|
|
|
£000's
|
£000's
|
£000's
|
|
Cash
flows from operating activities
|
|
|
|
|
Operating profit
|
3,661
|
3,956
|
7,750
|
|
Depreciation and
amortisation
|
621
|
533
|
1,090
|
|
Right-of-use asset
depreciation
|
186
|
251
|
605
|
|
Additional contributions to pension
scheme
|
(685)
|
(919)
|
(1,634)
|
|
Exchange adjustments
|
(503)
|
(759)
|
(878)
|
|
(Profit)/loss on disposal of
property, plant and equipment
|
(33)
|
(17)
|
(4)
|
|
|
3,247
|
3,045
|
6,929
|
|
(Increase)/decrease in
inventories
|
210
|
554
|
(406)
|
|
(Increase)/decrease in trade and
other receivables
|
(1,584)
|
(157)
|
2,136
|
|
Increase/(decrease) in trade and
other payables
|
(144)
|
(165)
|
(884)
|
|
Increase/(decrease) in
provisions
|
(1)
|
(1)
|
(186)
|
|
Cash generated from
operations
|
1,728
|
3,276
|
7,589
|
|
Interest paid
|
-
|
-
|
(1)
|
|
Tax paid
|
(1,471)
|
(398)
|
(1,218)
|
|
Net
cash from operating activities
|
257
|
2,878
|
6,370
|
|
|
|
|
|
|
Cash
flows from investing activities
|
|
|
|
|
Purchase of subsidiary and business
undertakings
|
(1,488)
|
-
|
-
|
|
Proceeds from sale of property, plant
and equipment
|
38
|
28
|
67
|
|
Purchase of property, plant and
equipment
|
(485)
|
(298)
|
(830)
|
|
Development costs
capitalised
|
-
|
-
|
(384)
|
|
Interest received
|
343
|
181
|
494
|
|
Net
cash generated from/(used in) investing
activities
|
(1,592)
|
(89)
|
(653)
|
|
|
|
|
|
|
Cash
flows from financing activities
|
|
|
|
|
Dividends paid
|
(966)
|
(946)
|
(1,345)
|
|
Repayment of lease liabilities
including interest
|
(217)
|
(291)
|
(688)
|
|
Purchase of own shares
|
(1,776)
|
-
|
(375)
|
|
Net
cash used in financing activities
|
(2,959)
|
(1,237)
|
(2,408)
|
|
|
|
|
|
|
Net
increase/(decrease) in cash and cash equivalents
|
(4,294)
|
1,552
|
3,309
|
|
Cash and cash equivalents at
beginning of period
|
24,374
|
21,764
|
21,764
|
|
Exchange adjustments on cash and cash
equivalents
|
(166)
|
(726)
|
(699)
|
|
Cash
and cash equivalents at end of period
|
19,914
|
22,590
|
24,374
|
Contacts:
Dewhurst Group Plc
Tel: +44 (0)208 744 8200
Richard Dewhurst, Chairman
Jared Sinclair, Chief Financial
Officer
www.dewhurst-group.com
Singer Capital Markets (Nominated Adviser and Sole Broker)
Tel: +44 (0)207 496 3000
Rick Thompson / Alex Bond