* EBITDA is calculated as operating profit before depreciation and
Transcription
* EBITDA is calculated as operating profit before depreciation and
Patisserie Holdings plc (‘the Group’) Interim results for the 6 months ended 31 March 2015 Patisserie Holdings plc, the leading UK branded café and casual dining group, today reports its interim results for the 6 months ended 31 March 2015. Financial summary Revenue EBITDA* Pre-tax profit Basic earnings per share Diluted earnings per share 6 months ended 31 March 2015 £m 6 months ended 31 March 2014 £m Change 43.7 8.7 7.0 5.50 5.46 35.7 7.1 4.8 4.79p 4.56p 22.2% 23.1% 45.0% 14.7% 19.7% % * EBITDA is calculated as operating profit before depreciation and amortisation and for 31 March 2014 also excludes exceptional items. Highlights Group revenue of £43.7m up by 22.2% (2014: £35.7m) Gross profit of £33.7m up by 22.0% (2014: £27.7m) EBITDA of £8.7m up by 23.1% (2014: £7.1m) Significant growth in pre-tax profit to £7.0m up by 45.0% (2014: £4.8m) Operating cash flows of £8.0m up by 110.5% Diluted earnings per share of 5.46p up by 19.7% (2014: 4.56p) Net cash at 31 March 2015 of £3.0m (2014: £0.2m) 10 new stores opened in the period all funded from operating cash flow 156 trading stores at the period end Luke Johnson, Executive Chairman, said “We have delivered another strong set of results in the first half of 2015. Sales across all of the different formats in the Group continue to perform well and our brand awareness continues to grow. We have opened 10 new stores since the beginning of the year and trialled several new product launches, such as afternoon tea, all with pleasing results. The Group is well placed for a successful second half of the year and beyond.” Enquiries Patisserie Holdings PLC Luke Johnson, Executive Chairman Paul May, Chief Executive Officer Chris Marsh, Finance Director Nomad and Broker Canaccord Genuity Limited Bruce Garrow Peter Stewart Joe Weaving Financial Public Relations Maitland James Devas +44 (0)121 777 7000 +44 (0)20 7523 8000 +44 (0) 20 7379 5151 Chief Executive’s Statement Results I am delighted to report a strong set of results for the six months to 31 March 2015. During the first half of the year, the Group delivered an increase in revenue of £7.9m or 22.2% to £43.7m (2014: £35.7m over the same period last year). EBITDA was £8.7m, an increase of £1.6m or 23.1% (2014: £7.1m) and pre-tax profit was £7.0m, an increase of £2.2m or 45.0% (2014: £4.8m). Basic earnings per share of 5.50 pence per share represented a 14.7% increase on last year (2014: 4.79 pence per share) and diluted earnings per share was 5.46 pence per share, 19.7% higher than last year (2014: 4.56 pence per share). All of our brands performed very well in the first six months of the year. Revenue from Patisserie Valerie (106 stores) was £28.9m, up £4.6m or 18.8% (2014: £24.3m). We launched several new seasonal products in the period, including a winter menu and afternoon tea, which have all helped drive increases in revenues. We also trialled voucher deals via promotional websites which sold exceptionally well, and due to the strength of our brand, we were able to offer these deals at little or no discount. On the back of our growth in online sales, we developed a new website which went live in January. The website has new features including 360 degree virtual tours of our cafes and a “create-a-cake” feature which is proving to be very popular. Revenue from our other brands was also encouraging. Druckers (22 stores) and Baker & Spice (4 stores) grew from £8.5m in 2014 to £8.7m in 2015, whilst revenue from Flour Power City (1 site), our wholesale business, grew from £1.0m in 2014 to £1.1m in 2015. Revenue from Philpotts (23 stores), a premium sandwich retailer which we acquired in February 2014, was £5.0m. Philpotts is now fully integrated into the Group and is operating with a streamlined backoffice function and is benefiting from the Group’s purchasing power. In the 12 months since acquisition, the business has performed ahead of expectations and contributed £1.3m of profit before tax to the Group and is on track to meet our payback hurdle rate set for acquisitions. Estate Development During the period we successfully opened 10 new stores (2014: 8) located across the UK in high-streets and shopping centres and across different formats from brasseries (1), service station (1), counter service (2), concessions (1) and full service (5). All of our new stores were acquired from existing cash and are all performing in line with expectations and trading profitably. All 19 stores opened in the prior financial year continue to trade well and a number of these have already paid back the initial capital outlay, well ahead of the 24 month target. The pipeline for new stores remains healthy. We have identified and secured or are in advanced discussions to secure new sites to enable us to deliver the 20 store target for the year. Notwithstanding our focus on delivering on the organic store rollout, we are continuing to assess selective acquisition opportunities that we believe would be accretive to the Group. Cash flow & balance sheet Cash flow generated from operations was £9.2m (2014: £5.5m) and after interest and tax payments, free cash flows available for investment were £8.0m (2014: £3.8m). We invested £3.6m in capital expenditure (2014: £3.9m) the majority of which was invested in opening new stores. Net cash inflow in the period was £4.4m (2014: £1.3m) and at the end of the period the net cash position was £3.0m (2014: £0.2m). Dividends As previously announced, the Directors continue to anticipate a maiden dividend to be paid in respect of the financial year ending 30 September 2015. Current Trading and Outlook We have delivered a strong set of results in the first half of the year and look to continue this performance through the remainder of 2015. Trading to date remains encouraging and, with our premium brands, established management team and a strong pipeline for new stores, I am confident that we will deliver another set of positive results in line with the Board’s expectations at the year end. CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME FOR THE SIX MONTHS ENDED 31 MARCH 2015 Six months to 31 March 2015 £’000 Total Unaudited Six months to Year to 31 March 30 September 2014 2014 £’000 £’000 Total Total Unaudited Audited Notes Continuing operations Revenue Cost of sales Gross profit Administration expenses Operating profit before exceptional items Exceptional items 5 Operating profit Finance expense Profit before income tax Income tax expense 4 Profit after tax and total comprehensive income for the period attributable to equity holders Earnings per share Basic earnings per share (pence) Diluted earnings per share (pence) 43,683 (9,940) 35,747 (8,094) 76,641 (17,363) 33,743 (26,754) 27,653 (22,314) 59,278 (48,007) 6,989 - 5,604 (265) 12,129 (858) 6,989 5,339 11,271 (34) (541) (858) 6,955 (1,460) 4,798 (1,115) 10,413 (1,512) 5,495 3,683 8,901 5.50 5.46 4.79 4.56 10.41 10.12 7 CONDENSED CONSOLIDATED BALANCE SHEET 31 MARCH 2015 31 March 2015 £’000 Unaudited 31 March 2014 £’000 Unaudited 30 September 2014 £’000 Audited 17,872 30,699 17,897 27,363 17,897 28,794 48,571 45,260 46,691 9,964 4,118 2,978 6,226 3,160 294 10,552 3,927 484 17,060 9,680 14,963 65,631 54,940 61,654 1,000 33,661 (89) 25,902 1 499 15,189 1,000 33,661 (212) 20,407 60,474 15,689 54,856 1,746 25,771 1,323 1,746 1,746 27,094 1,746 3,411 - 4,451 7,462 244 3,149 1,903 - 3,411 12,157 5,052 5,157 39,251 6,798 65,631 54,940 61,654 Notes ASSETS Non-current assets Intangible assets Property, plant and equipment 8 Current assets Trade and other receivables Inventories Cash and cash equivalents Total assets EQUITY AND LIABILITIES Equity Capital and reserves attributable to the equity holders Ordinary share capital Share premium Other reserves Retained earnings Total equity Non-current liabilities Borrowings Deferred tax Current liabilities Trade and other payables Borrowings Corporation tax Total liabilities Total equity and liabilities Registered no. 08963601 9 CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY FOR THE SIX MONTHS ENDED 31 MARCH 2015 Share capital Share premium Retained earnings Total £'000 Share based payment reserve £'000 £'000 £'000 £'000 £'000 £'000 1,000 33,661 (312) 46 54 20,407 54,856 Result and total comprehensive income for the period - - - - 123 5,495 5,618 Transactions with owners - - - - - - - 1,000 33,661 (312) 46 177 25,902 60,474 1 499 - 12,006 - - - 11,506 - - 3,683 3,683 Transactions with owners 1 - 499 - - - - 15,189 - 15,689 - As at 31 March 2014 1 499 - - - 15,189 15,689 Audited As at 30 September 2013 1 499 - - - 11,506 12,006 - - - - 8,901 8,901 Unaudited As at 30 September 2014 As at 31 March 2015 Unaudited As at 30 September 2013 Result and total comprehensive income for the period Result and total comprehensive income for the period Transactions with owners Increase in share based payments reserve Shares issues under employee share schemes Reorganisation of share capital Shares issued on listing on AIM Cost of issue of equity shares As at 30 September 2014 Merger Capital reserve redemption reserve 41 1,959 - - 54 - - 54 2,000 765 193 - (499) 32,560 (858) (312) - 46 - - - 32,753 (858) 1,000 33,661 (312) 46 54 20,407 54,856 CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS FOR THE SIX MONTHS ENDED 31 MARCH 2015 Six months to 31 March Six months to 31 March Year to 30 September 2015 £’000 Unaudited 2014 £’000 Unaudited 2014 £’000 Audited 6,955 4,798 10,413 1,724 34 1,473 541 3,195 858 123 - 58 Notes Cash flows from operating activities Profit before income tax Adjusted by: Depreciation and amortisation Net finance charges in the consolidated statement of comprehensive income Impairment charge Other non-cash charges Changes in working capital: Inventory Trade and other receivables Trade and other payables (191) 336 259 (363) (330) (624) (1,130) (2,771) (2,197) 9,240 (34) (1,207) 5,495 (276) (1,396) 8,426 (858) (3,124) Net cash generated from operating activities 7,999 3,823 4,444 Cash flows from investing activities Acquisition of subsidiary undertakings Purchase of property, plant and equipment (3,602) (3,760) (3,879) (3,869) (7,032) Net cash used in investing activities (3,602) (7,639) (10,901) Cash flows from financing activities Proceeds from borrowings Net proceeds from issue of shares Repayment of borrowings - 7,850 (2,703) 7,875 33,895 (35,608) Net cash generated from financing activities - 5,147 6,162 4,397 1,331 (1,419) (1,124) (1,124) 207 (1,419) Cash generated from operations Interest paid Income tax paid Net increase / (decrease) in cash and cash equivalents Cash and cash equivalents at the beginning of the period Cash and cash equivalents at the end of the period 2,978 (295) NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS FOR THE SIX MONTH ENDED 31 MARCH 2015 1. General information Patisserie Holdings plc (the Company) and its subsidiaries (collectively the Group) operate in the casual dining sector offering cakes, pastries, snacks, meals and hot and cold drinks across the UK. The Company is a public limited company which is listed on the Alternative Investment Market (AIM) of the London Stock Exchange and incorporated and domiciled in England and Wales. The registered office of the Company is 146 - 156 Sarehole Road, Birmingham, B28 8DT. This document along with copies of the Annual Report and Accounts may be obtained from the registered office or via the Investor section of the Company’s website at www. patisserie-valerie.co.uk 2. Basis of preparation The condensed financial statements have been prepared using accounting policies consistent with International Financial Reporting Standards (IFRS) and International Financial Reporting Interpretations Committee (IFRIC) interpretations as endorsed by the European Union and in accordance with IAS34 – “Interim Financial Reporting”. The same accounting policies, presentation and methods of computation have been followed in the preparation of these results as were applied in the Group’s latest annual audited financial statements. The financial information for the year ended 30 September 2014 does not constitute the full statutory accounts for that period. The Annual Report and Financial Statements for 2014 have been filed with the Registrar of Companies. The Independent Auditors’ Report on the Annual Report and Financial Statements for 2014 was unqualified, did not draw attention to any matters by way of emphasis, and did not contain a statement under 498(2) or 498(3) of the Companies Act 2006. The condensed financial statements have been prepared under the historical cost convention and financial information is presented in sterling and has been rounded to the nearest thousand (£’000) unless otherwise stated. 3. Segmental information Management has determined the operating segments based on the reports reviewed by the Chief Operating Decision Maker (“CODM”) comprising the Board of Directors. During the six month period to 31 March 2015, there have been no changes from prior periods in the measurement methods used to determine operating segments and reported segment profit or loss. The segmental information is split on the basis of those same profit centres, however, management report only the contents of the consolidated statement of comprehensive income and therefore no balance sheet information is provide on a segmental basis in the following tables. March 2015 Patisserie Druckers Baker & Flour Philpotts Overhead As Reconciling Valerie Spice Power reported items to the CODM Unaudited £’000 £’000 £’000 £’000 £’000 £’000 £’000 £’000 Revenue £’000 28,907 6,484 2,177 1,090 5,025 5,374 535 505 206 562 Patisserie Valerie Druckers Baker & Spice Flour Power Philpotts Overhead £’000 £’000 £’000 £’000 £’000 £’000 As reported to the CODM £’000 24,328 6,514 2,031 962 1,049 167 35,051 696 35,747 Operating profit 4,091 569 496 229 131 88 5,604 (265) 5,339 September 2014 Patisserie Valerie Druckers Baker & Spice Flour Power Philpotts Overhead Audited £’000 £’000 £’000 £’000 £’000 £’000 As reported to the CODM £’000 Revenue 51,075 12,224 4,230 2,631 6,226 255 76,641 - 76,641 8,987 810 1,046 458 720 (1,344) 10,677 594 11,271 Operating profit March 2014 Unaudited Revenue Operating profit - Total IFRS (193) 43,683 - 43,683 6,989 - 6,989 Reconciling items Total IFRS £’000 £’000 Reconciling items Total IFRS £’000 £’000 The Group’s segment operating profit reconciles to the Group’s profit before tax as presented in its financial statements as follows: 31 March 2015 31 March 2014 £’000 Unaudited £’000 Unaudited 30 September 2014 £’000 Audited Total operating profit from reportable segments Other segment profit Statutory reconciling items Finance expense 7,182 (193) (34) 5,516 88 (265) (541) 12,021 (1,344) 594 (858) Profit before income tax 6,955 4,798 10,413 4. Income tax expense The tax charge has been calculated by reference to the expected effective current and deferred tax rates for the full financial year to 30 September 2015 applied against the profit before tax for the period ended 31 March 2015. The full year effective tax charge on the underlying trading profit is estimated to be 21% (2014: 22.0%). 5. Exceptional items 31 March 31 March 2015 £’000 Unaudited 2014 £’000 Unaudited 30 September 2014 £’000 Audited - 265 593 265 - 265 858 31 March 31 March 2015 £’000 Unaudited 2014 £’000 Unaudited 30 September 2014 £’000 Audited Operating profit Depreciation and amortisation 6,989 1,724 5,339 1,473 11,271 3,195 EBITDA Exceptional items 8,713 - 6,812 265 14,466 858 Adjusted EBITDA 8,713 7,077 15,324 Costs incurred in relation to listing on AIM Costs associated with subsidiary acquisitions 6. Earnings before interest, tax, depreciation and amortisation (EBITDA) 7. Earnings per share 31 March 2015 Earnings £’000 Weighted average number of share Earnings per share (pence) Unaudited Basic earnings per share Effect of dilutive share options 5,495 - 100,000,000 557,588 5.50 - Diluted earnings per share 5,495 100,557,588 5.46 Earnings £’000 Weighted average number of share Earnings per share (pence) Unaudited Basic earnings per share Effect of dilutive share options 3,683 - 76,881,366 3,851,995 4.79 - Diluted earnings per share 3,683 80,733,361 4.56 Earnings £’000 Weighted average number of share Earnings per share (pence) Audited Basic earnings per share Effect of dilutive share options 8,901 - 85,505,967 2,412,879 10.41 - Diluted earnings per share 8,901 87,918,847 10.12 31 March 2014 30 September 2014 8. Property, plant and equipment Unaudited £’000 £’000 Plant, equipment, fixtures and fittings £’000 Cost At 1 October 2013 Additions Assets acquired at acquisition 1,798 - 11,147 473 1,997 29,693 3,406 848 73 40 42,711 3,879 2,885 At 31 March 2014 Additions 1,798 - 13,617 320 33,947 2,833 113 - 49,475 3,153 At 30 September 2014 Additions 1,798 - 13,937 416 36,780 3,188 113 - 52,628 3,604 At March 2015 1,798 14,353 39,968 113 56,232 213 8 221 3,799 365 4,164 16,555 1,100 17,655 72 72 20,639 1,473 22,112 8 381 1,324 9 1,722 At 30 September 2014 Charge for the period 229 13 4,545 472 18,979 1,207 81 7 23,834 1,699 At March 2015 242 5,017 20,186 88 25,533 1,556 1,569 1,577 9,336 9,392 9,453 19,782 17,801 16,292 25 32 41 30,699 28,794 27,363 Depreciation At 1 October 2013 Charge for the period At 31 March 2014 Charge for the period Net book values At 31 March 2015 At 30 September 2014 At 31 March 2014 Freehold Leasehold land and property buildings improvements Motor vehicles Total £’000 £’000 There were no assets held under finance leases during the period. 9. Share capital The number of shares allotted, called up and fully paid remained at 100,000,000 and totalled £1.0m at 31 March 2015; there were no changes to share capital in the period from 30 September 2014 to 31 March 2015. In the prior year the capital structure of the company was reorganised, details of which can be found in the Annual Report and Accounts for the year ended 30 September 2014.