TIDMABBY

RNS Number : 4376S

Abbey PLC

08 July 2015

ABBEY PLC

Preliminary Statement for the year ended 30 April 2015

The Group reports a profit of EUR49.1 million before taxation against a profit of EUR24.1 million in the previous year. After a tax charge of EUR9.5 million the Group made a profit of EUR39.6 million reflecting earnings per share of 184.02 cents. Group operating profits during the year were EUR46.3 million against EUR20.4 million the previous year.

Dividends of 11 cents per share absorbing EUR2.4 million were paid during the year.

Our housebuilding operations completed 557 sales (UK 514; Ireland 27, CZK 16) with a turnover of EUR152.7million generating an operating profit of EUR42.4 million. Trading in the UK has been buoyant throughout the year. Sales, supported by the government's 'Help to Buy' scheme have continued to be brisk. In particular the recent general election did not dampen activity. Price rises have continued, for the time being, to outstrip rising costs supporting our current firm margins. Forward sales in the new year are in line with our budgets. During the year our UK division increased its land bank to 1,557 plots with planning permission. In Ireland slow but steady progress has been achieved. Our Lucan project was successfully launched in the spring and is progressing well. New projects in Delgany, County Wicklow and Cornelscourt, County Dublin will enter production imminently. Further projects are being actively sought to drive faster recovery. Our projects in Laois and Kildare remain on hold pending some improvement in local demand. For the time being the strong improvement in the housing market remains most apparent in Dublin. In Prague we completed 16 sales and we are able to report a modest contribution. A similar level of activity is likely this year. The construction of our new project near Na Vidouli in Stodulky is progressing well. We plan to start our housing project in Prezletice in the autumn.

At the year end the Group owned and controlled land with the benefit of planning permission for the supply of 2,252 plots.

M & J reported operating profits of EUR3.0 million on a turnover of EUR18.8 million. This was an encouraging result. Early trading in the new year is in line with our expectations and we are budgeting for further progress this year.

Rental income during the year was EUR942,000.

The Group held EUR67.4 million in cash together with EUR13.5 million in UK government bonds at the end of the financial year.

The short term outlook is good. The Group is targeting a significant increase in turnover this year and whilst margins may be eroded a satisfactory year is in prospect. The longer term outlook is more uncertain. House prices in the UK now reflect the easy money conditions of the last two years and may struggle to advance rapidly in an environment of rising interest rates and possibly lagging wage growth. Costs impacted by both labour and material supply bottle necks may continue to rise quickly. The sweet spot of the UK cycle is probably behind us. In Ireland the medium term prospects seem brighter, however, the weight of speculative money chasing relatively few opportunities will temper returns. Overall the Group is well placed to make steady progress.

The Board is pleased to recommend a dividend of 7 cents per share for approval at the Annual General Meeting.

Shareholders should carefully note the exchange rates used for this statement. The income statement uses the average exchange rate for the year of 100 cents: STG 77.69p and 100 cents: CZK 27.58. The balance sheet uses the ratio prevailing on 30 April 2015 of 100 cents: STG 72.89p and 100 cents: CZK 27.42.

On behalf of the Board

CHARLES H GALLAGHER

EXECUTIVE CHAIRMAN

7 July 2015

Contact:

Davy Corporate Finance (Nominated Adviser and ESM Adviser)

Eugenée Mulhern/Brian Garrahy

Tel:+ 353 1 679 6363

The Preliminary Results financial statements for the year ended 30 April 2015 can be accessed by clicking on the link below:

http://www.rns-pdf.londonstockexchange.com/rns/4376S_-2015-7-7.pdf

The Directors' report and group financial statements for the year ended 30 April 2015 can be accessed by clicking on the below:

http://www.rns-pdf.londonstockexchange.com/rns/4376S_1-2015-7-7.pdf

This information is provided by RNS

The company news service from the London Stock Exchange

END

FR RRMFTMBBMBIA

Abbey (LSE:ABBY)
Historical Stock Chart
From Mar 2024 to Apr 2024 Click Here for more Abbey Charts.
Abbey (LSE:ABBY)
Historical Stock Chart
From Apr 2023 to Apr 2024 Click Here for more Abbey Charts.