TIDMSWJ
RNS Number : 4974M
Swan(John) & Sons PLC
30 January 2009
?
JOHN SWAN & SONS PLC
INTERIM REPORT
For the six months ended 31 October 2008
JOHN SWAN & SONS PLC
CHAIRMAN'S STATEMENT
+----------------------------------------------------------------------------------------+
| Our results for the first six months of the trading year can be summarised as follows: |
| 31 31 |
| October October |
| 2008 2007 |
| John Swan Limited 85,232 (109,261) |
| John Swan & Sons PLC (96,295) (77,609) |
| Profit/(Loss) before taxation GBP GBP |
| (11,063) (186,870) |
| |
+----------------------------------------------------------------------------------------+
MANAGING DIRECTOR'S STATEMENT - JOHN SWAN LIMITED
+---------------------------------------------------------------------------+
| Despite the ongoing reduction in both the National Beef Herd and Sheep |
| Flock and also the disruption to trade caused by the Bluetongue |
| restrictions, we are pleased to report an operating profit of GBP85,232 |
| for the half year in comparison to a loss of GBP109,261 for the six |
| months to 31 October 2007. These results are after the recommencement of |
| the payment of pension contributions to the final salary pension scheme |
| this year with GBP30,000 included in the figures for the 6 month period. |
| The current exchange rate for sterling has had a beneficial effect on |
| livestock prices and also makes the importing of foreign product less |
| attractive. It is therefore imperative that there is a halt to the |
| decline in the cattle and sheep population to ensure food security for |
| the United Kingdom. |
| Increased livestock values immediately trigger an increase in monies due |
| to the company and whilst credit insurance cover is available on a |
| proportion of our customers, we have no title to livestock purchased in |
| our markets. The directors of the company closely monitor outstanding |
| accounts in an effort to reduce the company's exposure to bad debt. |
| Our furniture and antique division, 'Swan & Turner', is rapidly becoming |
| established and is performing satisfactorily. Our association with |
| Livestock Marketing Borders is working well with our existing operation |
| and has efficiently expanded the services available to our customers. The |
| board is constantly examining ways of further expanding the services |
| which we may offer to our extensive customer base. |
| Our appreciation is expressed to our customers for their continued |
| support throughout 2008 and in conclusion, all of our staff has to be |
| complimented upon the loyal and efficient manner in which they have |
| performed their duties on behalf of the company, notwithstanding the fact |
| that the livestock industry is becoming increasingly hampered by |
| legislation. The challenges faced in the current financial climate are |
| considerable and whilst 2009 will be a pivotal year regarding livestock |
| production, it may also be a year of opportunity. |
| JC Clark |
| |
+---------------------------------------------------------------------------+
CONDENSED CONSOLIDATED INCOME STATEMENT
For the six months ended 31 October 2008
+-------------------------------------+----------------------+------------------+
| | 31 October | 31 October |
+-------------------------------------+----------------------+------------------+
| | 2008 | 2007 |
+-------------------------------------+----------------------+------------------+
| | GBP | GBP |
+-------------------------------------+----------------------+------------------+
| | | |
+-------------------------------------+----------------------+------------------+
| Revenue | 951,299 | 572,254 |
+-------------------------------------+----------------------+------------------+
| | | |
+-------------------------------------+----------------------+------------------+
| Staff costs | 562,124 | 472,432 |
+-------------------------------------+----------------------+------------------+
| Depreciation | 57,204 | 55,281 |
+-------------------------------------+----------------------+------------------+
| Other operating expenses | 457,162 | 355,933 |
+-------------------------------------+----------------------+------------------+
| | 1,076,490 | 883,646 |
+-------------------------------------+----------------------+------------------+
| | | |
+-------------------------------------+----------------------+------------------+
| Operating loss | (125,191) | (311,392) |
+-------------------------------------+----------------------+------------------+
| | | |
+-------------------------------------+----------------------+------------------+
| Investment revenues | 114,393 | 124,770 |
+-------------------------------------+----------------------+------------------+
| | | |
+-------------------------------------+----------------------+------------------+
| Finance costs | (336) | (345) |
+-------------------------------------+----------------------+------------------+
| | | |
+-------------------------------------+----------------------+------------------+
| Share of results of joint venture | 71 | 97 |
| after tax | | |
+-------------------------------------+----------------------+------------------+
| | | |
+-------------------------------------+----------------------+------------------+
| Loss before tax | (11,063) | (186,870) |
+-------------------------------------+----------------------+------------------+
| | | |
+-------------------------------------+----------------------+------------------+
| Tax | - | - |
+-------------------------------------+----------------------+------------------+
| | | |
+-------------------------------------+----------------------+------------------+
| Loss for the period | (11,063) | (186,870) |
+-------------------------------------+----------------------+------------------+
| | | |
+-------------------------------------+----------------------+------------------+
| Basic and diluted earnings per | (1.8)p | (30.7)p |
| share | | |
+-------------------------------------+----------------------+------------------+
+--------------------------------------+---------------------+------------------+---+
| CONDENSED CONSOLIDATED STATEMENT OF |
+-----------------------------------------------------------------------------------+
| RECOGNISED INCOME AND EXPENSE |
+-----------------------------------------------------------------------------------+
| For the six months ended 31 October 2008 |
+-----------------------------------------------------------------------------------+
| | 31 October | 31 October |
+--------------------------------------+---------------------+------------------+
| | 2008 | 2007 |
+--------------------------------------+---------------------+------------------+
| | GBP | GBP |
+--------------------------------------+---------------------+------------------+
| Actuarial gains/(losses) on defined | | |
| benefit | | |
+--------------------------------------+---------------------+------------------+
| pension scheme | - | - |
+--------------------------------------+---------------------+------------------+
| | | |
+--------------------------------------+---------------------+------------------+
| Tax on items taken directly to | - | - |
| equity | | |
+--------------------------------------+---------------------+------------------+
| | | |
+--------------------------------------+---------------------+------------------+
| Net income recognised directly in | - | - |
| equity | | |
+--------------------------------------+---------------------+------------------+
| | | |
+--------------------------------------+---------------------+------------------+
| Loss for the period | (11,063) | (186,870) |
+--------------------------------------+---------------------+------------------+
| | | |
+--------------------------------------+---------------------+------------------+
| Total recognised income and expense | (11,063) | (186,870) |
+--------------------------------------+---------------------+------------------+---+
CONDENSED CONSOLIDATED BALANCE SHEET
As at 31 October 2008
+---------------------------------------+-------------+------------+-------------+
| | 31 October | 30 April | 31 October |
+---------------------------------------+-------------+------------+-------------+
| | 2008 | 2008 | 2007 |
+---------------------------------------+-------------+------------+-------------+
| | GBP | GBP | GBP |
+---------------------------------------+-------------+------------+-------------+
| Non-current assets | | | |
+---------------------------------------+-------------+------------+-------------+
| Property, plant and motor vehicles | 1,778,217 | 1,769,621 | 1,788,095 |
+---------------------------------------+-------------+------------+-------------+
| Investment in joint venture | 8,471 | 8,400 | 8,309 |
+---------------------------------------+-------------+------------+-------------+
| Pension scheme assets | 1,715,000 | 1,715,000 | 1,192,000 |
+---------------------------------------+-------------+------------+-------------+
| | 3,501,688 | 3,493,021 | 2,988,404 |
+---------------------------------------+-------------+------------+-------------+
| | | | |
+---------------------------------------+-------------+------------+-------------+
| Current assets | | | |
+---------------------------------------+-------------+------------+-------------+
| Inventories | 79,543 | 108,059 | 24,778 |
+---------------------------------------+-------------+------------+-------------+
| Trade and other receivables | 4,206,264 | 3,646,926 | 2,613,590 |
+---------------------------------------+-------------+------------+-------------+
| Cash and cash equivalents | 738,288 | 1,036,319 | 1,742,659 |
+---------------------------------------+-------------+------------+-------------+
| | 5,024,095 | 4,791,304 | 4,381,027 |
+---------------------------------------+-------------+------------+-------------+
| | | | |
+---------------------------------------+-------------+------------+-------------+
| Total assets | 8,525,783 | 8,284,325 | 7,369,431 |
+---------------------------------------+-------------+------------+-------------+
| | | | |
+---------------------------------------+-------------+------------+-------------+
| Current liabilities | | | |
+---------------------------------------+-------------+------------+-------------+
| Trade and other payables | 260,602 | 223,061 | 197,664 |
+---------------------------------------+-------------+------------+-------------+
| Current tax liabilities | - | - | 4,500 |
+---------------------------------------+-------------+------------+-------------+
| Obligations under finance leases | 5,609 | 2,478 | 2,478 |
+---------------------------------------+-------------+------------+-------------+
| Bank overdraft | 665,314 | 357,344 | - |
+---------------------------------------+-------------+------------+-------------+
| | 931,525 | 582,883 | 204,642 |
+---------------------------------------+-------------+------------+-------------+
| | | | |
+---------------------------------------+-------------+------------+-------------+
| Net current assets | 4,092,570 | 4,208,421 | 4,176,385 |
+---------------------------------------+-------------+------------+-------------+
| | | | |
+---------------------------------------+-------------+------------+-------------+
| Non-current liabilities | | | |
+---------------------------------------+-------------+------------+-------------+
| Deferred tax liabilities | 504,388 | 504,388 | 382,890 |
+---------------------------------------+-------------+------------+-------------+
| Obligations under finance leases | - | 4,371 | 5,609 |
+---------------------------------------+-------------+------------+-------------+
| Deferred income | 16,400 | 16,800 | 17,200 |
+---------------------------------------+-------------+------------+-------------+
| | 520,788 | 525,559 | 405,699 |
+---------------------------------------+-------------+------------+-------------+
| | | | |
+---------------------------------------+-------------+------------+-------------+
| Total liabilities | 1,452,313 | 1,108,442 | 610,341 |
+---------------------------------------+-------------+------------+-------------+
| | | | |
+---------------------------------------+-------------+------------+-------------+
| Net assets | 7,073,470 | 7,175,883 | 6,759,090 |
+---------------------------------------+-------------+------------+-------------+
| | | | |
+---------------------------------------+-------------+------------+-------------+
| Equity | | | |
+---------------------------------------+-------------+------------+-------------+
| Share capital | 168,000 | 168,000 | 168,000 |
+---------------------------------------+-------------+------------+-------------+
| Revenue reserve | 70,000 | 70,000 | 70,000 |
+---------------------------------------+-------------+------------+-------------+
| Employee Benefit Trust reserve | (39,815) | (39,815) | (39,815) |
+---------------------------------------+-------------+------------+-------------+
| Retained earnings | 6,875,285 | 6,977,698 | 6,560,905 |
+---------------------------------------+-------------+------------+-------------+
| Total equity | 7,073,470 | 7,175,883 | 6,759,090 |
+---------------------------------------+-------------+------------+-------------+
| | | | |
+---------------------------------------+-------------+------------+-------------+
CONDENSED CONSOLIDATED CASH FLOW STATEMENT
For the six months ended 31 October 2008
+----------------------------------------+-----------+------------+-------------+
| | Notes | 31 October | 31 October |
+----------------------------------------+-----------+------------+-------------+
| | | 2008 | 2007 |
+----------------------------------------+-----------+------------+-------------+
| | | GBP | GBP |
+----------------------------------------+-----------+------------+-------------+
| | | | |
+----------------------------------------+-----------+------------+-------------+
| Net cash used in operating activities | 3 | (487,208) | (491,740) |
+----------------------------------------+-----------+------------+-------------+
| | | | |
+----------------------------------------+-----------+------------+-------------+
| Investing activities | | | |
+----------------------------------------+-----------+------------+-------------+
| | | | |
+----------------------------------------+-----------+------------+-------------+
| Interest received | | 33,393 | 74,770 |
+----------------------------------------+-----------+------------+-------------+
| Proceeds on disposal of motor vehicles | | 16,745 | - |
+----------------------------------------+-----------+------------+-------------+
| Purchases of plant and motor vehicles | | (76,341) | (6,595) |
+----------------------------------------+-----------+------------+-------------+
| Net cash from investing activities | | (26,203) | 68,175 |
+----------------------------------------+-----------+------------+-------------+
| | | | |
+----------------------------------------+-----------+------------+-------------+
| Financing activities | | | |
+----------------------------------------+-----------+------------+-------------+
| | | | |
+----------------------------------------+-----------+------------+-------------+
| Dividends paid | 4 | (91,350) | (91,350) |
+----------------------------------------+-----------+------------+-------------+
| Repayment of obligations under finance | | (1,240) | (1,240) |
| leases | | | |
+----------------------------------------+-----------+------------+-------------+
| Net cash used in financing activities | | (92,590) | (92,590) |
+----------------------------------------+-----------+------------+-------------+
| | | | |
+----------------------------------------+-----------+------------+-------------+
| Net decrease in cash and cash | | (606,001) | (516,155) |
| equivalents | | | |
+----------------------------------------+-----------+------------+-------------+
| | | | |
+----------------------------------------+-----------+------------+-------------+
| Cash and cash equivalents at beginning | | 678,975 | 2,258,814 |
| of period | | | |
+----------------------------------------+-----------+------------+-------------+
| | | | |
+----------------------------------------+-----------+------------+-------------+
| Cash and cash equivalents at end of | 5 | 72,974 | 1,742,659 |
| period | | | |
+----------------------------------------+-----------+------------+-------------+
| | | | |
+----------------------------------------+-----------+------------+-------------+
NOTES TO THE CONSOLIDATED INTERIM FINANCIAL STATEMENTS
For the six months ended 31 October 2008
+----+------------------------------------------------------------------------+
| 1 | Basis of preparation |
+----+------------------------------------------------------------------------+
| | |
+----+------------------------------------------------------------------------+
| | The condensed financial information for the six months ended 31 |
| | October 2008 does not constitute statutory accounts as defined in |
| | Section 240 of the Companies Act 1985 and has not been audited. A copy |
| | of the statutory accounts for the year ended 30 April 2008 has been |
| | delivered to the Registrar of Companies. The auditors' report on those |
| | accounts was not qualified and did not contain statements under |
| | section 237(2) or (3) of the Companies Act 1985. |
+----+------------------------------------------------------------------------+
+----+------------------------------------------------------------------------+
| 2 | Accounting policies |
+----+------------------------------------------------------------------------+
| | |
+----+------------------------------------------------------------------------+
| | The condensed set of financial statements has been prepared using |
| | accounting policies consistent with International Financial Reporting |
| | Standards (IFRS) and in accordance with IAS 34 'Interim Financial |
| | Reporting'. |
| | The same accounting policies, presentation and methods of computation |
| | are followed in the condensed set of financial statements as applied |
| | in the latest audited financial statements. A copy of these financial |
| | statements is available from the company's registered office at 6 St |
| | Colme Street, Edinburgh EH3 6AD. |
+----+------------------------------------------------------------------------+
+----+--------------------------------------------------+------------+------------+
| 3 | Notes to the cash flow statement | | |
+----+--------------------------------------------------+------------+------------+
| | | 31 October | 31 October |
+----+--------------------------------------------------+------------+------------+
| | | 2008 | 2007 |
+----+--------------------------------------------------+------------+------------+
| | | GBP | GBP |
+----+--------------------------------------------------+------------+------------+
| | | | |
+----+--------------------------------------------------+------------+------------+
| | Loss before tax | (11,063) | (186,870) |
+----+--------------------------------------------------+------------+------------+
| | | | |
+----+--------------------------------------------------+------------+------------+
| | Adjustments for: | | |
+----+--------------------------------------------------+------------+------------+
| | Investment revenues | (114,393) | (124,770) |
+----+--------------------------------------------------+------------+------------+
| | Finance costs | 336 | 345 |
+----+--------------------------------------------------+------------+------------+
| | Share of results of joint venture | (71) | (97) |
+----+--------------------------------------------------+------------+------------+
| | Pension scheme current service cost | 81,000 | 50,000 |
+----+--------------------------------------------------+------------+------------+
| | Depreciation of property, plant and motor | 57,204 | 55,281 |
| | vehicles | | |
+----+--------------------------------------------------+------------+------------+
| | Gain on sale of motor vehicles | (6,204) | - |
+----+--------------------------------------------------+------------+------------+
| | Deferred income released in the period | (400) | (400) |
+----+--------------------------------------------------+------------+------------+
| | Operating cash flows before movement in working | 6,409 | (206,511) |
| | capital | | |
+----+--------------------------------------------------+------------+------------+
| | | | |
+----+--------------------------------------------------+------------+------------+
| | Decrease in inventories | 28,516 | 10,870 |
+----+--------------------------------------------------+------------+------------+
| | (Increase) in receivables | (559,338) | (334,194) |
+----+--------------------------------------------------+------------+------------+
| | Increase in payables | 37,541 | 38,440 |
+----+--------------------------------------------------+------------+------------+
| | Cash used in operations | (486,872) | (491,395) |
+----+--------------------------------------------------+------------+------------+
| | | | |
+----+--------------------------------------------------+------------+------------+
| | Interest paid | (336) | (345) |
+----+--------------------------------------------------+------------+------------+
| | | | |
+----+--------------------------------------------------+------------+------------+
| | Net cash used in operating activities | (487,208) | (491,740) |
+----+--------------------------------------------------+------------+------------+
NOTES TO THE CONSOLIDATED INTERIM FINANCIAL STATEMENTS
For the six months ended 31 October 2008 - continued
+----+--------------------------------------------------+------------+-----------+
| 4 | Dividends | | |
+----+--------------------------------------------------+------------+-----------+
| | | 31 October | 31 |
| | | | October |
+----+--------------------------------------------------+------------+-----------+
| | | 2008 | 2007 |
+----+--------------------------------------------------+------------+-----------+
| | | GBP | GBP |
+----+--------------------------------------------------+------------+-----------+
| | Dividend on ordinary shares paid on 28 August | | |
| | 2008 : | | |
+----+--------------------------------------------------+------------+-----------+
| | Final 2008 | 91,350 | 91,350 |
+----+--------------------------------------------------+------------+-----------+
+----+--------------------------------------------------+------------+-----------+
| 5 | Cash and cash equivalents | | |
+----+--------------------------------------------------+------------+-----------+
| | | 31 October | 31 |
| | | | October |
+----+--------------------------------------------------+------------+-----------+
| | | 2008 | 2007 |
+----+--------------------------------------------------+------------+-----------+
| | | GBP | GBP |
+----+--------------------------------------------------+------------+-----------+
| | | | |
+----+--------------------------------------------------+------------+-----------+
| | Bank and cash balances | 738,288 | 1,742,659 |
+----+--------------------------------------------------+------------+-----------+
| | Bank overdraft | (665,314) | - |
+----+--------------------------------------------------+------------+-----------+
| | | | |
+----+--------------------------------------------------+------------+-----------+
| | | 72,974 | 1,742,659 |
+----+--------------------------------------------------+------------+-----------+
+----+-------------------------------------------------------------------------+
| 6 | Interim results |
+----+-------------------------------------------------------------------------+
| | |
+----+-------------------------------------------------------------------------+
| | The interim results were approved by the Board of Directors on 30 |
| | January 2009 and were posted out to all shareholders on that date. The |
| | interim results are available to the public for a period of one month |
| | from the date of this announcement from the Secretaries at the |
| | Company's registered office. |
+----+-------------------------------------------------------------------------+
+----+-------------------------------------+------------------------------------+
| | Registered Office : | |
+----+-------------------------------------+------------------------------------+
| | | |
+----+-------------------------------------+------------------------------------+
| | Geoghegan & Co | |
+----+-------------------------------------+------------------------------------+
| | 6 St Colme Street | |
+----+-------------------------------------+------------------------------------+
| | Edinburgh EH3 6AD | |
+----+-------------------------------------+------------------------------------+
| | | |
+----+-------------------------------------+------------------------------------+
| | Company registered in Scotland : | |
| | No. 7893 | |
+----+-------------------------------------+------------------------------------+
| | | |
+----+-------------------------------------+------------------------------------+
| | | |
+----+-------------------------------------+------------------------------------+
| | Enquiries : | |
+----+-------------------------------------+------------------------------------+
| | | |
+----+-------------------------------------+------------------------------------+
| | John Swan & Sons PLC | |
+----+-------------------------------------+------------------------------------+
| | Euan Fernie | 0131 225 4681 |
+----+-------------------------------------+------------------------------------+
| | | |
+----+-------------------------------------+------------------------------------+
| | Brewin Dolphin Limited | |
+----+-------------------------------------+------------------------------------+
| | (Nominated Adviser) | |
+----+-------------------------------------+------------------------------------+
| | Sandy Fraser | 0131 529 0272 |
+----+-------------------------------------+------------------------------------+
This information is provided by RNS
The company news service from the London Stock Exchange
END
IR CKCKBOBKDKDB
|