TIDMSWJ
RNS Number : 6159W
Swan(John) & Sons PLC
31 July 2009
?
PRELIMINARY RESULTS FOR THE YEAR ENDED 30 APRIL 2009
STATEMENT BY THE CHAIRMAN John Swan & Sons PLC
+-----------------------------------------------------------------------------+
| Our trading subsidiary, John Swan Limited, reported an interim profit of |
| GBP85,232 but has had a less successful second six months, showing a profit |
| before tax for the full year of GBP34,600. A fuller report on the |
| auctioneering business is included in the Statement by the Chairman of John |
| Swan Limited below. |
+-----------------------------------------------------------------------------+
+-----------------------------------------------------+------------+------------+
| Our results for the year are summarised as follows: | | |
+-----------------------------------------------------+------------+------------+
| | 2009 | 2008 |
+-----------------------------------------------------+------------+------------+
| | GBP | GBP |
+-----------------------------------------------------+------------+------------+
| (Loss)/Profit before tax | | |
+-----------------------------------------------------+------------+------------+
| | | |
+-----------------------------------------------------+------------+------------+
| John Swan Limited | 34,600 | 107,917 |
+-----------------------------------------------------+------------+------------+
| John Swan & Sons PLC | (182,137) | (188,522) |
+-----------------------------------------------------+------------+------------+
| IAS 19 pension adjustment | (69,000) | 8,000 |
+-----------------------------------------------------+------------+------------+
| | | |
+-----------------------------------------------------+------------+------------+
| (Loss) before tax | (216,537) | (72,605) |
+-----------------------------------------------------+------------+------------+
+-----------------------------------------------------------------------------+
| There is little to report on property matters since the last statement, |
| although the Board continues to progress planning issues relating to the |
| present mart site at St Boswells. Shareholders were informed of the failure |
| of our appeal against the refusal of planning permission for the |
| development of the field at Chesser, Edinburgh. This asset will now be |
| retained for the long term, when planning attitudes may well be influenced |
| by more commercial constraints. |
| With regard to Board structure, George Neill, having reached the age of 70, |
| has been asked to stand down at the Annual General Meeting, both from the |
| Board of John Swan & Sons PLC and from his position as Chairman of John |
| Swan Limited, and has agreed to do so. On your behalf, I would like to |
| record our appreciation of the contribution George has made to this |
| business, over many years and through many difficulties. His dedication to |
| the Auction Mart, its operation and its future does him particular credit |
| and we wish him well in retirement. |
| At the same time, Frank Forrest is leaving the Board and will concentrate |
| exclusively on our non-livestock business and we thank him for his |
| contribution to our work over the last nineteen years. James Allen has |
| agreed to take over the chairmanship of John Swan Limited and will remain a |
| director of John Swan & Sons PLC. We wish him well in this position, during |
| a period of considerable economic challenge and uncertainty. |
| Given current and short-term activity levels, it is not the Board's |
| intention to replace George and Frank at this time, leaving four directors, |
| namely the Chairman and the Managing Director of the Auction Mart, an |
| independent non-executive director and an independent non-executive |
| Chairman. |
| Finally, the Board is pleased to declare a final dividend for the current |
| year of 15p per ordinary share to be paid on 2 October 2009 to shareholders |
| on the register at 4 September 2009. The ex dividend date will be 2 |
| September 2009. This, along with the interim dividend paid in March 2009, |
| amounts to a dividend for the year of 30p per ordinary share (2008: 30p). |
| Alastair J Ritchie |
| Chairman |
+-----------------------------------------------------------------------------+
STATEMENT BY THE CHAIRMANJohn Swan Limited
+-----------------------------------------------------------------------------+
| Despite the continuing decline in the national beef herd and sheep flock, |
| the company succeeded in increasing its throughput of both cattle and sheep |
| throughout the past year. Producers are at present receiving a more |
| realistic return for their stock but the future of the industry very much |
| depends upon the viability of livestock production and the associated |
| legislation. |
| In the past year, our association with Livestock Marketing Borders has |
| continued to develop and this has enabled our customers to benefit from a |
| more comprehensive marketing facility. Also, the company's Swan & Turner |
| business has established itself in Jedburgh and is building a reputation in |
| the Borders and further afield for its auctions of fine art and antiques. |
| Notwithstanding the increase in livestock throughput and value, it is |
| disappointing that we have only returned a profit before tax of GBP34,600. |
| However, it must be mentioned that in this past year, on the advice of our |
| actuary, we have commenced contributing an annual sum of GBP60,000 towards |
| the company's pension and death in service costs. Also, on 7 July 2009, the |
| company received a fine of GBP22,800 for animal movement recording offences |
| in Northumberland and this has been provided for in these accounts. A |
| provision of GBP97,170 has also been made for bad and doubtful debts. |
| Finally, it should be noted that the bank interest receivable on monies |
| held on deposit has decreased from GBP76,000 in 2008 to GBP16,000 this year |
| mainly due to falling interest rates. |
| The current economic climate has had the effect of delaying our Rural |
| Centre and Mart relocation programme. The relocation will, of course, be |
| triggered by the development of our existing mart site at St Boswells and |
| it is intended that the John Swan Limited Board will be restructured so |
| that it can focus on the redevelopment of the market operation for the |
| future, whilst continuing to provide the best possible service to our |
| customers. |
| In conclusion, I wish to record our appreciation for the continued support |
| we have received from our loyal customers over the past year and to thank |
| our staff, who have worked tirelessly on the company's behalf. |
| George T Neill |
| Chairman |
+-----------------------------------------------------------------------------+
DATE OF ANNUAL GENERAL MEETING
The Annual General Meeting will be held on Friday 2 October 2009 in The Lodge
Hotel, Carfraemill, Lauder at 12.00 p.m.
TRANSFER BOOKS
Transfer books will be closed from 2 September to 4 September 2009, both dates
inclusive, for the preparation of dividend warrants. Warrants for the proposed
dividend, if approved at the Annual General Meeting, will be posted on 2 October
2009 to shareholders on the register at the close of business on 4 September
2009.
PROPOSED DIVIDEND FOR YEAR
Rate of dividend on ordinary shares 15p (2008 - 15p)
Rate of dividend on deferred shares Nil (2008 - Nil)
An interim dividend for the year of 15p per ordinary share (2008 - 15p) was paid
on 12 March 2009.
NOMINATED ADVISER
Contact: Sandy Fraser, Brewin Dolphin Limited
Telephone number: 0131 529 0272
Geoghegan & Co
Secretaries
31 July 2009
Consolidated income statement
For the year ended 30 April 2009
+-------------------------------------+------+------------+-----------+-----------+
| | | | 2009 | 2008 |
+-------------------------------------+------+------------+-----------+-----------+
| | | GBP | GBP | GBP |
+-------------------------------------+------+------------+-----------+-----------+
| | | | | |
+-------------------------------------+------+------------+-----------+-----------+
| Revenue | | | 2,396,247 | 1,518,130 |
+-------------------------------------+------+------------+-----------+-----------+
| | | | | |
+-------------------------------------+------+------------+-----------+-----------+
| Staff costs | | | 1,074,000 | 1,050,400 |
+-------------------------------------+------+------------+-----------+-----------+
| Depreciation | | | 114,005 | 110,092 |
+-------------------------------------+------+------------+-----------+-----------+
| Other operating expenses | | | 1,501,189 | 735,237 |
+-------------------------------------+------+------------+-----------+-----------+
| | | | 2,689,194 | 1,895,729 |
+-------------------------------------+------+------------+-----------+-----------+
| | | | | |
+-------------------------------------+------+------------+-----------+-----------+
| Operating loss | | | (292,947) | (377,599) |
+-------------------------------------+------+------------+-----------+-----------+
| | | | | |
+-------------------------------------+------+------------+-----------+-----------+
| Investment revenues | | | 77,089 | 305,694 |
+-------------------------------------+------+------------+-----------+-----------+
| | | | | |
+-------------------------------------+------+------------+-----------+-----------+
| Finance costs | | | (764) | (888) |
+-------------------------------------+------+------------+-----------+-----------+
| | | | | |
+-------------------------------------+------+------------+-----------+-----------+
| Share of results of joint venture | | | 85 | 188 |
| after tax | | | | |
+-------------------------------------+------+------------+-----------+-----------+
| | | | | |
+-------------------------------------+------+------------+-----------+-----------+
| Loss before tax | | | (216,537) | (72,605) |
+-------------------------------------+------+------------+-----------+-----------+
| | | | | |
+-------------------------------------+------+------------+-----------+-----------+
| Tax | | | 16,867 | (1,122) |
+-------------------------------------+------+------------+-----------+-----------+
| | | | | |
+-------------------------------------+------+------------+-----------+-----------+
| Loss for the year | | | (199,670) | (73,727) |
+-------------------------------------+------+------------+-----------+-----------+
| | | | | |
+-------------------------------------+------+------------+-----------+-----------+
| Basic and diluted earnings per | | | (32.79)p | (12.11)p |
| share | | | | |
+-------------------------------------+------+------------+-----------+-----------+
Consolidated statement of recognised income and expense
For the year ended 30 April 2009
+-------------------------------------+-------+-----------+-----------+-----------+
| | | | 2009 | 2008 |
+-------------------------------------+-------+-----------+-----------+-----------+
| | | | GBP | GBP |
+-------------------------------------+-------+-----------+-----------+-----------+
| Actuarial gains on defined benefit | | | | |
+-------------------------------------+-------+-----------+-----------+-----------+
| pension scheme | | | 538,000 | 515,000 |
+-------------------------------------+-------+-----------+-----------+-----------+
| | | | | |
+-------------------------------------+-------+-----------+-----------+-----------+
| Tax on items taken directly to | | | (151,000) | (120,000) |
| equity | | | | |
+-------------------------------------+-------+-----------+-----------+-----------+
| | | | | |
+-------------------------------------+-------+-----------+-----------+-----------+
| Net income recognised directly in | | | 387,000 | 395,000 |
| equity | | | | |
+-------------------------------------+-------+-----------+-----------+-----------+
| | | | | |
+-------------------------------------+-------+-----------+-----------+-----------+
| Loss for the year | | | (199,670) | (73,727) |
+-------------------------------------+-------+-----------+-----------+-----------+
| | | | | |
+-------------------------------------+-------+-----------+-----------+-----------+
| Total recognised income and expense | | | 187,330 | 321,273 |
+-------------------------------------+-------+-----------+-----------+-----------+
Consolidated balance sheet
As at 30 April 2009
+-------------------------------------+-------+-----------+-----------+-----------+
| |Notes | | 2009 | 2008 |
+-------------------------------------+-------+-----------+-----------+-----------+
| | | | GBP | GBP |
+-------------------------------------+-------+-----------+-----------+-----------+
| Non-current assets | | | | |
+-------------------------------------+-------+-----------+-----------+-----------+
| Property, plant and motor vehicles | | | 2,142,130 | 1,769,621 |
+-------------------------------------+-------+-----------+-----------+-----------+
| Investment in joint venture | | | 8,485 | 8,400 |
+-------------------------------------+-------+-----------+-----------+-----------+
| Pension scheme assets | | | 2,184,000 | 1,715,000 |
+-------------------------------------+-------+-----------+-----------+-----------+
| | | | 4,334,615 | 3,493,021 |
+-------------------------------------+-------+-----------+-----------+-----------+
| | | | | |
+-------------------------------------+-------+-----------+-----------+-----------+
| Current assets | | | | |
+-------------------------------------+-------+-----------+-----------+-----------+
| Inventories | | | - | 108,059 |
+-------------------------------------+-------+-----------+-----------+-----------+
| Trade and other receivables | | | 3,623,124 | 3,646,926 |
+-------------------------------------+-------+-----------+-----------+-----------+
| Cash and cash equivalents | | | 628,346 | 1,036,319 |
+-------------------------------------+-------+-----------+-----------+-----------+
| | | | 4,251,470 | 4,791,304 |
+-------------------------------------+-------+-----------+-----------+-----------+
| | | | | |
+-------------------------------------+-------+-----------+-----------+-----------+
| Total assets | | | 8,586,085 | 8,284,325 |
+-------------------------------------+-------+-----------+-----------+-----------+
| | | | | |
+-------------------------------------+-------+-----------+-----------+-----------+
| Current liabilities | | | | |
+-------------------------------------+-------+-----------+-----------+-----------+
| Trade and other payables | | | 223,019 | 223,061 |
+-------------------------------------+-------+-----------+-----------+-----------+
| Obligations under finance leases | | | 4,371 | 2,478 |
+-------------------------------------+-------+-----------+-----------+-----------+
| Bank overdraft | | | 523,661 | 357,344 |
+-------------------------------------+-------+-----------+-----------+-----------+
| | | | 751,051 | 582,883 |
+-------------------------------------+-------+-----------+-----------+-----------+
| | | | | |
+-------------------------------------+-------+-----------+-----------+-----------+
| Net current assets | | | 3,500,419 | 4,208,421 |
+-------------------------------------+-------+-----------+-----------+-----------+
| | | | | |
+-------------------------------------+-------+-----------+-----------+-----------+
| Non-current liabilities | | | | |
+-------------------------------------+-------+-----------+-----------+-----------+
| Deferred tax liabilities | | | 638,521 | 504,388 |
+-------------------------------------+-------+-----------+-----------+-----------+
| Obligations under finance leases | | | - | 4,371 |
+-------------------------------------+-------+-----------+-----------+-----------+
| Deferred income | | | 16,000 | 16,800 |
+-------------------------------------+-------+-----------+-----------+-----------+
| | | | 654,521 | 525,559 |
+-------------------------------------+-------+-----------+-----------+-----------+
| | | | | |
+-------------------------------------+-------+-----------+-----------+-----------+
| Total liabilities | | | 1,405,572 | 1,108,442 |
+-------------------------------------+-------+-----------+-----------+-----------+
| | | | | |
+-------------------------------------+-------+-----------+-----------+-----------+
| Net assets | | | 7,180,513 | 7,175,883 |
+-------------------------------------+-------+-----------+-----------+-----------+
| | | | | |
+-------------------------------------+-------+-----------+-----------+-----------+
| Equity | 3 | | | |
+-------------------------------------+-------+-----------+-----------+-----------+
| Share capital | | | 168,000 | 168,000 |
+-------------------------------------+-------+-----------+-----------+-----------+
| Revenue reserve | | | 70,000 | 70,000 |
+-------------------------------------+-------+-----------+-----------+-----------+
| Employee Benefit Trust reserve | | | (39,815) | (39,815) |
+-------------------------------------+-------+-----------+-----------+-----------+
| Retained earnings | | | 6,982,328 | 6,977,698 |
+-------------------------------------+-------+-----------+-----------+-----------+
| Total equity | | | 7,180,513 | 7,175,883 |
+-------------------------------------+-------+-----------+-----------+-----------+
Consolidated cash flow statement
For the year ended 30 April 2009
+----------------------------------------+-------+------+-----------+-------------+
| |Notes | | 2009 | 2008 |
+----------------------------------------+-------+------+-----------+-------------+
| | | | GBP | GBP |
+----------------------------------------+-------+------+-----------+-------------+
| | | | | |
+----------------------------------------+-------+------+-----------+-------------+
| Net cash used in operating activities | 1 | | (274,701) | (1,489,623) |
+----------------------------------------+-------+------+-----------+-------------+
| | | | | |
+----------------------------------------+-------+------+-----------+-------------+
| Investing activities | | | | |
+----------------------------------------+-------+------+-----------+-------------+
| | | | | |
+----------------------------------------+-------+------+-----------+-------------+
| Interest received | | | 40,089 | 135,694 |
+----------------------------------------+-------+------+-----------+-------------+
| Proceeds on disposal of motor vehicles | | | 19,495 | 2,200 |
+----------------------------------------+-------+------+-----------+-------------+
| Purchases of property, plant and motor | | | (173,995) | (42,932) |
| vehicles | | | | |
+----------------------------------------+-------+------+-----------+-------------+
| Net cash (used in)/from investing | | | (114,411) | 94,962 |
| activities | | | | |
+----------------------------------------+-------+------+-----------+-------------+
| | | | | |
+----------------------------------------+-------+------+-----------+-------------+
| Financing activities | | | | |
+----------------------------------------+-------+------+-----------+-------------+
| | | | | |
+----------------------------------------+-------+------+-----------+-------------+
| Dividends paid | | | (182,700) | (182,700) |
+----------------------------------------+-------+------+-----------+-------------+
| Repayment of obligations under finance | | | (2,478) | (2,478) |
| leases | | | | |
+----------------------------------------+-------+------+-----------+-------------+
| Net cash used in financing activities | | | (185,178) | (185,178) |
+----------------------------------------+-------+------+-----------+-------------+
| | | | | |
+----------------------------------------+-------+------+-----------+-------------+
| Net decrease in cash and cash | | | (574,290) | (1,579,839) |
| equivalents | | | | |
+----------------------------------------+-------+------+-----------+-------------+
| | | | | |
+----------------------------------------+-------+------+-----------+-------------+
| Cash and cash equivalents at beginning | | | 678,975 | 2,258,814 |
| of year | | | | |
+----------------------------------------+-------+------+-----------+-------------+
| | | | | |
+----------------------------------------+-------+------+-----------+-------------+
| Cash and cash equivalents at end of | 2 | | 104,685 | 678,975 |
| year | | | | |
+----------------------------------------+-------+------+-----------+-------------+
| | | | | |
+----------------------------------------+-------+------+-----------+-------------+
Notes
+----+--------------------------------------------------+------------+-------------+
| 1 | Notes to the cash flow statement | | |
+----+--------------------------------------------------+------------+-------------+
| | | 2009 | 2008 |
+----+--------------------------------------------------+------------+-------------+
| | | GBP | GBP |
+----+--------------------------------------------------+------------+-------------+
| | | | |
+----+--------------------------------------------------+------------+-------------+
| | Loss before tax | (216,537) | (72,605) |
+----+--------------------------------------------------+------------+-------------+
| | | | |
+----+--------------------------------------------------+------------+-------------+
| | Adjustments for: | | |
+----+--------------------------------------------------+------------+-------------+
| | Investment revenues | (77,089) | (305,694) |
+----+--------------------------------------------------+------------+-------------+
| | Finance costs | 764 | 888 |
+----+--------------------------------------------------+------------+-------------+
| | Share of results of joint venture | (85) | (188) |
+----+--------------------------------------------------+------------+-------------+
| | Pension scheme current service cost | 106,000 | 162,000 |
+----+--------------------------------------------------+------------+-------------+
| | Depreciation of property, plant and motor | 114,005 | 110,092 |
| | vehicles | | |
+----+--------------------------------------------------+------------+-------------+
| | Gain on sale of motor vehicles | (6,000) | (2,200) |
+----+--------------------------------------------------+------------+-------------+
| | Deferred income released in the year | (800) | (800) |
+----+--------------------------------------------------+------------+-------------+
| | | | |
+----+--------------------------------------------------+------------+-------------+
| | Operating cash flows before movement in working | (79,742) | (108,507) |
| | capital | | |
+----+--------------------------------------------------+------------+-------------+
| | | | |
+----+--------------------------------------------------+------------+-------------+
| | Decrease/(increase) in inventories | 108,059 | (72,411) |
+----+--------------------------------------------------+------------+-------------+
| | (Increase) in receivables | (302,212) | (1,367,530) |
+----+--------------------------------------------------+------------+-------------+
| | (Decrease)/increase in payables | (42) | 63,837 |
+----+--------------------------------------------------+------------+-------------+
| | Cash used in operations | (273,937) | (1,484,611) |
+----+--------------------------------------------------+------------+-------------+
| | | | |
+----+--------------------------------------------------+------------+-------------+
| | Taxes paid | - | (4,124) |
+----+--------------------------------------------------+------------+-------------+
| | Interest paid | (764) | (888) |
+----+--------------------------------------------------+------------+-------------+
| | | | |
+----+--------------------------------------------------+------------+-------------+
| | Net cash used in operating activities | (274,701) | (1,489,623) |
+----+--------------------------------------------------+------------+-------------+
+----+---------------------------------------------------+-----------+------------+
| 2 | Cash and cash equivalents | | |
+----+---------------------------------------------------+-----------+------------+
| | | 2009 | 2008 |
+----+---------------------------------------------------+-----------+------------+
| | | GBP | GBP |
+----+---------------------------------------------------+-----------+------------+
| | | | |
+----+---------------------------------------------------+-----------+------------+
| | Bank and cash balances | 628,346 | 1,036,319 |
+----+---------------------------------------------------+-----------+------------+
| | Bank overdraft | (523,661) | (357,344) |
+----+---------------------------------------------------+-----------+------------+
| | Cash and cash equivalents in the cash flow | 104,685 | 678,975 |
| | statement | | |
+----+---------------------------------------------------+-----------+------------+
+----+-------------------------------------------------------------------------+
| | The Royal Bank of Scotland plc holds a bond and floating charge over |
| | the assets of the subsidiary company, John Swan Limited, for the |
| | provision of overdraft facilities during peak trading periods. |
+----+-------------------------------------------------------------------------+
Notes (continued)
+----+-------------------------------------+----------+---------+----------+-----------+
| 3 | Capital and reserves |
+----+---------------------------------------------------------------------------------+
| | |
+----+---------------------------------------------------------------------------------+
| | Reconciliation of movement in capital and reserves: |
+----+---------------------------------------------------------------------------------+
| | | Share | Revenue | Employee | Retained |
| | | capital | reserve | Benefit | |
| | | | | Trust | earnings |
| | | | | reserve | |
+----+-------------------------------------+----------+---------+----------+-----------+
| | | GBP | GBP | GBP | GBP |
+----+-------------------------------------+----------+---------+----------+-----------+
| | | | | | |
+----+-------------------------------------+----------+---------+----------+-----------+
| | At 1 May 2007 | 168,000 | 70,000 | (39,815) | 6,839,125 |
+----+-------------------------------------+----------+---------+----------+-----------+
| | Loss for the year | - | - | - | (73,727) |
+----+-------------------------------------+----------+---------+----------+-----------+
| | Other recognised gains and losses | - | - | - | 395,000 |
| | for the year | | | | |
+----+-------------------------------------+----------+---------+----------+-----------+
| | Dividends | - | - | - | (182,700) |
+----+-------------------------------------+----------+---------+----------+-----------+
| | At 1 May 2008 | 168,000 | 70,000 | (39,815) | 6,977,698 |
+----+-------------------------------------+----------+---------+----------+-----------+
| | Loss for the year | - | - | - | (199,670) |
+----+-------------------------------------+----------+---------+----------+-----------+
| | Other recognised gains and losses | - | - | - | 387,000 |
| | for the year | | | | |
+----+-------------------------------------+----------+---------+----------+-----------+
| | Dividends | - | - | - | (182,700) |
+----+-------------------------------------+----------+---------+----------+-----------+
| | At 30 April 2009 | 168,000 | 70,000 | (39,815) | 6,982,328 |
+----+-------------------------------------+----------+---------+----------+-----------+
+----+------------------------------------------------------------------------+----+
| 4 | Note to the preliminary announcement |
+----+------------------------------------------------------------------------+
| | The abridged financial information set out above has been extracted without |
| | material adjustment from financial statements approved by the Directors of |
| | John Swan & Sons PLC on 31 July 2009 which received an unqualified audit |
| | report by the independent auditors, which will be delivered to the |
| | Registrar of Companies. |
| | The financial statements for the year ended 30 April 2008 have been filed |
| | with the Registrar of Companies. |
+----+------------------------------------------------------------------------+----+
This information is provided by RNS
The company news service from the London Stock Exchange
END
FR BRGDRUGXGGCG
|