Breaking News
FONT-SIZE Plus   Neg
Share SHARE

Photo-Me International First-half Profit Rises, Despite Lower Revenues

Shares of Photo-Me International Plc (PHTM.L) dropped about 3 percent Friday morning, as the company posted a decline in revenues for its first half ended October 31, 2012. However, profit increased from last year, reflecting lower costs and expenses. The company's board recommended a higher interim dividend and said it remains confident of good progress over the year.

John Lewis, non-executive chairman said, "The Group has again traded well in what is traditionally its stronger half and delivered a record result, despite a currency headwind. A growing estate, tighter management and lower costs have all contributed to this with notable improvements in Germany, Switzerland and Japan and another very good performance in our largest market, France."

The manufacturer of instant service equipment, including coin-operated automatic photobooths for identification and fun purposes and various vending equipment, said it is introducing more widely coin-operated laundry machines, which is expected to have substantial potential in the medium-term.

In the first half, the company's profit before tax increased to 20.02 million pounds from 17.05 million pounds in the previous year.

On a per share basis, earnings were 3.93 pence, higher than 3.23 pence per share reported last year.

Meanwhile, revenues for the period declined 7.1 percent to 107.39 million pounds. At constant currency, revenue decreased 2.1 percent.

Cost of sales decreased to 79.15 million pounds from 89.4 million pounds last year and administrative expenses were 8.69 million pounds, lower than 9.83 million pounds in the preceding year.

The board also recommended an interim dividend of 1.5 pence per share, up 20 percent from last year, to shareholders of record on April 2, 2013, payable on May 7.

"We continued to generate significant levels of cash in the period and the net cash position at the end of October was £70 million, an increase of £18 million since the end of April. We are therefore increasing the interim dividend by 20% and, during the second half of the year, the Board will be considering the options for returning some of this cash to shareholders," Lewis added.

PHTM.L is currently trading at 56 pence, down 1.5 pence or 2.61 percent, on a volume of 841 thousand shares, against a three-month average volume of 165 thousand shares.

Register
To receive FREE breaking news email alerts for Photo-Me International and others in your portfolio

by RTT Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Editors Pick
British economic growth remained high as expected in the second quarter as a robust expansion in the dominant service sector, and industry completely offset the slight weakness in the construction sector. With the second quarter expansion, GDP returned to its pre-crisis level. Gross domestic product grew 0.8 percent sequentially in the second quarter, the same rate as seen in the first quarter. 2.2 billion people in the world are poor or near-poor, according to the United Nations 2014 Human Development Report. Entitled Sustaining "Human Progress: Reducing Vulnerabilities and Building Resilience", the report was launched in Tokyo on Thursday by Japanese Prime Minister Shinzo Abe, United Nations... German business confidence eased for the third successive month to its lowest level since October, amid rising concerns over the impact of the worsening conflicts in Ukraine and the Middle East on the largest Eurozone economy. The Business Climate Index for industry and trade fell to 108.0 points in July from 109.7 in June, the results of a survey by the Munich-based Ifo Institute showed Friday.
comments powered by Disqus
FREE Newsletters, Analysis & Alerts

 

Stay informed with our FREE daily Newsletters and real-time breaking News Alerts. Sign up to receive the latest information on business news, health, technology, biotech, market analysis, currency trading and more.