16 Mar 2010 11:44
Tuesday 16 March 2010
PHOTO-ME INTERNATIONAL PLC - INTERIM MANAGEMENT STATEMENT
Board confident of exceeding full year market expectations
Photo-Me (PHTM.L), the instant service equipment group, announces its Interim Management Statement, which covers the period from 1 November 2009 to date.
Trading
Photo-Me is a seasonal business and the first half is traditionally stronger than the second half. However, as anticipated in the Interim Announcement, this year the second half is benefiting from improvements in day-to-day management, and the third quarter reported a much reduced loss on continuing operations.
For the nine months to 31 January 2010, revenue increased, albeit due to the effect of exchange rates. As a result of past restructuring efforts and optimized sitings, the Operations business made substantial profits. Japan was weak, but a resiting plan is well under way to enhance performance. The Sales & Servicing business has substantially improved compared to last year, and returned to pre-tax profit, pre-exceptionals.
Net Financial Position
Reflecting the continued cash generative nature of Photo-Me's business, net debt at 31 January 2010 of £3.1m is much reduced from the £26.1m on continuing activities at 30 April 2009, and the Board expects to report a net cash balance as at 30 April 2010.
Outlook
On the basis of the strong performance in the nine months, and flash results for February, the Board is now confident that the pre-tax profit (on continuing operations, pre-exceptionals) for the full year will exceed current market expectations. The Board is also optimistic about the Group's longer term prospects.
Enquiries:
Photo-Me International plc 01372-453 399 Hugo Swire (Chairman) Francoise Coutaz-Replan (GFD)
Bankside Consultants Charles Ponsonby 020-7367 8851/ 07789-202 312