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Financial News
Interim Results for the six months ended 31 October 2009
08/12/2009
Northgate plc (“Northgate”, the “Company” or the “Group”), the leading light commercial vehicle rental business in the UK and Spain by fleet size, announces its interim results for the half-year ended 31 October 2009.
Financial highlights
- Group revenue £375.9m (2008 – £392.1m1)
- Underlying profit before tax2 £22.0m (2008 – £26.5m2)
- Underlying basic earnings per share 21.0p2, 3 (2008 – 64.7p2, 3)
- Basic earnings per share 5.1p3 (2008 – 56.8p3)
- Cash generated from operations £77.6m (2008 – £61.5m4)
- Net debt5 reduced by £180m to £706m (April 2009 – £886m)
- Successful completion of refinancing and equity raising
2Stated before intangible amortisation of £2.6m (2008 - £2.6m) and exceptional items of £13.6m (2008 - £nil).
3Adjusted for the Rights Issue and placing in July 2009.
4Restated to include purchases of vehicles for hire and proceeds from the disposal of vehicles for hire in accordance with IAS 16 and IAS 7 as both amended.
5After adjusting for the fair value of cross currency derivatives in relation to US dollar senior notes.
Operational highlights
- Average utilisation in the period of 91.4% in the UK and 87.6% in Spain
- Pricing improvement of 2.3% in the UK since April 2009 and stable prices in Spain
- Improvement in used vehicle market in both the UK and Spain
- Closing fleet of 61,000 in the UK (2008 – 69,100) and 55,200 in Spain (2008 – 64,800)
“The actions taken earlier in the year have had a positive impact on the business and we continue to make progress towards the goals set out in the strategic plan. We have increased utilisation rates in the UK and Spain, achieved improvements in pricing, delivered cost savings and reduced indebtedness whilst benefiting from an increase in used vehicle prices. Given the continued uncertain economic environment, particularly in Spain, our focus remains on hire rate improvement, efficient fleet management, further cost reductions and cash management. We are pleased with the progress to date against our objectives and look forward with increased confidence.”
For further information, please contact:
Northgate plc
Steve Smith, Chief Executive
Bob Contreras, Finance Director
Paul Tallentire, Deputy Chief Executive
01325 467558
Hogarth Partnership Limited
Andrew Jaques
Barnaby Fry
Anthony Arthur
020 7357 9477
Notes to Editors:
Northgate plc rents light commercial vehicles and sells a range of fleet products to businesses via a network of hire companies. Their NORFLEX® product gives businesses access to a flexible method to acquire as many commercial vehicles as they require.
Further information regarding Northgate plc can be found on the Company’s website:
http://www.northgateplc.com Download pdf
