Source - BUS

Half-year Report

Mechan Controls Plc

MECHAN CONTROLS PLC

UNAUDITED INTERIM STATEMENT FOR THE SIX MONTHS

ENDED 30 JUNE 2016

CHAIRMAN’S REPORT

The Directors of Mechan Controls PLC are pleased to announce the group’s financial results for the 6 month trading period ending 30th June 2016.

Group turnover compared to the same period last year is up by 1.7% from £1,891,219. The Group after tax profit has increased by 66% for the first half of the year from £124,114. We are naturally pleased with this increase, and are delighted that we have been able to show these improvements in operating profit by an increase in gross margins and careful cost management.

Trading conditions are better than at this time last year and we are confident that the business will continue to grow organically in the second half of the year. The improved trend in the first half of the year is expected to continue, therefore turnover and profit at the year end should be comfortably ahead of last year, with double digit growth in profit expected.

Earnings per share increased 66% on the same period last year.

In the light of this, the Directors are pleased to an increase of 25% in the 2016 interim dividend to 1.173 pence per share. The company has made a separate announcement confirming the terms of the dividend.

The directors accept responsibility for this report

Wilf Boardman

Chairman

Mechan Controls Plc

14 Seddon Place

Stanley Industrial Estate

SKELMERSDALE

Lancashire

WN8 8EB

Telephone: 01695 722264

MECHAN CONTROLS PLC

GROUP PROFIT AND LOSS ACCOUNT

FOR THE SIX MONTHS ENDED 30th JUNE 2016

 

Unaudited

 

Unaudited

Accounts

Accounts

for the six

for the six

months

months

ended

ended

 

30 JUNE

30 JUNE

2016

2015

£

£
 
 
TURNOVER

1,923,925

1,891,219

 
Cost of sales

958,302

959,119

GROSS PROFIT

965,623

932,100

 
Distribution costs

96,749

91,509

Administrative expenses

601,128

661,311

Other operating income

0

(122)

OPERATING PROFIT

267,746

179,402

 
Interest receivable

3,521

679

Interest payable and similar charges

(178)

(469)

 

PROFIT ON ORDINARY ACTIVITIES BEFORE TAXATION

271,089

179,612

 
Tax on profit on ordinary activities

64,938

55,498

   
PROFIT ON ORDINARY ACTIVITIES AFTER TAXATION

206,151

124,114

 
Dividends

(45,400)

(37,800)

   

RETAINED PROFIT FOR THE FINANCIAL YEAR

160,751

86,314

 
EARNINGS PER SHARE

10.31p

6.21p

MECHAN CONTROLS PLC

GROUP BALANCE SHEET

FOR THE SIX MONTHS ENDED 30th JUNE 2016

  Unaudited Accounts for the six months ended     Unaudited Accounts for the six months ended
30 JUNE

2016

30 JUNE

2015

£ £ £ £
FIXED ASSETS
Intangible assets 1,169,947 1,279,135
Tangible assets 267,452 187,455
-------------------------------- --------------------------------
1,437,399 1,466,590
 
CURRENT ASSETS
Stocks 538,789 574,809
Debtors 897,394 792,213
Cash at Bank 1,083,990 717,269
-------------------------------- --------------------------------
2,084,291
CREDITORS Amounts falling due within one year

585,171

600,911

-------------------------------- --------------------------------
NET CURRENT LIABILITIES 1,935,002 1,483,380
-------------------------------- --------------------------------
TOTAL ASSETS LESS CURRENT LIABILITIES 3,372,401 2,949,970
 
CREDITORS: Amounts falling due after more than one year - -
 
PROVISION FOR LIABILITGIES
Deferred Taxation (29,389) (23,222)
---------------------------- ----------------------------
3,343,012 2,926,748
==================== ======== ==================== ========
CAPITAL AND RESERVES
Called-up equity Share Capital 50,000 50,000
Share premium account 653,000 653,000
Revaluation reserve 99,232 -
Profit and Loss Account 2,540,780 2,223,748
---------------------------- ----------------------------
SHAREHOLDERS’ FUND 3,343,012 2,926,748
============================ ============================

NOTES TO THE FINANCIAL STATEMENTS

1 FINANCIAL INFORMATION

The interim results for the six months ended 30 June 2016 are unaudited and do not constitute accounts within the meaning of section 434 of the Companies Act 2006. The interim results have been drawn up using accounting policies and presentation consistent with those applied in the audited accounts for the year ended 31 December 2015. The comparative information contained in this report for the period ended 30 June 2016 does not constitute statutory accounts for that financial period.

2 DIVIDENDS

The directors have recommend payment of an interim dividend of 1.173p payable on the 21st September 2016

3 COPIES OF UNAUDITED INTERIM REPORTS

Copies of this report are available to the public from the registered office at 14/16 Seddon Place, Stanley Industrial Estate, Skelmersdale, WN8 8EB.

4 RESPONSIBILITY

The directors of the Company accept responsibility for the information contained in this document and to the best of their knowledge and belief (having taken such care to ensure that such is the case) the information contained in this document is in accordance with the facts and does not omit anything likely to affect the import of such information.