Bath Shower Today: Search results for Shower Products Distribution

Showing posts sorted by relevance for query Shower Products Distribution. Sort by date Show all posts

Wednesday, February 21, 2018

Bath and Shower Products Report on Global and United States Market Status & Forecast, by Players, Types and Applications 2017-2022

Read article : Bath and Shower Products Report on Global and United States Market Status & Forecast, by Players, Types and Applications 2017-2022

Qyresearchreports include new market research report “2017-2022 Bath and Shower Products Report on Global and United States Market, Status and Forecast, by Players, Types and Applications” to its huge collection of research reports.

The report on Global and United States Bath and Shower Products market is an in-depth study of the industry, including its present, past, and future performance. The various factors driving the Global and United States Bath and Shower Products market towards growth has been analyzed and so are the challenging factors hampering the growth of the market. The impact analysis of both the growth drivers and restraining factors has been included in the report. Also included is the information pertaining to degree of competition, bargaining power of suppliers, threat of substitutes, bargaining power of buyers, and threat of new entrants. The information thus given is extremely resourceful and comes in handy to all those wishing to invest in the Global and United States Bath and Shower Products market. The report enables investors and market players both new and established, to make profitable decisions regarding investments in the Global and United States Bath and Shower Products market.

The report segments the Global and United States Bath and Shower Products market on the basis of key criteria and studies each of the segment and sub-segment in a comprehensive, detailed manner. Factors leading to the growth or decline of the segment and the reasons behind them are also given. The report lists out the fastest growing segment, the leading segment, and the declining segment, which helps investors to get a clear idea on which segment to invest on, that will reap benefits in the long run. The report also studies key players operating in the Global and United States Bath and Shower Products market. The business and financial overview of each of those companies along with their recent contribution to the growth of the market have been included. The expansion strategies and business planning adopted by these players are given in the report, thus helping new players to formulate strategies and incur profits in the market.

For more information on this report, fill the form @ http://www.qyresearchreports.com/sample/sample.php?rep_id=1121739&type=E

Table of Contents

1 Methodology and Data Source
1.1 Methodology/Research Approach
1.1.1 Research Programs/Design
1.1.2 Market Size Estimation
1.1.3 Market Breakdown and Data Triangulation
1.2 Data Source
2.1.1 Secondary Sources
2.1.2 Primary Sources
1.3 Disclaimer

2 Bath and Shower Products Market Overview
2.1 Bath and Shower Products Product Overview
2.2 Bath and Shower Products Market Segment by Type
2.2.1 Soap and Shower Gel
2.2.2 Body Scrub
2.2.3 Shower Brush
2.2.4 Shower Sponge
2.3 Global Bath and Shower Products Product Segment by Type
2.3.1 Global Bath and Shower Products Sales (K Units) and Growth (%) by Types (2012, 2016 and 2022)
2.3.2 Global Bath and Shower Products Sales (K Units) and Market Share (%) by Types (2012-2017)
2.3.3 Global Bath and Shower Products Revenue (Million USD) and Market Share (%) by Types (2012-2017)
2.3.4 Global Bath and Shower Products Price (USD/Unit) by Type (2012-2017)
2.4 United States Bath and Shower Products Product Segment by Type
2.4.1 United States Bath and Shower Products Sales (K Units) and Growth by Types (2012, 2016 and 2022)
2.4.2 United States Bath and Shower Products Sales (K Units) and Market Share by Types (2012-2017)
2.4.3 United States Bath and Shower Products Revenue (Million USD) and Market Share by Types (2012-2017)
2.4.4 United States Bath and Shower Products Price (USD/Unit) by Type (2012-2017)

Browse Market Research Report @ http://www.qyresearchreports.com/report/2017-2022-bath-and-shower-products-report-on-global-and-united-states-market-status-and-forecast-by-players-types-and-applications.htm

3 Bath and Shower Products Application/End Users
3.1 Bath and Shower Products Segment by Application/End Users
3.1.1 Household
3.1.2 Commercial Use
3.2 Global Bath and Shower Products Product Segment by Application
3.2.1 Global Bath and Shower Products Sales (K Units) and CGAR (%) by Applications (2012, 2016 and 2022)
3.2.2 Global Bath and Shower Products Sales (K Units) and Market Share (%) by Applications (2012-2017)
3.3 United States Bath and Shower Products Product Segment by Application
3.3.1 United States Bath and Shower Products Sales (K Units) and CGAR (%) by Applications (2012, 2016 and 2022)
3.3.2 United States Bath and Shower Products Sales (K Units) and Market Share (%) by Applications (2012-2017)

4 Bath and Shower Products Market Status and Outlook by Regions
4.1 Global Market Status and Outlook by Regions
4.1.1 Global Bath and Shower Products Market Size and CAGR by Regions (2012, 2016 and 2022)
4.1.2 North America
4.1.3 Asia-Pacific
4.1.4 Europe
4.1.5 South America
4.1.6 Middle East and Africa
4.1.7 United States
4.2 Global Bath and Shower Products Sales and Revenue by Regions
4.2.1 Global Bath and Shower Products Sales (K Units) and Market Share (%) by Regions (2012-2017)
4.2.2 Global Bath and Shower Products Revenue (Million USD) and Market Share (%) by Regions (2012-2017)
4.2.3 Global Bath and Shower Products Sales (K Units), Revenue (Million USD), Price (USD/Unit) and Gross Margin (%) (2012-2017)
4.2.4 North America Bath and Shower Products Sales (K Units), Revenue (Million USD), Price (USD/Unit) and Gross Margin (%) (2012-2017)
4.2.5 Europe Bath and Shower Products Sales (K Units), Revenue (Million USD), Price (USD/Unit) and Gross Margin (%) (2012-2017)
4.2.6 Asia-Pacific Bath and Shower Products Sales (K Units), Revenue (Million USD), Price (USD/Unit) and Gross Margin (%) (2012-2017)
4.2.7 South America Bath and Shower Products Sales (K Units), Revenue (Million USD), Price (USD/Unit) and Gross Margin (2012-2017)
4.2.8 Middle East and Africa Bath and Shower Products Sales (K Units), Revenue (Million USD), Price (USD/Unit) and Gross Margin (%) (2012-2017)
4.2.9 United States Bath and Shower Products Sales (K Units), Revenue (Million USD), Price (USD/Unit) and Gross Margin (2012-2017)

5 Global Bath and Shower Products Market Competition by Players/Manufacturers
5.1 Global Bath and Shower Products Sales (K Units) and Market Share by Players (2012-2017)
5.2 Global Bath and Shower Products Revenue (Million USD) and Share by Players (2012-2017)
5.3 Global Bath and Shower Products Average Price (USD/Unit) by Players (2012-2017)
5.4 Players Bath and Shower Products Manufacturing Base Distribution, Sales Area, Product Types
5.5 Bath and Shower Products Market Competitive Situation and Trends
5.5.1 Bath and Shower Products Market Concentration Rate
5.5.2 Global Bath and Shower Products Market Share (%) of Top 3 and Top 5 Players
5.5.3 Mergers & Acquisitions, Expansion

6 United States Bath and Shower Products Market Competition by Players/Manufacturers
6.1 United States Bath and Shower Products Sales (K Units) and Market Share by Players (2012-2017)
6.2 United States Bath and Shower Products Revenue (Million USD) and Share by Players (2012-2017)
6.3 United States Bath and Shower Products Average Price (USD/Unit) by Players (2012-2017)
6.4 United States Bath and Shower Products Market Share (%) of Top 3 and Top 5 Players

7 Bath and Shower Products Players/Manufacturers Profiles and Sales Data
7.1 Lush
7.1.1 Company Basic Information, Manufacturing Base and Competitors
7.1.2 Bath and Shower Products Product Category, Application and Specification
7.1.2.1 Product A
7.1.2.2 Product B
7.1.3 Lush Bath and Shower Products Sales (K Units), Revenue (Million USD), Price (USD/Unit) and Gross Margin (%) (2012-2017)
7.1.4 Main Business/Business Overview
7.2 Nivea
7.2.1 Company Basic Information, Manufacturing Base and Competitors
7.2.2 Bath and Shower Products Product Category, Application and Specification
7.2.2.1 Product A
7.2.2.2 Product B
7.2.3 Nivea Bath and Shower Products Sales (K Units), Revenue (Million USD), Price (USD/Unit) and Gross Margin (%) (2012-2017)
7.2.4 Main Business/Business Overview
7.3 Fresh
7.3.1 Company Basic Information, Manufacturing Base and Competitors
7.3.2 Bath and Shower Products Product Category, Application and Specification
7.3.2.1 Product A
7.3.2.2 Product B
7.3.3 Fresh Bath and Shower Products Sales (K Units), Revenue (Million USD), Price (USD/Unit) and Gross Margin (%) (2012-2017)
7.3.4 Main Business/Business Overview

About Us

QYReseachReports.com delivers the latest strategic market intelligence to build a successful business footprint in China. Our syndicated and customized research reports provide companies with vital background information of the market and in-depth analysis on the Chinese trade and investment framework, which directly affects their business operations. Reports from QYReseachReports.com feature valuable recommendations on how to navigate in the extremely unpredictable yet highly attractive Chinese market.

Contact Us

1820 Avenue
M Suite #1047
Brooklyn, NY 11230
United States
Toll Free: 866-997-4948 (USA-CANADA)
Tel: +1-518-621-2074
Email: sales@qyresearchreports.com
Blog – qyresearch-group.blogspot.in

Friday, December 1, 2017

Market Size, Growth and Forecast Analytics Prices from USD $500 — BioPortfolio.com

Read article : Market Size, Growth and Forecast Analytics Prices from USD $500 — BioPortfolio.com

Summary
Bath and Shower Products includes all shower gels and other personal hygiene products designed to be used in the shower, as well as liquid bath products such as bubblebaths and bath time washing gels and lotions. Also includes nonliquid products added to baths such as bath bombs, beads and salts. Bath and Shower Products Personal Hygiene Market in Bulgaria Outlook to 2020: Market Size, Growth and Forecast Analytics is a broad level market review of Bath and Shower Products market of Bulgaria. The research handbook provides the uptodate market size data for period 20112015 and illustrative forecast to 2020 covering key market aspects like Sales Value and Volume for Bath and Shower Products and its variants Liquid Bath Products, Shower Products and Other Bath Products.

Sales Values in the handbook are depicted in USD $ and local currency of Bulgaria and Volumes are represented in M Units.

Furthermore, the research handbook details out Sales Value for top brands for the year 2012 to 2015 and overall market sales by Distribution Channel Hypermarkets and Supermarkets, Convenience Stores, Department Stores, Dollar Stores, Variety Store, Cash and Carries and Warehouse clubs, eRetailers, Food and Drinks specialists, Drug stores and Pharmacies, Health and Beauty Stores, Other general retailers and others where ever applicable.

The research handbook acts as an essential tool for companies active or planning to venture in to Bulgaria's Bath and Shower Products Personal Hygiene market. The comprehensive statistics within the report provides insight into the operating environment of the market and also ensures right business decision making based on historical trends and industry model based forecasting. This is an ondemand research handbook and will be delivered within 2 working days excluding weekends of the purchase.

Note: Certain content / sections in the research handbook may be removed or altered based on the availability and relevance of data.

Key Findings
Overall Bath and Shower Products Personal Hygiene market value and volume analytics with growth analysis from 2011 to 2020. Sales Value and Volume analytics for variants of Bath and Shower Products; Liquid Bath Products, Shower Products and Other Bath Products Value terms for the top brands. Distribution channel sales analytics from 20122015.

Synopsis
Bath and Shower Products Personal Hygiene Market in Bulgaria Outlook to 2020: Market Size, Growth and Forecast Analytics is a broad level market review of Bath and Shower Products market of Bulgaria. The research handbook provides the uptodate market size data for period 20112015 and illustrative forecast to 2020 covering key market aspects like Sales Value and Volume for Bath and Shower Products and its variants Liquid Bath Products, Shower Products and Other Bath Products. The research handbook also provides analytics on Sales by Brands and by Distribution Channel.

ReasonsToBuy
Get access to authoritative and granular data on the Bath and Shower Products Personal Hygiene, market and fill in the gaps in understanding of trends and the components of change behind them.

Enhance your understanding of the market to update your strategic and tactical plans based on volume and value changes, brand dynamics and distribution trends.

Analyze the components of change in the market by looking at historic and future growth patterns.

Use the data to understand future patterns of the market trends from winners and losers to category dynamics and thereby quickly and easily identify the key areas in which you want to compete in the future.

Original Article: Bath and Shower Products Personal Hygiene Market in Bulgaria Outlook to 2020: Market Size, Growth and Forecast Analytics Prices from USD $500

Saturday, April 1, 2017

Study the Latest Forecasts for the Bath and Shower Products Market in Germany

Read article : Study the Latest Forecasts for the Bath and Shower Products Market in Germany

DUBLIN, Ireland--(BUSINESS WIRE)--Research and Markets (http://www.researchandmarkets.com/reports/c54437) has announced the addition of Datamonitor's new report: "Bath & Shower Products in Germany" to their offering.

Our "Bath & Shower Products in Germany" industry profile is an essential resource for top-level data and analysis covering the bath & shower products industry. It includes detailed data on market size and segmentation, plus textual analysis of the key trends and competitive landscape, demographic information, and descriptions of the leading companies.

Scope of this title:

Contains an executive summary and data on value, volume and segmentation
Provides textual analysis of the industry’s prospects, competitive landscape and leading companies
Includes a five-year forecast of the industry
Supported by the key macroeconomic and demographic data affecting the market

Highlights of this title:

Detailed information is included on market size, measured by both value and volume
Market shares are covered by manufacturer and/or brand

Why you should buy this report

Spot future trends and developments
Inform your business decisions
Add weight to presentations and marketing materials
Save time carrying out entry-level research

Market Definition - The bath & shower products market consists of liquid bath products, other bath products and shower products. The market is valued according to retail selling price (RSP) and includes any applicable taxes. Any currency conversions used in the creation of this report have been calculated using constant 2005 annual average exchange rates.

For the purpose of this report, the European market is deemed to consist of Belgium, the Czech Republic, Denmark, France, Germany, Hungary, Italy, the Netherlands, Norway, Poland, Russia, Spain, Sweden and the UK.

Executive Summary

Chapter 1.

Market overview

1.1 Market Definition

1.2 Research Highlights

1.3 Market Analysis

Chapter 2.

Market value

Chapter 3.

Market volume

Chapter 4.

Market segmentation i

Chapter 5.

Market segmentation ii

Chapter 6.

Market share

Chapter 7.

Competitive landscape

Chapter 8.

Leading companies

8.1 Colgate

8.2 Beiersdorf AG

8.3 Henkel KgaA

Chapter 9.

Distribution

Chapter 10.

Market forecasts

10.1 Market Value Forecast

10.2 Market Volume Forecast

Chapter 11.

Macroeconomic indicators

Chapter 12.

Thursday, March 23, 2017

Steam And Shower UK Unveils New Identity As Sensual Spas UK « MarketersMedia – Press Release Distribution Services – News Release Distribution Services

Read article : Steam And Shower UK Unveils New Identity As Sensual Spas UK « MarketersMedia – Press Release Distribution Services – News Release Distribution Services

Sensual Spas, previously known as Steam And Shower UK are one of the premiere online stores that offers a full range of steam showers from a variety of different brands.

England, United Kingdom - December 14, 2015 /MarketersMedia/ — Sensual Spas, previously known as Steam And Shower UK is one of the premiere online stores that offers a full range of steam showers from a variety of different brands. They offer a full range of spa related equipment from steam sauna showers to hot tubs and whirlpool baths. The store recently went into a metamorphosis phase to reemerge as Sensual Spas, continuing to build upon the highly trusted reputation of Steam And Shower UK by offering even a wider and more comprehensive range of products and superior customer services.

Sensual Spas' new identity stems from the sensuous nature of steam sauna showers, hot tubs, and whirlpool baths as great places to bond and relax with that special someone. Sensual Spa UK allows their customers to find the perfect steam shower, hot tub or whirlpool bath to suit their needs and enjoy in the privacy of their own home.

The store spokesperson said: “We at Sensual Spas UK are celebrating the launch brand new name and fresh perspective while offering the same great deals as before, with a new zest and style. We are certain that our buyers will appreciate our new outlook and brand. We still offer Interest-free credit and our lowest price promise, which we believe are our strongest selling point besides the high quality of our products and services. Our buyers benefit from Top brands Buy direct and get the best services. Even now as the UK's BIGGEST we use our buying power to offer fantastic deals on high-quality bathroom and sauna spa products. All our prices are guaranteed to be the cheapest online, that's our price promise, and low, unbeatable deals on the best spa items.”

The people behind Sensual Spas UK believe that bathing can be a sensuous, relaxing and rejuvenating experience that can be thoroughly enjoyed each time given the right setting and equipment, the store’s main objective is to allow people to equip their homes with spa related equipment from steam sauna showers to hot tubs and whirlpool baths which allow them to make the most of each bath by offering affordability, quality, and convenience.

About: Sensual Spa is UK's biggest and premier supplier of luxury steam showers and whirlpool baths. With years of experience and their reputation as the best has been built on a strong relationship with the customers and always give the best and most honest service available. For more information, please visit: http://sensualspas.co.uk

Andrew Ellis
sales@sensualspas.co.uk
Norton Avenue
Morecambe
England
LA3 1HE
0800 020 9545

Contact Info:
Name: Andrew Ellis
Email: Send Email
Organization: Sensual Spa
Phone: 0800 020 9545

Source URL: https://marketersmedia.com/steam-and-shower-uk-unveils-new-identity-as-sensual-spas-uk/99068

For more information, please visit http://sensualspas.co.uk

Source: MarketersMedia

Release ID: 99068

Monday, October 2, 2017

IFLO FIORA BASIN TAPS •

Read article : IFLO FIORA BASIN TAPS •

IFLO FIORA BASIN TAPS

IFLO FIORA BASIN TAPS • Solid brass with chrome finish • 10 yr guarantee on ceramic disc valve CODE NAME 724748 Basin Taps IFLO RENO BATH FILLER 0.1 BAR • Solid brass with chrome finish • 10 yr guarantee on ceramic disc valve and cartridge CODE NAME 724769 Bath Filler IFLO CALM BASIN TAPS 0.1 BAR • Solid brass with chrome finish • 10 yr guarantee on ceramic disc valve • Matching shower control available CODE NAME 400145 Basin Taps 0.1 BAR IFLO FIORA MONOBLOC BASIN MIXER • Solid brass with chrome finish • 10 yr guarantee on ceramic disc valve CODE NAME 724750 Monobloc Basin Mixer with Popup waste IFLO RENO BATH TAPS IF PRODUCTS MARKED WITH THIS SYMBOL ARE NOT IN STOCK, THEY CAN BE SOURCED QUICKLY FROM OUR CENTRAL DISTRIBUTION WAREHOUSE. BATHROOM TAPS AND MIXERS 0.1 BAR • Solid brass with chrome finish • 10 yr guarantee on ceramic disc valve and cartridge CODE NAME 724766 Bath Taps IFLO CALM BATH TAPS 0.1 BAR • Solid brass with chrome finish • 10 yr guarantee on ceramic disc valve • Matching shower control available CODE NAME 400146 Bath Taps System Key: 0.1 - 0.9 bar - Suitable for high & low pressure systems (Gravity-fed, unvented systems and combination boilers) 1.0 bar+ - Suitable for only high pressure systems (Unvented systems and combination boilers) 0.1 BAR IFLO RENO BATH SHOWER MIXER • Solid brass with chrome finish • 10 yr guarantee on ceramic disc valve and cartridge CODE NAME 724768 Bath Shower Mixer IFLO RENO MONOBLOC BASIN MIXER 0.5 BAR • Solid brass with chrome finish • 10 yr guarantee on ceramic disc valve and cartridge CODE NAME 724767 Monobloc Basin Mixer with Popup waste IFLO CALM MONOBLOC BASIN MIXER 0.3 BAR • Solid brass with chrome finish • 10 yr guarantee on ceramic disc valve • Matching shower control available CODE NAME 400148 Monobloc Basin Mixer with Popup waste 0.1 BAR BATHROOMS 289 BATHROOMS

BATHROOM TAPS AND MIXERS BATHROOMS 290 IFLO CALM BATH SHOWER MIXER • Solid brass with chrome finish • 10 yr guarantee on ceramic disc valve • Matching shower control available CODE NAME 400147 Bath Shower Mixer IFLO VARESE BATH FILLER 0.5 BAR • Solid brass with chrome finish • 10 yr guarantee on ceramic disc valve and cartridge CODE NAME 714032 Bath Filler IFLO VARESE MONOBLOC BASIN MIXER 0.3 BAR • Solid brass with chrome finish • 10 yr guarantee on ceramic disc valve and cartridge CODE NAME 714033 Monobloc Basin Mixer with Popup waste 0.3 BAR IFLO CALM BATH FILLER • Solid brass with chrome finish • 10 yr guarantee on ceramic disc valve • Matching shower control available CODE NAME 771429 Bath Filler IFLO VARESE BATH TAPS 0.1 BAR • Solid brass with chrome finish • 10 yr guarantee on ceramic disc valve and cartridge CODE NAME 714030 Bath Taps IFLO SPA MONOBLOC BASIN MIXER 0.1 BAR • Solid brass with chrome finish • 10 yr guarantee on ceramic disc valve CODE NAME 400144 Monobloc Basin Mixer with Popup waste 0.1 BAR IFLO VARESE BATH SHOWER MIXER • Solid brass with chrome finish • 10 yr guarantee on ceramic disc valve and cartridge CODE NAME 714031 Bath Shower Mixer IFLO VARESE BASIN TAPS 0.5 BAR • Solid brass with chrome finish • 10 yr guarantee on ceramic disc valve and cartridge CODE NAME 714028 Basin Taps IFLO SPA BATH SHOWER MIXER 0.1 BAR • Solid brass with chrome finish • 10 yr guarantee on ceramic disc valve CODE NAME 400143 Bath Shower Mixer Brassware Ceramic Disc Valve/ Compression Valve/Cartridge 0.5 BAR Guarantees apply to iflo products only www.travisperkins.co.uk

Saturday, February 24, 2018

Norcros | Norcros Plc - Tiles And Taps On Two Continents.

Read article : Norcros | Norcros Plc - Tiles And Taps On Two Continents.

Norcros (LON:NXR)

Price Mid Price 173p

Bid/Offer 170p - 176p NMS 1,000

Market Cap circa £105 million

Enterprise Value circa £132 million

About the Company

A Company located both in the UK and in South Africa. Their products include showers, taps, bathroom accessories, tiles and adhesives. Six plants in the UK where Triton Showers, Vado, Croydex, Abode, Johnson Tiles and Norcros Adhesive are manufactured and designed. In South Africa, their products include Johnson Tiles, TAL and Tile Africa.

Revenue has been growing with a target to double revenue, some of which has already been achieved with organic growth and through acquisitions.

58f00269eadc7lge_carousel_triton_img2.jp

Reorganisation

In March 2017 the company began restructuring its UK tiles business involving the loss of 90 jobs which will likely incur an exceptional charge of £2.3 million. Greater productivity is forecast which will lead to an anticipated payback time within next 12 months.

Borrowings

The Company has managed to reduce net debt from £32.6 million in 2016 to circa £24 million in 2017.

The Investment Case

The Company sells continuously at a lower p/e multiple of 7 times for good reason.

The Bear Case x 5

1. The large pension deficit that has increased to nearly £100 million that supports over 7,000 workers in retirement.

2. The South African connection provides a geopolitical and a currency risk, combined with the complexity of managing two businesses in very different places and in dissimilar markets.

3. Most of the business in Tiles and Adhesive compete on price and not necessarily the brand names.

4. If imported inflation creeps up without wage growth, then consumers will have less discretionary purchasing power to buy their range of premium products.

5. The relatively large number of staff at 2,000 employees suggests a large wage bill which operates in a low operating margin environment.

The Bull Case x 5

1. The pension deficit is caused by perpetual low-interest rates. Any normalisation of interest rates by 2% upwards in future years will likely eliminate the deficit by itself. The company has £400 million plus in a pension reserve which needs to grow to £500 million over time. In the meantime, the company prudently will pay £2.5 million a year index linked to CPI to help reduce the deficit.

The Company is just one of a few listed companies to take an adjustment to ultra low bond yields for pension calculation purposes. Most companies presume a higher bond rate and show a smaller pension deficit. The increase in the pension deficit was very much self-inflicted but does show an ultra cautious management which is fine. The change to the even lower bond yields was probably not needed, given the mature nature of their pension scheme. The average age of two thirds of its pensioners is now 77 years of age.

2. South Africa is an area where the company is long established and may be less likely to suffer stiffer price competition in that market. The South African business under new management has been in turnaround mode with success clearly coming through. There is a growing middle class to promote its premium taps and showers through its existing 37 retail tile outlets. Other opportunities lie much further ahead to move into the more wealthier countries in Africa with their products. The South African business is a positive for the company. Changes in currency valuation is a minor issue in the long run if profits continue to grow faster. This year Sterling weakened against the Rand.

3. Those in the trade recognise the quality of their adhesives for commercial tiling where turnaround times for drying are important. Their brand names may not be on many lips but in the trade, they are known. As regards tiles manufactured in the UK, they benefit from sterling devaluation against foreign competitors which will help maintain margins.

4. The company has a range of existing products to suit most pockets. The company spends money on R & D and has developed a crystal grip for wall tiles which does not use adhesives. The company has developed different types of shower units to suit different foreign markets. For example it has a low pressure shower for the large Latin America market. Norcos plc is not dependent on new build only. One room in houses that is often modernised are bathrooms. Glossy brochures with new designs and looks do encourage consumers to change existing bathrooms more often. In any case, the normal bathroom wear and tear will further drive future revenues.

5. The company has been acquiring other brands to add to its portfolio. Difficult markets mean lower acquisition costs which is far better than buying at the top of the market. A lot of the companies manufactured components are outsourced from Europe and China with just assembly done in the UK.

Profit Forecasts

Earnings for this year are forecast at 26p eps for 2017and 28p eps in 2018. The shares offer a decent forecast dividend yield of 4.3%. The dividend will have doubled over the last 6 years.

Positioned for growth.
Well invested with broad distribution channels supplying blue chip customers, e.g. B&Q, Screwfix, Plumb Center.
Strong presence in social housing markets.
Replacement cycle is a key driver of electric shower demand and Triton benefits from the largest installed base in the UK and Ireland.
Continuous new product programme and emphasis on design and product innovation UK growth opportunities in the trade sector, mixer showers and associated products
Growth opportunities in overseas markets. Resilient business model and operating performance

Bear or Bull?

I'm often looking for shares that are dull, predictable, profitable, paying a dividend, and particularly cheap for reasons I think I understand. On that basis, I have bought Norcos after the 10% rise. I consider the downside is limited and the share may provide a safe hideout versus many other overvalued stocks. Norcos will not suit investors who are seeking an immediate catalyst for change. The share price will most likely gyrate up and down 25p from present levels for the foreseeable future. Investors holding time will need to be measure in years rather than months.

My General View of the Stock Market

Markets look to be climbing a mudslide where the grip on reality is deteriorating and a slide back is always imminent. The market is looking for disappointment and can easily find reasons at so many levels when it finally chooses to react. The additional pumped in liquidity is simply keeping all types of asset classes highly valued. Can stock markets go higher? Yes, of course, particularly if central banks permit money to continue to be printed at even faster rates.

Regards

Dearg Doom

Disclosure (I'm long the stock. No investment advice intended.)

Sunday, December 10, 2017

Maax Hydro Swirl Mfr Bellingham, WA 98226

Read article : Maax Hydro Swirl Mfr Bellingham, WA 98226

Business DetailsCouponsGalleryReviews

COUPONS & DEALS

No coupons available

Gallery

Be the first to add a photo!

Reviews

Hi there!
Be the first to review!

Click to Rate

Wednesday, May 24, 2017

Is water the next 'drug' for Mexico’s cartels?

Read article : Is water the next 'drug' for Mexico’s cartels?

Aug 14, 2017

What it's like when narcos run your privatized water system, Tamara Pearson reports.

A pipa, or water truck, filling up the underground well for shops in Puebla city. Credit: Tamara Pearson

It's rainy season here in Puebla, Mexico, and water is dripping through my concrete roof, taking chunks of plaster and paint from the ceiling with it. Ironically, we still don't have enough running water to shower everyday. Other people here have no running water at all, and our drainage system is in a state of utter abandonment.

Yet we all pay 10 times the rates of the rest of Mexico, because here in Puebla – unlike the rest of the country – our water is privatized. What's more, the men at the helm of the consortium that run it are a collection of corrupt millionaire and billionaire businessmen who have allegedly laundered money for some of the region's biggest drug cartels.

Throughout much of Mexico large, usually black, tinacos (water tanks) dot the roof tops of our concrete slums and towns. A lot of us have running water for just 15-30 minutes, twice a week, so we fill up the tinacos to cover the rest of the time. Many of the older tanks are made of asbestos, while the newer ones are a solid black plastic. A friend who lives around the corner has only a large container of water in his bathroom, while those in wealthier areas often have underground storage and much more regular water.

Most of us, however, have just 400 litres of water to last the household a week. In the US, a single person consumes that amount per day. In my home, we wash our clothes in a bucket, recycle that water to flush the toilet, collect the water from the shower for flushing, and only flush around once or twice a day. Showers are quick and had every three days or so.

My water bill is 630 pesos per month, while in neighboring Tlaxcala state, people pay 50 pesos per month. Everyone here has stories of being unfairly charged for water, or of going without any water for a year or two – despite constant complaints to the water company, Aguas de Puebla.

I was duly awarded a debt of 115,000 pesos when I first moved into my tiny apartment, located in the poor side of inner-city Puebla. For perspective, that's nearly four years’ worth of minimum wage. I spent four months battling the water company to get that corrected – spending 45 minutes each way on public transport to talk to them directly in their head office, and ringing them on a daily basis. Each time, they asked me to bring in more documents, placing the paperwork burden on me, instead of on themselves as the ones who made the mistake. They gave me excuses and promises that it would be resolved in three weeks’ time and to come back then, and even redirected me to other departments – ‘I'll put you through to water meters, maybe they can help with your case.’

Ultimately, some firm phone calls to the head of public relations of the company, with support from an incredible journalist friend, saw me meeting directly with PR, finally, the figure was fixed in their system in a matter of minutes. At the time, I put it down to the bureaucratic, inhumane habits of private corporations, but later I would realize just how much more sinister the problem was.

Water tanks on the rooftops of inner-city Puebla. Credit: Tamara Pearson

Illegal privatization

‘Baja California was the first state in Mexico to plan to privatize its water, but protests and resistance stopped that. Puebla was the second state,’ Fernando, an indigenous water activist in the Peoples Against the Privatization of Water group told me. He asked that I not include his last name, given the arrest warrants pending on a number of water activists, and the risk involved.

In 2013, the Puebla state government justified the privatization of water by arguing that the incoming company would invest the money necessary to improve the service, eliminate leaking pipes that saw 30 per cent of all water lost, and expand the reach of piped water. It passed the Water Law, that would allow the new company to set prices without oversight and to hire other private companies, and put out a call for bids in September that year. The government awarded the bid to Concessions Integrales, also known as Aguas de Puebla, three days before the consortium was actually formed and legally able to participate in a bid for tender. Though the governor had talked about a 30 year deal, that was extended to 60 years.

Narco business

No one imagined that one of the main companies behind Enrique Peña Nieto's presidential election campaign in 2012 would ultimately end up running Puebla's water supply system, in a consortium made up of other corrupt and scandalous companies.

Monex, Epccor, and Grupo Financiero Interacciones are the main companies involved in Aguas de Puebla, though reports of their exact shares in ownership vary. Monex itself told the press that it owned a ‘third’, but added that exactly who has how many shares was a ‘banking secret’.

Monex made news at the time for running Peña Nieto's campaign strategy of buying votes through the distribution of pre-paid cards, and funneling money to his campaigning fund. Reports suggest that this money, however, likely came from the Juarez Cartel – one of the oldest and most powerful criminal organizations in the country.

Mexico's election court ultimately ruled that there hadn't been any fraud, but many are skeptical of this ruling because Mexico's courts are known for their extremely high levels of corruption and political interference. Additionally, it wasn't the first time that Monex had allegedly been involved with major drug cartels. An investigation conducted by newspaper Reforma found a working relationship with the Arellano Feliz cartel in 2003, and with the Colombian cartel, Valle del Norte, in 2006. In 2008, Spanish authorities found that the Beltran Leyva cartel had changed some 78 million euros through Monex and a company called Intercam.

Epccor is owned by Juan Gutierrez, who is also president of Aguas de Puebla, and who also owned the company Gutsa, a key financial backer of the 1994 PRI presidential campaign (Peña Nieto's party). Gutierrez's companies have been repeatedly fined for mismanagement. Epccor, with it connections in the government, regularly receives contracts for public works like hospitals, roads, and airports; consistently spends more than it originally declared in its budget, and delays completion by years. The most recent case was a hospital which has spent nine years so far under construction, and still isn't finished.

Grupo Financiero Interacciones, run by the infamously corrupt and excessive rich Hank family, has strong links to the PRI and to the Juarez Cartel. Grandfather Hank, Carlos Hank Rhon, is a billionaire, and his family has been the subject of numerous reports of drug laundering on a massive scale, as well as assisting cartels with drug shipments, and large-scale public corruption. A World Policy Report from 1995 went so far as to describe Carlos Hank as the "primary intermediary between the multinational drug trafficking enterprises and the Mexican political system,” and Hank has been investigated for money laundering by Mexican, Swiss, and French judges.

One key strategy Hank is alleged to have used, was to buy food products with the money cartels made from selling cocaine in the US. Hank's companies had a monopoly on these food products, which they then sold back in Mexico. The Hank family has also colluded with Mexican state authorities to gain permits for their rooster fighting and horse racing, and to get significant debts pardoned. Son Jorge Hank Rhon has also been accused of using the gambling business for drug trafficking links and to launder money.

An Aguas de Puebla office. Credit: Tamara Pearson

A broken system

With corrupt narcos running Puebla’s water, it's no surprise that the system is beyond dysfunctional. People have accused the company of charging for non-existing debts, of water supply issues and random bill increases, and of charging up to 3,000 pesos (a good month's wage) for meters to be installed. Some areas are supplied with contaminated water, whole suburbs have gone without water for weeks, the company charges to check people's broken connections, and people report that their meters aren't working but the company refuses to repair them and keeps charging an incorrect rate. People facing errors like mine tend to wait a year for a resolution, if they get any at all.

In May this year, communities from the south of the city protested and closed roads after going weeks without water, while Aguas de Puebla still charged them for it. They said that when they did get water, it ‘smelt bad and was yellow,’ while other communities went for three months without water because the company couldn't be bothered to fix the pump.

Businesses have also complained about large bills, pointing out at least six companies in the city that have monthly bills that amount to millions in pesos, ‘without a clear explanation why,’ they told a press conference.

Internally, workers at Aguas de Puebla have also complained stating that they were threatened with being fired on a daily basis and weren't paid promised bonuses. They said they were told not to inform people how rates were calculated, leading to people paying more than they should and they also claimed that the company had cut the petrol budget for company vehicles by 60 per cent, making it difficult for workers to go out and do repairs.

Aguas de Puebla does roll out the red carpet for some of its clients, however. ‘Many years ago, governor Mario Marin signed an agreement with Nealtican and Santa Maria Acuexcomac – towns in the valley of the Popo volcano – for their water,’ Fernando said. In exchange, the towns got sports courts and roads, but their good quality water is delivered by Aguas de Puebla to the wealthy part of town – Angelopolis, while ‘the worst water goes to the poor suburbs, where there's scarcity.’

Jugs of water for sale. Credit: Tamara Pearson

Nothing lives without water

‘We can live without petrol, without electricity, but not without water. The government and the companies it colludes with think to themselves, if petrol is hugely profitable, how much money can you make from water?’ Fernando explained.

Indeed, even before the narco companies took over our water, it was already a big-profit industry and essentially privatized. Those facing water shortages, and those who can't drink their piped water, are forced to buy bottled water from private companies.

In 2014, Mexico was the largest consumer of bottled water in the world with almost US$8 billion in revenue that year and 234 liters consumed on average per person annually. The companies dominating the bottled water industry here are Danone (47 per cent), Coca-Cola (19.4 per cent) and Epura (7.1 per cent). Many people buy water in 20 litre jugs, or garafones, and in that case, small, local water providers account for around half of the market.

People lacking piped water will also pay pipas – large trucks that look a bit like tanker trucks – to pump water into their roof-based plastic water tanks. In Mexico City, some 40 per cent of water distributed this way is sold illegally.

The bottled water companies have also waged marketing campaigns to promote distrust in the quality of piped water.

Across Mexico, some 9 million people have no water pipes in their homes and a further 13 million people have piping, but the water is contaminated and leads to skin conditions and gastrointestinal infections. Seventy-five percent of the population live with water scarcity, but big business won't be offering a hand any time soon.

Tamara Pearson is a long time journalist based in Latin America, alternative pedagogy teacher, and author of The Butterfly Prison. She blogs at Resistance Words.

Sunday, July 30, 2017

Norcros PLC Interim Results - ADVFN

Read article : Norcros PLC Interim Results - ADVFN

Norcros (LSE:NXR)
Historical Stock Chart 2 Years : From Oct 2015 to Oct 2017 Click Here for more Norcros Charts.

TIDMNXR RNS Number : 4598F Norcros PLC 12 November 2015 12 November 2015 Norcros plc Results for the six months ended 30 September 2015 'Strong momentum within our businesses' Norcros, the market leading supplier of innovative branded showers, taps, bathroom accessories, tiles and adhesives, today announces its results for the six months ended 30 September 2015. Financial Summary 2015 2014 % change % change as reported at constant currency ----------------------- ---------- ---------- ------------- ------------- Revenue GBP118.7m GBP108.6m +9.3% +12.0% ----------------------- ---------- ---------- ------------- ------------- Underlying* operating profit GBP9.9m GBP7.4m +34% ----------------------- ---------- ---------- ------------- ------------- Underlying* profit before tax GBP9.4m GBP6.7m +40% ----------------------- ---------- ---------- ------------- ------------- Profit before tax GBP7.0m GBP6.3m +11% ----------------------- ---------- ---------- ------------- ------------- Underlying operating cash flow** GBP13.3m GBP11.6m +15% ----------------------- ---------- ---------- ------------- ------------- Diluted underlying EPS * 11.8p 8.1p +46% ----------------------- ---------- ---------- ------------- ------------- Net debt GBP29.2m GBP20.0m ----------------------- ---------- ---------- ------------- ------------- Interim dividend per share 2.2p 1.85p +19% ----------------------- ---------- ---------- ------------- ------------- * Underlying is before IAS 19R administrative expenses, acquisition related costs and exceptional operating items and, where relevant, before non-cash finance costs ** Underlying operating cash flow means cash generated from continuing operations before exceptional cash flows and pension fund deficit recovery contributions Restated for the 10:1 share consolidation completed on 29 September 2015 Highlights -- Strong first half performance -- Revenue increased by 12.0% on a constant currency basis -- Underlying operating profit increased by 34% to GBP9.9m -- Underlying profit before tax increased by 40% to GBP9.4m -- Profit before tax increased by 11% to GBP7.0m -- Continued strong underlying operating cash generation: 104% of underlying EBITDA -- Acquisition of Croydex completed on 25 June 2015 -- Diluted underlying earnings per share 46% higher at 11.8p -- Interim dividend increased by 19% to 2.2p per share Martin Towers, Chairman, commented: "I am pleased to announce a strong set of results for the six months ended 30 September 2015. Not only has the Group continued to make excellent progress in its existing businesses, but it has continued to advance towards its strategic targets with the acquisition of Croydex at the end of June 2015. With our strong brands, leading market positions and continued self-help initiatives focused on market share gain the Group is well positioned to make further progress. Given the strong first half performance and momentum within our businesses, the Board now expects the Group to achieve underlying operating profit marginally ahead of market expectations for the year to 31 March 2016." There will be a presentation today at 9.30 am for analysts at the offices of Hudson Sandler, 29 Cloth Fair, London, EC1A 7NN. The supporting slides will be available on the Norcros website at http://www.norcros.com later in the day. ENQUIRIES Norcros plc Tel: 01625 547700 Nick Kelsall, Group Chief Executive Martin Payne, Group Finance Director Hudson Sandler Tel: 0207 796 4133 Nick Lyon Charlie Jack Katie Matthews Notes to Editors -- Norcros is a leading supplier of high quality and innovative showers, taps, bathroom accessories, ceramic wall and floor tiles and adhesive products with operations primarily in the UK and South Africa. -- Based in the UK, Norcros operates under five brands: - Triton Showers - Market leader in the manufacture and marketing of showers in the UK - Vado - A leading manufacturer and supplier of taps, mixer showers, bathroom accessories and valves - Croydex - A market-leading, innovative designer, manufacturer and distributor of high quality bathroom furnishings and accessories - Johnson Tiles - A leading manufacturer and supplier of ceramic tiles in the UK - Norcros Adhesives - Manufacturer of tile & stone adhesives, grouts and related products -- Based in South Africa, Norcros operates under three brands: - Tile Africa - Chain of retail stores focused on ceramic and porcelain tiles, and associated products such as sanitary ware, showers and adhesives - Johnson Tiles South Africa - Manufacturer of ceramic and porcelain tiles - TAL - The leading manufacturer of ceramic and building adhesives -- Norcros is headquartered in Wilmslow, Cheshire and employs around 1800 people. The Company is listed on the London Stock Exchange. For further information please visit the Company website: http://www.norcros.com/ Chairman's statement I am pleased to announce a strong set of results for the six months ended 30 September 2015. Not only has the Group continued to make excellent progress in its existing businesses, but it has continued to advance towards its strategic targets with the acquisition of Croydex at the end of June 2015. Market conditions in the UK continue to be mixed, with the trade sector continuing to perform well driven by new house build and commercial specifications, although RMI driven demand is muted and retail markets generally remain challenging. In South Africa, market conditions have been impacted by the recent slow-down in China affecting the commodity sector which is a significant part of the South African economy. However, the strong self-help culture evident in all our businesses has continued to offset these challenges and has been a key factor in delivering these strong results. Underlying operating profit rose by 34% to GBP9.9m (2014: GBP7.4m) representing an improved margin of 8.3% (2014: 6.8%). UK performance benefitted from the return to profitability of Johnson Tiles UK following its manufacturing inefficiencies in the prior year and the three month contribution from Croydex. South Africa nearly doubled its underlying operating profit despite a weaker Rand, driven by strong constant currency revenue growth and an improvement in underlying profit performance in all three businesses including a return to profitability at Johnson Tiles South Africa. Through a combination of strong underlying EBITDA and continued prudent management of working capital, underlying operating cash generation was GBP13.3m (2014: GBP11.6m), representing 104% of underlying EBITDA (2014: 112%). This performance and a cash outflow of GBP20.1m relating to the acquisition of Croydex left net debt at GBP29.2m compared to GBP14.2m at 31 March 2015 and represents leverage of 1.1 times underlying proforma EBITDA. Acquisition of Croydex As previously announced, the Group acquired 100% of the ordinary share capital of Croydex Group Limited ("Croydex"), a market leading, innovative designer, manufacturer and distributor of high quality bathroom furnishings and accessories, on 25 June 2015. The acquisition of Croydex is an important next step in the Group's growth strategy to increase revenue to GBP420m by 2018 and follows on from the very successful integration of the Vado business which Norcros acquired in March 2013. The addition of the Croydex business to the Group's existing portfolio has increased the breadth of our product range in the bathroom segment and has enabled the Group to offer an even broader array of complementary bathroom products to our customers. Croydex will also benefit from the global distribution channels, sourcing skills and strong financial position of the enlarged Group. I am excited by the prospects for Croydex within the Norcros Group and have been impressed by the energy and enthusiasm of its management and employees. Results Revenue for the six month period to 30 September 2015 at GBP118.7m (2014: GBP108.6m) was 12.0% higher on a constant currency basis compared to the prior year, and 9.3% on a Sterling reported basis. Of this growth, 5.5% was attributable to a three month contribution from Croydex. On a like for like basis excluding Croydex, constant currency growth was 6.5% and 4.0% on a Sterling reported basis. Underlying operating profit rose by 34% to GBP9.9m (2014: GBP7.4m) reflecting improvements in both the UK and South Africa together with a three month contribution from Croydex. Underlying profit before taxation increased by 40% to GBP9.4m (2014: GBP6.7m) reflecting the higher underlying operating profit and lower interest costs driven by improved margins offset by increased borrowings due to the acquisition of Croydex in June 2015. Profit before taxation for the period was GBP7.0m (2014: GBP6.3m), reflecting increased underlying profit before taxation, higher exceptional operating income of GBP2.3m (2014: GBP0.3m) primarily as a result of settlement in the period of a contractual dispute with Morrisons relating to a previous agreement to sell them freehold land in Tunstall, Stoke on Trent, offset by higher non-underlying interest of GBP1.3m (2014: income of GBP0.6m) and higher acquisition related costs of GBP2.6m (2014: GBP0.5m) relating to the final year of the Vado earn out mechanism of GBP1.3m and the costs of acquiring Croydex of GBP0.8m. (MORE TO FOLLOW) Dow Jones Newswires November 12, 2015 02:01 ET (07:01 GMT) Diluted underlying earnings per share were 46% higher at 11.8p (2014: 8.1p restated for the 10:1 share consolidation), reflecting improved underlying earnings. Financial We have continued to demonstrate strong cash conversion with underlying operating cash generated in the period at GBP13.3m (2014: GBP11.6m), representing 104% of underlying EBITDA for the period (2014: 112%). There was a working capital outflow of GBP0.2m in the period which compared to a GBP0.6m inflow in the prior period. A pension deficit recovery payment of GBP1.1m (2014: GBP1.0m) in the period (as part of the GBP2.0m plus CPI per annum contribution agreed with the Trustee in 2013) and cash inflows relating to exceptional items of GBP0.7m (2014: outflows of GBP0.7m) resulted in net cash generated from continuing operations at GBP12.9m (2014: GBP9.9m). Investment in capital expenditure in the period amounted to GBP3.2m (2014: GBP3.4m) and has remained consistent at 1.1 times depreciation. Net debt increased in the six months to 30 September 2015 by GBP15.0m to GBP29.2m principally as a result of the acquisition of Croydex, which, including costs related to the acquisition of GBP0.8m, resulted in a net cash outflow in the period of GBP20.1m. The gross deficit relating to our UK defined benefit pension scheme as calculated under IAS 19R has improved slightly from a deficit of GBP44.3m at 31 March 2015 to a deficit of GBP42.4m at 30 September 2015. The reduction in the deficit principally reflects an increase in the discount rate to 3.8% net of a lower return on scheme assets. During the previous year the plan undertook a number of liability management exercises which resulted in the recognition of a net settlement gain of GBP1.7m. A further gain of GBP0.4m has been recognised in the period as a result of these exercises which has been included within exceptional operating items. Property As highlighted in the Group's 2015 Annual Report, the contractual dispute arising from the conditional sale of part of the surplus land in Tunstall to a subsidiary of Wm Morrison Supermarkets plc was settled on 15 May 2015. The Company has recognised exceptional operating income of GBP1.9m in relation to this settlement. Dividend The Board is declaring an interim dividend of 2.20p per share reflecting the strong first half performance and its confidence in the Group's future prospects. Taking into account the 10:1 share consolidation which took place on 29 September 2015, this represents an increase of 19% over the restated interim dividend from the previous year of 1.85p per ordinary share. The dividend is payable on 7 January 2016 to shareholders on the register on 4 December 2015. The shares will be quoted as ex-dividend on 3 December 2015. Operating review UK For the six months ended 30 September 2015 total revenue in our UK businesses was 9.8% ahead of the prior period at GBP79.9m (2014: GBP72.8m). On a like for like basis excluding Croydex revenue of GBP5.8m, total revenue increased by 1.8%. Underlying operating profit at GBP8.0m was 25% higher than last year at GBP6.4m and represents an improved return on sales of 10.0% (2014: 8.8%). The trends in our UK markets seen in the prior year have continued into the first half of this year, with good growth in the trade sector, but a challenging retail sector. Triton Our market leading shower operation, Triton Showers, recorded revenue growth of 3.1% for the six month period to 30 September 2015 to GBP26.2m (2014: GBP25.4m). UK revenue for Triton was 1.9% higher than the prior year. Revenue from the UK trade sector increased by 3.3% compared to the prior year, with strong trading across major national merchants and electrical wholesale customers and a much improved performance in the specification sector, which has been a key area of focus for the business. The retail sector however remains challenging, principally due to weak consumer demand and the impact of product range changes at some of the major DIY accounts. Notwithstanding this, Triton still delivered marginally higher retail revenue compared to the previous year. Triton has continued to invest significantly in new product development and in product innovation with the recent launch of the T80ZFF thermostatic electric shower range which further strengthens our offer in the growing thermostatic shower market. Export markets account for 17% of Triton's overall revenue and have continued to grow, increasing by 10.0% compared to the prior year. The principal export market for Triton is Ireland, where a revitalised new build and RMI sector has helped drive revenue growth. Markets further afield, principally Latin America, continue to be developed. We have invested in both new product development and marketing including representation at a number of major trade fairs in the region. Triton has continued to generate strong cashflows and delivered underlying operating profits which were marginally ahead of last year. Vado Our leading manufacturer of taps, mixer showers, bathroom accessories and valves, Vado, recorded revenue of GBP15.9m for the period (2014: GBP14.8m), 7.4% higher than the prior year. UK revenue was 16.7% higher than the prior year, with growth in both the retail and trade segments. In the trade sector, we continue to make strong progress in both residential and commercial specifications, benefitting particularly from increased new private housing programmes. In retail, we are beginning to see the benefits of investing in the expansion of the sales team and were recently recognised as tap brand of the year by BKU magazine in its inaugural awards. Export revenue, which accounts for approximately 30% of Vado revenue, was 9.6% lower than the same period last year. This performance reflects a mixed picture with lower revenue outside of our major Middle East market held back by credit issues with a number of sub-Saharan customers and a number of larger projects last year not being repeated this year. However, in the Middle East we grew revenue strongly in the first half of this year reflecting more buoyant construction activity. We have recently increased our presence in this market and established a directly employed resource in the region to strengthen the Vado brand in the important specification sector. Underlying operating profits were ahead of the same period last year driven largely by revenue growth. Croydex Croydex, our market-leading, innovative designer, manufacturer and distributor of high quality bathroom furnishings and accessories, which was acquired on 25 June 2015, recorded revenue of GBP5.8m for the three month period since acquisition to 30 September 2015, in line with our expectations. Whilst it was not under Group ownership for the full period, revenue for the six months ended 30 September 2015 was GBP10.9m, 3.7% higher than the prior year. UK sales at GBP10.3m were in line with the prior year with the challenging retail environment being offset by growth in the trade sector. Export sales of GBP0.6m were GBP0.4m higher than the prior period, reflecting the additional focus employed to target growth outside the UK, with particular success being achieved in Germany. Operationally, Croydex has been integrated into the Norcros group seamlessly, and the performance of the business since acquisition has been highly encouraging, with the business generating an underlying profit performance in line with the Board's expectations. Johnson Tiles Our UK market leading ceramic tile manufacturer and a market leader in the supply of both own manufactured and imported tiles, Johnson Tiles, recorded revenue 4.5% lower than the same period last year at GBP27.9m (2014: GBP29.2m). UK revenue was 2.7% lower than the comparative period last year. Excellent progress continues to be made in the trade segment with revenue 5.0% higher, notwithstanding that last year included the one-off benefit of the supply of ceramic poppies which formed the main part of the World War I commemorations at the Tower of London. Again, good progress has been made in the specification sector, with projects completed in the period for Holiday Inn and Total Fitness. In the retail sector, subdued demand in the DIY sector generally combined with the withdrawal from some unprofitable ranges resulted in revenues 9.6% lower than the prior year. Export revenue was also 16.7% lower than the prior year principally reflecting the combined impact of weak market conditions in France and credit issues in the Middle East. Operationally, the excellent progress made at the end of the last financial year has been sustained throughout this first half period. As a result of management actions manufacturing efficiencies have significantly improved compared to the prior period. This, together with the continued trade revenue growth, have been key factors in delivering a solid underlying operating profit performance for the period, a marked improvement over the small operating loss recorded in the prior period. Norcros Adhesives Norcros Adhesives, our manufacturer and supplier of tile and stone adhesives and ancillary products, once again demonstrated excellent growth with revenue 20.6% higher at GBP4.1m (2014: GBP3.4m). This performance principally reflects further development of our distribution channels in the trade segment, as well as some initial success in the retail DIY sector. The business continues to develop innovative new products to address the technical issues in fixing tiles to different types of substrate, for example the launch of the Ultima8 B+ range, which solves the problem of fixing tiles to bituminous surfaces. Additionally, the business has continued to invest in future growth, achieving the ISO 14001 accreditation for environmental management, commencing the construction of a new training centre and laboratory in the UK and establishing a local presence in the Middle East to better capitalise on the opportunities in the significant specification market in this region. (MORE TO FOLLOW) Dow Jones Newswires November 12, 2015 02:01 ET (07:01 GMT) This continued strong growth has delivered an underlying operating profit performance ahead of the same period last year. South Africa Once again our South African businesses reported another period of double digit constant currency growth resulting in revenue 16.9% higher than prior year on a constant currency basis. Reported Sterling revenue was 8.4% higher at GBP38.8m (2014: GBP35.8m), reflecting an 8% weaker Rand. Underlying operating profit at GBP1.9m was 90% higher than the previous period (2014: GBP1.0m) despite the weaker Rand adversely impacting reported profits by GBP0.1m. This represents a significantly improved return on sales of 4.9% (2014: 2.7%). All three businesses delivered an improvement in local currency underlying operating profit performance. Our South African operations have made further progress in the first half of the year with all three businesses growing ahead of the market as we continue to implement our strategy of growing our brands through geographic expansion and range diversification. Gross margins improved against the previous year, with the benefits in our supply chain and production efficiencies delivering tangible benefits over the period. Johnson Tiles South Africa Our tile manufacturing business, Johnson Tiles South Africa, achieved independent sector revenue of GBP5.4m (2014: GBP5.2m), 12.5% higher than prior year on a constant currency basis, and 3.8% higher on a reported Sterling basis. Following the investment in two inkjet printers over the last two years we have successfully enriched our product offer with the launch of a number of additional inkjet ranges and a new rectangular product format in response to market trends. An improved product offer and a consistent manufacturing performance have resulted in a marked improvement in performance. As reported in our last annual report, Johnson Tiles South Africa experienced some manufacturing disruption as a result of the national electricity load-shedding programme. Consequently a new standby diesel generator has been successfully installed in the period which will significantly reduce the impact of being unable to operate the manufacturing facility in the event of a power outage. Notwithstanding the disruption from load shedding prior to the generator being installed, the business delivered an underlying operating profit compared to a small underlying operating loss in the prior period. TAL Our market leading adhesive business, TAL, delivered constant currency independent sector revenue growth of 20.5% in the period, or an 11.9% increase on a Sterling reported basis to GBP9.4m (2014: GBP8.4m). This growth was achieved through market share gain in domestic markets and through continued focus on growing sub-Saharan export markets, as well as product range extensions, such as a new 2kg bag to its grout range and a new powdered bond range, both of which have received a favourable market reaction. In addition to the considerable growth in revenue, we have continued to drive profitability through further improvements in plant and procurement efficiencies. This has been reflected in a stronger underlying operating profit performance than the prior year. Tile Africa Revenue at our leading retailer of wall and floor tiles, adhesives, showers, sanitaryware and bathroom fittings, Tile Africa, increased by 16.5% on a constant currency basis compared to the prior year, and by 8.1% on a Sterling reported basis to GBP24.0m (2014: GBP22.2m). Tile Africa currently operates from 29 stores and four franchises, with a new store in Boksburg, Gauteng, expected to open by the end of this financial year. The new CX format stores that we developed to improve the overall retail customer experience, and were showcased in the last Annual Report, have continued to perform strongly, and consequently there are plans to retrofit this format into further stores. The store at Lenasia has recently been refitted as a factory outlet aimed at the emerging consumer segments following on from the positive results achieved at the existing store of this type in Silverton. The improved CX store layout, together with benefits from our increased focus on in-stock and on-display offering has been reflected in market share gain and revenue growth, and in an improved underlying operating profit compared to the prior year. Share consolidation On 29 September 2015 the Company undertook an exercise to consolidate its existing 1p ordinary shares into new 10p ordinary shares, and the new shares began to be traded on the London Stock Exchange on 30 September. The resolution permitting the Board to effect the consolidation had been passed at the Company's AGM on 22 July. The Board considered it was important to reduce the number of shares in issue to a level more appropriate for a company of Norcros's size, and to make the shares more attractive to investors, whilst having no effect on the relative holdings of individual shareholders. Full details of the share consolidation are provided on the Company's website www.norcros.com. Summary and outlook The Group has made a very pleasing start to the year, with each of our businesses delivering an improvement in underlying operating profit performance. As I have already highlighted, we took decisive management action in our tiles businesses in both the UK and South Africa to address the operational challenges of recent years and now have a much stronger base from which to develop our medium term growth plans. Whilst conditions in our UK retail and export markets remain testing, we continue to capitalise on the demand opportunities in the more positive trade sector where we continue to perform strongly. The acquisition of the Croydex business is a further step in realising our strategic target of generating revenues of GBP420m by 2018 and importantly the business has already been smoothly integrated into the Group. With our strong brands, leading market positions and continued self-help initiatives focused on market share gain the Group is well positioned to make further progress. Given the strong first half performance and momentum within our businesses, the Board now expects the Group to achieve underlying operating profit marginally ahead of market expectations for the year to 31 March 2016. M. G. Towers Chairman 12 November 2015 Condensed consolidated income statement Six months to 30 September 2015 6 months to 6 months to Year ended 30 September 30 September 31 March 2015 2014* 2015* (unaudited) (unaudited) (audited) Notes GBPm GBPm GBPm ----------------------------------------------------------------------- ----- ------------ ------------ ---------- Continuing operations Revenue 118.7 108.6 222.1 ----------------------------------------------------------------------- ----- ------------ ------------ ---------- Underlying operating profit 9.9 7.4 17.0 IAS 19R administrative expenses (0.8) (0.8) (1.7) Acquisition related costs 4 (2.6) (0.5) (2.2) Exceptional operating items 4 2.3 0.3 (2.5) ----------------------------------------------------------------------- ----- ------------ ------------ ---------- Operating profit 8.8 6.4 10.6 ----------------------------------------------------------------------- ----- ------------ ------------ ---------- Finance costs 7 (1.1) (0.8) (1.4) Exceptional finance costs 7 - (0.4) (0.4) ----------------------------------------------------------------------- ----- ------------ ------------ ---------- Total finance costs 7 (1.1) (1.2) (1.8) Finance income 7 - 1.6 3.3 IAS 19R finance cost (0.7) (0.5) (1.1) ----------------------------------------------------------------------- ----- ------------ ------------ ---------- Profit before taxation 7.0 6.3 11.0 Taxation 6 (1.6) (1.6) (2.9) ----------------------------------------------------------------------- ----- ------------ ------------ ---------- Profit for the period from continuing operations 5.4 4.7 8.1 ----------------------------------------------------------------------- ----- ------------ ------------ ---------- Profit for the period from discontinued operations - 0.1 0.1 ----------------------------------------------------------------------- ----- ------------ ------------ ---------- Profit for the period 5.4 4.8 8.2 (MORE TO FOLLOW) Dow Jones Newswires November 12, 2015 02:01 ET (07:01 GMT) ----------------------------------------------------------------------- ----- ------------ ------------ ---------- Earnings per share attributable to the owners of the Company Basic earnings per share: From continuing operations 5 9.0p 8.0p 13.6p From discontinued operations 5 - 0.2p 0.2p ----------------------------------------------------------------------- ----- ------------ ------------ ---------- From profit for the period 5 9.0p 8.2p 13.8p ----------------------------------------------------------------------- ----- ------------ ------------ ---------- Diluted earnings per share: From continuing operations 5 8.7p 7.7p 13.1p From discontinued operations 5 - 0.2p 0.2p ----------------------------------------------------------------------- ----- ------------ ------------ ---------- From profit for the period 5 8.7p 7.9p 13.3p ----------------------------------------------------------------------- ----- ------------ ------------ ---------- Weighted average number of shares for basic earnings per share (millions) 5 60.1 59.0 59.2 ----------------------------------------------------------------------- ----- ------------ ------------ ---------- Non-GAAP measures Underlying profit before taxation (GBPm) 3 9.4 6.7 15.8 Underlying earnings (GBPm) 3 7.3 5.0 13.0 Basic underlying earnings per share 5 12.2p 8.4p 21.9p Diluted underlying earnings per share 5 11.8p 8.1p 21.1p ----------------------------------------------------------------------- ----- ------------ ------------ ---------- * The results of previous periods have been restated where required to reflect the revised presentation of acquisition related costs and the 10:1 share consolidation completed on 29 September 2015. Condensed consolidated statement of comprehensive income Six months to 30 September 2015 6 months to 6 months to Year ended 30 September 30 September 31 March 2015 2014 2015 (unaudited) (unaudited) (audited) GBPm GBPm GBPm ------------------------------------------------------------------------- ------------ ------------ ---------- Profit for the period 5.4 4.8 8.2 -------------------------------------------------------------------------- ------------ ------------ ---------- Other comprehensive income and expense: Items that will not subsequently be reclassified to the income statement Actuarial gains/(losses) on retirement benefit obligations 1.6 (14.8) (18.8) Items that may be subsequently reclassified to the income statement Foreign currency translation adjustments (6.0) (1.2) (0.6) -------------------------------------------------------------------------- ------------ ------------ ---------- Other comprehensive expense for the period (4.4) (16.0) (19.4) -------------------------------------------------------------------------- ------------ ------------ ---------- Total comprehensive income/(expense) for the period 1.0 (11.2) (11.2) -------------------------------------------------------------------------- ------------ ------------ ---------- Attributable to equity shareholders arising from Continuing operations 1.0 (11.4) (11.4) Discontinued operations - 0.2 0.2 -------------------------------------------------------------------------- ------------ ------------ ---------- 1.0 (11.2) (11.2) ------------------------------------------------------------------------- ------------ ------------ ---------- Items in the statement are disclosed net of tax. Condensed consolidated balance sheet At 30 September 2015 At At At 30 September 30 September 31 March 2015 2014 2015 (unaudited) (unaudited) (audited) Notes GBPm GBPm GBPm -------------------------------------- ----- ------------ ------------ --------- Non-current assets Goodwill 29.5 22.0 22.2 Intangible assets 12.2 4.8 4.7 Property, plant and equipment 37.5 36.8 37.6 Investment properties - 4.3 - Derivative financial instruments 15 - 0.2 - Deferred tax assets 6 11.2 14.1 13.8 -------------------------------------- ----- ------------ ------------ --------- 90.4 82.2 78.3 -------------------------------------- ----- ------------ ------------ --------- Current assets Inventories 56.3 51.0 52.2 Trade and other receivables 43.6 42.1 40.5 Derivative financial instruments 15 1.0 - 2.1 Cash and cash equivalents 7.8 4.5 5.6 108.7 97.6 100.4 -------------------------------------- ----- ------------ ------------ --------- Current liabilities Trade and other liabilities (60.5) (54.1) (54.9) Derivative financial instruments 15 (0.3) (0.8) (1.0) Current tax liabilities (1.4) (1.7) (1.3) Financial liabilities - borrowings 8 (4.5) (4.1) (1.4) (66.7) (60.7) (58.6) -------------------------------------- ----- ------------ ------------ --------- Net current assets 42.0 36.9 41.8 -------------------------------------- ----- ------------ ------------ --------- Total assets less current liabilities 132.4 119.1 120.1 -------------------------------------- ----- ------------ ------------ --------- Non-current liabilities Financial liabilities - borrowings 8 (32.5) (20.4) (18.4) Pension scheme liability 12 (42.4) (40.6) (44.3) Other non-current liabilities (2.1) (1.5) (1.4) Provisions (3.2) (3.7) (3.3) -------------------------------------- ----- ------------ ------------ --------- (80.2) (66.2) (67.4) -------------------------------------- ----- ------------ ------------ --------- Net assets 52.2 52.9 52.7 -------------------------------------- ----- ------------ ------------ --------- Financed by: Ordinary share capital 9 6.1 5.9 6.0 Share premium 1.0 0.9 1.0 Retained earnings and other reserves 45.1 46.1 45.7 -------------------------------------- ----- ------------ ------------ --------- Total equity 52.2 52.9 52.7 -------------------------------------- ----- ------------ ------------ --------- Condensed consolidated statement of cash flow (MORE TO FOLLOW) Dow Jones Newswires November 12, 2015 02:01 ET (07:01 GMT) Six months to 30 September 2015 6 months to 6 months to Year ended 30 September 30 September 31 March 2015 2014 2015 (unaudited) (unaudited) (audited) Notes GBPm GBPm GBPm ----------------------------------------------------------------------- ----- ------------ ------------ ---------- Cash generated from operations 10 12.9 10.0 16.2 Income taxes paid (0.6) (0.2) (0.5) Interest paid (0.5) (0.7) (1.3) ----------------------------------------------------------------------- ----- ------------ ------------ ---------- Net cash generated from operating activities 11.8 9.1 14.4 ----------------------------------------------------------------------- ----- ------------ ------------ ---------- Cash flows from investing activities Proceeds from sale of investment property - - 6.1 Proceeds from sale of property, plant and equipment - 0.4 0.4 Purchase of investment property - - (0.9) Purchase of property, plant and equipment (3.2) (3.4) (7.0) Acquisition of subsidiary undertakings net of cash acquired (20.5) (0.3) (0.5) Disposal of subsidiary undertakings net of cash divested - 3.8 3.8 ----------------------------------------------------------------------- ----- ------------ ------------ ---------- Net cash (used in)/generated from investing activities (23.7) 0.5 1.9 ----------------------------------------------------------------------- ----- ------------ ------------ ---------- Cash flows from financing activities Net proceeds from issue of ordinary share capital - - 0.2 Drawdown/(repayment) of borrowings 14.0 (10.1) (12.1) Costs of raising debt finance - (0.7) (0.7) Dividends paid to equity shareholders (2.2) (2.0) (3.1) ----------------------------------------------------------------------- ----- ------------ ------------ ---------- Net cash generated from/(used in) financing activities 11.8 (12.8) (15.7) ----------------------------------------------------------------------- ----- ------------ ------------ ---------- Net (decrease)/increase in cash at bank and in hand and bank overdrafts (0.1) (3.2) 0.6 Cash at bank and in hand and bank overdrafts at beginning of the period 4.2 3.7 3.7 Exchange movements on cash and bank overdrafts (0.8) (0.1) (0.1) ----------------------------------------------------------------------- ----- ------------ ------------ ---------- Cash at bank and in hand and bank overdrafts at end of the period 3.3 0.4 4.2 ------------------------------------------------------------------------------ ------------ ------------ ---------- Non-GAAP measures Underlying operating cash flow 3 13.3 11.6 22.9 ----------------------------------------------------------------------- ----- ------------ ------------ ---------- Condensed consolidated statements of changes in equity Six months to 30 September 2015 (unaudited) Ordinary Retained share Share Treasury Translation earnings/ capital premium reserve reserve (losses) Total GBPm GBPm GBPm GBPm GBPm GBPm ------------------------------------------------- -------- ------- -------- ----------- --------- ----- At 31 March 2015 6.0 1.0 (0.1) (9.1) 54.9 52.7 Comprehensive income: Profit for the period - - - - 5.4 5.4 Actuarial gain on retirement benefit obligations - - - - 1.6 1.6 Other comprehensive expense: Foreign currency translation adjustments - - - (6.0) - (6.0) Total other comprehensive (expense)/ income - - - (6.0) 7.0 1.0 ------------------------------------------------- -------- ------- -------- ----------- --------- ----- Transactions with owners: Dividends paid - - - - (2.2) (2.2) Share option schemes and warrants 0.1 - (0.1) - 0.7 0.7 ------------------------------------------------- -------- ------- -------- ----------- --------- ----- At 30 September 2015 6.1 1.0 (0.2) (15.1) 60.4 52.2 ------------------------------------------------- -------- ------- -------- ----------- --------- ----- Six months to 30 September 2014 (unaudited) Ordinary Retained share Share Treasury Translation earnings/ capital premium reserve reserve (losses) Total GBPm GBPm GBPm GBPm GBPm GBPm ------------------------------------------------- -------- ------- -------- ----------- --------- ------ At 31 March 2014 5.8 0.9 - (8.5) 67.3 65.5 Comprehensive income: Profit for the period - - - - 4.8 4.8 Other comprehensive expense: Actuarial loss on retirement benefit obligations - - - - (14.8) (14.8) Foreign currency translation adjustments - - - (1.2) - (1.2) ------------------------------------------------- -------- ------- -------- ----------- --------- ------ Total other comprehensive expense - - - (1.2) (14.8) (16.0) ------------------------------------------------- -------- ------- -------- ----------- --------- ------ Transactions with owners: Dividends paid - - - - (2.0) (2.0) Share option schemes and warrants 0.1 - (0.1) - 0.6 0.6 ------------------------------------------------- -------- ------- -------- ----------- --------- ------ At 30 September 2014 5.9 0.9 (0.1) (9.7) 55.9 52.9 ------------------------------------------------- -------- ------- -------- ----------- --------- ------ Year ended 31 March 2015 (audited) Ordinary Retained share Share Treasury Translation earnings/ capital premium reserve reserve (losses) Total GBPm GBPm GBPm GBPm GBPm GBPm ------------------------------------------------- -------- ------- -------- ----------- --------- ------ At 31 March 2014 5.8 0.9 - (8.5) 67.3 65.5 Comprehensive income: Profit for the year - - - - 8.2 8.2 Other comprehensive expense: Actuarial loss on retirement benefit obligations - - - - (18.8) (18.8) Foreign currency translation adjustments - - - (0.6) - (0.6) ------------------------------------------------- -------- ------- -------- ----------- --------- ------ Total other comprehensive expense - - - (0.6) (18.8) (19.4) ------------------------------------------------- -------- ------- -------- ----------- --------- ------ Transactions with owners: Shares issued 0.2 0.1 (0.1) - - 0.2 Dividends paid - - - - (3.1) (3.1) (MORE TO FOLLOW) Dow Jones Newswires November 12, 2015 02:01 ET (07:01 GMT) Share option schemes and warrants - - - - 1.3 1.3 ------------------------------------------------- -------- ------- -------- ----------- --------- ------ At 31 March 2015 6.0 1.0 (0.1) (9.1) 54.9 52.7 ------------------------------------------------- -------- ------- -------- ----------- --------- ------ Notes to the accounts Six months to 30 September 2015 1. Accounting policies General information The Company is a public limited company which is listed on the London Stock Exchange and incorporated and domiciled in the UK. This condensed consolidated interim financial information was approved for issue on 12 November 2015. This condensed consolidated financial information does not comprise statutory accounts within the meaning of Section 434 of the Companies Act 2006. This condensed consolidated interim financial information has been neither audited nor reviewed. Basis of preparation This condensed consolidated interim financial information for the six months to 30 September 2015 has been prepared in accordance with the Disclosure and Transparency Rules of the Financial Conduct Authority and with IAS 34, 'Interim financial reporting', as adopted by the European Union. The Directors consider, after making appropriate enquiries at the time of approving the condensed consolidated interim financial information, that the Company and the Group have adequate resources to continue in operational existence and, accordingly, that it is appropriate to adopt the going concern basis in the preparation of the condensed consolidated interim financial information. The condensed consolidated interim financial information should be read in conjunction with the Annual Report and Accounts for the year ended 31 March 2015, which has been prepared in accordance with IFRS as adopted by the European Union. The Annual Report and Accounts was approved by the Board on 18 June 2015 and delivered to the Registrar of Companies. The report of the external auditor on the financial statements was unqualified. Accounting policies The principal accounting policies applied in the preparation of this condensed consolidated interim financial information are included in the financial report for the year ended 31 March 2015. These policies have been applied consistently to all periods presented. Taxes on income in the interim periods are accrued using the tax rate that would be applicable to the expected total annual profits or losses. New standards, amendments to standards and interpretations The following new standards, amendments to standards or interpretations are mandatory for the first time for the financial year beginning 1 April 2015. The Group has adopted the following new standards, amendments and interpretations now applicable. None of these standards and interpretations has had any material effect on the Group's results or net assets. Applicable for financial years Standard or interpretation Content beginning on or after -------------------------------------- ----------------- --------------------- Amendment to IAS 19 (revised) Employee benefits 1 April 2015 Annual improvements to IFRSs 2010-2012 Various 1 April 2015 Annual improvements to IFRSs 2011-2013 Various 1 April 2015 -------------------------------------- ----------------- --------------------- The following standards, amendments and interpretations are not yet effective and have not been adopted early by the Group: Applicable for financial years Standard or interpretation Content beginning on or after --------------------------------- ----------------------------------------------------- --------------------- Amendment to IFRS 10 Consolidated financial statements 1 April 2016 Amendment to IFRS 11 Joint arrangements 1 April 2016 Amendment to IFRS 12 Disclosure of interests in other entities 1 April 2016 IFRS 14 Regulatory deferral accounts 1 April 2016 Amendment to IAS 1 Presentation of financial statements 1 April 2016 Amendment to IAS 16 Property, plant and equipment 1 April 2016 Amendment to IAS 27 Separate financial statements 1 April 2016 Amendment to IAS 28 Investments in associates and joint ventures 1 April 2016 Amendment to IAS 38 Intangible assets 1 April 2016 Amendment to IAS 41 Agriculture 1 April 2016 Annual improvements to IFRSs 2014 Various 1 April 2016 IFRS 15 Revenue from contracts with customers 1 April 2018 IFRS 9 Financial instruments: classification and measurement 1 April 2018 --------------------------------- ----------------------------------------------------- --------------------- None of these standards or interpretations is expected to have a material impact on the Group. Risks and uncertainties The principal strategic level risks and uncertainties affecting the Group, together with the approach to their mitigation, remain as set out on pages 24 to 27 in the 2015 Annual Report, which is available on the Group's website (www.norcros.com). In summary the Group's principal risks and uncertainties are: -- key commercial relationships; -- accounting for customer rebates and other trade promotional spend; -- competition; -- reliance on production facilities; -- staff retention and recruitment; -- foreign currency exchange risk; -- interest rate risk; -- pension scheme management; -- energy price risk; -- additional capital requirements to fund ongoing operations; -- performance against banking covenants; -- changing consumer preferences; -- overseas operations; and -- acquisition risk. The Chairman's Statement in this condensed consolidated interim financial information includes comments on the outlook for the remaining six months of the financial year. Forward-looking statements This condensed consolidated interim financial information contains forward-looking statements. Although the Group believes that the expectations reflected in these forward-looking statements are reasonable, it can give no assurance that these expectations will prove to be correct. Due to the inherent uncertainties, including both economic and business risk factors underlying such forward-looking information, actual results may differ materially from those expressed or implied by these forward-looking statements. The Group undertakes no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise. Accounting estimates and judgments The preparation of condensed consolidated interim financial information requires management to make judgments, estimates and assumptions that affect the application of accounting policies and the reported amount of assets and liabilities, income and expense. Actual results may differ from these estimates. In preparing the condensed consolidated interim financial information, the significant judgments made by management in applying the Group's accounting policies and the key sources of estimation uncertainty were the same as those applied to the consolidated financial statements for the year ended 31 March 2015. 2. Segmental reporting The Group operates in two main geographical areas: the UK and South Africa. All inter-segment transactions are made on an arm's length basis. The chief operating decision maker, which is considered to be the Board, assesses performance and allocates resources based on geography as each segment has similar economic characteristics, complementary products, distribution channels and regulatory environments. Continuing operations - 6 months to 30 September 2015 (unaudited) --------------------------------------------- South UK Africa Group Notes GBPm GBPm GBPm ---------------------------------- ----- ------------- -------------- -------------- Revenue 79.9 38.8 118.7 ---------------------------------- ----- ------------- -------------- -------------- Underlying operating profit 8.0 1.9 9.9 IAS 19R administrative expenses (0.8) - (0.8) Acquisition related costs 4 (2.6) - (2.6) Exceptional operating items 4 2.3 - 2.3 ---------------------------------- ----- ------------- -------------- -------------- (MORE TO FOLLOW) Dow Jones Newswires November 12, 2015 02:01 ET (07:01 GMT) Operating profit 6.9 1.9 8.8 ---------------------------------- ----- ------------- -------------- -------------- Finance costs (net) (1.8) ---------------------------------- ----- ------------- -------------- -------------- Profit before taxation 7.0 Taxation 6 (1.6) ---------------------------------- ----- ------------- -------------- -------------- Profit from continuing operations 5.4 ---------------------------------- ----- ------------- -------------- -------------- Net debt 10 (29.2) ---------------------------------- ----- ------------- -------------- -------------- Continuing operations - 6 months to 30 September 2014 (unaudited)* ---------------------------------------------- South UK Africa Group Notes GBPm GBPm GBPm ---------------------------------- ----- ------------- --------------- -------------- Revenue 72.8 35.8 108.6 ---------------------------------- ----- ------------- --------------- -------------- Underlying operating profit 6.4 1.0 7.4 IAS 19R administrative expenses (0.8) - (0.8) Acquisition related costs 4 (0.5) - (0.5) Exceptional operating items 4 0.3 - 0.3 ---------------------------------- ----- ------------- --------------- -------------- Operating profit 5.4 1.0 6.4 ---------------------------------- ----- ------------- --------------- -------------- Finance costs (net) (0.1) ---------------------------------- ----- ------------- --------------- -------------- Profit before taxation 6.3 Taxation 6 (1.6) ---------------------------------- ----- ------------- --------------- -------------- Profit from continuing operations 4.7 ---------------------------------- ----- ------------- --------------- -------------- Net debt 10 (20.0) ---------------------------------- ----- ------------- --------------- -------------- * The results have been restated to reflect the revised presentation of acquisition related costs. Continuing operations - Year ended 31 March 2015 (audited) --------------------------------------- South UK Africa Group Notes GBPm GBPm GBPm ------------------------------------------------ ------ ----------- ------------ ------------ Revenue 149.1 73.0 222.1 ------------------------------------------------ ------ ----------- ------------ ------------ Underlying operating profit 13.8 3.2 17.0 IAS 19R administrative expenses (1.7) - (1.7) Acquisition related costs 4 (2.2) - (2.2) Exceptional operating items 4 (2.3) (0.2) (2.5) ------------------------------------------------ ------ ----------- ------------ ------------ Operating profit 7.6 3.0 10.6 ------------------------------------------------ ------ ----------- ------------ ------------ Finance income (net) 0.4 ------------------------------------------------ ------ ----------- ------------ ------------ Profit before taxation 11.0 Taxation 6 (2.9) ------------------------------------------------ ------ ----------- ------------ ------------ Profit for the year from continuing operations 8.1 ------------------------------------------------ ------ ----------- ------------ ------------ Net debt 10 (14.2) ------------------------------------------------ ------ ----------- ------------ ------------ There are no differences from the last Annual Report in the basis of segmentation or in the basis of measurement of segment profit or loss. 3. Non-GAAP measures Condensed Consolidated Income Statement 6 months to 6 months to Year ended 30 September 30 September 31 March 2015 2014 2015 (unaudited) (unaudited) (audited) GBPm GBPm GBPm --------------------------------------------------------------- ------------ ------------ ---------- Profit before taxation from continuing operations 7.0 6.3 11.0 Adjusted for: IAS 19R administrative expenses 0.8 0.8 1.7 Acquisition related costs 2.6 0.5 2.2 Exceptional operating items (2.3) (0.3) 2.5 Amortisation of costs of raising debt finance 0.1 0.1 0.1 Amortisation of costs of raising debt finance - exceptional - 0.4 0.4 Net movement on fair value of derivative financial instruments 0.5 (1.6) (3.3) Discount on property lease provisions - - 0.1 IAS 19R finance cost 0.7 0.5 1.1 --------------------------------------------------------------- ------------ ------------ ---------- Underlying profit before taxation 9.4 6.7 15.8 Taxation attributable to underlying profit before taxation (2.1) (1.7) (2.8) --------------------------------------------------------------- ------------ ------------ ---------- Underlying earnings 7.3 5.0 13.0 --------------------------------------------------------------- ------------ ------------ ---------- The Directors believe that underlying profit before taxation and underlying earnings provide shareholders with additional useful information on the underlying performance of the Group. Underlying profit before taxation is defined as profit before taxation, IAS 19R administrative expenses, acquisition related costs, exceptional operating items, exceptional finance costs, amortisation of costs of raising finance, net movement on fair value of derivative financial instruments, discounting of property lease provisions and finance costs relating to pension schemes. 6 months to 6 months to Year ended 30 September 30 September 31 March 2015 2014 2015 (unaudited) (unaudited) (audited) GBPm GBPm GBPm -------------------------------------------- ------------ ------------ ---------- Operating profit from continuing operations 8.8 6.4 10.6 Adjusted for: Depreciation 2.9 3.0 6.0 IAS 19R administrative expenses 0.8 0.8 1.7 Acquisition related costs 2.6 0.5 2.2 Exceptional operating items (2.3) (0.3) 2.5 -------------------------------------------- ------------ ------------ ---------- Underlying EBITDA 12.8 10.4 23.0 -------------------------------------------- ------------ ------------ ---------- (MORE TO FOLLOW) Dow Jones Newswires November 12, 2015 02:01 ET (07:01 GMT) EBITDA is a measure commonly used by investors and financiers to assess business performance. Underlying EBITDA has been provided which reflects EBITDA as adjusted for IAS 19R administrative expenses, acquisition related costs and exceptional operating items. The Directors consider that these measures provide shareholders with additional useful information on the performance of the Group. Condensed Consolidated Statement of Cash Flow 6 months to 6 months to Year ended 30 September 30 September 31 March 2015 2014 2015 (unaudited) (unaudited) (audited) GBPm GBPm GBPm ----------------------------------------------------------------------------- ------------ ------------ ---------- Cash generated from continuing operations (note 10) 12.9 9.9 16.1 Adjusted for: Cash (inflows)/outflows from exceptional items and acquisition related costs (0.7) 0.7 4.7 Pension fund deficit recovery contributions 1.1 1.0 2.1 ----------------------------------------------------------------------------- ------------ ------------ ---------- Underlying operating cash flow 13.3 11.6 22.9 ----------------------------------------------------------------------------- ------------ ------------ ---------- Underlying operating cash flow is defined as cash generated from continuing operations before cash outflows from exceptional items and pension fund deficit recovery contributions. The Directors believe that underlying operating cash flow provides shareholders with additional useful information on the underlying cash generation of the Group. 4. Acquisition related costs and exceptional operating items An analysis of acquisition related costs and exceptional operating items is shown below. 6 months to 6 months to Year ended 30 September 30 September 31 March 2015 2014 2015 (unaudited) (unaudited) (audited) GBPm GBPm GBPm --------------------------------- ------------ ------------ ---------- Acquisition related costs Deferred remuneration(1) 1.2 0.3 1.1 Intangible asset amortisation(2) 0.3 0.2 0.3 Staff costs and advisory fees(3) 1.1 - 0.8 --------------------------------- ------------ ------------ ---------- 2.6 0.5 2.2 --------------------------------- ------------ ------------ ---------- 1 Consideration payable to the former shareholders of Vado and Croydex which is required to be treated as remuneration and, accordingly, is expensed to the income statement as incurred. 2 Non-cash amortisation charges in respect of intangible assets recognised following the acquisitions of Vado and Croydex. 3 Costs of maintaining an in-house acquisitions department and professional advisory fees incurred in connection with the Group's business combination activities. In the 6 months to 30 September 2015 this included GBP0.8m in connection with the acquisition of Croydex. 6 months to 6 months to Year ended 30 September 30 September 31 March 2015 2014 2015 (unaudited) (unaudited) (audited) GBPm GBPm GBPm ------------------------------------------ ------------ ------------ ---------- Exceptional operating items Legal claim(1) (1.9) 0.1 0.3 Pension scheme settlement gain(2) (0.4) - (1.7) Profit on disposal of surplus property(3) - (0.4) (0.4) Sheffield lease surrender(4) - - 2.5 Loss on disposal of property portfolio(5) - - 1.5 Restructuring costs(6) - - 0.3 (2.3) (0.3) 2.5 ------------------------------------------ ------------ ------------ ---------- 1 The legal claim relating to the land at the Highgate site in Tunstall, UK was settled in the period. Under the terms of the settlement with Wm Morrison Supermarkets plc the Group received a payment of GBP2.0m. Costs in connection with the claim of GBP0.1m were incurred in the period (2014: GBP0.1m). 2 The Group implemented a liability management exercise in the previous year in connection with its principal UK defined benefit pension scheme. This resulted in a further settlement gain of GBP0.4m being recognised in the period in addition to the GBP1.7m gain in the previous year. 3 A profit of GBP0.4m was generated in the previous year following the sale of a small parcel of land in Braintree, UK. 4 In the previous year the Group exited its onerous lease in connection with the Orgreave Drive, Sheffield property at a cost of GBP2.5m. 5 The Group's remaining surplus freehold property portfolio was sold to Clowes Developments (UK) Ltd in March 2015 for net proceeds of GBP6.1m, leading to a loss on disposal of GBP1.5m. 6 Restructuring costs related to redundancies and asset write-downs as a result of restructuring initiatives throughout the Group's business units. 5. Earnings per share Basic and diluted earnings per share Basic earnings per share (EPS) is calculated by dividing the profit attributable to shareholders by the weighted average number of ordinary shares in issue during the year, excluding those held in the Norcros Employee Benefit Trust. For diluted EPS, the weighted average number of ordinary shares in issue is adjusted to assume conversion of all potential dilutive ordinary shares. As described in note 9, on 29 September 2015 the Company consolidated its existing ordinary shares of 1p each into new ordinary shares of 10p each. In order to effect fair comparison, the comparative figures for share numbers and earnings per share have been restated to reflect the impact of the share consolidation. The calculation of EPS is based on the following profits and numbers of shares: 6 months to 6 months to Year ended 30 September 30 September 31 March 2015 2014 2015 (unaudited) (unaudited) (audited) GBPm GBPm GBPm --------------------------------------------------- ------------ ------------ ---------- Profit for the period from continuing operations 5.4 4.7 8.1 Profit for the period from discontinued operations - 0.1 0.1 --------------------------------------------------- ------------ ------------ ---------- Profit for the period 5.4 4.8 8.2 --------------------------------------------------- ------------ ------------ ---------- 6 months to 6 months to Year ended 30 September 30 September 31 March 2015 2014 2015 (unaudited) (unaudited) (audited) Number Number Number (restated) (restated) ----------------------------------------------------------------- ------------ ------------ ----------- Weighted average number of shares for basic earnings per share 60,126,284 58,959,370 59,223,135 Share options and warrants 1,902,048 2,159,547 2,303,299 Weighted average number of shares for diluted earnings per share 62,028,332 61,118,917 61,526,434 ----------------------------------------------------------------- ------------ ------------ ----------- 6 months to 6 months to Year ended 30 September 30 September 31 March 2015 2014 2015 (unaudited) (audited) (unaudited) (restated) (restated) ----------------------------- ------------ ------------ ----------- Basic earnings per share: From continuing operations 9.0p 8.0p 13.6p From discontinued operations - 0.2p 0.2p ----------------------------- ------------ ------------ ----------- From profit for the period 9.0p 8.2p 13.8p (MORE TO FOLLOW) Dow Jones Newswires November 12, 2015 02:01 ET (07:01 GMT) ----------------------------- ------------ ------------ ----------- Diluted earnings per share: From continuing operations 8.7p 7.7p 13.1p From discontinued operations - 0.2p 0.2p ----------------------------- ------------ ------------ ----------- From profit for the period 8.7p 7.9p 13.3p ----------------------------- ------------ ------------ ----------- Basic and diluted underlying earnings per share Basic and diluted underlying earnings per share have also been provided which reflect underlying earnings from continuing operations divided by the weighted average number of shares set out above. 6 months to 6 months to Year ended 30 September 30 September 31 March 2015 2014 2015 (unaudited) (unaudited) (audited) GBPm GBPm GBPm -------------------------------------------- ------------ ------------ ---------- Underlying earnings for the period (note 3) 7.3 5.0 13.0 -------------------------------------------- ------------ ------------ ---------- 6 months to 6 months to Year ended 30 September 30 September 31 March 2015 2014 2015 (unaudited) (unaudited) (audited) -------------------------------------- ------------ ------------ ---------- Basic underlying earnings per share 12.2p 8.4p 21.9p Diluted underlying earnings per share 11.8p 8.1p 21.1p -------------------------------------- ------------ ------------ ---------- 6. Taxation Taxation comprises: 6 months to 6 months to Year ended 30 September 30 September 31 March 2015 2014 2015 (unaudited) (unaudited) (audited) GBPm GBPm GBPm -------------------------------------------------- ------------ ------------ ---------- Current UK taxation 0.5 0.5 0.4 Deferred Origination and reversal of temporary differences 1.1 1.1 2.5 -------------------------------------------------- ------------ ------------ ---------- Taxation 1.6 1.6 2.9 -------------------------------------------------- ------------ ------------ ---------- Current tax expense is recognised based on management's estimate of the weighted average annual income tax rate expected for the full financial year. Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset current tax assets against current tax liabilities and when the deferred income taxes relate to the same fiscal authority. Deferred tax is calculated in full on temporary differences under the liability method. The movement on the deferred tax account is as shown below: 6 months to 6 months to Year ended 30 September 30 September 31 March 2015 2014 2015 (unaudited) (unaudited) (audited) GBPm GBPm GBPm -------------------------------------------------------- ------------ ------------ ---------- Deferred tax asset at the beginning of the period 13.8 11.6 11.6 Charged to the income statement (1.1) (1.1) (2.5) (Charged)/credited to statement of comprehensive income (0.4) 3.7 4.7 Acquisitions (see note 13) (0.8) - - Exchange movement (0.3) (0.1) - -------------------------------------------------------- ------------ ------------ ---------- Deferred tax asset at the end of the period 11.2 14.1 13.8 -------------------------------------------------------- ------------ ------------ ---------- At At At 30 September 30 September 31 March 2015 2014 2015 (unaudited) (unaudited) (audited) GBPm GBPm GBPm ----------------------------------------------- ------------ ------------ --------- Accelerated capital allowances 2.6 2.9 2.7 Tax losses 2.5 3.8 3.3 Other timing differences (2.4) (0.7) (1.1) Deferred tax asset relating to pension deficit 8.5 8.1 8.9 ----------------------------------------------- ------------ ------------ --------- 11.2 14.1 13.8 ----------------------------------------------- ------------ ------------ --------- 7. Finance income and costs 6 months to 6 months to Year ended 30 September 30 September 31 March 2015 2014 2015 (unaudited) (unaudited) (audited) GBPm GBPm GBPm ----------------------------------------------------------- ------------ ------------ ---------- Finance costs Interest payable on bank borrowings 0.5 0.7 1.2 Amortisation of costs of raising debt finance 0.1 0.1 0.1 Movement on fair value of derivative financial instruments 0.5 - - Unwind of discount on property lease provisions - - 0.1 ----------------------------------------------------------- ------------ ------------ ---------- Finance costs 1.1 0.8 1.4 ----------------------------------------------------------- ------------ ------------ ---------- Exceptional finance costs(1) - 0.4 0.4 ----------------------------------------------------------- ------------ ------------ ---------- Total finance costs 1.1 1.2 1.8 ----------------------------------------------------------- ------------ ------------ ---------- Finance income Movement on fair value of derivative financial instruments - (1.6) (3.3) ----------------------------------------------------------- ------------ ------------ ---------- Total finance income - (1.6) (3.3) ----------------------------------------------------------- ------------ ------------ ---------- 1 Following the refinancing of the Group's banking facilities in July 2014, the unamortised costs relating to the previous facility were written off in full. 8. Borrowings At At At 30 September 30 September 31 March 2015 2014 2015 (unaudited) (unaudited) (audited) GBPm GBPm GBPm --------------------------------- ------------ ------------ --------- Non-current Bank borrowings (unsecured): - bank loans 33.0 21.0 19.0 - less: costs of raising finance (0.5) (0.6) (0.6) --------------------------------- ------------ ------------ --------- Total non-current 32.5 20.4 18.4 --------------------------------- ------------ ------------ --------- Current Bank borrowings (unsecured): - bank overdrafts 4.5 4.1 1.4 --------------------------------- ------------ ------------ --------- Total borrowings 37.0 24.5 19.8 --------------------------------- ------------ ------------ --------- The fair value of bank loans equals their carrying amount as they bear interest at floating rates. (MORE TO FOLLOW) Dow Jones Newswires November 12, 2015 02:01 ET (07:01 GMT) The repayment terms of borrowings are as follows: At At At 30 September 30 September 31 March 2015 2014 2015 (unaudited) (unaudited) (audited) GBPm GBPm GBPm ----------------------------------------------------- ------------ ------------ --------- Not later than one year 4.5 4.1 1.4 ----------------------------------------------------- ------------ ------------ --------- After more than one year: - between one and two years - - - - later than two years and not later than five years 33.0 21.0 19.0 - costs of raising finance (0.5) (0.6) (0.6) ----------------------------------------------------- ------------ ------------ --------- 32.5 20.4 18.4 ----------------------------------------------------- ------------ ------------ --------- Total borrowings 37.0 24.5 19.8 ----------------------------------------------------- ------------ ------------ --------- In July 2014 the Group agreed an unsecured GBP70m revolving credit facility with a GBP30m accordion facility with Lloyds Bank plc, Barclays Bank plc and HSBC Bank plc. The banking facility is in force for five years to July 2019. Net debt The Group's net debt is calculated as follows: At At At 30 September 30 September 31 March 2015 2014 2015 (unaudited) (unaudited) (audited) GBPm GBPm GBPm -------------------------- ------------ ------------ --------- Cash and cash equivalents (7.8) (4.5) (5.6) Total borrowings 37.0 24.5 19.8 -------------------------- ------------ ------------ --------- Net debt 29.2 20.0 14.2 -------------------------- ------------ ------------ --------- 9. Called up share capital At At At 30 September 30 September 31 March 2015 2014 2015 (unaudited) (unaudited) (audited) GBPm GBPm GBPm --------------------------------------- ------------ ------------ --------- Issued and fully paid 60,995,930 ordinary shares of 10p each 6.1 - - 594,917,377 ordinary shares of 1p each - 5.9 6.0 --------------------------------------- ------------ ------------ --------- Total 6.1 5.9 6.0 --------------------------------------- ------------ ------------ --------- Following the approval by shareholders of the consolidation of 1p ordinary shares into ordinary shares of 10p at the Annual General Meeting of the Company held on 22 July 2015, the Company duly completed the share capital consolidation with a record date of 29 September 2015. As a result of the consolidation, the ordinary shares of 1p each were amended to new ordinary shares of 10p each. The share consolidation had no impact on the value of the Company's issued and fully paid share capital. 10. Consolidated Cash Flow Statements (a) Cash generated from continuing operations 6 months to 6 months to Year ended 30 September 30 September 31 March 2015 2014 2015 (unaudited) (unaudited) (audited) GBPm GBPm GBPm ------------------------------------------------------------------------------ ------------ ------------ ---------- Profit before taxation 7.0 6.3 11.0 Adjustments for: - IAS 19R administrative expenses included in the above 0.8 0.8 1.7 - acquisition related costs included in the above 2.6 0.5 2.2 - exceptional operating items included in the above (2.3) (0.3) 2.5 - cash inflows/(outflows) from exceptional items and acquisition related costs 0.7 (0.7) (4.7) - depreciation 2.9 3.0 6.0 - pension fund deficit recovery plan contributions (1.1) (1.0) (2.1) - loss on disposal of property, plant and equipment - - 0.1 - total finance costs 1.1 1.2 1.8 - finance income - (1.6) (3.3) - IAS 19R finance cost 0.7 0.5 1.1 - share-based payments 0.7 0.6 1.3 ------------------------------------------------------------------------------ ------------ ------------ ---------- Operating cash flows before movements in working capital 13.1 9.3 17.6 Changes in working capital: - increase in inventories (4.4) (1.4) (2.0) - increase in trade and other receivables (1.0) (0.8) (1.4) - increase in payables 5.2 2.8 1.9 ------------------------------------------------------------------------------ ------------ ------------ ---------- Cash generated from continuing operations 12.9 9.9 16.1 ------------------------------------------------------------------------------ ------------ ------------ ---------- Cash flows from exceptional items includes expenditure charged to exceptional provisions relating to onerous lease costs, acquisition related costs (excluding deferred remuneration) and other business rationalisation and restructuring costs. (b) Cash generated from discontinued operations 6 months to 6 months to Year ended 30 September 30 September 31 March 2015 2014 2015 (unaudited) (unaudited) (audited) GBPm GBPm GBPm --------------------------------------------------------- ------------ ------------ ---------- Profit before taxation - - - Adjustments for: - depreciation - - - --------------------------------------------------------- ------------ ------------ ---------- Operating cash flows before movements in working capital - - - Changes in working capital: - decrease in inventories - 0.4 0.4 - increase in trade and other receivables - (0.1) (0.1) - decrease in payables - (0.2) (0.2) --------------------------------------------------------- ------------ ------------ ---------- Cash generated from discontinued operations - 0.1 0.1 --------------------------------------------------------- ------------ ------------ ---------- Cash generated from operations 12.9 10.0 16.2 --------------------------------------------------------- ------------ ------------ ---------- (MORE TO FOLLOW) Dow Jones Newswires November 12, 2015 02:01 ET (07:01 GMT) (c) Analysis of net debt Cash included within Cash and assets held-for-sale overdrafts Debt Total GBPm GBPm GBPm GBPm ------------------------- -------------------- ---------- ------ ------ At 1 April 2014 0.5 3.2 (30.6) (26.9) Cash flow (0.5) 1.1 12.1 12.7 Other non-cash movements - - 0.1 0.1 Exchange movement - (0.1) - (0.1) ------------------------- -------------------- ---------- ------ ------ At 31 March 2015 - 4.2 (18.4) (14.2) ------------------------- -------------------- ---------- ------ ------ At 1 April 2014 0.5 3.2 (30.6) (26.9) Cash flow (0.5) (2.7) 10.1 6.9 Other non-cash movements - - 0.1 0.1 Exchange movement - (0.1) - (0.1) ------------------------- -------------------- ---------- ------ ------ At 30 September 2014 - 0.4 (20.4) (20.0) ------------------------- -------------------- ---------- ------ ------ At 1 April 2015 - 4.2 (18.4) (14.2) Cash flow - (0.1) (14.0) (14.1) Other non-cash movements - - (0.1) (0.1) Exchange movement - (0.8) - (0.8) ------------------------- -------------------- ---------- ------ ------ At 30 September 2015 - 3.3 (32.5) (29.2) ------------------------- -------------------- ---------- ------ ------ 11. Dividends A final dividend in respect of the year ended 31 March 2015 of GBP2.2m (0.375p per 1p ordinary share) was paid on 29 July 2015. On 12 November 2015 the Board declared an interim dividend in respect of the year ended 31 March 2016 of GBP1.3m (2.2p per 10p ordinary share). This dividend will be paid on 7 January 2016 and is not reflected in this condensed consolidated interim financial information. 12. Retirement benefit obligations (a) Pension costs Norcros Security Plan The Norcros Security Plan (the "Plan"), the principal UK pension scheme of Norcros plc subsidiaries, is funded by a separate trust fund which operates under UK trust law and is a separate legal entity from the Company. The Plan is governed by a Trustee board which is required by law to act in the best interests of the Plan members and is responsible for setting policies together with the Company. It is predominantly a defined benefit scheme with a modest element of defined contribution benefits. The valuation used for IAS 19R disclosures has been produced by KPMG, a firm of qualified actuaries, to take account of the requirements of IAS 19R in order to assess the liabilities of the scheme at 30 September 2015. Scheme assets are stated at their market value at 30 September 2015. (b) IAS 19R, 'Retirement benefit obligations' The principal assumptions used to calculate the scheme liabilities of the Norcros Security Plan under IAS 19R are: At At At 30 September 30 September 31 March 2015 2014 2015 --------------------- ------------ ------------ -------- Discount rate 3.80% 3.90% 3.30% Inflation rate (RPI) 3.00% 3.05% 2.90% Inflation (CPI) 2.00% 2.05% 1.90% Salary increases 2.25% 3.30% 2.15% --------------------- ------------ ------------ -------- The amounts recognised in the Condensed Consolidated Balance Sheet are determined as follows: At At At 30 September 30 September 31 March 2015 2014 2015 (unaudited) (unaudited) (audited) GBPm GBPm GBPm ------------------------------------ ------------ ------------ --------- Total market value of scheme assets 367.8 385.0 397.0 Present value of scheme liabilities (410.2) (425.6) (441.3) ------------------------------------ ------------ ------------ --------- Pension deficit (42.4) (40.6) (44.3) ------------------------------------ ------------ ------------ --------- 13. Business combinations On 25 June 2015, the Group acquired 100% of the ordinary share capital of Croydex Group Limited ("Croydex"), a market leading, innovative designer, manufacturer and distributor of high quality bathroom furnishings and accessories. The acquisition of Croydex is an important next step in the Group's growth strategy to increase revenue to GBP420m by 2018 and follows on from the very successful integration of the Vado business, which Norcros acquired in March 2013. Adding the Croydex business to the Group's existing portfolio will increase the breadth of our product range in the bathroom segment and enable the Group to offer an even broader range of complementary bathroom products to our customers. Croydex will also benefit from the global distribution channels, sourcing skills and strong financial position of the enlarged Group. Croydex is incorporated in England and is based in Andover, Hampshire. The following table summarises the consideration paid for Croydex and the provisional fair value of the assets acquired and the liabilities assumed: GBPm ------------------------- ----- Consideration Cash 20.8 Deferred consideration 1.1 ------------------------- ----- 21.9 ------------------------ ----- GBPm --------------------------------------------------- --------- Recognised amounts of identifiable assets and liabilities Intangible assets 7.9 Property, plant and equipment 1.6 Inventories 2.8 Trade and other receivables 5.0 Cash 3.5 Trade and other payables (5.7) Current tax liabilities (0.2) Deferred tax liability (0.8) Total identifiable net assets 14.1 --------------------------------------------------- --------- Goodwill 7.8 Total 21.9 --------------------------------------------------- --------- Due to the proximity of the acquisition date to the date of this interim statement it has not been possible for the Group to finalise the fair values of Croydex's assets and liabilities. The provisional fair value adjustments reflect the preliminary assessment of the value of acquired intangible assets of GBP7.9m, the revaluation of the leasehold property of GBP0.9m, and a deferred tax liability of GBP1.0m mainly arising from the recognition of acquired intangible assets. A full review of the fair values of the identifiable assets and liabilities will take place over the coming months with the expectation that a revised position will be presented in the Group's Annual Report for the year ended 31 March 2016. In most business combinations there is an element of cost which cannot be allocated against the individual assets and liabilities acquired. This residual amount is recognised as goodwill and is supported by a number of factors which do not meet the criteria required for them to be treated as intangible assets. In this case the most significant elements relate to Croydex's unique product portfolio and its knowledgeable workforce. It is not expected at this stage that any of the goodwill will be deductible for tax purposes. The fair value of trade and other receivables is GBP5.0m, which includes trade receivables with a fair value of GBP4.6m. The gross contractual amount for trade receivables due is GBP4.8m, of which GBP0.2m is expected to be uncollectible. Costs relating to the transaction of GBP0.8m have been expensed to the Consolidated Income Statement and included within acquisition related costs. The deferred consideration of GBP1.1m is unconditional and will be paid in the year ended 31 March 2019. As part of the transaction, a long-term incentive scheme has been put in place for the Croydex Managing Director which is dependent on the financial performance of Croydex over the next three years. The maximum amount and current expectation is that GBP0.9m will be payable under this scheme which will be treated as deferred remuneration and included within acquisition related costs in the Consolidated Income Statement. The revenue included in the Condensed Consolidated Statement of Comprehensive Income since 25 June 2015 contributed by Croydex was GBP5.8m. Over the same period, Croydex contributed profit after tax of GBP0.6m. Had Croydex been consolidated from the beginning of the period, the Condensed Consolidated Statement of Income would have shown pro-forma revenue of GBP123.7m and pro-forma profit after tax of GBP5.6m. (MORE TO FOLLOW) Dow Jones Newswires November 12, 2015 02:01 ET (07:01 GMT)