Bilby Plc (AIM:BILB), a leading gas heating, electrical and building services provider, announces its interim results for the six months ended 30 September 2019.
Unaudited 6 months to
30 September 2019
Unaudited 6 months to
30 September 2018
Audited 12 months to
Underlying operating profit
Underlying profit before taxation3
Profit/(loss) after taxation
Basic EPS adjusted4
Dividend per share
1. Underlying Revenue and Gross profit for the 12 months ended 31 March 2019 were £69.588 million and £15.131 million respectively. There are no adjustments to Revenue or Gross Profit for the 6 months ended 30 September 2018 or 30 September 2019.
2. Underlying EBITDA is earnings before interest, tax, depreciation and non-underlying items as set out in note 3.
3. Underlying profit before taxation is stated after interest and before charging non-underlying items.
4. Basic EPS adjusted is the profit before deducting non-underlying after tax divided by the weighted average number of ordinary shares.
5. Net debt comprises overdraft, term loans, mortgage and other loans less cash
· Robust performance from the underlying Group delivers an underlying EBITDA of £2.1 million (2018: £2.7 million) in a business that is historically weighted to the second-half
· The Group resolved its legacy issues and completed the restructuring of P&R
· Strong cash generation of £2.4m from underlying operations but impacted by £1.8m relating to P&R losses from year ending March 2019 and related restructuring, resulting in net cash generation from operating activities of £0.629m
· Appointment of David Bullen as Chief Executive Officer who accelerated the operational and financial review of the business which led to several conclusive actions:
o The closure of P&R's gas division
o P&R's profitable building services contracts transferred to management responsibility of Purdy
o Integration and alignment of R Dunham into Group
o Standardisation and centralisation of operating systems, policies and controls to improve transparency, efficiency and profitability within the Group, remains ongoing
o Appointment of an interim Group HR Director - a permanent position for this role will be confirmed in due course
· Significant operational progress securing new large scale contracts with no major contracts up for renewal in the financial year
o Purdy won a contract with Enfield Council with a value of £1.2 million
o DCB secured an extended contract with Port of Dover for £1.5 million
o DCB secured a contract with Newlon Housing for £1.2 million
o Spokemead secured additional work with its largest customer, Southwark Council
Post period end & outlook
o Fundraise of £2 million to provide additional resources to improve the working capital position
o Conclusion and closure of the resolution proceedings relating to the two severely loss-making contracts with Carillion Amey and East Kent Housing with nil settlement to all parties
o Strengthening of Board with the appointment of David Guest as Non-Executive Director and Chair of the Audit Committee
o Board remain confident of at least maintaining underlying revenues of £59 million with an underlying EBITDA of not less than £4.5 million for the full year
Commenting on the results, David Bullen, Chief Executive of Bilby plc said:
"This has been a period of restructuring for the Group in which we finally resolved the legacy issues relating to P&R and continued the operational and financial review that collectively has achieved a positive reset for the Group. We have taken the positive steps to improve our levels of transparency and efficiency, as well as engaging staff at all levels to shape the future of the organisation. This will ensure that each subsidiary benefits from being part of a wider Group and will accelerate the trajectory of our future growth path. I am confident that the actions we have taken, and continue to undertake, will ensure that Bilby is best placed to capitalise on opportunities moving forward."