PRELIMINARY ANNOUNCEMENT OF RESULTS FOR THE YEAR ENDED 31 MARCH 2008
VT Group plc, the support services and shipbuilding company, today announces its preliminary results for the year ended 31 March 2008. These results are prepared under International Financial Reporting Standards.
Results Summary - Continuing Operations
• Turnover*: up 20% to £1,201.0m £1,004.6m
• Revenue Excluding Joint Ventures: up 20% to £1020.0m £852.5m
• Underlying Profit Before Taxation**: up 20% to £89.1m £74.2m
• Profit Before Taxation: up 33% to £71.3 £53.8m
• Adjusted Earnings Per Share (p)*** up 15% to 35.5p 30.9p
• Basic Earnings per share: up 27% to 32.2p 25.4p
• Final Dividend Per Share (p): up 11% to 13.1p 11.9p
* Includes share of revenue from equity accounted joint ventures and associates
** Excludes intangible amortisation arising from business combinations (£9.9m; 2007: £7.7m), share of joint venture taxation (£7.9m; 2007: £6.7m) and non-recurring charges in respect of exiting businesses (£nil; 2007: £6m)
*** Before intangible amortisation arising from business combinations and non-recurring charges in respect of exiting businesses
These definitions apply throughout this statement
Turnover up by 20 per cent and underlying profit up by 20 per cent
Closing order book £4.9 billion (up 32 per cent from last year)
Continuing organic growth of the business
Expansion into new areas of engineering support services: nuclear and waste
Framework agreement signed for shipbuilding and naval support Joint Venture
Contract signed for Future Strategic Tanker Aircraft (FSTA) programme - £1bn UK Military Flying Training System (MFTS) contract expected shortly Lewisham BSF contract signed, worth up to £325 million Good operating cash conversion
VT Group Chairman Michael Jeffries said: “The Group continues to make excellent progress with strong results shown by all our divisions.
“Our strategy of focusing on developing engineering support businesses has seen us move into new sectors of high growth activity through nuclear services and waste management.
“We continue to grow the order book and we have achieved significant milestones in aviation support with the signing of the Future Strategic Tanker Aircraft (FSTA) programme and the Military Flying Training System expected shortly.
“BVT Surface Fleet Limited, our Joint Venture in shipbuilding and naval support with BAE Systems, is ready to be implemented as soon as the Government confirms the placement of the manufacturing contract for the Royal Navy’s new aircraft carriers (CVF).
We have a well planned strategy to grow our engineering support services activities and we are also in a good position to benefit from excellent visibility of earnings, strong operating cash flow and good order pipeline. The Board remains confident for the current year and beyond.”