15th May 2014 12:03
LONDON (Alliance News) - Health, safety, hygiene and environmental consultant PHSC PLC saw its shares rise Thursday after it said operating profit and revenue rose strongly in its last financial year, buoyed by recent acquisitions.
In a trading statement, the company said indicative figures indicate that revenue was GBP7.6 million in the year to end-March, from GBP5.8 million a year earlier, while earnings before, interest, tax, depreciation and amortisation rose to GBP0.7 million, from GBP0.6 million.
Its net assets at the end of the year stood at about GBP6.4 million, including cash of GBP0.7 million.
"We have benefitted from full year contributions from our two most recent acquisitions (QCS International Limited and B to B Links Limited) and the legacy health and safety businesses have broadly performed in line with expectations," Chief Executive Stephen King said in a statement.
"Bank balances are substantially higher than at this time last year, bolstered by a share placing last autumn that generated GBP 480,000 after expenses followed by improved cash flow from trading activities," he added.
Final instalments for the QCS International and B to B Links acquisitions fall due during the second quarter of its current financial year. The company said it can't yet calculate what it will have to pay in total, but if the acquisitions sustain their performances at recent levels, final payments would total about GBP425,000.
"Our cash flow forecast indicates that these payments can be met from existing bank balances without adversely affecting the cash requirements of normal trading activities," King said.
The company expects to publish full results for the last financial year in the middle of July.
PHSC shares were up 17.2% at 32.225 pence Thursday, one of the biggest gains on the London market.
By Steve McGrath; [email protected]; @SteveMcGrath1
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