Full Year Results

"Focusing on growth markets worldwide"

Carr's (CARR.L), the fully-listed Agriculture and Engineering Group, announces results for the year ended 3 September 2016.

Financial highlights (continuing operations)

• Revenue down 4.9% to £314.9m (2015: £331.3m)
• EBITDA up 6.6% to £16.5m (2015: £15.5m)
• Operating profit up 5.6% to £12.8m (2015: £12.1m)
• Profit before taxation up 2.8% to £14.1m (2015: £13.7m)
• Basic EPS up 7.0% to 10.7p (2015: 10.0p)
• Adjusted* EPS up 6.9% to 10.9p (2015: 10.2p)
• Proposed final dividend of 1.9p up 2.7% resulting in a total for the year of 3.8p (2015: 3.7p), excluding the special dividend of 17.54p
• Capital expenditure of £7.3m during the year
• Net cash of £8.1m at the year-end (2015: net debt of £24.4m) following disposal of the Food division

Key Points

• Agriculture operating profit (excluding contribution from associate and JVs) up 8.6% to £10.3m, driven by a strong performance in the USA feedblock business. Segmental revenue down 4.4% to £284.8m.
• Engineering operating profit down 4.9% to £2.5m due to contract delays, with revenue down 10.2% to £30.1m.
• Strategic refocussing of the Group on its Agriculture and Engineering divisions through the sale of its Food division and the return of £16.0m to shareholders, including the recent acquisition of STABER GmbH, a German engineering business. 
• Profit from associate and joint ventures down 9.8% to £2.1m (2015: £2.3m).

Chris Holmes, Chairman, said:

“In what has been a challenging year in the sectors in which we operate, I am pleased to report that the Group has delivered a solid result. At the end of the year we announced the disposal of our Food division to Whitworths, which following a £16m special dividend to shareholders enables us to focus on growing our two remaining, higher margin, divisions.

“Subsequent to the year end we announced the acquisition of German engineering business STABER GmbH, which will be strategically beneficial to our existing German engineering business and in line with our intention to invest in specialised IP and innovative businesses.

“The current financial year has started in line with our expectations and we will continue to review suitable acquisition opportunities whilst investing in our existing businesses both in the UK and overseas.”

*Adjusted earnings per share is calculated after adjusting for non-recurring items and amortisation of intangible assets.

Enquiries:

Notes to Editors

Carr's is an international leader in manufacturing value added products and solutions with market leading brands and robust market positions in the Agriculture and Engineering sectors. The Group offers a range of services including the manufacturing and supply of feed blocks for livestock, farm machinery, a UK network of rural stores, and robotic and remote handling equipment, with a facility footprint spanning the UK, Europe and North America, supplying customers in over 35 countries around the world.

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