FINANCIAL HIGHLIGHTS

2023 Interim announcement

Nicholas Braime, Chairman said:

"The different parts of the Group have performed quite differently, with the Asian regions relatively subdued, but with the USA, our key market, remaining particularly buoyant."

For the six months ended 30th June 2023 Unaudited 6 months to 30th June 2023 £'000 Unaudited 6 months to 30th June 2022 £'000
Revenue 24,706 21,308
Changes in inventories of finished goods and work in progress (49) 841
Raw materials and consumables used (12,650) (12,099)
Employee benefits costs (5,398) (4,859)
Depreciation expense (828) (738)
Other (expenses)/operating income (3,467) (2,368)
Exceptional item - (350)
Profit from operations 2,314 1,735
Finance costs (199) (127)
Finance income - -
Profit before tax 2,115 1,608
Tax expense (605) (477)
Profit for the period 1,510 1,131
Profit attributable to:
Owners of the parent 1,478 1,123
Non-controlling interests 32 8
1,510 1,131
Basic and diluted earnings per share 104.86p 78.54p

Group Financial Highlights

  • Dividend is increased from 4.75p to 5.25p per share for both Ordinary and 'A' Ordinary Shares
  • Group revenue at £24.7 million (2022: £21.3 million)
  • Earnings before interest, tax, depreciation and amortisation (EBITDA including exceptional item) at £3.1 million (2022: £2.5 million)
  • Basic and diluted earnings per share at 104.86p (2022: 78.54p)
  • Net cash at 30th June 2023 £886,000 positive (2022: £201,000 overdrawn)
Braime Pressings Limited - external revenue has increased by 9%, largely due to an increase in steel commodity prices which has driven up sales revenues.
  • Total revenue of £5.9 million up 6% (2022: £5.6 million)
  • Intercompany revenue has increased by 4% to £2.7 million (2022: 2.6 million)
  • The business is continuing to develop new sectors including equipment manufacturing
The materials handling division (4B group) external revenues have seen growth of 17% as a result of a strong levels of demand in the USA.
  • Revenue of £24.6 million up 15% (2022: £21.4 million)
  • Intercompany revenue has remained stable at £3.1 million (2022: £3.1 million)
  • The demand for electronics has been strong, particularly in the USA.
Central costs - half year costs excluding the chain cell provision are higher than last year by £107,000 due to higher interest and depreciation costs.
2022 Full year announcement

Nicholas Braime, Chairman said:

"Our strategy remains largely unchanged; continuing to invest and constantly improving our production processes; and exploring new potential global markets for our niche products and developing new innovative solutions for our customers' common engineering problems"

Year ended 31st December 2022 2022 £'000 2021 £'000
Revenue 44,879 36,406
Changes in inventories of finished goods and work in progress 2,925 869
Raw materials and consumables used (26,456) (19,656)
Employee benefits costs (10,260) (8,930)
Depreciation and amortisation expense (1,535) (1,334)
Other (expenses)/operating income (5,104) (4,866)
Exceptional item (350) (1,217)
Profit from operations 4,099 1,272
Finance expense (282) (205)
Finance income 5 3
Profit before tax 3,822 1,070
Tax expense (1,101) (320)
Profit for the year 2,721 750
Profit attributable to:
Owners of the parent 2,768 665
Non-controlling interests (47) 85
2,721 750
Basic and diluted earnings per share 188.96p 52.08p

Group Financial Highlights

Total dividend 13.75p (2021: 12.45p)

  • Group revenue of £44.9 million (2021: £36.4 million)
  • Pre-tax profits at £3.82 million (2021: £1.07 million)
  • Earnings before interest, tax, depreciation, amortisation and exceptional costs (EBITDA) at £6.0 million (2021: £3.8 million)
  • Exceptional costs of £0.4 million relate to further extensive repairs to the chain cell area of our Hunslet Road property, originally announced in the 2021 full year results
  • Basic and diluted earnings per share at 188.96p (2021: 52.08p)
  • Cash balances decreased to £0.8 million (2021: £1.0 million)
  • Bank borrowings of £2.3 million (2021: £2.4 million)
  • The board is recommending a second interim dividend of 9.00p per share (2021: 8.20p) to the holders of Ordinary and 'A' Ordinary shares

Operating Highlights
 

Braime Pressings Limited
  • Revenue of £11.8 million (2021: £9.5 million)
  • External revenue up £1.5 million to £6.7 million
  • Intercompany revenue has risen to £5.1 million (2021: £4.3 million) reflecting increased 4B division activity
  • Profit of £1.0 million has increased from prior year's profit of £0.8 million
Materials handling division (4B group)
  • Revenue of £46.3 million up 22% (2021: £37.9 million)
  • External revenue up £7.0 million to £38.2 million
  • Intercompany activity £8.1 million (2021: £6.7 million)
Central costs have reduced to £1.1 million (2021: £1.3 million) due to lower property maintenance expenses in the year.
Outlook

The major challenges facing us in 2023 include high and unpredictable cost inflation and unreliability of supplies. These threaten the competitiveness of the business and create an urgency in finding new, more stable sources of supply and divert time away from our primary focus, the search for new sales. Repeating in 2023 the exceptional result in 2022 may be an overambitious target but this does not stop us trying to overcome these challenges.