Preliminary results for the twelve months to 31 December 2013

Cape plc, the international provider of critical support services to the energy and mineral resources sectors, announces its results for the twelve months ended 31 December 2013.

A year of consolidation, delivering an improved performance in mixed market conditions

Financial summary


Audited 2013 2012
Financial highlights
Continuing operations:
Adjusted revenue £697.1m £746.0m
Adjusted operating profit £41.0m £27.7m
Adjusted operating profit margin 5.9% 3.7%
Adjusted profit before tax £35.5m £20.7m
Adjusted diluted earnings per share 23.6p 12.7p
Dividend for the year (per share) 14.0p 14.0p
Adjusted net debt £60.2m £65.2m
Statutory results
Revenue £697.1m £737.0m
Operating profit/(loss) £10.2m (£133.2m)
Profit/(loss) before tax £0.2m (£143.2m)
Loss per share (5.6p) (172.5p)

Throughout this statement, various non-statutory measures are used and referred as Adjusted, these are defined and reconciled to their statutory equivalents in note 8, Adjusted measures. Certain amounts do not correspond to the 2012 financial statements and reflect the adjustments detailed in note 4, Prior period restatements.

Highlights
  • Adjusted operating profit up 48% to £41.0m (2012: £27.7m)
  • Adjusted diluted earnings per share up 86% to 23.6p (2012: 12.7p)
  • Order intake at £625m (2012: £619m); order book at 31 December 2013 10% lower at £648m (31 December 2012: £720m)
  • Arzew project completed to revised plan and within the existing provision
  • Divestment of non-core operations and Performance Improvement Plan in Australia completed
  • Substantial progress on the first phase of strategy to stabilise the operational performance of the business
  • £37.7m acquisition of Motherwell Bridge in Q1 2014
  • Operating cash flow up 20% to £49.7m (2012: £41.5m) resulting in adjusted net debt of £60.2m (2012: £65.2m)
  • Full year dividend 14.0p (2012: 14.0p)
  • The Board is confident in the continued improvement in operating performance and the future prospects of the Group
Commenting on the results, Joe Oatley, Chief Executive of Cape said:

"Cape has delivered an improved set of results in 2013 against a backdrop of mixed market conditions.  We have made good progress on operational improvement and established a robust control environment across the Group.  Whilst we will continue to improve our operational efficiency and controls, we are now well positioned to move into the growth phase of our strategy.  The acquisition of Motherwell Bridge, announced on 11 March 2014, represents good early progress on this element of our strategy, extending the range of critical industrial services we offer to our clients.  We will continue to pursue both organic and acquisitive growth and I am confident that by combining this growth with our on-going focus on operational excellence, Cape will deliver long-term value creation to our shareholders."

Analyst meeting

The Group will be presenting to a meeting of analysts at 9.30 am today. The presentation will be available on the company's website later today at: www.capeplc.com/investors/financial-results-and-presentations.aspx

Enquiries:

For more information contact:
Joe Oatley, Chief Executive, Cape plc
joe.oatley@capeplc.com
+44 (0)18 9545 9979

Michael Speakman, Chief Financial Officer, Cape plc
michael.speakman@capeplc.com
+44 (0)18 9545 9979

Rachel Amey, Director of Investor Relations, Cape plc
rachel.amey@capeplc.com
+44 (0)18 9545 9965

Bobby Morse, Ben Romney & Louise Mason, Buchanan
+44 (0)20 7466 5000

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