Financial Highlights


  Year ended 31 March  
  2020
£'000
2019
£'000
Change
%
Turnover 44,600 42,528 4.9
Underlying operating profit 4,565 4,377 4.3
Other non-trading items (7,479) - -100
Interest(net) inc. pension costs (856) (519) 64.9
Reported (loss) / profit before tax (3,770) 3,858 -197.7
Diluted earnings per share before amortisation and non-trading items 21.7p 24.1p -10.1
Diluted weighted average shares in issue 12,684,030 12,560,438 1.0

Group Financial Highlights

  • Group revenue increased by 4.9% to £44.6 million (2019: £42.5 million)
  • Underlying pre-tax profits were £3.7 million (2019: £3.9 million) reduced by £0.25 million due to COVID-19
  • £7.5 million non-cash write down of goodwill ledto a loss before tax of £3.7 million (2019: £3.9 million)
  • Underlying diluted earnings per share was 21.7 pence (2019: 24.1 pence)
  • Diluted earnings per share was a loss of 37.8pence (2019: 24.1 pence)
  • As at 31 March 2020, cash balances of £9.1 million (2019: £6.2 million)

Operating Highlights

  • A good performance with revenues up by 23% benefiting from increased housebuilding and rental income and remaining largely unaffected by COVID-19
  • Pre-tax profits up 37% to £2.1 million (2019: £1.5 million)
  • Following on from a successful prior year, FY2020 was more challenging reflecting a weaker global commercial art market leading to reduced income from galleries, auction houses and private collectors
  • Pre-tax profits were £1.0 million (2019: £1.6 million)
  • A small decline in passenger numbers over the year was significantly increased in March 2020 which offset the benefits of annual fare rises in June2019
  • Pre-tax profits were £0.6 million (2019: £0.8 million)
  • While FIC has not been significantly impacted,trading at both Momartand PHFC has fallen to below 10% of normal levels as a result the Group incurred losses for the first three months of FY2021
  • In response, the Group has suspended dividend payments in the short term, placed 78% of employees at Momart and in Gosport on furlough, reduced employee and Board pay and curtailed all capital expenditure
  • Critically, the Group remains well placed financially with sufficient liquidity to meet all current and expected needs, as at 31 March 2020 the Group had cash balances of £9.1 million and has added an interest free £5 million debt facility under the Government business interruption scheme for use if required
  • Management focus now is on returning the Group to its pre-COVID-19 position as quickly as practical whilst minimising the fallout from this unprecedented event

John Foster, Chief Executive said:

“We were on track to announce another strong trading performance for the year and while COVID-19 prevented us from doing so, we still recorded a good overall result. Like most businesses our focus is now on ensuring a smooth return to profitability whilst avoiding unnecessary damage to the long-term prospects of the business. Fortunately, FIH is well placed to do so backed by a strong balance sheet with good additional liquidity should it be required.

We believe we took the necessary cost reducing actions sufficiently early and that we have the resources to support the return to normal trading levels. This is of course subject to a reasonable time period for the recovery in passenger numbers in Portsmouth and a return in confidence and activity levels in the global commercial art market.

Given the environment, FIH is reasonably well positioned and I believe the fundamentals of the Group remain strong. We are therefore confident with regard to the medium to long term prospects for the business whilst also being mindful that the current crisis might bring M&A opportunities that would not normally arise.”

Operating Companies