Volvere Says Momentum Continued Into 2017 As Annual Profit Rises

LONDON (Alliance News) - Volvere PLC on Friday said it achieved "record" net assets in 2016, ...

Alliance News 26 May, 2017 | 10:13AM
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LONDON (Alliance News) - Volvere PLC on Friday said it achieved "record" net assets in 2016, and the turnaround investor has continued to performed "satisfactorily" in 2017.

Consolidated net assets per share for 2016 rose to GBP6.17 from GBP5.69 the previous year, while net assets increased to GBP26.6 million from GBP24.3 million.

Pretax profit rose to GBP1.98 million from GBP1.34 million on a rise in revenue to GBP33.0 million from GBP27.9 million.

The company said it "does not currently" intend to recommend a dividend, as it "prefers to retain profits as they arise for investment in future opportunities, or to purchase own shares for treasury where that is considered to be in the best interests of shareholders".

Shire Foods Ltd, in which the company has a 80% stake, delivered a "satisfactory performance" following the Brexit vote last June as the devalution in the pound resulted in increased raw material prices.

Profit before tax, intra-group management and interest charges for Shire came in at GBP1.2 million, down from GBP1.6 million the prior year, on revenue of GBP15.2 million, down slightly from GBP15.5 million.

Impetus Automotive Ltd, which it bought in March 2015, posted a profit before tax, intra-group management and interest charges of GBP1.5 million, compared to the GBP580,000 from the nine month period to the end of 2015.

Lastly, Sira Defence & Security Ltd reported a rise in pretax profit to GBP160,000 from GBP120,000, on revenue which rose to GBP380,000 from GBP310,000.

Chairman David Buchler said that during 2016 all of its businesses contributed positively and they have "continued to perform satisfactorily in 2017 to date".

Chief Executive Jonathan Lander added that "although uncertainty created by Brexit has created challenges, it may yet yield more opportunities" for the company in the future.

"Our strategy has been the same since incorporation in 2002 and has delivered excellent results: we seek acquisitions of under-performing businesses that we believe we can build into attractive market-leading companies, whilst achieving excellent risk-adjusted returns for shareholders", Lander said.

Shares in Volvere up 3.4% to 695.00 pence on Friday morning.

By Maryam Cockar; maryamcockar@alliancenews.com; @MaryamCockar

Copyright 2017 Alliance News Limited. All Rights Reserved.

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Securities Mentioned in Article
Security Name Price Change (%) Morningstar
Rating
Volvere PLC 1,011.00 GBX -3.71 -
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