Final Results 2016

Stadium Group plc (AIM: SDM), a leading supplier of wireless solutions, power supplies, interface displays and electronic assemblies, announces its results for the year ended 31 December 2016.

Headlines

Statutory reported profit before tax up 29% to £2.2m (2015: £1.7m)
Year end order book up 36% to £25.8m (2015: £19.0m) underpinned by Technology Products growth

Financial highlights

Revenues of £53.1m (2015: £53.9m)
Technology Products sales up 18.1% to £31.9m (2015: £27.0m), now 60.1% of Group sales
Electronic Assemblies sales down 21.1% to £21.2m (2015: £26.9m)
Normalised gross profit margin increased to 25.1% (2015: 23.2%)
Normalised profit before tax* up 5.2% to £4.2m (2015: £4.0m)
Net debt improved to £3.3m (2015: £4.7m), with cash in the bank of £4.6m
Adjusted earnings per share* of 9.1p (2015: 9.9p)
Statutory earnings per share of 4.9p (2015: 4.2p)
Final dividend proposed of 1.95p per share (2015: 1.8p)
Total dividends up 7.4% to 2.9p per share (2015: 2.7p)
* Adjusting for non-recurring items, amortisation of acquired intangibles and interest charged on the fair value of deferred consideration – see notes 2 and 12 for further information.

Other highlights

Order intake increased by 11% up to £59.8m
Regional design centre fully established in Stockholm to become hub of growing wireless business
Stontronics, acquired in August 2015, now fully integrated and performing well
Key appointments have significantly strengthened leadership team and design engineering capability
Further optimisation of global operational footprint
Consolidated four UK manufacturing sites into two at Hartlepool and Southampton
Established two new regional fulfilment centres in Reading for Europe & Hong Kong for APAC region
Post-period end highlights
Acquisition of the assets of Cable Power Ltd strengthens integrated technology offering
Investment in Stadium Group Inc. to further develop our North American sales activity