REG-M&C Saatchi PLC Interim Results 2009 - Part 3
Released : 24/09/2009 06:01
. Part 3 : For preceding part double-click [nRn2X5663Z] ended ended ended 30 June 2009 30 June 2008 31 December 2008 £000 £000 £000 Bank interest receivable 124 725 1,247 Other interest receivable 11 19 163 Total interest receivable 135 744 1,410 Fair value adjustments to minority shareholder put option 429 234 1,940 liabilities Total 564 978 3,350 7. Finance expense Six months Six months Year ended ended ended 30 June 2009 30 June 2008 31 December 2008 £000 £000 £000 Finance costs Bank interest chargeable (197) (395) (925) Interest payable on finance leases - - (1) Other interest payable (1) (8) (47) Total interest payable (198) (403) (973) Notional interest on contingent consideration - (169) (169) Total (198) (572) (1,142) 8. Taxation Income tax expenses are recognised based on management's estimate of the average annual income tax expected for the full financial year. The estimated effective annual tax rate for the period to 30 June 2009 is 32.6% (30 June 2008: 32.7%). The headline effective annual tax rate (excluding associate) used for the period to 30 June 2009 is 34.5% (30 June 2008: 31.7%). The increase in headline tax rate is due to the carried forward tax losses of our new offices in 2009. The difference between the headline and statutory tax rates is caused by a difference in the profit before tax as neither the impact of fair value adjustments to minority shareholder put option liabilities or notional interest has any effect on the tax charge. 9. Dividends Six months Six months Year ended ended ended 30 June 2009 30 June 2008 31 December 2008 £000 £000 £000 2008 final dividend 0.00*p (2007 2.43p) - - 1,658 2008 interim dividend - (2007 0.87p) - - 529 - - 2,178 *The 2008 final dividend of £1,683k (2.75p per share) was paid in July 2009 and therefore is not included in the income statement covering the period to 30 June 2009. The directors propose an interim dividend of 0.87p per share (2008: 0.87p per share) payable on 19 November 2009 to shareholders who are on the register at 23 October 2009. This interim dividend, amounting to £535k (2008: £529k) has not been recognised as a liability in this half-yearly financial report. 10. Cash generated from operations Six months Six months Year ended ended ended 30 June 2009 30 June 2008 31 December 2008 £000 £000 £000 Revenue 49,801 51,769 104,383 Operating expenses (44,339) (44,514) (93,617) Operating Profit 5,462 7,255 10,766 Adjustments for: Depreciation of plant and equipment 1,013 724 1,631 Losses on sale of plant and equipment - 13 15 Loss / (profit) on sale of intangible assets - (4) 5 Impairment and amortisation on acquired intangible assets 65 466 2,127 Impairment of goodwill - - 846 Amortisation of capitalised software intangible assets 42 37 75 Non-cash share based incentive plans 134 125 133 Operating cash flow before movements in working capital 6,716 8,616 15,598 and provisions Decrease in trade and other receivables 9,922 12,216 17,615 Decrease in trade and other payables (15,950) (17,911) (18,163) Net cash inflow from operating activities 688 2,921 15,050 11. Cash consumed by acquisitions Six months Six months Year ended ended ended 30 June 2009 30 June 2008 31 December 2008 £000 £000 £000 Initial cash consideration - Clear Ideas Ltd - (2,405) (2,405) - Walker Media Holdings Ltd - (9,258) (9,258) - Talk PR Ltd (58) - - - M&C Saatchi Berlin Gmbh (104) - - - Play London Ltd - (43) (43) - FCINQ SAS - - (71) - M&C Saatchi Immediate Sales Ltd - - (3) - M&C Saatchi Sport & Entertainment Ltd (171) - - (333) (11,706) (11,780) Cash and cash equivalents acquired - - - (333) (11,706) (11,780) Purchase of associate (Zapping, Spain) - (2,376) (2,376) Total payments made in the period relating to acquisitions (333) (14,082) (14,156) This information is provided by RNS The company news service from the London Stock Exchange END