Minerva Equity Limited - 31 March 2019 Final 19.08.2019 - Flipbook - Page 11
Minerva Equity Limited (formerly DMWSL 881 Limited)
Financial review
Introduction
The period to 31 March 2019 has been a successful one for the Group, with existing businesses
continuing to trade well. At the end of March 2019, the Group acquired Industrial Water Jetting
Systems Group Limited (“IWJS”) and Avonline Network Services Holdings Limited (“Avonline
Networks”). Subsequent to the year end the Group acquired two further strategic acquisitions. The
Tomato Plant Company Limited (“TPC”) and Antagrade Electrical Limited (“Antagrade”).
The Group trading results for the period, set out below, are encouraging and operating cash
generation has been good.
The future for the Group is exciting. Opportunities for growth, both organically and through
acquisition, continue to be achieved and the Group is well placed to continue this trend with the
backing of our private equity sponsor and through the utilisation of banking facilities.
Financing
The Group is financed by equity and bank debt. Drawn bank debt at 31 March 2019 amounted to
£355 million. In addition, the Group had undrawn revolving facilities of c. £40 million, which together
with cash at the period-end of £56.3 million, provides liquidity and plenty of financial capacity to
support future growth
Trading performance
The Group acquired its trading subsidiary businesses on 30 July 2018. Consequently, the results
for the period represent trading for the eight months ended 31 March 2019.
The trading performance for the period is summarised in the table below.
Consolidated profit and loss account for the period from 27
March 2018 to 31 March 2019
Period
ended 31
March 2019
£ million
Turnover
Cost of sales & other operating expenses
805.3
(759.2)
EBITDA
46.1
Depreciation & amortisation of software
(5.7)
Operating profit (before exceptional items, goodwill and
other intangible amortisation)
40.4
Exceptional items
(1.5)
Amortisation of other intangible assets and goodwill arising on
consolidation
(26.3)
Operating profit
12.6
EBITDA margin
5.7%
Turnover for the period is £805.3 million. Proforma financial information for the full year to 31 March
2019 is provided below to enable clearer analysis. The segmental reporting note (note 6) also shows
the sectors in which turnover was generated.
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