Savile Group plc
Savile Group plc
PRELIMINARY RESULTS FOR THE YEAR ENDED 30 JUNE 2009
Revenue up 49% to 10.38m (2008: 6.95m)
Profit before tax up 157% at 1.85m (2008: 0.72m)
Jonathan Cohen, Executive Chairman of Savile, commented: In this, my third annual review as Chairman, I am very pleased to report substantial growth of revenue, net margin, earnings per share and net cash and a much strengthened balance sheet.
Whilst the Groups outplacement and career transition businesses (Fairplace) have undoubtedly benefited from the downturn in the economy, our coaching and talent management units (Cedar and IDDAS) have also made progress in the year. Outplacement activity has made a significant contribution to both turnover and profits in the financial year. However, we believe that a more balanced revenue mix will emerge this year, and that this will be a growing trend.
Although the prospects for an economic recovery over the next twelve months are far from certain, it is clear that organisations in both the public and private sectors increasingly recognise that investing in the talent of their people is not an item of expenditure that can be turned on or off according to the economic climate.
I am delighted that we are recommending a dividend of 2.25 pence per share payable on 10 November 2009 to shareholders on the register on 23 October 2009. If approved by shareholders, this would be the first dividend payment to be made by the Company for five years. As an alternative to the recommended cash dividend of 2.25 pence per share, a warrant is to be offered to shareholders on the register on 23 October 2009 to subscribe for 1 new ordinary share at 86 pence per share. Certain Directors have expressed their present intention to elect to take up the Warrant Alternative in respect of an aggregate of 3,514,060 Ordinary Shares, representing approximately 24% of the Company's issued share capital.
While we expect to achieve significant organic growth by building upon the strength of our existing brands, we continue to monitor closely opportunities to broaden our market offering through carefully targeted acquisitions.
With a strong team in place at all three of our brands, a very robust balance sheet, positive cash flow and a clear strategy, I am very confident in the Groups future.