180 likes | 193 Views
The Stanley Gibbons Group. Interim Results - 2013 Investors Presentation August 2013. Contents. Pages 1. Financial Highlights 3-4 Operating Highlights 5 Philatelic 6 Publishing 7 Other Collectibles 8
E N D
The Stanley Gibbons Group Interim Results - 2013 Investors Presentation August 2013 1
Contents Pages 1. Financial Highlights 3-4 • Operating Highlights 5 • Philatelic 6 • Publishing 7 • Other Collectibles 8 • Internet 9 • Outlook & Strategic Focus 10 • Management Team 11 Appendix I Income Statement 13 Appendix II Balance Sheet 14 Appendix III Cashflows 15-16 Appendix IV Contact Details 17 2
Financial Highlights • Sales up 17% and trading profits up 9%, benefiting from the strength of stockholding and sale of high value philatelic rarities to key high net worth clients in period • Online revenues up 16%, benefiting from new investment clients recruited directly from website and online third party commission income from bidStart acquisition • Revenue derived from outside of UK represented 61% of total revenue (2012: 47%) • Gross margin of 42.7% (2012: 44.5%) with prior period benefiting from provision adjustment • Adjusted earnings per share down 23% to 5.58p as a result of net investment in online developments in period of £0.6m (2012: £0.1m) and increased issued share capital following fundraising completed in November last year • Interim dividend increased by 9% to 3.00p, in line with increase in underlying earnings • Cash balances increased by £1m in the six months ended 30 June 2013 to £7.7m • Stock at 30 June 2013 stated at historic cost of £21.5m (30 June 2012: £24.5m) giving healthy asset base from which to trade in second half of year 4
Philatelic • Profits up 22% principally from the sale of high value rarities in period to high net worth clients • Marketing and sales focus in overseas markets • Hong Kong office contributed sales of £1.1m and profits of £0.2m in first half • New office in Singapore opened at the end of April already trading profitably by July • Secured another “seven-figure” highly prestigious and internationally recognised collection of early British Postal History • Auction business delivered improved performance with revenues up 13% 6
Publishing • Profits up 16% benefiting from growth in website sales and improvements to product range • Concentration on improving gross margins, reducing inventory levels and exercising tight controls over costs • SG numbering system and catalogue information represents one of the most valued aspects of our brand recognised and respected worldwide • Future growth expected from monetising of our catalogue information online 7
Other Collectibles • Profits down £0.1m (24%) as prior period included strong sales from products issued around the Queen’s Diamond Jubilee and the London Olympics 2012 • Market in rare coins represents key diversification opportunity and is dependent on developing the necessary specialist expertise • Contribution from the Benham Group remained consistent despite lower sales. Commemorative products around the birth of the “Royal Baby” will assist performance in the second half • Future growth potential of autographs business dependent on development of professional online auction service 8
Internet • Total online revenues up 16% to £1.2m, now 7% of Group revenue • Increased investment in development of online collectibles trading platform with costs of £0.7m expensed in first half • Technical development projects progressing in line with plan • Quality recruitments in period building development team in Raleigh, US and e-commerce and online marketing team in Jersey, Channel Islands • Intention to increase investment in online marketing in second half to grow revenues • IT support systems being replaced to create a fully integrated solution 9
Outlook & Strategic Focus • Primary focus for the second half is to deliver on the key aspect of the Group’s online strategy • Delivery of short term growth from core trading operations through utilising strength of current stockholding of rare collectibles • Providing a professional service to investors seeking diversification with rare collectibles representing an attractive option as a tangible asset and a track record of delivering long term stable growth • Continued focus on the international development of our brand through representative overseas offices and appropriate business partners 10
Management Team • Board changes: • Simon Perree appointed as independent non-executive director at the AGM in May 2013, bringing relevant experience to support online strategy • Board is now composed of a majority of non-executive directors in line with best practice • Key managerial appointments in period: • Venkat Mavram, with 11 years experience in senior role at eBay, appointed as Vice President of Engineering in Raleigh, US • Tony Ganzon, with 12 years experience in senior role at Cisco, appointed as Internal IT Operations Manager in Raleigh, US • John Gregory, an experienced financial professional, appointed as Group Financial Controller in Jersey, CI 11
Appendices Pages Appendix I Income Statement 13 Appendix II Balance Sheet 14 Appendix III Cashflows 15-16 Appendix IV Contact Details 17 12
The Stanley Gibbons Group plc, Registered Office Martin Bralsford, Chairman Mike Hall, Chief Executive Donal Duff, Chief Operating Officer & Finance Director 2nd Floor, Minden House, Minden Place St. Helier, Jersey, JE2 4WQ Tel: 01534 766711 Email: mhall@stanleygibbons.com Email: dduff@stanleygibbons.com Stanley Gibbons Limited Richard Purkis, Company Secretary 399 StrandLondon, WC2R 0LXTel: 020 78368444 Email: rpurkis@stanleygibbons.com Appendix IV - Contact details 17
Locations 18