Flotation helps Anglian Group to profit of 23m pounds

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The Independent Online
A GOOD final quarter and the proceeds of last year's flotation helped Anglian Group, the double-glazing manufacturer, to a pounds 23.1m profit before tax in the year to 3 April.

That was substantially higher than the pounds 18.6m made in the previous year. But, adjusting for the pounds 88.4m float last July, profits in 1993 would have been pounds 24.2m, up from pounds 22.9m the year before. Earnings per share were 18.2p, compared with a notional 17.2p, while the dividend was 9.5p compared with a pro forma of 8.7p.

The results were well received in the City and Anglian's shares closed up 9p at 345p compared with a 210p flotation price. Anglian was a victim of investors' nervousness about new issues last year and only 6 per cent of its shares were taken up, with the remainder left with underwriters.

Bill Hancock, Anglian's chief executive, said that sales in the first three months of the year were significantly higher than the previous year, although the exact increase will not be revealed until the annual meeting. The rate of increase in April and May had been less pronounced, although sales were still going well.

Most of the increase is for replacement windows, although Mr Hancock said that demand from new builders was also improving.

The flotation meant that Anglian ended the year with cash of pounds 11.7m, despite spending pounds 8.5m on the purchase of New England Windows, which specialises in supplies to local authorities.

Anglian expects demand from local authorities to be strong, following the relaxation of restrictions on spending receipts from council house sales, and would be interested in further purchases in this area. Mr Hancock said it was also looking for a systems company, that makes the extruded profiles for windows.