Ricardo plc interim results for the six months ended 31 December 2009

Ricardo plc interim results for the six months ended 31 December 2009
25 February 2010

Ricardo plc is a market leading engineering, management and automotive consultancy, employing over 1500 people worldwide. The company has centres in the UK, USA, Germany, Czech Republic, India, Japan and China and a global client list including the world’s major automotive OEMs, Tier 1 suppliers to OEMs, energy companies and governments.

Highlights

For continuing operations:

• Results in line with management expectations
• Diversification strategy limited the recession impact
• Profit before tax of £3.8m (six months ended 31 December 2008: £7.6m)
• Sound balance sheet with net debt of £6.7m (30 June 2009: £3.5m, 31 December 2008: £7.6m)
• Unchanged interim dividend of 3.2p per share
• Strong order book at £99m (30 June 2009: £97m, 31 December 2008: £105m)
• Positive momentum being carried into the second half

Commenting on the results, Dave Shemmans, Chief Executive said:

“The Group’s performance in the first six months of the financial year is in line with our expectations, reflecting the subdued economic environment. We have seen signs of stabilisation and some recovery in key markets, with increased levels of order intake towards the end of the period and an improved pipeline, particularly from China and the US.

Our strategy of market and geographic diversification allied to tight cost control has positioned the Group well to weather the current weakness in its traditional passenger car market, protecting its strong balance sheet.

Although markets have not returned to normality, with our strong order book, a good pipeline and an apparent market upturn in some areas of our business, we believe that the second half will benefit from the momentum that picked up towards the end of the first half and enable us to demonstrate further progress.”

Further enquiries:

Dave Shemmans, Chief Executive  
Bill Jessup, Interim Group Finance Director  
Tel:  01273 455611
Website: www.ricardo.com
 
Kreab Gavin Anderson 
Fergus Wylie   
Michael Turner   
Tel:  020 7074 1800


A copy of the full statement may be downloaded from the link at the top right of this page.