Accessibility | Skip to main content | Skip to Main Navigation
Grant of Options ....more on this news item
AGM Results ....more on this news item
Director shareholdings ....more on this news item
News announcements placed on Plus Markets.
Wellington Market Company plc
("Wellington" or "the Company")
Financial Statements for the year ended 31st December 2009
Chairman's Statement
Although the financial results for the year ended 31 December 2009 were expectedly disappointing, much has happened within our portfolio of markets to provide optimism for the future. We have continued divesting ourselves of our smaller, less profitable markets and have started new market operations at Shrewsbury, and will commence Market Drayton in the Spring. However the recent highlight has unquestionably been our taking over as operator of the Old Spitalfields Market, after a period of lengthy negotiations, from 1 February 2010. This major long-established market – our first in London – trades on six days a week (not Saturdays) with its Sunday fashion market being the premier event. Our intention is to develop this market and with themed events, to create a significant, exciting venue for shoppers and tourists alike; Malcolm Ball, our Chief Executive, and Chris Barber, our Development Director, are to be congratulated on successfully bringing Old Spitalfields into our portfolio, and Malcolm is spearheading its forward development. I am delighted that the handover has gone so smoothly and early indications are that it is trading well up to expectations. In addition, on the Cornish Market World site we have completed the acquisitions of both Charlie’s Adventureland’ – an activity centre for teenagers – and the green field East Field site, thereby extending and potentially expanding our activities there.
Turning to the results themselves, it has been a difficult year. The combination of bad weather – causing the cancellation of some of our outdoor markets – low consumer confidence and a general reduction in the number of traders, compounded by a further impairment charge totalling £787,000, primarily at Cleethorpes, which remains a challenge, has led to a further loss for 2009 following that for 2008. Given the results and our level of borrowings no dividend is proposed for the year. In addition, revaluations of our freehold markets produced a further reduction in value, abated somewhat by an upward revaluation of our investment properties, giving a net balance sheet diminution of £883,000. These overall disappointing results, however, mask some very good work by our management team in controlling costs and ensuring solid profit contributions from our four core markets, Cornish Market World, Luton, Morley and Wellington. I am also pleased to report that we have renewed and extended our bank borrowings, albeit at increased cost.
It is your Board’s hope and expectation that 2009 will mark the nadir of our fortunes and that with the inclusion of Old Spitalfields we can look forward to a more successful 2010.
As I indicated in my Interim Statement our Annual General Meeting will be held this year on Saturday 8 May at 1:00pm at the Carlyon Bay Hotel in Cornwall to give shareholders the opportunity to visit our successful and important Cornish Market World and other associated activities on site including The Kids’ Academy. Full details will be circulated in the Annual Report.
I end by thanking all our Wellington team for their loyalty and hard work during the last very difficult year. Hopefully better times lie ahead.
Lord Lee of Trafford
Chairman
30 March 2010
Consolidated Profit and Loss Account
at 31 December 2009
2009
2008
£'000
Turnover - continuing operations
6,273
6,914
Cost of sales
(5,281)
(5,711)
-----------------
-------------------
Gross profit
992
1,203
Administrative expenses
- impairment of tangible and intangible fixed assets
(787)
(442)
- other administrative expenses
(853)
(812)
--------------------
(1,640)
(1,254)
Operating profit
Operating profit before impairment of tangible and intangible fixed assets
139
391
Impairment of tangible and intangible fixed assets
Operating loss
(648)
(51)
Interest payable
(218)
(374)
Loss on ordinary activities before taxation
(866)
(425)
Tax on loss on ordinary activities
(18)
68
---------------------
Loss on ordinary activities after taxation
(884)
(357)
Minority interests
3
(10)
Loss for the financial year
(881)
(367)
=============
Loss per ordinary share
(14.7)p
(5.9)p
==============
Diluted loss per ordinary share
Consolidated Balance Sheet
Fixed assets Intangible assets
- positive goodwill and other intangible assets
241
229
- negative goodwill
(285)
(343)
Tangible assets
11,130
13,002
11,086
12,888
Current assets
Stocks
50
44
Debtors
572
516
Cash at bank and in hand
7
5
629
565
Creditors: amounts falling due within one year
(2,002)
(2,536)
Net current liabilities
(1,373)
(1,971)
Total assets less current liabilities
9,713
10,917
Creditors: amounts falling due after more than one year
(5,211)
(4,720)
Provisions for liabilities
(220)
(189)
------------------
Net assets
4,282
6,008
============
Capital and reserves
Called up share capital
3,000
Share premium account
250
Revaluation reserve
1,549
2,383
Share based payment reserve
31
18
Profit and loss account
(703)
199
Equity shareholders' funds
4,127
5,850
Equity minority interest
155
158
Total shareholders’ funds
NOTES
1. The calculation of earnings per share for the 12 months to 31st December 2009 is based on the weighted average number of shares throughout the period of 5,999,449 (2008: 5,999,449)
After making enquiries, including discussions with the Company's bankers, the directors have formed a judgement that, at the time of approving the financial statements, there is a reasonable expectation that the Company and the Group have adequate resources to continue in operational existence for the foreseeable future.
For this reason, the directors continue to prepare the financial statements on a going concern basis. The financial statements do not include any adjustments that would result if the bank facilities were not renewed by the Company's bankers.
The directors of the issuer (Wellington Market Company plc) accept responsibility for this announcement.