According to broker Cenkos, Science in Sport (SIS) is "ready to take on the world". That’s probably too strong a tag line for the Aim-traded sports nutrition company, but there's no denying these are good full-year results.
Revenues smashed through the £10m barrier for the first time, and were largely aided by strong growth across online channels. The group's own e-commerce platform delivered 100 per cent growth and, added to sales from third-party online retailers, contributed half of group revenue. High-street sales and those from independent cycle and running shops - the group's original backers - suffered, but this was offset by a better-than-expected 25 per cent increase in supermarket sales.
Overseas expansion is also progressing ahead of schedule, with revenues of £0.5m generated from the newly launched Australian subsidiary. Overall, more than a fifth of group revenue came from outside of the UK, thanks to new websites launched in Germany, Italy, the Netherlands and the US.
Despite this top-line growth, SIS still hasn't turned a profit and isn't expected to for at least the next two years. Underlying operating losses widened to £0.8m last year (FY2015: loss £0.25m) as a result of investment in new product lines and higher marketing costs.
SCIENCE IN SPORT (SIS) | ||||
|---|---|---|---|---|
| ORD PRICE: | 84p | MARKET VALUE: | £36m | |
| TOUCH: | 82-86p | 12-MONTH HIGH: | 97p | LOW: 47p |
| DIVIDEND YIELD: | nil | PE RATIO: | na | |
| NET ASSET VALUE: | 24.9p | NET CASH: | £6.13m | |
| Year to 31 Dec | Turnover (£m) | Pre-tax profit (£m) | Earnings per share (p) | Dividend per share (p) |
|---|---|---|---|---|
| 2013* | 6.5 | -1.1 | -5.6 | nil |
| 2014* | 8.0 | -1.8 | -5.5 | nil |
| 2015 | 9.4 | -1.7 | -5.5 | nil |
| 2016 | 12.2 | -2.8 | -6.2 | nil |
| % change | +30 | - | - | - |
Ex-div: na Payment: na *Pro-forma unaudited numbers | ||||
