Preliminary Statement

For the year ended 30 September 2002

Group Profit and Loss Account
				2002	2001
			Notes	£’000	£’000
	Turnover – continuing operations		1	30,740	27,664
	Cost of sales			-21,662	-19,234
	Gross profit			9,078	8,430
	Distribution costs			-1,446	-1,408
	Administration costs
		Exceptional items	2	-739	-
		Other administration costs		-4,694	-4,152
				-5,433	-4,152
	Operating profit			2,199	2,870
	Interest receivable			33	49
	Interest payable			-200	-87
	Profit on ordinary activities before taxation			2,032	2,832
	Tax on profit on ordinary activities		3	-554	-875
	Profit on ordinary activities after taxation			1,478	1,957
	Dividends		4	-864	-818
	Retained profit for the year			614	1,139
	Earnings per share
		Basic
		- after exceptional items	5	14.6	19.4
		- before exceptional items	5	19.7	19.4
		Diluted	5	14.6	19.3
Group Statement of Total Recognised Gains and Losses
				2002	2001
				£’000	£’000
	Profit for the financial year before dividends			1,478	1,957
	Exchange differences on foreign currency net investments			-235	-40
	Total recognised gains and losses			1,243	1,917
	The figures for the years ended 30 September 2002 and 2001 are an abridged version of the group's audited financial statements, these are not statutory accounts. The figures for the year ended 30 September 2001 have been delivered to the Registrar of Companies. These statements received an unqualified audit opinion and the auditors' report contained no statement under section 237(2) or 237(3) of the Companies Act 1985.
Group Cash Flow Statement
				2002	2001
				£’000	£’000
	Cash inflow from operating activities			968	3,821
	Return on investments and servicing of finance			-167	-38
	Taxation			-943	-821
	Capital expenditure and financial investment			-1,507	-4,583
	Equity dividends paid			-820	-782
	Cash before financing			2,469	-2,403
	Financing
		- issue of shares		195	36
		- (decrease)/increase in debt		-85	3,402
	(Decrease)/increase in unrestricted funds in the year			-2,359	1,035
Reconciliation of Net Cash Flow to Increase in Debt
	(Decrease)/increase in unrestricted funds in the year			-2,359	1,035
	Cash inflow from change in net debt			-1,545	-1,201
	Increase in debt resulting from cash flows			-3,904	-166
	Exchange difference			168	2
	Increase in net debt in the year			-3,736	-164
	Net debt at 1 October 2001			-423	-259
	Net debt at 30 September 2002			-4,159	-423
Group Balance Sheet   As at 30 September 2002
	2002   2001   £’000 £’000 £’000 £’000 Fixed Assets         Tangible assets   9,523   7,663 Current Assets         Stocks 10,080   8,480   Debtors 6,006   5,525   Cash at bank           - restricted 561   2,201     - unrestricted 156   778     717   2,979     16,803   16,984   Creditors: amounts falling due within one year         Loan -159   -128   Bank overdraft -1,776   -   Other creditors -4,325   -4,663     -6,260   -4,791   Net current assets   10,543   12,193 Total assets less current liabilities   20,066   19,856 Creditors: amounts falling due after more than one year         Loan   -2,941   -3,274 Deferred tax   -194   -225 Net assets   16,931   16,357 Capital and reserves         Share capital   1,029   1,010 Share premium account   2,139   1,963 Profit and loss account   13,763   13,384 Shareholders' funds - equity interests   16,931   16,357
Notes to the Preliminary Statement
				2002	2001
				£’000	£’000
1.	Turnover by destination:
	United Kingdom			7,597	7,119
	Rest of Europe			8,044	7,416
	The Americas			8,375	7,179
	Rest of the World			6,724	5,950
				30,740	27,664
2.	Exceptional items:
	The operating exceptional items referred to in the Group Profit and Loss Account are categorised as follows:
				2002
				£’000
	Reorganisation costs			148
	Impairment of fixed assets			591
				739
				2002	2001
				£’000	£’000
3.	Taxation:
	Current year taxation
	UK corporation tax charge			414	600
	Overseas tax			248	204
				662	804
	Transfer (from)/to deferred tax			-31	70
				631	874
	Prior years
	UK corporation tax			-5	1
	Overseas prior year tax			-72	-
	Tax on profit on ordinary activities			554	875
				2002	2001
				£’000	£’000
4.	Dividends:
	Interim declared of 2.7p (2001: 2.6p) per share			278	262
	Final proposed of 5.7p (2001: 5.5p) per share			586	556
	Total for the year			864	818
	Subject to approval at the Annual General Meeting on 24 February 2003, the final dividend for the year ended 30 September 2002 will be payable on 8 April 2003 to those shareholders on the Register at the close of business on 7 March 2003 (ex-dividend date 5 March 2003).
5.	(a) Basic earnings per share:
	Basic earnings per share for the year ended 30 September 2002 is based on the weighted average number of ordinary shares in issue and ranking for dividend during the year of 10,132,905 (2001: 10,090,249); and earnings of :
	-   £1,478,000 (2001: £1,957,000), being the profit on ordinary activities after taxation and exceptional items.
	-   £1,996,000 (2001: n/a), being the profit on ordinary activities, after taxation, excluding the net impact of and exceptional items of £739,000 and tax thereon of £221,000
	(b) Diluted earnings per share:
	Diluted earnings per share for the year ended 30 September 2002 is based on the weighted average number of ordinary shares in issue in the year, adjusted for the effect of all dilutive potential ordinary shares of 10,135,757 (2001: 10,166,263) and the same earnings as above.