The year ended 28 February 2004 was one of transition,
change and adjustment as the group concentrated on
improving its competitive position in its core business
while cutting out some lower profitability activities. New
channels to market, notably the internet, telemarketing
and a new joint-venture television shopping channel,
will, we believe, result in new orders while improvements
in the fashionability of our product ranges and
presentation have already made our catalogues
much more appealing.
These, and many other measures put in place by an
active management team which has reviewed every
aspect of our business over the year, will enable us to
respond successfully to the ever increasing competitive
pressure and the changes which are occurring in the
way customers shop today.
Our overall aim is to be the leading direct marketing
company for destination shopping, developing specific
product niches for the 30+ age group. In the past year
we have made good progress towards achieving this
and we are continuing to implement the strategy this
year with energy and commitment.
Group turnover for the year ended 28 February 2004
was up 2.9% at £470.5m, although profit before tax,
operating exceptional items and amortisation of
goodwill was down 10.5% at £49.1m, as highlighted in
the group profit and loss account. The financial strength
of the business, with net assets of £246.6m and interest
cover of 9.0 times pre-operating exceptional items and
amortisation of goodwill, enables the total dividend to
be maintained at 5.84p per share.