Williams press release
Williams’ interim 2011 results demonstrate financial strength; core profit up, earnings per share up 49 percent
7 September, 2011. Grove, UK.
Williams Grand Prix Holdings PLC (“Williams” or the “Group,” Ticker: WGF1) today announced its interim results for the six months to 30 June 2011. Williams is the holding company of the Williams group of companies, which includes Williams Grand Prix Engineering Limited and Williams Hybrid Power Limited.
• Turnover up 5% to £47.3 million (1H10: £45m)
• Core EBITDA up 21% to £4.7 million (1H10: £3.9m)
• Core profit before tax up to £2.9 million (1H10: £1.5m) due to increased revenue and reduced financing costs
• Reported profit before tax up 37% to £1.7m (1H10: £1.3m), after investment of £1.1 million in Williams Hybrid Power and Williams Technology Centre Qatar
• Earnings per share up 49% to 19.31p (1H10: 12.98p)
• Net cash significantly increased to £11.6 million (1H10: net debt of £0.5m)
• Interest expense down 69% to £83k, due to late-2010 debt reduction, supported by strong cash flows
• No tax charge for the period. Estimated carry-forward losses for taxation purposes of approximately £90 million
• Partnership announced with Jaguar Land Rover to jointly develop the C-X75 supercar
• Historic Renault partnership renewed through an alliance to supply its championship-winning F1 engines for the 2012 and 2013 seasons
• WHP’s development of commercial flywheel production continues apace, following its success in the Porsche 911 GT3 R Hybrid
• Additional non-executive directors appointed to the Board
Full year results are expected to show revenue growth of around 12% to 20% over 2010 as a result of new business development and activity in Williams Hybrid Power. Overall profit before tax is expected to be in line with 2010 despite investment in Williams Hybrid Power and Williams Technology Centre, Qatar.
Founder and Team Principal Sir Frank Williams said:
“The first half of 2011 shows momentum in our diversified growth, building on the foundations we laid in 2010. We have upgraded and extended existing partners Randstad and Oris, and added Interbrand as a new partner. Our new partnership with Jaguar Land Rover was followed by an exciting alliance announced with Renault, which will further strengthen our medium term performance both on and off the track.”
Chairman Adam Parr said:
“We are pleased to report interim results that demonstrate further progress of our Group strategy. Our core business has performed in line with expectations, with greater costs incurred in the first half. We have made several senior new appointments in engineering and aerodynamics, bolstering both our team devoted to improving track-side performance, and supporting our Jaguar Land Rover partnership. The June 2011 results benefit from full period ownership of Williams Hybrid Power, which has reported its first significant revenues, where we are ramping up commercial flywheel production following success with motorsport OEMs. We have also accelerated the development of Williams Technology Centre Qatar, where efforts to secure our first customer are progressing.”
We are pleased to report interim results that demonstrate further progress of our Group strategy
He added: “We would also like to welcome Mike O'Driscoll and Edward Charlton to the Board, joining Toto Wolff as non-executive directors. Their varied experience and expertise enable each to bring valuable perspectives to the Board’s stewardship of our strategy, performance and resources. They will serve our minority shareholders well. It is our intention to appoint a fourth non-executive director before the year end.”
The following additional non-executive directors have been appointed to the Board, with effect from 7th September 2011, for a term of three years; subject to each director's re-election at next year's AGM. It is the intention of the board to appoint a fourth non-executive director before the year end:
Mike O'Driscoll is Chairman of Jaguar Heritage, and serves on the Global Advisory Board of JMI, a Motorsport marketing company. Mr O'Driscoll retired as Managing Director, Jaguar Cars, in March of this year, a position he had held since 2007. During his tenure, Jaguar introduced an all-new product line-up, including the C-X75 concept. Mr O'Driscoll started his career in the UK with Jaguar Rover Triumph as a business student. He held various positions in Finance, Product Development and Marketing, prior to his move to North America as Marketing & Product Planning manager for Jaguar Cars in 1987. In 1992 he was appointed U.S. Sales Manager, a position he held until 1995. During the next four years Mr O'Driscoll held a number of senior management positions at Ford Motor Company in the U.S., prior to his appointment as President Jaguar Cars North America. He was President of Aston Martin, Jaguar, Land Rover's North American subsidiary from 2001 until 2007. He was born in Coventry, England and has an MBA from the University of Warwick. He lives in the Washington D.C region and is married with three children.
Edward Charlton is a Senior Advisor at Citibank International, a position he has held since 2010. Prior to joining Citigroup Mr Charlton was a director at HSBC Private Bank for five years. Mr Charlton qualified as a lawyer in the City of London before choosing a career in banking and has been an International Banker for over 30 years. He started his career at Hambros Bank and subsequently held Directorships at Banque Paribas, Henry Ansbacher, and HSBC - he was also CEO of Banque Internationale a Luxembourg in London for 14 years. During his career he has held a wide range of outside Directorships, Trusteeships and Consultancies in the media, leisure, sports, property, IT, health and hedge fund sectors. Mr Charlton currently is a Non-Executive Director of Sportfolio Europe Ltd., Strabens Hall Ltd and Ocean Sport Management Ltd and the Master of a City Livery Company. A keen all round sportsman, he won the Fastnet Race in 1997. He is married with three children and divides his time between London and a small farm in Gloucestershire.