13 September 2006 

 

Inspicio plc ("Inspicio" or the "Group")

Interim results for the six months to June 2006

Inspicio plc ("Inspicio" or the "Company"), the UK and international inspection and testing business, today reports results for the six months ended 30 June 2006.

Operational Highlights:

• Strong trading in Inspectorate (Inspicio’s largest operating subsidiary) and turnaround on track
• Successfully delivering strategy to build a leading international inspection and testing business
• Acquisition of Environmental Services Group Ltd (ESGL) for £16m
• Acquisition of remaining 25.1% of Mertcontrol Rt in Hungary and 51% stake in Acacus Inspection International Limited in Libya
• Further strengthening of the board and management team, including the appointment of Richard McBride as Finance Director, and the promotions of Jeff Luesley to Chairman of Inspectorate and ESGL, and Neil Hopkins to Managing Director of Inspectorate. Julie Dedman joined the Group as Managing Director of the Eclipse Scientific Group in August.

Financial Highlights:

• Group turnover at £67.8m (2005: £nil)
• Operating profit before amortisation of goodwill and exceptional items of £2.6m (2005: loss £0.1m) before charging share option costs of £0.2m (2005: £nil)
• Profit before interest and tax of £1.4m (2005: loss £0.1m)
• Operating margin in Inspectorate at 3% and progressing on target
• Full year expectations remain unchanged

Commenting on the results, Inspicio’s Chief Executive Officer, Mark Silver, said:

"We have seen strong trading at Inspectorate and are encouraged with the performance of the ESGL business. The turnaround of Inspectorate is on track and profit margins are progressing as expected. We remain on target to achieve improved operating margin for the full year.

We are also delivering on our strategy to consolidate the fragmented inspection and testing industry. We made further significant progress in this regard after the end of the period with the acquisition of the Eclipse Scientific Group. Our acquisitions can all leverage Inspectorate’s international network to create a company of global scale.

The first half financial performance provides a good platform to meet our 2006 financial expectations. Our principal focus now is on the businesses we currently have within the Inspicio Group and we continue to be confident of delivering the financial targets we set during the acquisition of Inspectorate."

For the full report click here.

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Inspicio Ltd

10 Buckingham Street

London

WC2N 6DF

Tel: +44 (0) 20 7004 2780
Email: askus@inspicio.com