Invensys
2004/05 Second Quarter Results for the Three Months to September 30, 2004 |
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LONDON, Nov 11, 2004 Invensys: Key financial points -- Q2 trading in line with expectations -- Sales for retained(1) businesses at GBP 643 million (Q2 03/04: GBP 733 million) -- Operating profit(2) of retained businesses at GBP 47 million (Q2 03/04: GBP 74 million) -- Operating margin(2) of retained businesses 7.3% after corporate costs (Q2 03/04: 10.1%) -- Corporate costs reduced to GBP 12 million (Q2 03/04: GBP 16 million) -- Gross debt reduced by GBP 118 million and legacy liabilities, including pension deficits, reduced by GBP 12 million since June 30, 2004 -- H1 trading in line with expectations -- Sales for retained(1) businesses at GBP 1,254 million -- Operating profit(2) of retained businesses at GBP 63 million -- Operating cash inflow from operations at GBP 50 million before payment of legacy liabilities (H1 03/04: inflow GBP 15 million) Chief Executive of Invensys, Rick Haythornthwaite, said:
"We have delivered results in line with
expectations, both for the second quarter and overall for the half. "We now have a real sense of operational momentum
and most of our leading indicators are on track. Orders in key areas are
rising, led by a 49% increase in major accounts at Process Systems during the
second quarter. "All of this reflects the benefits of our greater
financial stability. And, with the arrival of Ulf Henriksson as Chief
Operating Officer, we are able to accelerate our programmes for margin
improvement and cash generation in each business, as well as investing in
core capabilities for future growth. "Our expectations for an improving year-on-year
trend in the second half remain unchanged." Financial Summary Q2 Q2 H1 H1 04/05 03/04 04/05 03/04 GBP m GBP m GBP m GBP m ---------------------------------------------------------------------- Sales - Retained businesses 643 733 1,254 1,386 - Continuing(3) operations 715 801 1,396 1,516 - Discontinued(4) operations 3 252 111 528 - Total Group 718 1,053 1,507 2,044 ---------------------------------------------------------------------- Operating profit/(loss)(2) - Retained businesses 47 74 63 91 - Continuing operations 49 73 66 81 - Discontinued operations - 15 (3) 22 - Total Group 49 88 63 103 ---------------------------------------------------------------------- Operating exceptional items (119) (101) (133) (132) ---------------------------------------------------------------------- Goodwill -- Goodwill amortisation (7) (13) (16) (31) -- Goodwill impairment - - (27) - ---------------------------------------------------------------------- Disposals(5) - Profit on sale/closure 7 79 175 72 - Goodwill on disposal/closure (15) (131) (462) (159) ---------------------------------------------------------------------- Net interest payable (33) (18) (69) (39) ---------------------------------------------------------------------- FRS 17 finance charges (4) (6) (8) (12) ---------------------------------------------------------------------- Loss for financial period (116) (50) (477) (149) ---------------------------------------------------------------------- (Loss)/earnings per share - Basic (2.1)p (1.5)p (8.4)p (4.3)p - Total Group before exceptional items, goodwill amortisation and goodwill impairment 0.4p 1.3p (0.2)p 0.8p ----------------------------------------------------------------------
Notes: 1 Retained businesses are Process Systems, Eurotherm,
APV, Rail Systems, Climate Controls and Appliance Controls 2 All references to operating profit and operating margin
in this announcement are stated before exceptional items, goodwill
amortisation and goodwill impairment 3 Continuing operations refers to retained businesses and
businesses for sale (principally Lambda and Baker) 4 Discontinued operations comprise Powerware, Hansen,
Marcam and APV Baker Goldsboro in H1 04/05 and additionally Metering Systems,
Baan & Teccor in FY 03/04 5 Closures and disposals of businesses and sale of fixed
assets A presentation and webcast of the Group's second quarter
results took place at 9.00am (UK) today at Haberdashers' Hall, 18 West
Smithfield, London EC1A 9HQ. The announcement, webcast presentation and an
interview with CEO Rick Haythornthwaite and COO Ulf Henriksson are available
on www.invensys.com and the latter can also be
viewed on www.cantos.com. Safe Harbor This announcement contains certain statements that are
forward-looking. These statements involve risk and uncertainty because they
relate to events and depend on circumstances that will occur in the future.
Forward-looking statements are not guarantees of future performance. The
Group's actual results of operations, financial condition and liquidity, and
the development of the industries in which the Group operates, may differ
materially from those made in or suggested by these statements and a number
of factors could cause the results and developments to differ materially from
those expressed or implied by these forward-looking statements. Q2 results overview Overall, Group sales for Q2 04/05 were GBP 718 million,
down 32% compared with Q2 last year. This was due mainly to disposals of
businesses and a negative currency translation impact of GBP 66 million
driven by weakness in both the US dollar and the euro. Group operating profit
was GBP 49 million, compared with GBP 88 million last year, reflecting the
impact of disposals, a weaker year-on-year performance at APV, costs
associated with programmes to improve performance and capabilities, and lower
volumes in Climate Controls. In addition, profits at Process Systems are
beginning to move toward a more even quarterly weighting than during the
first half of last year. Sales for the retained businesses were GBP 643 million
(Q2 03/04: GBP 733 million), down 6% at constant exchange rates (CER).
Operating profit was GBP 47 million (Q2 03/04: GBP 74 million), including a
negative currency translation adjustment of GBP 4 million, resulting in a Q2
operating margin of 7.3%. Operating cash flow for the Group (before the payment of
legacy liabilities) was an inflow of GBP 58 million, representing a 118% cash
conversion on operating profit. Free cash flow from operations (before the
payment of legacy liabilities) was an inflow of GBP 6 million. Total free cash flow for the Group including legacy items
was an outflow of GBP 48 million, following payments of GBP 54 million
related to legacy liabilities. These were paid out of cash raised in the
refinancing, causing net debt to increase to GBP 776 million at September 30,
2004. Gross debt fell by GBP 118 million during Q2. H1 results overview Group sales for the six months to September 30, 2004 were
GBP 1,507 million, compared with GBP 2,044 million in the same period last
year. Group operating profit was GBP 63 million, compared with GBP 103
million. Group operating margin for the six months was 4.2%. The fall in
sales and profits was largely due to the same effects as those affecting the
second quarter. Sales for the retained businesses were GBP 1,254 million,
compared with GBP 1,386 million last year, down 3% at CER. Operating profit
for the retained businesses was GBP 63 million, compared with GBP 91 million
last year. Operating margin for the retained businesses was 5.0%. Operating cash flow before legacy payments was GBP 50
million and total free cash flow including legacy items for the six months
was an outflow of GBP 127 million, largely due to payments of legacy
liabilities (H1 03/04: GBP 153 million outflow). No interim dividend will be paid (H1 03/04: nil). Operational review Process Systems Q2 Q2 H1 H1 04/05 03/04 04/05 03/04 ------------------------------------------------- ------ ------ ------ Sales (GBP m) 180 206 349 375 Operating profit (GBP m) 14 22 17 14 Operating margin (%) 7.8% 10.7% 4.9% 3.7% ------------------------------------------------- ------ ------ ------
Second quarter sales at Process Systems, excluding
IMServ, were down 3% at CER and up 7% compared with Q1 this year. The decline
in year-on-year sales is mainly due to the winding down of a large long-term
contract in North America. Excluding IMServ, H1 sales were up 4% compared to
last year, driven by higher sales in EMEA and strong sales to the
hydrocarbons and power sectors, particularly in Asia Pacific and the Middle
East. The sales mix improved significantly due to the re-invigoration of the
product business, while the new solutions business continued to build
strength over the first two quarters of this financial year. Sales at IMServ were down 26% during the quarter and 25%
during the half, at CER, reflecting the disposal of the Fieldtech operations
during the prior year. An operating profit for the second quarter of GBP 14
million and an operating margin of 7.8% resulted in an operating profit for
the first half of GBP 17 million and an operating margin of 4.9%, compared
with 3.7% in H1 last year, with notable improvement in Asia Pacific. Orders for the period (excluding IMServ) were up 4% for
the quarter and up 9% for the first half at CER. Buoyant conditions in Asia
Pacific, North America and Europe, together with increasing demand for
solutions, offset weaker markets in South America. Orders from our largest
key accounts rose by 30% at CER during the first half and by 49% during Q2.
The increased competitiveness of Process Systems was also demonstrated by a
strong performance in China, the Middle East and Russia. Major orders in the
second quarter included a contract to supply process control and safety
solutions to Ras Laffan LNG II Train 5 and a contract to automate the 1200 MW
Zhang Jiagang Shazhou power plant in China. Historically, the performance of Process Systems has
displayed a stronger bias toward the second half of the year and, in
particular, towards the final quarter. Although management is working toward
a process of more regular quarterly balance going forward, this pattern is
likely to continue to some extent during the current year. This is because
benefits associated with the 70-week performance improvement programme are
expected to become more pronounced - and costs associated with the programme
start to fall - in the fourth quarter. Eurotherm Q2 Q2 H1 H1 04/05 03/04 04/05 03/04 ------------------------------------------------- ------ ------ ------ Sales (GBP m) 32 31 60 60 Operating profit (GBP m) 4 4 7 8 Operating margin (%) 12.5% 12.9% 11.7% 13.3% ------------------------------------------------- ------ ------ ------
Eurotherm sales in Q2 of GBP 32 million were 10% higher
at CER compared with last year and 14% higher than in Q1, due to good
conversion of the strong order backlog built up during the first quarter. An
increase in North American demand, together with continued strong growth in
Asia Pacific, drove the overall rise in sales. Operating profit at GBP 4 million was up 6% at CER
despite a slight reduction in operating margin to 12.5%. This was due mainly
to continued strong growth in the lower-margin Asia Pacific region.
Initiatives are now underway to increase the level of sourcing from the Asia
Pacific region in order to mitigate the transactional currency impact on
gross margins from the high proportion of Yuan and US dollar sales. Orders for the second quarter increased by 7% at CER as
Eurotherm's main markets, including the US, continued to experience an
upturn. In addition, targeted initiatives into growth sectors, such as steel
and glass, are beginning to result in higher orders from key customers. Eurotherm's performance typically displays little
seasonal variation throughout the year. APV Q2 Q2 H1 H1 04/05 03/04 04/05 03/04 ------------------------------------------------- ------ ------ ------ Sales (GBP m) 92 104 174 193 Operating profit/(loss) (GBP m) 1 12 (6) 17 Operating margin (%) 1.1% 11.5% (3.4)% 8.8% ------------------------------------------------- ------ ------ ------
APV's Q2 sales at GBP 92 million were 6% lower at CER,
primarily reflecting the previous weaker project order flow in EMEA, although
this was partially offset by stronger sales in the Americas and a slight
increase in Asia Pacific. APV is already starting to deliver on its 50-week
performance improvement programme initiated in August, with Q2 operating
profit showing an early turnaround to a profit of GBP 1 million from the Q1
loss of GBP 7 million, the latter including a GBP 4 million adjustment
related to prior periods. Improvements have also been achieved by reducing
management layers, removing the overhead of a regional organisation and
tightly controlling discretionary costs. The mix of the business has been
changed by transferring a significant number of sales people to focus on
product and aftermarket sales, which is already driving volume and margin
increases. Orders for Q2 were up 18% at CER, as strong growth in
Mexico and Asia Pacific, particularly Australasia, was partially offset by a
weaker intake of project orders in EMEA and North America. Present trends in the business and the 50-week
performance improvement programme indicate that increased profitability
should continue through the second half, particularly in Q4. Rail Systems Q2 Q2 H1 H1 04/05 03/04 04/05 03/04 ------------------------------------------------- ------ ------ ------ Sales (GBP m) 103 115 207 232 Operating profit (GBP m) 13 18 26 32 Operating margin (%) 12.6% 15.7% 12.6% 13.8% ------------------------------------------------- ------ ------ ------
Rail Systems' Q2 sales at GBP 103 million, while level
with Q1, were 6% lower at CER compared to Q2 last year. This was mainly due
to the loss of a large North American logistics contract, delays in the
passage of the US Transportation Bill and lower UK sales resulting from
continued order delays at Network Rail. Sales in Spain grew strongly, up 54%
compared with Q2 last year. Operating profit of GBP 13 million, a decrease of GBP 4
million at CER compared to Q2 last year, nonetheless reflected a margin of
12.6%, in line with Q1. The benefits of margin improvements on certain
contracts and a better sales mix offset volume decreases and higher costs for
bonding, insurance and UK pensions. Q2 orders were 23% higher at CER compared with last year,
mainly due to a GBP 10 million contract in China for the Tianjin Metro Line
1. The longer-term prospects for this business remain
positive. Management actions to mitigate the effect of weaker demand in the
short-term have contributed to a robust first half performance and provide a
good basis for the second half. We also expect the Network Rail situation to
ease gradually over the coming months. Climate Controls Q2 Q2 H1 H1 04/05 03/04 04/05 03/04 ------------------------------------------------- ------ ------ ------ Sales (GBP m) 145 179 286 338 Operating profit (GBP m) 14 21 21 33 Operating margin (%) 9.7% 11.7% 7.3% 9.8% ------------------------------------------------- ------ ------ ------
Climate Controls' sales in Q2 of GBP 145 million were 12%
lower at CER compared to Q2 last year, primarily due to the continued exit
from low margin contracting in building management and the loss of specific
contracts - both in the US. Although some retail business has been regained
during that period, this will impact progressively through the second half.
These weaker sales in the Americas offset stronger sales in Europe. The
quarantine and subsequent recall of a large number of gas valves at the end
of the quarter also caused a hiatus in production and sales of the affected
product ranges. Although activity has now been resumed, sales in North
America will continue to be impacted as output is supplied to replace
recalled units. Q2 operating profit was GBP 14 million, a decrease of GBP
5 million at CER due to lower sales volumes and pricing pressure on reversing
valves in Japan. Operating margin fell to 9.7% in the second quarter. Orders for Q2 were 9% lower at CER, driven by the impact
of exited business, high channel inventories in North America and the weaker
commercial building sector in Europe. Market conditions for the product
businesses remain positive in Europe and Asia. During the quarter, the Ranco
business commenced shipments to North America of reversing valves
manufactured in its new Chinese factory and this restructuring is now nearly
complete. The business historically experiences a seasonal bias
towards the second and final quarters of the year. Appliance Controls Q2 Q2 H1 H1 04/05 03/04 04/05 03/04 ------------------------------------------------- ------ ------ ------ Sales (GBP m) 91 98 178 188 Operating profit (GBP m) 13 13 24 24 Operating margin (%) 14.3% 13.3% 13.5% 12.8% ------------------------------------------------- ------ ------ ------
Q2 sales at Appliance Controls of GBP 91 million were 1%
higher at CER compared to Q2 last year. As expected, solid growth in South
America and Europe offset slightly softer demand in North America. Operating profit at GBP 13 million remained stable and
the operating margin improved to 14.3% (Q2 03/04: 13.3%) as volume increases
more than offset increases in raw materials prices and increased insurance
costs. Overall, orders fell 5% at CER relative to the strong
second quarter last year. However, Appliance Controls was awarded sizeable
contracts for new platforms in laundry for a Turkish OEM and in cooking for a
large worldwide OEM, as well as gaining new business from customers in the
emerging economies, such as China and Korea. Conditions in Appliance Controls' core markets remain
mixed, with muted consumer confidence in North America contrasted by
continuing strong growth in Europe and South America. This pattern is
expected to continue into Q3. As a business that has a relatively short supply chain,
Appliance Controls is more likely to be affected by customer order patterns
than by quarterly patterns. Invensys Controls Since the quarter end, Climate Controls and Appliance
Controls have been brought together under the leadership of John Duerden.
Management believes that this will enable the businesses to use their scale
and complementary strengths in markets where they have a strong overlap in
products, technologies and channels. The newly combined business, known as
Invensys Controls, will be able to more effectively deploy sales and
operating resources in their markets, leverage their buying power and reduce
overheads by removing duplication between the businesses. Businesses for sale Q2 Q2 H1 H1 04/05 03/04 04/05 03/04 ------------------------------------------------- ------ ------ ------ Sales (GBP m) 72 68 142 130 Operating profit/(loss) (GBP m) 2 (1) 3 (10) Operating margin (%) 2.8% (1.5)% 2.1% (7.7)% ------------------------------------------------- ------ ------ ------
Trading operations principally relate to Lambda and
Baker. Combined Q2 sales were higher at CER and the businesses
achieved an operating profit of GBP 2 million for the quarter, compared with
a combined loss of GBP 1 million last year. Lambda sales were higher at CER compared to Q2 last year,
primarily due to the recovery in technology markets, particularly in Asia,
new programmable products introduced for high power, and the benefits of the
restructuring activity initiated last year. Baker's sales were higher at CER compared to Q2 last
year, primarily due to major projects announced in both UK and Spain. Corporate costs Corporate costs during the quarter were GBP 12 million,
down from GBP 16 million last year and 14% lower than in the first quarter
(Q1 04/05: GBP 14 million). This level of costs is planned to reduce further
toward the end of the current year. Financial summary Q2 sales for the retained businesses were GBP 643 million
(Q2 03/04: GBP 733 million), down 6% at CER. Group sales at GBP 718 million
(Q2 03/04: GBP 1,053 million) were down 32%. Operating profit for the retained businesses decreased
from GBP 74 million to GBP 47 million. Group operating profit fell 44% to GBP
49 million (Q2 03/04: GBP 88 million). H1 sales for the retained businesses at GBP 1,254 million
(H1 03/04: GBP 1,386 million) were 10% lower than last year and Group sales
of GBP 1,507 million (H1 03/04: GBP 2,044 million) were 26% lower. The Group has recorded a loss this quarter of GBP 116
million compared with a loss of GBP 50 million in Q2 03/04, reflecting a
significant fixed asset impairment and the product recall at Climate
Controls. The loss for the half year of GBP 477 million compares to a loss of
GBP 149 million in the prior year and was mainly caused by the write-off of
goodwill on disposal of operations and goodwill impairment. Basic loss per share for the quarter was 2.1p (Q2 03/04:
loss 1.5p). Earnings per share before exceptional items, goodwill amortisation
and goodwill impairment were 0.4p (Q2 03/04: 1.3p). Goodwill amortisation and goodwill impairment Goodwill amortisation fell to GBP 7 million for the
quarter and to GBP 16 million for the half (Q2 03/04: GBP 13 million; H1
03/04: GBP 31 million) mainly reflecting the disposal of Powerware. The goodwill impairment charge of GBP 27 million (H1
03/04: nil) relates to the Meterpoint business within IMServ. Operating exceptional items Operating exceptional items in this quarter comprise four
elements: costs for the Group's restructuring programmes, transition costs,
fixed asset impairments and product recall costs. Restructuring costs for the
quarter were GBP 18 million (Q2 03/04: GBP 15 million) and include GBP 10
million of costs connected with Climate Controls moving production facilities
for its Ranco business from North America to China and GBP 2 million relating
to Lambda Power's closure of Low Power in North America. A level of 2% of
sales is expected for the full year. Transition costs of GBP 8 million (Q2
03/04: GBP 68 million) include GBP 5 million of personnel costs and GBP 3
million of costs for professional fees. Fixed asset impairments of GBP 63
million (Q2 03/04: GBP 18 million) relate predominantly to the Climate
Controls business. The GBP 30 million of product recall costs (Q2 03/04: nil)
that have been provided related to two ranges of valve products within the
Climate Controls business, as announced in our October trading update. Operating exceptional items in the half year totalled GBP
133 million (Q2 03/04: GBP 132 million). Corporate exceptional items The key component of corporate exceptional items
continued to be the loss on disposal of operations of GBP 7 million (Q2
03/04: GBP 51 million). This arose principally from the business asset
disposal of APV Baker Goldsboro in the US. For the half year, the corporate exceptional charge was
GBP 287 million (H1 03/04: GBP 87 million) which included gross consideration
of GBP 401 million from the sales of Powerware, Hansen and Marcam during Q1.
The charge also includes a write-off of associated goodwill of GBP 462
million, of which GBP 333 million had previously been eliminated against
reserves on acquisition. Net interest expense and taxation The Q2 interest charge was GBP 33 million, giving an
interest charge for the half year of GBP 69 million (H1 03/04: GBP 39
million). The Q1 interest charge included a GBP 5 million write-off of fees
on the early termination of the Term Loan A facility that was not repeated in
Q2. Overall the rise in interest charge compared to the prior year reflects
the increased cost of borrowing under facilities agreed as part of the
refinancing agreement. The Q2 tax charge was GBP 8 million compared to a prior
year tax credit of GBP 52 million, which included a credit in respect of
prior years' tax of GBP 64 million. The tax charge for the quarter is based
on an allocation of the estimated tax charge for the full year. No tax relief
has been attributed to restructuring and corporate exceptionals. The half year tax charge was GBP 13 million (H1 03/04:
GBP 49 million tax credit). Cash flow Free cash inflow in the second quarter was GBP 6 million
before payment of legacy liabilities, with an encouraging working capital
inflow of GBP 23 million. Net capital expenditure reduced to GBP 12 million
(Q2 03/04: GBP 45 million), mostly as a result of the disposal of Hansen,
where there had been a major investment in new facilities. During the quarter, payments made in respect of legacy
liabilities from funds raised in the refinancing totalled GBP 54 million.
These included GBP 28 million in respect of environmental and litigation
settlements and GBP 25 million of pension contributions. Indebtedness and financing Net debt increased at September 30 to GBP 776 million
(June 30, 2004: GBP 713 million). While cash and short-term deposits reduced
by GBP 181 million, gross debt fell by GBP 118 million, mostly due to the
successful completion of a tender for the repurchase of 71/8% Notes maturing
January 2007. This resulted in the cancellation of Notes amounting to GBP 84
million. Pensions and other legacy liabilities The Group's pension service cost charge to operating
profit for Q2 was GBP 12 million (Q2 03/04: GBP 11 million) and other finance
charges were GBP 4 million (Q2 03/04: GBP 6 million). Settlement and
curtailment credits were GBP 6 million (Q2 03/04: nil) relating to the
disposals of Powerware (GBP 5 million) and APV Baker Goldsboro (GBP 1
million). Actuarial assessments of pension assets and liabilities have been
updated as at September 30, 2004, resulting in an actuarial loss of GBP 47
million for the half year (H1 03/04: gain of GBP 89 million). This is mainly
due to the return on assets in the main UK and US schemes being less than the
interest cost on liabilities in the first half, which in turn was primarily
due to the performance of non-UK equities in the period. Contributions of GBP
37 million were made in the quarter (Q2 03/04: GBP 36 million), of which GBP
22 million were paid to the UK main scheme. Overall the pension liability has
increased by GBP 18 million to GBP 600 million since Q1 but reduced by GBP 6
million since March 31, 2004. Other legacy liabilities reduced by GBP 30 million in the
quarter resulting, in an overall reduction of GBP 54 million during the half.
This included GBP 17 million of planned spend against transition costs and a
number of smaller settlements. Additionally, certain liabilities were divested
with the disposal of businesses in the first quarter. Outlook Results for the Group - during both the first and second
quarters - have remained in line with expectations and with plans drawn up at
the time of the refinancing in early 2004. Against a backdrop of increased
financial stability, and modest economic recovery, the management teams of
the businesses are gaining a sense of real operational momentum. Given the
initiatives underway to improve operational performance and strengthen core
processes and capabilities, it is expected that profits and cash in the
second half will remain weighted towards the fourth quarter. At this point and with continuing recovery in certain
segments and geographies, the Group's overall expectations for an improving year-on-year
trend in the second half remain unchanged. Notes to Editors: About Invensys
Invensys is a global automation, controls and process
solutions Group. Our products, services, expertise and ongoing support enable
intelligent systems to monitor and control processes in many different
environments. The businesses within Invensys help customers in a variety of
industries - including hydrocarbons, chemicals, oil and gas, power and
utilities, rail, construction, environmental control, white goods,
telecommunications, paper, food and beverage, dairy, pharmaceuticals and
personal care - to perform with greater efficiency, safety and
cost-effectiveness. Process Systems provides products, services and solutions
for the automation and optimisation of plant operation in the process
industries, such as hydrocarbons (oil and gas), chemicals, power and
utilities and metals and mining. Process Systems technologies, including
industry-leading brands such as Foxboro, Triconex, SimSci-Esscor and
Wonderware, help to make plants function more efficiently and safely. Process Systems occupies a top-three position in the DCS
(Distributed Control System), safety, simulation and HMI (Human-Machine
Interface - the software that represents plant information in a comprehensible
form) markets; its products are installed in over 50,000 plants across the
world. Eurotherm is a leading global supplier of control, data
and measurement solutions and services to industrial and process customers.
Eurotherm helps many industries, including plastics, pharmaceuticals, food
and beverage and glassmaking, to measure and control variables such as
pressure and temperature and record vital data. Eurotherm's product range
includes distributed process automation systems and machine control
incorporating single and multi-loop control, operator displays, data
management and graphic recorders. APV's knowledge and expertise in the food, beverage,
personal care, pharmaceutical and chemical industries has made it a leading
supplier of process equipment, turnkey plant solutions and value-increasing
services. With nearly 1,000 engineers and 700 sales personnel across 48
countries, APV delivers return on investment across the world and throughout
plant life cycles. Rail Systems is a multinational leader in the design,
manufacture, supply, installation, commissioning and maintenance of
safety-related rail signalling and control systems, as well as a complete
range of rail signalling products. Working directly for rail authorities or
with partners or contractors who provide other elements of a complete
solution, Rail Systems businesses have established market-leading positions
in the US, UK and Spain. Climate Controls is a leading provider of the components,
systems and services used across the world to make commercial and residential
buildings safer, more comfortable and more efficient. With
industry-recognised names such as Ranco, Eberle, Robertshaw and Firex,
Climate Controls has significant presence in the heating, ventilation, air
conditioning, commercial refrigeration and residential building alarms
markets. Appliance Controls provides electronic and
electro-mechanical systems and components to appliance and related
industries. These include motor controls, thermostats and design software for
refrigerators and freezers, washing machines and dishwashers, water coolers
and a wide variety of other appliances used in homes and businesses. With the
broadest product offering worldwide, and a history of more than 100 years of
innovation, Appliance Controls helps customers to meet consumer demand for
reliable, stylish and energy-efficient appliances. Invensys also currently owns two businesses, Lambda and
Baker, which are identified for sale. Lambda is a leading producer of standard and modified
power supplies for the industrial automation, test and measurement and
telecommunications markets. Baker provides equipment, services and complete process
solutions to the bakery, biscuit, confectionery and snack industries. The Invensys Group is listed on the London Stock
Exchange. With over 35,000 employees operating in 60 countries, Invensys
helps customers to improve their performance and profitability, building
value for end users and shareholders alike. Invensys plc Second quarter announcement 2004/05 Consolidated profit and loss account (unaudited) Half year ended Half year ended Quarter Quarter ended ended 30 September 30 September 30 30 September September 2004 2003 2004 2003 GBP m GBP m Notes GBP m GBP m Turnover Continuing 1,396 1,516 operations 715 801 Discontinued 111 528 operations 3 252 1,507 2,044 1 718 1,053 Operating profit before exceptional items, goodwill amortisation and goodwill impairment Continuing 66 81 operations 49 73 Discontinued (3) 22 operations - 15 63 103 1 49 88 Operating exceptional (133) (132) items 3 (119) (101) Operating loss before goodwill amortisation and goodwill (70) (29) impairment (70) (13) Goodwill (16) (31) amortisation (7) (13) Goodwill (27) - impairment - - Total operating (113) (60) loss 2 (77) (26) Continuing (108) (56) operations 2 (77) (33) Discontinued (5) (4) operations 2 - 7 Total operating (113) (60) loss 2 (77) (26) Corporate exceptional items Costs of - (31) closure - - Loss on sale of (1) (2) fixed assets (1) (1) Loss on disposal of (286) (54) operations 4 (7) (51) Loss on ordinary activities before interest and (400) (147) taxation (85) (78) Net interest payable and similar (69) (39) charges (33) (18) Other finance charges - FRS (8) (12) 17 (4) (6) Loss on ordinary activities before (477) (198) taxation (122) (102) Taxation on loss on ordinary (13) 49 activities 5 (8) 52 Loss on ordinary activities (490) (149) after taxation (130) (50) Minority interests - 13 - equity 14 - Retained loss (477) (149) for the period (116) (50) ---------------------------- ------------------ Loss per share (basic and (8.4) p (4.3) p diluted) 6 (2.1)p (1.5)p (Loss)/earnings per share (total Group before exceptional items, goodwill amortisation and goodwill (0.2) p 0.8 p impairment) 6 0.4 p 1.3 p Average exchange rates for the period 1.81 1.62 US$ to GBP 1 1.80 1.61 1.49 1.43 Euro to GBP 1 1.48 1.44 197.97 190.10 Yen to GBP 1 199.16 186.76
The results for the period have been translated into
sterling at the appropriate average exchange rates. Invensys plc Second quarter announcement 2004/05 Consolidated balance sheet (unaudited) 31 March 30 30 September September 2004 2004 2003 GBP m Notes GBP m GBP m Fixed assets 478 Intangible assets - goodwill 309 578 660 Tangible assets 459 816 Investments in associated 1 undertakings 1 4 16 Other investments 16 20 1,155 785 1,418 Current assets 376 Stocks 309 475 Debtors: amounts falling due 1,043 within one year 945 945 Debtors: amounts falling due 38 after more than one year 39 99 20 Investments 18 23 566 Cash and short-term deposits 7 794 396 2,043 2,105 1,938 Creditors: amounts falling due within one year (58) Short-term borrowings (34) (572) (1,065) Other creditors (957) (1,174) (1,123) (991) (1,746) 920 Net current assets 1,114 192 Total assets less current 2,075 liabilities 1,899 1,610 Creditors: amounts falling due after more than one year (1,494) Long-term borrowings (1,536) (1,433) (23) Other creditors (39) (26) (1,517) (1,575) (1,459) Provisions for liabilities and (256) charges (251) (320) Net assets/(liabilities) 302 excluding pension liability 73 (169) (606) Pension liability (600) (770) (304) 1 (527) (939) ----------- --------------------- Capital and reserves 897 Called up share capital 897 875 440 Share premium account 440 15 83 Capital redemption reserve 83 83 2,509 Capital reserve 2,826 2,126 (4,398) Profit and loss account (4,921) (4,225) (469) Shareholders' deficit - equity (675) (1,126) Minority interests - including 165 non-equity 148 187 (304) (527) (939) ----------- --------------------- Period end exchange rates 1.84 US$ to GBP 1 1.81 1.66 1.50 Euro to GBP 1 1.46 1.43 191.20 Yen to GBP 1 199.44 185.60
The balance sheet has been translated into sterling at
appropriate period end exchange rates. Invensys plc Second quarter announcement 2004/05 Consolidated cash flow statement (unaudited) Half year Half year Quarter Quarter ended ended ended ended 30 September 30 30 30 September September September 2004 2003 2004 2003 GBP m GBP m Notes GBP m GBP m Net cash (outflow)/inflow from operating (36) (8) activities 7 14 163 Returns on investments and servicing of (56) (47) finance 7 (47) (24) (19) (50) Taxation 7 (6) (45) Capital expenditure and financial (28) (59) investment 7 (12) (45) Acquisitions and 371 74 disposals 7 (6) 99 Cash inflow/(outflow) before use of liquid resources 232 (90) and financing (57) 148 Management of liquid 31 (48) resources 7 134 (28) Financing (Decrease)/increase (5) 136 in debt 7 (108) (118) Increase/(decrease) 258 (2) in cash in period (31) 2 ----------------------- --------------------- Reconciliation of net cash flow to movement in net debt (unaudited) Half year Half year Quarter Quarter ended ended ended ended 30 September 30 30 30 September September September 2004 2003 2004 2003 GBP m GBP m Notes GBP m GBP m Increase/(decrease) 258 (2) in cash in period (31) 2 Cash outflow/(inflow) from decrease/(increase) 5 (136) in debt 108 118 Cash (inflow)/outflow from (decrease)/increase (31) 48 in liquid resources (134) 28 Change in net debt resulting from cash 232 (90) flows 7 (57) 148 Transfer of facility costs from 2 - prepayments 2 - Amortisation of facility fees (3) within debt (3) - (21) 37 Exchange movements 7 (5) (11) Movement in net debt 210 (53) in period (63) 137 Net debt at (986) (1,556) beginning of period 7 (713) (1,746) Net debt at end of (776) (1,609) period 7 (776) (1,609) ----------------------- --------------------- Consolidated statement of total recognised gains and losses (unaudited) Half year Half year Quarter Quarter ended ended ended ended 30 September 30 30 30 September September September 2004 2003 2004 2003 GBP m GBP m GBP m GBP m (477) (149) Loss for the period (116) (50) Currency translation differences on foreign currency net investments, (17) 14 net of tax 4 (13) Actuarial (loss)/gain recognised on (47) 89 pension schemes (47) 89 Total recognised (losses)/gains in (541) (46) the the period (159) 26 ------------ ---------- Prior year (984) adjustment - FRS 17 - Prior year (23) adjustment - FRS 5 - Total recognised (losses)/gains relating to the (1,053) period 26 ---------- ---------- Reconciliation of movements in consolidated shareholders' deficit (unaudited) Half year Half year Quarter Quarter ended ended ended ended 30 September 30 30 30 September September September 2004 2003 2004 2003 GBP m GBP m GBP m GBP m (477) (149) Loss for the period (116) (50) Currency translation differences on foreign currency net investments, (17) 14 net of tax 4 (13) Unvested, restricted 2 - shares (UITF 17) 1 - Actuarial (loss)/gain recognised on (47) 89 pension schemes (47) 89 Goodwill written back on disposals 333 30 and closures 15 2 Net (increase)/decrease in shareholders' deficit for the (206) (16) period (143) 28 Opening shareholders' deficit (previously (469) (103) reported) (532) (1,154) Prior year - (984) adjustment - FRS 17 - - Prior year - (23) adjustment - FRS 5 - - Opening shareholders' (469) (1,110) deficit (restated) (532) (1,154) Closing shareholders' (675) (1,126) deficit (675) (1,126) ----------------------- --------------------- Invensys plc Second quarter announcement 2004/05 Notes (unaudited) 1 Segmental analysis Operating Operating Turnover Turnover profit profit (a) (a) H1 2004/05 H1 2003/04 H1 2004/05 H1 2003/04 GBP m GBP m GBP m GBP m Business Process Systems 349 375 17 14 Eurotherm 60 60 7 8 APV 174 193 (6) 17 Rail Systems 207 232 26 32 Climate Controls 286 338 21 33 Appliance Controls 178 188 24 24 Businesses for sale 142 130 3 (10) Corporate costs - - (26) (37) Continuing operations 1,396 1,516 66 81 Discontinued operations 111 528 (3) 22 1,507 2,044 63 103 ---------- ---------- ----------- --------- Geographical analysis by origin United Kingdom 215 213 12 23 Rest of Europe 366 374 21 29 North America 522 650 40 56 South America 34 28 5 2 Asia Pacific 224 225 13 7 Africa and Middle East 35 26 1 1 Corporate costs - - (26) (37) Continuing operations 1,396 1,516 66 81 Discontinued operations 111 528 (3) 22 1,507 2,044 63 103 ---------- -------- ----------- --------- Geographical analysis of turnover by destination United Kingdom 196 198 Rest of Europe 366 374 North America 504 627 South America 40 32 Asia Pacific 231 243 Africa and Middle East 59 42 Continuing operations 1,396 1,516 Discontinued operations 111 528 1,507 2,044 ---------- -------- Operating Operating Turnover Turnover profit profit (a) (a) Q2 Q2 Q2 Q2 2004/05 2003/04 2004/05 2003/04 GBP m GBP m GBP m GBP m Business Process Systems 180 206 14 22 Eurotherm 32 31 4 4 APV 92 104 1 12 Rail Systems 103 115 13 18 Climate Controls 145 179 14 21 Appliance Controls 91 98 13 13 Businesses for sale 72 68 2 (1) Corporate costs - - (12) (16) Continuing operations 715 801 49 73 Discontinued operations 3 252 - 15 718 1,053 49 88 -------- ------ --------- -------- Geographical analysis by origin United Kingdom 103 112 8 15 Rest of Europe 183 198 13 18 North America 273 342 26 43 South America 19 14 4 2 Asia Pacific 116 121 9 10 Africa and Middle East 21 14 1 1 Corporate costs - - (12) (16) Continuing operations 715 801 49 73 Discontinued operations 3 252 - 15 718 1,053 49 88 -------- ------ --------- -------- Geographical analysis of turnover by destination United Kingdom 99 104 Rest of Europe 180 195 North America 255 331 South America 22 17 Asia Pacific 120 131 Africa and Middle East 39 23 Continuing operations 715 801 Discontinued operations 3 252 718 1,053 -------- ------
(a) Before exceptional items, goodwill amortisation and
goodwill impairment. Invensys plc Second quarter announcement 2004/05 Notes (unaudited) 1 Segmental analysis (continued) Net Net Net operating operating operating assets assets assets H1 H1 FY 2004/05 2003/04 2003/04 GBP m GBP m GBP m Business Process Systems 346 372 354 Eurotherm 133 150 134 APV 99 88 87 Rail Systems 41 56 46 Climate Controls 193 342 296 Appliance Controls 188 198 173 Businesses for sale 205 204 219 Corporate costs (189) (192) (158) Continuing operations 1,016 1,218 1,151 Discontinued operations - 469 324 1,016 1,687 1,475 ----------------------------- Borrowings Cash and short-term deposits Deferred tax Taxation Pension liability Net liabilities per consolidated balance sheet Net Net Net operatingoperatingoperating assets assets assets H1 H1 FY 2004/05 2003/04 2003/04 GBP m GBP m GBP m Geographical analysis by origin United Kingdom 221 247 247 Rest of Europe 300 230 273 North America 377 520 419 South America 26 26 20 Asia Pacific 266 372 336 Africa and Middle East 15 15 14 Corporate costs (189) (192) (158) Continuing operations 1,016 1,218 1,151 Discontinued operations - 469 324 1,016 1,687 1,475 Borrowings (1,570) (2,005) (1,552) Cash and short-term deposits 794 396 566 Deferred tax 5 (56) (6) Taxation (172) (191) (181) Pension liability (600) (770) (606) Net liabilities per consolidated balance sheet (527) (939) (304) --------------------------- 2 Total operating loss Continuing Continuing Discontinued operations operations operations Q2 2004/05 Q2 2003/04 Q2 2004/05 GBP m GBP m GBP m Turnover 715 801 3 Cost of sales (521) (575) (2) Gross profit 194 226 1 Distribution costs (4) (5) - Administrative costs (141) (148) (1) Operating profit(a) 49 73 - Operating exceptional items (119) (99) - Goodwill amortisation (7) (7) - Total operating loss (77) (33) - ---------- -------- ------------ Discontinued Total Total operations Q2 2003/04 Q2 Q2 2004/05 2003/04 GBP m GBP m GBP m Turnover 252 718 1,053 Cost of sales (189) (523) (764) Gross profit 63 195 289 Distribution costs (1) (4) (6) Administrative costs (47) (142) (195) Operating profit(a) 15 49 88 Operating exceptional items (2) (119) (101) Goodwill amortisation (6) (7) (13) Total operating loss 7 (77) (26) --- ------------- -------- -------- The total restructuring costs of GBP 18 million (Q2 2003/04: GBP 15 million) together with transition costs of GBP 8 million (Q2 2003/04: GBP 68 million), product recall costs of GBP 30 million (Q2 2003/04: GBP nil), goodwill amortisation of GBP 7 million (Q2 2003/04: GBP 13 million) and fixed asset impairment of GBP 63 million (Q2 2003/04: GBP 18 million) are classified as administrative costs, which therefore total GBP 268 million (Q2 2003/04: GBP 309 million). Continuing Continuing Discontinued operations operations operations H1 H1 H1 2004/05 2003/04 2004/05 GBP m GBP m GBP m Turnover 1,396 1,516 111 Cost of sales (1,036) (1,115) (91) Gross profit 360 401 20 Distribution costs (9) (11) (1) Administrative costs (285) (309) (22) Operating profit/(loss)(a) 66 81 (3) Operating exceptional items (133) (122) - Goodwill amortisation (14) (15) (2) Goodwill impairment (27) - - Total operating loss (108) (56) (5) ---------- -------- ------------ Discontinued Total Total operations H1 2003/04 H1 H1 2004/05 2003/04 GBP m GBP m GBP m Turnover 528 1,507 2,044 Cost of sales (394) (1,127) (1,509) Gross profit 134 380 535 Distribution costs (3) (10) (14) Administrative costs (109) (307) (418) Operating profit/(loss)(a) 22 63 103 Operating exceptional items (10) (133) (132) Goodwill amortisation (16) (16) (31) Goodwill impairment - (27) - Total operating loss (4) (113) (60) --- ------------- -----------------
(a) Before exceptional items, goodwill amortisation and
goodwill impairment. Invensys plc Second quarter announcement 2004/05 Notes (unaudited) 3 Operating exceptional items Half year ended Half year Quarter Quarter ended ended ended 30 September 30 30 30 September September September 2004 2003 2004 2003 GBP m GBP m GBP m GBP m Restructuring (28) (46) costs (18) (15) Transition (12) (68) costs(a) (8) (68) Fixed asset (63) (18) impairment (63) (18) Product recall (30) - costs(a) (30) - (133) (132) (119) (101) -------------------- --------- -------------------- Restructuring costs by business Process (2) (7) Systems (1) (4) - (1) Eurotherm - (1) (5) (3) APV (3) (1) - - Rail Systems - - Climate (14) (6) Controls (9) (3) Appliance - (3) Controls - - Businesses (5) (11) for sale (3) (2) Corporate (2) (5) costs (2) (2) Continuing (28) (36) operations (18) (13) Discontinued - (10) operations - (2) (28) (46) (18) (15) -------------------- --------- -------------------- Fixed asset impairment by business Climate (60) - Controls (60) - Businesses (1) - for sale (1) - Corporate (2) (18) costs (2) (18) Continuing (63) (18) operations (63) (18) Discontinued - - operations - - (63) (18) (63) (18) -------------------- --------- -------------------- (a)Transition costs relate wholly to the corporate sector. Product recall costs are attributable wholly to the Climate Controls business. 4 Loss on disposal of operations The Group's loss on disposal of operations comprises the following: Half year ended Half year ended Quarter Quarter ended ended 30 September 30 30 30 September September September 2004 2003 2004 2003 GBP m GBP m GBP m GBP m Profit on assets 168 77 divested 2 80 Charge of associated (462) (131) goodwill (15) (131) Settlements and curtailments 8 - credit 6 - (286) (54) (7) (51) -------------------- --------- -------------------- 5 Taxation on loss on ordinary activities Half year ended Half year Quarter Quarter ended ended ended 30 September 30 30 30 September September September 2004 2003 2004 2003 GBP m GBP m GBP m GBP m Taxation on ordinary (13) (20) activities (8) (15) Adjustments in respect of - 64 prior years - 64 - 5 Deferred tax - 3 (13) 49 (8) 52 -------------------- --------- -------------------- Invensys plc Second quarter announcement 2004/05 Notes (unaudited) 6 (Loss)/earnings per share Half year Half year ended Quarter Quarter ended ended ended 30 September 30 30 30 September September September 2004 2003 2004 2003 (Loss)/earnings per share (pence) (8.4)p (4.3)p Basic (2.1) p (1.5) p Total p (0.2)p 0.8 p Group(a) 0.4 p 1.3 (8.4)p (4.3)p Diluted (2.1) p (1.5) p Average number of shares (million) 5,687 3,500 Basic 5,687 3,500 (Loss)/earnings (GBP m) (477) (149) Basic (116) (50) Total Group Operating 63 103 profit(a) 49 88 Net interest (69) (39) payable (33) (18) Other finance charges - (8) (12) FRS 17 (4) (6) Operating profit less finance (14) 52 costs 12 64 Tax on operating profit less finance (13) (25) costs (8) (20) Minority 13 - interests 14 - (14) 27 18 44 ----------- --------- -------- --------
(a) Before exceptional items, goodwill amortisation and
goodwill impairment. The basic loss per share for the quarter has been
calculated using 5,687 million shares (Q2 2003/04: 3,500 million), being the
weighted average number of shares in issue during the quarter and the loss
after taxation and minority interests of GBP 116 million (Q2 2003/04: GBP 50
million). (Loss)/earnings per share is also calculated by reference
to earnings for the total Group, before exceptional items, goodwill
amortisation and goodwill impairment with an underlying tax charge of GBP 8
million (Q2 2003/04: GBP 20 million), since the directors consider that this
gives a useful additional indication of underlying performance. The diluted loss per share has been calculated in
accordance with Financial Reporting Standard No 14: Earnings per share (FRS
14) without reference to adjustments in respect of certain share options
which are considered to be anti-dilutive. Invensys plc Second quarter announcement 2004/05 Notes (unaudited) 7 Cash flow statement Half year ended Half year ended Quarter Quarter ended ended 30 September 30 30 30 September September September 2004 2003 2004 2003 GBP m GBP m GBP m GBP m Reconciliation of operating loss before interest and tax to net cash outflow from operating activities Total operating (113) (60) loss (77) (26) 39 61 Depreciation charge 17 30 Provision for impairment charged to operating 90 - profit 63 - Amortisation of 16 31 goodwill 7 13 Cash costs of - (2) closures - 1 (18) (13) Increase in stocks (3) (1) (Increase)/decrease (12) 53 in debtors (19) 102 Increase/(decrease) in creditors and 15 (58) provisions 51 69 Movement in (53) (20) pensions (25) (25) Net cash (outflow)/inflow from operating (36) (8) activities 14 163 ----------------------------- --------------------- Analysis of cash flows for headings netted in the cash flow statement Returns on investments and servicing of finance 8 10 Interest received 5 5 (63) (56) Interest paid (51) (28) Dividends paid to (1) (1) minority interests (1) (1) Net cash outflow for returns on investments and servicing of (56) (47) finance (47) (24) ----------------------------- --------------------- Taxation UK corporation tax (1) - (paid)/received (1) 1 (18) (50) Overseas tax paid (5) (46) Net cash outflow (19) (50) for tax paid (6) (45) ----------------------------- --------------------- Capital expenditure and financial investment Purchase of tangible fixed (28) (65) assets (12) (48) Sale of tangible - 2 fixed assets - 1 Sale of trade - 4 investments - 2 Net cash outflow for capital expenditure and financial (28) (59) investment (12) (45) ----------------------------- --------------------- Acquisitions and disposals Purchase of subsidiary (1) (1) undertakings (1) (1) Sale of subsidiary 390 80 undertakings(a) (5) 105 Net cash disposed of on sale of subsidiary (18) (4) undertakings - (4) Purchase of - (1) minority interests - (1) Net cash inflow/(outflow) for acquisitions 371 74 and disposals (6) 99 ----------------------------- --------------------- Management of liquid resources Short-term deposits 31 (48) withdrawn/(made) 134 (28) Net cash inflow/(outflow) from management of 31 (48) liquid resources 134 (28) ----------------------------- --------------------- Financing Debt due within one year Increase in short- - 128 term borrowings - 55 Repayment of short- (21) (189) term borrowings (23) (127) Debt due beyond one year Increase in long- 107 242 term borrowings 6 - Repayment of long- (90) (44) term borrowings (90) (45) Capital element of finance lease (1) (1) repayments (1) (1) (5) 136 (108) (118) ----------------------------- --------------------- Net cash (outflow)/inflow (5) 136 from financing (108) (118) ----------------------------- ---------------------
(a) In the three months ended 30 September 2004, the net
disposal proceeds received comprised cash proceeds of GBP 2 million less GBP
7 million of other directly related cash costs, including advisor and
professional fees. Invensys plc Second quarter announcement 2004/05 Notes (unaudited) 7 Cash flow statement (continued) Analysis of changes to net debt Second quarter At At 1 July Cash Other Exchange 30 September 2004 flow movements(a) movement 2004 GBP m GBP m GBP m GBP m GBP m Cash at bank and in hand 717 (51) - 3 669 Overdrafts (21) 20 - - (1) (31) Debt due within one year (55) 23 - (1) (33) Debt due after one year (1,609) 84 (1) (8) (1,534) Finance leases (3) 1 - - (2) 108 Short-term deposits 258 (134) - 1 125 Total (713) (57) (1) (5) (776) ------------- ------------ ------------------- Cash at bank and in hand 717 669 Short-term deposits 258 125 Cash and short-term deposits 975 794 ------- ----------
(a) Other movements comprise a GBP 2 million transfer of
facility fees from prepayments in respect of the Group's refinancing, less
GBP 3 million amortisation of facility fees within debt. Half year At At 1 April Cash Other Exchange 30 September 2004 flow movements movement 2004 GBP m GBP m GBP m GBP m GBP m Cash at bank and in hand 409 255 - 5 669 Overdrafts (4) 3 - - (1) 258 Debt due within one year (53) 21 - (1) (33) Debt due after one year (1,492) (17) (1) (24) (1,534) Finance leases (3) 1 - - (2) 5 Short-term deposits 157 (31) - (1) 125 Total (986) 232 (1) (21) (776) ------------ --------- ------------------- Cash at bank and in hand 409 669 Short-term deposits 157 125 Cash and short-term deposits 566 794 ------- ----------
8 Financial statements This unaudited results statement was approved by a duly
appointed and authorised committee of the Board of directors on 10 November
2004. This statement does not comprise the statutory accounts of the Group,
as defined in section 240 of the Companies Act 1985. The financial information for the half year and quarter
ended 30 September 2004 has been prepared on the same basis of accounting as
for the year ended 31 March 2004. The financial information is unaudited. The
statutory accounts of Invensys plc for the year ended 31 March 2004 have been
delivered to the Registrar of Companies. The auditors, Ernst & Young LLP,
reported on those accounts and their report was unqualified and did not
contain a statement under section 237(2) or (3) of the Companies Act 1985. SOURCE: Invensys plc Invensys plc Victoria Scarth / Mike Davies tel: +44 (0) 20 7821 3755 or Taylor Rafferty Brian Rafferty tel: +1 212 889-4350 |