Core Competencies Drove Robust Performance
Resulting in Turnover of HK$3,509 million and Profit of HK$248 million
Fiscal 2011 Highlights
Profit attributable to owners of the Company increased 29.2% to a record HK$248 million
Turnover increased 14.1% to a record HK$3,509 million
EPS grows 28.4% to a record HK 20.41 cents
Strong balance sheet, with net cash balance of HK$1,062 million
Board of Directors recommended a final dividend of HK 4.0 HK cents and a special dividend of HK 4.0 cents per share
| Financial Highlights | For the 12 months ended 31 October 2011 (HK$’000) | ||
| 2011 | 2010 | Change | |
| Turnover | 3,508,555 | 3,075,114 | +14.1% |
| Gross profit | 1,047,647 | 880,352 | +19.0% |
| Profit attributable to owners of the Company | 247,851 | 191,821 | +29.2% |
| Earnings per share -- fully diluted | HK 20.41 cents | HK 15.89 cents | +28.4% |
| Final dividend per share (recommended) | HK 4 cents | HK 4 cents | / |
| Special dividend per share (recommended) | HK 4 cents | HK 1.5 cents | +166.7% |
(Hong Kong, 31 January 2012) – Pico Far East Holdings Limited (“Pico” or the “Group”, SEHK: 0752), a leading global Total Brand Activation company, today announced its annual results for the 12 months ended 31 October 2011 (the “year”).
During the year, Pico delivered a robust and resilient performance in spite of testing conditions in the global economy. The Group’s turnover reached HK$3,509 million (2010: HK$3,075 million), representing an increase of 14.1% compared with the previous year. Profit attributable to owners of the Company increased by 29.2% to HK$248 million (2010: HK$192 million).
The Board of Directors has recommended a final dividend of HK4.0 cents per ordinary share (2010: HK4.0 cents) and a special dividend of HK4.0 cents (2010: HK1.5 cents) per ordinary shares. Taken together with the interim dividend of HK4.0 cents per ordinary share (2010: HK3.5 cents per ordinary share), the total dividend for the year amounts to HK12.0 cents per ordinary share (2010: HK9.0 cents per ordinary share).
Mr. Lawrence Chia, Chairman of Pico, said, “The improvements in our results are due to our entrepreneurial and creative culture that enables our people to pursue initiatives swiftly and develop them into business opportunities and revenue. The strong results we have achieved this year would not have been possible without the leadership and dedication of our staff.”
Chairman Chia continued, “The Group is in a better position now than at any time since its inception. Our core competencies enhance our brand name and give the Group a strong competitive edge and a dominant presence in the industry. Looking ahead, China is still a very important market in Asia for the Group. Besides investing and improving our competitiveness in China, we will continue to expand our business into emerging markets like India and most recently, Brazil. To remain competitive and profitable we have and will continue to innovate our services. We also look at ways of extending a broader range of services to existing customers by leveraging our extensive network.”
Business Review
| Turnover by Segment | For the 12 months ended 31 October (HK$’000) | ||
| 2011 | 2010 | Change | |
| Exhibition and Event Marketing Services | 2,402,752 | 2,393,555 | +0.4% |
| Museum, Themed Environment, Interior & Retail | 381,138 | 299,386 | +27.3% |
| Brand Signage and Visual Communication | 424,472 | 282,929 | +50.0% |
| Conference and Show Management | 300,193 | 99,244 | +202.5% |
| Turnover by Region | For the 12 months ended 31 October | |
| 2011 | Contribution to Total Turnover | |
| Greater China | 1,771,728 | 50% |
| South Asia | 1,004,214 | 29% |
| Middle East | 269,111 | 8% |
| US, UK and Spain | 263,188 | 8% |
| Others | 200,314 | 5% |
During the Year, the Group’s Exhibition and Event Marketing Services remained the main contributor to revenue, accounting for HK$2,403 million (2010: HK$2,394 million) or 68.5 % (2010: 77.9%) of the Group’s total revenue of HK$3,509 million (2010: HK$3,075 million). Even in the absence of the Shanghai World Expo which accounted for about 20% of total revenue in 2010, this segment has grown its business compared to 2010. Special projects for the year included the services and works we delivered for the 2nd Asian Beach Games in Oman, the sponsors of the 16th Asian Games in Guangzhou, and the promoter of the 2011 Real Madrid soccer team China Tour in Guangzhou and Tianjin.
Geographically Greater China which comprises Hong Kong, Mainland China, Macau and Taiwan, accounted for 50.5% (2010: 52.3%) of the Group’s total turnover with the rest coming mainly from South Asia and the Middle East. The main event that increased the contribution from Europe, North America and Japan was the International Textile Machinery Association (ITMA) show held in Barcelona, Spain in September 2011 where the Group was the co-organiser with the European Textile Machinery Association (CEMATEX).
Outlook
Going into the new financial year, the Group is looking forward to working on the Yeosu World Expo 2012 in Korea where we have confirmed mandates to create the Yeosu Expo Marine Life Pavilion, Cambodia Pavilion, Singapore Pavilion, Sri Lanka Pavilion, Jeonbuk Pavilion and the UN Joint Pavilion. At the London Olympics 2012, we have a confirmed mandate to build the showcase, pavilion and lounges for the Acer group. Our sales efforts for both events are still ongoing.
