Consolidated cash flow statement
for the year ended 31 December 2007
| 2007 | 2006 | ||
|---|---|---|---|
| £’000 | £’000 | ||
| Operating activities | |||
| Profit for the year | 2,729 | 3,668 | |
| Adjustments for: | |||
| Financial income | (2,383) | (2,154) | |
| Financial expense | 1,796 | 1,665 | |
| Income tax expense | 1,751 | 2,145 | |
| Share based payments | 196 | 130 | |
| Depreciation of property, plant and equipment | 1,155 | 1,154 | |
| Amortisation of intangible assets | 843 | 658 | |
| Operating cash flow before movements in working capital | 6,087 | 7,266 | |
| Decrease/(increase) in inventories | 475 | (4,152) | |
| Increase in trade and other receivables | (1,356) | (2,062) | |
| Increase in trade and other payables | 800 | 1,504 | |
| Decrease in pension liabilities | (192) | (615) | |
| Transfer from “Restricted Cash” |
- | 485 | |
| Cash generated from operations | 5,814 | 2,426 | |
| Income taxes received/(paid) | 423 | (1,623) | |
| Income tax paid on gain on disposals of businesses in 2005 | - | (2,559) | |
| Interest paid | (152) | (100) | |
| Net cash from operating activities | 6,085 | (1,856) | |
| Investing activities | |||
| Interest received | 484 | 355 | |
| Acquisition of subsidiary (net of cash received) | - | (2,449) | |
| Capital expenditure | (1,626) | (1,207) | |
| Expenditure on development | (958) | (976) | |
| Sale of tangible fixed assets | 11 | 82 | |
| Net cash used in investing activities | (2,089) | (4,195) | |
| Financing activities | |||
| Dividends paid | (1,687) | (1,484) | |
| Transfer from “Restricted Cash” | - | 2,559 | |
| Redemption of preference shares treated as debt | (12) | (29) | |
| Own shares acquired | - | (308) | |
| Net cash (used in)/generated from financing activities | (1,699) | 738 | |
| Net increase/(decrease) in cash and cash equivalents | 2,297 | (5,313) | |
| Cash and cash equivalents at 1 January | 4,346 | 9,829 | |
| Effect of exchange rates on cash held | (82) | (170) | |
| Cash and cash equivalents at 31 December | 6,561 | 4,346 | |