Williams Grand Prix Holdings PLC (WGPH, Ticker: WGF1) today announced its interim results for the six months to 30 June 2012. WGPH is the holding company of the Williams group of companies, which includes Williams Grand Prix Engineering Limited and Williams Hybrid Power Limited.
The core business, which combines the traditional Formula One business and diversification using our Formula One derived intellectual property and know-how, has seen turnover increase by 57% to £73.0m (2011: £46.4m). This has driven an overall Group turnover of £74.3m (2011: £47.3m). The results of the investment businesses, Williams Hybrid Power and Williams Technology Centre, Qatar, are progressing as expected and are in line with the board’s long-term business plan.
Our key figures are:
Overall Group results
• Turnover increased to £74.3m (2011: £47.3m)
• Net profit increased to £6.6m (2011: £1.9m)
• EPS up to 68.55p (2011: 19.31p)
Core business results:
• Turnover increased to £73.0m (2011: £46.4m)
• Net profit increased to £8.5m (2011: £2.9m)
The notable increases in half year turnover and profit are largely due to our diversification strategy as well as the recent receipt of a one off payment following a new commercial agreement for our continued commitment to Formula One. Full year results are expected to show the continued stability of the business, with double digit growth expected in turnover and net profit as a result of our core business and new business development.
Founder and Team Principal Sir Frank Williams said: “Williams is at a very exciting stage in its history and these promising results are indicative of this. We have made good progress on track this year, thanks in part to a new technical team, which has seen us pick up our first win in eight years. Our diversification strategy is also gaining momentum, positioning us as a leader in the development of cutting edge technology in areas such as sustainability and safety.”
Chief Executive Officer Alex Burns said: “We are pleased to report interim results that demonstrate the ongoing stability of the business in a difficult economic climate. We have made a step forward in Formula One this season and expect this upward trend to continue into next season.
‘’These results also validate our long term business plan of adapting technology and know-how developed in Formula One for commercial application in energy efficiency, safety and education. Our core business is now generating strong revenue figures from projects outside of Grand Prix racing. For example, our partnership with Jaguar, to develop the ground breaking C-X75 hybrid supercar, is making good progress and other Formula One teams are also using our technology, including a new deal with Marussia that will see them use our KERS technology next year.
‘’Williams Hybrid Power and Williams Technology Centre, Qatar continue to show growth in line with the targets we have set. Williams Hybrid Power has secured some notable successes so far this year, announcing a new partnership with Go-Ahead Group and helping to power a hybrid Audi to victory at Le Mans. Williams Technology Centre, Qatar is receiving ongoing investment into its R&D activities, with the Middle East’s most advanced road safety simulator about to be unveiled to the world next month.”