Charles Stanley Group plc Reports Unaudited Group Revenue Results for the Year Ended March 31, 2015; Provides Earnings Guidance for the Year Ended March 31, 2015; Intends to Recommend Final Dividend for the Year Ending March 31, 2015; Updates Future Dividend Policy; Provides Impairment Guidance for the Year Ended March 31, 2015
The Board anticipates that underlying profits for the year ended March 31, 2015, excluding the impact of the FSCS levy, one-off restructuring costs and non-cash impairment charges, will be in line with current market expectation. Exceptional restructuring charges were incurred during the year and a profit on disposal of the Matterley Undervalued Asset Fund was realised. The overall impact of these items is expected to be a profit of approximately £0.8 million and the board currently anticipates that in addition to an amortization charge of approximately £1.8 million.
The board anticipated an impairment charge of approximately £6.2 million may be made for the year ended March 31, 2015. Such a charge, which would be in addition to the £1.8 million impairment of intangible assets and unlisted available-for-sale financial assets made in the first half, will have no cash impact nor will it impact the Group's regulatory capital.
The Board intends to recommend a final dividend in respect of the year ending March 31, 2015 of 2.0 pence. Taken together with the interim dividend of 3.0 pence, this will represent a total dividend for the year of 5.0 pence compared to 12.25 pence paid a year ago.
The Board has rebased the total dividend paid to 5 pence per ordinary share, as it seeks to strengthen the group's capital base. Over the medium term the intention is to move towards a target dividend cover of two times earnings per ordinary share, as adjusted for the amortization of intangible assets, and thereafter the intention is to grow the dividend progressively.