Key Information

The Business
      Profit Forecast  
The Church of England is one of the largest groups in the United Kingdom religious services industry. Founded in 1534 to provide a secure faith with 'get out clauses' it has grown organically and through acquisition, to the extent that it now governs 20,000 churches and parishes across the country.

The Groups Key strengths are:

High Quality core profits

A fleet of vehicles whose profile reflects the needs of the business and it's customers

The ability to provide high frequency church services cost effectively

An experienced management team

Record of outperformance in it's market

The leading provider of religious services in the majority of it's operating regions

Strong cash generation
The Management team has developed the group's existing businesse and services to provide a sound base on which to further growth can be achieved, There are numerous opportunities for further expansion through acquisition of new parishes from weaker competition, whose turnover can be enhanced by the Church of England management team. In addition the decision to ordain female priests gives us an advantage in the very competitive field of absolution and redemption.

Financial Record

Set out below is the financial record of the group for the last three years ended 31st December 1993,which has been extracted from tyhe Accountants report. The figures include income from; jumble sales, bar revenue, coffee mornings, souvenir shops, wedding and funeral service receipts, boy scout meeting receipts, church hall hire, collections and bed pushes.
The profit forecast for the year ending 31st December 1994, is set out below.


Profit forecast
£million
Profit before interest and tax 12.6
Profit before tax 6.7

Earnings per ordinary share

8.4p
Fully diluted earnings per share 7.9p


The significant increase in profit before interest and tax between 1991 and 1993 illustrates the achievements of the current management team which has improved the performance of the Church of England's business.
The results of 1992 and 1993 show a vast improvement in profit due to improved merchandising through the chain of 'ce' boutiques across the country.
Year ended 31st December

1991 1992 1993
£0000 £0000 £0000
Turnover 113,268 128,838 130,216
Profit before interst and tax 7,645 9,825 10,000
Profit before tax 1,319 2,442 3,487
Operating Cash Inflow 5,735 14,449 15,675
Issue Statistics
Issue Price   115p
Market capitalisation on issue price   £99 m
Net proceeds to be raised by the company from the issue   £36 m
Price earnings multiple at the issue price based on:    
  Forecast earnings per share   13.7x
  Fully diluted forecast earnings per share   14.5x


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