Ricardo profits halved but dividend holds

RICARDO International, the engineering consultancy, yesterday reported a 56 per cent fall in taxable profits to pounds 2m for the year to 30 June, on turnover down from pounds 63.5m to pounds 57.6m, writes Neil Thapar.

Earnings per share slumped from 9.9p to 3.6p, but the interim dividend is being held at 5.7p.

Difficult trading conditions pushed three of the company's four divisions into losses.

Interest charges went up from pounds 340,000 to pounds 434,000. The company has taken pounds 800,000 restructuring costs above the line.

Sir Philip Foreman, the chairman, said: 'The new financial year will be challenging, considering the poor economic climate. I believe the actions taken to redirect the activities of the company will result in a stronger enterprise.'