Profits rise at rare coins specialist Noble Investments

AIM-listed rare coins specialist Noble Investments has posted a pre-tax profit of 3.7m pounds in the financial year ending August 31st following strong results in its auction business.

The company, which trades and auctions ancient and foreign coins, medals and world stamps, saw pre-tax profit rise 23% to £3.7m from £3m in the previous year. This was in spite of revenue falling slightly to £12.4m from £12.7m a year earlier.

Basic earnings per share rose 24% to 18.89p and the group reported an ungeared balance sheet with a net asset value of £17.4m.

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Ian Goldbart, Managing Director of Noble Investments, commented: "We are pleased to report that Noble continued to make progress over the last 12 months. As a result, the Group has produced annual increases in pre-tax profits and dividends in each of the last seven years."

"Our auction business was the key driver of growth during the year and has started the current financial year with a significant order book of important consignments. Demand for high quality rare items continued to outstrip supply which resulted in lower retail figures as more sellers chose the auction route. However the retail division still produced a significant contribution to the overall performance of the Group."

Earlier this year, the group disclosed that a significant Qatari collector had evaded payment for an auction purchase of coins totalling £2.2m. The High Court of Justice has granted a $15m worldwide freezing order (excluding Qatar) against the collector's significant assets and the group is continuing to pursue the collector for his unpaid auction purchases.

Noble Investments has a market capitalisation of £28.7m. It was formed in 2003 as a rare coin trading company which later expanded with the acquisitions of A.H.Baldwin & Sons in 2005 and Apex Philatelics in 2008.

Shares in Noble Investments rose 1.37% to 185p per share at 09:26 on Friday.

MF