Ann: LL 2018 Half Year Results Announcement and Presentation, page-10

Higher dividend + large share buy back (which looks like it could be mostly or entirely funded from cash flow rather than debt) provide a clear signal to the market that not only was the period reported on a good one for shareholders but that the board has considerable confidence in the future.

Among the other things I liked about the result was the growth in recurring income streams and the very clean balance sheet.

The negatives were largely centred on margins in the development and engineering business. These are of concern but not so large as to suggest that the market has misread the results.