REG - CAP-XX Limited - Audited results for the year ended 30 June 2024
29/11/2024 07:00
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RNS Number : 1038O CAP-XX Limited 29 November 2024
THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF
EU REGULATION 596/2014 (WHICH FORMS PART OF DOMESTIC UK LAW PURSUANT TO THE
EUROPEAN UNION (WITHDRAWAL) ACT 2018) ("UK MAR").
29 November 2024
CAP-XX Limited
("CAP-XX" or "the Company")
Audited results for the year ended 30 June 2024
CAP-XX Limited (AIM: CPX), a world leader in the design and manufacture of
thin, prismatic supercapacitors and energy management systems, is pleased to
announce its audited results for the year ended 30 June 2024 and provide an
update on current trading.
Audited results for the year ended 30 June 2024 ("FY24")
· Total revenue of A$4.6m has increased by A$1.0m compared to FY23,
representing an increase of 26.5%.
· The increase in revenue is made up of a A$1.3m increase in product
sales offset by a A$0.3m decrease in licence revenue which reflects the shift
in the Company's business model to product sales.
· The increase in product sales of 39.7% compared to FY23 is supported
by strong growth across the Asia Pacific and Europe regions.
· No licence revenue is recorded in FY24 following the resolution of
the legacy patent infringement commercial dispute (FY23: A$0.3m licence fee
revenue).
· Gross margin of 30% is down from the last financial year mainly
due to the increase in product sales which have a lower gross margin compared
to licence fee revenue.
· Adjusted EBITDA loss* of A$1.6m, is lower than the previous year
(A$1.7m).
· Loss after tax for the year of A$6.0m was significantly impacted by
A$3.2m of non-recurring costs, being the legal and restructuring costs
incurred during the financial year.
* Adjusted to exclude legal expenses for patent infringement, credit loss
provision, restructuring costs and the amortisation of share-based payment
expenses.
Current Trading
· Customer orders received, and products shipped and invoiced for the
five months to 28 November 2024 continue to track ahead of the equivalent
period in FY24.
· Backlog as at 28 November 2024 was A$2.1m.
· Book to bill ratio of 1.2 as at 28 November 2024.
· R&D tax credit of $1.2m (net) has been delayed and is now
anticipated to be received by the end of January 2025. The delay in timing of
the receipt is partly due to the delayed completion of the audited accounts
and partly due to an expected increase in the time taken by the Australian Tax
Office to review and process R&D claims lodged by Australian corporates.
· Cash reserves held as at 28 November 2024 are A$1.6m following
receipt of the first tranche of funds from the recent equity fundraising.
· Following approval of the appropriate resolutions by shareholders
at the Company's general meeting on 5 December and settlement of the second
tranche of the fundraising, the Company will have received approximately
A$5.4m (net of costs) from the equity fundraising.
Electronic copies of CAP-XX's audited annual report and accounts for the year
ended 30 June 2024 will shortly be available from the Company's
website: www.cap-xx.com (http://www.cap-xx.com/)
For further information contact:
CAP-XX Limited
+61 (2) 9157 0000
Pat Elliott (Chairman)
Lars Stegmann (Chief Executive Officer)
Allenby Capital (Nominated Adviser and Broker)
+44 (0) 20 3328 5656
David Hart / Piers Shimwell (Corporate Finance)
Jos Pinnington/Tony Quirke (Sales and Corporate Broking)
About CAP-XX
CAP-XX (LSE: CPX) is a leader in the design and manufacture of thin, flat
supercapacitors and energy management systems used in portable and small-scale
electronic devices, and to an increasing extent, in larger applications such
as automotive and renewable energy. The unique feature of CAP-XX
supercapacitors is their very high-power density and high energy storage
capacity in a space-efficient prismatic package. These attributes are
essential in power-hungry consumer and industrial electronics and deliver
similar benefits in automotive and other transportation applications.
Chief Executive's review
As I look back on the past financial year, I am pleased to share that despite
a complex and evolving landscape, our company has demonstrated remarkable
resilience and strong growth in the passive electronics market. In a year
marked by global economic uncertainties, supply chain disruptions and shifting
geopolitical dynamics, we have not only navigated these challenges but have
emerged stronger.
The passive electronic components market, like many others, faced significant
headwinds due to geopolitical tensions, trade disputes, increased sanctions
and regulatory changes. These factors had a direct impact on global supply
chains and market access, while rising material costs and logistics delays
added additional pressure. Many businesses were forced to rethink their
strategies in response to these evolving challenges.
However, we anticipated many of these developments early on and took decisive
action. By investing strategically in research and development (R&D) and
intellectual property (IP) development, we were able to strengthen our
competitive edge. Our commitment to diversifying our supplier relationships,
expanding sourcing strategies and investing in advanced technology enabled us
to effectively mitigate disruptions. Additionally, by focusing on regional
activities, we reduced our dependency on any single market and enhanced our
ability to adapt to local regulatory requirements.
I am proud to report that, despite these challenges, we achieved robust sales
growth and exceeded our internal FY24 expectations of A$4.4 million, with
reported sales revenue of A$4.6 million for FY24. This success is a direct
result of the expertise, agility and commitment of our Distribution and
Representative Network, as well as our exceptional internal team. Their
ability to swiftly respond to market shifts, coupled with a focus on
operational excellence, allowed us to capitalise on the growing demand for
passive electronic components across key industries such as electric vehicles,
telecommunications, healthcare, Industrial IoT and renewable energy.
Looking ahead to the current financial year, we remain optimistic about our
future prospects. While geopolitical tensions and economic uncertainty
continue to present challenges, we are confident that our strategic
initiatives and talented workforce position us well to thrive in this
environment. Our focus will remain on innovation, operational efficiency and
strengthening our global Distribution Network, all while ensuring that we
continue to be a trusted partner to our customers worldwide.
We are pleased to report that we successfully raised a total of GBP 2.15
million in April 2024. Since the financial year end, we have conditionally
raised a further GBP 3.025 million, subject to shareholder approval on 5
December 2024. These funds will play a crucial role in securing the working
capital necessary for our continued growth and expansion. Further, since the
financial year end, we have successfully onboarded the Swiss manufacturer
SCHURTER AG as a new strategic partner and our vendor accreditation with
DigiKey Corporation in the USA has been upgraded from 'Marketplace' to
'Fulfilment'. With this solid backing, we are well-equipped to accelerate our
plans and drive even greater success in the months ahead.
In closing, I would like to extend my deepest gratitude to our employees,
whose unwavering dedication has been the driving force behind our success. I
also want to thank our shareholders for their continued trust and support.
Together, we have built a resilient and forward-looking business, poised to
seize the opportunities that lie ahead.
Lars Stegmann
Chief Executive Officer
29 November 2024
Chairman's Report
FY24 was the first full year of CAP-XX's transformation under the leadership
of our CEO, Lars Stegman. Lars has made great strides in turning CAP-XX into a
customer-focussed designer, manufacturer and supplier of supercapacitor
products based on our proprietary technology. Key features of these changes
include the appointment of new sales and customer support staff and recruiting
a team of distributors to provide CAP-XX with much wider market reach. It is
early days in this transformation, but we are now seeing strong growth in
sales of our current product range.
To further transform CAP-XX, in June 2024, we added three new Non-Executive
Directors who each bring a broad range of very relevant experience and
knowledge. Dr Graham Cooley, Peter Fraser and Dr. Anthony Sive were appointed
in June 2024 and have in the past few months proven invaluable to the ongoing
transformation of the Company. In addition, we have appointed Dr Alex Bilyk as
Chief Technology Officer, Jo Morbey as Company Secretary, Keith Siu as
Financial Controller and Claire Cheuh as Customer Service lead. These
appointments are all about making sure that the Company has the skills in all
areas of leadership to succeed in capitalising on the world-leading
supercapacitor intellectual property that the Company has developed.
Revenue for FY24 was up 26%, from A$3.6 million to A$4.6 million. The increase
of A$1.0 million is represented by a $1.3m increase in product sales and a
$0.3m decrease in licence revenue. However, our EBITDA loss increased to
A$5.0 million reflecting legal costs as well as costs related to the
restructuring of the business. These restructuring costs are expected to be
substantially reduced in FY25 and are expensed even though they set the scene
for subsequent improvements in trading outcomes.
We had a significant set-back during the year as we lost our legal action
against Maxwell Technologies. This action related to patents that had expired
so the legal result does not, in any way, impact our ongoing business and our
current suite of intellectual property. We have now settled all outstanding
legal matters with both Maxwell Technologies and AVX Corporation. This enables
the Board and management to be focussed on improving the business performance
via product sales.
Our over-arching immediate objective is to get into a cash flow breakeven
position. This will require further growth in revenues. For the first quarter
of FY25, revenues grew at 36% ahead of the equivalent period in FY24. We
consider this a strong performance when compared to an overall sluggishness in
global passive electronic components markets. In particular, we are seeing a
significant growth in Europe reflecting new design-ins and our expanded
distribution network. If we can maintain this rate of growth, then we would
anticipate that the Company will start to record a cash breakeven position
towards the end of FY26. It should be noted that all the revenue to date in
FY25, relate to our existing product set and none from the three new product
groups that we have been developing and are now releasing for customer
evaluation.
Despite the trading losses and capital constraints, we have maintained our
strong focus on research and development. During the year, we filed two
international patents. One of these is related to the development of the
cylindrical surface mount technology ("SMT") which has the potential to
revolutionise the way supercapacitors are mounted on printed circuit boards.
These products still achieve energy and power density levels comparable with
our standard supercapacitors. The second patent relates to a new polymer
binder that enables high-temperature stability, improved environmental
attributes and superior electrical performance. Apart from use in electric
double-layer supercapacitors, this new binder system can be applied to
manufacture and support our new SMT product to withstand the high temperatures
of any reflow oven. Further it could be used in any battery supply.
Subsequent to the end of the financial year, we have filed an additional two
international patents that build upon the technologies developed around the
SMT and the new polymer binder.
We consider these technology developments as break-through, and it is
important to have the IP protected by patents.
We have also entered into a strategic technology partnership with SCHURTER AG
which has also acquired a 4.69% shareholding in the Company. Through this
partnership SCHURTER and CAP-XX will work closely together on technology
development and co-branded supercapacitor products. By combining their
extensive knowledge and capabilities, CAP-XX and SCHURTER aim to jointly
develop innovative, competitive products and new application-specific
solutions for the industrial market. This partnership with SCHURTER offers
great potential for CAP-XX especially in further development and the
introduction of our new product ranges.
On commercialising these technologies, we have made excellent progress in
finalising the development of the SMT range and have produced ex-plant samples
from our Seven Hills facility for evaluation by our major customers.
The SMT range is break-through technology that, for the first time, allows a
supercapacitor to withstand the high temperatures of a re-flow oven. This will
enable CAP-XX supercapacitors to be included in electronic devices
manufactured by automated assembly lines, with significantly reduced costs. We
expect this to enable our SMT device to penetrate many high-volume
applications.
We are now in the process of pursuing design wins that would lead to purchase
orders and much higher manufacturing volumes.
The second, new product range we have been developing is the DMH range of very
thin (0.4 mm) supercapacitors. This provides a form factor suitable for
numerous IoT, medical, wearables, telecommunications, drones and other
industrial sectors. We are not aware of any competing supercapacitors that are
this thin, so believe we have a significant competitive advantage for many
potentially high-volume applications. Customer evaluation is underway and
initial feedback is encouraging.
Our third significant new product development is the 3V supercapacitor product
which we can now produce in volume. 3V supercapacitors offer cost-savings in
electronic manufacture as it matches 3V battery systems with a supercapacitor
for surge power requirements.
In addition to the development of our own proprietary technologies, we
continue to evaluate other related technology developments and, where
appropriate, enter into commercial arrangements for evaluation and potential
commercialisation. In line with this approach, we have entered into a Joint
Venture with Ionic Industries to develop their graphene technologies for
supercapacitors. Post the financial year end, we entered into a Memorandum of
Understanding with National University of Singapore's Institute for Functional
Intelligent Materials ("NUS I-FIM") for collaborative research and development
efforts in the field of new technology and substrates.
During the financial year, we raised £2.15 million in equity capital, via a
combination of a placing, subscription and retail offer which was completed in
April 2024. The proceeds were mainly applied to settle litigation expenses,
restructuring costs and general working capital. We are grateful for the
support of our shareholders through the provision of the necessary capital.
Since the financial year end, we have conditionally raised a further £3.025
million in equity capital in a similar structure to further enhance the
Company's financial position and pursue its strategies. Part of the capital
raise is subject to shareholder approval on 5 December 2024
To ensure that we maximise the benefits of our existing product range and new
products, we have also expanded our distribution network. As an integral part
of our new distribution strategy, we are ensuring that the customer and their
specific requirements are the core focus. The CAP-XX direct sales force is
being expanded to ensure that a greater geographic reach is in place while
CAP-XX representatives will have smaller regional territories, with a
significant increase in customer communication. To ensure that cash reserves
are conserved, the additional sales representatives are being engaged on a
commission basis. This has already resulted in driving short-term sales growth
and early results are promising. New sales representatives are currently in
place in the US (four), Europe (one) and South Africa (one).
Whilst our FY24 results remain below break-even, we have numerous reasons to
believe that CAP-XX is on a trajectory to become profitable under Lars
Stegmann's leadership. Paramount to this is the strong team of employees we
have who have embraced and are contributing to the changes that are needed to
enable CAP-XX to perform well for its customers and shareholders while meeting
or exceeding the necessary standards of ESG. We are indebted to all of our
staff.
The Board is confident that becoming customer-centric with much improved
market knowledge, our distribution strategy, and new product introductions
will drive the increase in revenues, so the Company achieves its positive
EBITDA goal in the shortest possible time frame.
Patrick Elliott
Chairman
29 November 2024
Business Review
Review of Operations and Activities
CAP-XX has made significant strides in its ongoing transformation process,
aimed at optimising operations and management to ensure sustainable growth.
This strategic initiative has been designed to address both operational
efficiency and financial stability, focusing on reducing our burn rate while
maintaining the high standards of innovation that define our brand. The
adjustments we have implemented are geared towards building a leaner, more
adaptive organisation, better suited to navigate the current market landscape
and secure long-term success.
Operational Changes
To improve operational efficiency, we have streamlined our planning and
working processes through a series of targeted changes:
1. Optimisation of Production Processes: We have implemented
advanced resource planning tools and automated workflows that minimise waste
and improve production timelines. This has enabled us to reduce excess
inventory and better align production capacity with market demand.
2. Focus on Core Competencies: By concentrating resources on
high-impact projects and deprioritising non-core activities, we have increased
our focus on areas that drive the most value. This shift has allowed us to
reallocate efforts towards product innovation and customer-centric solutions.
3. Digital Transformation of Workflows: Our adoption of
digital tools has automated many administrative and repetitive tasks, freeing
up our teams to focus on strategic initiatives. This transition will lead to a
significant reduction in operational costs, alongside faster and more
efficient project delivery.
Management Adjustments
As part of our transformation, we have also made adjustments to our management
structure to ensure alignment with our strategic goals:
1. Restructuring of Management Team: To support our streamlined
operations, we have restructured our management team, focusing on empowering
key leaders who can drive agility and innovation. This includes redefining
roles and responsibilities to ensure that decision-making is faster and more
efficient.
2. Cost-Sensitive Budgeting Approach: Our new budgeting framework is
centred on reducing unnecessary expenditures. We have implemented more
stringent financial controls across departments, with a focus on monitoring
project budgets and prioritising initiatives that promise the highest return
on investment.
3. Enhanced Employee Training Programs: We will introduce training
programs that promote a culture of efficiency and continuous improvement among
our workforce. This initiative will not only improve skillsets but will also
foster a mindset of ownership and accountability at all levels.
These transformations have already delivered measurable improvements. Our cash
burn rate has decreased by a substantial percentage over the past 12 months,
aligning our cash flow with our long-term financial targets. Moreover, the
emphasis on optimised planning and enhanced operational discipline has
resulted in faster project turnaround times and an improved ability to respond
to market shifts. The Company is now better positioned to maintain its
leadership in the technology sector while pursuing sustainable growth in a
rapidly changing environment.
Looking ahead, we remain committed to further refining our operational
strategies and management practices. By maintaining our focus on efficiency,
innovation, and fiscal discipline, we are confident in our ability to navigate
upcoming challenges and seize new opportunities. Our continued investment in
technology and talent will ensure that we remain at the forefront of industry
advancements, all while delivering consistent value to our stakeholders.
In summary, the past year has been one of transformation and progress. We are
proud of the steps we have taken to optimise our planning and working
processes, and we look forward to building on this momentum in the year to
come.
Business Environment
The current supercapacitor market, particularly in the Electric Double-Layer
Capacitor (EDLC) segment, is characterised by rapid growth driven by
increasing demand for energy storage solutions in various applications,
including electric vehicles, renewable energy systems, IoT, medical healthcare
and industrial equipment. EDLCs are favoured for their high-power density,
long cycle life and fast charging capabilities, making them ideal for
applications requiring quick bursts of energy and reliable performance.
Within the EDLC segment, prismatic supercapacitors have gained traction due to
their compact form factor and ease of integration into space-constrained
devices. Prismatic designs offer higher energy density compared to cylindrical
counterparts, making them suitable for emerging applications like automotive
power systems, grid storage, IoT, medical healthcare and advanced electronics.
Despite growing market opportunities, the competitive landscape remains
intense with pressure on pricing due to the influx of new manufacturers and
the pursuit of economies of scale. However, innovations in materials and
improvements in energy density present significant opportunities for
differentiation. Companies that can balance cost-efficiency with
high-performance characteristics are well-positioned to capture market share
and drive growth in this expanding industry.
Opportunities
The supercapacitor market continues to present significant opportunities for
growth, driven by the increasing demand for high-efficiency energy storage
solutions across automotive, renewable energy, IoT, healthcare and industrial
electronic sectors. Our expanded product portfolio, including DMH (smallest
formfactor with 0.4mm), DMV (3 Volt version), and SMT (Surface-Mount
Technology) supercapacitors, positions us to capture emerging market
opportunities and meet diverse customer needs.
The DMH and DMV models are designed to offer superior energy density and
enhanced power capabilities, ideal for applications such as wearables,
industrial power systems and advanced energy storage. These products align
with the market's shift towards electrification and the need for efficient,
fast-charging solutions.
The SMT line, offering compact, surface-mounted supercapacitors, caters to
miniaturised devices in consumer electronics and IoT applications, where space
and power efficiency are critical. This product range enables us to serve new
markets and diversify our revenue streams while maintaining our competitive
edge through advanced design and integration capabilities.
By strategically expanding into these segments, we aim to leverage our
innovation capabilities and secure a strong foothold in the high-growth areas
of the supercapacitor market, ensuring long-term profitability and market
leadership.
Research and Development
The markets in which the Company operates are competitive and are
characterised by rapid technological change. CAP-XX has a strong competitive
position in prismatic supercapacitors in all of its target markets as a result
of its capability to produce supercapacitors with a high energy and power
density in a small, conveniently sized, flat package. CAP-XX's devices are
also lightweight, work over a broad temperature range and have an operating
lifetime measured in years.
The Company's success depends on its ability to protect and prevent any
infringements of its intellectual property. To protect this important asset,
the Company has considerable intellectual property embodied in its patents
covering the design, manufacture and use of its high-performance
supercapacitors. The CAP-XX patent portfolio currently consists of seven
patent families, with seven granted national patents with an additional two
patent applications pending in various jurisdictions. The Company's
intellectual property strategy has been to build value by focusing on
opportunities to capture market share and exclude competition, with an IP
portfolio capable of generating licensing revenue. The Directors believe that
comprehensive embodiments and interlocking patent groups, combined with a
'quick to file, quick to abandon' policy, have given the Company a strong and
focused IP portfolio.
Outlook
The major focus for CAP-XX continues to be towards becoming profitable and
cashflow positive in FY26. This will be achieved by the transformation
process to increase efficiency and lower costs, through an increased focus on
the customer supported with a stabilised distribution network, supplemented by
the newly launched product families and the intellectual property which the
Company is continuously developing.
Financial performance
A reconciliation of the loss attributable to the owners of CAP-XX Limited as
reported in the consolidated statement of profit or loss through to EBITDA and
Adjusted EBITDA is tabled below:
Consolidated
EBITDA and Adjusted EBITDA Calculation
2024 2023
AUD AUD
Loss attributable to owners of CAP-XX Limited (5,987,297) (5,559,127)
Depreciation / Amortisation 734,726 741,552
Interest Expense 307,268 287,208
Interest Income (4,929) (664)
EBITDA (4,950,232) (4,531,031)
Share Based payments 131,399 613,980
Add back: Non-recurring costs
Legal costs incurred in resolving licence fee disputes 2,218,388 1,472,664
Credit loss associated with licence fee disputes 75,652 189,491
Restructuring costs 954,338 -
CEO transition costs - 872,122
Deduct: Non-recurring income
Licence fees and royalties recognised in the year - (342,998)
Adjusted EBITDA (1,570,455) (1,725,772)
The Company reported an EBITDA loss of A$5.0 million in FY24. The EBITDA
loss increased by $0.4m from FY23 mainly due to the increase in costs
associated with resolving the legacy licence fee disputes.
Adjusted EBITDA for FY24 excludes non-recurring transactions associated with
resolving the licence fee disputes and the costs incurred in FY24 from
restructuring the business. Adjusted EBITDA for FY23 excludes non-recurring
transactions associated with resolving the licence fee disputes, the CEO
transition costs and excludes non-recurring income following the settlement of
the licence fee disputes. Adjusted EBITDA loss has decreased by $0.2m when
comparing FY23 performance to FY24.
Certain financial information in the Chairman's Report and Business Review
reference Earnings Before Interest, Tax, Depreciation and Amortisation
(EBITDA) and adjusted EBITDA have been derived from the audited financial
statements.
EBITDA and adjusted EBITDA positions are non-IFRS financial information used
by the Directors and Management to assess the underlying performance of the
business and as such have not been audited.
CAP-XX Limited
Consolidated statement of profit or loss
For the year ended 30 June 2024
Consolidated
2024 2023
Currency: Australian Dollars Notes $ $
Revenue from contracts with customers 1 4,593,490 3,631,690
Cost of sales 2 (3,214,710) (2,060,527)
Gross Profit 1,378,780 1,571,163
Other income 3 1,950,780 2,165,429
General and administrative expenses (2,423,857) (2,407,328)
Process and engineering expenses (1,320,762) (1,357,516)
Selling and marketing expenses (691,090) (846,536)
Research and development expenses (1,264,491) (1,377,519)
Legal expenses (2,255,213) (1,472,664)
Share based payment expense 2 (131,399) (613,980)
Other expenses 2 (192,980) (192,080)
Depreciation and Amortisation 2 (734,726) (741,552)
Interest expense 2 (307,268) (287,208)
Interest income 4,929 664
Loss before income tax (5,987,297) (5,559,127)
Income tax benefit - -
Net loss for the year (5,987,297) (5,559,127)
Loss attributable to owners of CAP-XX Limited (5,987,297) (5,559,127)
Earnings per share for loss attributable to the ordinary equity holders of the Cents Cents
Company
Basic loss per share 4 (0.54) (1.05)
Diluted loss per share 4 (0.54) (1.05)
The above consolidated statement of profit or loss should be read in
conjunction with the accompanying notes.
CAP-XX Limited
Consolidated statement of comprehensive income
For the year ended 30 June 2024
Consolidated
2024 2023
Currency: Australian Dollars Notes $ $
Loss for the year (5,987,297) (5,559,127)
Other comprehensive income/(loss)
Items that may be reclassified subsequently to profit or loss
Exchange differences on translation of foreign operations (43,068) (27,433)
Other comprehensive income for the year, net of tax (43,068) (27,433)
Total comprehensive (loss)/income for the year attributable to owners of (6,030,365) (5,586,560)
CAP-XX Limited
The above consolidated statement of comprehensive income should be read in
conjunction with the accompanying notes.
CAP-XX Limited
Consolidated statement of financial position
As at 30 June 2024
Consolidated
2024 2023
Currency: Australian Dollars Notes $ $
ASSETS
Current assets
Cash and cash equivalents 1,916,995 2,643,810
Receivables 686,065 959,515
Inventories 1,678,616 2,201,906
Other 1,993,015 2,429,946
Total current assets 6,274,691 8,235,177
Non-current assets
Property, plant and equipment 2,043,449 2,428,233
Right of use assets 1,847,504 2,193,777
Other 204,808 204,808
Total non-current assets 4,095,761 4,826,818
Total assets 10,370,452 13,061,995
LIABILITIES
Current liabilities
Payables 1,658,885 1,833,557
Lease liabilities 261,521 194,888
Provisions 456,124 632,655
Interest bearing liabilities 768,174 1,038,054
Total current liabilities 3,144,704 3,699,154
Non-current liabilities
Lease liabilities 1,746,642 2,024,584
Provisions 869,730 803,910
Total non-current liabilities 2,616,372 2,828,494
Total liabilities 5,761,076 6,527,648
Net assets 4,609,376 6,534,347
EQUITY
Contributed equity 122,900,813 119,175,769
Reserves 8,437,602 8,100,320
Accumulated losses (126,729,039) (120,741,742)
4,609,376 6,534,347
TOTAL EQUITY
The above consolidated statement of financial position should be read in
conjunction with the accompanying notes.
CAP-XX Limited
Consolidated statement of changes in equity
For the year ended 30 June 2024
Consolidated
Currency: Australian Dollars Notes Contributed Reserves Accumulated losses Total
Equity $ $ $
$
Balance at 30 June 2022 114,511,790 7,513,773 (115,182,615) 6,842,948
Loss for the year - - (5,559,127) (5,559,127)
Other comprehensive income - (27,433) - (27,433)
Transactions with owners in their capacity as owners:
Contributions of equity, net of transaction costs and tax 4,663,979 - - 4,663,979
Employee share options ‑ value of employee services - 613,980 - 613,980
Balance at 30 June 2023 119,175,769 8,100,320 (120,741,742) 6,534,347
Loss for the year - - (5,987,297) (5,987,297)
Other comprehensive income - (43,068) - (43,068)
Transactions with owners in their capacity as owners:
Contributions of equity, net of transaction costs and tax 3,725,044 - - 3,725,044
Share warrants issued - 249,016 - 249,016
Employee share options ‑ value of employee services - 131,334 - 131,334
Balance at 30 June 2024 122,900,813 8,437,602 (126,729,039) 4,609,376
The above consolidated statement of changes in equity should be read in
conjunction with the accompanying notes.
CAP-XX Limited
Consolidated statement of cash flows
For the year ended 30 June 2024
Consolidated
2024 2023
Currency: Australian Dollars Notes $ $
Cash flows from operating activities
Receipts from customers (inclusive of goods and services tax) 4,958,534 3,806,845
Payments to suppliers and employees (inclusive of goods and services tax) (10,891,212) (9,976,681)
(5,932,678) (6,169,836)
R&D Tax incentive received 2,078,779 2,043,384
Interest paid (188,465) (207,787)
Interest received 4,929 664
Net cash (outflow) from operating activities (4,037,435) (4,333,575)
Cash flows from investing activities
Payments for property, plant and equipment (net) (20,381) (118,166)
Net cash (outflow) from investing activities (20,381) (118,166)
Cash flows from financing activities
Proceeds from issue of shares 4,321,723 5,074,950
Costs associated with the issue of shares (347,662) (410,971)
Repayment of borrowings (1,111,934) -
Proceeds from borrowings 723,251 1,038,054
Principal repayments for lease liabilities (211,309) (193,763)
Net cash inflow from financing activities 3,374,069 5,508,270
Net increase/(decrease) in cash and cash equivalents (683,747) 1,056,529
Cash and cash equivalents at the beginning of the financial year 2,643,810 1,614,714
Effects of exchange rate changes on cash and cash equivalents (43,068) (27,433)
Cash and cash equivalents at the end of the financial year 1,916,995 2,643,810
The above consolidated statement of cash flows should be read in conjunction
with the accompanying notes.
Notes to the financial statements
Basis of preparation
The financial information included in this announcement does not constitute
statutory accounts within the meaning of the Australian Corporations Act
2001. Whilst the financial information has been computed in accordance with
Australian equivalents to International Financial Reporting standards and
other authoritative pronouncements of the Australian Accounting Standards
Board, Urgent Issues Group Interpretations and the Corporations Act 2001, this
announcement does not itself contain sufficient information to comply with
those requirements.
Note 1 Revenue Consolidated
2024 2023
$ $
Sales revenue
Sale of goods (recognised at a point in time) 4,593,490 3,288,692
Licence Fees & Royalties (recognised at a point in time) - 342,998
4,593,490 3,631,690
Other revenue
Interest 4,929 664
Note 2 Expenses Consolidated
2024 2023
$ $
Loss before income tax includes the following specific expenses:
Cost of sale of goods
Direct materials and labour 2,722,251 1,805,749
Movement in stock provision 95,892 (19,033)
Indirect manufacturing expenses 396,567 273,811
Total cost of sale of goods 3,214,710 2,060,527
Depreciation
Plant and equipment 387,354 384,635
Furniture and fittings 262 294
Leasehold improvements 837 1,124
Right of use Assets 346,273 355,499
Total depreciation 734,726 741,552
Other expenses - movement in provisions
Allowance for expected credit loss 75,652 189,491
Provision for make good on premises 52,086 40,999
Provision for Withholding Tax Diminution - 18,274
127,738 248,764
Finance costs
Interest - lease liabilities 188,465 206,663
Interest - R&D Advance 118,803 80,545
307,268 287,208
Employee benefits expense 3,551,320 4,161,394
Superannuation expense 379,701 397,130
Share based payments 131,334 613,980
Note 3 Other income Consolidated
2024 2023
$ $
Foreign Exchange Gains - (net) - 22,045
R&D Tax Incentive 1,950,780 2,143,384
1,950,780 2,165,429
Note 4 Earnings per share
Earnings per share for (loss) attributable to the ordinary equity holders of
the Group.
Consolidated
2024 2023
Cents Cents
(a) Basic earnings per share
(Loss) attributable to the ordinary equity holders of the Company (0.54) (1.05)
(b) Diluted earnings per share
(Loss) attributable to the ordinary equity holders of the Company (0.54) (1.05)
Consolidated
2024 2023
Number Number
(c) Weighted average number of shares used as the denominator
Weighted average number of ordinary shares used as the denominator in 1,118,079,098 529,010,650
calculating basic earnings per share
Weighted average number of ordinary shares and potential ordinary shares used 1,118,079,098 529,010,650
as the denominator in calculating diluted earnings per share
Options are considered to be potential ordinary shares. The options are not
included in the calculation of diluted earnings per share because they are
anti-dilutive. These options could potentially dilute basic earnings per share
in the future.
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