REG - Fulcrum Utility Srvc - Preliminary results for year ended 31 March 2016 <Origin Href="QuoteRef">FCRM.L</Origin> - Part 2

Fulcrum Utility ServicesAnnouncement

07/06/2016 07:06

- Part 2: For the preceding part double click  ID:nRSG3729Aa 

  
 At 31 March 2015                         2,225     612       2,837    
 At 1 April 2014                          2,225     1,134     3,359    
 
 
Goodwill brought forward at the start of the year relates to the acquisition
of Fulcrum Group Holdings Limited on 8th July 2010. The carrying amount of the
intangible asset is allocated across cash-generating units (CGUs). All of the
goodwill held by the Group is considered to fall in the CGU of Infrastructure
Services. The recoverable amount of goodwill has been calculated with
reference to its value in use. 
 
The Group prepares cash flow forecasts derived from the most recent three year
financial budgets approved by management and extrapolated for three years
using a conservative estimated growth rate of 1.5%.  The key assumptions of
this calculation are shown below: 
 
                                                          Year ended31 March 2016  Year ended31 March 2015  
 Period on which management approved forecasts are based  3 years                  3 years                  
 Growth rate applied beyond approved forecast period      1.5%                     1.5%                     
 Discount rate                                            7.1%                     11.0%                    
 
 
No reasonable possible change in the assumptions noted above would lead to an
impairment charge being required. 
 
8.    Trade and other payables 
 
                               31 March 2016  31 March 2015  
                               £'000          £'000          
 Trade payables                2,068          813            
 Accruals and deferred income  20,568         19,883         
 Other payables                2,429          1,151          
                               25,065         21,847         
 
 
Of the £20.6 million accruals and deferred income, £13.7 million (2015: £12.1
million) relates to deferred income. Deferred income represents contracted
sales for which services to customers will be provided in future periods. 
 
9.    Share based payments 
 
In the year, the Group recognised total expense before tax of £314,000 (2015:
£74,000) in relation to equity settled share based payments transactions in
the statement of comprehensive income. These options have been credited
against retained earnings reserve. No cash-settled share based payment awards
have been granted to employees. 
 
10.  Reconciliation to net funds 
 
                            31 March 2016  31 March 2015  
                            £'000          £'000          
 Cash and cash equivalents  8,323          5,746          
 Finance lease liabilities  -              (168)          
 Net funds                  8,323          5,578          
 
 
11.  Share premium 
 
                   31 March 2016  31 March 2015  
                   £'000          £'000          
 At 1 April 2015   16,182         16,182         
 Dividends paid    (1,087)        -              
 Shares issued     138            -              
 At 31 March 2016  15,233         16,182         
 
 
12.  Revaluation reserve 
 
                                        31 March 2016  31 March 2015  
                                        £'000          £'000          
 At 1 April 2015                        2,449          2,449          
 Revaluation in the period              708            -              
 Revaluation reserve transfer           (14)           -              
 Recognition of deferred tax liability  (64)           -              
 At 31 March 2016                       3,079          2,449          
 
 
13.  Retained earnings 
 
                                                  31 March 2016  31 March 2015  
                                                  £'000          £'000          
 At 1 April 2015                                  (17,693)       (20,569)       
 Retained profit in the period                    4,734          2,802          
 Revaluation reserve transfer                     14                            
 Equity-settled share based payment transactions  314            74             
 At 31 March 2016                                 (12,631)       (17,693)       
 
 
14.  Related parties 
 
The Group has a related party relationship with its subsidiaries and with its
Directors. Details of the remuneration, share options and pension entitlement
of the Directors are included in the Annual Report. 
 
This information is provided by RNS
The company news service from the London Stock Exchange