Inspirit Energy Hlds - Half-year Report

Inspirit Energy Holdings

29/03/2019 07:01

RNS Number : 3995U

Inspirit Energy Holdings PLC

29 March 2019

 

29 March 2019

 

Inspirit Energy Holdings PLC

("Inspirit Energy", the "Group" or the "Company")

 

 

Interim Results

 

Inspirit Energy Holdings PLC (AIM: INSP), the developer of micro Combined Heat and Power (microCHP) boilers, is pleased to announce its interim accounts for the six months ended 31 December 2018. The interim financial information document will also be available on the Company's website www.inspirit-energy.com.

 

 

Chairman's Statement:

 

During the period, the Group has continued to advance its microCHP boiler closer towards the goal of commercialisation. To this end, improvements to the design of the Group's Stirling engine technology, including simplification as part of the 'design for manufacture' process and meeting the challenges in new technology development, sourcing cheaper materials and efficiency re-redesign, has resulted in further delays to the certification process although we hope to progress forward with a higher output and cheaper cost base product latter his year.

 

The Group has continued discussions with a European company that may carry out the certification process, with the new cheaper but robust material employed in the latest model, and advanced manufacturing processes as and when the product is approved for production.

 

As mentioned previously, the applicable market for our technology is global, either as a boiler replacement product or as an add-on to an existing commercial plant room. In the UK there are in excess of 20 million gas boilers installed and more than 1.6 million new and replacement domestic gas boilers are installed each year. This is in addition to almost 300,000 commercial boiler installations each year. Europe as a whole has approximately 70 million boilers installed. These are the first markets to which our technology is applicable.

 

 

For further information please contact:

 

Inspirit Energy Holdings plc
John Gunn, Chairman and CEO
+44 (0) 207 048 9400
Beaumont Cornish Limited
www.beaumontcornish.com
(Nominated Advisor)
Roland Cornish / James Biddle
+44 (0) 207 628 3396
SVS Securities Plc
(Joint Broker)
Tom Curran
+44 (0) 203 700 0093

 

 

INSPIRIT ENERGY HOLDINGS PLC

Consolidated

Statement of Comprehensive Income

for the six months ended 31 December 2018

 

 

Group
Six months
to
31 December 2018
Unaudited
Group
Six months
to
31 December 2017
Unaudited
Group
Year
to
30 June
2018
Audited
£'000s
£'000s
£'000s
Revenue
-
-
-
Administrative expenses
(213)
(169)
(545)
Impairment of development assets
(424)
────────
────────
────────
Operating loss
(213)
(169)
(969)
Finance costs
(1)
(15)
(4)
────────
────────
────────
Loss before tax
(214)
(184)
(973)
Income tax credit
-
-
20
────────
────────
────────
Loss for the period from continuing
operations attributable to shareholders
(214)
(184)
(953)
════════
════════
════════
Loss per share - Pence
Basic and diluted
(0.01)p
(0.01)p
(0.07)p
════════
════════
════════


 

INSPIRIT ENERGY HOLDINGS PLC

Consolidated

Statement of Financial Position as at 31 December 2018

 

Group
As at
31 December 2018
Unaudited
Group
As at
31 December 2017
Unaudited
Group
As at
30 June
2018
Audited
£'000s
£'000s
£'000s
Non-Current Assets
Intangible assets
2,401
2,783
2,401
Tangible assets
42
49
45
───────
───────
───────
2,443
2,832
2,446
Current assets
Trade and other receivables
37
48
415
Cash and cash equivalents
175
53
45
───────
───────
───────
212
101
460
───────
───────
───────
Current liabilities
Trade and other payables
(226)
(287)
(263)
Other borrowing
(100)
(180)
(100)
───────
───────
───────
(326)
(467)
(363)
───────
───────
───────
Net Current Liabilities
(114)
(366)
97
Non-Current Liabilities
Borrowings
(845)
-
(845)
───────
───────
───────
1,484
2,466
1,698
═══════
═══════
═══════
Equity
Share capital
1,818
1,818
1,818
Share premium
8,185
8,184
8,185
Other reserves
3
206
3
Merger reserve
3,150
3,150
3,150
Reverse acquisition reserve
(7,361)
(7,361)
(7,361)
Retained losses
(4,311)
(3,531)
(4,097)
───────
───────
───────
Total
1,484
2,466
1,698
═══════
═══════
═══════


 

INSPIRIT ENERGY HOLDINGS PLC

Consolidated

Statement of Changes in Equity

For the six months ended 31 December 2018

 

 

 

Attributable to the owners of the parent
Share
Share premium
Other reserves
Merger reserve
Reverse acquisition reserve
Retained
Total
capital
losses
Equity
£'000
£'000
£'000
£'000
£'000
£'000
£'000
BALANCE AT 30 June 2016
1,334
8,097
206
3,150
(7,361)
(2,829)
2,597
Loss for the year
-
-
-
-
-
(419)
(419)
TOTAL COMPREHENSIVE INCOME FOR THE YEAR
-
-
-
-
-
(419)
(419)
Share issues
234
58
-
-
-
-
292
Share issue costs
-
(11)
-
-
-
-
(11)
Debt Adjustment
(99)
(99)
TRANSACTIONS WITH OWNERS
234
47
-
-
-
(99)
182
BALANCE AT 30 June 2017
1,568
8,144
206
3,150
(7,361)
(3,347)
2,360
Loss for the period
-
-
-
-
-
(953)
(953)
TOTAL COMPREHENSIVE INCOME FOR THE PERIOD
-
-
-
-
-
(953)
(953)
Share issues
250
50
-
-
-
-
300
Share issue costs
-
(9)
-
-
-
-
(9)
Share options lapsed
(203)
203
-
TRANSACTIONS WITH OWNERS
250
41
(203)
-
-
203
291
BALANCE AT 30 June 2018
1,818
8,185
3
3,150
(7,361)
(4,097)
1,698
Loss for the period
-
-
-
-
-
(214)
(214)
TOTAL COMPREHENSIVE INCOME FOR THE PERIOD
-
-
-
-
-
(214)
(214)
Share issues
-
-
-
-
-
-
-
Share issue costs
-
-
-
-
-
-
-
TRANSACTIONS WITH OWNERS
-
-
-
-
-
-
-
BALANCE AT 31 December 2018
1,818
8,185
3
3,150
(7,361)
(4,311)
1,484

 

 

INSPIRIT ENERGY HOLDINGS PLC

Consolidated

Statement of Cash Flows

For the six months ended 31 December 2018

 

 

Group
Six months
to
31 December 2018
Unaudited
Group
Six months
to
31 December 2017
Unaudited
Group
Year
to
30 June
2018
Audited
Note
£'000
£'000
£'000
Operating activities
Net cash from operating activities
6
131
(137)
(960)
───────
───────
───────
Net cash generated/(used) in operating activities
131
(137)
(960)
───────
───────
───────
Investing activities
Acquisition of intangible assets
-
(115)
(157)
Acquisition of plant and equipment
-
-
-
───────
───────
───────
Net cash from financing activities
-
(115)
(157)
───────
───────
───────
Financing activities
Issue of share capital (Net of fees)
-
290
291
Finance costs
(1)
(15)
(4)
Increase in borrowing
-
-
-
Transactions with owners
845
───────
───────
───────
Net cash from financing activities
(1)
275
1,132
───────
───────
───────
Net cash outflow
130
23
15
Cash and cash equivalents at the beginning of the period
45
30
30
───────
───────
───────
Cash and cash equivalents at the end of the period
175
53
45
═══════
═══════
═══════


 

 

 

 

 

 

 

 

 

 

INSPIRIT ENERGY HOLDINGS PLC

 

Consolidated Notes to the Interim Financial Information

 

1.   General Information

 

      The principal activity of Inspirit Energy Holdings PLC ("the Company") during the period was that of an investment company which aims to invest in disruptive products or technologies that are either proven or at the later stages of development, which own or have exclusive licence to the relevant intellectual property and may benefit from feed-in tariffs or other renewable energy incentives.

     

      Inspirit Energy Holdings PLC is a company incorporated and domiciled in England and Wales and quoted on AIM, a market operated by the London Stock Exchange. The address of its registered office is 2nd Floor, 2 London Wall Buildings, London, EC2M 5PP, United Kingdom.

 

2.   Basis of Preparation

 

The interim financial information set out above does not constitute statutory accounts within the meaning of the Companies Act 2006.  It has been prepared on a going concern basis in accordance with the recognition and measurement criteria of International Financial Reporting Standards (IFRS) as adopted by the European Union. Statutory financial statements for the year ended 30 June 2018 were approved by the Board of Directors on 28 December 2018 and delivered to the Registrar of Companies. The report of the auditors on those financial statements was unqualified.

 

The interim financial information for the six months ended 31 December 2018 has not been reviewed or audited.  The interim financial report has been approved by the Board on 28 March 2019.

 

Going concern

 

The Directors, having made appropriate enquiries, consider that adequate resources exist for the Company to continue in operational existence for the foreseeable future and that, therefore, it is appropriate to adopt the going concern basis in preparing the interim financial statements for the period ended 31 December 2018.

 

Risks and uncertainties

 

The Board continuously assesses and monitors the key risks of the business. The key risks that could affect the Company's medium term performance and the factors that mitigate those risks have not substantially changed from those set out in the Company's 2018 Annual Report and Financial Statements, a copy of which is available on the Company's website: www.inspirit-energy.com. The key financial risks are liquidity and credit risk.

 

Critical accounting estimates

 

The preparation of interim financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities at the end of the reporting period. Significant items subject to such estimates are set out in note 2 of the Company's 2018 Annual Report and Financial Statements. The nature and amounts of such estimates have not changed significantly during the interim period.

 

 

3.   Significant Accounting Policies

 

     The accounting policies applied are consistent with those of the annual financial statements for the year ended 30 June 2018, as described in those annual financial statements.

 

4.  Segmental Analysis

 

The Company's primary reporting format is business segments and its secondary format is geographical segments. The Company only operates in a single business and geographical segment. Accordingly, no segmental information for business segment or geographical segment is required.

 

5.   Loss per Share

 

The loss per ordinary share is based on the Group's loss for the period of £214,000 (company's loss - 6 months to 31 December 2017 £184.000; year ended 30 June 2018 - £953,000) and a basic and diluted weighted average number of ordinary shares of £0.001 each in issue of 1,470,806,859 (31 December 2017 1,420,806,859 - basic and diluted 1,470,806,859; 30 June 2018).

 

 

 

6.   Reconciliation of Operating Loss to Net Cash Outflow from Operating Activities

Group
Six months
to
31 December
2018
Unaudited
Group
Six months
to
31 December 2017
Unaudited
Group
Year
to
30 June
2018
Audited
£'000s
£'000s
£'000s
Operating Loss for the period
(214)
(184)
(549)
Adjustments for :
(Increase)/Decrease in receivables
379
125
(241)
(Decrease)/Increase in payables
(35)
(97)
(183)
Depreciation
-
4
9
Finance expense
1
15
4
───────
───────
───────
Net cash from operating activities
131
(137)
(960)
═══════
═══════
═══════

 

 

 

7.   Issued and fully paid

 

      The issued share capital is as follows

 

Number of ordinary shares
Number of deferred shares
Ordinary shares
Deferred shares
New Deferred B shares
Share premium
Total
£
£
£
£
£
At 30 June 2016
936,806,859
400,932
936,807
396,923
-
11,247,671
12,581,401
Issue of new shares
234,000,000
-
234,000
-
-
58,500
292,500
Issue costs
-
-
-
-
-
(10,750)
(10,750)
At 30 June 2017
1,170,806,859
400,932
1,170,807
396,923
-
11,295,421
12,863,151
Issue of new shares
300,000,000
-
250,000
-
-
50,000
300,000
Capital Reorganisation
(1,406,599)
1,406,599
-
-
Issue costs
-
-
-
-
-
(9,765)
(9,765)
At 30 June 2018
1,470,806,859
400,932
14,208
396,923
1,406,599
11,335,656
13,153,386
Issue of new shares
-
-
-
-
-
-
-
Issue costs
-
-
-
-
-
-
-
At 31 December 2018
1,470,806,859
400,932
14,208
396,923
1,406,599
11,335,656
13,153,386

 

8.   Copies of this interim financial information document are available from the Company at its registered office at 2nd Floor, Number 2, London Wall Buildings, London, EC2M 5PP. The interim financial information document will also be available on the Company's website www.inspirit-energy.com.

 

 

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END

 

 

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