Microsaic Systems - Half-year Report
12/11/2024 07:00
For best results when printing this announcement, please click on link below:
https://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20241112:nRSL7973La&default-theme=true
RNS Number : 7973L Microsaic Systems plc 12 November 2024
THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION
FOR IMMEDIATE RELEASE
12 November 2024
Microsaic Systems plc
("Microsaic", "Microsaic Systems" or the "Company")
Interim Results for the six months ended 30 June 2024
Change of Registered Office
Proposed change of name
Microsaic Systems plc (AIM: MSYS), an international developer and provider of
testing solutions for unique and underserved public health and environmental
markets, is pleased to announce its unaudited interim results for the six
months ended 30 June 2024 ("H1 24").
Bob Moore, Acting Executive Chairman of Microsaic Systems plc, commented:
"2023 was an extremely challenging year for the Company resulting in a
complete restructure of the organisation in 2024.The first six months of 2024
has seen a transformational re-focus of the Microsaic Group following the
equity fund raise and acquisition of the assets of Modern Water. A total reset
of the business has been achieved as a result. After initial restructuring,
new setup costs and investment to integrate the acquisition of the assets of
Modern Water with Microsaic Systems, the Company is now well positioned to
move forward with its comprehensive portfolio of testing and analytical
technologies particularly in the water quality, safety, public health and
environment protection sectors. As a purpose driven newly integrated business,
we plan to be a market leader in these critically important fields for human
wellbeing and our natural world."
H1 24 Financial Highlights
· Unaudited Group revenues of £255k: an increase of 83% on (H1 23:
£139k)
• Modern Water subsidiary revenues of £185k
• Microsaic subsidiary revenues of £70k (H1 23: £139k)
· Group gross profit was £122k (H1 23: loss £6k)
· Group Adj.* EBITDA loss of £477k, a reduction of 53% compared to H1
23 Adj. EBITDA loss (£1,022k)
· Group total comprehensive loss of £536k, a reduction of 50% compared
to H1 23 loss (£1,078k)
· Cash at 30 June 2024 was £982k (H1 23: £587k) and Company is debt
free
*Loss of earnings before interest, tax, depreciation, amortisation and other
items such as share-based payments and exceptional one-off expenditure.
Operational highlights
· Completion of a net £1.8m equity funding round in January 2024
· Completion and integration of the business assets of Modern Water,
purchased for £100,000
· The Company received £262k in a research and development tax
reclaim from HMRC
· Fit-out and validation of new 1,800 sq ft facility in York, new
production, sales and support teams hired
· Secured UK based supply chain for production of equipment,
consumables and reagents
· Passed ISO9001 audit and implemented comprehensive Quality
Management System (QMS) including electronic document management systems to
integrate Modern Water processes
· Re-established distribution and sales network for Modern Water with
revenues commencing in May 2024
· An agreement was signed to provide water monitoring analysis
systems for Doha, Qatar. During the first six months period revenues of over
£143k have been booked to Modern Water from this ongoing project
· The Company's technologies were showcased at the Singapore
International Water week in June 2024 sponsored by the UK Department of
Business and Trade
Post Period Events
· Appointment of Graham Mullis as Strategic Advisor to the Board of
Directors
· Completion of installation of 27 Continuous Toxic Monitoring (CTM)
devices in Doha, Qatar with potential to install additional CTM's in early
2025
· The Company's technologies were showcased at WEFTEC in October, the
largest water quality event in the US
· Change of name of Microsaic Systems plc to Metir plc with retention
of product names in trading subsidiaries (subject to shareholder approval)
· Production at our York laboratory of bio-reagents for all our
MicroTox® devices (CTM, LX and FX) fully operational with increasing sales
pipeline to exisiting and new Modern Water customers
· Redesign of laboratory based MicroTox® LX devices completed with
manufacturing starting and shipping in December 2024 to meet overseas customer
confirmed sales and enquiries
· Starting trial partnership with Siemens and CAD-IT to incorporate
machine learning data analysis software (AI) on our CTM's and other devices
· Multi Pathogen Detector for in-line real time data (including
viruses) detection based on Company's exisiting prototype developed to detect
Covid-19 in water to be introduced in 2025
Current Trading & Outlook
The first six months of 2024 saw management direct its time with investment in
infrastructure and re-establishing customer relationships with a focus on the
Modern Water subsidiary. The Board is pleased with the response from customers
and suppliers and the early revenues generated from this operating subsidiary.
This revenue progress and financial performance improvement is expected to
continue during the second half of this year with a growing order book from
existing and new customers. The Company is also focused on supply-chain
management and as revenues, the Board is also targeting an improvement in
gross margins through product mix and economies of scale. The Company has many
developments currently underway, as listed under 'Post Period Events' above
and plans to provide a more detailed operational update shortly.
A copy of these interim results is being made available on the Company's
website at https://www.microsaic.com/investors/
(https://www.microsaic.com/investors/) , and hard copies will be sent to
shareholders who have requested communications in that format. Furthermore,
the Company confirms that the annual report and audited financial results for
the year ended 31 December 2023 was posted to shareholders who have requested
communications in that format following publication on 11 October 2024.
Enquiries:
Microsaic Systems plc +44 (0) 20 3657 0050
Bob Moore, Acting Executive Chairman via TPI
Singer Capital Markets +44 (0)20 7496 3000
(Nominated Adviser & Joint Broker)
Alex Bond / Oliver Platts
Turner Pope Investments (TPI) Limited +44 (0) 20 3657 0050
(Joint Broker)
Andy Thacker / James Pope
About Microsaic Systems
Microsaic is highly experienced in the development, manufacture and supply of
microelectronics instrumentation for markets requiring analytical testing in
public and environmental health markets. The Company has recently acquired and
integrated the assets of Modern Water with Microsaic Systems' technologies
resulting in comprehensive water testing and other toxic testing capabilities.
Microsaic's products and solutions are commercially available through global
markets via a network of regional and country specific distributors and
partners.
Chairman's Statement
First, I would like to apologise for the late filing of the 2023 accounts and
consequent late filing of our 2024 interim accounts. 2023 was an extremely
challenging year for the Company caused primarily by the collapse of DeepVerge
plc, the main debtor to the Company resulting in major directorate and
management changes and the suspension of trading of the Company's shares on
AIM.
The decision in Q4 2023 to raise new equity on AIM for the Company to remain
as a going concern and to acquire the Modern Water business, which completed
in January 2024, has enabled the Company to totally reset and reinvent its
business model. The Company has become a leading water security, monitoring
and analysis business combining the early warning technologies supplied by
Modern Water technologies with the gold standard mass spectrometer detailed
analysis capabilities of Microsaic.
The Company has deployed the necessary financing to upgrade the acquired
Modern Water assets and provide capital to invest in and develop the enlarged
business. The acquired assets are complementary to the existing Microsaic
business model. Following acquisition of the Modern Water business the Company
set out to engage with previous customers to re-establish relationships and to
instigate a new sales pipeline. Using the acquired assets, we restarted the
manufacture of the MicroTox® bio-reagents (the consumables for our Modern
Water testing devices) late in Q2 2024 at our new laboratory near York,
England.
Microsaic's overall cost base has been substantially reduced and we now
operate a leaner, more efficient business model for our acquired water testing
technologies and manufacturing of our mini-mass spectrometer devices. We have
reset and redesigned the Company around a new and much more efficient model
based on the integration of the enlarged business to optimise growth of sales,
solutions and services income to be generated by the combined entities.
Business Strategy
Following the total business reset and acquisition of the Modern Water
business in January 2024, the Company's objective is to become a leading
international business offering testing solutions for unique and under-served
markets. The Company has an initial strategic focus to provide and develop
proprietary technologies for testing and monitoring toxins in water and
industrial effluents. By owning the assets of Modern Water, the Company has
gained the right to manufacture and supply a wide range of proprietary
technology devices for detecting toxins in water and liquids using MicroTox®
bio-reagent consumables. The Company will operate in a water testing market
which is worth USD 4.45 billion in 2022 and growing at 6.1% compound rate per
annum from 2023-2030 (ref Grand View Research report GVR-68040-069-5) and has
unique products that are immediately able to generate revenues and therefore
generate cash-flow. In the near term, most of the company's income is
expected to come from the Modern Water part of the business.
The unique and proprietary mini mass spectrometers developed and supplied by
the Microsaic Systems subsidiary complements the Modern Water devices. The
Company is becoming a leading water security, monitoring and analysis business
combining the early warning technologies supplied by Modern Water technologies
with its gold standard mass spectrometer detailed analysis capabilities.
By integrating the businesses and combining the detailed analysis only
available through mass spectrometry techniques, the company now offers a
unique and comprehensive suite of devices and capabilities for detecting and
identifying toxins in water and effluents. We have collectively named this the
'Tethys Purity® solution'.
As the financial performance of the Company grows and subject to resources,
the Company will evaluate new markets that its current technologies can
provide unique testing solutions for and either pursue this organically,
inorganically or through other means such as partnerships and licensing.
Proposed change of name
Microsaic plans to rebrand to reflect the broader number of market
opportunities its suite of technologies can now serve by changing its name to
Metir plc (subject to shareholder approval) as part of the reset strategy. The
branding in its operating subsidiary companies of Modern Water and Microsaic
Systems are, however, well established and recognised trading brand names and
will be maintained. It is expected that shareholder approval will be sought at
the Company's upcoming AGM.
Appointment of adviser
We are pleased to announce that Graham Mullis has agreed to become an adviser
to the Board to assist the company with its business strategy, development and
growth plans. Graham is a seasoned healthcare entrepreneur with a track record
of leading and growing multiple companies, creating close to £1 Billion in
shareholder value during his 25-year executive career. As the former CEO of
Biocompatibles Eyecare, ClearLab International, Optivue, Lab21 and Novacyt, he
brings extensive strategic, commercial, and corporate experience whilst
operating across London AIM, Paris Euronext and NASDAQ financial markets. With
the last fifteen years dedicated to the diagnostics testing markets, including
human, research, animal, water and environmental sectors, Graham is well
positioned to offer invaluable guidance and experience to support the planning
of Microsaic's strategic growth and performance.
Cash Position
Within its FY23 Final Results Announcement released on 11 October 2024, the
Company provided a detailed update on its cash flow projections together with
a sensitivity analysis exploring a severe but plausible downside scenario. The
Directors confirm that this assessment remains as accurate as at today's date
and remind readers that, under the reverse stress test performed, a minimum
sales level of approximately £84k per month, in addition to the Qatar
contract, is required to enable the Company to remain liquid and with positive
cash headroom over the next twelve months. While the directors consider this
to be an achievable target, it is acknowledged that this exceeds the level of
turnover experienced in the year ending 31 December 2023 or in 2024 to date.
The Company had net cash as at 11 November 2024 of £257k. It is expecting to
receive VAT repayments totalling approximately £75k across November 2024 and
December 2024 and approximately £194k from a customer based in the Middle
East in November 2024. These payments will materially improve the Company's
cash position.
STATEMENT OF COMPREHENSIVE INCOME (UNAUDITED)
FOR THE SIX MONTHS ENDED 30 JUNE 2024
6 months 6 months Year to 31
to 30 June to 30 June December
2024 2023 2023
Notes Unaudited Unaudited Audited
£000s £000s £000s
Revenue 4 255 139 492
Cost of sales 5 (133) (145) (193)
Gross profit 122 (6) 299
Other operating income - - -
Research and development expenses - (312)
Impairment of related party debt - - (6)
Other operating expenses (674) (853) (2,876)
Total operating expenses (674) (1,165) (2,882
Loss from operations before share-based payments (552) (1,171) (2,583)
Share-based payments 11 - - (21)
Loss from operations after share-based payments (552) (1,171) (2,604)
Financial cost (1) (5)
Finance income 16 13 13
Loss before tax (536) (1,159) (2,597)
Tax on loss on ordinary activities 81 -
Total comprehensive loss for the period (536) (1,078) (2,597)
Loss per share attributable to the equity holders of
the Company
Basic and diluted loss per ordinary shares 6 (0.008)p (0.017)p (0.041)p
Note that the above revenues in the 6 months to 20 June 2024 include £144,000
in respect of an ongoing contract with Avanceon for installation of Continuous
Toxic Monitoring (CTM) equipment in Doha, Qatar.
STATEMENT OF FINANCIAL POSITION (UNAUDITED)
AS AT 30 JUNE 2024
30 June 30 June 31 December
2024 2023 2023
Notes Unaudited Unaudited Audited
£000s £000s £000s
ASSETS
Non-current assets
Intangible assets 75 60 53
Property, plant and equipment 133 287 113
Right of use assets - 38 -
Total non-current assets 208 385 166
Current assets
Inventories 265 284 103
Trade and other receivables 426 448 10
Corporation tax receivable - 343 261
Cash and cash equivalents 982 587 173
Total current assets 1,673 1,662 547
TOTAL ASSETS 1,881 2,047 713
EQUITY AND LIABILITIES
Equity
Share capital 1,748 1,731 1,731
Share premium 30,095 28,262 28,263
Share-based payment reserve - 2,316 -
Retained losses (30,386) (30,669) (29,850)
Total Equity 1,457 1,640 144
Current liabilities
Trade and other payables 387 219 519
Lease liability 18 18 8
Total current liabilities 405 237 527
Non-current liabilities
Provision 9 19 149 30
Lease liability - 21 13
Total non-current liabilities 19 170 43
Total liabilities 424 407 570
TOTAL EQUITY AND LIABILITIES 1,881 2,047 713
STATEMENT OF CHANGES IN EQUITY (UNAUDITED)
AS AT 30 JUNE 2024
Share
based
Share Share payment Retained Total
capital premium reserve Losses equity
£000s £000s £000s £000s £000s
At 1 January 2023 1,731 28,262 2,401 (29,675) 2,719
Total comprehensive loss for the period - - - (1,079) (1,079)
Transactions with owners
Shares issued - -
Transfer in respect of lapsed share options - - (85) 85 -
Share based payments share options - - -
At 30 June 2023 1,731 28,262 2,316 (30,669) 1,640
At 1 July 2023 1,731 28,262 2,316 (30,669) 1,640
Total comprehensive loss for the period - - - (1,518) (1,518)
Transactions with owners
Transfer in respect of directors' warrants exercised - - (1,503) 1,503 -
Transfer in respect of lapsed share options - - (834) 834 -
Share based payments-share options - - 21 - 21
At 31 December 2023 1,731 28,262 - (29,850) 143
At 1 January 2024 1,731 28,262 - (29,850) 143
Total comprehensive loss for the period - - - (536) (536)
Transactions with owners
Transfer in respect of lapsed share options -
Shares issued 17 1,833 1,850
Share based payments share options - - - -
At 30 June 2024 1,748 30,095 - (30,386) 1,457
STATEMENT OF CASH FLOWS (UNAUDITED)
FOR THE SIX MONTHS ENDED 30 JUNE 2024
6 months 6 months Year to 31
to 30 June to 30 June December
2024 2023 2023
Notes Unaudited Unaudited Audited
£ £ £000s
Cash flows from operating activities
Cash absorbed by operations 12 (1,191) (871) (1,311)
Corporation tax received 262 253 253
Net cash used in operating activities (929) (618) (1,058)
Cash flows from investing activities
Purchases of intangible assets (38) (5) (11)
Purchases of property, plant and equipment (90) (23) (2)
Proceeds from sale of Non-current assets - 48
Interest received 16 13 13
Net cash used in investing activities (112) (15) 48
Cash flows from financing activities
Proceeds from share issues 1,850 - -
Share issue costs - -
Repayment of lease liabilities (20) (59)
Net cash from/(used in) financing activities 1,850 (20) (59)
Net increase/(decrease) in cash and cash equivalents 809 (653) (1,069)
Cash and cash equivalents at beginning of the year 173 1,241 1,241
Cash and cash equivalents at the end of the period 982 588 173
NOTES TO THE INTERIM FINANCIAL INFORMATION (UNAUDITED)
1. Nature of Operations
Microsaic Systems plc (the "Company") is registered in England and Wales. The
Company's registered office is at York Eco Business Centre, Amy Johnson Way,
York, England YO30 4AG, with effect from 22 March 2024. The Company has two
wholly (100%) owned subsidiaries, Modern Water (U.K.) Ltd and Microsaic
Systems Trading Ltd, so the financial information relates to these
consolidated accounts together with the parent company. Microsaic is a high
technology company supplying Modern Water analytical instruments utilising the
MicroTox® bio-reagent brand manufactured at our new dedicated laboratory near
York, England. The Company also manufactures miniaturised mass spectrometers
that are designed to be utilised at point-of-need testing which can be used
complimentary to Modern Water technologies including PFAS detection.
2. Basis of preparation
The interim financial statements of the Company for the six months ended 30
June 2024, which are unaudited, have been prepared in accordance with the
accounting policies set out in the annual report and accounts for the year
ended 31 December 2023, which were prepared under International Financial
Reporting Standards ("IFRS").
This report does not constitute statutory accounts as defined in Section 434
of the Companies Act 2006 and has not been audited. The financial information
for the full preceding year is based on the statutory accounts for the year
ended 31 December 2023. Those statutory accounts have been published and will
shortly be filed with the Registrar of Companies. The auditor's report on
those statutory accounts was unqualified.
As permitted, this interim report has been prepared in accordance with the AIM
Rules for Companies and not in accordance with IAS 34 "Interim Financial
Reporting" and therefore it is not fully compliant with IFRS.
The interim financial statements are presented in pounds sterling.
3. Critical accounting estimates and judgements
Accounting estimates and judgements are continually evaluated and are based on
past experience and other factors, including expectations of future events
that are believed to be reasonable under the circumstances.
The Company makes estimates and assumptions concerning the future. The
resulting accounting estimates could, by definition, differ from the actual
outcome.
Estimates and adjustments that have a risk of causing a material adjustment to
the carrying amounts of assets and liabilities are set out in the annual
report and accounts for the year ended 31 December 2023, and no additional
items have been identified.
4. Revenues
IFRS 15 provides a single, principles based, five-step model to be applied to
all contracts with customers. The five-step framework includes:
· Identify the contract(s) with a customer;
· Identify the performance obligations in the contract;
· Determine the transaction price;
· Allocate the transaction price to the performance obligations in the
contract; and
· Recognise revenue when the entity satisfies a performance obligation.
The Company recognises revenue from the following four sources:
· Sale of products;
· Sale of consumables and spare parts;
· Product service and product support; and
· Consultancy services.
All revenues and trade receivables arise from contracts with customers.
Revenue is measured based on the consideration which the Company expects to be
entitled in a contract with a customer and excludes amounts collected on
behalf of third parties. The sale of products, consumables and spare
parts are recognised when the sole performance obligation is met which is
usually on delivery to the customer. For product service, product support and
consultancy services revenue, the performance obligation is satisfied over the
duration of the service period and revenue is recognised in line with the
satisfaction of the performance obligation.
Sale of products
The Company sells a wide range of Modern Water analytical and toxic water and
effluent testing equipment utilising our MicroTox® consumable bio-reagents.
The Company also sells mini mass spectrometers (Microsaic 4500 MiD®) mainly
through OEMs and distributors. A small proportion of its sales are direct to
the customer. Discounts are offered and agreed as part of the contractual
terms. Terms are generally Ex Works so control passes when the customer
collects the goods. Payment terms are generally 30 days from the date of
invoice.
Sales of consumables and spare parts
The Company sells consumables and spare parts mainly through OEMs and
distributors. Terms are generally Ex Works so control passes when the customer
collects the goods. Discounts are offered and agreed as part of the
contractual terms. Payment terms are generally 30 days from the date of
invoice.
Product service and product support revenue
Service and support to our OEMs, distributors and systems integrators includes
training their sales and service teams and servicing the products from time to
time. Discounts are offered and agreed as part of the contractual terms. Terms
are Ex Works so control passes when the customer receives the service. Payment
terms are generally 30 days from the date of invoice.
Usually, there is no obligation on the Company for returns, refunds or similar
arrangements. Also, the Company does not manufacture specific items to a
customer's specification and no financing component is included in the terms
with customers.
The Company provides assurance warranties which are 15 months from the date of
shipment for OEMs and distributors. These warranties confirm that the product
complies with agreed-upon specifications. The Company is looking to provide
service warranties in the future to direct customers in Europe, where the
revenue from such warranties will be recognised over the period of the service
agreement.
Consultancy services revenue
Consultancy services comprise science and engineering consultancy, laboratory
services and monitoring services. These services are delivered over a period
of time usually in accordance with a master services agreement and/or
statement of works with an agreed outcome at the end of the project or project
phase.
Consultancy services revenue is recognised by reference to the stage of
completion of the project or project phase at the balance sheet date as
follows:
· Where there are defined project or project phase milestones, the
revenue is recognised in full on completion of the project or project phase
and on a time basis for the stage of completion where the project or project
phase is not completed at the balance sheet date. The stage of completion is
recognised as the proportion of time spent on the project or project phase
compared with the total time anticipated to complete the project or project
phase; and/or
· Where the project is defined with the client in terms of time spent,
the revenue is recognised on the basis of consulting time spent on the project
by the Company at the time-based rates agreed with the client.
The geographical analysis of revenues (by location of shipment) was as
follows:
6 months 6 months Year to 31
to 30 June to 30 June December
2024 2023 2023
Unaudited Unaudited Audited
£000s £000s £000s
UK 3 11 109
USA 70 2 10
EU 23 72 137
China 54 215
ROW 159 - 21
255 139 492
The product group analysis of revenues was as follows:
6 months 6 months Year to 31
to 30 June to 30 June December
2024 2023 2023
Unaudited Unaudited Audited
£000s £000s £000s
Product/Unit 197 47 286
Consumables and spares 43 13 98
Service and support income 15 79 108
255 139 492
Less: Sales to DeepVerge plc (65) (65)
Total Sales to customers (excluding
DeepVerge plc) 255
74 427
5. Cost of sales
Cost of sales of products
The cost of sales of Modern Water, mass spectrometers and related equipment is
the bought in purchase cost of the product or the transfer value from stock
value if an item has been previously written down. Usually, the sale is made
on an Ex-Works basis but if it were not the cost of delivery to the customer
is also included in cost of sales.
Cost of sales of consumables and spare parts
The cost of sales of consumable and spare parts is the bought in purchase cost
of the consumable or spare part or the transfer value from stock value if an
item has been previously written down. Usually, the sale is made on an
Ex-Works basis but if it were not the cost of delivery to the customer is also
included in cost of sales.
Cost of sales of product service and product support income
The cost of sales of service and support income is the time-based
apportionment of the employment costs of the relevant staff spent on the
delivery of the service and support income plus any related costs of
fulfilment such as travel expenses and any externally incurred direct costs.
For the purposes of cost of sales, the employment costs are considered to be
salaries, pensions and employers national insurance but does not include
share-based payments nor any apportionment of training or overheads.
Cost of sales of consultancy services revenue
The cost of sales of consultancy services (comprising science and engineering
consultancy, laboratory services and monitoring services) is the time-based
apportionment of the employment costs of the relevant staff spent on the
delivery of this revenue plus any related costs of fulfilment such as travel
expenses and any externally incurred direct costs. For the purposes of cost of
sales, the employment costs are considered to be salaries, pensions and
employers national insurance but does not include share-based payments nor any
apportionment of training or overheads.
6. Loss per share
6 months 6 months Year to 31
to 30 June to 30 June December
2024 2023 2023
Unaudited Unaudited Audited
Comprehensive loss attributable to equity (536) (1,078) (2,597)
shareholders (£000s)
Weighted average number of ordinary
shares for the purpose of basic 164,321,042 6,324,666,516 6,361,365,146
and diluted loss per share
Basic and diluted loss per ordinary share (p) (0.34)p (0.017)p (0.041)p
7. EBITDA Adjusted Loss
A key indicator of performance for the Company is Adjusted EBITDA Loss (Loss
of earnings before interest, tax, depreciation, amortisation and other items
such as share-based payments and exceptional one-off expenditure). Detailed
below is the Adjusted EBITDA Loss for the period:
6 months 6 months Year to
to 30 June to 30 June 31-Dec
2024 2023 2023
Unaudited Unaudited Unaudited
£000s £000s £000s
Comprehensive loss for period (536) (1,078) (2,597)
Adjust for:
Tax on loss on ordinary activities - (81) -
Depreciation of property, plant and equipment 60 95 183
Depreciation of right of use assets 38 76
Amortisation of Intangibles 15 14 27
Net finance cost/(income) (16) (10) (8)
Share-based payments (excluding fee shares) - (21)
EBITDA Adjusted Loss (477) (1,022) (2,340)
8. Employees and employment related costs
6 months 6 months Year to 31
to 30 June
to 30 June
December
2024 2023 2023
Unaudited Unaudited Audited
Staff Numbers
Directors 2 2 3
Other staff 21 15
Average Headcount 2 23 18
£000s £000s £000s
Employment costs (including Directors)
Wages and salaries 110 526 986
Social security costs 8 57 110
Termination payments 5 69
Pension costs 10 71 132
Employment related share-based payments 21 21
128 680 1,318
9. Provisions
Dilapidations Warranties TOTAL
£000s £000s £000s
Balance at 1 January 2024 10 20 30
Provided for/(reduced) during the period - - -
Balance at 30 June 2024 10 20 30
10. Commitments
As at 30 June 2024, purchase commitments relating to purchase orders placed
on, and related contractual arrangements and obligations, with our third-party
manufacturers amounted to £559,800 (31 December 2023: £651,944).
11. Share-based payments.
The share-based payments charge comprises 6 months 6 months Year to
to 30 June to 30 June 31 December
2024 2023 2023
Unaudited Unaudited Audited
£ £ £000s
Directors' fees settled in shares - - -
Vesting of share options - - 21
Employment related share-based payments - - 21
Brokers' fees settled in shares - - -
- - 21
There were no Directors' fees settled in shares in the 6 month period to 30
June 2024.
12. Cash absorbed by operations.
6 months 6 months Year to 31
to 30 June to 30 June December
2024 2023 2023
Unaudited Unaudited Audited
£000s £000s £000s
Total comprehensive loss for the year (536) (1078) (2,597)
Adjustments for:
Amortisation of intangible assets 15 14 27
Depreciation of right of use assets - 38 76
Depreciation of property, plant and equipment 60 95 183
Transfer of property, plant and equipment to - - -
cost of goods
Loss/(Profit) on disposal of right of use assets - - 38
Decrease/(Increase) in provision for dilapidation & warranty - 33 (85)
Increase/(Decrease) in provision for expected - - 6
credit losses
Share-based payments (inclusive of fees settled in shares) - - 21
Increase/(Decrease) in inventory provision 16
Tax on loss on ordinary activities - (81) -
Interest on lease liability - 2 2
Interest received (16) (13) (13)
Movements in working capital:
(162) (25) 170
(Increase)/Decrease in inventories
(416) 146 577
(Increase)/Decrease in trade and other receivables
Increase/(Decrease) in trade and other payables (136) (17) 284
Cash absorbed by operations (1,191) (871) (1,311)
13. Related party transactions
There were no related transactions in the six months ended 30 June 2024, other
than the participation of Bob Moore in the Placing announced on 15 January
2024 in which he subscribed for 9,040,000 shares at 0.06p on the same terms as
other investors.
This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
or visit
www.rns.com (http://www.rns.com/)
.
RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
. END IR FFUEEFELSEIF