REG - Primorus Investments - Half-year Report

Primorus InvestmentsAnnouncement

10/09/2021 07:05

RNS Number : 3394L
  
Primorus Investments PLC
  
10 September 2021
  
 

Primorus Investments plc
 
("Primorus" or the "Company")
 
Interim Results for the six months ended 30 June 2021
 
Primorus Investments plc (AIM: PRIM) is pleased to announce its interim results for the six months ended 30 June 2021.
 
Overview
 
Primorus has a strong balance sheet with no debt and with total assets (including cash of £1.346 million) as at 30 June 2021 amounting to £9.17 million (30 June 2020: £8.09 million).
 
The last six months have been a very busy time at Primorus.  The Board has spent considerable time reorganising the Company and its balance sheet to provide investors with what it believes to be a low cost, high impact strategy underpinned by the revised investing policy.
 
The Board has reduced the overall operating costs, appointed a new Chief Executive, fully appraised all the current investments, and pursued new investment opportunities.
 
The results of the appraisal of its existing investments led to the Company increasing its holdings in Fresho and Engage which, along with Zuuse, are the three companies (from investments made prior to November 2020) that the Board believes will deliver the greatest shareholder returns.
 
In addition to the above, in April the Company made a new investment into Mustang Energy PLC to gain exposure to the vanadium flow battery storage market.  The Board believes that this sector, along with other forms of renewable energy and clean technology, is going to be a financially rewarding market to be invested in.
 
Financial Results
 
The operating loss for the six months to 30 June 2021 was £115,000 (30 June 2020: £3.29m profit). The net loss after tax was £115,000 (30 June 2020: £3.29m profit).
 
Total assets, including cash, at 30 June 2021 amounted to £9.17 million (30 June 2020: £8.09 million).
 
 
Outlook
 
The Board remains confident that significant opportunities exist for the Company going forward. We look forward to the remainder of 2021 being a period in which we can further demonstrate our business model which is now underpinned by the new investing policy.
 
The Board are currently reviewing several exciting investment opportunities that are aligned with the new investing policy.  The Board has been screening several opportunities and has identified at least one that could begin to generate value for shareholders this calendar year. 
 
We look forward to updating shareholders as and when our existing investments mature, and new investments present themselves.
 
The Directors would like to take this opportunity to thank our shareholders, staff and consultants for their continued support.
 
Rupert Labrum Chairman
10 September 2021

 

This announcement contains inside information for the purposes of the UK Market Abuse Regulation and the Directors of the Company are responsible for the release of this announcement.
 
 
For further information please contact:
 




Primorus Investments plc
Matthew Beardmore, Chief Executive Officer


 
+44 (0)20 8154 7907
 




Nominated Advisor
Cairn Financial Advisers LLP
James Caithie / Sandy Jamieson


 
+44 (0) 20 7213 0880





 

Unaudited Condensed Company Statement of Comprehensive Income
for the six months ended 30 June 2021
 




6 months to


6 months to


Year to




 


 


30 June
2021


30 June
2020


31 December
2020




 


Unaudited


Unaudited


Audited




 


Notes 


£'000


£'000


£'000




Continuing operations


 


 


 


 




Revenue


 


 


 


 




Investment income


 


48


1


14




Realised gain on disposal of financial  investments


 


107


834


6,033




Unrealised gain/(loss) on market value movement of financial investments


 


(21)


2,715


(323)




Total gains on financial investments


 


134


3,550


5,724




 


 


 


 


 




Share based payments


 


(13)


-


-




Operating  costs


 


(236)


(258)


(475)




 
Impairment of financial investments


 


 
-


 
-


 
(633)




(Loss)/Profit before tax


 


(115)


3,292


4,616




Taxation


 


-


-


(447)




(Loss)/Profit for the period attributable to equity shareholders of the company


 


(115)


3,292


4,169




 
Other comprehensive income


 


-


-


-




Total Comprehensive Income for the year attributable to equity shareholders of the company


 


 
(115)


 
3,292


 
4,169




 
(Loss) per share:


 


 


 


 




Basic profit/(loss) per share (pence)


2


(0.08)


2.35


2.98




Diluted profit/(loss) per share (pence)


2


(0.08)


2.09


2.98





 

Unaudited Condensed Company Statement of Financial Position
as at 30 June 2021
 




 


30 June
2021


30 June
2020


31 December
2020




 


Unaudited


Unaudited


Audited




Notes 


£'000


£'000


£'000




ASSETS


 


 


 




Non-current assets


 


 


 




Financial investments


6,998


7,390


4,612




 


6,998


7,390


4,612




 
Current assets


 


 


 




Investments


812


-


113




Trade and other receivables


14


22


3




Cash and cash equivalents


1,346


676


4,673




 


2,172


698


4,789




Total assets


9,170


8,088


9,401




 
EQUITY


 


 


 




Equity attributable to equity holders of the parent


 


 


 




Share capital


15,391


15,391


15,391




Share premium account


35,296


35,296


35,296




Share based payment reserve


13


683


-




Retained earnings


(42,016)


(43,321)


(41,901)




Total equity


8,684


8,049


8,786




LIABILITIES


 


 


 




Current liabilities


 


 


 




Trade and other payables


486


39


502




Loans and borrowings


-


-


113




Total liabilities


486


39


615




Total equity and liabilities


9,170


8,088


9,401





 

Unaudited Condensed Company Statement of Changes in Equity 
for the six months ended 30 June 2021
                                                   




 


 
Share capital


 
Share premium


Share based
payment reserve


 
Retained earnings


Total attributable
to owners of parent




Unaudited


£'000


£'000


£'000


£'000


£'000




Balance at 31 December 2019


15,391


35,296


683


(46,613)


4,757




 
Profit for the period


 
-


 
-


 
-


 
4,169


 
4,169




Total comprehensive income for the
period


 
-


 
-


 
-


 
4,169


 
4,169




Termination and settlement of share options


 
-


 
-


 
(140)


 
-


 
(140)




Cancellation of share options


 
-


 
-


 
(543)


 
543


 
-




 
Balance at 31 December 2020


 
15,391


 
35,296


 
-


 
(41,901)


 
8,786




 
Loss for the period


 
-


 
-


 
-


 
(115)


 
(115)




Total comprehensive income for the period


 
-


 
-


 
-


 
(115)


 
(115)




 
Share based payment


 


 


 
13


 
-


 
13




Balance at 30 June 2021


15,391


35,296


13


(42,016)


8,684





 

Unaudited Condensed Company Statement of Cash Flows
 for the six months ended 30 June 2021
 




6 months to


6 months to


Year to




 


30-Jun-21


30-Jun-20


31-Dec-20




 


Unaudited


Unaudited


Audited




 


£'000


£'000


£'000




Cash flows from operating activities


 


 


 




Operating profit/(loss)


(115)


3,292


4,616




Adjustments for:


 


 


 




(Profit)/Loss on disposal of financial investments


(107)


(835)


(6,033)




Fair value movement on listed investments


21


(2,716)


323




Impairment provision on unlisted investments


-


-


633




Decrease/(increase) in trade and other receivables


(11)


(7)


12




Increase/(decrease) in trade and other payables


(16)


(69)


(53)




Foreign exchange loss/(gain)


81


(2)


(65)




Share based payment


13


-


(140)




Taxation (paid)


-


-


-




Net cash used in operating activities


(134)


(337)


(707)




Cash flows from investing activities


 


 


 




Disposal proceed from sale of financial investments


 
2,533


 
1,048


 
6,939




Payment for financial investments


(5,613)


(80)


(1,737)




Net cash (used in) investing activities


(3,080)


968


5,202




Net change in cash and cash equivalents


(3,214)


631


4,515




 
Cash and cash equivalents at beginning of period


 
4,560


 
45


 
45




Cash and cash equivalents at end of period


1,346


676


4,560





 

Notes to the condensed interim financial statements
 
1.       General Information


The condensed interim financial information for the 6 months to 30 June 2021 does not constitute statutory accounts for the purposes of Section 434 of the Companies Act 2006 and has not been audited or reviewed. No statutory accounts for the period have been delivered to the Registrar of Companies.
 
The condensed interim financial information in respect of the year ended 31 December 2020 has been produced using extracts from the statutory accounts for that period. Consequently, this does not constitute the statutory information (as defined in section 434 of the Companies Act 2006) for the year ended 31 December 2020, which was audited. The statutory accounts for this period have been filed with the Registrar of Companies. The auditors’ report was unqualified and did not contain a statement under Sections 498 (2) or 498 (3) of the Companies Act 2006.
 
The auditor’s report was approved by the Directors on 07 June 2021 and is available on the Company’s website at www.primorusinvestments.com.
 
Basis of preparation and accounting
 
The financial information has been prepared on the historical cost basis. The Company’s business activities, together with the factors likely to affect its future development, performance and position are set out in the Chairman’s Statement. This statement also includes a summary of the Company’s financial position and its cash flows.
 
These condensed interim financial statements have been prepared in accordance with International Financial Reporting Standards (IFRS) as adopted by the European Union with the exception of International Accounting Standard (‘IAS’) 34 – Interim Financial Reporting. Accordingly, the interim financial statements do not include all of the information or disclosures required in the annual financial statements and should be read in conjunction with the Company’s 2020 annual financial statements.
 
 
2.       Earnings per share
 
Earnings per ordinary share has been calculated using the weighted average number of shares in issue during the period. The weighted average number of equity shares in issue was 139,830,968. IAS 33 requires presentation of diluted EPS when a company could be called upon to issue shares that would decrease earnings per share or increase the loss per share.
 




 


Six months
to


Six months
to


Year ended




 


30 June
2021


30 June
2020


31 December
2020




 


(Unaudited)


(Unaudited)


(Audited)




 


 


restated


 




 


(£'000)


(£'000)


(£'000)




Net profit/(loss) attributable to equity holders of
  the company


(115)


3,292


(401)




Weighted average number of shares


139,830,968


139,830,968


139,830,968




Weighted average number of diluted shares


151,830,968


157,630,968


139,830,968




Basic (loss)/profit per share (pence)


(0.08)


2.35


2.98




Diluted (loss)/profit per share (pence)


(0.08)


2.09


2.98





 

3.       Events after the reporting date
 
There are no events after the end of the reporting date to disclose that have not already been the subject of an announcement by the Company.

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