REG - RedstoneConnect PLC - Interim Results <Origin Href="QuoteRef">REDS.L</Origin> - Part 2

Smartspace SoftwareAnnouncement

10/10/2017 07:06

- Part 2: For the preceding part double click  ID:nRSJ1291Ta 

    -                              146                         
 Tax credit on impairment of intangible assets            -                              -                              (28)                        
 Share based payment charge                               86                             40                             90                          
 Deferred tax credit on share based payment charge        (16)                           (8)                            (17)                        
 Adjusted earnings attributable to owners of the company  625                            637                            2,110                       
                                                                                                                                                    
 Number of shares                                         No.                            No.                            No.                         
 Weighted average ordinary shares in issue                17,436,850                     15,741,660                     16,068,962                  
 Weighted average potential diluted shares in issue       19,053,157                     15,741,660                     17,685,269                  
                                                                                                                                                    
 Earnings per share                                                                                                                                 
 Basic earnings per share                                 0.5p                           5.4p                           11.1p                       
 Diluted earnings per share                               0.4p                           5.4p                           10.1p                       
                                                                                                                                                    
 Adjusted earnings per share                                                                                                                        
 Basic earnings per share                                 3.6p                           4.0p                           13.1p                       
 Diluted earnings per share                               3.3p                           4.0p                           11.9p                       
                                                                                                                                                          
 
 
                                                          Discontinued Operations        
                                                          Six months ended 31 July 2017  Six months ended 31 July 2016  Year ended 31 January 2017  
                                                          £000                           £000                           £000                        
                                                                                                                                                    
 Profit for the year                                      (6)                            402                            316                         
                                                                                                                                                    
 Adjustments to basic earnings:                                                                                                                     
 Integration and transactional costs                      6                              (402)                          (318)                       
 Tax credit on integration and transactional costs        (1)                            76                             60                          
 Adjusted earnings attributable to owners of the company  (1)                            76                             58                          
                                                                                                                                                    
 Number of shares                                         No.                            No.                            No.                         
 Weighted average ordinary shares in issue                17,436,850                     15,741,660                     16,068,962                  
 Weighted average potential diluted shares in issue       19,053,157                     15,741,660                     17,685,269                  
                                                                                                                                                    
 (Loss)/earnings per share                                                                                                                          
 Basic (loss)/earnings per share                          0.0p                           2.5p                           2.0p                        
 Diluted (loss)/earnings per share                        0.0p                           2.5p                           1.8p                        
                                                                                                                                                    
 Adjusted (loss)/earnings per share                                                                                                                 
 Basic (loss)/earnings per share                          0.0p                           0.5p                           0.4p                        
 Diluted (loss)/earnings per share                        0.0p                           0.5p                           0.3p                        
                                                                                                                                                          
 
 
7.  Share capital and reserves 
 
On 5 June 2017 the Group held its AGM, at which the Board proposed a share
consolidation whereby every 100 'Existing Ordinary Share' with a nominal value
of 0.1 pence be consolidated into one 'New Issued Ordinary Share' with a
nominal value of 10 pence. 
 
In addition, the Directors felt it appropriate to seek shareholder approval at
the AGM to effect a Reduction of Capital with the effect of; 
 
(a)    cancel all of the legacy Deferred Shares; 
 
(b)    cancel the Company's share premium account; and 
 
(c)        capitalise the Company's merger reserve as a Capital Reduction
Share ahead of cancelling the share 
 
The Directors then proposed to apply the reserve arising to eliminate the
Company's accumulated deficit on its profit and loss account and to create
distributable profits on the balance sheet of the Company of approximately
£6,603,626. The Directors believe that, subject to the future performance of
the Group, this should give the Company the ability to make distributions to
Shareholders and/or buy back its own ordinary shares in the future if, as and
when the Directors may consider that it is appropriate to do so. 
 
Following approval by shareholders of the proposed resolution, the share
consolidation based on every 100 existing ordinary shares of 0.1 pence being
consolidated into one new ordinary share of 10 pence (the "Share
Consolidation"), the 2,078,479,485 shares of 0.1 pence in the issued share
capital of the Company (the "Existing Issued Share Capital") were consolidated
into 20,784,795 ordinary shares of 10 pence each (the "New Issued Ordinary
Shares"), effective 6 June 2017. 
 
Furthermore, following approval by shareholders at the AGM and subsequent
approval being granted by the Courts on 28 June 2017 for the proposed
cancellation of the deferred shares and premium account, as well as the
capital reduction, the Parent Company reserves were amended to reflect these
changes on 28 June 2017. The movement in issued and fully paid ordinary share
capital detailed below reflect these changes. 
 
 Allotted, called up and fully paid  31 July 2017No.  31 July 2016No.  31 January 2017No.  31 July 2017£000  31 July 2016£000  31 January 2017£000  
 Ordinary shares of 10.0p each       20,784,795       16,331,696       16,451,461          2,078             1,633             1,645                
 Deferred shares of 1.0p each        -                1,271,440        1,271,440           -                 1,271             1,271                
 Deferred shares of 0.1p each        -                7,707,140        7,707,140           -                 771               771                  
                                                                                           2,078             3,675             3,687                
 
 
Movement in issued and fully paid ordinary share capital: 
 
                               Share pre consolidation  Shares post consolidation  Issue price  Share Capital  Share premium  Share merger  Total     
                               Number                   Number                     Pence        £000           £000           £000          £000      
 Placing on 9 May 2017         433,333,333              4,333,333                  1.5          433            6,067          -             6,500     
 Placing fee                                                                                    -              (260)          -             (260)     
 Capital reduction                                                                              -              (38,396)       (1,911)       (40,307)  
 Total movement in the period  433,333,333              4,333,333                               433            (32,589)       (1,911)       (34,067)  
 At 31 January 2017            1,645,146,151            16,451,461                              1,645          32,589         1,911         36,145    
 At 31 July 2017               2,078,479,484            20,784,795                              2,078          -              -             2,078     
 
 
This information is provided by RNS
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