REG - Tiger Resource Fin. - Half-year Report <Origin Href="QuoteRef">TIRU.L</Origin>

Tiger Royalties and InvestmentsAnnouncement

27/09/2017 07:06

RNS Number : 8977R
Tiger Resource Finance PLC
27 September 2017
27 September 2017
Tiger Resource Finance Plc
("Tiger" or the "Company")
Unaudited interim financial statements 
for the six months ended 30 June 2017 
Tiger (AIM: TIR) is pleased to announce the publication of its unaudited interim results for the six month period ended 30 June 2017 which will shortly be available on the Company's website www.tiger-rf.com
Operations Review 
 Net Asset Value per share - 1.03p (30 June 2016 - 0.81p/ 31 Dec 2016 - 0.80)
 Total assets of 1.42M (30 June 2016 - 1.12M/ 31 Dec 2016 - 1.16M)
The period under review has shown a significant improvement in the fortunes of the natural resource sector. Large company valuations have risen significantly with mid-cap and junior resource companies also showing modest gains. Tiger's NAV increased from 0.80 pence per share at 31 December 2016 to 1.03 pence per share at 30 June 2017 being an increase of 29% in the six month period. The Group realised gains of 213,450 during the period predominantly from the sale of part of its investment in Galileo Resources Plc. 
The inauguration of President Trump has sent mixed signals throughout the world although mature stock markets have seen significant gains following promises of lower taxation, large infrastructure projects and decreasing regulation in the banking and financial services sector. These trends, alongside quantitative easing programmes have set the scene for rising equity prices in the US markets closely followed by Europe as well as in selected emerging markets. In contrast to this, the US foreign policy program is generally in disarray with global threats abundant such as the North Korean nuclear threat, sporadic terrorist attacks in western countries, Middle East instability to name a few factors. 
The aforementioned issues would traditionally have created a very nervous market place with stocks tending to lock into a downward trajectory as opposed to rising to all-time highs, but this has not been the case. We feel that that an adverse economic or political event in the not too distant future could trigger negative sentiment which may seriously undermine the current stock market euphoria. 
Notwithstanding the above views, the resource sector appears to have regained recognition from investors and the need for raw materials marches on and will not wait for any of the aforementioned threats to subside. Mankind is living in a far more materialistic world today and the demand for white goods, smart phones, hybrid cars and the latest paraphernalia will not diminish any time soon. 

The Board feels positive in relation to metal demand, particularly for base metals with copper and zinc being the "favourites". We are undecided about the fortunes for gold as the Tiger team has always been cynical in relation to the driving forces that control this precious metal, being neither predictable or sustainable and as such we will continue to limit exposure to gold, at least in the short and medium terms..
The smaller mining company markets in Australia, Canada and UK have continued to be resilient whilst not showing any significant corporate or large financing activity. We would have expected to see an upswing in M&A activity by this stage of the cycle as well as an increase in the volume of IPO's but both activities have not been as prolific to date as in previous bullish markets. We are however seeing good evidence of secondary placements and small projects being funded which of course are welcome signs. 


During the period under review we have been active mainly in passive investments in the resource sector but have not as yet participated in "proactive" investments during the period under review to actively position early stage investment opportunities. We are considering a number of such opportunities and look forward to making positive progress and further increasing Tiger's net asset value during the coming months. 
This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014.
For further information please contact:
Tiger Resource Finance Plc

Raju Samtani, Finance Director
+44 (0) 207 581 4477


Beaumont Cornish Limited (Nominated Adviser) 
www.beaumontcornish.com

Roland Cornish/ Felicity Geidt
+44 (0) 207 628 3396


Beaufort Securities Limited (Broker) 

Jon Belliss
+44 (0) 207 382 8300
Portfolio Holdings as at 30 June 2017
Investments
Number
Cost
Valuation
Anglo American PLC
11,500
250,117
117,760
Ascent Resources PLC
482,142
400,824
7,328
Cabot Energy Plc
294,118
250,519
10,294
Duke Royalty Limited 
20,000
200,218
8,500
ETFS Physical Platinum
2,250
246,458
149,913
ETFS Copper
1,760
29,864
35,244
Galileo Resources Plc
6,516,667
78,200
391,000
Jersey oil and Gas Plc
3,300
101,660
8,926
Jubilee Platinum PLC
1,169,600
100,219
43,860
MX Oil Plc
400,000
100,218
2,600
PanContinental Oil and Gas PLC
885,714
97,827
1,063
Pantheon Resources
31,500
30,340
16,065
Papua Mining PLC
230,000
101,200
2,806
Revelo Resources Corp 
216,667
 62,965
5,178
Rockrose Energy Plc
100,000
50,200
44,620
Sovereign Mines of Africa PLC
2,000,000
100,000
7,600
Sunrise Resources PLC
665,000
6,650
732
Tertiary Minerals PLC
1,330,000
119,700
7,314




Available for sale investments held by African Pioneer Plc (subsidiary company)


210,114



1,070,917
Total













Consolidated Statement of Comprehensive Income
For the six months ended 30 June 2017

(Unaudited)
Group Six months ended
30 June 17
(Restated)
(Unaudited)
Group Six months ended
30 June 16
(Audited)
Group Year 
ended
31 Dec 16 

Gain on sale of available for sale assets
213,450
117,298
120,315
Profit on Sale of Xtract
-
2,153
2,153
Income:



Investment income
1,540
976
2,035
Interest receivable
181
551
843
Administrative expenses
(172,772)
(220,422)
(425,942)
Impairment
(47,760)
144,690
136,606
(LOSS) /PROFIT BEFORE TAXATION
(5,361)
45,246
(163,990)




Taxation
-
-
-
(LOSS) /PROFIT FOR THE PERIOD
(5,361)
45,246
(163,990)




Other Comprehensive Income







Available-for-sale financial assets unrealised profit/(loss)
390,091
(117,300)
499,501
Reclassification to profit or loss
(119,850)
-
(289,603)




Transfer to Impairment
-
144,690
5,936




OTHER COMPREHENSIVE PROFIT/ (LOSS) FOR THE PERIOD, NET OF TAX
270,241
27,390
215,834
TOTAL COMPREHENSIVE PROFIT/ (LOSS) FOR THE PERIOD
264,880
72,636
51,844
(Loss)/profit for the period attributable to:



Shareholders of the Company
(25,893)
23,954
(156,540)
Non-controlling interest
20,532
21,292
(7,450)





(5,361)
45,246
(163,990)




Basic earnings per share
(0.02)p
0.02p
(0.11)p
Diluted earnings per share
(0.02)p
0.02p
(0.11)p
All profits are derived from continuing operations.
ConsolidatedStatement of Financial Position
As at 30 June 2017

(Unaudited)
Group 
30 June 17
(Restated)
(Unaudited) Group
30 June 16
(Audited) Group
31 Dec 16

NON CURRENT ASSETS



Financial assets at fair value through profit or loss
1,070,917
729,257

Available-for-sale investments

-
867,499

1,070,917
729,257
867,499
CURRENT ASSETS



Trade and other receivables
82,424
13,268
72,816
Cash and cash equivalents
414,437
522,525
360,885

496,861
535,793
433,701




TOTAL ASSETS
1,567,778
1,265,050
1,301,200







EQUITY AND LIABILITIES







EQUITY ATTRIBUTABLE TO SHAREHOLDERS



Share capital
1,428,319
1,428,319
1,428,319
Share premium 
1,597,231
1,597,231
1,597,231
Other components of equity
1,600,860
1,239,687
1,330,619
Retained earnings
(3,279,752)
(3,203,483)
(3,253,859)
EQUITY ATTRIBUTABLE TO THE OWNERS 
1,346,658
1,061,754
1,102,310




Equity interest of non-controlling interest
73,979
60,015
53,447




TOTAL EQUITY
1,420,637
1,121,769
1,155,757




CURRENT LIABILITIES


Trade and other payables
147,141
143,281
145,443
Corporate tax payable
-
-
-

147,141
143,281
145,443




TOTAL LIABILITIES
147,141
143,281
145,443



TOTAL EQUITY AND LIABILITIES
1,567,778
1,265,050
1,301,200






Consolidated Statement of Changes in Equity
As at 30 June 2017
 Other components of equity

Share capital
Share premium
Capital redemption reserve
Other
reserves
Available-for-sale financial assets
Share
based
reserves
Retained earnings
Non-controlling interest
Total

 




















As at 31 December 2015
1,428,319
1,597,231
1,100,000
-
36,959
130,118
(3,227,437)
38,723
1,103,913
Changes in equity









Profit/ (Loss) for the period
-
-
-
-
-
-
23,954
21,292
45,246
Other Comprehensive (loss)









Available-for-sale financial assets:









Current period (losses)
-
-
-
-
117,300
-
-
-
117,300
Transfer to impairment
-
-
-
-
(144,690)
-
-
-
(144,690)










Total comprehensive expense for the period
-
-
-
-
(27,390)
-
23,954
21,292
17,856










As at 30 June 2016
1,428,319
1,597,231
1,100,000
-
9,569
130,118
(3,203,483)
60,015
1,121,769
Changes in equity









Profit/ (Loss) for the period
-
-
-
-
-
-
(50,376)
(6,568)
(56,944)
Other Comprehensive (loss)









Available-for-sale financial assets:









Current period (losses)
-
-
-
-
337,803
-
-
-
337,803
Transfer to impairment
-
-
-
-
3,013
-
-
-
3,013
Transfer on disposal
-
-
-
-
(119,766)



(119,766)
Transfer on expiry of options
-
-
-
-
-
(130,118)
-
-
(130,118)
Total comprehensive expense for the period
-
-
-
-
221,050 
(130,118)
(50,376)
(6,558)
33,988










As at 31 December 2016
1,428,319
1,597,231
1,100,000
-
230,619
-
(3,253,859)
53,447
1,155,757
Changes in equity









Profit/ (Loss) for the period
-
-
-
-
-
-
(25,893)
20,532
(5,361)
Other Comprehensive (loss)









Available-for-sale financial assets:









Current period gains
-
-
-
-
390,091
-
-
-
390,091
Transfer to on disposal
-
-
-
-
(119,850)
-
-
-
(119,850)










Total comprehensive expense for the period
-
-
-
-
270,241
-
(25,893)
20,532
264,880










As at 30 June 2017
1,428,319
1,597,231
1,100,000
-
500,860
-
(3,279,752)
73,979
1,420,637
Cash Flow Statement
For the six months ended 30 June 2017

(Unaudited)
30 June 17
(Unaudited)
30 June 16 
(Audited)
31 Dec 16

CASH FLOW FROM OPERATIONS



(Loss)/profit before taxation
(5,361)
45,246
(163,990)
Adjustment for:



Interest received
(181)
(551)
(843)
Dividends received
(1,540)
(976)
(2,035)




Operating (loss) before movement in working capital
(7,082)
43,719
(166,868)
(Increase)/decrease in receivables
(69,157)
46,339
(13,208)
Increase/(decrease) in payables
3,860
13,193
15,353
Gain on disposal of financial asset at fair value 
(213,450)
(117,298)
(120,315)
Gain on disposal of Xtract investment 
-
(2,153)
(2,153)
Transfer to impairment
47,760
(144,690)
(136,606)




NET CASH (OUTFLOW) FROM OPERATING ACTIVITIES
(238,069)
(160,890)
(423,797)




TAXATION PAID 


-
CASH FLOW FROM INVESTING ACTIVITIES



Interest received
181
551
843
Dividends received
1,540
976
2,035
Sale of investments
330,384
194,071
432,969
Purchase of investments
(120,049)
(60,206)
 (199,188) 




NET CASH INFLOW FROM INVESTING ACTIVITIES
212,056
135,392
236,659




CASH FLOW FROM FINANCING ACTIVITIES



Purchase of shares by minorities
-
-
-




NET CASH INFLOW / (OUTFLOW) FROM FINANCING ACTIVITIES
-
-
-








Net increase/(decrease) in cash and cash equivalents in the period
53,552
(25,498)
(187,138}
Cash and cash equivalents at the beginning of the period
360,885
548,023
548,023
Cash and cash equivalents at the end of the period
414,437
522,525
360,885










Selected notes to the consolidated financial statements
For the six months ended 30 June 2017
1. Basis of preparation
The financial statements have been prepared under the historical cost convention except for the measurement of certain non-current asset investments at fair value. The measurement basis and principal accounting policies of the Group are set out below. The financial statements have been prepared using policies based on International Financial Reporting Standards (IFRS) issued by the International Accounting Standards Board (IASB) and endorsed by the European Union. These interim financial statements for the period ended 30 June 2017 have been prepared by applying the accounting policies adopted in the audited accounts for the year ended 31 December 2016. As permitted, the Group has chosen not to adopt IAS 34 "Interim Financial Reporting". 
2. Earnings Per Share 
Basic
Unaudited
Unaudited
Audited

6 months to 
30 June 2017
6 months to 
30 June 2016
Year ended 31 December 2016




(Loss)/profit after tax for the purpose of
earnings per share 
(25,983)
23,954
(156,540)
Weighted average number of shares
138,331,939
138,331,939
138,331,939
Basic earnings per ordinary share 
(0.02)p
0.02p
(0.11)p
Diluted 











Profit/(loss) after tax
(25,983)
23,954
(156,540)
Weighted average number of shares
138,331,939
138,331,939
138,331,939
Diluted effect of options 
-
-
-
Diluted weighted average
number of shares
138,331,939
138,331,939
138,331,939
Diluted earnings per ordinary share
(0.02)p
0.02p
(0.11)p
3. Investments in Financial Assets at Fair Value through Profit or Loss

Unaudited
30 June 2017 
Audited
31 December
2016
 
At 1 January
-
34,500
Sale of shares during the period
-
(34,500)
Adjustment to fair value 

-
At 30 June 2017/ 31 December 2016
-
-
4. Deferred Tax
A deferred tax asset on revaluation of AFS investments arose during the period. However, deferred tax assets are not recognised due to the unpredictability of future profit streams arising from the disposal of investments held by the Group. Losses may be carried forward indefinitely and will only be recoverable if suitable profits arise in the future.
5. Called Up Share Capital

30 June 17
30 June 16

Authorised:


10,000,000,000 (30 June 2016: 10,000,000,000) ordinary each
10,000,000
10,000,000
shares of 0.1p (30 June 2016 - 1p) each


30 June 17
30 June 16




142,831,939 (30 June 2016: 142,831,939) ordinary shares 
of 0.1p (30 June 2016 - 1p each) 
 
 142,832
1,428,319
142,831,939 (30 June 2016: nil) deferred shares of 0.9p each
1,285,487
-

1,428,319
1,428,319
   
On 30 October 2016, the Company divided each issued Existing Ordinary Share of 1p each (Existing Ordinary Share) into one new Ordinary share of 0.1p and one deferred share of 0.9p and each unissued Existing Ordinary Share into 10 new Ordinary Shares as part of a share capital reorganisation. The Deferred shares have no income or voting rights. 
Included in allotted called and fully paid Existing Ordinary Share Capital are 4,500,000 shares with a nominal value of 45,000 held by the Company in treasury. 
No share options were in issue at 30 June 2017.
6. Post-reporting date 
No adjusting or significant non-adjusting events have occurred between the reporting date and the date of release of the Company interim financials.

This information is provided by RNS
The company news service from the London Stock Exchange
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