REG - Tiger Resource PLC - Half-year Report

Tiger Royalties and InvestmentsAnnouncement

26/09/2019 07:00

RNS Number : 6831N
Tiger Resource PLC
26 September 2019
 


      
For immediate release                                                                                                26 September 2019
 
TIGER RESOURCE PLC ("Tiger" or the "Company")
 
UNAUDITED INTERIM FINANCIAL STATEMENTS FOR THE SIX MONTHS ENDED 30 JUNE 2019
 
Chairman's Report
 
Net Asset Value per share - 30 Jun 2019 - 0.39p / 31 Dec 2018 - 0.40p (30 June 2018 - 0.69p)
 
Total assets - 30 Jun 2019 - £728k / 31 Dec 2018 - £753k (30 June 2018 - £1.27M)
 
The period under review has been unfavourable for "small cap" stocks in the resource sector despite major markets remaining buoyant.  The strength in the world's key stock markets does not appear to have any underlying substance and geo-political threats exist in many regions of the world.  The forecast for global recession seems to be a general consensus amongst sophisticated investors, but despite this, with the exception of bonds, most asset classes remain resilient to correction. 
 
The trade war between China and the USA has been very damaging for metal and commodity prices and the effects are now being felt in China, with growth forecasts being cut going forward.  This scenario continues to have a serious impact on the share valuations of various mining conglomerates with a magnified knock-on effect being experienced in the junior resource sector.  The expected increases in base metal prices have not yet materialised and the only beneficiary from these adverse conditions is Gold, which always benefits during times of geo-political tension. 
 
Smaller companies in the natural resource sector have experienced considerable challenges with raising cash to develop their projects and only those companies, which are in or close to production are raising the necessary funding for progressive work.  Companies with projects engaged in early stage exploration and non-generative work are experiencing extreme difficulties with fund raising for meaningful technical advancement. 
 
We anticipate that ongoing political and diplomatic negotiations will alleviate most of the current geo-political tensions.  My own view is that the USA/China trade war will also find some form of resolution and that Brexit will be "fudged", leaving the Middle Eastern disputes as the key political risk.  Resolution of the trade war will undoubtedly result in improved metal prices and this phenomenon has been evidenced whenever rumours have emerged of a possible reconciliation of trade issues between the two key trading partners, USA and China.
 
We as a Board remain confident that the disposable income and new wealth creation in emerging markets will provide the catalyst on the demand side, whilst supply fundamentals continue to be very tight, due to existing mine closures and delays being experienced in the opening of new facilities to replace this lost production.  This situation cannot continue without resulting in higher commodity prices, and we remain confident for the sector in the mid-term.
 
 During the period under review, Tiger sold 2,700 Royal Dutch Shell Plc shares on 22 February 2019 realising net proceeds of £64,933 and crystallising a small loss of £8,301 on the sale.  However, this investment has been held by Tiger for some years and has delivered a good yield over time which more than compensates the small loss realised.  A further disposal of 625,000 shares in Block Energy Plc on 17 April 2019 produced net proceeds of £64,035 and a profit of £38,935 on the sale. 
 
We firmly believe that the group holds a diverse portfolio of good investments, most of which should perform well as the resource sector comes back into favour, thus helping to rebuild shareholder value in the coming months.
 
Colin Bird
Chairman
26 September 2019
 
 
Portfolio Holdings as at 30 June 2019
 




Investments


Number


Cost
£


Valuation
 £




Anglo American Plc


11,500


250,112


258,117




Barkby Group Plc


60,606


100,000


2,879




Bezant Resources Plc


55,555,556


250,435


50,000




Block Energy Plc


625,000


25,100


62,500




BMR Group Plc


2,500,000


50,217


-




Corallian Energy Ltd


20,000


30,000


30,000




ETFS Copper


1,760


29,864


34,676




Galileo Resources Plc


6,516,667


78,335


33,235




Goldquest Mining Corp


173,500


30,259


14,088




Jubilee Metals Group Plc


1,169,600


100,219


38,948




Pantheon Resources Plc


31,500


30,340


6,694




Revelo Resources Corp


216,667


      62,965


2,600




Royal Dutch Shell Plc B Shares


2,700


73,234


69,687




 


 


 


 




Total


 


 


603,424




 


 


 


 
 




African Pioneer Plc


 


 


 




Europa Minerals Ltd


130,499,858


65,250


13,050




Galileo Resources Plc


2,500,000


50,000


12,750




Jubilee Metals Group Plc


917,802


34,834


30,563




Revelo Resources Corp


1,515,000


53,651


15,942




South 32 Plc


13,845


28,607


24,090




Xtract Resources Plc


606,060


20,217


5,151




 


 


 


 




Total


 


 


101,546




 


 


 


 




Total Investments


 


 


704,970




 
 
 
 
 




 
 
Tiger Resource Plc


 
 
Raju Samtani, Director                                              


 
 
+44 (0)20 7581 4477




Beaumont Cornish
(Nomad)


Roland Cornish
Felicity Geidt
Email:corpfin@b-cornish.co.uk


+44 (0)20 7628 3369




 
Novum Securities Plc
(Broker)
 


 
Jon Belliss


 
+44 (0)20 7399 9425




 
 
Consolidated Statement of Comprehensive Income
For the six months ended 30 June 2019
 
 




 


 
(Unaudited)
Group Six months ended
30 June 19


 
(Unaudited)
Group Six months ended
30 June 18


 
(Audited)
Group Year
ended
31 Dec 18
 




 


£


£


£




Gain on investments


114,130


476,252


(104,110)




Income:


 


 


 




Investment income


9,098


93


11,784




Interest receivable


12


163


214




Administrative expenses


(148,075)


(190,719)


(327,937)




Impairment


-


(71,720)


-




(LOSS) /PROFIT BEFORE TAXATION


(24,835)


214,069


(420,049)




 


 


 


 




Taxation


-


-


-




 (LOSS) /PROFIT FOR THE PERIOD


(24,835)


214,069


(420,049)




 


 


 


 




Other Comprehensive Income


 


 


 




 


 


 


 




Available-for-sale financial assets unrealised profit/(loss)


-


(167,548)


-




Reclassification to profit or loss


-


46,392


-




 


 


 


 




Transfer to Impairment


-


-


-




 


 


 


 




OTHER COMPREHENSIVE PROFIT/ (LOSS) FOR THE PERIOD, NET OF TAX


-


(121,156)


-




TOTAL COMPREHENSIVE (LOSS)/ PROFIT FOR THE PERIOD


(24,835)


92,913


 
(420,049)




 
(Loss)/profit for the period attributable to:
 


 


 


 




Shareholders of the Company


(3,827)


110,695


(380,037)




Non-controlling interest


(21,008)


(17,782)


(40,012)




 


 


 


 




 


(24,835)


92,913


(420,049)




Basic earnings per share


(0.002)p


0.12p


(0.20)p




Diluted earnings per share


(0.002)p


0.12p


(0.20)p




 


 


 


 




 
 
 
 
 
 
All profits are derived from continuing operations.



Consolidated Statement of Financial Position
As at 30 June 2019
 
 




 


 
(Unaudited)
Group
30 June 19


 
(Unaudited)
Group
30 June 18
 


 
(Audited) Group
31 Dec 18
 




 


£


£


£




NON CURRENT ASSETS


 


 


 




Financial assets at fair value through profit or loss


 


 


-




Investments


704,970


1,082,778


719,783




 


704,970


1,082,778


719,783




CURRENT ASSETS


 


 


 




Trade and other receivables


19,402


34,397


9,111




Cash and cash equivalents


42,169


205,269


66,779




 


61,571


239,666


75,890




 


 


 


 




TOTAL ASSETS


766,541


1,322,444


795,673




 
 


 


 


 




 


 


 


 




EQUITY AND LIABILITIES


 


 


 




 


 


 


 




EQUITY ATTRIBUTABLE TO SHAREHOLDERS


 


 


 




Share capital


1,474,334


1,474,334


1,474,334




Share premium


1,669,216


1,669,216


1,669,216




Other components of equity


1,100,000


1,302,999


1,100,000




Retained earnings


(3,520,056)


(3,228,496)


(3,516,229)




EQUITY ATTRIBUTABLE TO THE OWNERS


723,494


1,218,053


727,321




 


 


 


 




Equity interest of non-controlling interest


4,845


48,083


25,853




 


 


 


 




TOTAL EQUITY


728,339


1,266,136


753,174




 


 


 


 




CURRENT LIABILITIES


 


 


 
 




Trade and other payables


38,202


56,308


42,499




Corporate tax payable


-


-


-




 


38,202


56,308


42,499




 


 


 


 




TOTAL LIABILITIES


38,202


56,308


42,499




 


 


 


 
 




TOTAL EQUITY AND LIABILITIES


766,541


1,322,444


795,673




 


 


 


 




 
 
 
Consolidated Statement of Changes in Equity
As at 30 June 2019
 
 
                                              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 2017


1,474,334


1,669,216


1,100,000


-


-


 -


(3,136,192)


65,865


1,173,223




Changes in equity


 


 


 


 


 


 


 


 


 




Profit/ (Loss) for  the period


-


-


-
 


-


-


-


229,659


(15,590)


    214,069




Other Comprehensive (loss)
Available-for-sale Financial Assets:
Current Period Losses
Transfer to impairment
Transfer on disposal
 


 
 
 
-
-
-


 
 
 
-
-
-
 


 
 
 
-
-
-
 


 
 
 
-
-
-
 


 
 
 
-
-
-
 


 
 
 
-
-
-
 
 


 
 
 
(143,333)
24,369
-
 


 
 
 
(24,215)
22,023
-
 


 
 
 
 (167,548)
 46,392
-




Total comprehensive expense for the period


-


-


-


-


-                 


-


110,695


(17,782)


92,913




 


 


 


 


 


 


 


 


 


 




As at 30 June 2018


1,474,334


1,669,216


1,100,000


-


-


 -


(3,025,497)


48,083


1,266,136




Changes in equity


 


 


 


 


 


 


 


 


 




Profit/ (Loss) for  the period


-


-


-


-


-


-


   (490,732)


(22,230)


(512,962)




 


 


 


 


 


 


 


 


 


 




Total comprehensive expense for the period


-


-


-


-


-


-


   (490,732)


(22,230)


  (512,962)




 




As at 31 December 2018


1,474,334


1,669,216


1,100,000


-


-


 -


(3,516,229)


25,853


753,174




 
 




Changes in equity


 


 


 


 


 


 


 


 


 




Profit/(Loss) for  the period


-


-


-


-


-


-


       (3,827)


(21,008)


(24,835)




 


 


 


 


 


 


 


 


 


 




Total comprehensive expense for the period
 


-


-


-


-


-                 


-


(3,827)


(21,008)


(24,835)




As at 30 June 2019


1,474,334


1,669,216


1,100,000


-


-


 -


(3,520,056)


4,845


728,339




 


 


 


 


 


 


 


 


 


 




 


 


 


 


 


 


 


 


 


 




 


 


 


 


 


 


 


 


 


 




 


 


 


 


 


 


 


 


 


 




 


 


 


 


 


 


 


 


 


 



 
 
 
 
 
 
 
 
 
 
 



 
                                                                                                                                                                       
 
Cash Flow Statement
For the six months ended 30 June 2019
 
 




 


 
(Unaudited)
30 June 19


 
(Unaudited)
30 June 18


 
(Audited)
31 Dec 18




 


£


£


£




CASH FLOW FROM OPERATIONS


 


 


 




(Loss)/profit before taxation


(24,835)


214,069


(420,049)




Adjustment for:


 


 


 




Interest received


(12)


(163)


(214)




Dividends received


(9,098)


(94)


(11,784)




Change in fair value of investments


 


 


104,110




 


 


 


 




Operating (loss) before movement in working capital


(33,945)


213,812


(327,937)
 




(Increase)/decrease in receivables


(10,290)


27,234


30,348




Increase/(decrease) in payables


(4,323)


(123,878)


(137,700)




Gain on disposal of financial asset at fair value


(114,130)


(476,021)


-




Impairment of investments


-


71,720


-




 


 


 


 




NET CASH (OUTFLOW) FROM OPERATING ACTIVITIES
 


(162,688)


(287,133)


(435,289)




 


 


 


 




TAXATION PAID


 


 


-




CASH FLOW FROM INVESTING ACTIVITIES


 


 


 




Interest received


12


163


214




Dividends received


9,098


94


11,784




Sale of investments


128,968


739,631


787,396




Purchase of investments


-


(503,291)


   (553,131)          




 


 


 


 




NET CASH INFLOW FROM INVESTING ACTIVITIES
 


138,078


236,597


246,263




 


 


 


 




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


(24,610)


(50,536)


(189,026)




Cash and cash equivalents at the beginning of the period


66,779


255,805


255,805




Cash and cash equivalents at the end of the period


42,169


205,269


66,779




 


 


 


 




 


 


 


 




 
 
 
 
Selected notes to the consolidated financial statements
For the six months ended 30 June 2019
 
 
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 2019 have been prepared by applying the accounting policies adopted in the audited accounts for the year ended 31 December 2018. As permitted, the Group has chosen not to adopt IAS 34 "Interim Financial Reporting".
 
The financial information set out in this interim report does not constitute statutory accounts as defined in section 434 of the Companies Act 2006.  The group's statutory financial statements for the period ended 31 December 2018, prepared under International Financial Reporting Standards (IFRS), have been filed with the Registrar of Companies.  The auditor's report on those financial statements was unqualified and did not contain a statement under section 498 (2) or (3) of the Companies Act 2006.
 
 
2.         Earnings Per Share     
 
 




Basic


Unaudited


Unaudited


Audited




 


6 months to
30 June 2019


6 months to
30 June 2018


Year ended 31 December 2018




 


 


 


 




Profit/(Loss) after tax for the purpose of
earnings per share


£(3,827)


£229,659


£(380,037)




Weighted average number of shares


188,847,070


184,347,070


188,847,070




Basic earnings per ordinary share


(0.002)p


0.12p


(0.20)p




 




Diluted


 


 


 




 


 


 


 




 


 


 


 




Profit/(loss) after tax


£(3,827)


£229,659


£(380,037)




Weighted average number of shares


188,847,070


184,847,070


188,847,070




Diluted effect of options


-


-


-




Diluted weighted average
number of shares


188,847,070


184,847,070


188,847,070




Diluted earnings per ordinary share


(0.002)p


0.12p


(0.20)p



 
 
 
 
 



 
 
3.         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.
 
 
4.         Called Up Share Capital
                                                                                                                                                                 
The share capital of Tiger Resource Plc consists only of fully paid ordinary shares with a nominal value of 0.1p each. All Ordinary shares are equally eligible to receive dividends and the repayment of capital and represent one vote at the shareholders' meeting of the Company.
 




 


30 June
2019


30 June
2018




 


£


£




Authorised:
 


 


 


 




10,000,000,000  (2018: 10,000,000,000) ordinary shares 0.1p
(30 June 2018 - 1p each)


10,000,000


10,000,000


 




 
 


 


 


 




142,831,939 deferred shares of 0.9p each  (30 June 2018: 142,831,939  deferred shares of 0.9p each )


1,285,487


1,285,487


 




 
 
 
4.         Called Up Share Capital (continued)
 


 


 


 




Issued:


30 June
2019


30 June
2018


 




 


£


£


 




 


 


 


 




188,847,070 Ordinary shares 0.1p (30 June 2018: 142,831,939 Ordinary Shares of  1p each)                                                                                   


188,847


188,847


 




142,831,939 deferred shares of 0.9p each (30 June 2018: 142,831,939 deferred shares of 0.9p each)


1,285,487


1,285,487


 




 


1,474,334


1,474,334


 



 
 
 
 
 
 



                                                                                                                                                                                                                                                                                                                                                                           
Included in allotted called and fully paid share capital are 4,500,000 shares with a nominal value of £4,500 held by the company in treasury.
 
 
5.         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 announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014.
 




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