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VLE - Volvere News Story

1235p 50.0  4.2%

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Sector
Consumer Defensives
Size
Micro Cap
Market Cap £21.7m
Enterprise Value £6.48m
Revenue £21.2m
Position in Universe 1360th / 1834

Volvere PLC - Half-year Report

Thu 26th September, 2019 7:01am
RNS Number : 7013N
Volvere PLC
26 September 2019
 

 

 

-

26 September 2019

 

 

 

Volvere plc

 

("Volvere" or the "Group")

 

Interim Results for the six months ended 30 June 2019

 

Volvere plc (AIM: VLE), the growth and turnaround investment company, announces its unaudited Interim Results for the six months ended 30 June 2019.

 

Highlights

 

£ million except where stated

Six months ended

Year ended


30 June

2019

30 June

2018

(as restated)

 

31 December

2018

(as restated)

Group revenue

10.10

7.25

18.34

 

Group loss before tax from continuing operations

 

Group profit for the period (including discontinued operations)

 

(0.62)

 

2.45

 

(0.65)

 

0.91

 

(2.49)

 

21.10

 

 


As at
30 June 2019

As at
30 June 2018

As at 31
December 2018

Consolidated net assets per share
(excluding non-controlling interests)(1)

 

£13.56

 

£6.75

 

£12.50

Group net assets

26.36

26.89

40.42

Cash and marketable securities

19.65

20.42

34.14

 

 




 

·      The Group's historical results have been restated to exclude the results of Impetus Automotive (disposed of in October 2018) and Sira Defence & Security (disposed of in May 2019).  The sole remaining trading business is Shire Foods.

 

·      Shire Foods' revenues grew to a record level, with improved underlying profitability.

 

·      Record net assets per share(1) of £13.56.

 

·      Balance sheet remains strong with high liquidity. Cash and marketable securities were lower than the prior year end, but broadly similar to the prior comparable period, at £19.6 million. The Group undertook two share buy-backs in June 2019, for a total consideration of £16.6 million.  Cumulative share-buy backs to date now total £32.1 million.

Forward-looking statements:

This report may contain certain statements about the future outlook for Volvere plc.  Although the directors believe their expectations are based on reasonable assumptions, any statements about future outlook may be influenced by factors that could cause actual outcomes and results to be materially different.

 

 

Notes

 

1      Based on the net assets attributable to owners of the parent company and the respective period end shares in issue (excluding treasury shares), which were 1,834,182 at 30 June 2019, 3,668,363 at 30 June 2018 and 3,118,109 at 31 December 2018.

 

2      Profit before intra-group management and interest charges is considered to be a relevant and useful interpretation of the trading results of the business such that its performance can be understood on a basis which is independent of its ownership by the Group.  Further information is included in the Chief Executive's statement and Financial Review.

 

 

 

For further information:

Volvere plc


Jonathan Lander, CEO

Tel: +44 (0) 20 7634 9707

www.volvere.co.uk

 

Cairn Financial Advisers LLP

Sandy Jamieson/James Lewis

 

 

Tel: + 44 (0) 20 7213 0880

 

Chairman's Statement

 

I'm pleased to report another encouraging set of results for the first half of 2019.  The disposal of our security solutions business was completed successfully and our remaining trading business, Shire Foods Limited, performed ahead of the same period last year.

 

Net assets per share have reached a new record of £13.56* (30 June 2018: £6.75, 31 December 2018: £12.50).  We remain positive about the outlook for our business and believe that the current economic and political uncertainty will provide further investment opportunities.

 

 

David Buchler

Chairman

 

26 September 2019

 

*Net assets attributable to owners of the parent company divided by total number of ordinary shares outstanding at the reporting date

(less those held in treasury) - see note 8.

 

 

 

Chief Executive's Statement

 

Following the sale of the Group's automotive consultancy, Impetus Automotive Limited ("Impetus"), in October 2018, we entered 2019 with two trading subsidiaries: Shire Foods Limited ("Shire"), our food manufacturing business and Sira Defence & Security Limited ("Sira"), our CCTV-viewing software business.

 

Sira was sold for £3.0 million on 23 May 2019 and the comparative results for 2018 have therefore been restated to exclude the trading operations of both Impetus and Sira.  As a result, our trading operations now comprise solely Shire along with our central head office functions.

 

Shire performed better than the comparable period in 2018, but the payment of performance-related bonuses on the successful sale of Sira offset the effects of Shire's improved results.  The performance of each of the Group's segments is set out below.

 

Food manufacturing

 

This segment comprises Shire, the Group's 80%-owned frozen pie and pasty manufacturing business, which was acquired in 2011.  The company employs approximately 150 people and is based in Leamington Spa, United Kingdom.

 

Revenue grew by 39% to reach £10.10 million (30 June 2018: £7.25 million).  This growth led to improved financial performance with a profit before tax and intra-Group management and interest charges** of £0.24 million, compared to a loss of £0.17 million for the six months to 30 June 2018 (31 December 2018: profit £0.85 million).  Whilst this is pleasing, the pressure on margins from raw material cost increases and wage inflation remains ever-present.

 

We are actively responding to the increased demand for vegan products and have agreed several new products with retail customers.  In addition, we have launched our own brand - Naughty Vegan - into the foodservice market.

 

In line with previous years, we expect that Shire's performance will be stronger in the second half of the year given the weighting of sales towards the winter months.  We have continued to invest in Shire throughout 2019 and the additional investments have facilitated the revenue growth by increasing capacity.  This will enable further opportunities to be sought in 2020.

 

Investing and management services

This segment represents our central functions covering Group management, finance and IT services.  The loss before tax and intra-Group management and interest charges** for the period was £0.86 million (30 June 2018: loss £0.47 million, 31 December 2018: loss £3.35 million).  The principal reason for the increased costs in 2019 is Group management and staff bonuses in relation to the sale of Sira.

 

Further segmental information is set out in the financial review below and in note 3.

 

 

Acquisitions and future strategy

 

Our strategy throughout 2019 remains as before - to deliver shareholder value through improving trading performance of our existing portfolio, identifying new opportunities, and investment realisations.  The level of deal opportunities has increased since 2018 and we remain optimistic that we will identify new businesses in which to invest.

 

 

 

Jonathan Lander

Chief Executive

 

26 September 2019

 

**Profit before intra-Group management and interest charges is considered to be a relevant and useful interpretation of the trading results of the business such that its performance can be understood on a basis which is independent of its ownership by the Group.

 

 

 

Financial Review

 

This financial review covers the Group's performance during the period ended 30 June 2019.  It should be read in conjunction with the Chairman's and Chief Executive's Statements.

 

Overview

 

The disposal of Impetus in October 2018 and Sira in May 2019 has necessitated the restatement of the Group's previously published results for the periods ending 30 June 2018 and 31 December 2018.  This enables improved comparability with the current period.  The results of Impetus and Sira are included on the income statement as part of profit from discontinued operations.

 

Group revenue for the period grew to £10.10 million from £7.25 million in the prior comparable period (31 December 2018: £18.34 million).  The increase arose from growth in Shire Foods, now the Group's sole trading subsidiary.

 

Group loss before tax on continuing operations was £0.62 million (30 June 2018: £0.65 million, year to 31 December 2018: £2.49 million).  This included one-off incentive costs, relating to the disposal of Sira, amounting to £0.34 million.

 

The Group profit from discontinued operations was £3.08 million, reflecting the disposal of Sira (30 June 2018: £1.56 million, year to 31 December 2018: £23.2 million).  The comparative figures for 2018 have been adjusted to reflect the disposals of both Sira and Impetus.

 

Further comment on each segment is set out below and detailed information about the Group's segments is set out in note 3 to these interim results, which should be read in conjunction with this financial review.

 

Food manufacturing

 

A summary of Shire's recent financial performance is set out in Table A below.

 

 

Table A

 

6 months to

30 June

2019

£'000

 

6 months to

30 June

2018

£'000

Year ended 31 December

2018

£'000

Year ended 31 December

2017

£'000

Year ended 31 December

2016

£'000







Revenue

10,095

7,252

18,344

15,869

15,190













Profit/(loss) before tax, intra-group management and interest charges

 

237

 

(173)

 

854

 

635

 

1,149

 

Intra-group management and interest charges

 

(75)

 

(15)

               

(200)

               

(200)

 

(240)







 

Profit/(loss) before tax

 

162

 

(188)

 

654

 

435

 

909







 

Shire's revenue grew by £2.84 million compared to the comparable period in 2018 and gross margin was improved.  However, the effect of this additional contribution was partly offset by higher distribution and overheads necessary to support the revenue growth.

 

Investment in plant and machinery has continued in 2019, with in excess of £1 million already committed and being commissioned.  The majority of this is being funded through external financing.  There were no Group loans outstanding at 30 June 2019.

 

Shire's unaudited net assets at the period end amounted to £7.06 million (30 June 2018: £5.99 million; 31 December 2018: £6.88 million), of which 20% is attributable to non-controlling interests.

 

Investment revenues and other gains and losses and finance income and expense

 

The Group did not hold or dispose of available-for-sale investments during the period and as a result investment revenues and other gains and losses were lower than in prior periods.

 

The Group's net finance income was £0.05 million (30 June 2018: net expense £0.02 million, 31 December 2018: net income £0.06 million).  In line with previous years, individual Group trading companies utilise leverage where appropriate, and without recourse to the remainder of the Group.

 

Statement of financial position

 

Cash

 

Cash at the period end was £19.65 million (30 June 2018: £17.43 million, 31 December 2018: £34.13 million).  The reduction in cash compared to the end of 2018 resulted principally from the two share buy-backs in 2019, costing £16.57 million.  Details of cash movements are shown in the consolidated statement of cash flows.

 

Earnings per share and share capital

 

Total basic and diluted earnings per ordinary share were 81.1 pence (30 June 2018: 19.3 pence; year ended 31 December 2018: 586.2 pence).

 

Purchase of own shares

 

The Company acquired 1,283,927 of its own ordinary shares during the period for a total consideration of £16.57 million (30 June 2018: Nil and 31 December 2018: 550,254 shares for £6.09 million).  As of 30 June 2019, since the start of its buyback programme, the Group has returned £32.06 million to shareholders.

 

Hedging

 

It is not the Group's policy to enter into derivative instruments to hedge interest rate or foreign exchange risk.

 

Key performance indicators (KPIs)

 

The Group uses key performance indicators suitable for the nature and size of the Group's businesses.  The key financial performance indicators are revenue and profit before tax.  The performance of the Group and the individual trading businesses against these KPIs is outlined above, in the Chief Executive's statement and disclosed in note 3.

 

Internally, management uses a variety of non-financial KPIs in respect of the food manufacturing segment, including order intake, manufacturing output and sales, all of which are monitored weekly and reported monthly.

 

Principal risk factors

 

The Company and Group face a number of specific business risks that could affect the Company's or Group's success.  These are set out more fully in the Group's Annual Report.  The Company and Group invests in distressed businesses and securities, which by their nature often carry a higher degree of risk than those that are not distressed.  The Group's trading business is principally engaged in the provision of products that are dependent on the continued employment of the Group's employees and availability of suitable, profitable workload.  There is a dependency on a small number of customers and a reduction in the volume or range of products supplied to those customers or the loss of any one of them could impact the Group materially.

 

These risks are managed by the Board in conjunction with the management of the Group's businesses.

 

 

Nick Lander

Chief Financial & Operating Officer

 

26 September 2019

 

Consolidated income statement

 


 

 

 

 

Note

6 months to

30 June

2019

6 months to

30 June

2018

(as restated)

Year ended

31

December

2018

(as restated)



£'000

£'000

£'000

Continuing operations





Revenue

3

10,095

7,252

18,344

Cost of sales


(8,831)

(6,596)

(15,700)






Gross profit


1,264

656

2,644






Distribution costs


(543)

(469)

(1,095)

Administrative expenses


(1,394)

(863)

(4,589)






Operating loss


(673)

(676)

(3,040)






Investment revenues

4

-

76

115

Other gains and losses

4

-

(23)

374

Finance expense

4

(67)

(52)

(47)

Finance income

4

116

29

106






Loss before tax


(624)

(646)

(2,492)

Income tax credit/(expense)


-

-

370






 

Loss for the period from continuing operations


(624)

(646)

(2,122)

 

Profit for the period from discontinued operations

5

3,078

1,555

23,218






Profit for the period


2,454

909

21,096






Attributable to:





- Equity holders of the parent


2,422

706

20,956

- Non-controlling interests

8

32

203

140



2,454

909

21,096






Earnings per share

6














Basic and Diluted

- loss from continuing operations


(22.0)p

(16.6)p

(63.3)p

- earnings from discontinued operations


103.1p

35.9p

649.5p

Total


81.1p

19.3p

586.2p











 

 

                                                                                                                                   



 

 

 

Consolidated statement of comprehensive income

 



6 months to

30 June

2019

6 months to

30 June

2018

(as restated)

Year ended

31

December

2018

(as restated)



£'000

£'000

£'000






Profit for the period


2,454

909

21,096






Other comprehensive income (items that will be reclassified to profit or loss)










Fair value gains and losses on available-for-sale financial assets





- current period gains/(losses)


-

75

-

- reclassified to profit and loss


-

(188)

-






Other comprehensive income


-

(113)

-






Total comprehensive income for the period


2,454

796

21,096






Attributable to:










Equity holders of the parent


2,422

593

20,956

Non-controlling interests


32

203

140



2,454

796

21,096








 

 

Consolidated statement of changes in equity

 

Six months to 30 June 2019

Share

capital

£'000

Share

premium

£'000

 

Revaluation

reserves

£'000

Retained

earnings

£'000

Total

£'000

Non-controlling

interests
£'000

Total

£'000

 

 

 

 

 

 

 

 

Other comprehensive income

-

-

-

-

-

-

-

Profit for the period

-

-

-

2,422

2,422

32

2,454

 

 

 

 

 

 

 

 

Total comprehensive income for the period

-

-

-

2,422

2,422

32

2,454

Balance at 1 January

50

3,640

100

35,180

38,970

1,447

40,417

Transactions with owners:

 

 

 

 

 

 

 

Purchase of own shares

-

-

-

(16,512)

(16,512)

-

(16,512)

 

 

 

 

 

 

 

 

Total transactions with owners

-

-

-

(16,512)

(16,512)

-

(16,512)

 

 

 

 

 

 

 

 

Balance at 30 June

50

3,640

100

21,090

24,880

1,479

26,359

 

Six months to 30 June 2018

Share

capital

£'000

Share

premium

£'000

 

Revaluation

reserves

£'000

Retained

earnings

£'000

Total

£'000


Non-controlling

interests
£'000

Total

£'000

 

 

 

 

 

 

 

 

Other comprehensive income

-

-

(113)

-

(113)

-

(113)

Profit for the period

-

-

-

706

706

203

909

 

 

 

 

 

 

 

 

Total comprehensive income for the period

-

-

(113)

706

593

203

796

Balance at 1 January

50

3,640

177

20,319

24,186

1,958

26,144

Transactions with owners:

 

 

 

 

 

 

 

Dividend paid by subsidiary

-

-

-

-

-

(50)

(50)

 

 

 

 

 

 

 

 

Total transactions with owners

-

-

-

-

-

(50)

(50)

 

 

 

 

 

 

 

 

Balance at 30 June

50

3,640

64

21,025

24,779

2,111

26,890

 

Year ended 31 December 2018

Share

capital

£'000

Share

premium

£'000

 

Revaluation

reserves

£'000

Retained

earnings

£'000

Total

£'000

Non-controlling

interests
£'000

Total

£'000

 

 

 

 

 

 

 

 

Other comprehensive income

-

-

-

-

-

-

-

 

 

 

 

 

 

 

 

Profit for the year

 

-

 

-

 

-

 

20,956

 

20,956

 

140

 

21,096

 

 

 

 

 

 

 

 

 

Total comprehensive income for the year

-

-

-

20,956

20,956

140

21,096

 

Balance at 1 January

50

3,640

177

20,319

24,186

1,958

26,144

 

Transactions with owners:

 

 

 

 

 

 

 

Purchase of own shares

-

-

-

(6,095)

(6,095)

-

(6,095)

 

 

 

 

 

 

 

 

Total transactions with owners

-

-

-

(6,095)

(6,095)

-

(6,095)

 

 

 

 

 

 

 

 

Eliminated on disposal

-

-

(77)

-

(77)

(651)

(728)

 

 

 

 

 

 

 

 

Balance at 31 December

50

3,640

100

35,180

38,970

1,447

40,417



 

 

Consolidated statement of financial position

 



30 June

2019

30 June

2018

31 December

2018


Note

£'000

£'000

£'000

Assets





Non-current assets





Goodwill


-

380

-

Property, plant & equipment


6,085

5,296

6,062






Total non-current assets


6,085

5,676

6,062






Current assets





Inventories


2,424

2,291

1,774

Trade and other receivables


4,432

8,176

4,447

Cash and cash equivalents


19,649

17,430

34,137

Available-for-sale investments


-

2,994

-






Total current assets


26,505

30,891

40,358






Total assets


32,590

36,567

46,420






Liabilities

 





Current liabilities





Loans and other borrowings


(709)

(96)

(708)

Finance leases


(324)

(192)

(314)

Trade and other payables


(3,184)

(6,888)

(2,776)

Tax payable


-

(386)

-






Total current liabilities


(4,217)

(7,562)

(3,798)






Non-current liabilities





Loans and other borrowings


(1,205)

(1,306)

(1,254)

Finance leases


(674)

(221)

(816)






Total non-current liabilities


(1,879)

(1,527)

(2,070)











Total liabilities


(6,096)

(9,089)

(5,868)






Provisions - deferred tax


(135)

(514)

(135)

Provisions - lease incentive


-

(74)

-











NET ASSETS


26,359

26,890

40,417






Equity





Share capital


50

50

50

Share premium account


3,640

3,640

3,640

Revaluation reserves


100

64

100

Retained earnings


21,090

21,025

35,180






Capital and reserves attributable to equity holders of the Company


24,880

24,779

38,970

Non-controlling interests

7

1,479

2,111

1,447






TOTAL EQUITY


26,359

26,890

40,417








 

 

 

Consolidated statement of cash flows



6 months to 30 June 2019

6 months to 30 June 2019

6 months to 30 June 2018

(as restated)

6 months to 30 June 2018

(as restated)

Year ended 31 December 2018

(as restated)

Year ended 31 December 2018

(as restated)


Note

£'000

£'000

£'000

£'000

£'000

£'000









Profit for the period



2,454


909


21,096

Adjustments for:








Investment revenues


-


(76)


(115)


Other gains and losses

4

-


23


(374)


Finance expense

5

67


70


47


Finance income

5

(116)


(29)


(106)


Profit from discontinued operations


(3,078)


(1,549)


(23,218)


Depreciation


288


225


457


Income tax (credit)/expense


-


-


(370)













(2,839)


(1,336)


(23,679)









Operating cash flows before movements in working capital



(385)


(427)


(2,583)









Decrease/(increase) in trade and other receivables



37


1,181


(350)

Increase in trade and other payables



750


886


1,109

(Increase)/decrease in inventories



(650)


(825)


(308)

Tax paid



(50)


-


(100)









Cash (used by)/generated from continuing operations



(298)


815


(2,232)









Operating cash flows from discontinued operations



(316)


2,656


1,839

















Net cash (used by)/generated from operating activities



(614)


3,471


(393)









Investing activities








Proceeds from sale of discontinued operations net of cash sold


3,138


-


22,537


Investing cash flows from discontinued operations


-


(460)


-


Purchase of available-for-sale investments


-


-


-


Income from available-for-sale investments


-


76


115


Disposal of available-for-sale investments


-


3,205


6,632


Purchase of property, plant and equipment


(307)


(101)


(429)


Disposal of property, plant and equipment


-


-


-


Interest received


116


29


106










Net cash generated from/(used by) investing activities



2,947


2,749


28,961









Financing activities








Interest paid


(67)


(51)


(47)


Purchase of own shares (treasury shares)

8

(16,571)


-


(6,094)


Dividend paid by subsidiary


-


(49)


(49)


Net repayment of borrowings


(183)


(828)


(375)


















Net cash used by financing activities



(16,821)


(928)


(6,565)









Net (decrease)/ increase in cash



(14,488)


5,292


22,003

 

Cash at beginning of period



34,137


12,119


12,119

Foreign exchange revaluation of opening cash



-


19


15









Cash at end of period



19,649


17,430


34,137









 


Volvere plc

 

Notes forming part of the unaudited interim results for the period ended 30 June 2019

 

1          Financial information and basis of accounting

 

These interim financial statements have been prepared using accounting policies consistent with IFRSs as adopted by the European Union.

 

These interim financial statements should be read in accordance with the Group's last annual consolidated financial statements as at and for the year ended 31 December 2018.  They do not include all the information required for a complete set of IFRS financial statements.  However, selected explanatory notes are included to explain events and transactions that are significant to an understanding of the changes in the Group's financial position and performance since the last annual financial statements.  AIM-listed companies are not required to comply with IAS 34 Interim Financial Reporting and accordingly the Group has taken advantage of this exemption.

 

The comparative figures for the year ended 31 December 2018 have been prepared under IFRS.  They do not constitute statutory accounts as defined by the Companies Act 2006.  The accounts for the 12 months ended 31 December 2018 received an unmodified auditor's report and have been filed with the Registrar of Companies.

 

Copies of this statement will be available to members of the public at the Company's registered office: Warnford Court, 29 Throgmorton Street, London EC2N 2AT and on its website www.volvere.co.uk.

 

2          Significant accounting policies

 

Except as noted below, the accounting policies applied in these interim financial statements are the same as those applied in the Group's consolidated financial statements as at and for the year ended 31 December 2018.

 

Explanation of significant areas for adjustment

 

Prior to the disposal of the automotive and security solutions segments, the potential significant area for adjustment related to the recognition of revenue on fixed price consulting contracts where the final deliverable is the performance obligation.  Previously, revenue would have been recognised in line with the stage of completion.  All businesses affected have been sold and treated as discontinued operations.

 

IFRS 16 Leases had not been adopted in 2018 but has been with effect from 1 January 2019.  The effects on the presentation of the Group's results arising from the adoption of IFRS 16 is not material.

 

3          Operating segments

 

An analysis of key financial data by business segment (excluding intra-Group interest and management charges and balances) is provided below.  During 2018 the Group's automotive consulting segment was sold and during 2019 the Group's security solutions segment was sold.  The comparable results for 2018 have been restated for both these disposals and the respective results included within Profit from discontinued operations.

 

Analysis by business segment:

 

 






 

Period ended 30 June 2019



 

Food

manufacturing

£'000

Investing and

 Management

 services

£'000

 

 

Total

£'000

 







 

Revenue



10,095

-

10,095

 







 

Profit/(loss) before tax from continuing operations(1)



237

(861)

(624)

 







 







 

Period ended 30 June 2018 (as restated)



 

Food

manufacturing

£'000

Investing and

Management

 services

£'000

 

 

Total

£'000

 







 

Revenue



7,252

-

7,252

 







 

(Loss) before tax from continuing operations (1)



(173)

(473)

(646)

 





 


 







 

Year ended 31 December 2018 (as restated)



 

Food

manufacturing

£'000

Investing and management services

£'000

 

 

Total

£'000

 







 

Revenue



18,344

-

18,344

 

 

Profit/(loss) before tax from continuing operations (1)



 

854

 

(3,346)

 

(2,492)

 





 


 







 

As at 30 June 2019

 






 


 

 

Food manufacturing

£'000

Investing and

management

services

£'000

 

 

Total

continuing

£'000

 

 

 

Discontinued(2)

£'000

 

 

 

Total

£'000

 

Assets






 

Liabilities/provisions

13,365

19,225

32,590

-

32,590

 


(6,303)

72

(6,231)

-

(6,231)

 

Net assets(3)

 

7,062

 

19,296

 

26,359

 

-

 

26,359

 







 







 

As at 30 June 2018

 

 

Food manufacturing

£'000

Investing and

management

services

£'000

 

 

Total

continuing

£'000

 

 

 

Discontinued(2)

£'000

 

 

 

Total

£'000

 







 

Assets

10,383

16,257

26,640

9,927

36,567

 

Liabilities/provisions

(4,393)

(192)

(4,585)

(5,092)

(9,677)

 







 

Net assets(3)

5,990

16,065

22,055

4,835

26,890

 







 







 

As at 31 December 2018

 

 

Food manufacturing

£'000

Investing and

management

services

£'000

 

 

Total

continuing

£'000

 

 

 

Discontinued(2)

£'000

 

 

 

Total

£'000

 







 

Assets

12,311

33,690

46,001

419

46,420

 

Liabilities/provisions

(5,427)

(217)

(5,644)

(359)

(6,003)

 







 

Net assets(3)

6,884

33,473

40,357

60

40,417

 







 







 

Six months to 30 June 2019



 

Food manufacturing

£'000

Investing and management services

£'000

Total

(as restated)

£'000

Capital spend



310

2

312

Depreciation



287

-

287

Interest income (non-Group)



-

116

116

Interest expense (non-Group)



(67)

-

(67)

Tax credit



-

-

-













Six months to 30 June 2018 (as restated)



 

 

Food manufacturing

£'000

 

Investing and management services

£'000

 

Total

(as restated)

£'000

Capital spend



101

-

101

Depreciation



224

1

225

Amortisation/Impairment



-

-

-

Interest income (non-Group)



-

29

29

Interest expense (non-Group)



52

-

52

Tax expense



-

-

-













Year ended 31 December 2018 (as restated)



 

Food manufacturing

£'000

Investing and management services

£'000

Total

(as restated)

£'000

Capital spend



1,253

-

1,253

Depreciation



457

-

457

Amortisation/Impairment



-

-

-

Interest income (non-Group)



-

106

-

Interest expense (non-Group)



47

-

47

Tax credit



(52)

(318)

(52)







 

Geographical analysis:


 

External revenue by location of customers

 

Non-current assets by location of assets


 

6 months to

30 June

2019

6 months to

30 June

2018

(as restated)

Year ended

31 December 2018

(as restated)

 

 

30 June

2019

 

 

30 June

2018

 

 

31 December 2018


£'000

£'000

£'000

£'000

£'000

 

£'000








UK

9,902

7,013

17,746

6,085

5,676

6,062

Rest of Europe

193

239

598

-

-

-

Other

-

-

-

-

-

-









10,095

7,252

18,344

6,085

5,676

6,062

 

Notes:

(1)     stated before intra-group management and interest charges

(2)     discontinued relates to the former segments of Automotive consulting and Security solutions

(3)     assets and liabilities stated excluding intra-group balances

 

4          Investment revenues, other gains and losses and finance income and expense

 

Investment revenues and other gains and losses represent respectively interest and dividends receivable from, and the gains arising upon disposal of, investments made pursuant to the Group's investing and treasury management policies.

 

 

5          Profit for the period from discontinued operations

 

On 4 October 2018, the Group disposed of its share in its subsidiary undertaking, Impetus Automotive Limited for a total of £26.1 million in cash.  On 23 May 2019, the Group disposed of its wholly-owned subsidiary Sira Defence & Security Limited for £3.0 million in cash.

 


 

6 months to

30 June

2019

£'000

6 months to

30 June

2018

(as restated)

£'000

Year ended

31 December

2018

(as restated)

£'000





Profit for the period relating to Impetus Automotive Limited

-

1,543

23,126

Profit for the period relating to Sira Defence & Security Limited

3,078

12

92

 

Total profit from discontinued operations

 

3,078

 

1,555

 

23,218

 

 

6          Earnings per share

 

The calculation of the basic and diluted earnings per share is based on the following data:

 


 

6 months to

30 June

2019

£'000

6 months to

30 June

2018

(as restated)

£'000

Year ended

31 December

2018

(as restated)

£'000

Earnings for the purposes of earnings per share:








From continuing operations

(656)

(609)

(2,262)

From discontinued operations

3,078

1,315

23,218

 

Total

 

2,422

 

706

 

20,956






No.

No.

No.

Weighted average number of ordinary shares for the purposes of earnings per share:




Weighted average number of ordinary shares in issue

2,986,829

3,668,363

3,574,895

Dilutive effect of potential ordinary shares

-

-

-

 

Weighted average number of ordinary shares for diluted EPS

 

2,986,829

 

3,668,363

 

3,574,895





 

There were no share options (or other dilutive instruments) in issue during the period in respect of the parent company's shares (30 June 2018: nil; 31 December 2018: nil).

7          Non-controlling interests

 

The non-controlling interests of £1.48 million relate to the net assets attributable to the shares not held by the Group at 30 June 2019 in the following subsidiaries:

 


30 June

2019

£'000

30 June

2018

£'000

31 December 2018

£'000





NMT Group Limited

71

71

71

Shire Foods Limited

1,408

1,196

1,376

Impetus Automotive Limited

-

844

-


1,479

2,111

1,447

 

The Group owns approximately 80% of Shire Foods and 98.6% of NMT.

 

8          Purchase of own shares

 

The Company acquired 1,283,927 of its own ordinary shares during the period for a total consideration of £16.57 million (30 June 2018: Nil and 31 December 2018: 550,254 shares for £6.09 million).  For reference, the total number of ordinary shares held in treasury is 4,372,892 and the number of shares in issue, excluding treasury shares, at the period end was 1,834,182 (30 June 2018: 3,668,363 and 31 December 2018: 3,118,109).

 

9          Dividend

 

The Board is not recommending the payment of an interim dividend for the period ended 30 June 2019.

 

 

 

- Ends -


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