TIDMASTO
RNS Number : 6244Q
AssetCo PLC
19 June 2015
Providers of management and resources to the fire and emergency
services in the Middle East
Date: Friday, 19 June Immediate Release
2015
AssetCo plc
("AssetCo" or the "Company")
Half-yearly financial report
Six months ended 31 March 2015
Introduction
We are pleased to announce the results for the six months ended
31 March 2015 which show good progress and increased profits and
cash generation.
Results
The Income statement for the six months ended 31 March 2015
shows an Operating Profit of GBP1.76m (2014: GBP1.14m) on Revenue
of GBP10.4m (2014: GBP7.0m) and a Profit for the period of GBP1.5m
(2014: GBP1.0m). The improvement in profitability reflects the the
increase in the size of our contracts in the Middle East; headcount
has increased from 171 to 216. Basic Earnings per share in the
period was 12.30p (2014: 8.89p).
Cash generation
The Company generated GBP4.7m of free unrestricted cash in the
six months under review, with GBP2.5m net releases from contract
Bonds and the remaining GBP2.2m generated from operations.
We currently have total cash of GBP13.4m (2014: GBP9.9m)
comprising free cash balances of GBP10.5m (2014: GBP5.1m) and
restricted cash balances held in respect of Bonds amounting to
GBP2.9m (2014: GBP4.9m).
Claim against former auditors
We have now received a response to our claim against our former
auditors Grant Thornton, lodged under the Professional Negligence
Pre-action Protocol, and the next stage is a mediation hearing
which is expected to take place in October 2015.
Current trading
Trading continues in line with the current contracts and
management's expectations, and we will keep shareholders updated
with progress during the course of the year.
Tudor Davies
Chairman
19 June 2015
AssetCo plc
Consolidated Income Statement
for the six months ended 31 March 2015
Six months ended Year ended
31 March 31 March 30 September
2015 2014 2014
GBP'000 GBP'000 GBP'000
Revenue 10,418 7,027 14,634
Cost of sales (7,985) (5,101) (10,865)
--------- --------- -------------
Gross profit 2,433 1,926 3,769
Administrative expenses (672) (788) (1,169)
--------- --------- -------------
Operating profit 1,761 1,138 2,600
Finance income 10 28 9
Finance costs (269) (134) (356)
Profit before taxation 1,502 1,032 2,253
Income tax expense - - -
--------- --------- -------------
Profit for the period 1,502 1,032 2,253
Earnings per share (EPS):
Basic - pence 12.30 8.89 18.92
Diluted - pence 12.30 8.67 18.46
AssetCo plc
Consolidated Statement of Comprehensive Income
for the six months ended 31 March 2015
Six months ended Year ended
31 March 31 March 30 September
2015 2014 2014
GBP'000 GBP'000 GBP'000
Recognised profit for the
period 1,502 1,032 2,253
Other comprehensive income/(expense):
Exchange differences on
translating foreign operations 1,107 (232) 137
Other comprehensive income/(expense),
net of tax 1,107 (232) 137
--------- --------- -------------
Total comprehensive income
for the period 2,609 800 2,390
--------- --------- -------------
AssetCo plc
Consolidated Statement of Financial Position
As at 31 March 2015
At 31 March At 31 At 30 September
2015 March 2014
2014
Notes GBP'000 GBP'000 GBP'000
ASSETS
Non-current assets
Property, plant and equipment 2 21 12
Cash held in respect of
Bonds 2,881 2,430 2,482
------------------------------- ------ ------------ --------- ----------------
Total non-current assets 2,883 2,451 2,494
Current assets
Inventories - - 333
Trade and other receivables 3 6,064 5,724 6,220
Cash and cash equivalents
(excluding bank overdrafts) 10,503 5,058 5,787
Cash held as security against 55 - -
letters of credit
Cash held in respect of
Bonds - 2,430 2,509
------------------------------- ------ ------------ --------- ----------------
Total current assets 16,622 13,212 14,849
------------------------------- ------ ------------ --------- ----------------
TOTAL ASSETS 19,505 15,663 17,343
------------------------------- ------ ------------ --------- ----------------
Shareholders' equity
Share capital 25,474 25,474 25,474
Share premium 64,941 64,941 64,941
Foreign currency translation
reserve 1,131 (345) 24
Profit and loss account (74,221) (76,944) (75,723)
------------------------------- ------ ------------ --------- ----------------
TOTAL EQUITY 17,325 13,126 14,716
LIABILITIES
Current liabilities
Trade and other payables 4 2,180 2,537 2,627
Total current liabilities 2,180 2,537 2,627
------------------------------- ------ ------------ --------- ----------------
TOTAL LIABILITIES 2,180 2,537 2,627
------------------------------- ------ ------------ --------- ----------------
TOTAL EQUITY AND LIABILITIES 19,505 15,663 17,343
------------------------------- ------ ------------ --------- ----------------
AssetCo plc
Consolidated Statement of Changes in Equity
for the six months ended 31 March 2015
Share Foreign Profit Share Total
Capital currency and premium equity
translation loss
reserve reserve
GBP'000 GBP'000 GBP'000 GBP'000 GBP'000
Balance at 30 September
2013 25,353 (113) (77,976) 62,645 9,909
Transactions with owners:
Issue of shares 121 - - 2,296 2,417
--------------------------- --------- ------------- --------- --------- --------
Transactions with owners
for the period 121 - - 2,296 2,417
--------------------------- --------- ------------- --------- --------- --------
Profit for the period - - 1,032 - 1,032
Other comprehensive
expense:
Exchange differences
on translation - (232) - - (232)
Total comprehensive
(expense) / income for
the period - (232) 1,032 - 800
--------------------------- --------- ------------- --------- --------- --------
Balance at 31 March
2014 25,474 (345) (76,944) 64,941 13,126
--------------------------- --------- ------------- --------- --------- --------
Profit for the period - - 1,221 - 1,221
Other comprehensive
income:
Exchange differences
on translation - 369 - - 369
Total comprehensive
income for the period - 369 1,221 - 1,590
--------------------------- --------- ------------- --------- --------- --------
Balance at 30 September
2014 25,474 24 (75,723) 64,941 14,716
--------------------------- --------- ------------- --------- --------- --------
Profit for the period - - 1,502 - 1,502
Other comprehensive
income:
Exchange differences
on translation - 1,107 - - 1,107
--------------------------- --------- ------------- --------- --------- --------
Total comprehensive
income for the period - 1,107 1,502 - 2,609
--------------------------- --------- ------------- --------- --------- --------
Balance as at 31 March
2015 25,474 1,131 (74,221) 64,941 17,325
--------------------------- --------- ------------- --------- --------- --------
AssetCo plc
Consolidated Statement of Cash Flows
for the six months ended 31 March 2015
Six months ended Year ended
31 March 31 March 30 September
2015 2014 2014
Note GBP'000 GBP'000 GBP'000
Cash flows from operating
activities
Cash generated / (used)
in operations 5 2,253 (1,324) (380)
Cash deposited in respect
of Performance Bonds (223) - (30)
Cash released in respect 2,814 - -
of Performance Bonds
Cash deposited in respect (55) - -
of a letter of credit
Interest paid (269) (134) (356)
Net cash generated from
/ (used in) operating
activities 4,520 (1,458) (766)
--------------------------- ----- --------- --------- -------------
Cash flows from investing
activities
Finance income 10 28 9
Net cash generated from
investing activities 10 28 9
--------------------------- ----- --------- --------- -------------
Cash flows from financing
activities
Issue of shares (net
of costs) - 2,417 2,417
Net cash generated from
financing activities - 2,417 2,417
--------------------------- ----- --------- --------- -------------
Net change in cash and
cash equivalents 4,530 987 1,660
Cash, cash equivalents
and bank overdrafts at
the beginning of the
period 5,787 4,134 4,134
Exchange differences
on translation 186 (63) (7)
Cash, cash equivalents
and bank overdrafts at
the end of the period 10,503 5,058 5,787
--------------------------- ----- --------- --------- -------------
AssetCo plc
Notes to the Financial Statements
for the six months ended 31 March 2015
1. Legal status and activities
AssetCo plc (the "Company") is principally involved
in the provision of management and resources to the
fire and rescue emergency services in international
markets. It currently trades through a branch in
UAE and its strategy is to develop this business.
As at period end, the Company has no trading subsidiaries
and therefore the principal activities of the Group
are restricted to those of the Company detailed above.
AssetCo plc is a public limited liability company
incorporated and domiciled in England and Wales.
The address of its registered office is Singleton
Court Business Park, Wonastow Road, Monmouth, Monmouthshire
NP25 5JA. The Group operates from one site in UAE.
AssetCo plc shares are listed on the Alternative
Investment Market ("AiM") of the London Stock Exchange
(Symbol: ASTO)
2. Basis of preparation
The financial information in the half-yearly financial
report has been prepared using the recognition and
measurement principles of International Accounting
Standards, International Financial Reporting Standards
and Interpretations adopted for use in the European
Union (collectively Adopted IFRSs). The principal
accounting policies used in preparing the half-year
report are those the Group expects to apply in its
financial statements for the year ending 30 September
2015 and are unchanged from those disclosed in the
Annual Report and Consolidated Financial Statements
for the year ended 30 September 2014.
The financial information for the six months ended
31 March 2015 and the six months ended 31 March 2014
is unaudited and does not constitute the Group's
statutory financial statements for those periods.
The comparative financial information for the full
year ended 30 September 2014 has, however, been derived
from the audited statutory financial statements for
that period. A copy of those statutory financial
statements has been delivered to the Registrar of
Companies.
While the financial figures included in this half-yearly
financial report have been computed in accordance
with IFRSs applicable to interim periods, this half-yearly
financial report does not contain sufficient information
to constitute an interim financial report as that
term is defined in IAS 34.
The financial statements have been presented in Sterling
to the nearest thousand pounds (GBP'000) except where
otherwise indicated.
3. Trade and other receivables
31 March 31 March 30 September
2015 2014 2014
GBP'000 GBP'000 GBP'000
Trade receivables 5,166 4,959 5,132
Other receivables 78 71 149
Prepayments and accrued
income 820 694 939
--------- --------- -------------
6,064 5,724 6,220
--------- --------- -------------
4. Trade and other payables
31 March 31 March 30 September
2015 2014 2014
GBP'000 GBP'000 GBP'000
Trade and other payables 263 859 1,108
Other payables 616 992 504
Other taxation and social
security 4 7 4
Accruals and deferred
income 1,297 679 1,011
--------- --------- -------------
2,180 2,537 2,627
--------- --------- -------------
5. Reconciliation of profit before taxation to net cash
generated from / (used) in operations
31 March 31 March 30 September
2015 2014 2014
GBP'000 GBP'000 GBP'000
Profit for the period before
taxation 1,502 1,032 2,253
Depreciation and impairment 11 12 22
Loss on sale of property, plant
and equipment - 19 19
Interest expense 269 134 356
Interest received (10) (28) (9)
Decrease / (increase) in inventories 365 28 (304)
Decrease / (increase) in debtors 762 (1,332) (1,720)
Decrease in creditors (646) (1,189) (997)
Cash generated from / (used)
in operations 2,253 (1,324) (380)
--------- --------- -------------
6. Contingent liabilities
During the period ended 30 September 2011 the Group
entered into a Performance Bond relating to a UAE based
contract that would determine a potential liability
of 10% of the total contract value upon failure to
fulfill all the terms of the contract. This liability
initially equated to a maximum of approximately GBP4m
but subsequently increased to a maximum of approximately
GBP5m as a result of a contract extension. During the
2015 financial year the customer confirmed that all
contractual terms had been met and consequently in
February 2015 the potential liability under this Bond
reduced to 5% of the contract value, approximately
GBP2.5m. This will reduce further to 0% upon expiration
of associated warranty periods which is expected to
occur in approximately July 2017.
During the period ended 30 September 2011 the Group
also provided an "Advanced Payment Guarantee" of approximately
GBP8m in connection to a UAE based contract. The guarantee
provided for the repayment in part or full of payments
received from the customer in advance of contractual
service delivery. The guarantee was released in full
by 31 October 2014.
During the period ended 30 September 2014 the Group
entered into a second Performance Bond, relating to
a contract replacing that referred to above, and that
would determine a potential liability of approximately
GBP2m upon failure to fulfill all the terms of the
contract. It is expected that this will reduce to approximately
GBP1m during the 2017 financial year and then will
be released in full during the 2020 financial year.
During the period ended 30 September 2014 the Group
also entered into a third Performance Bond, relating
to a further UAE based contract that would determine
a potential liability of 10% of the total contract
value upon failure to fulfil all the terms of the contract.
The potential liability equates to approximately GBP0.1m
and was released in full in March 2015.
During the period ended 31 March 2015 the Group entered
into a further Performance Bond, relating to an additional
UAE based contract that would determine a potential
liability of approximately GBP0.1m upon failure to
fulfil all the terms of the contract. It is expected
this will lapse during the 2017 financial year.
7. Electronic communications
The Company is not proposing to bulk print and distribute
hard copies of this Half-yearly financial report for
the six month period ended 31 March 2015 unless specifically
requested by individual shareholders; it can be downloaded
from the Company's website at www.assetco.com.
News updates, Regulatory news, & Financial statements,
can be viewed and downloaded from the Group's website,
www.assetco.com. Copies can also be requested, in writing
to, The Company Secretary, AssetCo plc, Singleton Court
Business Park, Wonastow Road, Monmouth, Monmouthshire
NP25 5JA.
Enquiries:
AssetCo plc Arden Partners TooleyStreet Communications
Tudor Davies, Chairman plc Fiona Tooley
John Llewelyyn-Lloyd
Tel: +44 (0) 7785 703523 Tel:+44 (0) 20 Mobile: +44 (0)
or +44 (0) 20 7614 5900 7614 5900 7785 703 523
fiona@tooleystreet.com
AssetCo is principally involved in the provision of management
and resources to the fire and emergency services in the
Middle East. For further details, visit the website,
www.assetco.com.
Symbol: AiM: ASTO; Market cap: GBP35.42m
This information is provided by RNS
The company news service from the London Stock Exchange
END
IR GGUWUQUPAGMR
Assetco (LSE:ASTO)
Historical Stock Chart
From Mar 2024 to Apr 2024
Assetco (LSE:ASTO)
Historical Stock Chart
From Apr 2023 to Apr 2024
