RNS Number:1465P
RAM Investment Group PLC
03 March 2008
For immediate release 3 March 2008
RAM INVESTMENT GROUP PLC
UNAUDITED FINANCIAL STATEMENTS
FOR THE SIX MONTHS ENDED 31 NOVEMBER 2007
CHAIRMAN'S STATEMENT
Introduction
We present the Group's interim results for the six month period ended 31
November 2007.
Results
The results for the six months to 30 November 2007 for RAM Investment Group
PLC ('RAM') show a loss on ordinary activities before taxation of £70,267
(2006 - Loss of £68,434).
The loss per share for the period was 1.2p (2006 - Loss of 1.2p).
As at 30 November 2007 RAM had net liabilities of £35,626 (2006 - Net
liabilities of £263,865).
RAM Media Limited
Whilst the litigation against the Greek Ministry of Culture is ongoing,
placing RAM Media Limited into Administration has protected it from
creditors relating to the cancelled FIFPro Awards Event and enabled it to
focus completely on winning the litigation.
Although RAM Media remains wholly owned by RAM Investment Group plc it is
now controlled by its Administrators.
The case against the Greek Ministry of Culture is still being pursued and
Solicitors and Counsel willing to act on a Conditional Fee Agreement have
been engaged, with the support of After The Event (ATE) insurance. A trial
has been scheduled to be held on 3-10 June 2008 and 16-19 June 2008. The
Directors still consider that there is a good prospect of success together
with recovering a substantial amount in damages.
Future Prospects
Whilst the future of RAM Media Limited is dependent on the success of the
case against the Greek Ministry of Culture, RAM Investment Group continues
to consider a variety of investment opportunities and announcements will
follow when appropriate.
Edward Adams
Chairman
Contact: Laurence Selman, Ram Investment Group plc on 020 8349 2001
Roland Cornish, Beaumont Cornish Limited on 020 7628 3396
RAM INVESTMENT GROUP PLC
CONSOLIDATED PROFIT AND LOSS ACCOUNT FOR THE SIX MONTHS ENDED 30 NOVEMBER 2007
Six months to Six months to Year to
30 November 30 November 31 May
2007 2006 2007
(Unaudited) (Unaudited) (Audited)
£ £ £
Turnover - 683,585 806,261
Cost of sales - (682,309) (1,509,829)
Gross profit/(loss) - 1,276 (703,568)
Administrative expenses (58,500) (55,960) (144,474)
Exceptional Profit on deemed - - 700,360
disposal of investment in Ram
Media Limited
Exceptional Write off of RAM - - (108,466)
Media Limited debt to Group
---------- ----------- -----------
Loss on ordinary activities (58,500) (54,684) (256,148)
before interest and taxation
Other interest receivable and 2,960 2,641 10,396
similar income
Interest payable and similar (14,728) (16,391) (30,675)
charges
---------- ----------- -----------
Loss before taxation (70,268) (68,434) (276,427)
Tax on profit/(loss) on - - -
ordinary activities
---------- ----------- -----------
Loss on ordinary activities (70,268) (68,434) (276,427)
after taxation
========== =========== ===========
Loss per share: basic (pence) (1.2) (1.2) (4.9)
========== =========== ===========
1. Loss per share
The calculation of basic loss per share is based upon the loss for the period
and the weighted average number of shares in issue during the period -
5,667,900 (31 May 2007 - 5,667,900, 30 November 2006 5,667,900). Given the loss
for the period, no fully diluted earnings per share is disclosed.
RAM INVESTMENT GROUP PLC
CONSOLIDATED BALANCE SHEET AS AT 30 NOVEMBER 2007
30 November 30 November 31 May
2007 2006 2007
(Unaudited) (Unaudited) (Audited)
£ £ £
Fixed assets
Tangible assets 1,860 3,020 2,440
Investments 375,000 375,000 375,000
------------ ------------- ------------
376,860 378,020 377,440
Current assets
Debtors 5,283 49,340 35,494
Cash at bank in hand 98,266 256,405 134,060
------------ ------------- ------------
103,549 305,745 169,554
Creditors: amounts (516,035) (947,630) (512,352)
falling due within one year
------------ ------------- ------------
Net current liabilities (412,486) (641,885) (342,798)
------------ ------------- ------------
Net assets/(liabilities) (35,626) (263,865) 34,642
============ ============= ============
Capital and reserves
Called up share capital 10,040,226 10,040,226 10,040,226
Share premium account 11,372,145 11,372,145 11,372,145
Profit and loss account (21,448,022) (21,676,261) (21,377,754)
------------ ------------- ------------
Equity shareholders' funds (35,651) (263,890) 34,617
Minority interest - equity 25 25 25
------------ ------------- ------------
Equity shareholders' funds (35,626) (263,865) 34,642
============ ============= ============
RAM INVESTMENT GROUP PLC
CONSOLIDATED CASHFLOW STATEMENT
FOR THE SIX MONTHS ENDED 30 NOVEMBER 2007
Six months Six months Year
to to to
30 November 30 November 31 May
2007 2006 2007
(Unaudited) (Unaudited) (Audited)
£ £ £
Net cash inflow/(outflow) from (34,471) 245,388 122,781
operating activities
Investing activities
Interest received 2,961 2,641 7,188
Interest paid (744) (744) (1,488)
--------- -------- --------
Net cash inflow/(outflow) from 2,217 1,897 5,700
investing activities
Financing activities
Repayment of other short term loans (3,540) (3,540) (7,081)
--------- -------- --------
Net cash inflow/(outflow) from (3,540) (3,540) (7,081)
financing
--------- -------- --------
Net (decrease)/increase in cash and (35,794) 243,745 121,400
cash equivalents
========= ======== ========
Cashflows from operating activities
Operating profit/(loss) (58,500) (54,684) (256,148)
Adjustment for Administration of RAM - - 524,244
Media Limited
Depreciation of tangible assets 580 580 1160
(Increase)/decrease in debtors 44,057 (46,494) (32,648)
Increase/(decrease) in creditors (20,608) 345,986 (113,827)
--------- -------- --------
(34,471) 245,388 122,781
========= ======== ========
RAM INVESTMENT GROUP PLC
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE SIX MONTHS ENDED 30 NOVEMBER 2007
For the six months to 30 November 2007
Share
Share Premium Retained Total
Capital Account Earnings Equity
£ £ £ £
Opening 10,040,226 11,372,145 (21,377,754) 34,617
Loss for the period - - (70,268) (70,268)
---------- ---------- ---------- ------
Closing 10,040,226 11,372,145 (21,448,022) (35,651)
========== ========== ========== ======
For the year to 31 May 2007
Share
Share Premium Retained Total
Capital Account Earnings Equity
£ £ £ £
Opening 10,040,226 11,372,145 (21,622,363) (209,992)
RAM Media excluded from - - 521,036 521,036
consolidation
Loss for the period - - (276,427) (276,427)
---------- ---------- ---------- --------
Closing 10,040,226 11,372,145 (21,377,754) 34,617
========== ========== ========== ========
RAM INVESTMENT GROUP PLC
NOTES TO THE FINANCIAL STATEMENTS
FOR THE SIX MONTHS ENDED 30 NOVEMBER 2007
1. Basis of preparation
RAM Investment Group plc (the 'Group') has historically prepared its
consolidated financial statements under UK Generally Accepted Accounting
Practice ('UK GAAP'). The AIM rules require the use of IFRS as adopted by
the EU ('Adopted IFRS').
IFRS will apply for the first time in the Group's financial statements for
the year ending 31 May 2008. Accordingly the financial results for the 6
months ended 30 November 2007 have been prepared and reported under IFRS. As
the Group publishes comparative information in its Annual Report and Interim
Statement the date of transition to IFRS is 1 June 2006.
This unaudited financial information has been prepared on the basis of IFRSs
expected to be applicable at 31 May 2008 including IAS 34. These are subject
to ongoing review and endorsement by the EU or possible amendment by
interpretive guidance from the IASB and are therefore still subject to
change. We will update our restated information for any such changes when
they occur.
The adoption of IFRS has an impact on the presentation of the Group's
accounts but does not change the underlying business performance. There are
no changes to the business model, strategy, risk management processes or
cash flows.
The auditors have issued unqualified opinions on the Group's UK GAAP
financial statements for the years ended 31 May 2006 and 31 May 2007. Both
the transition balance sheet as at 1 June 2006 and the financial information
for the year ended 31 May 2007, as prepared on the above basis, will be
audited as part of the audit of the financial statements for the year ending
31 May 2008. Subject to that audit, EU endorsement of outstanding standards
and no further changes from the IASB, this information is expected to form
the basis for comparatives when reporting financial results for 31 May 2008,
and for subsequent reporting periods.
2. Status of Accounts
The interim financial information is unaudited. The financial information
does not constitute statutory accounts as defined by Section 240 of the
Companies Act 1985.
3. Period of accounts
The financial statements include the results of the Group for the period
from 1 June 2007 to 30 November 2007. The comparatives cover the periods
from 1 June 2006 to 31 May 2007, and from 1 June 2006 to 30 November 2006
respectively.
4. IFRS Accounting Policies
This section provides a summary of the Group's new accounting policies under
IFRS for the year ended 31 May 2008.
Basis of accounting
The financial statements have been prepared in accordance with International
Financial Reporting Standards as adopted by the EU as they apply to the
group for the year ended 31 May 2008 applied in accordance with the
Companies Act 1985.
The financial statements have been prepared under the historical cost
convention and in accordance with applicable accounting standards.
The principal accounting policies are set out below:
Basis of consolidation
The Group accounts consolidate the accounts RAM Investment Group plc and all
its subsidiary undertakings. Intra-company balances, and any unrealised
gains and losses or income and expenses arising from intra-group
transactions, are eliminated when preparing the consolidated financial
information.
Going concern
The directors confirm that they are satisfied that the Company and the
Group have adequate resources to continue in business for the foreseeable
future. For this reason they continue to adopt the going concern basis in
preparing the financial statements.
Revenue
Revenue represents amounts receivable for goods and services net of VAT and
trade discounts.
Tangible fixed assets
Tangible fixed assets are stated at cost or valuation less depreciation.
Depreciation is provided at rates calculated to write off the cost or
valuation less estimated residual value of each asset over its expected
useful life as follows:
Fixtures, fittings & equipment 25% straight line basis
Investments
Investment held as fixed assets are stated at cost less provision for any
permanent diminution in value.
Deferred tax
Deferred tax is provided in full in respect of taxation deferred by timing
differences between the treatment of certain items for taxation and
accounting purposes, unless the tax deferred will not crystallise in the
foreseeable future.
Cash and cash equivalents
Cash and cash equivalents comprise cash balances with banks net of those
bank overdrafts that form an integral part of the group's cash management.
Financial liabilities and equity
Financial liabilities and equity instruments are classified according to
the substance of the contractual arrangements entered into. An equity
instrument is any contract that evidences a residual interest in the assets
of the group after deducting all of its liabilities.
Borrowings
Interest bearing bank loans and overdrafts are recorded at the proceeds
received, net of direct issue costs. After initial recognition borrowings
are measured at amortised cost.
Borrowing costs are recognised in profit or loss in the period in which
they are incurred.
Equity
Equity instruments issued by the company are recorded at the proceeds
received, net of direct issue costs.
Leasing
Rentals paid under operating leases are recognised in profit or loss on a
straight line basis over the period of the lease.
Financial Instruments
FRS 26 requires the classification of financial instruments into separate
categories for which the accounting requirement is different. RAM has
classified its financial instruments as follows:
* Fixed deposits, principally comprising funds held with banks and other
financial institutions and trade receivables, are classified as loans and
receivables.
* Investments (other than interests in joint ventures and fixed deposits)
and short-term deposits (other than fixed deposits) are classified as
available for sale.
* Borrowings and trade payables are classified as other liabilities.
Financial instruments are initially measured at fair value. Their
subsequent measurement depends on their classification:
* Loans and receivables and other liabilities are held at amortised cost.
* Available for sale assets are held at fair value.
This information is provided by RNS
The company news service from the London Stock Exchange
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