TIDMPMG

RNS Number : 7567S

Parkmead Group (The) PLC

25 November 2011

25 November 2011

The Parkmead Group plc

("Parkmead", "the Company" or "the Group")

Preliminary Results for the year ended 30 June 2011

The Parkmead Group plc, a new independent oil and gas company, is pleased to report its preliminary results for the year ended 30 June 2011.

HIGHLIGHTS

   --      Proven oil and gas team recruited to deliver the Group's growth plans 

-- Acquisition of a strategic stake in the Platypus gas field and Possum gas prospect offering near term drilling and significant upside potential

-- Joint venture created with DEO Petroleum plc, providing a strong and focused alliance for growth in the UK Central North Sea

   --      Revenue increased 58% to GBP3.75 million (2010: GBP2.36 million) 
   --      Total Assets rose to GBP12.33 million at 30 June 2011 (GBP11.34 million at 30 June 2010) 
   --      Cash balances of GBP1.3 million as at 30 June 2011 

-- The Group is now fully funded following the provision of a shareholder loan for GBP8 million

Parkmead's Executive Chairman, Tom Cross commented:

"The last year has been a period of strategic transformation for the Group. I am delighted to have become Parkmead's Executive Chairman and relish the opportunity to drive the business forward into an exciting new chapter of its development. 2011 has been a successful year and I believe we are now well positioned with the essential skills and resources to build a significant new independent oil and gas company.

I am pleased to report on Parkmead's improved operating capability for the year to 30 June 2011. The Group's Turnover and Gross Profit both increased substantially and Net Assets have also increased.

We remain focused on the pursuit of value-adding acquisitions, at both asset and corporate levels, in line with the Group's strategy. The Board is pleased to be able to report that our first asset transaction in our core target market was completed earlier this month. In addition, the Group is now fully funded for its forward programme of drilling activities and is well positioned to capitalise on further strategic opportunities."

For enquiries please contact:

 
 The Parkmead Group plc                    01224 622200 
 Tom Cross, Executive Chairman             tom.cross@parkmeadgroup.com 
 Donald MacKay, Chief Financial Officer    Donald.mackay@parkmeadgroup.com 
 Kathryn Ramsay, Investor Relations        kathryn.ramsay@parkmeadgroup.com 
 
 Charles Stanley Securities                020 7149 6000 
 Nominated Adviser & Broker 
 Marc Milmo / Carl Holmes 
 College Hill                              020 7457 2020 
 Nick Elwes 
 

Chairman's Statement

As Parkmead embarks upon this important new phase I am pleased to share with you the Group's ambitious strategy for growth, our progress to date and our financial performance for the year to 30 June 2011. The Group's Turnover and Gross Profit both increased substantially, Net Assets have also increased and the Group remains well funded.

Vision and Strategy

The Parkmead Board is working to build a significant new independent oil and gas company, on an accelerated basis, using a proven business model. The Group will draw on the experience of its core oil and gas team, which has a strong technical and commercial background, to exploit exploration and production opportunities.

The Group will focus on both asset and corporate level transactions as it looks to add exploration and production assets to its portfolio. Parkmead's team has been tasked with identifying and completing transactions in the Group's currently preferred geographies of Europe and Africa.

The Parkmead team will utilise its detailed technical knowledge of certain proven and frontier areas to identify and acquire assets and participate in licensing rounds. In addition, it will seek to use its existing government and industry relationships to access ground floor acreage positions. A disciplined deal culture exists within the oil and gas team. This will ensure that the assets in which the Group invests will be in line with the Parkmead strategy and will serve towards maximising shareholder value. The core team has an excellent track record for commercial innovation and successful acquisitions.

During November 2011, the Group completed its first acquisition in the UK North Sea in line with its philosophy of acquiring known properties, in this case the Platypus gas field and Possum gas prospect. The Parkmead technical and commercial experts have a long history and detailed knowledge of these assets making these an ideal first acquisition for the Group.

Parkmead will look to form joint-ventures with companies where the Group can achieve aligned strategies in a particular asset or area of operation. These partnerships will focus on the key strengths of each company. During 2011, Parkmead formed a strategic alliance with DEO Petroleum plc covering specific areas in the Central North Sea. Parkmead and DEO will combine exploration and development skills to target acquisition opportunities and jointly participate in the UKCS 27th Licensing Round.

Results

The Group's revenue has increased significantly in 2011 to GBP3.7 million (2010: GBP2.4 million). The increase in turnover was driven by revenue generated from Aupec, highlighting Aupec's strength in its core fields of valuation, benchmarking and energy sector economics. Revenues generated to 30 June 2011 represent the Group's first full year of trading following the acquisition of Aupec by Parkmead in November 2009. Following the investment in a substantial new exploration and production team to deliver Parkmead's growth plans, the Group's operating loss for the year was GBP3.6 million (2010: GBP1.5 million). A profit from the realisation of available-for-sale financial assets of GBP0.11 million resulted from the sale of shares in Prevx Group Limited. The loss after tax was GBP3.6 million (2010: GBP1.5 million).

A profit of GBP1.73 million from discontinued operations was recognised from the value of the deferred consideration due, which was paid in full during the year, from the sale of Quayside Corporate Services Limited in 2007.

Total comprehensive income for the year was GBP35k (2010: GBP113k).

The Group's total assets increased to GBP12.3 million (2010: GBP11.3 million), including increased available-for-sale financial assets of GBP7.1 million (2010:GBP5.4 million) and increased cash and cash equivalents of GBP1.3 million (2010: GBP0.3 million). The total current liabilities decreased to GBP1.1 million (2010: GBP2.8 million) mainly due to decreased payables of GBP0.8 million (2010: GBP2.7 million).

The Group's net asset value increased to GBP9.0 million (2010: GBP8.5 million). Some 5,965,925 new ordinary shares were issued on the exercise of options, bringing the Group's total ordinary shares in issue to 609,601,823 (2010: 603,635,898).

As at 30 June 2011 Parkmead remained debt free.

The Board is focused on building a portfolio of high potential oil and gas interests and therefore is not recommending the payment of a dividend in 2011 (2010: nil).

Investments

The Group's principal investment is in Faroe Petroleum plc ("Faroe") (LSE AIM: FPM.L.). As at 30 June 2011 the value of this investment had increased by some 37% to GBP7.05 million (30 June 2010: GBP5.15 million).

Faroe's share price rose from 118p to 160p over the 12 months to 30 June 2011, following a successful year for the company. Faroe enjoyed significant exploration success with the Maria oil discovery in the Norwegian Sea, which it subsequently traded with Petoro AS for a number of oil and gas producing assets in Norway. Further production was added to the company through the acquisition of an 18.0% interest in the Blane oil field from ENI UK Limited and ENI ULX Limited.

Faroe completed a placing of 37,718,024 new ordinary shares at a placing price of 165 pence per ordinary share in November 2010. The placing raised GBP62.2 million of new funding. Parkmead holds 4,377,039 ordinary shares in Faroe representing 2.1% of the issued share capital of Faroe. We remain of the view that Faroe has significant medium and long-term upside. The investment is held as available-for-sale and the increase in its value has been reflected in equity.

During the year, the Group disposed of its holding in Prevx Group Limited, a private technology company. A profit of GBP0.11 million was realised from the sale of this asset.

Outlook

The Directors of Parkmead are confident that attractive opportunities exist in our key target areas and, with the appointment of our proven oil and gas team, the Group now has the technical and commercial capabilities to exploit these opportunities in order to maximise shareholder value. In addition, the Board is pleased to report that Parkmead's first asset deal in the UK North Sea was completed earlier this month. Coinciding with this acquisition, Parkmead secured a flexible shareholder loan of GBP8 million ensuring the Group is now fully funded for its forward programme of drilling activities and well positioned to capitalise on further strategic opportunities.

Parkmead's wholly-owned subsidiary, Aupec, continues to perform well and the Directors believe that the Group will benefit from the experience, technical capabilities and relationships that have been built up over more than 25 years of success within Aupec.

The last 12 months has been a period of significant development within Parkmead and the Board remains focused on the pursuit of value-adding acquisitions, at both asset and corporate levels, in line with the Group's strategy. We will continue to update shareholders as we make further progress.

Tom Cross

Executive Chairman

24 November 2011

Group income statement

For the year ended 30 June 2011

 
                                               Note          2011          2010 
                                                              GBP           GBP 
 Continuing operations 
 Revenue                                                3,745,565     2,364,151 
 Cost of sales                                        (2,016,418)   (1,549,671) 
--------------------------------------------  -----  ------------  ------------ 
 Gross profit                                           1,729,147       814,480 
 Other operating income                                     7,951             - 
 Administrative expenses                              (5,310,345)   (2,274,291) 
--------------------------------------------  -----  ------------  ------------ 
 Operating loss                                       (3,573,247)   (1,459,811) 
 
 Finance income                                            12,417       531,403 
 Finance costs                                              (797)       (6,739) 
 Profit on sale of available-for-sale 
  financial assets                                        112,388        74,396 
 Amounts written off available-for-sale 
  financial assets and loans                                    -     (539,995) 
 Other losses on financial assets 
  at fair value through profit or loss                      (927)       (8,033) 
--------------------------------------------  -----  ------------  ------------ 
 Loss before taxation                                 (3,450,166)   (1,408,779) 
 Taxation                                               (139,470)      (85,773) 
--------------------------------------------  -----  ------------  ------------ 
 Loss for the year from operations                    (3,589,636)   (1,494,552) 
---------------------------------------------------  ------------  ------------ 
 
 Discontinued operations 
 Gain/(loss) for the year from discontinued 
  operations                                            1,732,247     (108,825) 
--------------------------------------------  -----  ------------  ------------ 
 Loss for the year attributable to the equity 
  holders of the Parent                               (1,857,389)   (1,603,377) 
---------------------------------------------------  ------------  ------------ 
 Loss per share (pence) 
 Continuing operations 
  Basic and diluted                             2          (0.59)        (0.29) 
 Continuing and discontinued operations 
  Basic and diluted                             2          (0.31)        (0.31) 
 

Group and company statement of comprehensive income

For the year ended 30 June 2011

 
 
                                                    Group                      Company 
                                                 2011          2010          2011          2010 
                                                  GBP           GBP           GBP           GBP 
 Loss for the year                        (1,857,389)   (1,603,377)   (1,434,087)   (2,057,345) 
 
 Other comprehensive 
  income 
 Available-for-sale financial 
  assets 
 Fair value gain on available-for-sale 
  financial assets                          1,892,634     1,716,492     1,892,634     1,716,492 
---------------------------------------  ------------  ------------  ------------  ------------ 
                                            1,892,634     1,716,492     1,892,634     1,716,492 
 Income tax relating 
  to components of other 
  comprehensive income 
---------------------------------------  ------------  ------------  ------------  ------------ 
 Other comprehensive 
  income for the year, 
  net of tax                                1,892,634     1,716,492     1,892,634     1,716,492 
---------------------------------------  ------------  ------------  ------------  ------------ 
 Total comprehensive 
  income for the year 
  attributable to the 
  equity holders of the 
  Parent                                       35,245       113,115       458,547     (340,853) 
---------------------------------------  ------------  ------------  ------------  ------------ 
 

Group and company statement of financial position

As at 30 June 2011

 
                                            Group                        Company 
                                          2011          2010           2011           2010 
                                           GBP           GBP            GBP            GBP 
 Non-current assets 
 Property, plant and equipment         128,557        60,778         77,295         16,072 
 Goodwill                            2,173,532     2,173,532              -              - 
 Other intangible assets                43,657        99,106              -              - 
 Investment in subsidiary 
  and joint ventures                         -             -      3,902,817      3,883,353 
 Available-for-sale financial 
  assets                             7,064,017     5,384,124      7,064,017      5,384,124 
 Trade and other receivables                 -        33,320              -         94,715 
 Deferred tax assets                         -       101,574              -              - 
-------------------------------  -------------  ------------  -------------  ------------- 
 Total non-current assets            9,409,763     7,852,434     11,044,129      9,378,264 
-------------------------------  -------------  ------------  -------------  ------------- 
 
 Current assets 
 Trade and other receivables         1,650,105     3,199,194        197,334        206,834 
 Other financial assets                      -           878              -            878 
 Cash and cash equivalents           1,274,198       291,869        749,539          6,661 
-------------------------------  -------------  ------------  -------------  ------------- 
 Total current assets                2,924,303     3,491,941        946,873        214,373 
-------------------------------  -------------  ------------  -------------  ------------- 
 
 Total assets                       12,334,066    11,344,375     11,991,002      9,592,637 
-------------------------------  -------------  ------------  -------------  ------------- 
 
 Current liabilities 
 Current portion of capital 
  lease obligations                          -       (1,043)              -        (1,043) 
 Trade and other payables            (761,570)   (2,737,838)      (383,768)    (1,445,640) 
 Current tax liabilities                     -      (66,097)              -              - 
 Provisions                          (338,089)       (1,959)      (324,063)        (1,959) 
-------------------------------  -------------  ------------  -------------  ------------- 
 Total current liabilities         (1,099,659)   (2,806,937)      (707,831)    (1,448,642) 
-------------------------------  -------------  ------------  -------------  ------------- 
 
 Non-current liabilities 
 Other liabilities                 (2,219,226)             -    (2,219,226)              - 
 Deferred tax liabilities              (7,924)      (26,829)              -              - 
-------------------------------  -------------  ------------  -------------  ------------- 
 Total non-current liabilities     (2,227,150)      (26,829)    (2,219,226)              - 
-------------------------------  -------------  ------------  -------------  ------------- 
 
 Total liabilities                 (3,326,809)   (2,833,766)    (2,927,057)    (1,448,642) 
-------------------------------  -------------  ------------  -------------  ------------- 
 
 Net assets                          9,007,257     8,510,609      9,063,945      8,143,995 
-------------------------------  -------------  ------------  -------------  ------------- 
 
 Equity attributable to 
  equity holders 
 Called up share capital            18,658,349    18,652,383     18,658,349     18,652,383 
 Share premium                       2,907,986     2,647,059      2,907,986      2,647,059 
 Merger reserve                              -     (952,109)              -      1,454,546 
 Employee benefit trust 
  reserve                          (1,128,008)   (1,128,008)    (1,128,008)    (1,128,008) 
 Foreign exchange reserve                    -         7,377              -          7,377 
 Revaluation reserve                   264,680   (1,182,639)        264,680    (1,182,639) 
 Retained deficit                 (11,695,750)   (9,533,454)   (11,639,062)   (12,306,723) 
-------------------------------  -------------  ------------  -------------  ------------- 
 Total Equity                        9,007,257     8,510,609      9,063,945      8,143,995 
-------------------------------  -------------  ------------  -------------  ------------- 
 

Group statement of changes in equity

For the year ended 30 June 2011

 
                            Share       Share      Merger      Employee     Foreign   Revaluation       Retained         Total 
                          capital     premium     reserve       Benefit    exchange       reserve       earnings 
                                                                  Trust     reserve 
                                                                reserve 
                              GBP         GBP         GBP           GBP         GBP           GBP            GBP           GBP 
 
 At 1 July 2009        18,417,089           -   (952,109)   (1,128,008)     157,382   (2,892,904)    (8,008,195)     5,593,255 
 
 Loss for the 
  year                          -           -           -             -           -             -    (1,603,377)   (1,603,377) 
 Fair value gain 
  on 
  available-for-sale 
  financial assets              -           -           -             -       6,227     1,710,265              -     1,716,492 
--------------------  -----------  ----------  ----------  ------------  ----------  ------------  -------------  ------------ 
 Total comprehensive 
  income for the 
  year                          -           -           -             -       6,227     1,710,265    (1,603,377)       113,115 
 Foreign exchange 
  loss on 
  available-for-sale 
  financial asset 
  recognised in 
  profit or loss 
  on derecognition              -           -           -             -   (156,232)             -              -     (156,232) 
 Issue of new 
  ordinary shares         235,294   2,647,059           -             -           -             -              -     2,882,353 
 Share-based 
  payments                      -           -           -             -           -             -         78,118        78,118 
--------------------  -----------  ----------  ----------  ------------  ----------  ------------  -------------  ------------ 
 At 30 June 2010       18,652,383   2,647,059   (952,109)   (1,128,008)       7,377   (1,182,639)    (9,533,454)     8,510,609 
--------------------  -----------  ----------  ----------  ------------  ----------  ------------  -------------  ------------ 
 
 Loss for the 
  year                          -           -           -             -           -             -    (1,857,389)   (1,857,389) 
 Fair value gain 
  on 
  available-for-sale 
  financial assets              -           -           -             -           -     1,892,634              -     1,892,634 
--------------------  -----------  ----------  ----------  ------------  ----------  ------------  -------------  ------------ 
 Total comprehensive 
  income for the 
  year                          -           -           -             -           -     1,892,634    (1,857,389)        35,245 
 Transfer of 
  reserves 
  on impaired 
  available-for-sale 
  financial assets              -           -           -             -     (7,377)     (445,315)        453,127           435 
 Transfer of 
  reserves 
  on discontinued 
  activities                    -           -     952,109             -           -             -      (952,109)             - 
 Issue of new 
  ordinary shares           5,966     260,927           -             -           -             -              -       266,893 
 Share-based 
  payments                      -           -           -             -           -             -        194,075       194,075 
--------------------  -----------  ----------  ----------  ------------  ----------  ------------  -------------  ------------ 
 At 30 June 2011       18,658,349   2,907,986           -   (1,128,008)           -       264,680   (11,695,750)     9,007,257 
--------------------  -----------  ----------  ----------  ------------  ----------  ------------  -------------  ------------ 
 
 

Company Statement of changes in equity

For the year ended 30 June 2011

 
                            Share       Share        Merger      Employee     Foreign   Revaluation       Retained         Total 
                          capital     premium       reserve       Benefit    exchange       reserve       earnings 
                                                                    Trust     reserve 
                                                                  reserve 
                              GBP         GBP           GBP           GBP         GBP           GBP            GBP           GBP 
 
 At 1 July 2009        18,417,089           -     1,454,546   (1,128,008)     157,382   (2,892,904)   (10,327,496)     5,680,609 
 
 Loss for the 
  year                          -           -             -             -           -             -    (2,057,345)   (2,057,345) 
 Fair value 
  gain on 
  available-for-sale 
  financial assets              -           -             -             -       6,227     1,710,265              -     1,716,492 
--------------------  -----------  ----------  ------------  ------------  ----------  ------------  -------------  ------------ 
 Total comprehensive 
  income for 
  the year                      -           -             -             -       6,227     1,710,265    (2,057,345)     (340,853) 
 Foreign exchange 
  loss on 
  available-for-sale 
  financial asset 
  recognised 
  in profit or 
  loss on 
  derecognition                 -           -             -             -   (156,232)             -              -     (156,232) 
 Issue of new 
  ordinary shares         235,294   2,647,059             -             -           -             -              -     2,882,353 
 Share-based 
  payments                      -           -             -             -           -             -         78,118        78,118 
--------------------  -----------  ----------  ------------  ------------  ----------  ------------  -------------  ------------ 
 At 30 June 
  2010                 18,652,383   2,647,059     1,454,546   (1,128,008)       7,377   (1,182,639)   (12,306,723)     8,143,995 
 
 Loss for the 
  year                          -           -             -             -           -             -    (1,434,087)   (1,434,087) 
 Fair value 
  gain on 
  available-for-sale 
  financial assets              -           -             -             -           -     1,892,634              -     1,892,634 
--------------------  -----------  ----------  ------------  ------------  ----------  ------------  -------------  ------------ 
 Total comprehensive 
  income for 
  the year                      -           -             -             -           -     1,892,634    (1,434,087)       458,547 
 Transfer of 
  reserves on 
  impaired 
  available-for-sale 
  financial assets              -           -             -             -     (7,377)     (445,315)        453,127           435 
 Transfer of 
  reserves on 
  discontinued 
  activities                    -           -   (1,454,546)             -           -             -      1,454,546             - 
 Issue of new 
  ordinary shares           5,966     260,927             -             -           -             -              -       266,893 
 Share-based 
  payments                      -           -             -             -           -             -        194,075       194,075 
--------------------  -----------  ----------  ------------  ------------  ----------  ------------  -------------  ------------ 
 At 30 June 
  2011                 18,658,349   2,907,986             -   (1,128,008)           -       264,680   (11,639,062)     9,063,945 
--------------------  -----------  ----------  ------------  ------------  ----------  ------------  -------------  ------------ 
 
 

Group and company statement of cashflows

For the year ended 30 June 2011

 
                                                      Group                       Company 
                                                 2011          2010            2011          2010 
                                   Note           GBP           GBP             GBP           GBP 
 
 Cashflows from operating 
  activities 
 Continuing activities              3     (1,091,202)   (2,613,588)     (2,718,159)     (462,728) 
 Taxation paid                              (121,560)     (124,288)               -             - 
--------------------------------  -----  ------------  ------------  --------------  ------------ 
 Net cash (used in) operating 
  activities                              (1,212,762)   (2,737,876)     (2,718,159)     (462,728) 
--------------------------------  -----  ------------  ------------  --------------  ------------ 
 
 Cash flow from investing 
  activities 
 Interest received                              3,442        14,075           3,292        13,575 
 Proceeds from sale of 
  subsidiary                                1,969,449             -       1,969,449             - 
 Proceeds from sale of 
  investments                                  94,968       439,083          94,968       439,083 
 Acquisition of subsidiary 
  net of cash acquired                              -     1,558,808               -   (1,000,000) 
 Dividend received from 
  subsidiary                                        -             -       1,206,311             - 
 Acquisition of investments                         -   (1,458,315)               -   (1,458,315) 
 Acquisition of intangible 
  assets                                     (34,223)       (7,834)               -             - 
 Acquisition of property, 
  plant and equipment                       (108,909)      (20,264)        (84,164)       (4,240) 
 Proceeds from sale of 
  property, plant and equipment                 5,331             -           5,331             - 
--------------------------------  -----  ------------  ------------  --------------  ------------ 
 Net cash generated by/(used 
  in) investing activities                  1,930,038       525,553       3,195,187   (2,009,897) 
--------------------------------  -----  ------------  ------------  --------------  ------------ 
 
 Cash flow from financing 
  activities 
 Issue of ordinary shares                     266,893             -         266,893             - 
 Interest paid                                  (797)         (179)               -             - 
 Finance lease principal 
  payments                                    (1,043)      (12,521)         (1,043)      (12,521) 
--------------------------------  -----  ------------  ------------  --------------  ------------ 
 Net cash generated by/(used 
  in) financing activities                    265,053      (12,700)         265,850      (12,521) 
--------------------------------  -----  ------------  ------------  --------------  ------------ 
 
 Net increase/(decrease) 
  in cash and cash equivalents                982,329   (2,225,023)         742,878   (2,485,146) 
--------------------------------  -----  ------------  ------------  --------------  ------------ 
 
 Cash and cash equivalents 
  at beginning of year                        291,869     2,516,892           6,661     2,491,807 
-------------------------------------    ------------  ------------  --------------  ------------ 
 Cash and cash equivalents 
  at end of year                            1,274,198       291,869         749,539         6,661 
--------------------------------------   ------------  ------------  --------------  ------------ 
 
 

Notes to the financial information for the year ended 30 June 2011

   1.   Basis of preparation of the financial statements 

The financial information set out in this announcement does not comprise the Group and Company's statutory accounts for the years ended 30 June 2011 or 30 June 2010.

The financial information has been extracted from the audited statutory accounts for the years ended 30 June 2011 and 30 June 2010. The auditors reported on those accounts; their reports were unqualified and did not contain a statement under either Section 498 (2) or Section 498 (3) of the Companies Act 2006 and did not include references to any matters to which the auditor drew attention by way of emphasis.

The statutory accounts for the year ended 30 June 2010 have been delivered to the Registrar of Companies. The statutory accounts for the year ended 30 June 2011 will be delivered to the Registrar of Companies following the Company's Annual General Meeting.

The accounting policies are consistent with those applied in the preparation of the interim results for the period ended 31 December 2010 and the statutory accounts for the year ended 30 June 2010, which have been prepared in accordance with International Financial Reporting Standards ("IFRS").

   2.   Loss per share 

Loss per share attributable to equity holders of the Company arise from continuing and discontinued operations as follows:

 
                                           2011      2010 
 Loss per 0.01p ordinary share from 
  continuing operations (pence) 
 Basic and diluted                      (0.59p)   (0.29p) 
 Profit/(loss) per 0.01p ordinary 
  share from discontinued operations 
  (pence) 
 Basic                                    0.28p   (0.02p) 
 Diluted                                  0.26p   (0.02p) 
-------------------------------------  --------  -------- 
 Loss per 0.01p ordinary share from 
  total operations (pence) 
 Basic and diluted                      (0.31p)   (0.31p) 
-------------------------------------  --------  -------- 
 

The calculations were based on the following information:

 
                                                  2011          2010 
                                                   GBP           GBP 
 (Loss)/profit attributable to ordinary 
  shareholders 
 Continuing operations                     (3,589,636)   (1,494,552) 
 Discontinued operations                     1,732,247     (108,825) 
----------------------------------------  ------------  ------------ 
 Total                                     (1,857,389)   (1,603,377) 
----------------------------------------  ------------  ------------ 
 
 Weighted average number of shares 
  in issue 
 Basic weighted average number of 
  shares                                   605,525,848   522,411,079 
----------------------------------------  ------------  ------------ 
 
 Dilutive potential ordinary shares 
 Share options                              55,939,513             - 
----------------------------------------  ------------  ------------ 
 

Loss per share is calculated by dividing the loss for the year by the weighted average number of ordinary shares outstanding during the year. Potential ordinary shares are anti-dilutive and are therefore excluded from the weighted average number of ordinary shares for the purposes of continuing and total operations diluted earnings per share.

Diluted loss per share

Loss per share requires presentation of diluted loss per share when a company could be called upon to issue shares that would decrease net profit or increase net loss per share. For a loss making company with outstanding share options, net loss per share would only be decreased by the exercise of share options.

   3.   Notes to the statement of cashflows 

Reconciliation of operating loss to net cash flow from continuing operations

 
                                                      Group                       Company 
                                                    2011          2010          2011          2010 
                                                     GBP           GBP           GBP           GBP 
 Operating loss                              (3,573,247)   (1,459,811)   (4,496,395)   (1,950,034) 
 Depreciation                                     37,119       162,081        18,930       151,767 
 Amortisation                                     89,672       124,075             -             - 
 Impairment of loans/investments                  96,467             -        96,467             - 
 Foreign exchange on receivables                     435             -           435             - 
 Gain on disposal of fixed assets                (1,318)         3,251       (1,318)         3,251 
 Provision for share based payments            2,144,186        78,118     2,123,722        78,118 
 (Increase)/decrease in receivables            1,508,140   (3,116,336)         9,652       583,739 
 Increase/(decrease) in payables             (1,728,786)     1,596,694     (791,756)       672,091 
 Increase/(decrease) in other provisions         336,130       (1,660)       322,104       (1,660) 
------------------------------------------  ------------  ------------  ------------  ------------ 
 Net cash flow from operations               (1,091,202)   (2,613,588)   (2,718,159)     (462,728) 
------------------------------------------  ------------  ------------  ------------  ------------ 
 
 
   4.   Approval of this preliminary announcement 

The preliminary report, including the financial information contained therein, is the responsibility of, and has been approved by, the Directors. The Directors are responsible for preparing the report in accordance with the AIM rules issued by the London Stock Exchange.

This announcement was approved by the Board of Directors on 24 November 2011.

   5.   Posting of annual report and accounts 

Copies of the Annual Report and Accounts will be posted to shareholders shortly. The Annual Report and Accounts will be made available to download, along with a copy of this announcement, on the investor relations section of the Company's website www.parkmeadgroup.com

This information is provided by RNS

The company news service from the London Stock Exchange

END

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From Mar 2024 to Apr 2024 Click Here for more Parkmead Charts.
Parkmead (LSE:PMG)
Historical Stock Chart
From Apr 2023 to Apr 2024 Click Here for more Parkmead Charts.