We could not find any results for:
Make sure your spelling is correct or try broadening your search.
Register to chat with like-minded investors on our interactive forums.
| Share Name | Share Symbol | Market | Type | Share ISIN | Share Description |
|---|---|---|---|---|---|
| Avarae | LSE:AVR | London | Ordinary Share | GB00B137SQ61 | ORD 1P |
| Price Change | % Change | Share Price | Bid Price | Offer Price | High Price | Low Price | Open Price | Shares Traded | Last Trade | |
|---|---|---|---|---|---|---|---|---|---|---|
| 0.00 | 0.00% | 11.625 | 0.00 | 01:00:00 |
| Industry Sector | Turnover | Profit | EPS - Basic | PE Ratio | Market Cap |
|---|---|---|---|---|---|
| 0 | 0 | N/A | 0 |
From Apr 2019 to Apr 2024
TIDMAVR
RNS Number : 6896V
Avarae Global Coins PLC
17 December 2013
AVARAE GLOBAL COINS PLC
UNAUDITED INTERIM RESULTS FOR THE SIX MONTHS TO 30 SEPTEMBER 2013
London (AIM: AVR): 17 December 2013 - Avarae Global Coins plc ("Avarae" or the "Company"), the UK's only publicly traded specialist company dedicated to investing in rare and high quality coins, is pleased to announce its unaudited interim results for the six months to 30 September 2013.
Highlights for the period include:
-- Sales for the six month period of GBP518,000 (2012: GBP440,000); -- Loss on ordinary activities for the period of GBP142,000 (2012: loss GBP149,000);
-- Additions to the portfolio of GBP327,000 in the period (2012: GBP713,000), including very high quality and
rare examples of English, Indian, Roman and Anglo-Gallic coins;
-- Carrying value of coin inventory of GBP10,785,000 at the period end (2012: GBP10,443,000); and
-- Net assets as at 30 September 2013 of GBP11,347,000 (2012: GBP11,131,000);
Commenting, Diane Clarke, Director of Avarae, said:
"We have been pleased with trading in the first half, being as it was marginally up on that recorded in 2012. We believe that Avarae remains well positioned as an alternative asset play as the market for the highest quality rare coins should continue to attract good demand and steady, predictable price growth. As we appear to be emerging from the difficult economic times of the last 5 years we believe that investments in rare coins can continue to outperform more traditional investments over a sustained period, as has been proven by Avarae."
For further information on Avarae Global Coins plc, please contact:
Diane Clarke/Matt Wood +44 (0)16 2461 5614 Avarae Global Coins plc Tom Griffiths/Paul Gillam +44 (0)20 7601 6100 Westhouse Securities Ltd Toby Hall +44 (0)20 7822 7493 GTH Communications Limited (Financial PR) +44 (0)7713 341072
DIRECTORS' REPORT
Introduction
We are pleased to present the unaudited interim results of Avarae Global Coins plc ("Avarae" or the "Company") for the six months ended 30 September 2013. During the period under review the Company made significant investments in, and some selective divestments from, its portfolio of rare and high quality coins. In line with the Company's stated strategy, no revaluation of the coin portfolio has been undertaken for the Company's interim results.
Avarae provides access for institutions and individuals wanting to diversify their investment portfolios away from the traditional asset classes such as equities, property or bonds without the need to be an expert in the coin-collecting sector. The Board's strategy is to invest actively in the rarest and highest quality segment of the coin-collecting sector in various countries around the world. We have built up and are continually adding to an impressive portfolio of extremely high quality, rare coins which we intend to hold predominantly for the long-term (i.e. 3 to 5 years), with the aim of achieving long-term capital growth for our shareholders, while also taking advantage of short-term trading opportunities, as the market for rare coins continues to grow.
The coin-dealing sector
Activity in the rare coin market has remained positive over the period, although as mentioned in our full year results released in July, one needs to possess the necessary expertise in identifying which sectors are most appropriate for investment. English, Roman and Indian coins continue to show robust healthy growth, whereas the Chinese sector remains broadly flat. The numismatic industry continues to witness an influx of new buyers looking for tangible assets and fresh areas to place their money as traditional asset classes fail to deliver robust financial gains and exhibit high volatility. The majority of the funds coming into the numismatic market are targeting the higher quality coin rarities and this is adding considerable pressure on availability. A number of important coins and coin collections have come up for sale worldwide with auction houses continuing to achieve record prices, particularly for the highest quality rare pieces.
Avarae's investments
In the six month period to 30 September 2013, the Company acquired approximately GBP327,000 worth of coins (H1 2012: GBP713,000) and sold coins for approximately GBP518,000 (H1 2012: GBP440,000). Seeking out and acquiring the very highest quality English, Indian, Roman and Anglo-Gallic coins dominated activities during the period. Examples of rare coins acquired during the period include:
-- Edward The Black Prince, Hardi d'Or; La Rochelle Mint, half-length figure of Prince standing
facing, sword in his right hand, left hand pointing, fillet of roses in hair. We believe to be a very
high quality and rare piece;
-- A very rare Edward III, Guyennois d'Or, La Rochelle; third type, King walking right under portico,
two lions below, Mint letter R on top of right column; and
-- Edward VII (1901-10), Satin Finish Proof Sovereign, 1908 C, Ottawa, Canada Mint, engraved by George William De Saulles, bare head facing right. Extremely rare with an estimated mintage of only 636 pieces.
Financial Results
Sales of GBP518,000 with gross profit of GBP50,000 in the period reflected a marginally higher level of auction consignments than in the first half of 2012. The Company's second half of its financial year has historically been its stronger half, partly as a result of more coin auctions taking place in that period and also due to higher margins being achieved over and above the prior year's revaluation. The almost 10% gross margin achieved over and above the March 2013 revaluation demonstrates, the directors believe, the continued conservative carrying value of our coins.
Administrative expenses, which are always tightly controlled, were lower during the period at GBP193,000 than in the same period in 2012 (H1 2012: GBP207,000). The resulting net loss for the period was GBP142,000 (H1 2012: loss of GBP148,000), equating to a loss per share in line with last year of 0.18 pence (H1 2012: loss per share of 0.18 pence).
Avarae declared a final dividend in July 2013 of 0.18p per share (2012: 0.185p per share), resulting in a payment to shareholders in September 2013 of approximately GBP145,000. The dividend policy adopted by the Board is intended to be progressive and is expected to be declared on an annual basis. As with last year, no dividend has been declared in respect of the interim period. The level of the dividend will reflect the Company's reported profits over a three year period, thereby smoothing out any years of one-off profits (or losses). The policy will be to pay out approximately 1/3 of the average net profits reported over the most recent three year period.
In line with our stated strategy, the Company only undertakes its portfolio revaluation exercise at the end of each financial year (31 March), rather than mid-year and, only then, revaluing coins that have been held by the Company for more than 12 months. Accordingly, the GBP327,000 of coins acquired in the period under review, together with the GBP1.2 million of coins acquired during the year ended 31 March 2013, remain valued at cost. The total value of the coin portfolio at the period end was GBP10.8 million (31 March 2013: GBP10.9 million).
The Company ended the period under review with net cash of GBP114,000 (31 March 2013: GBP368,000) and no borrowings (31 March 2013: GBPnil).
August and September 2013 were active trading months for us where we made sales of almost GBP0.5 million and purchases of almost GBP0.2 million. This is reflected in trade and other receivables at the period end being significantly higher at GBP942,000 (31 March 2013: GBP398,000), and similarly trade creditors and accruals being pushed higher to GBP494,000 as at 30 September 2013 (31 March 2013: GBP58,000). All balances have been settled post period end.
At the period end, the Company had net assets of GBP11.35 million (31 March 2013: GBP11.63 million), resulting in a net asset value per Ordinary Share of 14.0 pence (31 March 2013: 14.4 pence).
Outlook
We've been pleased with trading in the first half, being as it was marginally up on that recorded in 2012. We believe that Avarae remains well positioned as an alternative asset play as the market for the highest quality rare coins should continue to attract good demand and steady, predictable price growth. As we appear to be emerging from the difficult economic times of the last 5 years we believe that investments in rare coins can continue to outperform more traditional investments over a sustained period, as has been proven by Avarae.
17 December 2013
Directors
AVARAE GLOBAL COINS PLC
UNAUDITED INCOME STATEMENT
from 1 April 2013 to 30 September 2013
Hot Features
Premium
1 April 1 April 1 April 12
13 12 to 31 Mar
to 30 Sept to 30 Sept 13
13 12
Unaudited Unaudited Audited
Note GBP'000 GBP'000 GBP'000
Revenue
Sales 518 440 1,102
Cost of Sales (468) (382) (995)
Coin revaluation - - 605
---- ---- ----
Gross profit 50 58 712
Administrative expenses (193) (207) (359)
---- ---- ----
(Loss)/Profit on ordinary
activities before: (143) (149) 353
Finance income 1 1 2
---- ---- ----
(Loss)/Profit on ordinary
activities before tax (142) (148) 355
Tax on (loss)/profit on ordinary - - -
activities
---- ---- ----
(Loss)/Profit on ordinary
activities after taxation (142) (148) 355
Dividends (145) (149) (149)
---- ---- ----
Retained (loss)/profit for
the period (287) (297) 205
---- ---- ----
(Loss)/Earnings per share 2 (0.18)p (0.18)p 0.44p
There were no recognised gains or losses other than the loss for the period.
UNAUDITED BALANCE SHEET
as at 30 September 2013
As at As at As at
30 Sept 30 Sept 31 Mar 13
13 12
Unaudited Unaudited Audited
Note GBP'000 GBP'000 GBP'000
Assets
Current Assets
Coin inventory 3 10,785 10,443 10,926
Trade and other receivables 4 942 441 398
Cash at bank 114 444 368
---- ---- ----
Total Assets 11,841 11,328 11,692
---- ---- ----
Liabilities and Equity
Creditors: amounts falling
due within one year 5 494 197 58
---- ---- ----
Total Liabilities 494 197 58
---- ---- ----
Equity
Called up equity share
capital 6 808 808 808
Share premium 8,880 8,880 8,880
Profit and loss account 1,659 1,443 1,946
---- ---- ----
Total Equity Shareholders'
Funds 11,347 11,131 11,634
---- ---- ----
Total Liabilities and Equity 11,841 11,328 11,692
---- ---- ----
Diane Clarke Matt Wood
UNAUDITED CASH FLOW STATEMENT
as at 30 September 2013
1 April 1 April 1 April 12
13 12 to 31 Mar
to 30 Sept to 30 Sept 13
13 12
Unaudited Unaudited Audited
GBP'000 GBP'000 GBP' 000
Cash flows from operating activities:
(Loss)/Profit for the period (143) (149) 353
Adjustments for:
Increase/(decrease) in payables 436 (33) (172)
(Increase)/decrease in receivables (544) (194) (151)
Decrease/(increase) in inventory 141 (331) (814)
---- ---- ----
Net cash flow from operations (110) (707) (784)
Interest received 1 1 2
---- ---- ----
Net cash received from investing
activities 1 1 2
Dividends paid (145) (149) (149)
---- ---- ----
Net cash from financing activities (145) (149) (149)
---- ---- ----
Net (decrease) in cash and cash
equivalents (254) (855) (931)
---- ---- ----
Opening cash position 368 1,299 1,299
---- ---- ----
Closing cash and cash equivalents 114 444 368
---- ---- ----
NOTES TO THE UNAUDITED INTERIM FINANCIAL STATEMENTS:
(1) Accounting policies
Basis of accounting
The unaudited interim financial statements have been prepared under the historical cost convention and in accordance with International Financial Reporting Standards. The accounting policies and methods of computation in the unaudited interim financial statements are the same as those of the audited financial statements for the year ended 31 March 2013.
(2) Earnings per share
The loss per share for the period was 0.18p (H1 2012: loss of 0.18p). The calculation of (loss)/earnings per share is based on the loss on ordinary activities after taxation of GBP142,000 for the period (H1 2012: loss of GBP148,000) and the weighted average number of shares in issue during the period under review remained unchanged at 80,783,334 (2012: 80,783,334).
(3) Coin inventory
At the end of each financial year, the coin inventory is re-valued to market value less the VAT payable on sale. Inventory purchased since 31 March 2012 is included at its original cost price and under the current valuation policy has not been the subject of any revaluations. The valuation of the portfolio held as at 31 March 2013 was carried out by industry experts and only those coins held by the Company for at least 12 months were the subject of a revaluation exercise. This is considered by the Directors to give a fair value for the inventory. The Directors anticipate undertaking a further revaluation exercise for the coming financial year end.
(4) Trade and other receivables
As at As at As at
30 Sept 30 Sept 31 Mar 13
13 12
Unaudited Unaudited Audited
GBP'000 GBP'000 GBP'000
Trade debtors 926 429 368
Prepayments and other debtors 16 12 30
---- ---- ----
Total 942 441 398
---- ---- ----
Trade receivables do not carry any interest and are stated at their nominal value as recorded by appropriate allowances for estimated irrecoverable amounts.
(5) Payables
As at As at As at
30 Sept 30 Sept 31 Mar 13
13 12
Unaudited Unaudited Audited
GBP'000 GBP'000 GBP'000
Trade creditors 327 121 -
Accrued expenses 140 66 58
Other creditors 27 10 -
---- ---- ----
494 197 58
---- ---- ----
All creditors are due within one year.
(6) Share capital
As at As at As at
30 Sept 13 30 Sept 31 Mar 13
12
Unaudited Unaudited Audited
GBP'000 GBP'000 GBP'000
Authorised
Ordinary shares of GBP0.01
each 2,000 2,000 2,000
---- ---- ----
Allotted, called up and fully
paid
Ordinary shares of GBP0.01
each 808 808 808
---- ---- ----
(7) Preparation of the Interim Report
This report was approved by the Directors on 17 December 2013.
The results for the period ended 30 September 2013 are unaudited and do not constitute statutory accounts as defined in the Companies Act.
Additional copies of this report are available from the Company's registered office, Ground Floor, West Suite, Exchange House, 54-58 Athol Street, Douglas, Isle of Man, IM1 1JD or via the Company's website www.avarae.com.
This information is provided by RNS
The company news service from the London Stock Exchange
END
IR DDBDDDBBBGXL
1 Year Avarae Global Coins Chart |
1 Month Avarae Global Coins Chart |
It looks like you are not logged in. Click the button below to log in and keep track of your recent history.
Support: +44 (0) 203 8794 460 | support@advfn.com
By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions
