We could not find any results for:
Make sure your spelling is correct or try broadening your search.
Share Name | Share Symbol | Market | Type | Share ISIN | Share Description |
---|---|---|---|---|---|
Lifesafe Holdings Plc | LSE:LIFS | London | Ordinary Share | GB00BP83Y473 | 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% | 11.00 | 10.00 | 12.00 | 11.00 | 11.00 | 11.00 | 10,000 | 08:00:00 |
Industry Sector | Turnover | Profit | EPS - Basic | PE Ratio | Market Cap |
---|---|---|---|---|---|
Offices-holdng Companies,nec | 4.03M | -2.81M | -0.1109 | -0.99 | 2.79M |
TIDMLIFS
RNS Number : 5755N
LifeSafe Holdings PLC
26 September 2023
For immediate release 26 September 2023
LifeSafe Holdings plc
('LifeSafe', the 'Group' or the 'Company')
Interim Results for the six months ended 30 June 2023
Strong revenue growth and first industrial agreement achieves a significant strategic milestone
LifeSafe (AIM:LIFS), a fire safety technology business with innovative fire extinguishing fluids and fire safety products, reports its unaudited Interim Results for the six months ended 30 June 2023 ('H1 2023' or 'the Period').
Financial highlights:
-- Revenue more than doubled to GBP2.9 million (H1 2022: GBP1.3 million), already 72% of FY 2022 revenue and ahead of the Board's expectations -- Gross profit of GBP1.7 million at 57.8% margin (H1 2022: GBP0.7 million at 55.5% margin) -- Underlying loss before interest, tax, depreciation and amortisation (1) ('underlying LBITDA') of GBP760,000 (H1 2022: underlying LBITDA of GBP681,000) -- Capitalised product development spend of GBP161,000 (H1 2022: GBP184,000) -- Cash and cash equivalents at 30 June 2023 of GBP24,000 (30 June 2022: GBP22,000); GBP1.21 million subsequently raised through the Company's placing, share subscription and retail offer in August 2023 -- Net debt at 30 June 2023 of GBP440,000 (30 June 2022: net debt of GBP7,000)
Operational highlights:
-- Introduction of Lithium Thermal Runaway Fluid ('TRF') in January 2023 at Intersec, the world's leading event for emergency services, security and safety -- Launched in the UK in April 2023 and in the US in July 2023 the StaySafe All-in-1 fire extinguisher, specifically designed to tackle ten different types of fire, replacing the successful StaySafe 5-in-1 fire extinguisher
Post-period highlights:
-- First industrial partnership with Wormald Fire & Security, Australia's biggest fire protection and safety business -- StaySafe All-in-1 launched in Screwfix 850 store chain in the UK and online in September 2023 -- Appointment to QBE Insurance Group's Solutions Panel in September 2023 as best-in-class supplier of choice to their global client network -- On track to become EBITDA profitable on a monthly basis during Q4 2023
(1) Underlying LBITDA represents loss for the period before finance expense, tax, depreciation and amortisation, and non-underlying items.
Commenting on the Interim Results, Dominic Berger, Chairman of LifeSafe, said:
"I am pleased to announce another positive set of financial results that reflect the continued growth and development of our business, driven by our dedicated team. Having listed on AIM just over 12 months ago, we have consistently outperformed our financial and strategic targets, all whilst ensuring that our potentially life-saving fire safety solutions are made increasingly available to customers globally. Our IPO occurred in the early stages of our growth and understanding of the market. It is safe to say we know more now than we did then, but nonetheless we have and will continue to learn and deliver on our journey.
"I am also delighted that we announced our first major partnership in the development of our industrial strategy with Wormald in Australia. This milestone is a long way ahead of our expectations even though we have been working and testing with Wormald for over 18 months. We are excited about how the partnership and endorsement of Wormald will now open a huge opportunity in the bulk supply of our fluids through similar partnerships globally.
"My thanks extend to the whole team at LifeSafe and the continued support of our shareholders, both new and old. We remain on course to deliver on our stated goals where every home should have a StaySafe and of being a global disruptor and leader in fire safety fluids."
Investor presentation
An in-person meeting for sell-side analysts will be held at 9.30am today at the offices of FTI Consulting, 200 Aldersgate, Aldersgate Street, London EC1A 4HD. Please contact FTI Consulting via LifeSafe@fticonsulting.com if you wish to join the meeting.
The Company will also be hosting an online presentation for retail investors to discuss the announcement on 27 September 2023 at 5.00pm. Please email LifeSafe@fticonsulting.com to register your interest.
This announcement contains inside information for the purposes of Article 7 of the UK version of Regulation (EU) No 596/2014 which is part of UK law by virtue of the European Union (Withdrawal) Act 2018, as amended ("MAR"). Upon the publication of this announcement via a Regulatory Information Service, this inside information is now considered to be in the public domain.
The person responsible for arranging the release of this announcement on behalf of the Company is Mike Stilwell, Chief Financial Officer of the Company.
For further enquiries:
LifeSafe Holdings plc Via FTI Consulting Dominic Berger, Chairman info@lifesafet echnologies .com Neil Smith, Chief Executive Officer Mike Stilwell, Chief Financial Officer WH Ireland Limited (Nominated Tel: +44 (0) 20 7220 1666 Adviser & Broker) Chris Fielding Darshan Patel Isaac Hooper FTI Consulting (Financial Communications) Tel: +44 (0) 20 3727 1000 Tom Hufton LifeSafe@fticonsulting.com Harriet Jackson Liam Gerrard
Notes to Editors
LifeSafe is a fire safety technology business that develops eco-friendly, novel and innovative fire extinguishing fluids and life-saving fire safety products. LifeSafe has developed a market disrupting range of eco-friendly fire safety protection products; a new patent-pending Thermal Runaway Fluid to combat lithium battery fires by permanently extinguishing and preventing re-ignition, and the StaySafe All-in-1, a handheld eco-friendly and fully recyclable extinguisher which is verified to extinguish ten different types of fire and the number one selling fire extinguisher on Amazon UK. L ifeSafe is successfully creating new markets for the Group in fire safety through its innovative technologies, products, digital marketing and multi-channel sales; and is continuing to develop new fluid derivations for applications in various industrial market sectors.
LifeSafe was admitted to trading on AIM in July 2022 with the ticker LIFS.
For further information please visit: https://www.lifesafeholdingsplc.com .
LinkedIn: https://www.linkedin.com/company/lifesafe-technologies
Twitter: https://twitter.com/LifesafeT
Chairman's Statement
Business Review
I am delighted to report on the continued strong operational and strategic progress made by the Group in H1 2023. This progress is all the more significant considering it is just over a year since the Group was admitted to AIM and was able to access the funds required to progress the commercialisation of LifeSafe's core product containing its proprietary fire extinguishing fluid.
At almost GBP3 million, our revenue for H1 2023 represents 72% of that achieved in the whole of 2022 and is ahead of the Board's expectations. The StaySafe All-in-1 remains the number one best-selling fire extinguisher on Amazon UK.
What is particularly impressive, however, is at the same time as managing this considerable growth in the consumer channel, the LifeSafe team developed and launched the new StaySafe All-in-1 in the UK and US consumer markets and, subsequent to the Period end, achieved the significant strategic milestones of signing LifeSafe's first industrial partnership agreement with Wormald Fire & Security with the Group's new fluorine free lithium thermal runaway fluid and being appointed to QBE Insurance Group's Solutions Panel.
The industrial partnership with Wormald represents a key strategic development which could have only been achieved through the exceptional progress made in the consumer market and lays the foundations to access the enhanced margins of bulk fluid supply and international distribution agreements, which avoid many of the costs inherent in the direct consumer supply model.
I reaffirm that the Group remains firmly on track in executing its strategy to build a multi-channel, international fire safety business capable of delivering significant long-term value for our shareholders.
Results
LifeSafe's revenue for H1 2023 more than doubled to GBP2.9 million, compared with GBP1.3 million in the same period last year as the commercialisation of the Company's innovative, market disrupting eco-friendly fire extinguishing proposition continued ahead of the Board's expectations. Sales increased both in the UK, through the introduction of the StaySafe All-in-1 fire extinguisher, and in the US, with a full six months sales of the StaySafe 5-in-1 fire extinguisher since its introduction in the US market during H1 2022.
Gross profit for H1 2023 increased significantly to GBP1.7 million (H1 2022: GBP0.7 million) at a gross margin of 57.8% (H1 2022: 55.5%), in line with the Board's expectations despite the strengthening of sterling against the US dollar during the Period compared to the budgeted rate.
Underlying administrative expenses for H1 2023 increased to GBP2.5 million (H1 2022: GBP1.4 million) as the Group invested in digital marketing to drive sales with a corresponding increase in logistics costs, particularly in the US, and invested operationally in resource to address the increasing demands of supply chain, customer service and financial management.
The Group made an underlying loss before interest, tax, depreciation and amortisation(1) ('LBITDA') of GBP760,000 (H1 2022: GBP681,000) before non-underlying share-based payment charges of GBP413,000 (H1 2022: non-underlying items of GBP895,000 comprising IPO costs and share-based payment charges).
Finance expenses of GBP23,000 were recorded in the Period (H1 2022: GBP573,000, of which GBP569,000 related to non-underlying interest on convertible loan notes which subsequently converted to equity on Admission to AIM).
The Group made an underlying loss before tax(2) of GBP849,000 (H1 2022: loss of GBP733,000). After charging GBP413,000 for non-underlying costs in relation to share-based payment charges (H1 2022: total non-underlying charges of GBP1,464,000), the consolidated loss before tax for the Period was GBP1.3 million (H1 2022: loss of GBP2.2 million).
The basic and diluted earnings per share were (GBP0.06) (H1 2022: (GBP0.14)).
Cash and cash equivalents as at 30 June 2023 were GBP24,000 (H1 2022: GBP22,000). GBP1.21 million was subsequently raised through the Company's placing, share subscription and retail offer in August 2023 (described below). Net debt at 30 June 2023 was GBP440,000 (30 June 2022: net debt of GBP7,000).
Inventory at 30 June 2023 amounted to GBP1.0 million (30 June 2022: GBP0.3 million) as stock was procured in advance of expected demand to ensure this could be satisfied during the seasonally-stronger second half of the year, particularly for stock shipping to the US market. In 2022, 68% of the Company's revenue was generated in H2 2022, highlighting the importance of front-loading inventory to maintain product availability. The inventory balance reduced to GBP0.9 million at 31 August 2023 as stock began to be worked through.
Trade and other receivables at 30 June 2023 amounted to GBP436,000 and included GBP154,000 in relation to taxation subsequently received after the Period end (30 June 2022: GBP3.2 million, of which GBP3.0 million were committed subscriptions to the Company's placing of shares and Admission to AIM on 6 July 2022).
Trade and other payables at 30 June 2023 amounted to GBP782,000 and included GBP515,000 of trade creditors reflecting stock delivered in advance of the expected seasonally higher demand in H2 2023 (30 June 2022: GBP1,583,000, including IPO costs of GBP984,000 which were paid subsequently).
Borrowings at 30 June 2023 amounted to GBP464,000 (30 June 2022: GBP29,000) and included balances of GBP22,000 in relation to a Coronavirus Bounce Back Loan, GBP142,000 in relation to a supplier invoice finance facility announced on 31 March 2023 and originally drawn at GBP250,000 with final repayments on 31 October 2023, and GBP250,000 in relation to a trade finance facility announced on 5 June 2023 repayable in full on 30 October 2023.
(1) Underlying LBITDA represents loss for the period before finance expense, tax, depreciation and amortisation, and non-underlying items.
(2) Underlying loss before tax represents loss for the year before tax and non-underlying items.
Post balance sheet placing, share subscription and retail offer of shares
On 3 August 2023, the Company announced a placing and share subscription at GBP0.37 per share to raise approximately GBP0.94 million and GBP0.14 million, respectively, and up to GBP0.25 million through a retail offer. The placing was conducted in two tranches and resulted in the issue of 1,637,565 shares on 9 August 2023 and 936,900 on 22 August 2023, raising gross proceeds of GBP0.95 million. The share subscription resulted in the issue of 378,378 shares on 9 August 2023 raising gross proceeds of GBP0.14 million. The retail offer resulted in the issue of 315,090 shares on 25 August 2023 raising gross proceeds of GBP0.12 million. In total 3,267,933 shares were issued through the placing, share subscription and retail offer, raising gross proceeds of GBP1.21 million and taking the number of shares in issue to 25,375,983. The costs of issue amounted to GBP0.13 million.
We are grateful for the support of both new and existing shareholders, whose investment will be used to maximise the business opportunity in front of us.
Research and development, technology and intellectual property
Since the beginning of 2023, the Company has made a number of significant announcements as a result of accelerating the development of its strong pipeline of innovative new products and fluid derivatives in response to industry demand.
LifeSafe's Lithium TRF was announced in December 2022 and introduced to the industry in January 2023 at Intersec Dubai, the world's leading event for emergency services, security and safety. Lithium TRF, a variant of the Group's core eco-friendly patented fluid, is a new non-toxic, non-hazardous and fluorine free fluid designed to permanently extinguish and prevent the re-ignition of lithium battery fires. The Group has submitted UK and international patent applications to protect its innovation.
In April 2023, the new StaySafe All-in-1 fire extinguisher was launched in the UK featuring the Group's next generation fluid. The StaySafe All-in-1 is specifically designed to tackle ten different types of fire, replacing the Group's successful debut product, the StaySafe 5-in-1. The StaySafe All-in-1 was launched in the US in July 2023 and in the Screwfix chain of 850 stores in the UK and on its website in September 2023. The Group has submitted UK and international patent applications to protect its innovation.
The Group's fluorine free derivatives of its existing fluids have been developed in response to European legislation which, from July 2025, will ban the use of fire-fighting foam containing perfluorooctanoic acid ('PFOA'). This follows similar legislation in North America and Australia. The global market for soon to be banned foam extinguishers is valued at $1 billion per year (source: Grandview Research) representing a significant opportunity for LifeSafe.
The Group's fluorine free fluids provide an environmentally friendly solution to future proof portable and fixed fire extinguishing solutions ahead of the 2025 deadline and have been endorsed and chosen by Wormald Fire & Security which entered into a distribution agreement in Australia for LifeSafe's TRF in September 2023. Wormald is a leading provider of fire protection services in Australia with a 130-year heritage and was valued at US$1bn in 1990 when bought by Tyco. In 2016, Wormald was acquired by Evergreen Capital, LP, a New York based investment firm.
Capitalised expenditure on technology development during the six-month period amounted to GBP161,000 (H1 2022: GBP184,000).
LifeSafe's intellectual property is protected through the grant of two patents and patent applications for eight further fluid derivations across the UK and internationally.
The Board recognises the importance of protecting its intellectual property and rigorously guards its innovation. The Group employs an intellectual property attorney to protect its interests and has intellectual property defence and pursuit insurance to protect its investments.
Strategic partnerships
The Group announced earlier today the significant strategic milestone of signing its first industrial partnership agreement with Wormald Fire & Security. Under the strategic partnership agreement, LifeSafe will supply its new fluorine free, lithium ion TRF fire extinguishing fluid exclusively in Australia to Wormald for use in their range of fire safety equipment. In addition to the expected revenue benefits from the distribution of the Group's fluids, Wormald has provided LifeSafe with crucial introductions and expertise in helping to access other geographies and market sectors.
LifeSafe has also recently been appointed to QBE Insurance Group's Solutions Panel. The appointment represents the culmination of 14 months assessment and testing of the Group's range of fire extinguishing fluids and products. As well as generating revenue directly from recommendations to its customer base, QBE's powerful endorsement of the Group's fluids will be invaluable in building trust and credibility in the conversion of LifeSafe's growing industrial sales pipeline.
Outlook
As previously communicated, our laser focus so far in 2023 has been in continuing to grow consumer market penetration across all territories using our tried and tested digital marketing strategies. I am delighted that our significant revenue growth in H1 2023 demonstrates this has been achieved. Our recent fundraise has provided the working capital to satisfy this greater than expected growth by ensuring that sufficient stock is available, and in the right place at the right time, to meet the expected seasonally-weighted demand in H2 2023.
We remain confident that we will achieve EBITDA profitability on a monthly basis during Q4 2023 despite the marketing and logistics costs required to deliver the sales growth. We are looking forward to further scaling the consumer business in 2024 and enhancing our margins by commencing production in the US. Given the seasonally-weighted second half of the year, management forecasts for 2023 year remain unchanged at this stage.
What is particularly exciting is the excellent progress we have made in achieving the strategic milestone of signing the first industrial partnership agreement with Wormald Fire & Security and our appointment to QBE Insurance Group's Solutions Panel. This lays the foundations to accessing the enhanced margins of bulk fluid supply and international distribution agreements, which achieve sales without the scale of marketing, commission or logistics costs inherent in the direct-to-consumer supply model. It is the evolution of LifeSafe as a recognised, leading fluid technology business which will unlock the highest long-term value for shareholders but would be impossible without the credibility and scale generated by the digital first consumer model which has resonated in the wider business-to-business fire safety market.
Notwithstanding the still huge and untapped addressable market in the consumer channel, the Board is very excited about these recent industry endorsements and expects them to be the first of many potential game-changing opportunities in the industrial supply of LifeSafe's fluids. As such, the Group is well placed to drive further growth and is confident of delivering shareholder value.
Dominic Berger
Chairman
26 September 2023
Consolidated statement of profit or loss and other comprehensive income
For the six months ended 30 June 2023
(Unaudited) (Unaudited) (Audited) Six months ended Six months ended Year ended 31 December 30 June 2023 30 June 2022 2022 ---------------- ---- -------------------------------------------- -------------------------------------------- -------------------------------------------- Non-underlying Non-underlying Non-underlying Before items Before items Before items non-underlying (note non-underlying (note non-underlying (note items 5) Total items 5) Total items 5) Total Note GBP000 GBP000 GBP000 GBP000 GBP000 GBP000 GBP000 GBP000 GBP000 ---------------------- ---------------- --------------- --------- ---------------- --------------- --------- ---------------- --------------- --------- Revenue 3 2,890 - 2,890 1,277 - 1,277 4,028 - 4,028 Cost of sales (1,220) - (1,220) (568) - (568) (1,732) - (1,732) ---------------- ---- ---------------- --------------- --------- ---------------- --------------- --------- ---------------- --------------- --------- Gross profit 1,670 - 1,670 709 - 709 2,296 - 2,296 Administrative expenses (2,496) (413) (2,909) (1,438) (895) (2,333) (3,676) (1,415) (5,091) --------- ---------------- --------------- --------- ---------------- --------------- --------- Loss from operations (826) (413) (1,239) (729) (895) (1,624) (1,380) (1,415) (2,795) Finance expense 6,5 (23) - (23) (4) (569) (573) (5) (187) (192) Loss before tax (849) (413) (1,262) (733) (1,464) (2,197) (1,385) (1,602) (2,987) Taxation 7 (52) - (52) - - - 173 - 173 ---------------- ---- ---------------- --------------- --------- ---------------- --------------- --------- ---------------- --------------- --------- Loss for the period (901) (413) (1,314) (733) (1,464) (2,197) (1,212) (1,602) (2,814) ---------------- ---- ---------------- --------------- --------- ---------------- --------------- --------- ---------------- --------------- --------- Other comprehensive income Total other comprehensive income - - - - - - - - - ---------------- ---- ---------------- --------------- --------- ---------------- --------------- --------- ---------------- --------------- --------- Total comprehensive expense (901) (413) (1,314) (733) (1,464) (2,197) (1,212) (1,602) (2,814) ---------------- ---- ---------------- --------------- --------- ---------------- --------------- --------- ---------------- --------------- --------- Basic and diluted loss per share (GBP) 8 (0.06) (0.14) (0.15) ---------------- ---- ---------------- --------------- --------- ---------------- --------------- --------- ---------------- --------------- ---------
All amounts relate to continuing activities.
Consolidated statement of financial position
As at 30 June 2023
(Unaudited) (Unaudited) (Audited) 30 June 30 June 31 Dec Note 2023 GBP000 2022 GBP000 2022 GBP000 ------------------------------------------ ----- --------------- --------------- --------------- Non-current assets Intangible assets 580 302 483 Property, plant and equipment 12 9 10 592 311 493 ------------------------------------------ ----- --------------- --------------- --------------- Current assets Inventories 1,025 329 442 Trade and other receivables 9 436 3,230 659 Cash and cash equivalents 10 24 22 1,166 ------------------------------------------ ----- --------------- --------------- --------------- 1,485 3,581 2,267 Total assets 2,077 3,892 2,760 ------------------------------------------ ----- --------------- --------------- --------------- Current liabilities Trade and other payables 11 (782) (1,583) (1,002) Convertible loan notes 12 - (1,699) - Borrowings 13 (449) (7) (7) Other provisions (24) (31) (24) ------------------------------------------ ----- --------------- --------------- --------------- (1,255) (3,320) (1,033) ------------------------------------------ ----- --------------- --------------- --------------- Non-current liabilities Borrowings 13 (15) (22) (19) (15) (22) (19) ------------------------------------------ ----- --------------- --------------- --------------- Total liabilities (1,270) (3,342) (1,052) ------------------------------------------ ----- --------------- --------------- --------------- Net assets 807 550 1,708 ------------------------------------------ ----- --------------- --------------- --------------- Equity attributable to equity holders of the Parent Called up share capital 14 221 154 221 Share premium account 15 4,152 250 4,152 Share-based payment reserve 15 1,270 241 857 Convertible loan note reserve 15 - 354 - Shares to be issued reserve 15 - 2,633 - Retained earnings 15 (4,836) (3,082) (3,522) ------------------------------------------ ----- --------------- --------------- --------------- Total equity 807 550 1,708 ------------------------------------------ ----- --------------- --------------- ---------------
Consolidated statement of changes in equity
For the six months ended 30 June 2023
Called Share Share-based Convertible up premium payment loan note Retained share account reserve reserve earnings Total equity capital GBP000 GBP000 GBP000 GBP000 GBP000 GBP000 ----------------------------------- -------- -------- ----------- ----------- ---------- -------------- Balance at 1 January 2022 (Audited) 3 4,627 114 171 (5,241) (326) ----------------------------------- -------- -------- ----------- ----------- ---------- -------------- Comprehensive income Loss for the year - - - - (2,814) (2,814) Share-based payments - - 630 - - 630 Issue of warrants - (113) 113 - - - Transactions with owners: Bonus issue of shares 151 - - - (151) - Cancellation of share premium - (4,464) - - 4,464 - Shares issued for cash 40 3,047 - - - 3,087 Share issue costs - (368) - - - (368) Convertible loan notes issued - - - 183 - 183 Convertible loan notes exercised 27 1,423 - (354) 220 1,316 Balance at 31 December 2022 (Audited) 221 4,152 857 - (3,522) 1,708 ----------------------------------- -------- -------- ----------- ----------- ---------- -------------- Balance at 1 January 2023 (Audited) 221 4,152 857 -(3,522) 1,708 ------------------------------------ --- ----- ----- ------- ------- Comprehensive income Loss for the period - - - -(1,314) (1,314) Share-based payments - - 413 - - 413 Balance at 30 June 2023 (Unaudited) 221 4,152 1,270 -(4,836) 807 ------------------------------------ --- ----- ----- ------- -------
Consolidated statement of cash flows
For the six months ended 30 June 2023
(Unaudited) (Unaudited) (Audited) Six months Six months Year ended ended ended 31 Dec Note 30 June 30 June 2022 GBP000 2023 GBP000 2022 GBP000 ---------------------------------------------------- ------- ------------- ------------- ------------- Cash flows from operating activities Loss before taxation from continuing operations (1,262) (2,197) (2,987) Adjustments for non-cash/non-operating items: Depreciation of property, plant and equipment 1 1 2 Amortisation of intangible assets 65 47 90 IPO costs - - 727 Equity-settled share-based payments 413 170 630 Finance expense 22 569 192 ---------------------------------------------------- ------- ------------- ------------- ------------- Operating cash flows before movements in working capital (761) (1,410) (1,346) Increase in inventories (520) (139) (252) Decrease/(increase) in trade and other receivables 67 (463) (357) (Decrease)/increase in trade and other payables (218) 1,321 734 ---------------------------------------------------- ------- ------------- ------------- ------------- Cash used in operations (1,432) (691) (1,221) Corporation tax received 81 - - ---------------------------------------------------- ------- ------------- ------------- ------------- Net cash used in operating activities (1,351) (691) (1,221) ---------------------------------------------------- ------- ------------- ------------- ------------- Cash flows used in investing activities Purchase of intangibles (161) (184) (408) Purchase of property, plant and equipment (4) - (1) Net cash used in investing activities (165) (184) (409) ---------------------------------------------------- ------- ------------- ------------- ------------- Cash flows from financing activities Shares issued for cash (net of expenses) - 87 1,993 Proceeds from borrowings 505 - - Repayment of borrowings (118) (4) (7) Proceeds from issue of convertible loans - 750 750 Other interest paid (13) - (4) Net cash generated by financing activities 374 833 2,732 ---------------------------------------------------- ------- ------------- ------------- ------------- Net (decrease)/increase in cash and cash equivalents (1,142) (42) 1,102 Cash and cash equivalents at the beginning of period 1,166 64 64 ---------------------------------------------------- ------- ------------- ------------- ------------- Cash and cash equivalents at the end of period 10 24 22 1,166 ---------------------------------------------------- ------- ------------- ------------- -------------
Notes to the unaudited condensed interim consolidated financial statements
1. General information
These consolidated interim financial statements were approved by the Board of Directors on 26 September 2023.
2. Basis of preparation
These unaudited consolidated interim financial statements of the Group are for the six months ended 30 June 2023.
The condensed consolidated interim financial statements for the six months to 30 June 2023 do not include all the information and disclosures required in the annual financial statements and have not been audited or reviewed by an auditor pursuant to the Auditing Practices Board guidance on Review of Interim Financial Information. However, selected explanatory notes are included to explain events and transactions that are significant for an understanding of the changes in the Group's financial position and performance in the period.
The condensed consolidated interim financial statements for the six months to 30 June 2023 have been prepared on the basis of the accounting policies expected to be adopted for the year ending 31 December 2023. These accounting policies are drawn up in accordance with adopted International Accounting Standards ('IAS') and International Financial Reporting Standards ('IFRS') as issued by the International Accounting Standards Board and adopted by the EU.
AIM-listed companies are not required to comply with IAS 34 'Interim Financial Reporting' and accordingly the Company has taken advantage of this exemption.
3. Revenue from contracts with customers (Unaudited) (Unaudited) (Audited) Six months Six months Year ended ended ended 30 June 30 June 31 Dec 2022 2023 2022 GBP000 Geographic reporting GBP000 GBP000 ---------------------- ------------ ------------ ------------- Revenue United Kingdom 806 631 1,451 North America 2,067 561 2,372 Europe 17 85 180 Rest of the World - - 25 ---------------------- ------------ ------------ ------------- 2,890 1,277 4,028
---------------------- ------------ ------------ -------------
During H1 2023 the Group's supply chain resources were focussed on satisfying the increasing demand in the UK and the US. A new production partner for the European market has been sourced with increased sales expected in H2 2023.
4. Segmental reporting
The Chief Operating Decision Maker ('CODM') has been determined to be the Board of Directors. The CODM reviews the Group's internal reporting in order to assess performance and allocate resources. The CODM has determined that there is one single operating segment being the sale of fire extinguishing and related products. Information concerning geographical revenue is disclosed in note 3.
5. Non-underlying items (Unaudited) (Unaudited) (Audited) Six months Six months Year ended ended ended 30 June 30 June 31 Dec 2022 2023 2022 GBP000 GBP000 GBP000 -------------------------------- ------------ ------------ ------------- Share-based payment charges 413 170 630 IPO costs - 725 727 Other non-underlying costs - - 58 -------------------------------- ------------ ------------ ------------- Within administrative expenses 413 895 1,415 -------------------------------- ------------ ------------ ------------- Convertible loan note interest - 569 187 -------------------------------- ------------ ------------ ------------- Within finance expense - 569 187 -------------------------------- ------------ ------------ ------------- 413 1,464 1,602 -------------------------------- ------------ ------------ -------------
Share-based payment charges
The Group operates equity-settled share-based remuneration schemes for employees. The terms and conditions of the grants are detailed below :
No. of Exercise Contractual life Date of grant options price (GBP) Vesting conditions of options ---------------------- ---------------- -------------------- ----------------------------- ----------------------- 30 September 2021(1) 1,495,650 0.48 IPO 10 years IPO/market 11 October 2021(1) 1,645,200 0.48 capitalisation 10 years 12 months from admission 29 March 2022(1) 1,645,200 0.16 date 10 years Total shareholder 26 July 2022 1,167,301 0.75 return 10 years Total shareholder 13 October 2022 974,965 0.75 return 10 years ---------------------- ---------------- -------------------- ----------------------------- -----------------------
(1) The number of share options granted, and the corresponding exercise price, are shown after the Company's 49 for 1 bonus issue of shares on 9 May 2022.
6. Finance expense (Unaudited) (Unaudited) (Audited) Six months Six months Year ended ended ended 30 June 30 June 31 Dec 2022 2023 2022 GBP000 GBP000 GBP000 ------------------------------ ------------ ------------ ------------- Interest on bank loans 1 4 5 Interest on convertible loan notes - 569 187 Interest on other loans 22 - - ------------------------------ ------------ ------------ ------------- 23 573 192 ------------------------------ ------------ ------------ ------------- 7. Income tax expense
No income has yet been recognised in H1 2023 in relation to R&D tax credits available from HMRC through the SME R&D relief scheme for 2023. The charge of GBP52,000 in the Period relates to an adjustment to the R&D tax credit estimate for 2022 recognised in the year ended 31 December 2022.
8. Loss per share
Loss per share is calculated as follows:
(Unaudited) (Unaudited) (Audited) Six months Six months Year ended ended ended 30 June 30 June 31 Dec 2022 2023 2022 ---------------------------------- ------------ ------------ ------------- Basic and diluted loss per share (GBP) (0.06) (0.14) (0.15) ---------------------------------- ------------ ------------ -------------
The calculations of basic and diluted loss per share are based upon:
Loss for the period attributable to owners of the Parent (GBP000) (1,314) (2,197) (2,814) ------------------------------------- ----------- ----------- ----------- Weighted average number of ordinary shares 22,108,050 15,391,302 18,666,870 ------------------------------------- ----------- ----------- -----------
The calculation of the basic loss per share is based on the results attributable to ordinary shareholders divided by the weighted average number of shares in issue during the period.
The weighted average number of shares in issue is used as the denominator in calculating the basic loss per share. As the Group is loss making the effect of instruments that convert into ordinary shares is considered anti-dilutive, hence there is no difference between the diluted and non-diluted loss per share.
9. Trade and other receivables (Unaudited) (Unaudited) (Audited) 30 June 30 June 2023 2022 31 Dec 2022 GBP000 GBP000 GBP000 -------------------------------- ------------- ------------ ------------- Amounts falling due within one year: Trade receivables 24 19 17 Other receivables 119 3,061 160 Taxation and social security 154 140 326 Prepayments and accrued income 139 10 156 436 3,230 659 -------------------------------- ------------- ------------ -------------
Other receivables at 30 June 2022 included GBP3,000,000 of committed subscriptions to the Company's placing of shares and Admission to AIM on 6 July 2022. The committed subscriptions were in the form of irrevocable placing letters held by the Company's Broker and Nominated Adviser.
10. Cash and cash equivalents
(Unaudited) (Unaudited) (Audited) 30 June 30 June 2023 2022 31 Dec 2022 GBP000 GBP000 GBP000 ---------------------------------- ------------- ------------ ------------- Cash at bank available on demand 24 22 1,166 24 22 1,166 ---------------------------------- ------------- ------------ -------------
11. Trade and other payables
(Unaudited) (Unaudited) (Audited) 30 June 30 June 2023 2022 31 Dec 2022 GBP000 GBP000 GBP000 ------------------------------------ ------------- ------------ ------------- Trade payables 515 513 665 Other payables 2 110 61 Accruals and deferred income 113 896 181 Other taxation and social security 152 64 95 ------------------------------------ ------------- ------------ ------------- 782 1,583 1,002 ------------------------------------ ------------- ------------ -------------
Trade payables and accruals and deferred income at 30 June 2022 included GBP984,000 of IPO costs paid after that date.
12. Convertible loan notes
(Unaudited) (Unaudited) (Audited) 30 June 30 June 2023 2022 31 Dec 2022 GBP000 GBP000 GBP000 ------------------------------- ------------- ------------ ------------- Amounts falling due within one year: Convertible loan notes - 1,699 - ------------------------------- ------------- ------------ ------------- - 1,699 - ------------------------------- ------------- ------------ -------------
On Admission to AIM on 6 July 2022, all outstanding convertible loans converted to equity with the Company issuing 2,716,550 ordinary shares to the providers of all convertible loans outstanding at 30 June 2022.
13. Borrowings
(Unaudited) (Unaudited) (Audited) 30 June 2023 30 June 2022 31 Dec 2022 GBP000 GBP000 GBP000 -------------- ------------- -------------- ------------- Current: Bank loans 7 7 7 Other loans 442 - - Non-current: Bank loans 15 22 19 464 29 26 -------------- ------------- -------------- -------------
Bank loans comprise a Coronavirus Bounce Back Loan Scheme loan provided by HSBC. The loan was taken out in May 2020 and matures five years after this date.
Other loans include GBP142,000 in relation to a supplier invoice finance facility announced on 31 March 2023 and originally drawn at GBP250,000 with final repayments on 31 October 2023, and GBP250,000 in relation to a trade finance facility announced on 5 June 2023 repayable in full on 30 October 2023.
14. Share capital
(Unaudited) (Unaudited) (Audited) 30 June 30 June 2023 2022 31 Dec 2022 GBP000 GBP000 GBP000 --------------------------------- ------------- ------------ ------------- Allotted, called up and fully paid Ordinary shares of GBP0.01 each 221 154 221 --------------------------------- ------------- ------------ ------------- 221 154 221 --------------------------------- ------------- ------------ -------------
Called up share capital
Called up share capital represents the nominal value of shares that have been issued.
All classes of shares have full voting, dividends, and capital distribution rights.
Further to the Period end, the Company issued 3,267,933 ordinary shares taking the number of shares in issue to 25,375,983 (see note 16).
15. Reserves
Share premium account
This represents the excess value recognised from the issue of ordinary shares above nominal value.
Share-based payment reserve
This represents the cumulative fair value of share options charged to the consolidated statement of comprehensive income net of the transfers to the profit and loss reserve on exercised and cancelled/lapsed options.
Retained earnings
This represents cumulative net gains and losses less distributions made.
16. Post balance sheet events
On 3 August 2023, the Company announced a proposed placing and share subscription at GBP0.37 per share to raise approximately GBP0.94 million and GBP0.14 million respectively, and up to GBP0.25 million through a retail offer.
The proposed placing was conducted in two tranches and resulted in the issue of 1,637,565 shares on 9 August 2023 and 936,900 on 22 August 2023, raising gross proceeds of GBP0.95 million. The share subscription resulted in the issue of 378,378 shares on 9 August 2023 raising gross proceeds of GBP0.14 million. The retail offer resulted in the issue of 315,090 shares on 25 August 2023 raising gross proceeds of GBP0.12 million.
In total 3,267,933 shares were issued through the placing, share subscription and retail offer, raising gross proceeds of GBP1.21 million and taking the number of shares in issue to 25,375,983. The costs of issue amounted to GBP0.13 million.
On 22 August 2023, a General Meeting of the Company was held in which the Directors obtained authority to allot certain of the placing and retail offer shares. In addition to this specific authority, the Board also obtained the approval of shareholders to give the Directors the additional general authority to freely allot up to 10% of the enlarged share capital.
17. Availability
Further copies of this interim announcement are available on the LifeSafe Holdings plc investor relations website, www.lifesafeholdingsplc.com .
- Ends -
This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy.
END
IR NKPBQPBKDBCB
(END) Dow Jones Newswires
September 26, 2023 02:05 ET (06:05 GMT)
1 Year Lifesafe Chart |
1 Month Lifesafe 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