Lon.Fin.&Inv.Grp. Unaudited Preliminary Results

 
TIDMLFI 
 
Please be advised that the following announcement was originally published at 
  10:14hrs today, but is being reissued to facilitate display on third party 
                vendor screens. All content remains unchanged. 
 
                         Thursday 28th September 2017 
 
                   LONDON FINANCE & INVESTMENT GROUP P.L.C. 
 
                   ("Lonfin", "the Company" or "the Group") 
 
        Unaudited Preliminary Results for the year ended 30th June 2017 
 
                             Dividend Declaration 
 
                              Directorate Change 
 
London Finance & Investment Group P.L.C. (LSE: LFI, JSE: LNF), the investment 
company `whose assets primarily consist of Strategic Investments and a General 
Portfolio, today announces its unaudited Preliminary Results for the year ended 
30th June 2017, The Board's Dividend Declaration and a Directorate Change. 
 
Strategy, Business Model and Investment Policy 
 
Lonfin is an investment company whose objective is to generate growth in 
shareholder value in real terms over the medium to long term whilst maintaining 
a progressive dividend policy. 
 
The Group's investment policy is to invest in a range of 'Strategic', 'General 
Portfolio' and from time to time 'Other Investments'.  General Portfolio 
Investments comprise liquid stock market investments, both in equity 
instruments and bonds, and, at the Board's discretion, 'Other Investments' are 
typically property and other physical assets. Strategic Investments are 
significant investments in smaller UK quoted companies and these are balanced 
by a General Portfolio, which consists of a broad range of investments in major 
USA, UK and other European companies which provides a diversified exposure to 
international equity markets. 
 
In pursuance of the Group's Investing Policy, the Group's net assets per share 
for 2017 increased by 7% over the previous year to 65.6p and net assets per 
share have increased 108% over the last five years. Shareholders' dividends for 
2017 have increased by 4.7% over the previous year and by 37.5% over the last 
five years. 
 
Results 
 
  * Net assets have increased over the year by 7% from 61.4p per share to 65.6p 
    per share 
  * Strategic Investments have decreased in value, over the year, by 14%, from 
    GBP12,417,000 to GBP10,673,000 due to the sale of part of our investment in 
    Finsbury Food Group Plc. 
  * Profit on sale of strategic investments - GBP1,861,700 (see below) 
  * Strategic investments are yielding 3.1% (2016 - 2.9%) 
  * The General Portfolio has increased, adjusting for investment purchases and 
    sales, over the year, by 51% from GBP7,125,000 to GBP10,766,000 
  * Fair value movement is GBP2,199,000 
  * No significant increase in Group operating costs 
  * A final dividend of 0.55 per share is recommended, making a total of 1.1p 
    per share for the year (2016 - 1.05p) 
 
Of the GBP1,861,700 realised profit arising on the sale of strategic investments, 
GBP217,000 has been recognised in the current year 'other comprehensive income'. 
The remaining profit has been recognised in prior years as net unrealised fair 
value gains and a transfer from unrealised to realised reserves has been made 
for this amount and is reflected in the Consolidated Statement of Changes in 
Shareholders Equity. 
 
In February this year, when we released our unaudited Interim Results, we 
announced that the Board had decided to early adopt IFRS 9 with effect from the 
Interim accounting period.  As a result, the comparative figures for the year 
ended 30th June 2016 in the Consolidated Statement of Total Comprehensive 
Income in these Accounts are restated.  Accordingly, the Company and its 
subsidiaries ("Group") achieved an operating profit for the year, before 
interest, tax and changes to the fair value adjustments of investments of GBP 
275,000, compared to a restated operating profit for the previous year, before 
tax and changes to the fair value adjustments of investments, of GBP239,000.  The 
Total Comprehensive Income for the year, comprising profit after tax and the 
other comprehensive income (the fair value adjustments, net of tax, of 
Strategic Investments) was GBP1,658,000 compared to GBP3,858,000 for the previous 
year.  Basic earnings per share are 3.5p (2016- restated earnings per share of 
5.4p) and headline earnings per share are 1.0p (2016 - restated headline 
earnings per share of 1.9p). 
 
Strategic Investments 
 
Strategic Investments have reduced in value by GBP1,744,000 being the net 
proceeds of investment disposals of GBP2,438,000 and a fair value uplift in the 
remaining portfolio of investments of GBP476,000.  The investment disposals gave 
rise to an historic cost profit of GBP1,862,000, of which GBP217,000 has been taken 
to the Consolidated Statement of Comprehensive Income in the year under review. 
 
Western Selection P.L.C. ("Western") 
 
The Group owns 7,860,515 ordinary shares, being 43.8%, of the issued share 
capital of Western. 
 
On 26th September 2017, Western announced unaudited preliminary results showing 
a profit after tax of GBP850,000 for the year to 30th June 2017 (2016 - profit 
after tax, of GBP64,000).  Earnings per share were 4.7p (2016 - earnings per 
share - 0.4p). 
 
Western paid an interim dividend of 1.1p in March this year and proposes a 
final dividend of 1.1p making 2.2p for the year (2016 - 2.1p).  Western's net 
assets at market value at 30th June 2017 were GBP17,125,000 equivalent to 95p per 
share, an increase of 20% from 79p last year. 
 
Our share of the net assets of Western, including the value of Western's 
investments at market value, was GBP7,500,000 (2016 - GBP6,227,000).  The fair 
value for Western recorded in the Statement of Financial Position is the market 
value of GBP3,773,000 (2016 - GBP3,537,000).  This represents 18% (2016 - 26%) of 
the net assets of the group. 
 
Western's objective is to generate growth in value for shareholders over the 
medium to long term and pay a progressive dividend.  Western's business model 
is to take sizeable minority stakes in relatively small companies usually 
before or as their shares are admitted to trading on one of the UK's stock 
exchanges and have directors in common through which they can provide advice 
and support for these growing companies. 
 
These may or may not become associated companies. The aim is that these 
companies ("Core Holdings") will grow to a stage at which Western's support is 
no longer required and its stake can be sold over time into the relevant stock 
market.  Companies that are targeted as Core Holdings will have an experienced 
management team, a credible business model and good prospects for growth. 
 
Western is a strategic investment which is technically a subsidiary of the 
Company that has not been consolidated due to the application of the investment 
entity exemption under IFRS 10. 
 
David Marshall is the Chairman of Western and. Michael Robotham and Edward 
Beale are non-executive directors. Western's main Core Holdings are Northbridge 
Industrial Services Plc, Swallowfield Plc, Bilby Plc and Tudor Rose 
International Limited. 
 
An extract from Western's announcement relating to its main Core Holdings is 
set out below: 
 
Core Holdings 
 
Northbridge Industrial Services plc ("Northbridge") 
 
Northbridge hires and sells specialist industrial equipment to a non-cyclical 
customer base.  With offices or agents in the UK, USA, Dubai, Germany, Belgium, 
France, Australia, New Zealand, Singapore, Brazil, Korea and Azerbaijan, 
Northbridge has a global customer base.  This includes utility companies, the 
oil and gas sector, shipping, construction and the public sector. The product 
range includes loadbanks, transformers and oil tools.  Further information 
about Northbridge is available on their website: www.northbridgegroup.co.uk 
 
Northbridge, which is admitted to trading on AIM, announced its results for the 
year ended 31st December 2016 on 25th April 2017 and recorded a loss after tax 
of GBP6,298,000 for the year.  No dividend was recommended by Northbridge and no 
dividends were received by Western from Northbridge during the year. 
 
Western holds 3,223,632 Northbridge shares which represents approximately12.45% 
of Northbridge's issued share capital.  The value of this investment at 30th 
June 2017 was GBP3,320,000 (2016 - GBP2,772,000) which represents approximately 19% 
(2016 - 19%) of Western's net assets. 
 
David Marshall is a non-executive director of Northbridge. 
 
Swallowfield plc ("Swallowfield") 
 
Swallowfield is a market leader in the development, formulation, manufacture 
and supply of cosmetics, toiletries and related household products for global 
brands and retailers operating in the cosmetics, personal care and household 
goods market.  Further information about Swallowfield is available on their 
website:  www.swallowfield.com 
 
Swallowfield, which is admitted to trading on AIM, announced its annual results 
for the 52 weeks ended 24th June 2017 on 19th September 2017 and recorded a 
profit after tax of GBP2,572,000 compared to a profit after tax of GBP2,001,000 for 
the comparable period last year.  Dividends of GBP66,900 were received from 
Swallowfield during the year (2016 - GBP52,000).  A final dividend of 3.5p per 
share has been declared and, if approved, Western will receive a further GBP 
52,500 of income in December 2017. 
 
Western sold 500,000 Swallowfield shares, realising a profit of GBP845,000, 
during the year. At the reporting date, being 30th June 2017, Western held 
1,500,000 shares which was 8.90% of Swallowfield's issued share capital.  The 
market value of our reduced holding in Swallowfield on 30th June 2017 had 
increased to GBP5,700,000 from the value of our holding at 30th June 2016 of GBP 
3,400,000. The value of this investment represents approximately 33% (2016 - 
24%) of Western's net assets. 
 
Edward Beale is a non-executive director of Swallowfield. 
 
Bilby Plc ("Bilby") 
 
Bilby is an established, and award winning, provider of gas installation, 

maintenance and general building services to local authority and housing 
associations across London and South East England.  They have a strategy of 
growing organically and by acquisition.  Further information about Bilby is 
available on their website: www.bilbyplc.com. 
 
During the year Western invested GBP190,000 in acquiring 362,912 shares in 
Bilby.  Western now holds 2,699,280 Bilby shares which represents approximately 
6.8% of Bilby's issued share capital. The market value of this investment on 
30th June 2017 was GBP1,917,000 which represents approximately 11% of Western's 
net assets. 
 
Bilby, which is admitted to trading on AIM, announced its results for the year 
ended 31st March 2017 on 26th June 2017 showing a profit before tax and 
non-underlying items of GBP64,000 compared to a restated profit before tax and 
non-underlying items of GBP718,000 for the 14 month period ended 31st March 
2016.  Dividends of GBP53,000 were received from Bilby during the year (2016 - GBP 
58,000).  Bilby announced a final dividend of 1.5p per share which was paid in 
July 2017 and which provided Western with further income of GBP40,500. 
 
Tudor Rose International Limited (previously Hartim Limited)("Tudor Rose 
International") 
 
   Tudor Rose International works closely with a number of leading UK branded 
fast-moving consumer goods companies, offering a complete sales, marketing and 
logistical service.  Based in Stroud, Gloucestershire, Tudor Rose International 
sells into 78 countries worldwide including USA, Spain, Portugal, Italy, Czech 
Republic, Russia, Turkey, South Africa, Saudi Arabia, UAE, Malaysia, Australia 
and China. 
 
Western holds 441,090 A ordinary shares in Tudor Rose International which 
represents 49.5% of the issued ordinary shares in Tudor Rose International.  In 
February 2017, Western subscribed for GBP1,000,000 redeemable preference shares 
in Tudor Rose International at a par value of 1p per share. These shares were 
subscribed for by converting Western's previous loan to Tudor Rose 
International of GBP500,000 and paying a further GBP500,000.  Subsequent to the 
year end, the Company has made available to Tudor Rose International a working 
capital facility of GBP500,000 bearing interest at the rate of 6% per annum and 
which has been fully draw down. 
 
Tudor Rose International, which is a private company, has a 31st December year 
end, generated trading profits before tax in the year to 30th June 2017 of GBP 
63,100. Turnover in the period was GBP17,145,000 (2016 - GBP18,542,000).  Western's 
share of a profit after tax for the twelve months to 30th June 2017 was GBP49,550 
(2016 - GBP35,000) and the fair value of the investment at 30th June 2017 was GBP 
1,647,000 (2016 - GBP1,290,000) being 10% (2016 - 9 %) of Western's net assets. 
 
Western has two nominees on the board of Tudor Rose International: Edward Beale 
and David Marshall. 
 
Finsbury Food Group plc ("Finsbury") 
 
Finsbury is one of the largest producers and suppliers of premium cakes, bread 
and morning goods in the UK and currently supplies most of the UK's major 
supermarket chains.  Further information about Finsbury, which is admitted to 
trading on AIM, is available on its website: www.finsburyfoods.co.uk 
 
During the year, Lonfin disposed of 2,000,000 shares in Finsbury for GBP 
2,438,000, realising an historic cost profit of GBP1,861,700. At 30th June 2017, 
Lonfin held 6,000,000 Finsbury shares, representing approximately 4.6% of 
Finsbury's issued share capital.  The market value of the holding was GBP 
6,900,000 as at 30th June 2017 (cost - GBP1,724,000) and represents approximately 
34% (2016 - 46%) of Lonfin's net assets. 
 
On 18th September 2017, Finsbury announced audited profits on continuing 
operations after tax and minority interests of GBP12,958,000 for the 52 weeks 
ended 1st July 2017 (2016 - GBP12,754,000). 
 
Finsbury paid an interim dividend of 1.0p and has recommended to its 
shareholders a final dividend of 2.0p per share, making 3.0p for the year (2016 
- 2.8p). The final dividend, if approved, will be paid in December and will 
provide the Company with further income of GBP120,000. 
 
Edward Beale was a non-executive director of Finsbury up until 23rd November 
2016. 
 
General Portfolio 
 
The investments comprising the General Portfolio at 30th June 2017 are listed 
below. 
 
Composition of General Portfolio 
 
At 30th June 2017 
 
                                             GBP000                    % 
 
British American Tobacco                      513                  4.8 
 
Investor                                      503                  4.7 
 
Phillip Morris International                  460                  4.3 
Inc 
 
Schindler                                     459                  4.3 
 
Henkel                                        437                  4.1 
 
Unilever                                      419                  3.9 
 
Nestle                                        405                  3.8 
 
Heineken  Holding                             404                  3.6 
 
HSBC Holding                                  391                  3.6 
 
Diageo                                        386                  3.6 
 
LVMH Moet Hennessey                           383                  3.6 
 
Reckitt Benckiser Group                       381                  3.5 
 
Pernod Ricard                                 356                  3.3 
 
3M Co                                         353                  3.3 
 
Danone                                        347                  3.2 
 
Kimberley Clark Corp                          338                  3.1 
 
L'Oreal                                       338                  3.1 
 
ABB Zurich                                    338                  3.1 
 
Linde                                         335                  3.1 
 
Givaudan                                      324                  3.0 
 
United Technologies Corp                      319                  3.0 
 
Anheuser Busch Inbev                          317                  2.9 
 
Chevron Corp                                  313                  2.9 
 
Exxon Mobil Corp                              311                  2.9 
 
Brown Forman (B)                              308                  2.9 
 
Imperial Brands                               307                  2.9 
 
Procter & Gamble Co                           303                  2.8 
 
BASF                                          299                  2.8 
 
Becton Dickinson & Co                         210                  2.0 
 
Compagnie Financiere Richemont 
                                              209                  1.9 
 
 
                                           10,766                100.0 
 
Analysis by currency                                                 % 
                                             GBP000 
 
Euro                                        3,215                 29.8 
 
Sterling                                    2,398                 22.3 
 
US Dollar                                   2,915                 27.1 
 
Swiss Franc                                 1,735                 16.1 
 
Swedish Kroner                                503                  4.7 
 
 
                                           10,766                100.0 
 
The portfolio is diverse with material interests in Food and Beverages, Natural 
Resources, Chemicals and Tobacco.  We believe that the portfolio of quality 
companies we hold has the potential to outperform the market in the medium to 
long term. 
 
At 30th June 2017, the number of holdings in the General Portfolio was 30 (2016 
- 26). We have increased the amount invested in the General Portfolio over the 
year by GBP2,767,000 (2016 - decreased by GBP20,000). 
 
The opening value of our General Portfolio investments at 30th June 2016 was GBP 
7,124,863 which compared with a cost of such investments at the same date of GBP 
3,285,706.  After investment purchases (including purchase costs) during the 
year of GBP2,854,593 and investment sales (including selling expenses) during the 
same period of GBP206,560, the value of the General Portfolio investments as at 
30th June 2017 had increased by 51% to GBP10,765,695. 
 
Directorate Change 
 
Michael Robotham, a non-executive director, will be retiring from the Board of 
Lonfin at the Company's forthcoming Annual General Meeting ("AGM") to be held 
on 5th December 2017. 
 
For itself and on behalf of the shareholders, the Board would like to thank 
Michael for his considerable dedication and service to the Company. 
 
Notwithstanding the loss to the Board of Lloyd Marshall, who passed away last 
November, and Michael Robotham, after he has retired at the AGM, the Board is 
satisfied that it has, for the time being, a sufficient spread of skills, 
experience and support to operate the Company. 
 
Operations and Employees 
 
All of our operations and those of Western, except investment selection, are 
outsourced to our subsidiary, City Group PLC ("City Group"). City Group also 
provides office accommodation, company secretarial and head office finance 
services to a number of other companies.  City Group has responsibility for the 
initial identification and appraisal of potential new strategic investments for 
the Company and the day to day monitoring of existing strategic investments and 
employs 8 people. 
 
Significant Events since the end of the financial year 
 
On 30th August 2017, a new relationship agreement between the Company and 
Coutts & Co was signed in relation to the Company's existing credit revolving 
facility. This extended the available facilities to 30th September 2022 and set 
an interest rate of 2.75% per annum above the bank's base rate (3% as at 30th 
August 2017). 
 
On 20th September 2017, Western made available to Tudor Rose International a 
working capital facility of GBP500,000 bearing interest at a rate of 6% per annum 
which has been fully drawn down. 
 
Dividend 
 
The Board recommends a final dividend of 0.55p per share, making a total of 

1.1p per ordinary share for the year (2016 - 1.05p).  Subject to shareholders' 
approval at the Company's AGM to be held on 5th December 2017, the dividend 
will be paid on 15th December 2017 to those shareholders on the register at the 
close of business on 24th November 2017.  Shareholders on the South African 
register will receive their dividend in South African rand converted from 
sterling at the closing rate of exchange on 19th  September 2017 being GBP1= 
ZAR 18.0089. 
 
In respect of the normal gross cash dividend, and in terms of the South African 
Tax Act, the following dividend tax ruling only applies to those shareholders 
who are registered on the South African register on Friday 15th September 
2017.  All other shareholders are exempt. 
 
  * The number of shares in issue now and as at the dividend declaration date 
    is 31,207,479; 
  * The dividend has been declared from income reserves, which funds are 
    sourced from the Company's main bank account in London and is regarded as a 
    foreign dividend by South African shareholders; and 
  * The Company's UK Income Tax reference number is 948/L32120. 
 
Dividend dates: 
 
Last date to trade (SA)     Tuesday, 21st November 2017 
 
Shares trade ex-dividend    Wednesday, 22nd November 2017 
(SA) 
 
Shares trade ex-dividend    Thursday, 23rd November 2017 
(UK) 
 
Record date (UK and SA)     Friday, 24th November 2017 
 
Pay date                    Friday, 15th December 2017 
 
The JSE Listings Requirements require disclosure of additional information in 
relation to any dividend payments. 
 
Shareholders registered on the South African register are advised that the 
dividend withholding tax will be withheld from the gross final dividend amount 
of 9.90489 SA cents per share at a rate of 20% unless a shareholder qualifies 
for an exemption; shareholders registered on the South African register who do 
not qualify for an exemption will therefore receive a net dividend of 7.92392 
SA cents per share.  The dividend withholding tax and the information contained 
in this paragraph is only of direct application to shareholders registered on 
the South African register, who should direct any questions about the 
application of the dividend withholding tax to Computershare Investor Services 
(Pty) Limited, Tel: [phone]. 
 
Share certificates may not be de-materialised or re-materialised between 
Wednesday, 22nd November 2017 and Friday, 24th November 2017, both days 
inclusive.  Shares may not be transferred between the registers in London and 
South Africa during this period either. 
 
Outlook 
 
We believe our mix of Strategic Investments and a General Portfolio gives us 
every chance of outperforming the broader market in the medium to long term 
notwithstanding any short term volatility in markets, currencies and 
commodities. 
 
Future Developments 
 
The future development of the Group is dependent on the success of the Group's 
Investment Strategy in the light of economic and equity market developments and 
the continued support of its Shareholders. The Board will maintain the current 
Investment Policy for the foreseeable future and has no plans to change the 
policy. 
 
28th September 2017 
 
The annual report and accounts will be finalised shortly and sent to 
shareholders. 
 
This announcement contains inside information for the purposes of Article 7 of 
EU Regulation 596/2014. 
 
The directors of the Company accept responsibility for the contents of this 
announcement. 
 
For further information, please contact: 
 
London Finance & Investment Group P.L.C.:              020 7796 9060 
 
(David Marshall/Edward Beale) 
 
Johannesburg Sponsor: 
 
Sasfin Capital (a division of Sasfin Bank Limited) 
 
Consolidated Statement of Total Comprehensive Income 
 
For the year ended 30th June 
 
 
 
                                                                         Restated 
 
Operating Income                                                  2017       2016 
 
                                                                  GBP000       GBP000 
 
Dividends received                                                 608        550 
 
Rental and other income                                            109         82 
 
Profits on sales of investments                                      3          4 
 
Management service fees                                            296        252 
 
                                                                 1,016        888 
 
Administrative expenses 
 
Investment operations                                            (352)      (346) 
 
Management services                                             (389)       (303) 
 
Total administrative expenses                                    (741)      (649) 
 
Operating profit                                                   275        239 
 
Unrealised changes in the carrying value of General                989      1,379 
Portfolio investments 
 
Interest payable                                                  (33)       (16) 
 
Profit before taxation                                           1,231      1,602 
 
Tax expense                                                      (121)        106 
 
Profit after taxation                                            1,110      1,708 
 
Non-controlling interest                                           (7)       (15) 
 
Profit attributable to shareholders                              1,103      1,693 
 
Other comprehensive income/(expense) 
 
Unrealised changes in the carrying value of Strategic              477      2,323 
investments 
 
Profit on sale of investments                                     217         385 
 
Other taxation - 
 
     Deferred tax                                                   99      (543) 
 
     Corporation tax                                             (238)          - 
 
Total Other Comprehensive Income                                   555      2,165 
 
Total Comprehensive Income attributable to owners of             1,658      3,858 
the parent 
 
Reconciliation of headline earnings 
 
Basic and diluted earnings per share                              3.5p       5.4p 
 
Adjustment for the unrealised changes in the carrying 
value of investments, net of tax                                (2.5)p     (3.5)p 
 
Headline earnings per share                                       1.0p 
                                                                          1.9p 
 
 
Consolidated Statement of Financial Position 
 
At 30th June 
 
                                                               2017           2016 
 
                                                               GBP000           GBP000 
 
Non-current Assets 
 
Property, Plant and Equipment                                    14             22 
 
Investments                                                  10,673         12,417 
 
 
                                                             10,687         12,439 
 
Current Assets 
 
Listed investments                                           10,766          7,125 
 
Trade and other receivables                                     220            272 
 
Cash at bank                                                    222            588 
 
 
                                                             11,208          7,985 
 
Current Liabilities 
 
Trade and other payables after tax 
                                                              (486)          (316) 
 
Net Current Assets                                           10,722          7,669 
 
 
 
 
Deferred Taxation 
                                                              (829)          (850) 
 
Total Assets less Current Liabilities 
                                                             20,580         19,258 
 
Capital and Reserves 
 
Called up share capital                                       1,560          1,560 
 
Share premium account                                         2,320          2,320 
 
Unrealised profits and losses on investments                  8,265          8,539 
 
Share of retained realised profits and losses                 3,794          1,821 
of subsidiaries 
 
Company's retained realised profits and losses 
                                                              4,544          4,928 
 
Capital and reserves attributable to owners                  20,483         19,168 
 
Non-controlling equity interests                                 97             90 
 
Total Capital and Reserves 
                                                             20,580         19,258 
 
 
Company Statement of Financial Position 
 
At 30th June 
 
                                                               2017           2016 
 
                                                               GBP000           GBP000 
 
Non-current Assets 
 
Investments in Group companies 
                                                              1,071          3,847 
 
Current Assets 
 
Listed investments                                           10,766          7,125 
 
Trade and other receivables                                      26             27 
 
Cash and cash equivalents 
                                                                101            451 
 
 
                                                             10,893          7,603 
 
Current Liabilities 
 
Trade and other payables: falling due within 
the year                                                      (117)           (93) 
 
Net Current Assets                                           10,776          7,510 
 
Deferred Taxation                                             (408)          (330) 
 
Total Assets less Current Liabilities 
                                                             11,439         11,027 
 
Capital and Reserves 
 
Called up share capital                                       1,560          1,560 
 
Share premium account                                         2,320          2,320 
 
Unrealised profits and losses on investments                  3,015          2,219 
 

                                                              6,895          6,099 
 
Realised Profit and Loss 
 
Balance at 1st July                                           4,928          5,412 
 
Net Loss for the period                                        (41)          (172) 
 
Dividends paid                                                (343)          (312) 
 
Balance at 30th June                                          4,544          4,928 
 
Equity shareholders' funds                                   11,439         11,027 
 
 
 
 
 
 
. 
Registered in England and Wales - Number 201151 
 
Consolidated Statement of Cash Flows 
 
For the year ended 30th June 
 
                                                                          Restated 
 
                                                               2017           2016 
 
                                                               GBP000           GBP000 
 
Cash flows from operating activities 
 
Profit before tax                                             1,231          1,602 
 
Adjustments for non-cash - 
 
Finance expense                                                  33             16 
 
Depreciation charges                                              8              9 
 
Unrealised changes in the fair value of                       (989)        (1,379) 
investments 
 
Decrease/(Increase)in trade and other                            52           (55) 
receivables 
 
(Decrease)/Increase in trade and other payables                (66)             96 
 
Overseas Taxes paid                                            (45)           (28) 
 
Net cash inflow from operating activities                       224            261 
 
Cash flows from investment activity 
 
(Increase)/Decrease in current asset                        (2,652)             56 
investments 
 
Disposal of investment                                        2,438          1,984 
 
Net cash inflow/(outflow) from investment                     (214)          2,040 
activity 
 
Cash flows from financing 
 
Interest paid                                                  (33)           (16) 
 
Equity dividends paid                                         (343)          (312) 
 
Net drawdown/(repayment) of loan facilities                       -        (1,500) 
 
Net cash outflow from financing                               (376)        (1,828) 
 
(Decrease)/Increase in cash and cash                          (366)            473 
equivalents 
 
Cash and cash equivalents at the beginning of                   588            115 
the year 
 
Cash and cash equivalents at end of the year                    222            588 
 
 
Consolidated Statement of Changes in Shareholders' Equity 
 
                      Ordinary    Share    Restated      Restated        Restated Restated Non-Controlling   Total 
                         Share  Premium  Unrealised      Share of        Retained    Total       Interests  Equity 
                       Capital  Account  Profits on Undistributed RealisedProfits 
                                        Investments    Results of      &   Losses 
                                                     Subsidiaries 
 
                          GBP000     GBP000        GBP000          GBP000            GBP000     GBP000            GBP000    GBP000 
 
Year ended 30th June 
2016 
 
Balances at 1st July 
2015                     1,560    2,320       6,304            26           5,412   15,622              75  15,697 
 
Profit for the Year          -        -       1,180           685           (172)    1,693              15   1,708 
 
Other Comprehensive          -        -       1,055         1,110               -    2,165               -   2,165 
Income/(Expense) 
 
Total comprehensive 
income                -               -       2,235         1,795           (172)    3,858              15   3,873 
 
Dividends paid and           -        -           -             -           (312)    (312)               -   (312) 
total transactions 
with shareholders 
 
Balances at 30th June 
2016                     1,560    2,320       8,539         1,821           4,928   19,168              90  19,258 
 
 
 
Year ended 30th June 
2017 
 
Balances at 1st July 
2016                     1,560    2,320      8,539       1,821    4,928    19,168        90  19,258 
 
Profit for the Year          -        -        913         231     (41)     1,103         7   1,110 
 
Other Comprehensive          -        -    (1,187)       1,742        -       555         -     555 
Income/(Expense) 
 
Total comprehensive 
income                       -        -      (274)       1,973     (41)     1,658         7   1,665 
 
Dividends paid and           -        -          -           -    (343)     (343)         -   (343) 
total transactions 
with shareholders 
 
Balances at 30th June 
2017                     1,560    2,320      8,265       3,794    4,544    20,483        97  20,580 
 
Notes: 
 
1.       Basic earnings per share and Headline earnings per share 
 
Basic earnings per share, based on the profit attributable to the shareholders 
after tax and non-controlling interests of GBP1,103,000 (2016 restated - GBP 
1,693,000) and on 31,207,479 shares (2016 - 31,207,479) being the weighted 
average of the number of shares in issue during the year. 
             Headline earnings are required to be disclosed by the JSE. 
 
Headline earnings per share are based on the profit attributable to the 
shareholders after tax and  non-controlling interests, before unrealised 
changes in the fair value of investments net of tax, of GBP309,000 (2016 - GBP 
589,000) and on 31,207,479 (2016 - 31,207,479) shares being the weighted 
average of the number of shares in issue during the year. 
 
The adjustments for the unrealised changes in the carrying value of 
investments, net of tax of GBP(794,000) and 2016 restated GBP(1,104,000) 
 
2.        Net assets per share 
 
The net assets per share are calculated taking investments at fair value and on 
31,207,479 shares (2016 - 31,207,479) being the weighted average of the number 
of shares in issue during the year. 
 
3.       The financial information in this preliminary announcement of audited 
group results does not constitute the company's statutory accounts for the 
years ended 30th June 2017 or 30th June 2016 but is derived from those 
accounts.  The accounts have been prepared in accordance with International 
Financial Reporting Standards (IFRS) as adopted by the European Union and with 
those parts of the Companies Act 2006 applicable to companies reporting under 
IFRS.  The accounts are prepared on the historical cost bases, except for 
certain assets and liabilities which are measured at fair value, in accordance 
with IFRS and comply with IAS 34.  The audited accounts for the group for the 
year ended 30th June 2016 were reported on with an unqualified audit report and 
have been delivered to the Registrar of Companies. 
 
Copies of this notification are held at the Company's office, 6 Middle Street, 
London, EC1A 7JA (tel. [phone]) and are available for a period of 14 days 
from the date of this announcement. 
 
 
 
END 
 

(END) Dow Jones Newswires

September 28, 2017 06:37 ET (10:37 GMT)