TruSpine Technologies PLC Half-year Report

RNS Number : 1952R

TruSpine Technologies PLC

24 December 2024

 

 

TRUSPINE TECHNOLOGIES PLC

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

 

Interim Results - for the six months ended 30 September 2024

 

CHAIRMAN'S REPORT

During the period under review and the period to date the Company is pleased to have made progress on three fronts namely:-

 

-      the FDA submission is progressing and the Company is hoping for more substantive news in 2025.

-      Following a turbulent year, the Company looks forward to a more constructive future, as it works towards commercialisation of its IP.

-      Financing: the Company remains in pre-revenue stage and is in detailed discussions with various parties to agree a substantial fundraise in 2025.

 

The Company continues to be in a pre-revenue development phase and remains loss-making.  The loss before taxation for the six months to 30 September 2024 was £410k (2023: £363k) after administrative expenses of £410k (2023: £348k). As in the previous year, there was very little development spend for the six months to 30 September 2024. Consolidated net assets as at 30 September 2024 amounted to £2.33 million (2023: £2.46 million) including a bank balance of £51k as at 30 September 2024 (2023 bank overdraft of £9k).

 

As previously notified, the Company's working capital position remains weak given the lack of revenue generating operations, however the Company is prudently managing its limited working capital position. The Company is reviewing equity and debt financing options available to it and the Directors expect a successful resolution in securing adequate funding to meet the Company's working capital requirements in the near-term.

 

This announcement contains inside information for the purposes of the UK Market Abuse Regulation and the Directors of the Company are responsible for the release of this announcement.

 

Enquiries:

 

TruSpine Investor Hub	https://investorhub.truspinetech.com
TruSpine Technologies Plc	Tel: [phone]
Geoff Miller, Non-executive Chairman
Cairn Financial Advisers LLP (AQSE Corporate Adviser)	Tel: [phone]
Liam Murray / Ludovico Lazzaretti
Peterhouse Capital Limited (Broker & Financial Adviser)	Tel: [phone]
Lucy Williams / Duncan Vasey
Novus Communications (PR and IR)	Tel: [phone]
Alan Green / Jacqueline Briscoe	[e-mail]

 

 

Caution regarding forward looking statements

 

Certain statements in this announcement, are, or may be deemed to be, forward looking statements. Forward looking statements are identified by their use of terms and phrases such as ''believe'', ''could'', "should" ''envisage'', ''estimate'', ''intend'', ''may'', ''plan'', ''potentially'', "expect", ''will'' or the negative of those, variations or comparable expressions, including references to assumptions. These forward-looking statements are not based on historical facts but rather on the Directors' current expectations and assumptions regarding the Company's future growth, results of operations, performance, future capital and other expenditures (including the amount, nature and sources of funding thereof), competitive advantages, business prospects and opportunities. Such forward looking statements reflect the Directors' current beliefs and assumptions and are based on information currently available to the Directors.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

GROUP UNAUDITED INTERIM RESULTS FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2024

GROUP STATEMENT OF COMPREHENSIVE INCOME

 

		6 month period ended 30 September 2024 (Unaudited)	6 month period ended 30 September 2023 (Unaudited)	Year ended 29 March 2024 (Audited)
	Note
		£	£	£
Administrative expenses		(409,530)	(348,300)	(656,406)
Operating loss		(409,530)	(348,300)	(656,406)
Finance expense		(538)	(14,533)	(45,288)
Finance income		442	-	-
Loss before tax		(409,626)	(362,833)	(701,694)
Tax credit	3	-	-	141,186
(Loss)/Profit		(409,626)	(362,833)	(560,508)
Loss attributable to:
Owners of the parent		(409,626)	(362,833)	(560,508)
Other comprehensive income:
Items that will or may be reclassified to profit or loss:
Exchange translation differences on foreign operations		(6,854)	1,304	3,241
Total comprehensive loss		(416,480)	(361,529)	(563,749)
Total comprehensive loss attributable to equity shareholders		(416,480)	(362,529)	(563,749)
Earnings per share basic and diluted (pence)	4	(0.28)p	(0.31)p	(0.47)p

 

 

All results in the current and preceding financial period derive from continuing operations.

 

 

 

 

 

GROUP STATEMENT OF FINANCIAL POSITION

 

		30 September 2024 (Unaudited)	30 September 2023 (Unaudited)	29 March 2024 (Audited)
	Note	£	£	£
Non-current assets
Tangible fixed assets		1,388	2,496	1,906
Intangible assets		3,566,469	3,460,301	3,568,216
		3,567,857	3,462,797	3,570,122
Current assets
Trade and other receivables		28,217	25,228	193,941
Cash and cash equivalents		50,823	(8,640)	124,646
		79,040	16,588	318,587
Total assets		3,646,897	3,479,385	3,888,710
Current liabilities
Trade and other payables		1,083,621	749,537	904,799
Borrowings		43,450	68,635	297,605
		1,127,071	818,172	1,202,404
Non-current liabilities
Lease liabilities		-	-	-
Borrowings		186,573	200,000	136,573
		186,573	200,000	136,573
Total liabilities		1,313,644	1,018,172	1,338,977
Net Assets		2,333,253	2,461,213	2,549,733
Equity attributable to owners of the parent
Share capital	5	15,267	11,995	13,933
Share premium		5,031,520	4,571,264	4,846,460
Share based payment reserve		112,247	85,035	98,641
Other reserves	5	(205,000)	(205,000)	(205,000)
Translation reserve		(30,881)	(19,482)	(24,027)
Retained earnings		(2,589,900)	(1,982,599)	(2,180,274)
Total equity attributable to owners of the parent		2,333,253	2,461,213	2,549,733
Total Equity		2,333,253	2,461,213	2,549,733

 

 

 

 

 

 

GROUP STATEMENT OF CHANGES IN EQUITY

 

 

	Share capital	Share premium	Share based payment reserve	Other reserves	Translation reserve	Retained earnings	Total
	£	£	£	£	£	£	£
Balance as at 29 March 2023	11,795	4,535,069	71,430	(205,000)	(20,786)	(1,619,766)	2,772,742
Loss for the six months	-	-	-	-	-	(362,833)	(362,833)
Other comprehensive gain	-	-		-	1,304	-	1,304
Total comprehensive loss for the period	-	-	-	-	1,304	(362,834)	(361,529)
Issue of shares, net of issue costs	200	49,800	-	-	-	-	50,000
Share based payment charge	-	(13,605)	13,605	-	-	-	-
Transactions with owners, recognised directly in equity	200	36,195	13,605	-	-	-	50,000
Balance as at 30 September 2023	11,995	4,571,264	85,035	(205,000)	(19,482)	(1,982,599)	2,461,213
Balance as at 29 March 2024	13,933	4,846,460	98,641	(205,000)	(24,027)	(2,180,274)	2,549,733
Loss for the six months	-	-	-	-	-	(409,626)	(409,626)
Other comprehensive gain	-	-		-	(6,854)	-	(6,854)
Total comprehensive loss for the period	-	-	-	-	(6,854)	(409,626)	(416,480)
Issue of shares, net of issue costs	1,334	198,666	-	-	-	-	200,000
Share based payment charge	-	(13,606)	13,606	-	-	-	-
Transactions with owners, recognised directly in equity	1,334	185,060	13,606	-	-	-	200,000
Balance as at 30 September 2024	15,267	5,031,520	112,247	(205,000)	(30,881)	(2,589,900)	2,333,253

 

 

 

 

 

CONSOLIDATED STATEMENT OF CASH FLOWS

 

		6 month period ended 30 September 2024 (Unaudited)	6 month period ended 30 September 2023 (Unaudited)	Year ended 29 March 2024 (Audited)
		£	£	£
Cash flow from operating activities
Loss before tax		(409,626)	(362,833)	(701,694)
Depreciation and amortisation		518	828	1,418
Decrease/(Increase) in other receivables		165,725	190,011	21,298
Increase in other payables		178,822	91,769	247,030
Cash used in operations		(64,561)	(80,225)	(431,948)
Income tax credit		-	-	141,186
Net cash flows from operating activities		(64,561)	(80,225)	(290,762)
Investing activities
Purchase of tangible assets		-	-	-
Purchase of intangible assets		(5,223)	926	(106,989)
Net cash used in investing activities		(5,223)	926	(106,989)
Financing activities
Proceeds from Issue of shares, net of issue costs		200,000	50,000	340,740
Proceeds from loan finance				187,073
Repayments of loans		(200,000)		(26,451)
Lease payments		-	-	-
Increase/(Decrease) in borrowings		(4,155)	(4,921)	-
Net cash flow from financing		(4,155)	45,079	501,362
(Decrease)/Increase in cash and cash equivalents in the period		(73,939)	(34,220)	103,611
Cash and cash equivalents at the beginning of the period		124,646	24,276	24,276
Exchange rate differences on cash and cash equivalents		116	1,304	(3,241)
Cash and cash equivalents at the end of the period		50,823	(8,640)	124,646

 

 

NOTES TO THE FINANCIAL INFORMATION

 

1.               GENERAL INFORMATION

 

This financial information is for TruSpine Technologies Plc and its subsidiary undertakings. The principal activity of TruSpine Technologies Plc and its subsidiaries (together the "Group") is the development of products for the spinal fusion market. The Company is a public limited company and was listed on the Aquis Stock Exchange on 20 August 2020. The Company is incorporated and domiciled in England and the address of its registered office is located at Spectrum House AF33, Beehive Ring Road, Gatwick Airport, Gatwick, RH6 0LG, United Kingdom.

 

2.               BASIS OF PREPARATION

 

The interim consolidated financial information has been prepared with regard to International Financial Reporting Standards (IFRS) and interpretations adopted by the European Union and as applied in accordance with the provisions of the Companies Act 2006. The interim financial information incorporates the results for the group for the six month period from 30 March 2024 to 30 September 2024. The results for the year ended 29 March 2024 have been extracted from the statutory financial statements for the Company for the year ended 29 March 2024. The financial information set out in these interim consolidated financial information does not constitute statutory accounts as defined in S434 of the Companies Act 2006. They do not include all of the information required for full annual financial statements, and should be read in conjunction with the consolidated financial statements of the Group for the year ended 29 March 2024, which contained an unqualified audit report and have been filed with the Registrar of Companies. They did not contain statements under S498 of the Companies Act 2006.

 

The same accounting policies, presentation and methods of computation have been followed in these unaudited interim financial statements as those which were applied in the preparation of the Group's annual financial statements for the year ended 29 March 2024.

 

The interim consolidated financial information incorporates the financial statements of TruSpine Technologies Plc and its subsidiaries.

 

The interim financial information for the six months ended 30 September 2024 was approved by the directors on 23 December 2024.

 

3.               TAXATION

 

                   Tax recognised in profit or loss

		6 month period ended 30 September 2024 (Unaudited)	6 month period ended 30 September 2023 (Unaudited)	Year ended 29 March 2024 (Audited)
		£	£	£
Current tax credit		-	-	141,186
Deferred tax		-	-	-
Net tax credit		-	-	141,186
Loss before tax		(409,626)	(362,833)	(701,694)
Standard rate of UK corporation tax		19%	19%	19%
Loss on ordinary activities before tax multiplied by standard rate UK corporation tax		(77,829)	(68,938)	(133,322)
Tax adjustment		-	-	-
Unrelieved tax losses carried forward		77,829	68,938	133,322
UK research and development tax credit		-	-	141,186
Tax credit		-	-	141,186

 

At 30 September 2024, the Group are carrying forward estimated tax losses of £2.6m in respect of various activities over the years. The Company did not recognise a deferred income tax credit due to uncertainty concerning the timescale of its recoverability.

 

4.               LOSS PER ORDINARY SHARE

 

Basic earnings per share is calculated by dividing the loss attributable to equity holders of the Company by the weighted average number of ordinary shares in issue during the year, excluding ordinary shares purchased by the Company and held as treasury shares.

		6 month period ended 30 September 2024 (Unaudited)	6 month period ended 30 September 2023 (Unaudited)	Year Ended 29 March 2024 (Audited)
		£	£	£
(Loss) attributable to equity holders of the Company		(409,626)	(362,833)	(560,508)
Weighted average number of ordinary shares in issue		147,694,567	118,809,166	120,346,774
Loss per share basic and diluted (pence)		(0.28)p	(0.31)p	(0.47)

 

5.            SHARE CAPITAL

 

					Group and Company
Group	Number of shares	Share capital		Share premium		Share based payment reserve	Other reserve	Total
		£		£		£	£	£
Issued and fully paid
As at 29 March 2023	118,311,869	11,795		4,535,069		71,430	(205,000)	4,413,294
Movement during the period	2,000,000	200		36,195		13,605	-	50,000
As at 30 September 2023	120,311,869	11,995		4,571,264		85,035	(205,000)	4,463,294
Movement during the period	19,382,698	1,938		275,196		13,606	-	290,740
As at 29 March 2024	139,694,567	13,933		4,846,460		98,641	(205,000)	4,754,034
Movement during the period	13,333,333	1,334		185,060		13,605	-	200,000
As at 30 September 2024	153,027,900	15,267		5,031,520		112,246	(205,000)	4,954,034

 

Share Capital - Amount subscribed for share capital at nominal value.

 

Share Premium - Amount subscribed for share capital in excess of nominal value.

On 5 June 2024 the Company elected to convert the The HUB 2021 Ltd CLN Subscription of £200,000 into 13,333,333 new ordinary shares at a price of 1.5 pence per share pursuant to the terms of the CLN instrument.

 

6.            EVENTS AFTER THE REPORTING DATE

 

There are no events to report

 

 

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