We could not find any results for:
Make sure your spelling is correct or try broadening your search.
Share Name | Share Symbol | Market | Type |
---|---|---|---|
Lexington Biosciences Inc | CSE:LNB | CSE | Common Stock |
Price Change | % Change | Share Price | Bid Price | Offer Price | High Price | Low Price | Open Price | Shares Traded | Last Trade | |
---|---|---|---|---|---|---|---|---|---|---|
0.00 | 0.00% | 0.08 | 0.05 | 0.095 | 0 | 00:00:00 |
RNS Number:4198O London Bridge Software Holdings PLC 07 August 2003 7 August 2003 LONDON BRIDGE SOFTWARE HOLDINGS PLC ANNOUNCEMENT OF INTERIM RESULTS TO 30 JUNE 2003 London Bridge Software Holdings plc ("London Bridge"), the leading international supplier of software and services for credit management systems, has announced its interim results for the six months ended 30 June 2003. Key points : * Revenue of #28.4m (June 2002 : #32.3m) * Recurring revenue up #0.5m and now represents 55% of Group revenue * Despite fall in revenue, adjusted profit up #0.5m to #1.1m as a result of reductions in cost base * Cash flow from operation of #3.8m (June 2002 : #1.8m) and net cash increased to #24.2m (June 2002 : #19.6m) * Significant licence sales achieved to both new and existing customers For further information, please contact : Buchanan Communications : Tim Thompson/James Strong 020 7466 5000 London Bridge : Jon Lee/Gordon Stuart 020 7403 1333 FINANCIAL HIGHLIGHTS Unaudited Unaudited 6 months 6 months ended ended 30 June 30 June 2003 2002 #000 #000 REVENUE 28,426 32,262 ADJUSTED PROFIT BEFORE TAX I 1,051 605 FRS 3 LOSS BEFORE TAX (726) (2,799) ADJUSTED EARNINGS PER SHARE II 0.40p 0.29p BASIC LOSS PER SHARE (0.64p) (1.70p) DILUTED LOSS PER SHARE (0.64p) (1.70p) DIVIDEND 0.35p 0.35p Notes: Unaudited Unaudited 6 months 6 months ended ended 30 June 30 June 2003 2002 #000 #000 I FRS 3 loss before tax (726) (2,799) Amortisation of goodwill 1,777 3,314 --------- --------- Profit before tax and goodwill amortisation 1,051 515 Finance charge on deferred consideration - 90 --------- --------- Adjusted profit before tax 1,051 605 --------- --------- II Adjusted earnings/(loss) per share is calculated after excluding the after tax effect of the adjustments shown above in Note I (see also note 4). CHAIRMAN'S STATEMENT In my report in December I stated that we expected trading conditions to remain challenging for the financial software sector and this has proven to be the case. Our focus in the first half of 2003 was on achieving profitability and being cash generative at the operating level and I am please to report that we achieved this. Furthermore, we have made good progress in most of our major market areas and we have further reduced our cost base. FINANCIAL RESULTS The Group reported revenues of #28.4m (June 2002: #32.3m) and adjusted profit before tax of #1.1m (June 2002: #0.6m). Cash generated from operations during the period was #3.8m (2002: #1.8m), primarily driven by a continuing improvement in working capital management. We have now paid down the balance on our term loan and at the end of June our net cash balance was #24.2m (June 2002: #19.6m). The interim dividend for the period will be 0.35 pence per ordinary share (June 2002: 0.35 pence) and will be paid on 31 October 2003 to those members on the register at the close of business on 26 September 2003. OPERATIONS In the first half of the year we continued to sign new business - importantly with both new customers and for new products within our existing customer base. Whilst we reported licence revenue for all products, of particular note was a major new Vectus licence sale to a large European credit card issuer for its new business application system. In addition to the licence revenue, this project will result in significant consulting revenues going forward. Several new Debt Manager sales were completed in North America which are currently being implemented. Our recurring revenue, defined as maintenance and e-services, represented 55% of Group revenue, an absolute increase of #0.5m over the same period last year. Although licence sales and recurring revenues were in line with our expectations, consulting revenues failed to meet our objectives. This was primarily attributable to a delay in projects being signed off; the effect of lower levels of licence sales in 2002 feeding through to the implementation project teams; and a reduction in our overall consulting headcount. Going forward, we expect to see a pick up in consulting revenue as a result of sales closed in the first half and further commitments from existing customers since 30 June. In most areas we have the headcount to fulfil the requirements but in certain areas we have started to selectively recruit to meet improving demand. As you will recall, during the second half of 2002 we took a number of actions to reduce our cost base and we have continued to seek savings where they would not impact our delivery capabilities. To this end, in the last six months we have cut our headcount by 45 and in addition consolidated our US e-services and Mortgage group operations in our Atlanta office. The cost of these staff reductions and office closures, approximately #0.6m, has been charged to the profit and loss account during the six months to 30 June 2003. These initiatives give us a lower operating cost base going forward and the ability to better manage our business. In addition, the consolidation will give us better cross product utilisation of staff and a greater ability to recruit into a cost effective structure when we return to growth. PRODUCT AND SERVICE DEVELOPMENT Despite the prevailing market conditions, we have continued to invest in our product and service development. Of particular note is the delivery in June of the new J2EE web version of Debt Manager. This development will ensure that Debt Manager further establishes itself as the premier collections and recoveries system for major retail finance organisations around the world. There is a high level of interest in this version of the product both from existing clients as well as prospective new clients. In our other product areas we have new release versions scheduled for release over the remainder of this year which will further improve our competitiveness at a time when many of our rivals have been cutting back on product development. I am also pleased to report that our new development centre in Cape Town is now operational and the first twenty staff have been recruited. Work continues in the US in our e-commerce division to expand the BridgeLink hub, which integrates both with the Group's origination, collections and recoveries products as well as third party product offerings. BridgeLink provides electronic services to our clients which wrap around the processes supported by our software. Several of our larger US clients have ordered the services and are in the process of implementation. These activities will result in an increase in our recurring revenues over the coming months as well as further differentiating our sales proposition from our competitors. During the first half of the year we added 20 additional services, and grew the average number of transactions per month by 40%. OUTLOOK Our pipeline of both contracted consulting work as well as prospective new licence sales is now better than at any time over the past eighteen months although new business still proves difficult to conclude in a predictable manner. The Group's depth of products, referenceable customer sites and recurring revenue streams continue to improve and enable us to remain profitable and cash generative at an operating level. The leverage of our business model will ensure that any increase in demand will deliver increased profitability. The Group is the world leader in the collections and recoveries market and is improving its product offerings and reputation in its other areas of operations. We deliver substantial value to our customers through our product and service offerings which are critical to their future competitiveness and profitability. Competition in our markets remains strong, we are however, seeing a reduction in the number of viable competitors as our industry matures and a lack of new entrants as the availability of capital reduces. Over the last two years we have continued to strengthen our Board and I am pleased to welcome as non- executive directors Mike Hart who joined in April and Jo Connell who joins with effect from today. Mike has been in the IT financial services sector for many years and Jo, who was previously Managing Director of Xansa plc, brings a wealth of experience in both growing businesses and of managing long term customer relationships. The Board believes that the Group is well positioned in its sector and remains committed to taking all possible steps to realise the Group's potential. Gordon Crawford Chairman 6 August 2003 CONSOLIDATED PROFIT AND LOSS ACCOUNT 6 MONTHS ENDED 30 JUNE 2003 Unaudited Unaudited Audited 6 months 6 months Year ended ended ended 30 June 30 June 31 December Note 2003 2002 2002 #'000 #'000 #'000 Revenue 2 28,426 32,262 62,137 Cost of sales (16,640) (18,907) (37,952) --------- --------- --------- Gross profit 11,786 13,355 24,185 Amortisation of goodwill (1,777) (3,314) (6,561) Impairment of goodwill - - (35,971) Exceptional bad debt write-off - - (5,147) Restructuring costs - - (1,003) Other administrative expenses (10,897) (13,217) (24,141) --------- --------- --------- Total administrative expenses (12,674) (16,531) (72,823) Other operating income 62 239 336 --------- --------- --------- Total operating loss (826) (2,937) (48,302) Amounts written off investments - - (3,614) Net interest receivable 100 228 317 Finance (charge)/credit on contingent deferred - (90) 153 consideration Total net interest receivable 100 138 470 --------- --------- --------- Loss on ordinary activities before taxation 2 (726) (2,799) (51,446) Tax charge on loss on ordinary activities (370) (109) (363) --------- --------- --------- Loss on ordinary activities after taxation (1,096) (2,908) (51,809) Dividends 3 (599) (599) (1,795) -------- -------- -------- Retained loss for the period (1,695) (3,507) (53,604) ===== ===== ===== Loss per share - diluted 4 (0.64p) (1.70p) (30.31p) Loss per share - basic 4 (0.64p) (1.70p) (30.31p) STATEMENT OF TOTAL RECOGNISED GAINS AND LOSSES Loss for the period (1,096) (2,908) (51,809) Exchange translation differences (593) (1,056) (2,319) --------- --------- --------- Total recognised gains and losses for the period (1,689) (3,964) (54,128) ===== ===== ===== CONSOLIDATED BALANCE SHEET AT 30 JUNE 2003 Unaudited Unaudited Audited 30 June 30 June 31 December Note 2003 2002 2002 #'000 #'000 #'000 Fixed assets Goodwill 39,807 82,872 41,600 Tangible assets 3,712 4,586 4,052 Investments 500 3,615 - ---------- ---------- --------- 44,019 91,073 45,652 ---------- ---------- --------- Current assets Debtors - due within one year 5 16,459 31,134 21,367 Debtors - due after more than one year 5 1,099 1,070 966 Cash at bank and in hand 24,211 21,941 23,618 ---------- ---------- --------- 41,769 54,145 45,951 Creditors: amounts falling due within one year 6 (7,811) (8,874) (7,889) ---------- ---------- --------- Net current assets 33,958 45,271 38,062 ---------- ---------- --------- Total assets less current liabilities 77,977 136,344 83,714 Creditors: amounts falling due after more than one year 6 - (875) (125) Accruals and deferred income 7 (13,314) (13,500) (16,205) Provisions for liabilities and charges (1,458) (2,969) (1,891) ---------- ---------- --------- 63,205 119,000 65,493 ====== ====== ===== Capital and reserves Called up share capital 8 1,709 1,709 1,709 Shares to be issued 8 - 2,284 - Share premium account 8 156,609 156,609 156,609 Other reserve 8 - 1,440 - Profit and loss account 8 (92,008) (41,656) (90,313) Foreign exchange reserve 8 (3,105) (1,386) (2,512) ---------- ---------- --------- Equity shareholders' funds 63,205 119,000 65,493 ====== ====== ===== CONSOLIDATED CASH FLOW STATEMENT 6 MONTHS ENDED 30 JUNE 2003 Unaudited Unaudited Audited 6 months 6 months Year ended ended ended 30 June 30 June 31 December 2003 2002 2002 #'000 #'000 #'000 Note Cash inflow from operating activities (i) 3,807 1,791 6,908 Returns on investments and servicing of finance 100 228 317 Taxation 1,266 (214) (201) Capital expenditure and financial investment Purchase of tangible fixed assets (801) (659) (1,505) Purchase of trade investment (500) - - (1,301) (659) (1,505) Acquisitions 15 (724) (1,027) Equity dividends (1,196) (1,196) (1,795) ---------- ---------- --------- Cash inflow/(outflow) before financing 2,691 (774) 2,697 Financing Exercise of share options - 46 47 Repayment of loan (1,625) (750) (1,500) Capital element of finance lease rental payments - (76) (86) ---------- ---------- --------- (1,625) (780) (1,539) ---------- ---------- --------- Increase/(decrease) in cash in the period (ii) 1,066 (1,554) 1,158 ====== ====== ===== NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT 6 MONTHS ENDED 30 JUNE 2003 Unaudited Unaudited Audited 6 months 6 months Year ended ended ended 30 June 30 June 31 December 2003 2002 2002 #'000 #'000 #'000 i) Reconciliation of operating loss to operating cash inflow Operating loss (826) (2,937) (48,302) Depreciation 1,060 1,219 2,386 Goodwill amortisation 1,777 3,314 6,561 Goodwill impairment - - 35,971 (Profit)/loss on disposal of fixed assets - (2) 39 Decrease in debtors 4,355 3,333 10,841 (Decrease)/increase in creditors and accruals and deferred income (2,134) (2,548) 449 Decrease in provisions for liabilities and charges (425) (588) (1,037) --------- --------- --------- Net cash inflow from operating activities 3,807 1,791 6,908 --------- --------- --------- ii) Reconciliation of net cash flow to movement in net funds Increase/(decrease) in cash in the period 1,066 (1,554) 1,158 Net cash outflow from decrease in debt and decrease in lease financing 1,625 826 1,586 --------- --------- --------- Changes in net funds resulting from cash flows 2,691 (728) 2,744 Translation differences (473) (503) (1,537) --------- --------- --------- Movement in net funds in the period 2,218 (1,231) 1,207 Net funds at the beginning of the period 21,993 20,786 20,786 --------- --------- --------- Net funds at end of period 24,211 19,555 21,993 --------- --------- --------- (iii) Analysis of movement in net funds 31 December Foreign 30 June 2002 Cash flow exchange movements 2003 #000 #000 #000 #000 Cash in hand and at bank 23,618 1,066 (473) 24,211 Debt due within one year (1,500) 1,500 - - Debt due after one year (125) 125 - - Net funds 21,993 2,691 (473) 24,211 NOTES TO THE INTERIM FINANCIAL INFORMATION 1. Basis of preparation The interim financial information has been prepared in accordance with the accounting policies set out in, and are consistent with, the Group's statutory financial statements for the year ended 31 December 2002, except that the taxation charge for the period is based on the estimated effective annual tax rate on profit before goodwill amortisation for the year to 31 December 2003. Certain items in the comparative six month period have been reclassified to give a presentation consistent with that at 31 December 2002. The interim financial information is unaudited and does not comprise statutory accounts for the purposes of Section 240 of the Companies Act 1985. The financial information for the year to 31 December 2002 has been extracted from the Group's statutory accounts for that period which have been filed with the Registrar of Companies. The auditors' report on the statutory accounts of the Group for the year to 31 December 2002 was unqualified and did not contain a statement under either Section 237(2) or Section 237(3) of the Companies Act 1985. The interim financial information was approved by the Board on 6 August 2003. 2. Revenue and (loss)/profit on ordinary activities before taxation A geographical analysis of revenue and profit/(loss) on ordinary activities before taxation by origin is stated below. Unaudited Unaudited Audited 6 months 6 months Year ended ended ended 30 June 30 June 31 December 2003 2002 2002 Revenue #'000 #'000 #'000 Europe 7,547 9,494 18,150 The Americas 19,151 21,287 41,804 Rest of the World 1,728 1,481 2,183 --------- --------- --------- 28,426 32,262 62,137 --------- --------- ===== Adjusted profit/(loss) before tax Europe (843) (462) 979 The Americas 1,038 895 (122) Rest of the World 856 172 (160) --------- --------- --------- 1,051 605 697 ===== ===== ===== Adjusted profit/(loss) before tax represents profit/(loss) before taxation, goodwill amortisation and finance charge on deferred consideration. The adjusted profit/(loss) for the year ended 31 December 2002 was further adjusted for goodwill impairment, investment write-downs, an exceptional bad debt write-off and restructuring costs, none of which arose in the six months ended 30 June 2002 or 2003. FRS3 profit/(loss) before taxation Europe (1,533) (1,152) (8,975) The Americas (49) (1,819) (42,292) Rest of the World 856 172 (179) --------- --------- --------- (726) (2,799) (51,446) ===== ===== ===== Analysis of revenue by activity Licence fees 6,972 6,319 15,149 Development, installation, training and consultancy fees 5,805 10,759 17,145 Maintenance income 9,493 9,533 18,240 E-commerce service income 6,156 5,651 11,603 --------- --------- --------- 28,426 32,262 62,137 ===== ===== ===== 3. Dividends The directors have declared an interim dividend for the six months ended 30 June 2003 of 0.35p net per ordinary share (June 2002: 0.35p net; December 2002: 1.05p net). The dividend will be paid on 31 October 2003 to those members on the register at the close of business on 26 September 2003. 4. (Loss)/earnings per share Unaudited Unaudited Audited 6 months 6 months Year ended ended ended 30 June 30 June 31 December 2003 2002 2002 #'000 #'000 #'000 Basic and diluted loss (1,096) (2,908) (51,809) Adjustment for amortisation of goodwill 1,777 3,314 6,561 Adjustment for impairment of goodwill - - 35,971 Adjustment for write-down of investments - - 3,575 Adjustment for exceptional bad debt write off - - 3,792 Adjustment for restructuring costs - - 867 Adjustment for non-cash finance charge/(credit) on - 90 (153) deferred consideration --------- --------- --------- Adjusted earnings/(loss) 681 496 (1,196) --------- --------- --------- Number Number Number Weighted average number of shares 170,901,112 170,900,897 170,901,005 Adjustment for potential ordinary shares - - - -------------- -------------- --------------- Adjusted weighted average number of shares 170,901,112 170,900,897 170,901,005 -------------- -------------- -------------- Pence Pence Pence Diluted loss per share (0.64) (1.70) (30.31) Adjustment for potential ordinary shares - - - --------- --------- --------- Basic loss per share (0.64) (1.70) (30.31) Adjustment for amortisation of goodwill (tax adjusted) 1.04 1.94 3.84 Adjustment for impairment of goodwill - - 21.05 Adjustment for write off of investments - - 2.09 Adjustment for exceptional bad debt - - 2.22 Adjustment for restructuring costs - - 0.51 Adjustment for non-cash finance charge/(credit) on deferred consideration - 0.05 (0.09) --------- --------- --------- Adjusted earnings/(loss) per share 0.40 0.29 (0.69) ===== ===== ===== 5. Debtors Unaudited Unaudited Audited 30 June 30 June 31 December 2003 2002 2002 #'000 #'000 #'000 Amounts due within one year Trade debtors 11,476 21,038 14,483 Corporation tax recoverable 38 182 38 Deferred taxation 168 1,573 180 Other debtors and prepayments 1,013 1,431 1,012 Accrued income 3,764 6,910 5,654 --------- --------- --------- 16,459 31,134 21,367 ===== ===== ===== Amounts due after more than one year Accrued income 1,099 1,070 966 ===== ===== ===== 6. Creditors Unaudited Unaudited Audited 30 June 30 June 31 December 2003 2002 2002 #'000 #'000 #'000 Amounts falling due within one year Bank loan - 1,500 1,500 Trade creditors 995 937 1,099 Obligations under finance leases - 11 - Corporation tax 5,049 4,610 3,544 Other creditors including tax and social security 1,168 1,217 550 Dividend payable 599 599 1,196 --------- --------- --------- 7,811 8,874 7,889 ===== ===== ===== Unaudited Unaudited Audited 30 June 30 June 31 December 2003 2002 2002 #'000 #'000 #'000 Amounts falling due after more than one year Bank loan - 875 125 --------- --------- --------- - 875 125 ===== ===== ===== 7. Accruals and deferred income Unaudited Unaudited Audited 30 June 30 June 31 December 2003 2002 2002 #'000 #'000 #'000 Amounts falling due within one year Accruals 1,851 1,725 2,402 Deferred income 11,463 11,775 13,803 --------- --------- --------- 13,314 13,500 16,205 ===== ===== ===== 8. Statement of movement on reserves Called Share Profit Foreign up share premium and loss exchange capital account account reserve Total #000 #000 #000 #000 #000 As at 1 January 2003 1,709 156,609 (90,313) (2,512) 65,493 Retained loss for the period - - (1,695) - (1,695) Foreign exchange translation - - - (593) (593) ------- -------- --------- ------- --------- At 30 June 2003 1,709 156,609 (92,008) (3,105) 63,205 ==== ===== ====== ==== ====== INDEPENDENT REVIEW REPORT TO LONDON BRIDGE SOFTWARE HOLDINGS plc Introduction We have been instructed by the company to review the financial information for the six months ended 30 June 2003 which comprises the consolidated profit and loss account, the consolidated balance sheet, the consolidated cash flow statement and related notes 1 to 8. We have read the other information contained in the interim report and considered whether it contains any apparent misstatements or material inconsistencies with the financial information. This report is made solely to the company in accordance with Bulletin 1999/4 issued by the Auditing Practices Board. Our work has been undertaken so that we might state to the company those matters we are required to state to them in an independent review report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company, for our review work, for this report, or for the conclusions we have formed. Directors' responsibilities The interim report, including the financial information contained therein, is the responsibility of, and has been approved by the directors. The directors are responsible for preparing the interim report in accordance with the Listing Rules of the Financial Services Authority which require that the accounting policies and presentation applied to the interim figures should be consistent with those applied in preparing the preceding annual financial statements except where any changes, and the reasons for them, are disclosed. Review work performed We conducted our review in accordance with the guidance contained in Bulletin 1999/4 issued by the Auditing Practices Board for use in the United Kingdom. A review consists principally of making enquiries of group management and applying analytical procedures to the financial information and underlying financial data and based thereon, assessing whether the accounting policies and presentation have been consistently applied unless otherwise disclosed. A review excludes audit procedures such as tests of controls and verification of assets, liabilities and transactions. It is substantially less in scope than an audit performed in accordance with United Kingdom auditing standards and therefore provides a lower level of assurance than an audit. Accordingly, we do not express an audit opinion on the financial information. Review conclusion On the basis of our review we are not aware of any material modifications that should be made to the financial information as presented for the six months ended 30 June 2003. Deloitte & Touche LLP Chartered Accountants London 6 August 2003 This information is provided by RNS The company news service from the London Stock Exchange END IR UUUBWRUPWGMQ
1 Year Lexington Biosciences Chart |
1 Month Lexington Biosciences 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