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4GBL 4global Plc

47.00
3.00 (6.82%)
15 Apr 2024 - Closed
Delayed by 15 minutes
Share Name Share Symbol Market Type Share ISIN Share Description
4global Plc LSE:4GBL London Ordinary Share GB00BLH36N37 ORD 1P
  Price Change % Change Share Price Bid Price Offer Price High Price Low Price Open Price Shares Traded Last Trade
  3.00 6.82% 47.00 45.00 49.00 47.00 44.00 44.00 24,205 15:37:45
Industry Sector Turnover Profit EPS - Basic PE Ratio Market Cap
Management Consulting Svcs 5.59M 642k 0.0244 19.26 12.38M

4GLOBAL PLC Interim Results (3701K)

21/12/2022 7:00am

UK Regulatory


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TIDM4GBL

RNS Number : 3701K

4GLOBAL PLC

21 December 2022

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION AS STIPULATED UNDER THE UK VERSION OF THE MARKET ABUSE REGULATION NO 596/2014 WHICH IS PART OF ENGLISH LAW BY VIRTUE OF THE EUROPEAN (WITHDRAWAL) ACT 2018, AS AMED. ON PUBLICATION OF THIS ANNOUNCEMENT VIA A REGULATORY INFORMATION SERVICE, THIS INFORMATION IS CONSIDERED TO BE IN THE PUBLIC DOMAIN.

21 December 2022

4GLOBAL PLC

("4GLOBAL", "Group" or the "Company")

Interim Results

4GLOBAL, a UK-based data, services and software company focused on major sporting events and the promotion and measurement of physical activity, is pleased to announce its unaudited interim results for the six-month period ended 30 September 2022.

The six months to 30 September 2022 have been a period of investment and growth through significant new business wins, laying the foundation for future international growth and strengthening the management team and PLC systems and processes.

As expected, Group revenue generation profile is significantly weighted to the second half of the year, as it has been in previous years. As we enter the final quarter of the financial year, management has confidence in meeting full year market expectations.

Financial highlights for the period

 
  --    Revenue for the six months was GBP1.4m (2021: GBP1.3m) 
         an increase of 10%. 
  --    Adjusted loss GBP0.8m (2021 profit: GBP0.2m prior to Company 
         being listed on AIM with significantly different cost base). 
  --    Robust balance sheet with cash balances of GBP2.1m (2021: 
         GBP1.4m). 
 

Post period financial highlights

 
  --    Revenue at the end of November 2022 stands at GBP3m (unaudited). 
  --    In addition to the GBP1.4m revenue in period, a further 
         GBP3m has already been booked to date to be delivered in 
         this FY, which consists of significantly higher margin 
         contracts than in the first half. 
  --    Sales pipeline of GBP30m of which GBP7.3m (GBP6.1m at proposal 
         stage) would fall in the current financial year. 
 

Key new business wins and partnerships - year to date:

 
  --    Total contracted work to be delivered this and subsequent 
         years stands at GBP9.1m 
  --    Multi-year agreement for an initial project amount of GBP4.0m 
         in the Middle East with MACE 
  --    Major sporting event in the Middle East with initial project 
         amount of GBP200k 
  --    Peru reconstruction programme contract extension for an 
         initial amount of GBP360k 
  --    Sport England moving communities increase scoped for a 
         value of GBP100k 
  --    UK Active project for a value of GBP90k 
  --    England Netball insight modules and datahub for a value 
         of GBP70k. 
  --    Other technology contracts for value in excess of GBP500k 
  --    Key partnerships agreements with: 
         1. Jonas - a leading global data software company focused 
         on the Leisure sector owned by Constellation Group PLC 
         2. MACE - a leading global Construction company 
         3. Al Jassra Group - an international conglomerate with 
         revenues exceeding GBP1bn globally 
         4. Fitness Industry Council of Canada ("FICC") and USA 
         National Fitness Association ("IHRSA") 
         5. TechnoGym - a global Fitness equipment and data company 
         6. Les Mills - a leading activity provider 
 

Operational highlights

 
  --    During the period, the Group has successfully laid the 
         foundations through client and partner agreements to launch 
         the DataHub product in the North American and European 
         market in the first half of next year. 
  --    The North American launch next year will be underpinned 
         by: 
         1. Partnership with Jonas, a current UK DataHub partner. 
         Jonas (a Constellation PLC company) will provide access 
         to activity data from 16,000 gyms across the US/Canada 
         and will act as a sales channel for revenue generation. 
         2. Partnership with FICC and IHRSA - its equivalent in 
         the USA. These organisations provide the Group with a pipeline 
         of end user clients, access to physical activity data and 
         market endorsement. 
  --    The European Data hub launched in the first half of next 
         year through a partnership with Europe Active, the trade 
         body for gyms and activity facilities across key European 
         markets. The Group is currently tracking over 3,500 facilities 
         and 11 million unique individuals from 14 European countries. 
  --    The Company hired Kerstin Obenauer as Chief Customer Officer. 
         Kerstin will lead and build sales capability for the Group. 
         Kerstin brings with her a wealth of experience and credibility 
         as well as an extensive network in the international sports 
         data market. 
  --    During this period, the Group has successfully worked with 
         the England Football Association to deliver and maximise 
         the benefits from the Women Euros tournament and it is 
         currently providing significant operational support to 
         another major football tournament in the Middle East. 
  --    To underpin its future growth in new international markets, 
         the Group has invested in Salesforce as group wide CRM 
         system, providing a more granular visibility on the sales 
         pipeline and margin management. 
  --    Further investment has been made into the DataHub product 
         to support the international expansion and the number of 
         data integrations has grown from circa 50 at IPO to more 
         than 75 to date. 
 

Eloy Mazon, Chief Executive Officer of 4GLOBAL, commented:

"Recent trading has been strong which provides the management with confidence of achieving revenue and profit growth. This year the Group has put in place the key building blocks for accelerating growth within the business. It has a current booked revenue of GBP4.4m (GBP1.4m delivered in H1 and GBP3m to be delivered in H2) with some high margin contracts to be delivered in the second six months of the financial year. In addition, the Company is actively pursuing GBP30m of new opportunities some of which will fall into this financial year.

"Our multimillion-dollar client wins with MACE in the Middle East, Technogym, Al Jassra Group and key partnerships with leading sport/physical activity data partners such as Jonas, IHRSA and FICC in North America provide us with confidence and excitement about the continued international expansion of the 4GLOBAL business."

For further information contact

 
  4GLOBAL plc                                  c/o IFC Advisory 
   Eloy Mazon (CEO) 
  Spark Advisory Partners - Nominated 
   Adviser 
   Neil Baldwin                                0203 368 3554 
  Oberon Capital - Broker 
   Michael Seabrook / Adam Pollock / Chris 
   Crawford                                    0203 179 5300 
  IFC Advisory 
   Graham Herring / Zach Cohen                 0203 934 6630 
 

A copy of the interim accounts is available from the Company's website www.4global.com.

Company registration number: 13523846

CHIEF EXECUTIVE'S STATEMENT

FOR THE PERIODED 30 SEPTEMBER 2022

The six months to 30 September 2022 was a period of investment for the Group as it delivered a 10% increase in revenue to GBP1.4m (30 September 2021: GBP1.3m) and it has accelerated its investment in products and platforms which is reflected in the Group's total contracted work to date of GBP8.9m - of which GBP4.4m (GBP1.4m in H1 plus GBP3m) will be delivered this financial year - together with a total opportunity pipeline of GBP30m.

The GBP3m of booked revenue, to be delivered in the second six months of the financial year, consists of high margin contracts which will have a significant impact on the EBITDA line. The Group has also won new multi-million pound multi-year agreements, which enhances visibility over future revenues.

As expected, Group revenue generation profile is weighted to the second half of the year as it has been in previous periods. The Group invested significantly in the first half of the financial year, in comparison to the six months ended 30 September 2021, prior to its listing, as it transitioned to being a public company whilst investing in business capabilities and key talent to support its international expansion.

This investment, which is showing a return in the order book, pipeline and international expansion, has meant the Group has produced an adjusted loss from operations of GBP0.8m (30 September 2021 profit: GBP0.2m(1) ), which management anticipates recovering in the second half of the year.

(1) The cost figure for 30 September 2021 is prior to the company being listed and therefore the cost base is significantly different.

Management remains focused on delivering the market expectations' growth for the full year through investment in the core foundations of the DataHub product, international expansion, and in upgrading business capabilities and key talent. Key progress milestones have been met in each area.

The Group is developing strategic partnerships which provide a cost-effective entrance into target markets for the full recurring data software and services model that the Company currently operates in the UK. In addition to this, the partnerships also provide a channel to clients as well as a vehicle to accelerate data acquisition and the growth of the core asset; the DataHub. At present, the Group is focus on three core markets: North America, Europe and the Middle East.

During the period, 4GLOBAL has accelerated its planned expansion into North America and laid the foundations through client and partner agreements to launch its products and services in the market in the first half of next year. The North American expansion is underpinned by three core partnerships:

 
  1.    Jonas - the Group has a long standing successfully commercial 
         relationship with Jonas - part of Constellation Group PLC 
         - in the UK. This relationship has now been extended to 
         the North American market where Jonas is the leading solutions 
         provider to the fitness, leisure and sport sector with 
         over 16,000 sport facilities in their books. These partnerships 
         will allow the Group to significantly accelerate the deployment 
         of its data and software products/solutions in the market 
         to generate revenues and it will add significant amount 
         of data to the DataHub increasing the value of this core 
         asset to the business. 
  2.    FICC - the relationship between the Group and FICC has 
         gone from strength to strength, and it culminated with 
         the launch of the Social Value Calculator product in the 
         market earlier this year. FICC represents over 6,000 facilities 
         and 6 million members nationwide, this relationship is 
         key to the Group to have direct access to the market, data 
         and the endorsement from FICC. 
  3.    IHRSA - the Group was delighted to sign a partnership agreement 
         with IRSHA that will drive similar benefits to the relationship 
         with FICC in the USA market which is key to the Group's 
         growth, and it will accelerate the Group's ability to grow 
         the amount of data in the DataHub from this market. 
 

Expansion in the European market continues to progress. The European DataHub was launched as part of the project with EuropeActive and it is already tracking over 3,500 facilities and 11 million individuals from 14 countries across the EU. This has allowed the Group to start marketing and selling its products in Europe at the same time that it continues to grow the DataHub and therefore its ability to service more clients, generate revenues and further strengthen its position in the market.

In the Middle East, the Group has developed key relationships with Al Jassra Group - an international conglomerate with revenues exceeding GBP1bn globally - and MACE Group - global infrastructure experts with revenues in excess of GBP400m. These partnerships have already generated contracts since 30 September 2022 in the region as well as they have generated potential multi-million pound opportunities active tendering opportunities for 4GLOBAL.

Since IPO in December 2021, the Group has strengthened the delivery and senior leadership teams, in particular hiring Kerstin Obenauer as Chief Customer Officer. Kerstin was previously UK country director at fitness technology supplier, eGYM, based in Munich, and has over 20 years' experience in the fitness sector.

Kerstin brings with her a wealth of experience and credibility as well as an extensive network in European market. She has led the implementation of a new CRM system and customer centric infrastructure yielding new business wins in the year to date with MACE in the Middle East, Qatar and Technogym totalling more than GBP5m.

During the six months ended 30 September 2022, the Group has invested in the development of existing product and new product lines to allow the Company to maximise in the short and medium terms on opportunities in markets in which it currently operates. Since the IPO the Group has increased its number of integrations from circa 50 to more than 75 allowing this way more data to flow into the DataHub and therefore increasing its value to our customers as well as allowing the Group to operate in new geographies.

The Group continually reviews its products and develop enhancements that increase its market and offering into target markets.

The Group has a robust balance sheet with cash and cash equivalents of GBP2.1m, GBP4.4m of contracted work for the current financial year and a strong sales pipeline for the current year of GBP7.3m (full pipeline value stands at GBP30m). Management has laid strong foundations to sustain fast growth of its business.

Board Change

After assisting the Group through its IPO, Roger Taylor decided to resign from the Board in October 2022. Roger brought insight and advice to the Board who would like to thank him for his contribution.

Outlook

Recent trading has been strong which provides the management with confidence of achieving revenue and profit growth. This year the Group has put in place the key building blocks for driving significant growth within the business. It has a current order book of GBP4.4m (GBP1.4m delivered in H1 and GBP3m to be delivered in H2) with some high margin contracts to be delivered in the second six months of the financial year. In addition, the Company is actively pursuing GBP30m of new opportunities some of which will fall into this financial year.

As a result, the Board is confident about the prospects of the Group and views the future with confidence.

Eloy Mazon

Chief Executive

20 December 2022

CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

FOR THE PERIODED 30 SEPTEMBER 2022

 
 
                                   Note       Six months      Six months          Year to 
                                                   ended           ended 
                                            30 September    30 September         31 March 
                                                    2022            2021             2022 
                                             (unaudited)     (unaudited)        (audited) 
                                                     GBP             GBP              GBP 
  Revenue                                      1,389,429       1,262,032        3,639,930 
 
  Cost of sales                                (704,510)       (354,154)      (1,024,175) 
 
  Gross profit                                   684,919         907,878        2,615,755 
 
  Administrative expenses                    (1,474,743)       (805,588)      (2,043,103) 
  Other operating income                          14,000             647              647 
 
  Analysed as follows: 
  Adjusted (loss)/profit 
   from operations                             (775,824)         204,360          573,299 
 
  Depreciation                                 (181,462)        (70,953)        (196,756) 
  Share based payment expense                  (208,620)        (30,470)        (169,550) 
  Exceptional items                             (54,000)               -      (2,071,782) 
---------------------------------------  ---------------  --------------  --------------- 
 
  Operating profit/(loss)                    (1,219,906)         102,937      (1,864,789) 
 
  Finance income                                   1,439              51               73 
  Finance cost                                  (17,736)        (11,947)         (23,977) 
 
  Profit/(loss) before tax                   (1,236,186)          91,041      (1,888,693) 
 
  Tax credit                                     103,314          34,195          242,581 
 
  Profit for the period                      (1,132,872)         125,236      (1,646,112) 
 
  Other comprehensive income 
  Exchange differences on 
   translation of foreign 
  operations                                         333           (796)         (11,058) 
 
  Other comprehensive income 
   for the period                                    333           (796)         (11,058) 
 
  Total comprehensive income 
   for the period                            (1,132,439)         124,440      (1,657,170) 
                                         ---------------  --------------  --------------- 
 
  Total comprehensive income 
   attributable to the equity 
   holders of the company                    (1,132,539)         124,440      (1,657,170) 
                                         ---------------  --------------  --------------- 
 
  Basic profit - pence per 
   share                                          (4.3)p           0.57p           (7.1)p 
                                         ---------------  --------------  --------------- 
 
 
  Diluted profit - pence 
   per share                                      (4.3)p           0.57p           (7.1)p 
                                         ---------------  --------------  --------------- 
 
 

The notes form part of these Condensed Consolidated Financial Statements.

CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION

AS AT 30 SEPTEMBER 2022

 
                                     Note 
  As at                                      30 September    30 September       31 March 
                                                     2022            2021           2022 
                                              (unaudited)     (unaudited)      (audited) 
                                                      GBP             GBP            GBP 
  Non-current assets 
  Intangible assets                               197,107               -              - 
  Property, plant and equipment                   218,301         221,317        411,360 
  Total non-current assets                        415,408         221,317        411,360 
                                           --------------  --------------  ------------- 
 
  Current assets 
  Trade and other receivables                   1,084,891       1,316,297      1,764,482 
  Cash and cash equivalents                     2,118,665       1,417,840      3,050,948 
                                                3,203,557       2,734,137      4,815,430 
                                           --------------  --------------  ------------- 
 
  Total assets                                  3,618,965       2,955,454      5,226,790 
                                           --------------  --------------  ------------- 
 
  Equity and Liabilities 
  Equity 
  Share capital                                   263,451           1,097        263,451 
  Share redemption reserve                              -             105              - 
  Share premium                                 3,390,330         894,491      3,390,330 
  Merger reserve                                  676,310               -        676,310 
  Share option reserve                            347,701          62,243        139,080 
  Share warrant reserve                           188,266                        188,266 
  Currency translation reserve                   (31,990)        (22,060)       (32,323) 
  Retained earnings                           (2,254,197)         638,898    (1,121,325) 
                                           --------------  --------------  ------------- 
  Total equity                                  2,579,871       1,574,774      3,503,789 
                                           --------------  --------------  ------------- 
 
  Non-current liabilities 
  Borrowings                                      133,703         254,372        158,823 
  Lease liability                                       -         140,773              - 
                                           --------------  --------------  ------------- 
                                                  133,703         395,145        158,823 
                                           --------------  --------------  ------------- 
  Current liabilities 
  Borrowings                                       50,130          50,009        121,814 
  Trade and other payables                        676,515         861,150      1,088,553 
  Lease liability                                 178,746          74,376        353,811 
                                           --------------  --------------  ------------- 
  Total current liabilities                       905,391         985,535      1,564,178 
                                           --------------  --------------  ------------- 
 
  Total liabilities                             1,039,094       1,380,680      1,723,001 
                                           --------------  --------------  ------------- 
 
  Total equity and liabilities                  3,618,965       2,955,454      5,226,790 
                                           --------------  --------------  ------------- 
 

The notes form part of these Condensed Consolidated Financial Statements.

The Condensed Consolidated Financial Statements were approved and authorised for issue by the Board of Directors on 20 December 2022.

CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS

FOR THE PERIODED 30 SEPTEMBER 2022

 
                                                     Six months      Six months        Year to 
                                                             to              to 
                                                   30 September    30 September       31 March 
                                                           2022            2021           2022 
                                                    (unaudited)     (unaudited)      (audited) 
                                                            GBP             GBP            GBP 
  Cash flows from operating activities 
  Profit/(loss) before income tax 
   for period                                       (1,236,086)          91,041    (1,888,693) 
 
  Adjustments to reconcile loss 
   before tax to net cash flows: 
  Depreciation of tangible assets                       181,462          71,059        196,723 
  Loss on disposal of fixed assets                            -               -        (9,894) 
  Other income                                                -           (647)              - 
  Finance income                                        (1,439)            (51)              - 
  Finance cost                                           17,736          11,947         23,977 
  Equity-settled share-based expense/warrants           208,620          30,470        169,550 
  (Increase)/decrease in trade 
   and other receivables                                520,729       (545,947)        390,838 
  Increase/(decrease) in trade 
   and other payables                                 (223,168)         192,280         63,587 
  Tax received                                          103,708               -              - 
 
 
  Net cash flows - operating activities               (428,438)       (149,848)    (1,053,912) 
 
 
  Cash flows from investing activities 
  Purchase of intangible assets                       (197,107)         (7,306)       (23,773) 
  Purchase of Tangible assets                          (18,905)               -              - 
  Interest received                                       1,439              51             73 
 
 
  Net cash - investing activities                     (214,573)         (7,255)       (23,700) 
 
 
  Cash flows from financing activities 
  Issue of share capital                                      -       1,161,978      3,612,662 
  Share issuance costs                                        -       (268,625)              - 
  (Repayments of)/proceeds from 
   borrowings                                         (101,113)        (16,666)       (41,168) 
  Lease liability principal payment                   (175,065)        (66,527)      (186,470) 
  Interest elements of lease payments                   (5,235)         (4,873)       (10,780) 
  Interest paid                                         (8,192)         (4,671)        (9,445) 
 
 
  Net cash flows - financing activities               (289,605)         800,616      3,364,799 
 
 
  Net increase in cash                                (932,616)         643,513      2,287,187 
 
  Effects of exchange rate changes 
   on cash                                                  333         (1,015)       (11,581) 
  Cash at beginning of period                         3,050,948         775,342        775,342 
 
 
  Cash at the end of period                           2,118,665       1,417,840      3,050,948 
 
 
  Comprising: 
  Cash and cash equivalents                           2,118,665       1,417,840      3,050,948 
 
 
  Cash at end of period                               2,118,665       1,417,840      3,050,948 
 
 

The notes form part of these Condensed Consolidated Financial Statements.

CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

FOR THE PERIODED 30 SEPTEMBER 2022

 
                                  Capital                                                      Currency 
                      Share    redemption        Share     Merger       Share      Share    translation         Retained            Total 
                                                                       option    warrant 
                    capital       reserve      premium    reserve     reserve    reserve        reserve         earnings           Equity 
                        GBP           GBP          GBP        GBP         GBP        GBP            GBP              GBP              GBP 
 
  As at 31 March 
   2021 
   - restated         1,097           105      894,491          -      31,773          -       (21,264)          485,206        1,391,407 
                  ---------  ------------  -----------  ---------  ----------  ---------  -------------  ---------------  --------------- 
 
  (Loss) for the 
   year                   -             -            -                                 -                     (1,646,112)      (1,646,112) 
  Other 
   comprehensive 
   charges - 
   translation 
   differences            -             -            -          -           -          -       (11,058)                -         (11,058) 
 
  Total 
   comprehensive 
   income for 
   the year               -             -            -          -           -          -       (11,058)      (1,583,869)      (1,623,383) 
 
  Transactions 
  with 
  owners: 
  Issue of 
   shares, net 
   of costs         262,354         (105)    2,684,105    676,310           -          -              -                -        3,622,664 
  Deferred tax 
   on share 
   options                -             -            -          -           -          -              -            1,259            1,259 
  Share based 
   expense                -             -            -          -     169,550          -              -                -          169,550 
  Share options 
   cancelled 
   fair value 
   adjustment             -             -            -          -           -          -              -         (23,921)         (23,921) 
  Share options 
   waived                 -             -            -          -    (62,243)          -              -                -         (62,243) 
  Issue of 
   warrants               -             -    (188,266)          -           -    188,266              -                -                - 
                  ---------  ------------  -----------  ---------  ----------  ---------  -------------  ---------------  --------------- 
                    262,354             -    3,390,330    676,310     107,307    188,266              -         (22,662)        3,707,309 
                  ---------  ------------  -----------  ---------  ----------  ---------  -------------  ---------------  --------------- 
 
  As at 31 March 
   2022             263,451             -    3,390,330    676,310     139,080    188,266       (32,323)      (1,121,325)        3,503,789 
                  ---------  ------------  -----------  ---------  ----------  ---------  -------------  ---------------  --------------- 
 
  (Loss) for the 
   year                   -             -            -                                 -              -      (1,132,872)      (1,132,872) 
  Other 
   comprehensive 
   charges - 
   translation 
   differences            -             -            -          -           -          -            333                -              333 
 
  Total 
   comprehensive 
   income for 
   the year               -             -            -          -           -          -            333      (1,132,872)      (1,132,539) 
 
  Transactions 
  with 
  owners: 
  Share based 
   expense                -             -            -          -     208,621          -              -                -          208,621 
                  ---------  ------------  -----------  ---------  ----------  ---------  -------------  ---------------  --------------- 
                          -             -                       -     208,621          -            333      (1,132,872)        (923,918) 
                  ---------  ------------  -----------  ---------  ----------  ---------  -------------  ---------------  --------------- 
 
  As at 30 
   September 
   2022             263,451             -    3,390,330    676,310     347,701    188,266       (31,990)      (2,254,197)        2,579,871 
                  ---------  ------------  -----------  ---------  ----------  ---------  -------------  ---------------  --------------- 
 

The notes form part of these Condensed Consolidated Financial Statements.

NOTES TO THE CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

FOR THE PERIODED 30 SEPTEMBER 2022

1. General Information

4Global plc is a public limited company incorporated in England and Wales and was admitted to trading on the AIM Market of the London Stock Exchange, under the ticker symbol 4GBL on 7 December 2021.

The Company was incorporated and registered in England and Wales on 22 July 2021 as a public company limited by shares, with the name 4Global plc and registered number 13523846.

On 11 November 2021 the Company allotted 21,938,300 ordinary shares, pursuant to a share sale and purchase agreement, to the shareholders of 4Global Consulting Limited and 4Global Consulting Limited became a wholly owned subsidiary undertaking of the Company.

This financial information issued by 4Global plc in compliance with its reporting obligations under the AIM Rules.

At 30 September 2022 the Company had issued share capital of 26,344,994 Ordinary Share of 1.0 pence.

The address of its registered office is Venture X, 5(th) Floor Building 7 Chiswick Park, 566 Chiswick High Road, Chiswick, London, United Kingdom, W4 5YG. and the registered company number is 13523846. The principal activity of the Company is the provision of advisory services in the sporting sector at a local, national and international level.

2. Significant accounting policies

2.1 Basis of preparation

The consolidated financial statements of 4Global PLC were prepared in accordance with International Financial Reporting Standards ("IFRS") as adopted by the United Kingdom, IFRIC interpretations and the Companies Act 2006 applicable to companies applying IFRS. The interim report has been prepared in accordance with International Accounting Standard (IAS) 34 (Interim Financial Reporting). The information in this report has been drawn up using, in all material respects, the same accounting methods as those utilised in the Group's annual report and accounts for the year ended 31 March 2022 The comparative information for the six months to 30 September 2021 is for 4 Global Consulting Limited and as presented in the Company's Admission Document in December 2021.

3. Revenue

 
   Analysis of revenue by category        Six Months      Six Months      Year to 
                                               ended           ended 
                                        30 September    30 September     31 March 
                                                2022            2021         2022 
                                         (unaudited)     (unaudited)    (audited) 
                                                 GBP             GBP          GBP 
 
   Consultancy services 
    revenue                                  630,933         830,040    2,087,249 
   Technology revenue                        758,498         431,992    1,552,681 
 
 
                                           1,389,431       1,262,032    3,639,930 
 
 
 
   Analysis of revenue by geography           Six Months      Six Months      Year to 
                                                   ended           ended 
                                            30 September    30 September     31 March 
                                                    2022            2021         2022 
                                             (unaudited)     (unaudited)    (audited) 
                                                     GBP             GBP          GBP 
 
   Europe                                      1,092,698         707,614    2,351,970 
   South America                                 142,050         442,745      890,608 
   Middle East                                   154,601          83,476      362,383 
   Other                                               -          28,197       34,969 
 
 
                                               1,389,431       1,262,032    3,639,930 
 
 

4. Earnings per share

To prepare the company for its listing a 200:1 share split took place during the year 31 March 2022 which increased the number of shares in issue to 21,938,400 at the time of the share split. In December 2021 the Company listed on AIM and issued a further 4,406,594 ordinary shares.

 
 
                                             Six Months      Six Months        Year to 
                                                  ended           ended 
                                           30 September    30 September       31 March 
                                                   2022            2021           2022 
   Basic earnings per Ordinary              (unaudited)     (unaudited)      (audited) 
    Share 
 
                                                    GBP             GBP            GBP 
   Profit for the period                    (1,236,186)         125,236    (1,646,112) 
   Weighted average number of Ordinary 
    Shares 
   in issue                                  26,344,994      21,938,400     23,314,706 
 
   Basic earnings per share (pence)              (4.7)p           0.57p         (7.1)p 
 
 
 
 
                                           Six Months       Six Months        Year to 
                                                ended            ended 
                                         30 September     30 September       31 March 
                                                 2022             2021           2022 
   Weighted average number of 
    shares used as a denominator          (unaudited)      (unaudited)      (audited) 
 
   Shares in issue at 1 April 2022 
    and 2021                               26,344,994          109,692        109,692 
                                      ---------------  ---------------  ------------- 
 
   Share split 1:200                       21,938,400       21,938,400     21,938,400 
   Weighted number of shares issued 
    in the period                           4,406,594                -      1,376,306 
                                      ---------------  ---------------  ------------- 
                                           26,344,994       21,938,400     23,314,706 
                                      ---------------  ---------------  ------------- 
   Adjustments for calculation 
    of diluted earnings per share 
   Share options                            1,876,285                -        720,190 
   Warrants                                   339,289                -        130,232 
                                      ---------------  ---------------  ------------- 
                                            2,215,574                -        850,422 
 
                                           28,560,568       21,938,400     24,165,128 
                                      ---------------  ---------------  ------------- 
 
 

As the Group has reported a loss diluted earnings per share are equal to basic earnings per share.

5. Share-based payments

The following table shows the movements in the share-based payment reserve during the period:

 
 
                                      Number    GBP 
   Outstanding at 1 April 2022     2,305,872    78p 
 Granted during the period                 -      - 
   Exercised during the period             -      - 
 
 
   At 30 September 2022            2,305,872    78p 
 
 

On admission of the Company, 2,305,872 new share options in the Company were granted with a weighted average exercise price of 77.77 pence.

4GLOBAL PLC

DIRECTORS, SECRETARY AND ADVISERS

 
  Directors                   Ian James (Non-executive Chairman) 
                              Eloy Mazon (Chief Executive Officer) 
                              Keith Sadler (Chief Financial Officer) 
                              Steven Clarke (Non-executive Director) 
                              Alexandra Orlando (Non-executive Director) 
                              Roger Taylor (Non-executive Director) (resigned 
                               1 October 2022) 
 
  Company Secretary           Keith Sadler 
 
  Registered office           Venture X 
                              5(th) Floor, Building 7, Chiswick Park 
                              566 Chiswick High Road, Chiswick 
                              London, W4 5YG 
 
  Website address             www.4global.com 
 
  Nominated advisor           SPARK Advisory Partners Limited 
                              5 St John's Lane 
                              London 
                              EC1M 4BH 
 
  Broker                      Oberon Capital 
                              65 Curzon Street 
                              London 
                              W1J 8PE 
 
  Independent auditor         Crowe U.K. LLP 
                              55 Ludgate Hill 
                              London 
                              EC4M 7JW 
 
  Legal Advisers to the 
   Company                    Fladgate LLP 
                              16 Great Queen Street 
                              London 
                              WC2B 5DG 
 
  Registrars                  Neville Registrars Limited 
                              Neville House 
                              Steelpark Road 
                              Halesowen 
                              B62 8HD 
 
  Public Relations Adviser 
   to the                     IFC Advisory Limited 
  Company                     Birchin Court 
                              20 Birchin Lane 
                              London 
                              EC3V 9DU 
 

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