Trading Statement

 

TIDMAMBR 
 
RNS Number : 4705X 
Ambrian Capital PLC 
07 December 2010 
 

7 December 2010 
 
 
                              AMBRIAN CAPITAL PLC 
                                 TRADING UPDATE 
 
Ambrian Capital plc ("Ambrian" or the "Group") today issues a trading update 
based on unaudited management accounts. 
 
The second half ending 31 December 2010 has so far seen a significant 
improvement in the Group's financial performance compared to the first half of 
the year. The key drivers of this improved financial performance are: 
 
·          a convincing return to profitability of Ambrian Partners Limited as a 
result of H2 2010 revenues that are expected to be approximately double H1 2010 
revenues as well as the benefits arising from a lower cost base.  Fund raisings 
in the second half of 2010 include acting as lead broker to Archipelago 
Resources plc's GBP28 million fund raising and joint-broker to Nautical 
Petroleum plc's GBP46.6 million placing of new and secondary shares; 
 
·          continued growth in physical metals sales volumes with the total 
tonnage of refined copper supplied in H2 2010 expected to be approximately 
130,000 tonnes (H1 2010: 110,892 tonnes); 
 
·          a positive contribution, after start-up costs, from the new physical 
bio-fuels trading business which was established in August 2010; and 
 
·          a strong performance from the Group's principal investment portfolio 
which has benefitted from the increase in the gold price. 
 
The decision has been taken to withdraw from the LME futures & options brokerage 
business by the end of the first quarter of 2011 to focus on trading physical 
metals and physical energy products which offer greater growth potential and 
higher returns on capital. The LME futures & options brokerage business is 
expected to generate profits before tax of approximately GBP250,000 (before 
closure costs) in the year ending 31 December 2010 and currently utilises GBP5 
million of equity capital. In 2009, the LME futures & options brokerage business 
generated profits before tax of GBP224,020. 
 
Assuming current market conditions remain stable, we expect total income for the 
second half to be materially ahead of total income generated in the first half 
of 2010 and profits before tax and share-based payment charges to be in the 
region of GBP1.75 million for the second half of 2010, compared to GBP0.07 
million in the first half of the year.  Net asset value per share at 31 December 
2010 is expected to be not less than 32.4p as reported at 30 June 2010. 
 
We look forward to 2011 with confidence based on the continuing growth of our 
physical commodities activities and sharp focus as the leading corporate 
financier and broker to the mid and small cap natural resources sector in 
London. 
 
 
 
Enquiries 
 
+-----------------------------+-------------------+ 
| Ambrian Capital plc         |                   | 
+-----------------------------+-------------------+ 
| Tom Gaffney, Chief          | + 44 (0)20 7634   | 
| Executive                   | 4700              | 
+-----------------------------+-------------------+ 
|                             |                   | 
+-----------------------------+-------------------+ 
| Macquarie Capital (Europe)  |                   | 
| Limited                     |                   | 
+-----------------------------+-------------------+ 
| Simon Law                   | + 44 (0)20 3037   | 
|                             | 5237              | 
+-----------------------------+-------------------+ 
| Nicholas Harland            | + 44 (0)20 3037   | 
|                             | 2369              | 
+-----------------------------+-------------------+ 
|                             |                   | 
+-----------------------------+-------------------+ 
| M: Communications           |                   | 
+-----------------------------+-------------------+ 
| Charlotte Kirkham           | + 44 (0)20 7920   | 
|                             | 2330              | 
+-----------------------------+-------------------+ 
| Ann-Marie Wilkinson         | +44  (0)20 7920   | 
|                             | 2330              | 
+-----------------------------+-------------------+ 
 
 
Notes to Editors: 
 
AMBRIAN CAPITAL PLC 
Ambrian Capital plc (AIM: AMBR) is a specialist natural resources investment 
bank active in Commodities, Corporate Finance & Equities and Principal 
Investments. 
 
Commodities 
Ambrian Metals Limited is an independent physical metals supplier with a 
particular strength in refined copper. Through Ambrian Metals' offices in London 
and Shanghai and agents in New York, Santiago, São Paulo, Seoul and Tokyo, it 
sources non-ferrous metals from producers for distribution to an international 
client base of metals consumers and merchants. 
 
Ambrian Energy Limited is a newly established physical energy trading company 
focused on the supply of bio-fuels and crude oil. 
 
Corporate Finance & Equities 
Ambrian Partners Limited is known in the market for its leading positions in the 
metals & mining, oil & gas and cleantech sectors.  It provides corporate finance 
advice, equity research, sales and trading and market making services.  Ambrian 
Partners is a member of the London Stock Exchange and is authorised and 
regulated by the Financial Services Authority. 
 
Principal Investments 
Ambrian Principal Investments Limited is an investment company which holds the 
Group's principal investment portfolio.  It is managed by Ambrian Asset 
Management Limited, which is authorised and regulated by the Financial Services 
Authority. 
 
Further information on Ambrian is available on the Company's website: 
www.ambrian.com 
 
 
 
This information is provided by RNS 
            The company news service from the London Stock Exchange 
   END 
 
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