Marechale Capital Plc - Half-year Report

5 December 2023

Marechale Capital plc

("Marechale Capital", “Marechale” or the "Company")

Half-yearly Results

Marechale Capital plc, an established City of London based corporate finance house with a long-term track record and a strong reputation for advising and financing high growth consumer brands, leisure, clean energy, mineral extraction and technology companies, announces its unaudited half-yearly results for the six months ended 31 October 2023 (the “Period”).

Chairman’s Statement

Following the announcement with Marechale’s full year results released in August 2023, the market continues to remain challenging, particularly in the hospitality sector. However, the Board remains positive about the outlook for its investments.

Marechale Capital continues to see interesting corporate finance and advisory projects where it can take founders shares and warrants as part of its advisory fees. On a positive note, Marechale has completed transactions during the period for the European telecommunications technology company, Fast2fibre, Chestnut Group, the leading East Anglian Inn Group, and for Brewhouse & Kitchen, the expanding gastro pub business. However, the market remains a difficult environment in which to raise capital. This has resulted in some advisory projects that launched in the summer not being completed by the end of the Period. Marechale continues to look for new funding partners alongside its traditional investor relationships.

During the six months ended 31 October 2023, the Company generated gross profits of £93,813 (2022: £72,020) and delivered an operating loss of £155,421 (2022: loss of £178,995), resulting in an overall loss before tax of £155,803 (2022: loss of £179,502).

The Company’s balance sheet shows a net asset value of £3,340,486 (2022: £3,456,430), representing 3.15p (2022: 3.62p) of value per share in issue. The Company remains positive about the investments that it holds in its client companies. As at 31 October 2023 the Company had £400,000 of cash reserves.

The Board is working on a number of initiatives to create further value for shareholders over and above its core investment portfolio and corporate finance projects, including working with Chris Kenning, following his strategic investment of 9.9% of the Company announced in June 2023. The plan is to digitise Marechale’s activities and continue to develop strategic partnerships with the objective of enhancing shareholder value.

Marechale also uses its balance sheet to co-invest in its client companies, along with warrants and founder equity. Furthermore, the Board is hopeful to be able to announce realisations on some of the Company’s investments in the next six months

Whist the current economic climate is difficult, Marechale Capital remains diligent and is convinced that there will be good advisory and investment opportunities in its core hospitality, renewable, clean energy and technology sectors over the short to medium term.

Mark Warde-Norbury

Chairman

The information communicated in this announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) No. 596/2014

For further information please contact:

Marechale CapitalMark Warde-Norbury / Patrick Booth-Clibborn	Tel: [phone]
Cairn Financial Advisers LLPJo Turner / Sandy Jamieson	Tel: [phone]

Income Statement (unaudited)
6 months ended 31 October						2023		2022
						£
Revenue						320,603		168,001
Cost of sales						(226,790)		(95,981)
Gross profit						93,813		72,020
Administrative expenses						(249,235)		(251,015)
Operating loss						(155,421)		(178,995)
Interest paid						(382)		(507)
(Loss/profit before tax						(155,803)		(179,502)
Taxation						-		-
(Loss)/profit after tax						(155,803)		(179,502)
(Loss)/profit per share
						(Pence)		(Pence)
	- Basic					(0.15)		(0.19)
	- Diluted					(0.14)		(0.19)

Balance Sheet (unaudited)
As at						31 October	31 October
						2023	2022
Current assets
Available for sale investments						2,863,227	3,116,441
Trading investments						130,076	146,589
Trade and other receivables						37,219	54,356
Cash and cash equivalents						398,229	246,808
						3,428,751	3,564,194
Current liabilities
Trade and other payables PAYE Bounce-back Loan						(51,278) (9,487) (10,000)	(59,627) (10,638) (10,000)
Total current liabilities						(70,765)	(80,265)
Net current assets						3,357,986	3,483,929
Bounce-back Loan – long-term						(17,500)	(27,500)
Net assets						3,340,486	3,456,429
Equity
Capital and reserves attributable to equity shareholders
Share capital Share premium						847,530 481,290	763,023 328,413
Reserve for own shares						(50,254)	(50,254)
Retained profits/ (losses)						1,944,842	2,346,660
Reserve for share based payments						117,078	68,587
						3,340,486	3,456,429

Cash Flow Statement (unaudited)
6 months ended					31 October	31 October
					2023	2022
					£	£
Net cash from operating activities
Loss after tax					(155,803)	(179,502)
Provision for share based payments Reverse interest paid					33,091 381	6,275 507
Operating cash flows before movements in working capital					(122,331)	(172,720)
Movement in working capital
Decrease/ (increase) in receivables					38,714	(10,580)
(Decrease)/ Increase in payables					(30,795)	12,895
Net movement in working capital					7,919	2,315
Operating cash out-flow					(114,412)	(170,405)
Investment activities
Expenditure on available for sale investments					(572)	-
Proceeds from sale of investments					-	8,750
Cash flow from investing activities					(572)	8,750
Financing Share Capital Bounce-back Loan repayments Interest paid Net financing					235,800 (5,000) (381) 230,419	- (5,000) (507) (5,507)
Net increase/ (decrease) in cash and cash equivalents					115,435	(167,162)
Cash and cash equivalents at start of the period					282,794	413,970
Cash and cash equivalents at end of the period					398,229	246,808
Increase/ (decrease) in cash and cash equivalents					115,435	(167,162)

This financial information has been prepared in accordance with IFRS and International Financial Reporting Interpretations Committee ('IFRIC') interpretations adopted by the European Union, and with those parts of the Companies Act 2006 applicable to companies reporting under IFRS, with the prior period being reported on the same basis.

---

---

Copyright r 05 PR Newswire