![](/cdn/assets/images/search/clock.png)
We could not find any results for:
Make sure your spelling is correct or try broadening your search.
Share Name | Share Symbol | Market | Type | Share ISIN | Share Description |
---|---|---|---|---|---|
Penmc | LSE:PNC | London | Ordinary Share | GB0009205062 | ORD 1P |
Price Change | % Change | Share Price | Bid Price | Offer Price | High Price | Low Price | Open Price | Shares Traded | Last Trade | |
---|---|---|---|---|---|---|---|---|---|---|
0.00 | 0.00% | 0.09 | 0.00 | 01:00:00 |
Industry Sector | Turnover | Profit | EPS - Basic | PE Ratio | Market Cap |
---|---|---|---|---|---|
0 | 0 | N/A | 0 |
RNS Number:2831W Penmc PLC 08 March 2004 Chairman's Statement This has been a very difficult year for the Company and the results reflect the problems that have arisen. The loss before tax for the year was #7,797,358, which comprises atrading loss of #2,874,753, write-off of goodwill of #1,700,000 and losses on the disposal of discontinued operations of #3,222,605, (2002, trading profit #1,517,118, goodwill written off #27,207,940, loss before tax #25,690,822). Turnover was down from the 2002 figure of #11,987,459 to #5,346,797. I reported to you in my interim statement that the sale of IFP had been completed and the potential costs and problems, as well as the trading losses had therefore been stemmed. I also reported the imminent sale of Kingsbridge Nottingham Ltd to its management and I can confirm that that was completed on 30th June 2003. One of the conditions of the sale was that the Company changed its name so that it did not use the word Kingsbridge. This was carried out at an EGM on December 29th 2003. Trading for the remaining businesses during the second half continued to be difficult. Kingsbridge Advisors Ltd had lost several senior sales staff and continued to suffer losses. Benson Mcgarvey was trading profitably, but at a much lower level than in previous years. Peter Mcgarvey and his team expressed interest in purchasing the business in Nottingham. In view of the #3million convertible loan stock held by the former vendors of the business,which would have diluted all existing shareholders to a considerable extent, the only sensible course of action was to proceed with this sale, which was completed on 31st August 2003. The business of Kingsbridge Advisors Ltd was not viable without support from other group companies and so negotiations for its sale to City Gate Argyle Limited were completed on 23rd October 2003, with deferred consideration based on business retention payable over the next two years. These sales mean that the Company has become a small cash shell. Since then, the new Chief Executive has been focused on dealing with creditors and obtaining settlement of all outstanding issues with the former subsidiaries and we anticipate that the majority of those issues will be finalised in the not too distant future. This will enable him and the Board to focus their attentions on achieving a reverse takeover, which will, we hope, give shareholders an opportunity to benefit in the future. This has been a very trying time for shareholders and also for your board. In a people business, keeping the leading people focused and interested is essential to their retention. The problems encountered at IFP, the market difficulties and the collapse in the share price meant that our key people were disillusioned with the public status of the Company. The loan stock conversion would have reduced most holdings to a small percentage of the former amount and they saw the only way forward was to buy back their companies. The board had to balance carefully the need to obtain a fair price, the future of the business if key people resigned and the opportunity to sell the business elsewhere. I feel that, in the circumstances, we have pursued the most sensible course of action open to us. We must now take the Company forward. I am grateful to our new Chief Executive, Laurie Turnbull and to the Company Secretary/Financial Controller Paul Manning for taking on the task of rebuilding the Company. They have achieved a lot in resolving the outstanding issues and I have confidence that they will successfully take the Company forward. Eric J Cater Chairman 8 March 2004 Chief Executive's Report I was appointed to the board on 14th August 2003, just days before the end of the financial year. Eric Cater in his statement provides a review of the year in question and appropriately reports on matters with which he is both familiar and knowledgeable. Shareholders have heard little from the Company and have suffered a considerable fall in value of their shares and I would therefore like to take this opportunity to briefly outline the action I have taken. At the instigation of a number of substantial shareholdersI wrote to the board of the Company requesting a meeting with the directors. At a meeting held on 12th of March 2003 I informed the board that major shareholders were extremely concerned that the Company's value had plummeted from more than #60m to less than #2m in little over a year. It was explained to me that the Board would not support my appointment to the board and that they wished to continue with their plans for the Company stressing that they would review the situation in three monthsand should the Company not be better placed then they would welcome further discussions. I was subsequently contacted and accepted the appointment of Chief executive in August 2003. I immediately reviewed the situation with the Company and brought to the Board the experience of Brian Wilmott as a Non Executive Director and Paul Manning as Company Secretary both of whom have worked with me on several projects. Within days I became aware of the grave difficulties facing the Company. Two of the cornerstones that made up the company had been sold, in effect to the management, and the company had no financial facilities to see it through the disposal of the remaining two businesses. To compound matters, one of the businesses, Benson Mcgarvey had virtually been sold, in a separate management buyout. This then left a small operation in Scotland, Kingsbridge Advisors Limited, to be dealt with and a heads of terms for its disposal were in existence. My review resulted in an immediate meeting with the Company's bankers and I was advised that they would be supportive of the new Board although they sought comfort from myself to cover the overdraft that was steadily increasing. Substantial payments were due to major creditors including the Inland Revenue. We set about bringing financial planning and stability to the Company, and under very difficult circumstances we renegotiated the sale of the Benson Mcgarvey business. I would compliment Mr Mcgarvey and the management of the company for the exemplary manner in which they responded to the new situation that they were faced with. Kingsbridge Advisors Limited was the last company to be sold and due to the size of the business we had little scope for realising a fractionof what had been paid in the first place for that company. It is not appropriate for me to comment on the previous board of directors however I am pleased to inform you that from the date of my appointment no fees or salaries have been paid to a Director of the Company. I am of the firm belief that the remuneration of Directors should correspond to the performance of the Company. The Company has not deteriorated under our stewardship, in fact quite the reverse and in due course when shareholders see an improvement, your directors will be modestly rewarded. Future Prospects There is a great deal of work still to be undertaken, many of the deals that the Company completed are still being reviewed and I am confident that in the coming months we will be able to look forward rather than backwards. The future for the Company will be interesting. As a cash shell there are many opportunities that the Company will be able to exploit and with an experienced board who will only be remunerated by the Company being successful, the shareholders have now got some prospects other than that of a tax loss. Laurence Turnbull Chief Executive 8 March 2004 Consolidated Profit and Loss account for the year ended 31August 2003 Year ended Year ended 31-Aug 31-Aug 2003 2002 As Restated Notes # # Turnover Continuing Operations 17,610 - Discontinued Operations 5,329,186 11,987,459 Cost of sales Continuing Operations - - Discontinued Operations (877,319) (1,368,682) Gross profit Continuing Operations 17,610 - Discontinued Operations 4,451,867 10,618,777 Administration expenses Continuing Operations (675,011) (498,187) Discontinued Operations (8,213,345) (35,799,676) Operating loss Continuing Operations (657,401) (498,187) Discontinued Operations (3,761,478) (25,180,899) Operating loss (4,418,879) (25,679,086) Exceptional item- loss on disposal of discontinued operations (3,222,605) - Net interest payable (155,874) (11,736) Loss on ordinary activities before taxation (7,797,358) (25,690,822) -Loss after goodwill amortisation and exceptional items (7,797,358) (25,690,822) -goodwill amortisation - 1,915,064 Exceptional items -goodwill impairment 1,700,000 23,696,014 -licence impairment - 1,437,500 -loss on disposal of discontinued operations 3 3,222,605 - -other exceptional items - 159,362 (Loss) Profit on ordinary activities before goodwill and exceptional (2,874,753) 1,517,118 items Tax on (loss) profit on ordinary activities 33,317 (429,171) Loss retained for the year (7,764,041) (26,119,993) (Loss) earnings per share Pence per share Basic 2 (7.91) (26.75) Basic loss EPS excluding goodwill amortization and exceptionals 2 (2.90) 1.11 Diluted 2 (7.91) (26.75) There are no recognised gains or losses other than the loss for theyear. Consolidated Balance Sheet as at 31 August 2003 2003 2002 Notes # # Fixed assets Goodwill - 12,242,759 Tangible assets 138,000 1,397,669 Investments - 11,195 138,000 13,651,623 Current assets Debtors 359,831 1,932,644 Investment - Loan note deposit 258,000 10,213,405 Cash at bank and in hand - 601,959 617,831 12,748,008 Creditors: amounts falling due within one year (934,926) (12,231,368) Net current (liabilities) / assets (317,095) 516,640 Total assets less current liabilities (179,095) 14,168,263 Creditors: amounts falling due after more than one year - (2,200,000) Provisions for liabilities and charges - (33,317) Net (liabilities) / assets (179,095) 11,934,946 Capital and reserves Called-up share capital 981,472 981,472 Share premium account 20,112,810 20,112,810 Shares to be issued - 4,350,000 Merger reserve - 12,243,631 Profit and loss account (21,273,377) (25,752,967) Equity shareholders' (deficit) / funds 4 (179,095) 11,934,946 Consolidated Cash Flow Statement For the year ended 31 August 2003 Cash Flow statement 2003 2002 Notes # # Net cash (outflow) / inflow from operating activities 5 (610,738) 1,871,128 Returns on investments and servicing of finance 6 (155,874) (11,736) Taxation paid 6 (214,171) (914,105) Capital expenditure and financial investment 6 - (710,311) Acquisitions and disposals 6 61,409 88,182 Cash (outflow) inflow before financing (919,374) 323,158 Financing 6 - (5,443) (Decrease) / increase in cash in the year 7 (919,374) 317,715 Notes 1 Basis of preparation This preliminary announcement contains information extracted from the audited financial statements of the Company and the Group for the year ended 31 August 2003. Those financial statements have been prepared on the basis of the accounting policies set out in the Group's 2002 statutory accounts. A copy of the full financial statements will be sent to shareholders. 2 (Loss) earnings per share Year ended Yearended 31-Aug 2003 31-Aug 2002 The calculations of (loss) earnings per share are based on the following (losses) / profits and numbers of shares: # # Loss on ordinary activities after taxation (7,764,041) (26,119,993) - goodwill amortisation - 1,915,064 Exceptional items - goodwill impairment 1,700,000 23,696,014 - licence impairment 1,437,500 - loss on disposal of discontinued operations 3,222,605 - - other exceptional items - 159,362 (Loss) / profit before goodwill amortisation and exceptional items (2,841,436) 1,087,947 2003 2002 Number of Number of shares shares Weighted average number of shares 98,147,196 97,628,887 For diluted (loss) earnings per share 98,147,196 97,628,887 Year ended Year ended 31-Aug 31-Aug 2003 2002 Pence per Pence per share share Basic(7.91) (26.75) Basic EPS excluding goodwill amortisation and impairment. (2.90) 1.11 Diluted (7.91) (26.75) The directors have presented alternative earnings per share figures to give a better indication of the long-term results of the business. FRS14 requires presentation of diluted EPS when a company could be called upon to issue shares that would decrease net profit or increase net loss per share. For a loss-making company with outstanding share options, net loss per share would only be increased by the exercise of out-of-the-money options and warrants. Since it seems inappropriate to assume that option and warrant holders would act irrationally, no adjustment has been made to diluted EPS for out-of-the-money share options and warrants. 3 Disposal of discontinued operations During the period the company disposed of its holdings in Benson Mcgarvey Limited, Kingsbridge Financial Limited and Kingsbridge Nottingham Limited, together with their respective subsidiaries, to the management. The consideration consisted of cancellation of shares to be issued, cancellation of loan note liabilities, deferred consideration and cash. After the write- off of the remaining goodwill the company made a loss as follows:- # Fixed Assets 903,848 Net current liabilities (1,912,593) Net Liabilities (1,008,745) Related Goodwill 10,542,759 Loss on sale (3,222,605) Sale proceeds 6,311,409 Satisfiedby Cash 285,239 Non issue of shares 4,350,000 Cancellation of deferred consideration 1,900,000 6,535,239 Less cost of disposal 223,830 Net consideration 6,311,409 # Consideration 6,535,239 Less cost of disposal (223,830) Net liabilities sold 1,008,745 Profit before goodwill write off 7,320,154 Goodwill write off (10,542,759) Loss on sale (3,222,605) 4 Reconciliation of movements in group equity shareholders' funds 2003 2002 # # Loss for the year (7,764,041) (26,119,993) Shares cancelled in the year (4,350,000) - Net reduction in equity shareholders' funds (12,114,041) (26,119,993) Opening equity shareholders' funds 11,934,946 38,054,939 Closing equity shareholders' funds (179,095) 11,934,946 5 Reconciliation of operating loss to operating cash flows 2003 2002 # # Operating loss (4,418,879) (25,679,086) Depreciation charges 227,413 247,362 Loss / (profit) on sale of tangible fixed assets 128,408 (11,556) Goodwill amortisation and impairment 1,700,000 25,611,078 Licence amortisation and impairment - 1,437,500 Decrease in debtors 1,572,813 1,684,671 Increase (decrease) in creditors 179,507 (870,857) Adjustments to prior year goodwill - (547,984) Net cash (outflow) inflow from operating activities (610,738) 1,871,128 Cash outflows comprise #203,000 of inflows in respect of continuing operations, and #813,738 outflows in respect of discontinuing activities. 6 Analysis of cash flows 2003 2002 # # Returns on investments and servicing of finance Interest received 42,951 479,494 Interest paid (198,825) (491,230) Net cash outflow (155,874) (11,736) Taxation UK corporation tax paid (214,171) (914,105) Capital expenditure and financial investment Purchase of tangible fixed assets - (737,154) Sale of tangible fixed assets - 26,843 Net cash outflow (710,311) Acquisitions and disposals Purchase of subsidiary undertaking - 88,182 Net cash receiept on sale of subsidiary undertakings 61,409 - Net cash inflow 61,409 88,182 Financing Capital element of finance lease rentals - (5,443) Net cash outflow - (5,443) 7 Analysis and reconciliation of net debt At 1 September Cash flow Other- non cash At 31 August 2002 changes 2003 Cash at bank and in hand 601,959 (601,959) - - Bank overdraft - (317,415) - (317,415) 601,959 (919,374) - (317,415) Investment- loan note deposit 10,213,405 9,955,405 - 258,000 Loan notes due within one year (10,213,405) (9,955,405) - (258,000) Finance leases (1,300,000) - 1,300,000 - Net debt (698,041) (919,374) 1,300,000 (317,415) Enquiries: Laurie Turnbull 0161 7876800 This information is provided by RNS The company news service from the London Stock Exchange END FR QKFKPABKDNNK
1 Year Penmc Chart |
1 Month Penmc 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