TIDMADA
RNS Number : 8842B
Adams PLC
22 June 2016
22 June 2016
Adams Plc
("Adams" or the "Company")
Annual Report and Financial Statements 2016
AUDITED RESULTS FOR THE YEARED 31 MARCH 2016
Adams Plc ("Adams" or the "Company) announces its audited
financial results for the year ended 31 March 2016.
Highlights:
- Net assets at 31 March 2016 of EUR1.10 million (2015: EUR0.25 million).
- Loss after tax of EUR0.23 million (2015: EUR0.03 million.
- Investments at 31 March 2016 valued at EUR0.87 million
represented by 4 AIM quoted holdings (2015: EUR0.17 million
represented by 2 quoted holdings).
- Spend on new investments at a cost of EUR1.02 million (2015: EUR0.07 million).
- Profitable realisations resulting in proceeds of EUR0.36 million (2015: EUR0.08 million).
- Share placing successfully completed resulting in 18,181,818
new ordinary shares being issued and funds of EUR1.08 million being
raised.
Michael Bretherton, Chairman, said:
"The Board remains committed to delivering additional value for
our shareholders and will continue to maintain a rigorous and
highly selective investment approach with a view to exploiting
opportunities as they emerge".
The Company's Annual Report 2016 will shortly be posted to
shareholders and a copy will be made available on the Company's
website at www.adamsplc.co.uk under the Investor Relations /
Company & Shareholder Documents section. The Annual Report 2016
contains on page 25, a Notice of the Annual General Meeting to be
held at 11.00 a.m. on Friday 2 September 2016 at IOMA House, Hope
Street, Douglas, Isle of Man, IM1 1AP.
Enquiries:
Adams plc Michael Bretherton Tel: +44 1534 719 760
Nomad Cairn Financial Advisers LLP. Sandy Jamieson, James
Caithie Tel: +44 207 148 7900
Broker Peterhouse Corporate Finance Limited. Heena Karani Tel:
+44 207 469 3393
Chairman's Statement
Adams Plc ("the Company") is an investing company focusing on
the technology and life sciences sectors.
Adverse conditions in financial markets during the second half
of the year had a negative impact on the carrying values of the
quoted investment holdings of the Company which generated a
positive gross investment return of only EUR30,000 in the year
ended 31 March 2016 versus EUR172,000 in the year to 31 March 2015.
As a result, and after allowing for administrative expenses of
EUR219,000 and exchange translation losses of EUR45,000, Adams
incurred a loss after tax for the year of EUR234,000 compared to a
loss of EUR25,000 in the previous year.
I was appointed to the Board as a non-executive director in May
of this year and subsequently took over the role of Chairman from
Nicholas Nelson on his retirement at the Annual General Meeting of
the Company on 11 September 2015. I thank Nicholas for all his work
in completing the restructuring process of Adams in to an investing
company. The Company also announced the appointment of Dr Andrew
Mitchell as a non-executive director on 6 August 2015.
One of my first priorities on joining the Board was to seek to
strengthen the Company's balance sheet by raising additional funds
to be used to make investments in accordance with the Company's
investing policy and for general working capital purposes. This was
achieved by way of a placing of 18,181,818 new ordinary shares of
EUR0.01 each with new and existing investors at a placing price of
4.4p (5.962 EURcents) per ordinary share to raise GBP800,000
(EUR1,084,000) for the Company before expenses. The new shares were
admitted to trading on AIM on 23 September 2015.
During the year to 31 March 2016, the Company invested
EUR1,024,000 in five AIM listed technology businesses. One of these
new investments was subsequently sold, and the Company also
disposed of the two investments that it held at the 31 March 2015
financial year end, all for a total cash sale consideration of
EUR357,000.
Adams currently holds four investments all of which are quoted
on AIM, and for which the carrying value at 31 March 2016 was
EUR871,000 (31 March 2015: EUR174,000 represented by the two quoted
holdings that have since been sold).
At 31 March 2016, the Company had net assets of EUR1,100,000
inclusive of cash balances of EUR258,000 compared with net assets
of EUR250,000 at 31 March 2015 inclusive of cash balances of
EUR158,000. The increase in net assets is attributable to the
receipt of EUR1,084,000 of share issue proceeds less the loss of
EUR234,000 in the period.
Investments
The four AIM listed investments currently held by the Company
comprise GVC Holdings PLC, Oxford Pharmascience Group Plc,
Imagination Technologies Group Plc and Communisis Plc.
GVC is in a global online gaming and sports betting company with
a solid on-line platform technology from which it operates some of
the leading brands in the gaming sector including bwin, sporting
bet, partypoker and Foxy Bingo. Oxford Pharmascience is a drug
development company that re-develops approved drugs to make them
better, safer and easier to take and it has a current focus to
develop improved formulations of non-steroidal anti-inflammatory
drugs (NSAIDs) and statins for global markets. Imagination is a
global technology leader whose products include the key multimedia,
communications and general purpose processors needed to power all
mobile, consumer, automotive, automotive, enterprise and embedded
electronics. Communisis is a leading processor technology company
that creates unique, patented semiconductor IP for multimedia and
communication applications.
Outlook
The potential for volatility in capital markets remains, given
the continued worries over the slowdown in China's economy,
together with persistent geopolitical risks in Ukraine and the
Middle East and the need for further structural reforms to restore
European public finances to a sustainable path. In addition, there
is uncertainty over the UK referendum on its EU membership and also
an expectation that a US interest rate rise is probable later this
year.
The Board remains committed to delivering additional value for
our shareholders and will continue to maintain a rigorous and
highly selective investment approach with a view to exploiting
opportunities as they emerge. We will also retain the management
disciplines and shareholder alignment under which Adams now
operates, whilst running a low cost base.
Michael Bretherton
Chairman
22 June 2016
Statement of Comprehensive Income for the year ended 31 March
2016
Year ended Year ended
31 Mar 2016 31 Mar 2015
EUR'000 EUR'000
Gain on investments 30 172
------------------------------------------------ ------------- -------------
Gross investment return 30 172
------------------------------------------------ ------------- -------------
Expenses
Net foreign exchange (loss)/gain (45) 15
Administrative expenses (219) (212)
------------------------------------------------ ------------- -------------
Operating loss (234) (25)
------------------------------------------------ ------------- -------------
Loss on ordinary activities before taxation (234) (25)
------------------------------------------------ ------------- -------------
Tax on gain/(loss) on ordinary activities - -
Loss for the year (234) (25)
------------------------------------------------ ------------- -------------
Total comprehensive loss for the year (234) (25)
------------------------------------------------ ------------- -------------
Basic and diluted loss per share (0.7)c (0.1)c
Since there is no other comprehensive loss or gain, the loss for
the year is the same as the total comprehensive loss for the year
attributable to the owners of the Company.
Statement of Changes in Equity as at 31 March 2016
Share Share Accumulated
Capital Premium (Losses) Total
EUR'000 EUR'000 EUR'000 EUR'000
At 1 April 2014 162 133 (170) 125
Changes in equity
Issue of shares 69 81 - 150
Total comprehensive (loss) - - (25) (25)
----------------------------- --------- --------- ------------ --------
At 31 March 2015 231 214 (195) 250
----------------------------- --------- --------- ------------ --------
Changes in equity
Issue of shares 182 902 - 1,084
Total comprehensive (loss) - - (234) (234)
----------------------------- --------- --------- ------------ --------
At 31 March 2016 413 1,116 (429) 1,100
----------------------------- --------- --------- ------------ --------
Statement of Financial Position at 31 March 2016
As at As at
31 March 2016 31 March 2015
EUR'000 EUR'000
Assets
Non-current assets
Investments 871 174
------------------------------- --------------- ---------------
Current assets
Trade and other receivables 3 10
Cash and cash equivalents 258 158
------------------------------- --------------- ---------------
Current assets 261 168
------------------------------- --------------- ---------------
Total assets 1,132 342
------------------------------- --------------- ---------------
Liabilities
Current liabilities
Trade and other payables (32) (92)
------------------------------- --------------- ---------------
Total liabilities (32) (92)
------------------------------- --------------- ---------------
Net current assets 229 76
Net assets 1,100 250
------------------------------- --------------- ---------------
Equity
Called up share capital 413 231
Share premium 1,116 214
Accumulated deficit (429) (195)
Total shareholder equity 1,100 250
------------------------------- --------------- ---------------
Statement of Cash Flows for the year ended 31 March 2016
Year ended Year ended
31 March
2016 31 March 2015
EUR'000 EUR'000
Loss for the year (234) (25)
Unrealised loss/(gain) on revaluation
of investments 162 (128)
Realised (gain) on disposal of investments (192) (44)
Decrease/(increase) in trade and other
receivables 7 (3)
(Decrease)/increase in trade and other
payables (60) 79
Net cash outflow from operating activities (317) (121)
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Cash flows from investing activities
Purchase of investments (1,024) (67)
Proceeds from sales of investments 357 79
Net cash (used)/generated in investing
activities (667) 12
--------------------------------------------- ----------- --------------
Cash flows from financing activities
Issue of ordinary share capital 182 69
Issue of premium share capital 902 81
Net cash generated from financing
activities 1,084 150
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Net increase in cash and cash equivalents 100 41
Cash and cash equivalents at beginning
of year 158 117
Cash and cash equivalents at end of
year 258 158
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This information is provided by RNS
The company news service from the London Stock Exchange
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