Final Results

RNS Number : 4497N

Hermes Pacific Investments PLC

24 September 2019

 

24 September 2019

HERMES PACIFIC INVESTMENTS PLC

(AIM: HPAC)

Final results for the year ended 31 March 2019

Hermes Pacific Investments Plc today reports its financial results for the year ended 31 March 2019.

Chairman's Statement

I am pleased to report the results of Hermes Pacific Investments Plc ("HPAC" or the "Company") for the year ended 31 March 2019. During the year, the Company had no revenues as it does not have any operating business and the Company made a loss of £107,000, which is marginally higher than the loss of £100,000 reported for the previous financial year. We continue our focus to minimise our costs whilst we are looking for opportunities to deploy our cash. At the financial year end the Company had net assets of £3,742,000.

Review of the Company's Activities

The Company is an investing company and has previously made some investments in line with its investing policy in companies involved in financial activities within the emerging market sector. These investments have performed in line with our expectations. We are in a good position from a Balance Sheet perspective and our cash balance as at 31 March 2019 stands at £3.596 million. We have continued to evaluate possible suitable opportunities to deploy our cash resources but have not found any deal that we thought fit that we could put to the shareholders to approve. Our total comprehensive loss for the year was £119,000 compared to a loss of £61,000 for the previous financial year. The deficit is higher this financial year as in the previous corresponding year there was a gain of £39,000 on investments held by the company.

Global economic growth slowed down in the latter months of 2018 and also in the first half of this year. Economic uncertainty remains high due to various factors affecting trade. The system of global trade remains subject to political pressure, and differences between China and the US will likely continue to inform sentiment in the near term. However, the conclusion of major trade agreements - including the Comprehensive and Progressive Agreement for Trans-Pacific Partnership and the EU's bilateral agreements with Japan and Singapore provide important counterweights that could give impetus to international trade in the years ahead.

The slower global growth coupled with the uncertainty of Brexit has undoubtedly dented business confidence in the UK.  The continued uncertainty over Brexit has made it harder for companies to make calls on investment. At the same time, disruption from emerging technology, climate change and fragile geopolitical and trade conditions have created one of the most complex backdrops to operate against in recent times. In view of all the uncertainties currently present we are very cautious with regard to deployment of our cash resources. 

The Company continues to seek attractive investment opportunities that will enhance the shareholder value while minimising the downside risks.

Outlook

We have a strong balance sheet and cash resources that place us in a strong position to exploit investment opportunities as they arise.

Haresh Kanabar

Chairman

24 September 2019

Contacts
Hermes Pacific Investments Plc	www.hermespacificinvestments.com
Haresh Kanabar, Non-Executive Chairman	Tel:  +44 (0)  207 290 3340
WH Ireland Limited (Nominated Adviser & Broker)	www.whirelandcb.com
Mike Coe/ Chris Savidge	Tel: [phone]

Statement of Comprehensive Income for the year ended 31 March 2019

		Year ended 31 March	Year ended 31 March
	Note	2019	2018
		£'000	£'000
Continuing operations
Revenue		-	-
Cost of sales		-	-
gross profit		-	-
Other operating income		-	-
Administrative expenses		(124)	(107)
Operating loss	2	(124)	(107)
Finance income		17	7
Finance costs		-	-
Loss on ordinary activities before tax		(107)	(100)
Tax expense		-	-
Loss for the year from continuing activities		(107)	(100)
Discontinued operations
Loss for the year from discontinued operations		-	-
Loss for the year		(107)	(100)
Other comprehensive income Gains/(losses) arising in the year on investments Total comprehensive loss for the year		(12) (119)	39 (61)
Basic and diluted loss per share
From continuing operations	3	(4.6)p	(4.3)p

Statement of Financial Position as at 31 March 2019

		As at 31 March	As at 31 March
		2019	2018
	Notes	£'000	£'000
ASSETS
Non-current assets
Investments		162	174
		162	174
Current assets
Trade and other receivables		1	1
Cash and cash equivalents		3,596	3,725
		3,597	3,726
LIABILITIES
Current liabilities
Trade and other payables		(17)	(39)
		(17)	(39)
Net current assets		3,580	3,687
NET ASSETS		3,742	3,861
SHAREHOLDERS' EQUITY
Issued share capital		3,576	3,576
Share premium account		5,781	5,781
Share based payments reserve Fair value reserve		139                (11)	139                     1
Retained earnings		(5,743)	(5,636)
TOTAL EQUITY		3,742	3,861

Cash Flow Statement for the year ended 31 March 2019

	Note	Year ended 31 March 2019	Year ended 31 March 2018
		£'000	£'000
Cash flows from operating activities		(146)	(95)
Cash flows from investing activities
Acquisition of investments		-	-
Income from disposal of subsidiary undertakings		-	-
Net cash (used in)/from investing activities		-	-
Cash flows from financing activities
Proceeds of share issues Other operating activities Cost of share issue		- 17 -	- 6 -
Net cash from financing activities		17	6
(Decrease)/increase in cash and cash equivalents		(129)	(89)
Cash and cash equivalents at start of period		3,725	3,814
Cash and cash equivalents at end of period		3,596	3,725

Statement of Changes in Equity for the year ended 31 March 2019

	Ordinary share capital	Deferred share capital	Share premium	Share based payments reserve	Retained earnings	Revaluation reserve	Total
	£'000	£'000	£'000	£'000	£'000	£'000	£'000
At 1 April 2017	2,333	1,243	5,781 -	139	(5,536)	(38)	3,922
Total comprehensive loss/profit for the period	-	-	-	-	(100)	39	(61)
At 1 April 2018	2,333	1,243	5,781	139	(5,636)	1	3,861
Total comprehensive loss/profit for the period	-	-	-	-	(107)	(12)	(119)
At 31 March 2019	2,333	1,243	5,781	139	(5,743)	(11)	3,742

Notes to the financial statements for the year ended 31 March 2019

1.    General information

Hermes Pacific Investments Plc is a company incorporated in the United Kingdom under the Companies Act 2006. The nature of the company's operations and its principal activities are set out in the Directors' Report on page 3.

        Statement of compliance

The financial statements comply with International Financial Reporting Standards as adopted by the European Union. At the date of approval of these financial statements, various Standards and Interpretations affecting the Company, which have not been applied in these financial statements, were in issue, but not yet effective (and in some cases had not been adopted by the EU). The Directors have considered these new standards and interpretations and do not expect them to have a material impact on the company.

2.    Operating loss

		Year ended  31 March 2019		Year ended 31 March 2018
		£'000		£'000
	The operating loss is stated after charging the following, included in administrative expenses:
	Staff costs	44		44
	Other admin costs	80		63
		124		107

3.   Loss per share

		Year ended  31 March 2019		Year ended  31 March 2018
	Basic
	Loss from continuing activities (£'000)	(107)		(100)
		(107)		(100)
	Number of shares	2,333,295		2,333,295
	Basic loss per share (p)
	From continuing operations	(4.6)p		(4.3)p
		(4.6))p		(4.3)p

4.   Publication of non-statutory accounts

The financial information set out in this announcement does not comprise the Group's statutory accounts for the years ended 31 March 2019 or 31 March 2018. The financial information has been extracted from the statutory accounts of the Company for the years ended 31 March 2019 and 31 March 2018.

The auditors' opinion on those accounts was unmodified and did not contain a statement under 498 (2) or section 498 (3) of the Companies Act 2006 and did not include references to any matters to which the auditor drew attention by the way of emphasis.

The statutory accounts for the year ended 31 March 2018 have been delivered to the Registrar of Companies, whereas those for the year ended 31 March 2019 will be delivered to the Registrar of Companies following the Company's Annual General Meeting.

5.   Publication of non-statutory accounts

The Annual Report will be posted to shareholders and will be available on the Company's website (www.hermespacificinvestments.com) shortly.

 

END

 

 

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