Half-year Report

RNS Number : 4297Z

Ross Group PLC

31 August 2018

 

Ross Group Plc Half Yearly Financial Report  30th June 2018

HALF YEARLY FINANCIAL REPORT FOR THE SIX MONTHS ENDED 30 JUNE 2018 Financial Summary (6 months to  30 June 2018) 2018 2017    £'000   £'000   Change Group Revenue 68 95 -28% Gross Profit/(Loss) 10 17 -41% Profit/(Loss) before tax 10 17 -41% Basic earnings per share 0.006p 0.01p -41% Diluted earnings per share 0.006p 0.01p -41% Chairman's Statement For the half year to 30th June 2018, I am pleased to report that the Ross Group PLC has made a net profit after tax of £10,000 on revenues of £68,000 The Board in the first half 2018 has continued with its stringent strategy of strong cost controls along with minimal expenditure, continuing to maintain our operational and supply chain management services, whilst also increasingly intensifying our extensive endeavours in trying to identify an appropriate acquisition and/or exceptional opportunity to be able to integrate into our existing business. Notwithstanding all our efforts to date - which have been more focused than ever before - it is also satisfying to be able to still successfully report that our revenues again during this first half year are more than sufficient to cover our operating costs as well as any advanced and/or related transactional expenses.  Business Outlook For the second half of 2018 the Board and myself will continue, along with our team of Advisors and Consultants, to work tirelessly towards trying to successfully search and hopefully conclude a beneficial, strategic acquisition, in addition to our Group's existing business into an exciting new future.  Dividend No ordinary interim dividend is proposed after considering the result for the first half of the year, and the existing deficiency of retained reserves (2017: £Nil) I would very much like to thank the members of the Board of Directors, as well as our contractors, consultants and advisors for all their continued, and highly appreciated, support, expertise and hard work. Finally, as always, I would also like to personally extend my sincere thanks to our extraordinarily loyal shareholders for all their continued patience and exceptional understanding. Barry Richard Pettitt Chairman and Chief Executive Officer Approved 30 August 2018 CONDENSED CONSOLIDATED INCOME STATEMENT UNAUDITED 6 months 6 months Year Ended ended 30 June ended 30 June 31 Dec 2018 2017 2017    £'000   £'000   £'000 Group Revenue Continuing Operations 68 95 57 Discontinuing Operations 0 0 0 Operating Profit / (Loss) Continuing Operations 10 17 57 Discontinuing Operations 0    0 0 Profit  before Finance Cost 10 17 57 Finance Cost Profit before Taxation 10 17 57 Taxation 0 0 0 Profit for the Period 10 17 57 Earnings per share (pence) 0.006 0.010 0.030 Adjusted earnings per share (pence) 0.006 0.010 0.030 CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY UNAUDITED Share Capital Accumulated Losses Other Reserves Total £'000 £'000 £'000 £'000 Balance at 1 Jan 2017 11,179 (35,691) 18,187 (6,325) Profit for the period 17 17 Total recognised income 17 17 Balance at 30 June 2017 11,179 (35,674) 18,187 (6,308) Profit/(loss) for the period 40 40 Total recognised income 40 40 Balance at 31 Dec 2017 11,179 (35,634) 18,187 (6,268) Balance at 1 Jan 2017 11,179 (35,634) 18,187 (6,268) Profit for the period 10 10 Total recognised income 10 10 Balance at 30 June 2018 11,179 (35,624) 18,187 (6,258) CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION UNAUDITED 6 months 6 months Year Ended ended 30 June ended 30 June 31 Dec 2018 2017 2017 £'000 £'000 £'000 Non Current Assets 0 0 0 Current Assets Inventories 0 0 0 Trade and Other Receivables 79 9 4 Cash and Cash Equivalents 1 7 19 80 16 23 Total Assets 80 16 23 Equity and Liabilities Shareholders' Equity Share Capital 11,179 11,179 11,179 Share Premium Account  2,803  2,803  2,803 Other Reserves 15,384 15,384 15,384 Retained Earnings   (35,624)   (35,674)    (35,634) Total Equity (6,258) (6,308) (6,268) Non-Current Liabilities Long Term Borrowings (Group) 6,072 6,072 6,072 Current Liabilities Trade and Other Payables 256 242 209 Bank Overdraft and Loans 10 10 10 Total Liabilities 6,338 6,324 6,291 Total Equity and Liabilities 80 16 23 CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS UNAUDITED 6 months 6 months Year Ended ended 30 June ended 30 June 31 Dec 2018 2017 2017    £'000   £'000   £'000 Net Cash From/(Used In) Operating Activities (18) 6 21 Net Cash Used In Investing Activities 0 0 0 Cash Flows From Financing Activities: Amount withdrawn by Directors 0 0 (3) Net Increase/(Decrease) In Borrowings 0 0 0 Net Cash Flow From Financing Activities (18) 6 18 Net Increase/(Decrease) In Cash and Cash Equivalents (18)    6 18 Cash and Cash Equivalent at Beginning of Period 19 1 1 Cash and Cash Equivalent at End of Period 1 7 19 Notes to the Interim Report (1)      The interim financial statements have been prepared on the basis of the accounting policies set out in the audited statutory accounts for the year ended 31 December 2017. The financial information contained in these statements for the six months ended 30 June 2018 and 30 June 2017 is unaudited and does not constitute statutory accounts as defined in section 434 of the Companies Act 2006. (2)      Reconciliation of Operating Profit to Net Cash Flows From Operating Activities 6 months 6 months Year Ended ended 30 June ended 30 June 31 Dec 2018 2017 2017    £'000   £'000   £'000 Operating Profit/(Loss) On Continuing Activities 10 17 57 Depreciation and Amortisation 0 0 0 Decrease/(Increase) In Inventories 0 0 0 Decrease/(Increase) In Trade and Other Receivables (75) 4 9 Increase/(Decrease) In Trade and Other Payables 47 (15) (45) Net Cash Generated From/(Used In) Operations (18) 6 21 (3)       No ordinary interim dividend is proposed for 2018 (2017 - £Nil). (4)       The comparative cash flow for the year ended 31 December 2017 has been extracted from the audited accounts. The cash flows for the six months ended 30 June 2018 and 30 June 2017 are unaudited. (5)       Reconciliation of Movements In Equity 6 months 6 months Year Ended ended 30 June ended 30 June 31 Dec 2018 2017 2017    £'000   £'000   £'000 Share Premium Account Brought Forward 2,803 2,803 2,803 Movement 0 0 0 Carried Forward 2,803 2,803 2,803 Other Reserves Brought Forward 15,384 15,384 15,384 Movement 0 0 0 Carried Forward 15,384    15,384 15,384 Retained Earnings Brought Forward   (35,634) (35,691) (35,691) Profit for the Period 10 17 57 Carried Forward (35,624) (35,674) (35,634) (6)       The Group is supported by short term borrowings from its larger shareholders and supporters by way of formal agreements. At 30 June 2018 total borrowings from One World Limited were £4,010,000 and £2,062,172 from Excite Enterprises Limited,  neither of which is a related party. (7)       These Statements are prepared in accordance with International Financial Reporting Standards (IFRS) as adopted for use in the EU. (8)       The Interim Report will be sent by mail to all registered shareholders and copies will be available from the Company's registered office at 71-75 Shelton Street, London, WC2H 9JQ. A downloadable copy will also be posted on the Company's website www.ross-group.co.uk Responsibility statement:     The Directors confirm that, to the best of their knowledge:- a)    the condensed set of financial statements has been prepared in accordance with IAS 34 'Interim Financial Reporting'; b)    the interim management report includes a fair review of the information required by DTR 4.2.7R (indication of important events during the first six months and description of principal risks and uncertainties for the remaining six months of the year); and c)    the interim management report includes a fair review of the information required by DTR 4.2.8R (disclosure of related parties' transactions and changes therein). On behalf of the Board B Pettitt                           Chief Executive Officer                         Ross Group plc Registered Office 71 - 75 Shelton Street London WC2H 9JQ Contact - M Simon, Non Executive Director Tel. - 07887  628152 Email - [e-mail] Website - www.ross-group.co.uk

 

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