Results for the Year Ended 31 December 2017

31 May 2018

PANTHER METALS PLC
(“Panther Metals”, the “Company” or the “Group”)

Audited Results for the Year Ended 31 December 2017
 

CHAIRMAN’S STATEMENT
 

I am pleased to present the Group’s audited financial results for the year ended 31 December 2017. With no operating business as yet, the Group made a consolidated pre-tax loss for the year of £133,747 (2016: £113,438). The parent company loss for the year amounted to £133,640 (2016: £112,944). Cash at bank at the end of December 2017 was £62,000 (2016: £82,633). Our net assets stood at £44,882 (2016: £178,629) as at 31 December 2017.

For the financial year ended 2017, the Company remained quoted on the NEX Exchange Growth Market in London, as an investment vehicle seeking to identify and secure potential acquisition opportunities within the agriculture sector, primarily in oil palm plantations (upstream and downstream) and also vacant land suitable for oil palm cultivation.

On 9 March 2018, the Company at its Annual General Meeting received approval from shareholders’ to change its name to Panther Metals PLC from London Nusantara Plantations plc.

Principal Activities and Review of the Business

The principal activity of the Company was to invest in companies, or assets, in the agriculture sector primarily in oil palm plantations and/or vacant land suitable for oil palm cultivation. The Company has continued this activity since listing on the NEX Exchange Growth Market in June 2014. During the financial year, the Company entered into a Share Sale Agreement (“SSA”), dated 29 May 2017, to dispose of its investment in Next Oasis Sdn Bhd for RM683,000 (£124,066). The sale averaged a return of 8.1% (before capital gains tax) which is an above average return on capital asset disposals.

During the financial year the Company expanded its investment horizon to include Indonesia as the rebound in palm oil prices resulted in an increase in capital values of estates in Malaysia. Capital raising from conventional bank borrowings and equity placements had proved difficult for the sector. For the remainder of the financial year, a number of investments were explored including entering into collaboration with parties who have aligned interest with the Company to jointly invest in palm oil mills and estates in Sumatera, Indonesia, none of which were successful.

The Board has been on a capital raise exercise throughout 2017 to re-capitalise the company’s balance sheet. The challenges faced were numerous, as the equity markets in Asia and London were more bullish on other sectors, whilst most private funds were diverted to shorter term investments for quicker returns.

In late 2017, the Board decided to explore a different path of capital raising by considering a change in investing policy. The sectors considered were Consumer, IT, Renewable Energy and Natural Resources. On 9 March 2018, the Company held its Annual General Meeting to approve the recapitalisation of the Company, by way of a fundraising for £300,000 and also a change of investing policy from the agriculture sector to the natural resources sector. The approval included a name change of the Company to Panther Metals PLC to reflect the new investing policy.

Financial Review

The audited results for the year show a loss of £133,747. About 40% of the Company’s primary expenses are largely to maintain its quoted status, and professional fees. The other expenses are related to business development and due diligence fees, incurred in assessing potential investment targets, directors’ fees and general overheads. The Group recorded a foreign exchange loss of £1,060 compared to the gain in 2016 of £26,668. The disposal of the investment in Next Oasis realised a gain of £12,294 (before capital gains tax). Other income of £2,527 was from interest received from treasury fund placements. The cash position as at 31 December 2017 stood at £62,000. As noted above, the Group disposed its interest in Next Oasis Sdn Bhd and the company is expected to undertake a capitalisation exercise in 2018 in order to continue maintaining its listing status.

The Directors do not recommend the payment of a dividend.

The Directors consider the results for the year to be satisfactory despite the adverse conditions faced during the year 2017.

Industry Outlook 2018

Since adopting a change in investing policy to the natural resources sector, the outlook for 2018 will be based on the new investing policy adopted by the Company.

Strong financial performance from the commodity sector industry leaders has continued to be witnessed across the commodity sector into 2018, seeing record cash balances, this combined with a softening of some historic ore reserves provides the platform for Panther Metals to execute a value adding business model.

The company has a broad network of experience, expertise and knowledge enabling the business to focus on the execution of an opportunity open to the business due to the industry not yet feeding the income levels from existing operations down through the sector.

With output from the worlds Gold mines due to peak in 2019 and forecast production witnessing a steady decline through too 2025, combined with Gold discovery's dropping by 85% across the globe over the last 10 years, this highlights the opportunity available. The business focus isn't fixed on one commodity; however this example gives a clear understanding of the factors affecting the sector.

Exploration has been in a down cycle for a number of years, we have witnessed a gradual, but small, upturn in the sector over the last 12 months, backed by the cash positions of the sector leaders, and a requirement to replace existing ore, combined with Panther Metals extensive network, we believe the continued upturn provides us with a robust and exciting business model to take advantage of the continued uptrend.

Panther Metals will continue to explore its extensive network that has already thrown up some very exciting possibilities, communicate with its shareholders, and inform the market as we begin to formally deliver on our business model.
 

Darren Hazelwood
Director

30 May 2018

The Directors of the Company accept responsibility for the contents of this announcement.

For further information please contact:
 

The Company PANTHER METALS PLC Darren Hazelwood, Non-Executive Director Mitchell Smith, Chief Executive Officer	+ 44 (0)7971 957 685 + 1 [phone]
NEX Exchange Corporate Adviser PETERHOUSE CAPITAL LIMITED Mark Anwyl Guy Miller	[phone]

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2017

	Year ended	Year ended
	31 December	31 December
	2017	2016
	£	£
Revenue	-	-
Cost of sales	-	-
	_________	_________
Gross profit	-	-
Administration expenses	(148,568)	(118,339)
Gain on disposal of investment	12,294	-
	_________	_________
Operating loss	(136,274)	(118,339)
Finance income	2,527	4,901
	_________	_________
Loss before taxation	(133,747)	(113,438)
Taxation	-	-
	_________	_________
Loss for the year	(133,747)	(113,438)
Other comprehensive income	-	-
	_________	_________
Total comprehensive loss	(133,747)	(113,438)
	========	========
Loss attributable to:
Equity holders of the company	(133,747)	(113,438)
	========	========
Loss per share	(0.07)p	(0.06)p
	========	========

CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2017

	31 December	31 December
	2017	2016
	£	£
Non-Current Assets
Office equipment	-	151
Investments	-	111,772
	________	________
Total non-current assets	-	112,923
	________	________
Current assets
Prepayments	-	24
Receivables	4,536	-
Cash and cash equivalents	62,000	82,633
	________	________
Total current assets	66,536	82,657
	_________	________
Total assets	66,536	194,580
	_________	________
Current liabilities
Accruals	(21,654)	(15,951)
	_________	_________
Total liabilities	(21,654)	(15,951)
	_________	________
Net assets	44,882	178,629
	========	========
Capital and reserves
Share capital	669,438	669,438
Retained losses	(624,556)	(490,809)
	_________	________
Total equity	44,882	178,629
	========	========

The financial statements of Panther Metals plc, registered number 009753V (Isle of Man), were approved by the board of directors and authorised for issue on 30 May 2018. They were signed on its behalf by:
 

M Subramaniam
Director

COMPANY STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2017

	31 December	31 December
	2017	2016
	£	£
Non-Current Assets
Office equipment	-	151
Investments	181	111,954
	________	_________
Total non-current assets	181	112,105
	________	_________
Current assets
Amounts receivable from related parties	14,778	862
Prepayments	-	24
Cash and cash equivalents	51,527	81,969
	_________	_________
Total current assets	66,305	82,855
	_________	_________
Total assets	66,486	194,960
	_________	_________
Current liabilities
Accruals	(21,002)	(15,837)
	_________	_________
Total liabilities	(21,002)	(15,837)
	_________	_________
Net assets	45,484	179,123
	========	========
Capital and reserves
Share capital	669,438	669,438
Retained losses	(623,954)	(490,315)
	_________	_________
Total equity	45,484	179,123
	========	========

The financial statements of Panther Metals plc, registered number 009753V (Isle of Man), were approved by the board of directors and authorised for issue on 30 May 2018.  They were signed on its behalf by:
 

M Subramaniam
Director

CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2017

	Year ended	Year ended
	31 December	31 December
	2017	2016
	£	£
Cash flow from operating activities
Loss for the year	(133,747)	(113,438)
Adjusted for:
Depreciation	151	79
Interest received	(2,527)	(4,901)
Increase in receivables	(4,512)	(24)
Increase in payables	5,703	4,919
Disposal of investment	(12,294)	-
	_________	_________
Net cash outflow from operating activities	(147,226)	(113,365)
	_________	_________
Cash flow from investing activities
Interest received	2,527	4,901
Disposal of investment	124,066	-
	_________	_________
Net cash inflow from investing activities	126,593	4,901
	_________	_________
Net decrease in cash and cash equivalents	(20,633)	(108,464)
Cash and cash equivalents at the beginning of the year	82,633	191,097
	_________	_________
Cash and cash equivalents at the end of the year	62,000	82,633
	========	========

COMPANY STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2017

	Year ended	Year ended
	31 December	31 December
	2017	2016
	£	£
Cash flow from operating activities
Loss for the year	(133,640)	(112,944)
Adjusted for:
Depreciation	151	79
Interest received	(2,527)	(4,901)
Increase in receivables	(13,892)	(728)
Increase in payables	5,165	4,647
Disposal of investment	(12,294)	-
	_________	__________
Net cash outflow from operating activities	(157,037)	(113,847)
	_________	__________
Cash flow from investing activities
Interest received	2,527	4,901
Disposal / (purchase) of investment	124,066	(182)
	_________	__________
Net cash inflow from investing activities	126,593	4,719
	_________	___________
Net decrease in cash and cash equivalents	(30,442)	(109,128)
Cash and cash equivalents at the beginning of the year	81,969	191,097
	_________	__________
Cash and cash equivalents at the end of the year	51,527	81,969
	========	=========

STATEMENTS OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2017

Group	Share	Retained	Total
	capital	losses	equity
	£	£	£
As at 1 January 2017	669,438	(490,809)	178,629
Loss for the year	-	(133,747)	(133,747)
	_________	_________	_________
At 31 December 2017	669,438	(624,556)	44,882
	========	========	========
As at 1 January 2016	669,438	(377,731)	292,067
Loss for the year	-	(113,438)	(113,438)
	_________	_________	_________
At 31 December 2016	669,438	(490,809)	178,629
	========	========	========
Company	Share	Retained	Total
	capital	losses	equity
	£	£	£
As at 1 January 2017	669,438	(490,315)	179,123
Loss for the year	-	(133,640)	(133,640)
	_________	_________	_________
At 31 December 2017	669,438	(623,955)	45,483
	========	========	========
As at 1 January 2016	669,438	(377,731)	292,067
Loss for the year	-	(112,944)	(112,944)
	_________	_________	_________
At 31 December 2016	669,438	(490,315)	179,123
	========	========	========