Half Yearly Report
14 February 2011
CAP-XX Limited
Interim Results for the half-year ended 31 December 2010
CAP-XX Limited, a world leader in the design and manufacture of revolutionary thin-form supercapacitors, which considerably extend the performance of batteries in small portable devices, announces its interim results for the half-year ended 31 December 2010.
Financial Highlights
· Total Revenue of A$1.5 million (2009: AUD$2.6 million), the reduction reflecting Murata payments which were received in prior reporting periods.
· Product sales increased 15% on a year to year basis while average selling prices increased 4%
· Cash reserves of A$3.0m at the period end
Operational Highlights
· Murata commenced customer shipments in January 2011
· Strong acceptance of technology from leading video and camera manufacturers
· Nationgate to double its manufacturing capacity by end of March 2011
· Polar Twin Advance addressing previous yield issues with promising results
· CAP-XX Surface Mount Device (SMD) project progressing to plan
· Sales in the second half of the year have started strongly
Anthony Kongats, CEO of CAP-XX said:
"The half year has seen us address the challenges of bringing supercapacitor volumes to the levels necessary to service the immediate demands for adoption in volume devices. Murata and our manufacturing partners are now shipping product for leading manufacturers in many different markets. We are excited by the prospect of large scale uptake of our supercapacitor technology for portable devices."
For further information contact:
CAP-XXAnthony Kongats, Chief Executive Officer
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+61 (0) 2 9428 0139 |
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Kreab Gavin Anderson & Company (Financial PR) Robert Speed / Deborah Walter / Anthony Hughes
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+44 (0) 20 7074 1800 |
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Seymour Pierce Ltd (Nominated Adviser and Broker) David Banks, Nandita Sahgal |
+44 (0) 20 7107 8000 |
More information is available at www.cap-xx.com
Notes to Editors:
CAP-XX supercapacitors have a compact, thin form design and can store higher volumes of energy and output higher power levels than competing supercapacitor products. These attributes are critical for current and future generation electronic devices, such as mobile phone cameras with a quality flash photography capability and high quality audio capabilities. Other applications include mobile phone and solid state disk 9SSD) power management, mobile phone accessories, digital still cameras, energy harvesting systems, e-books, portable drug delivery systems, wireless sensors, uninterrupted power supplies, plant condition monitors, toll tags and location tracking devices. Longer term, as the market for fuel cell systems develops, supercapacitors can be used to support modulated output for fuel cell systems.
Chairman's Review
Business overview
Over the past six months management has remained focused on building up the manufacturing capacity, whilst driving sales and new product development. Good progress has been made on each of these key factors as the Company continues to build a solid foundation for the future.
The Board visited licencee Murata in Kyoto, in early December, to meet and discuss the ongoing relationship with CAP-XX and to gain an insight on the status of Murata's order book and plans for product shipment. Murata subsequently advised that customer shipments anticipated in December were actually shipped at the beginning of January. Murata advised that they planned future volumes to methodically increase as the production line was hardened and actual customer drawdown rate became evident . CAP-XX will receive its first royalty remittance from Murata in Quarter 2 of the current calendar year. The R&D Agreement with Murata remains on track with the final payment to be received when the final report is provided by CAP-XX to Murata in the middle of the current year.
Operational performance from our contract manufacturers was mixed over the past six month with output impacted by key staff changes, raw material shortages and delayed commissioning delaying shipment to customers. I am pleased to report that the last two months has seen a noticeable increase in yield, output and efficiency from both contractors. In addition Nationgate are in the final stages of commissioning their second line which will double their current capacity. It is forecast that this second line will be fully operational by the end of the current quarter.
While reported sales revenue of A$1.5m was down 44%, this decrease was due to the timing and treatment of the receipt of past Murata payments. Actual unit volumes were up 15% on a year on year basis whilst our average selling price increased by 4% leading to a 20% increase in product sales in dollar terms. Due to the improved manufacturing performance from our contract manufacturers, sales in the new calendar year are currently running at a substantially higher rate than that achieved in the first six months. As highlighted in the 2010 Annual Report, the order book remains strong and new application enquiries are also on the increase. Cash reserves are A$3.0m as at the end of December 2010.
We expect capacity from our Malaysian manufacturing partners to match demand this half and for sales to show good growth.
Michael Quinn
Chairman
Feb 14th 2011
CAP-XX Limited
Income statement - Unaudited
For the half-year ended 31 December 2010
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Consolidated |
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|
|
|
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Half-year 2010 |
Half-year 2009 |
|
|
|
|
|
|
|
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Currency: Australian Dollars |
|
$ ' 000 |
$ ' 000 |
|
|
|
|
|
|
|
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Revenue from sale of goods and services |
|
1,466,526 |
2,617,349 |
|
|
Cost of sale of goods and services |
|
(1,513,050) |
(1,812,935) |
|
|
Gross margin (loss) on sale of goods and services |
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(46,524) |
804,414 |
|
|
|
|
|
|
|
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Other income |
|
157,000 |
12,712 |
|
|
Other revenue |
|
58,995 |
0 |
|
|
General and administrative expenses |
|
(1,179,636) |
(1,135,562) |
|
|
Process and engineering expenses |
|
(150,531) |
(354,314) |
|
|
Selling and marketing expenses |
|
(199,290) |
(127,210) |
|
|
Research and development expenses |
|
(643,035) |
(769,086) |
|
|
Foreign exchange gains/(losses) |
|
(302,524) |
(454,353) |
|
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Other expenses |
|
(10,972) |
(30,458) |
|
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(Loss) before income tax |
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(2,316,517) |
(2,053,857) |
|
|
|
|
|
|
|
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Income tax benefit/(expense) |
|
- |
- |
|
|
Net (loss) for the half year |
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(2,316,517) |
(2,053,857) |
|
|
|
|
|
|
|
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(Loss) attributable to members of CAP-XX Limited |
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(2,316,517) |
(2,053,857) |
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|
|
|
|
|
|
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Earnings (loss) per share attributable to the ordinary equity holders of the company
|
|
Cents |
Cents |
|
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Basic earnings per share |
|
(3.4) |
(3.3) |
|
|
Diluted earnings per share |
|
(3.4) |
(3.3) |
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CAP-XX Limited
Balance sheet - Unaudited
As at 31 December 2010
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Consolidated |
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|
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|
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31 December 2010 |
30 June 2010 |
31 December 2009 |
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|
|
|
|
|
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Currency: Australian Dollars |
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$ ' 000 |
$ ' 000 |
$ ' 000 |
|
|
|
|
|
|
|
ASSETS |
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|
|
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Current assets |
|
|
|
|
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Cash and cash equivalents |
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3,015,613 |
4,113,970 |
1,449,276 |
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Receivables |
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289,401 |
368,906 |
444,477 |
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Inventories |
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1,120,424 |
1,031,873 |
1,074,681 |
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Other |
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149,503 |
58,448 |
312,625 |
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Total current assets |
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4,574,941 |
5,573,197 |
3,281,059 |
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|
|
|
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Non-current assets |
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|
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Property, plant and equipment |
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993,122 |
981,230 |
1,321,306 |
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Other |
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208,233 |
208,233 |
208,233 |
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Total non-current assets |
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1,201,355 |
1,189,463 |
1,529,539 |
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|
|
|
|
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Total assets |
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5,776,296 |
6,762,660 |
4,810,598 |
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LIABILITIES |
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Current liabilities |
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|
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Payables |
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1,049,013 |
1,157,646 |
861,391 |
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Other -deferred service revenue |
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- |
- |
1,315,552 |
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Progress payments - Sale of Plant |
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713,316 |
1,149,653 |
699,405 |
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Provisions |
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626,739 |
531,949 |
401,187 |
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Total current liabilities |
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2,389,068 |
2,839,248 |
3,277,535 |
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|
|
|
|
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Non-current liabilities |
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|
|
|
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Provisions |
|
65,529 |
119,441 |
176,943 |
|
Progress payments - Sale of Plant |
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1,426,632 |
- |
- |
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Total non-current liabilities |
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1,492,161 |
119,441 |
176,943 |
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|
|
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Total liabilities |
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3,881,229 |
2,958,689 |
3,454,478 |
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Net assets |
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1,895,067 |
3,803,971 |
1,356,120 |
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|
|
|
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EQUITY |
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Contributed equity |
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81,878,750 |
81,878,750 |
78,906,340 |
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Reserves |
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2,899,357 |
2,491,744 |
2,569,478 |
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Accumulated losses |
|
(82,883,040) |
(80,566,523) |
(80,119,698) |
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TOTAL EQUITY |
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1,895,067 |
3,803,971 |
1,356,120 |
CAP-XX Limited
Statements of changes in equity - Unaudited
For the half-year ended 31 December 2010
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Consolidated |
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Half-year 2010 |
Half-year 2009 |
|
|
|
|
|
|
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Currency: Australian Dollars |
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$ ' 000 |
$ ' 000 |
|
|
|
|
|
|
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Total equity at the beginning of the half year |
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3,803,971 |
3,096,883 |
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|
|
|
|
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Exchange differences on translation of foreign operations |
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179,613 |
103,611 |
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Net (loss) recognised directly in equity |
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179,613 |
103,611 |
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(Loss) for the half year |
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(2,316,517) |
(2,053,857) |
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Total recognised income and expenses for the half year |
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(2,136,904) |
(1,950,246) |
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|
|
|
|
|
|
|
|
|
|
|
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Transactions with equity holders in their capacity as equity holders: |
|
|
|
|
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Employee share options |
|
228,000 |
209,483 |
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Exercise of options |
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- |
- |
|
|
|
|
|
|
|
|
|
|
228,000 |
209,483 |
|
|
|
|
|
|
|
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Total equity at the end of the half-year |
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1,895,067 |
1,356,120 |
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CAP-XX Limited
Cash flow statements - Unaudited
For the half-year ended 31 December 2010
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Consolidated |
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|
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Half-year 2010 |
Half-year 2009 |
|
|
|
|
|
|
|
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Currency: Australian Dollars |
|
$ ' 000 |
$ ' 000 |
|
|
|
|
|
|
|
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Cash flows from operating activities |
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|
|
|
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Receipts from customers (inclusive of goods and services tax) |
|
2,842,357 |
1,284,203 |
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Payments to suppliers and employees (inclusive of goods and services tax) |
|
(3,926,419) |
(3,895,370) |
|
|
|
|
(1,084,062) |
(2,611,167) |
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Interest received |
|
58,995 |
12,712 |
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Net cash (outflow) inflow from operating activities |
|
(1,025,067) |
(2,598,455) |
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|
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Cash flows from investing activities |
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|
|
|
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Payments for property, plant and equipment |
|
(73,290) |
(12,510) |
|
|
|
|
|
|
|
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Net cash (outflow) inflow from investing activities |
|
(73,290) |
(12,510) |
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|
|
|
|
|
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Cash flows from financing activities |
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|
|
|
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Proceeds from issue of shares |
|
- |
- |
|
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Net cash inflow from financing activities |
|
- |
- |
|
|
|
|
|
|
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Net increase (decrease) in cash and cash equivalents |
|
(1,098,357) |
(2,610,965) |
|
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Cash and cash equivalents at the beginning of the half-year year |
|
4,113,970 |
4,060,241 |
|
|
Cash and cash equivalents at the end of the half-year year |
|
3,015,613 |
1,449,276 |
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This general purpose interim financial report, for the half-year reporting period ended 31 December 2010, has been prepared in accordance with Australian equivalents to International Financial Reporting Standards (AIFRSs), other authoritative pronouncements of the Australian Accounting Standards Board, Urgent Issues Group Interpretations and the Corporations Act 2001. This general purpose interim financial report, for the half-year reporting period ended 31 December 2010, is (with the exception of the figures for 30 June 2010 in the Balance Sheet) unaudited.
This information is provided by RNS