|
HALF YEARLY FINANCIAL REPORT
FOR THE SIX MONTHS ENDED 30 JUNE 2016
|
Financial Summary (6 months to 30 June 2016)
|
2016
|
|
2015
|
|
|
|
|
£'000
|
|
£'000
|
|
Change
|
|
|
|
|
|
|
|
|
Group Revenue
|
63
|
|
76
|
|
-17%
|
|
|
|
|
|
|
|
|
Gross Profit/(Loss)
|
14
|
|
37
|
|
-62%
|
|
|
|
|
|
|
|
|
Profit/(Loss) before tax
|
14
|
|
37
|
|
-62%
|
|
|
|
|
|
|
|
|
Basic earnings per share
|
0.008p
|
|
0.021p
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings per share
|
0.008p
|
|
0.021p
|
|
|
Chairman's Statement
|
For the half year to 30th June 2016, I am pleased to report that the Ross Group has made a profit of £14,000 on revenues of £63,000.
The Board's continuing strategy is to maintain our ongoing commitment towards strong cost controls and minimal expenditure, whilst also maintaining a focused endeavour to try to find an appropriate merger, acquisition or business opportunity to present to our loyal and supportive shareholders.
Therefore it is satisfying to report that our revenues this year continue to be sufficient to more than cover our operating costs.
A point to bear in mind if looking at the prior year comparison is that our costs in the first half last year were lower than normal, arising from some un-needed expense provisions being reversed in that period.
We are as confident as ever that we shall be able to recommend to our shareholders in the near future a significant and beneficial deal in order to try to secure a prosperous future for Ross Group Plc.
|
Business Outlook
Along with myself, our dedicated team of Directors, Advisors and Consultants, we are all continuing to work tirelessly towards trying to conclude an beneficial, strategic business arrangement in order to take our Group into an exciting and 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 (2015 - £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 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 understanding.
Barry Richard Pettitt
Chairman and Chief Executive Officer
Approved 30 August 2016
|
CONDENSED CONSOLIDATED INCOME STATEMENT UNAUDITED
|
|
|
|
|
|
|
|
6 months
|
|
6 months
|
|
Year Ended
|
|
|
ended 30 June
|
|
ended 30 June
|
|
31 Dec
|
|
|
2016
|
|
2015
|
|
2015
|
|
|
£'000
|
|
£'000
|
|
£'000
|
|
|
|
|
|
|
|
|
Group Revenue
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Continuing Operations
|
63
|
|
76
|
|
157
|
|
|
|
|
|
|
|
|
Discontinuing Operations
|
0
|
|
0
|
|
0
|
|
|
|
|
|
|
|
|
Operating Profit / (Loss)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Continuing Operations
|
14
|
|
37
|
|
111
|
|
|
|
|
|
|
|
|
Discontinuing Operations
|
0
|
|
0
|
|
0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Profit before Finance Cost
|
14
|
|
37
|
|
111
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Finance Cost
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Profit before Taxation
|
14
|
|
37
|
|
111
|
|
|
|
|
|
|
|
|
Taxation
|
0
|
|
0
|
|
0
|
|
|
|
|
|
|
|
|
Profit for the Period
|
14
|
|
37
|
|
111
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per share (pence)
|
0.008
|
|
0.021
|
|
0.062
|
|
Adjusted earnings per share (pence)
|
0.008
|
|
0.021
|
|
0.062
|
CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY UNAUDITED
|
|
|
Share
Capital
|
|
Accumulated
Losses
|
|
Other
Reserves
|
|
Total
|
|
|
|
£'000
|
|
£'000
|
|
£'000
|
|
£'000
|
|
Balance at 1 Jan 2015
|
|
11,179
|
|
(35,740)
|
|
18,187
|
|
(6,374)
|
|
|
|
|
|
|
|
|
|
|
|
Profit for the period
|
|
|
|
37
|
|
|
|
37
|
|
Total recognised income
|
|
|
|
37
|
|
|
|
37
|
|
|
|
|
|
|
|
|
|
|
|
Balance at 30 June 2015
|
|
11,179
|
|
(35,703)
|
|
18,187
|
|
(6,337)
|
|
|
|
|
|
|
|
|
|
|
|
Profit/(loss) for the period
|
|
|
|
74
|
|
|
|
74
|
|
|
|
|
|
|
|
|
|
|
|
Total recognised income
|
|
|
|
74
|
|
|
|
74
|
|
Balance at 31 Dec 2015
|
|
11,179
|
|
(35,629)
|
|
18,187
|
|
(6,263)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance at 1 Jan 2016
|
|
11,179
|
|
(35,629)
|
|
18,187
|
|
(6,263)
|
|
|
|
|
|
|
|
|
|
|
|
Profit for the period
|
|
|
|
14
|
|
|
|
14
|
|
Total recognised income
|
|
|
|
14
|
|
|
|
14
|
|
|
|
|
|
|
|
|
|
|
|
Issue of New Share Capital
|
|
|
|
|
|
|
|
|
|
Balance at 30 June 2016
|
|
11,179
|
|
(35,615)
|
|
18,187
|
|
(6,249)
|
CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION UNAUDITED
|
|
6 months
|
|
6 months
|
|
Year Ended
|
|
|
ended 30 June
|
|
ended 30 June
|
|
31 Dec
|
|
|
2016
|
|
2015
|
|
2015
|
|
|
£'000
|
|
£'000
|
|
£'000
|
|
|
|
|
|
|
|
|
Non Current Assets
|
0
|
|
0
|
|
0
|
|
|
|
|
|
|
|
|
Current Assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Inventories
|
0
|
|
0
|
|
0
|
|
Trade and Other Receivables
|
14
|
|
9
|
|
21
|
|
Cash and Cash Equivalents
|
0
|
|
9
|
|
4
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
14
|
|
18
|
|
25
|
|
|
|
|
|
|
|
|
Total Assets
|
14
|
|
18
|
|
25
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
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
|
(35,615)
|
|
(35,703)
|
|
(35,629)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Equity
|
(6,249)
|
|
(6,337)
|
|
(6,263)
|
|
|
|
|
|
|
|
|
Non-Current Liabilities
|
|
|
|
|
|
|
Long Term Borrowings (Group)
|
6,072
|
|
6,139
|
|
6,072
|
|
|
|
|
|
|
|
|
Current Liabilities
|
|
|
|
|
|
|
Trade and Other Payables
|
181
|
|
206
|
|
206
|
|
Bank Overdraft and Loans
|
10
|
|
10
|
|
10
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total Liabilities
|
6,263
|
|
6,355
|
|
6,288
|
|
|
|
|
|
|
|
|
Total Equity and Liabilities
|
14
|
|
18
|
|
25
|
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS UNAUDITED
|
|
6 months
|
|
6 months
|
|
Year Ended
|
|
|
ended 30 June
|
|
ended 30 June
|
|
31 Dec
|
|
|
2016
|
|
2015
|
|
2015
|
|
|
£'000
|
|
£'000
|
|
£'000
|
|
|
|
|
|
|
|
|
Net Cash From/(Used In) Operating Activities
|
(4)
|
|
(6)
|
|
64
|
|
|
|
|
|
|
|
|
Net Cash Used In Investing Activities
|
0
|
|
0
|
|
0
|
|
|
|
|
|
|
|
|
Cash Flows From Financing Activities
|
0
|
|
0
|
|
(75)
|
|
|
|
|
|
|
|
|
Net Increase/(Decrease) In Borrowings
|
0
|
|
0
|
|
0
|
|
Net Cash Flow Used In Financing Activities
|
0
|
|
0
|
|
(75)
|
|
|
|
|
|
|
|
|
Net Increase/(Decrease) In Cash and Cash Equivalents
|
(4)
|
|
(6)
|
|
(11)
|
|
|
|
|
|
|
|
|
Cash and Cash Equivalent at Beginning of Period
|
4
|
|
15
|
|
15
|
|
|
|
|
|
|
|
|
Cash and Cash Equivalent at End of Period
|
0
|
|
9
|
|
4
|
|
|
|
|
|
|
|
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 2015.
The financial information contained in these statements for the six months ended
30 June 2016 and 30 June 2015 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
|
|
|
2016
|
|
2015
|
|
2015
|
|
|
£'000
|
|
£'000
|
|
£'000
|
|
|
|
|
|
|
|
|
Operating Profit/(Loss) On Continuing Activities
|
14
|
|
37
|
|
111
|
|
|
|
|
|
|
|
|
Depreciation and Amortisation
|
0
|
|
0
|
|
0
|
|
Decrease/(Increase) In Inventories
|
0
|
|
0
|
|
0
|
|
Decrease/(Increase) In Trade and Other Receivables
|
7
|
|
(7)
|
|
(11)
|
|
Increase/(Decrease) In Trade and Other Payables
|
(25)
|
|
(36)
|
|
(36)
|
|
|
|
|
|
|
|
|
Net Cash Generated From/(Used In) Operations
|
(4)
|
|
(6)
|
|
64
|
|
|
|
|
|
|
|
(3) No ordinary interim dividend is proposed for 2016 (2015 - £Nil).
(4) The comparative cash flow for the year ended 31 December 2015 has been
extracted from the audited accounts. The cash flows for the six months ended 30
June 2016 and 30 June 2015 are unaudited.
(5) Reconciliation of Movements In Equity
|
|
6 months
|
|
6 months
|
|
Year Ended
|
|
|
ended 30 June
|
|
ended 30 June
|
|
31 Dec
|
|
|
2016
|
|
2015
|
|
2015
|
|
|
£'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
|
(35,629)
|
|
(35,740)
|
|
(35,740)
|
|
Profit for the Period
|
14
|
|
37
|
|
111
|
|
|
|
|
|
|
|
|
Carried Forward
|
(35,615)
|
|
(35,703)
|
|
(35,629)
|
|
|
|
|
|
|
|
(6) The Group is supported by short term borrowings from its larger
shareholders and supporters by way of formal agreements. At 30 June 2016 total borrowings from One World Limited were £4,010,000 and £2,067,172 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 - michael@simonsilvermyer.com
Website - www.ross-group.co.uk
|
