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Oxford Glycosciences (OGS)

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Monday 28 April, 2003

Oxford Glycosciences

Final Results

Oxford Glycosciences PLC
28 April 2003

PRESS RELEASE

For further information please contact:

Oxford GlycoSciences Plc
David Ebsworth, Ph.D., Chief Executive Officer
Denis Mulhall, Chief Financial Officer
Tel: +44 (0) 1235 208 000
Website: www.ogs.com

Financial Dynamics
UK Media and Investors
Tim Spratt
Melanie Toyne-Sewell
Tel: +44 (0) 20 7831 3113

US Media and Investors
Leslie Wolf-Creutzfeldt
Deborah Ardern Jones
Tel: +1 212 850 5626

Not for release, publication or distribution in, into or from Australia, Canada
                                    or Japan

                        OXFORD GLYCOSCIENCES PLC ('OGS')

                       PRELIMINARY UNAUDITED RESULTS 2002

Oxford, UK, 28 April 2002 - Oxford GlycoSciences Plc (LSE:OGS,NASDAQ:OGSI) (the
'Company') today announces its preliminary unaudited results for the year ended
31 December 2002. The directors note that the audit has not yet been finalised
and are not aware of any outstanding items that will have a material effect on
the results herein.

The Board of Directors on 11 April 2003 recommended the offer by Celltech Group
plc for the entire issued share capital of the Company. The offer has now been
declared unconditional in all respects and the transaction is likely to be
implemented towards the end of May 2003. In the light of these developments the
unaudited results are released as a matter of record and without further
comment.


Consolidated Profit and Loss Account
For the year ended 31 December 2002

                                                               2002       2001
                                                   Notes      £'000      £'000
                                                             ______     ______
Turnover                                               3     13,973     13,376
Net operating costs                                    4    (54,765)   (49,396)
                                                             ______     ______
Operating loss                                              (40,792)   (36,020)
Share of joint venture loss                                  (4,383)    (2,007)
Profit on disposal                                                -         82
                                                             ______     ______
Loss on ordinary activities before interest and             
taxation                                                    (45,175)   (37,945)

Interest receivable                                           6,408      9,733
Amount written off investments                         5     (2,397)         -
                                                             ______     ______
Loss on ordinary activities before taxation                 (41,164)   (28,212)
Tax on loss on ordinary activities                     6      3,299      2,864
                                                             ______     ______
Loss for the year                                           (37,865)   (25,348)
                                                             ______     ______
Loss per ordinary 5p share
- basic and diluted                                    7     (68.04p)   (46.04p)
                                                             ______     ______


The Group has no recognised gains or losses other than those above, therefore no
separate statement of total recognised gains and losses has been presented.

There is no difference between the losses on ordinary activities before taxation
and the losses for the periods stated above, and their historical cost
equivalents. The results for the periods above are derived entirely from
continuing activities.

Balance Sheet
At 31 December 2002

                                           Group                 Company
                                         2002       2001       2002       2001
                            Notes       £'000      £'000      £'000      £'000
                                       ______     ______     ______     ______
Fixed assets
Tangible assets                        12,553     14,221          -          -

Investments

Investment in joint venture                    
- share of gross assets                 9,571     14,679          -          -                             
Investment in joint venture                     
- share of gross liabilities             (961)    (1,686)         -          -                           
Investment in joint venture            
- provision for unrealised profit      (1,595)    (2,708)         -          -

                                       ______     ______     ______     ______
                                3       7,015     10,285          -          -
Other investments               9       5,538      4,251     36,666     36,666
                                       ______     ______     ______     ______
                                       25,106     28,757     36,666     36,666
                                       ______     ______     ______     ______

Current assets
Stock                                     264        346                     -
Debtors                                10,812      9,626    142,650    103,171
Cash at bank and in hand              136,412    176,618    123,462    155,489
                                       ______     ______     ______     ______
                                      147,488    186,590    266,112    258,660
                                       ______     ______     ______     ______

Creditors: amounts falling            
due within one year                   (14,033)   (18,250)                    -
                                       ______     ______                ______

Net current assets                    133,455    168,340    266,112    258,660
                                       ______     ______     ______     ______

Total assets less current             
liabilities                           158,561    197,097    302,778    295,326

Creditors: amounts falling             
due after more than one year           (1,659)    (2,399)         -          -

Provisions for liabilities                 
and charges                                 -        (87)         -          -
                                       ______     ______     ______     ______
Net assets                            156,902    194,611    302,778    295,326
                                       ______     ______     ______     ______
Capital and reserves
Share capital                           2,787      2,778      2,787      2,778
Share premium account                 276,097    275,950    276,097    275,950
Capital reserve                        11,107     11,107          -          -
Profit and loss account              (133,089)   (95,224)    23,894     16,598
(deficit)
                                       ______     ______     ______     ______
Equity shareholders'funds       8     156,902    194,611    302,778    295,326

                                       ______     ______     ______     ______


Consolidated Cash Flow Statement
For the year ended 31 December 2002

                              Notes      2002       2002       2001       2001
                                        £'000      £'000      £'000      £'000
                                        _____      _____      _____      _____
Net cash flow from operating      
activities                        A              (45,128)              (22,164)

Returns on investments and
servicing of finance

Interest received                       7,829                 9,042
                                        _____
Net cash flow from returns                         7,829                 9,042
on investments and servicing
of finance
Taxation                                4,669                     -
                                                   4,669                     -
Capital expenditure and
financial investment
Purchases of tangible fixed assets     (4,204)               (5,306)
Purchases of fixed asset               
investments                            (3,528)              (19,251)
                                        _____

Net cash flow from capital                        
expenditure and financial
investment                                        (7,732)              (24,557)

Disposals
Cash consideration from sale                           
of biochemicals product line                           -                   115
Cash consideration from sale                           
of other assets                                        -                     7
Net cash flow before management                 
of liquid resources and financing                (40,362)              (37,557)

Management of liquid              
resources                         B               39,253                39,480

Financing
Issue of ordinary share capital           304                10,552

Expenses paid in connection              
with share issues                        (148)                 (269)
                                         _____
Net cash flow from                                   156                10,283
financing

(Decrease)/Increase in net cash   C                 (953)               12,206
                                                   _____                 _____


Notes to the Consolidated Cash Flow Statement


A     Reconciliation of operating loss to net cash flow from operating
activities

                                          2002       2002      2001       2001
                                         £'000      £'000     £'000      £'000
                                        ______     ______    ______     ______
Operating loss                                    (40,792)             (36,020)
Depreciation charges (including profit   
/ loss on disposals)                     5,402                4,418
Decrease/(Increase) in stock                82                 (170)
(Increase)/Decrease in debtors          (3,977)                  34
(Decrease)/Increase in deferred income  (2,832)               6,815
(Decrease)/Increase in creditors        (3,011)               2,759
                                        ______               ______
                                                   (4,336)              13,856
                                                   ______               ______
Net cashflow from operating activities            (45,128)             (22,164)
                                                   ______               ______


B    Reconciliation of net cash flow to movement in net funds

                                         2002       2002       2001       2001
                                        £'000      £'000      £'000      £'000
                                       ______     ______     ______     ______
(Decrease)/Increase in cash in the                 
year                                                (953)               12,206
Cashflow from decrease in liquid      
resources                             (39,253)              (39,480)
                                       ______                ______

Change in net funds resulting from               
cash flows                                       (39,253)              (39,480)
                                                  ______                ______
Movement in net funds in the year                (40,206)              (27,274)
Net funds at 1 January                           176,618               203,892
                                                  ______                ______
Net funds at 31 December                         136,412               176,618
                                                  ______                ______



C    Analysis of net funds
                                          At 1                           At 31
                                       January                        December
                                          2002        Cash flow           2002
                                         £'000            £'000          £'000
                                        ______           ______         ______
Cash at bank and in hand                14,052             (953)        13,099
Bank deposits - liquid resources       162,566          (39,253)       123,313
                                        ______           ______         ______
                                       176,618          (40,206)       136,412
                                        ______           ______         ______


Liquid resources represent all deposits with an original maturity of between 24
hours and one year. Cash includes cash in hand and deposits of up to 24 hours
which are payable on demand.

Notes


1    Preliminary results

The preliminary results for the year ended 31 December 2002 represent abridged
financial statements and have not yet been delivered to the Registrar of
Companies. The comparative figures for the year ended 31 December 2001 have been
taken from, but do not constitute, the Group's financial statements for that
year. Those financial statements were reported on by the Group's auditors and
delivered to the Registrar of Companies. The report of the auditors was
unqualified and did not contain a statement under Section 237(2) of the
Companies Act 1985.


2    Principal accounting policies


The accounts have been prepared in accordance with applicable Accounting
Standards in the United Kingdom. The accounting policies applied are consistent
with those set out in the Annual Report and Accounts for the year ended 31
December 2001.


3    Interest in joint venture


In June 2001, OGS formed a joint venture with Marconi, called Confirmant Ltd,
which will provide database services to pharmaceutical and biotechnology
companies.


As at 31 December 2002, there is a provision for unrealised profit, £1.6
million, representing revenue from the sale of marketing rights and data
analysis software to Confirmant. This amount will be released over the life of
the assets to which it relates. Sales by OGS to Confirmant during the period
ended 31 December 2002 amounted to £5.4 million (2001: £5.3 million)


4    Net Operating Costs


Net operating costs include an amount of £1.1 million in respect of expenses
relating to corporate and financial advice received by the Group through 31
December 2002.


5    Investment Write Down


Relates to provision for permanent diminution in value of OGS' investment in
BioInvent International AB (see Note 8).


6    Tax on loss on ordinary activities


The Group has recognised Research and Development Tax Credits totalling
£3.3 million (2001: £2.9 million) in the accounts, relating to the period from 1
January 2002 to 31 December 2002.


7    Loss per ordinary 5p share


Basic loss per share is calculated by dividing the loss attributable to ordinary
shareholders by the weighted average number of ordinary shares in issue during
the year.


For diluted loss per share, the weighted average number of ordinary shares in
issue is adjusted to assume exercise of all options, which would be potentially
dilutive. Due to the loss making position of the Group the exercise of share
options does not increase basic loss per share and therefore according to FRS14
the basic and diluted loss per share remain the same.


Basic and diluted                          2002                           2001
loss per share

                      £'000      '000     pence      £'000      '000     Pence
                     ______    ______    ______     ______    ______    ______
Loss attributable   
to ordinary
shareholders        (37,865)   55,653    (68.04)   (25,348)   55,052    (46.04)
                     ______    ______    ______     ______    ______    ______



8      Reconciliation of movements in shareholders' funds

Group                                                        2002        2001

                                                            £'000       £'000
                                                           ______      ______

Loss for the year                                         (37,865)    (25,348)
New shares issued                                             304      10,552
Expenses of share issue                                      (148)       (269)
                                                           ______      ______
Net addition to/ (reduction in) shareholders' funds       (37,709)    (15,065)
Opening shareholders' funds                               194,611     209,676
                                                           ______      ______
Closing shareholders' funds                               156,902     194,611
                                                           ______      ______



9    Other Investments

                                                NeoGenesis
                                 BioInvent   Pharmaceuticals
                               International           Inc     Other     Total
                                        AB
                                     £'000           £'000     £'000     £'000
                                    ______          ______    ______    ______
Cost
At 1 January 2002                        -           4,251         -     4,251
Additions                            3,528               -       156     3,684
At 31 December 2002                  3,528           4,251       156     7,935

Provisions
At 1 January 2002                        -               -         -         -
Provision Re Diminution in Value    2,397               -         -     2,397
At 31 December 2002                 2,397               -         -     2,397
Net Book Value
31 December 2002                     1,131           4,251       156     5,538
Net Book Value
31 December 2001                         -           4,251         -     4,251



On 16 May 2002, OGS subscribed SEK52.0 million in cash at SEK39.1 per share in
BioInvent International AB, as part of a research collaboration.

This investment is not held for resale but having regard to the market value at
31 December 2002, the directors consider that permanent dimunition in value of
the investment has occurred.

The investment in NeoGenesis Pharmaceuticals is similarly not held for resale
and management do not consider that any permanent dimunition in value existed at
31 December 2002.


                                     -Ends-


Shareholders can obtain a free copy of this and any other documents filed with
the Securities and Exchange Commission at the SEC's website (www.sec.gov).

This announcement does not constitute an offer to sell or invitation to purchase
any securities or the solicitation of any vote or approval in any jurisdiction.

The release, publication or distribution of this announcement in certain
jurisdictions may be restricted by law and therefore persons in such
jurisdictions into which this announcement is released, published or distributed
should inform themselves about and observe such restrictions.






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