Regulatory Announcement
REG-Marwyn Materials Ltd Interim Results - Part 1
Released: 02/09/2009
Released: 02/09/2009
http://pdf.reuters.com/Regnews/regnews.asp?i=43059c3bf0e37541&u=urn:newsml:reuters.com:20090902:RnsB4174Y
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RNS Number : 4174Y
Marwyn Materials Limited
02 September 2009
MARWYN MATERIALS LIMITED
UNAUDITED INTERIM RESULTS
FOR THE 6 MONTH PERIOD TO 30 JUNE 2009
Chairman's Statement
I am pleased to present the interim financial statements of Marwyn Materials
Limited for the first six months of 2009.
Acquisition strategy
Marwyn Materials Limited was established to acquire controlling interests in
building materials businesses, both listed and unquoted, in the UK, Europe and
US, with a view to creating shareholder value through market consolidation. This
continued to be the group's strategy throughout the period under review.
Results
The group's loss after taxation for the period from incorporation to 30 June
2009 was £435,050 which was in line with the expected result for this period.
Costs incurred to date include £75,000 in relation to due diligence carried out
on acquisition targets by the group's professional advisers but with a large
proportion of work carried out by the management.
As at 30 June 2009, the group had net cash balances totalling £12.5 million.
Dividends
It is the board's policy that prior to making the first acquisition, no
dividends will be paid. Following the first acquisition, subject to availability
of distributable reserves, dividends will be paid to shareholders when the
directors believe it is appropriate and prudent to do so. However, the main
focus of the group will be on delivering capital growth for shareholders.
Outlook
The group continues to pursue its stated acquisition strategy. The short term
trading performance for building materials businesses has remained difficult and
we continue to review a number of opportunities to acquire attractive assets at
a cyclical low point for the industry.
We believe that Marwyn Materials, with its strong and experienced management
team, is well placed to exploit the available opportunities as they arise.
Peter Tom
Chairman
2nd September 2009
Enquiries:
Marwyn Materials Limited
Peter Tom 020 7389 6800
Simon Vivian 020 7389 6800
Cenkos Securities plc
Nicholas Wells 020 7397 8920
CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION
30 June 2009 (unaudited) 31 December 2008 (audited)
£ £
Assets
Receivables 7,726 14,195
Cash and cash equivalents 12,450,273 12,806,100
Total current assets 12,457,999 12,820,295
Total assets 12,457,999 12,820,295
Equity
Share capital 13,262,480 13,262,480
Equity-settled employee benefits reserve 1,263 680
Accumulated losses (1,177,545) (742,495)
Total equity attributable to the shareholders of the 12,086,198 12,520,665
Company
Total equity 12,086,198 12,520,665
Non-current liabilities
Taxation 5,048 1,913
Total non-current liabilities 5,048 1,913
Current liabilities
Trade and other payables 366,753 297,717
Total current liabilities 366,753 297,717
Total liabilities 371,801 299,630
Total equity and liabilities 12,457,999 12,820,295
These condensed interim financial statements were approved and authorised for
issue by the Board of Directors on 2nd September 2009 and signed on its behalf
by:
Peter Tom CBE Simon Vivian
Chairman Chief Executive
CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
For the 6 months ended 30 June
2009 2008
(unaudited) (unaudited)
£ £
Interest income 60,733 -
Employee expenses (128,224) -
Professional and consultancy expenses (309,419) (62,349)
Other expenses (55,006) (3,133)
(492,649) (65,482)
Results from operating activities (431,916) (65,482)
Loss before income tax (431,916) (65,482)
Income tax expense (3,134) -
Loss for the period (435,050) (65,482)
Other comprehensive income - -
Total comprehensive income for the period (435,050) (65,482)
Attributable to:
Owners of the Company (435,050) (65,482)
Total comprehensive income for the period (435,050) (65,482)
Earnings per share
Basic and diluted loss per share (0.32p) (0.46p)
All the group's activities derive from continuing operations.
CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
For the 6 months ended 30 June 2008 (unaudited)
Share capital Equity-settled employee benefitsreserve Accumulated losses Total
£ £ £ £
Balance at 1 January 2008 2 - (600) (598)
Loss for the period - - (65,482) (65,482)
Other comprehensive income - - - -
Total comprehensive income - - (65,482) (65,482)
Recognition of share-based payments - 93 - 93
Issue of ordinary shares during the period 13,599,998 - - 13,599,998
Costs directly related to the issue of capital (337,520) - - (337,520)
Balance at 30 June 2008 13,262,480 93 (66,082) 13,196,491
For the 6 months ended 30 June 2009 (unaudited)
Share Equity- Accumulated losses Total
capital settled employeebenefitsreserve
£ £ £ £
Balance at 1 January 2009 13,262,480 680 (742,495) 12,520,665
Loss for the period - - (435,050) (435,050)
Other comprehensive income - - - -
Total comprehensive income - - (435,050) (435,050)
Recognition of share-based payments - 583 - 583
Issue of ordinary shares during the period
Costs directly related to the issue of capital
Balance at 30 June 2009 13,262,480 1,263 (1,177,545) 12,086,198
All the group's activities derive from continuing operations.
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS
For the 6 months ended 30 June
2009(unaudited) 2008(unaudited)
£ £
Cash flows from operating activities:
Interest received 69,768 -
Payments to suppliers and employees (425,595) -
Net cash generated by operating activities (355,827) -
Cash flows from financing activities:
Proceeds from issue of share capital - 13,600,000
Payment for share issue costs - (337,520)
Net cash from financing activities - 13,262,480
Net decrease in cash and cash equivalents (355,827) 13,262,480
Cash and cash equivalents at 1 January 12,806,100 -
Cash and cash equivalents at 30 June 12,450,273 13,262,480
1. Reporting entity
Marwyn Materials Limited (the "Company") is a company domiciled in Jersey. The
address of the Company's registered office is Elizabeth House, 9 Castle Street,
St Helier, Jersey, JE2 3RT.
The Company is listed on the Alternative Investment Market ("AIM").
This condensed consolidated interim financial information has not been audited
and was approved for issue on 2nd September 2009.
2.Statement of compliance
These condensed consolidated interim financial statements for the six months
ended 30 June 2009 have been prepared in accordance with International
Accounting Standard (IAS) 34 'Interim Financial Reporting', as adopted by the
European Union. The condensed consolidated interim financial statements should
be read in conjunction with the annual financial statements for the year ended
31 December 2008.
3. Accounting policies
The accounting policies applied are consistent with those of the annual
financial statements for the year ended 31 December 2008, as described in those
annual financial statements, except for the adoption of new standards and
interpretations as noted below:
- IAS 1 (revised), 'Presentation of financial statements'. The revised standard
prohibits the presentation of items of income and expenses (that is 'non-owner
change in equity') in the consolidated statement of changes in equity, requiring
'non-owner changes in equity' to be presented separately from owner changes in
equity. All 'non-owner changes in equity' are required to be shown in a
performance statement. Entities can choose whether to present one performance
statement (the statement of comprehensive income) or two statements (the income
statement and statement of comprehensive income). The group has elected to
present one consolidated statement of comprehensive income. The interim
financial statements have been prepared under the revised disclosure
requirements which had no impact.
- IFRS 8, 'Operating segments'. IFRS 8 replaces IAS 14, 'Segment reporting'. It
requires a 'management approach' under which segment information is presented on
the same basis as that used for internal reporting purposes. This has not
resulted in any change to the presentation. The Directors are of the opinion
that the group is engaged in a single geographic and economic business segment.
The International Accounting Standards Board's Annual Improvements Project was
published in May 2008, with the majority of changes being applicable for the
period commencing 1 January 2009. The project made minor amendments to a number
of standards, primarily with a view to removing inconsistencies and clarifying
wording. The amendments to these standards did not have any impact on the
accounting policies, financial position or performance of the group.
Taxes on income in the interim periods are accrued using the tax rate that would
be applicable to expected total annual earnings.
4. Seasonality
The group does not currently operate in an industry where significant or
cyclical variations as a result of seasonal activity are experienced during the
financial year.
5. Dividend
It is the board's policy that prior to making the first acquisition, no
dividends will be paid. Following the first acquisition, subject to availability
of distributable reserves, dividends will be paid to shareholders when the
directors believe it is appropriate and prudent to do so. However, the main
focus of the group will be on delivering capital growth for shareholders.
6. Earnings per share
Basic earnings per share
The calculation of basic earnings per share at 30 June 2009 (0.32p loss) was
based on the loss attributable to ordinary shareholders of £435,050 and a
weighted average number of ordinary shares outstanding of 136m.
The calculation of basic earnings per share at 30 June 2008 (0.46p loss) was
based on the loss attributable to ordinary shareholders of £65,482 and a
weighted average number of ordinary shares outstanding of 14.2m.
Diluted earnings per share
The calculation of basic earnings per share at 30 June 2009 (0.32p loss) was
based on the loss attributable to ordinary shareholders of £435,050 and a
weighted average number of ordinary shares outstanding of 136m. The
Participation Shares in issuance during the period are not included in the
calculation of weighted average outstanding ordinary shares for the diluted
earnings per share calculation as the effect is anti-dilutive.
The calculation of basic earnings per share at 30 June 2008 (0.46p loss) was
based on the loss attributable to ordinary shareholders of £65,482 and a
weighted average number of ordinary shares outstanding of 14.2m. The
Participation Shares in issuance during the period are not included in the
calculation of weighted average outstanding ordinary shares for the diluted
earnings per share calculation as the effect is anti-dilutive.
This information is provided by RNS
The company news service from the London Stock Exchange
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