25 September 2009
Microcap Equities plc
("Microcap" or the "Company")
Interim results
for the six month period ended 30 June 2009
Chairman's statement
I am pleased to report the results for the six months ended 30 June 2009.
During the period, the Company incurred a loss before and after taxation of £
23,471, compared to £144,366 for the year ended 31 December 2008. The loss is
principally attributable to legal and professional fees and subscriptions paid.
Since July 2008, the Company has deferred all directors' remuneration and rent.
The board has been in negotiation with a potential subscriber for new shares
for several months and is hopeful that the negotiation will be successful. No
guarantee may be given, however, that such will be the case. If successful,
shareholders will be asked to approve the subscription for new shares at a
general meeting. If this transaction does not proceed, the Company, having
almost exhausted its cash resources, will have to seek an alternative source of
funds immediately or cease trading. A further announcement will be made
shortly.
N Greenstone
Chairman
25 September 2009
Further enquiries
Microcap Equities Plc
Nicolas Greenstone Tel: 020 7247 9691
John East & Partners, a subsidiary of Merchant Securities PLC
Bidhi Bhoma /Virginia Bull Tel: 020 7628 2200
Income Statement
For the six months ended 30 June 2009
Six months Six months Year ended
ended ended 31 December
30 June 30 June 2008
2008 (audited)
(unaudited)
(unaudited)
£'000 £'000 £'000
Administrative expenses (23) (41) (65)
Operating loss (23) (41) (65)
Other income - 1 1
Impairment of investments available - (26) (40)
for sale
Interest payable and similar charges - (40) (40)
Loss before taxation (23) (106) (144)
Tax expense - - -
Loss for the period (23) (106) (144)
Loss per ordinary share (pence)
Basic and diluted (0.02)p (0.09)p (0.13)p
Statement of Comprehensive Income
Six months Six months Year ended
ended ended 31 December
30 June 30 June 2008
2008 (audited)
(unaudited)
(unaudited)
£'000 £'000 £'000
Loss for the period (23) (106) (144)
Loss on available for sale - - (28)
investments
Total recognised expenses for the (23) (106) (172)
period
Balance Sheet
As at 30 June 2009
As at As at As at
30 June 30 June 31 December
2008
2009 2008 (audited)
(unaudited) (unaudited)
£'000 £'000 £'000
ASSETS
Non-current assets
Investments available for sale 2 43 2
Current assets
Trade and other receivables 13 9 13
Cash and cash equivalents 1 58 20
14 67 33
Total assets 16 110 35
LIABILITIES
Current liabilities
Trade and other payables 14 19 10
Total liabilities 14 19 10
NET ASSETS 2 91 25
Equity and liabilities
Share capital and reserves
Share capital 1,790 1,790 1,790
Share premium account 2,967 2,967 2,967
Retained earnings (4,755) (4,666) (4,732)
Total equity 2 91 25
Cash Flow Statement
For the six months ended 30 June 2009
Six months Six months Year ended
ended ended 31 December
30 June 30 June 2008
2009 2008 (audited)
(unaudited) (unaudited)
£'000 £'000 £'000
Cash flows from operating activities
Cash expended from operations (18) (28) (87)
Net cash outflow from operating (18) (28) (87)
activities
Cash flows from investing activities
Interest paid and similar charges - (40) -
Interest received - 1 1
Net cash (outflow)/ inflow from - (39) 1
investing activities
Cash flows from financing activities
Proceeds from issue of shares - 60 20
New debenture loan - (20) -
Net cash inflow from financing - 40 20
activities
Net decrease in cash and cash (18) (27) (66)
equivalents
Reconciliation of net cash flow to
movement in net funds
Decrease in cash and cash equivalents (18) (27) (66)
Cash and cash equivalents brought 19 85 85
forward
Cash and cash equivalents carried 1 58 19
forward
Statement of changes in equity
Six months ended 30 June 2009
Share Share Retained Total
capital premium earnings
equity
£'000 £'000 £'000 £'000
At 1 January 2009 1,790 2,967 (4,732) 25
Total recognised expenses for - - (23) (23)
the period
At 30 June 2009 1,790 2,967 (4,755) 2
Six months ended 30 June 2008
Share Share Retained Total
capital premium earnings
equity
£'000 £'000 £'000 £'000
At 1 January 2008 1,730 3,007 (4,600) 137
Total recognised expenses for - - (106) (106)
the period
Shares issued 60 - - 60
Transfer between reserves - (40) 40 -
At 30 June 2008 1,790 2,967 (4,666) 91
Year ended 31 December 2008
Share Share Retained Total
capital premium earnings
equity
£'000 £'000 £'000 £'000
At 1 January 2008 1,730 3,007 (4,600) 137
Total recognised expenses for - - (172) (172)
the period
Shares issued 60 - - 60
Transfer from share premium - (40) 40 -
account
At 31 December 2008 1,790 2,967 (4,732) 25
Notes to the Interim Financial Statements for the six months ended 30 June 2009
1. Basis of preparation
The interim results are unaudited and do not constitute statutory accounts for
the purpose of s240 of the Companies Act 1985 (s434 of the Companies Act 2006).
They have been prepared under applicable International Financial reporting
Standards adopted by the European Union (`IFRS').
The accounting policies applied in preparing the interim financial statements
are consistent with those set out in the statutory accounts for the year ended
31 December 2008. The figures for the year ended 31 December 2008 have been
extracted from the statutory accounts filed with the registrar of companies on
which the auditors gave an unqualified report.
The following new standard is mandatory for the first time for the financial
year beginning 1 January 2009:
* IAS 1(revised) Presentation of Financial Statements. The revised statement
prohibits the presentation of items of income and expense (that is
`non-owner changes in equity') in the statement of changes in equity,
requiring the `non-owner changes in equity' to be presented separately from
owner changes in equity. All `non-owner changes in equity' are required to
be presented 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 Company has decided to present two statements. The interim
results have been prepared under the revised disclosure requirements.
The financial information for the six months to 30 June 2009 and the six months
to 30 June 2008 has not been audited. As permitted, the Company has chosen not
to adopt IAS 34 `Interim Financial Statements' in preparing the interim
financial information.
2. Loss per share
The basic loss per share is calculated by dividing the loss attributable to
equity shareholders by the weighted average number of shares in issue. There
are no potential ordinary shares which are dilutive and therefore diluted loss
per share equals basic loss per share.
The weighted average number of ordinary shares during the period was:
Six months Six months Year ended
ended 30 ended 30
June June 31 December
2008
2009 2008
(unaudited) (unaudited) (audited)
Weighted average number of ordinary 114,941,002 112,600,343 113,773,879
shares
£'000 £'000 £'000
Loss attributable to equity share (23) (106) (144)
holders
Basic loss per share (pence) (0.02)p (0.09)p (0.13)p
3. Dividends
No dividends have been declared for the six months ended 30 June 2009.
END
