Final results for the period ended 31 December 2017

First Sentinel plc
(the “Company” or “First Sentinel”; NEX:FSEN”)

Final results for the period ended 31 December 2017

29 May 2018

First Sentinel is pleased to announce its audited accounts for the fifteen months ended 31 December 2017 (the “Accounts”). A copy of the full Report and Accounts is being sent to Shareholders and a copy is available on the Company’s website, www.first-sentinel.com. The Company is also posting a Notice of Annual General Meeting (“AGM”) to Shareholders, a copy of which is also available on the Company’s website. The AGM will be held at 55 Park Lane, London, W1K 1NA on Wednesday, 20 June 2018. Extracts of the Accounts are set out below:

First Sentinel PLC is a listed investment vehicle on the NEX Exchange.

Chairman’s statement

The Company has raised £1.5m during the period and has completed a major acquisition of 80% of Perennial Enterprise Pty Limited in Australia. The Company also raised another £1.5m shortly after the period end through the issue of a bond listed on the NEX Exchange. The proceeds of the £1.5m placing has been used to assist the Company in the implementation of its investment strategy where the Company provides growth capital (equity, mezzanine debt and senior debt) for public and private company investments across a number of different market sectors. The loss of £192,000 for the period includes the professional costs of listing the Company on the NEX Exchange.

The appointment of additional board members has been made to assist us in our investment strategy and we remain focused on creating long-term sustainable value for our shareholders.

Investments

The Company made eight investments during the period and exited fully and profitably on three, with five remaining in the portfolio.

Outlook

The fifteen months to 31 December 2017 has been a very successful period for First Sentinel. The success of the fund raising, the acquisition of an 80% interest in Perennial Enterprise PTY Ltd, the investments made by the Company, and the appointment of new, experienced directors have positioned First Sentinel Plc very well for the next stage of its development. Our short-term strategy remains at increasing value by providing growth capital for public and private company investments. Whilst the Company still needs to increase its scale, with the acquisition of Perennial and the successful issue of the First Sentinel Plc NEX Exchange listed bond, I am very optimistic about the Company’s growth potential and we look to the future with significant confidence.

Brian Stockbridge
Chairman
31 May 2018

END

For further corporate information, please contact:

Mr. Kris Kottmeier
VP Corporate Development
UK/Euro Tel: +44 (0) 20 3637 6522
North America Tel: +1 (604) 506-2502
Email: Kris@first-sentinel.com

Mr. Brian Stockbridge
CEO
First Sentinel Plc
Tel: + 44 (0) 7876 888 011

NEX Corporate Advisor
Beaumont Cornish Limited
James Biddle / Roland Cornish
Tel: +44(0)20 7628 3396

________________

 

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE PERIOD ENDED 31 DECEMBER 2017

  Period ended 31 December

2017

Period ended 30 September

2016

      £’000 £’000
   
Revenue   156
Cost of sales   (22)
  ─────── ───────
Gross profit   134
     
Administrative expenses   (237) (12)
Other losses   (9)
  ─────── ───────
Operating loss   (112) (12)
   
Finance costs   (5)
Admission expenses   (65)
    ─────── ───────
Loss before tax   (182) (12)
     
Tax   (10)
    ─────── ───────
Loss for the period   (192) (12)
   
Other comprehensive income  
  ─────── ───────
Total comprehensive loss for the period   (192) (12)
    ═══════ ═══════
     
Loss and total comprehensive loss attributable to:  
 –   Owners of the company   (199) (12)
 –   Non-controlling interests   7
    ─────── ───────
    (192) (12)
    ═══════ ═══════
     
Loss per share attributable to the owners of the company:  
Basic & Diluted loss per share – pence   (2.75)p (120)p
    ═══════ ═══════

 

CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2017

  As at31 December 2017 As at30 September 2016
ASSETS   £’000 £’000
Non-current assets  
Intangibles 145
Property, plant & equipment 27
  ─────── ───────
172
─────── ───────
CURRENT ASSETS  
Trade and other receivables   784 3
Other financial assets   1,119
Cash and cash equivalents   297 3
  ─────── ───────
2,200 6
  ─────── ───────
TOTAL ASSETS 2,372 6
  ═══════ ═══════
EQUITY  
Shareholders’ Equity  
Called up share capital   142
Share premium   1,310
Share based payment reserve 13
Accumulated deficit (211) (12)
Non-controlling interest 10
  ─────── ───────
Total Equity 1,264 (12)
─────── ───────
LIABILITIES  
Current liabilities  
Trade and other payables   393 18
Financial liabilities   558
  ─────── ───────
  951 18
  ─────── ───────
 Non – current liabilities  
 Financial liabilities   157
  ─────── ───────
TOTAL LIABILITIES 1,108 18
─────── ───────
TOTAL EQUITY AND LIABILITIES 2,372 6
    ═══════ ═══════

 

CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE PERIOD ENDED 31 DECEMBER 2017

  Period ended31 December 2017 Period ended30 September 2016
     
    £’000 £’000
Cash flows from operating activities    
     
Cash (utilised) / generated by operations   (177) 3
Interest paid   (5)
    ────── ──────
Net cash outflow from operating activities   (182) 3
     
   
     
Cash flows from investing activities    
Purchases of financial assets   (1,119)
Acquisition of subsidiary   (122)
Cash acquired on acquisition of subsidiary   275  
    ────── ──────
Net cash outflow from investing activities   (966)
    ────── ──────
Cash flows from financing activities    
Share issues   1,451
Repayment of loans   (9)  
    ────── ──────
Net cash inflow from financing activities   1,442
    ────── ──────
     
   
   
Increase/(decrease) in cash and equivalents   294 3
     
Cash and cash equivalents at beginning of period   3
    ────── ──────
Cash and cash equivalents at end of period   297 3
    ══════ ══════
     

 

NOTES TO THE PRELIMINARY RESULTS
FOR THE PERIOD ENDED 31 DECEMBER 2017

NOTES TO THE ACCOUNTS FOR THE YEAR ENDED 31 DECEMBER 2017

  1. The financial information set out here does not constitute statutory accounts for the purpose of Section 434 of the Companies Act 2006. The financial information has been extracted from the statutory accounts of First Sentinel Plc and is presented using the same accounting policies, which have not yet been filed with the Registrar of companies, but on which the auditors gave an unqualified report on 29 May 2018. The Accounts have been prepared under International Accounting Standards.

The announcement of the results for the period ended 31 December 2017 was approved by the board of directors on 29 May 2018.

  1. Earnings per share

Basic earnings per share is calculated by dividing the earnings attributable shareholders by the weighted average number of ordinary shares outstanding during the period.

Reconciliations are set out below:

   Earnings Weighted average  Loss per-share
  £’000 Number of shares Pence
2017
Basic and diluted EPS
Earnings attributable to ordinary shareholders (192) 7,007,478 2.75
  ══════ ════════ ══════
2016
Basic and diluted EPS
Earnings attributable to ordinary shareholders (12) 100 120
  ══════ ════════ ══════

 

Basic and diluted earnings per share are different, since where a loss is incurred the effect of outstanding share options and warrants is considered anti-dilutive and is ignored for the purpose of the loss per share calculation. As at 31 December 2017 there were 12,157,662 (2016: nil) outstanding share warrants, which are potentially dilutive.

Notice of AGM

Notice has today been posted to Shareholders convening the Company’s Annual General Meeting to be held at 3pm on Wednesday 20 June, 2018 at the offices of the Company at Suite 12A, 55 Park Lane, London, W1K 1NA.  The resolutions put forward are to receive the annual report and accounts for the period ended 31 December 2017, to approve the Directors’ remuneration report as set out in the annual report and accounts, to re-appoint each of the Directors and to re-appoint and set the auditors remuneration.