Final Results
July 23 2003 - 5:30AM
UK Regulatory
RNS Number:8569N
Your Space PLC
23 July 2003
FOR IMMEDIATE RELEASE
23rd July, 2003
YOUR SPACE PLC ("Your Space" or "the Company")
Preliminary results for the year ended
31 March, 2003
Chairman's statement
Financial Results
The results for the financial period ended 31 March 2003 show your company
incurred a loss before taxation of #652,000 (2002 - Loss #605,000). At the year
end, your Company's net assets were #3.779 million (2002 - #5.074 million). The
reduction arises from the losses for the year and a prudent revaluation
downwards of the property assets as a result of current property values. Our
cash balances at 31 March 2003 were #1.701 million (2002 - #1.806 million).
Current trading
In the twelve months to 31 March 2003 turnover was #2,163,000. This compares
with #769,000 for the twelve months ended 31 March 2002.
During the financial year the management has concentrated on building and
establishing our services business. In December 2002 my predecessor reported
that the market in London was suffering from a fall in rental rates, which had
affected our Clerkenwell site, which then stood at 33% occupancy. I am pleased
to report that, despite these adverse conditions, Clerkenwell is now 90%
occupied and achieving better letting values. The building is now well
established in the EC1 area and is being used as a conference and short-stay
venue by local and City companies, which is also boosting income levels from
these facilities.
Our subsidiary company, Workspace (Northwest) Limited, which owns two freehold
business and workspace centres totalling 100,000 sq ft in Manchester and
Willenhall, together with a car park of a third of an acre opposite the
Manchester unit, has continued to perform well achieving a net profit of
#135,000. Occupancy levels over the two centres currently stand at 82%.
Our sites in Manchester and Willenhall are currently undergoing a refurbishment
programme, which will further improve the competitiveness of our product and
service offering in these two locations.
Since taking on the management contract of the business centre at Shortlands,
Hammersmith, London, in November 2001, occupancy levels have remained at 90%
generating a management fee of #39,000 in the year to 31 March 2003.
Our freehold investment at Frampton Street, London, NW8, is fully let on a
long-term institutional lease.
Future Prospects
We have a strong and professional management team which is committed to
marketing and selling our quality product and service offering. We are also
seeking to develop value added products to enhance the quality of service we
offer our tenants and to raise profitability.
Your Board believes that there will be a continued demand for flexible
short-term accommodation in London, Manchester and the West Midlands which
should support the development of your Company over the coming year.
Having established a firm base for the business it is our intention to grow the
business by actively promoting our management services to the commercial
property world and by offering strategic partnerships with other existing
successful office services organisations. We are also constantly reviewing
opportunities to act as a consolidator within the sector.
The key objective is to achieve pre-tax profitability at the earliest possible
date and your directors are constantly reviewing ways to reduce costs and
enhance income to achieve this goal.
During the year the employees have shown great commitment to Your Space Plc,
often against a background of extremely difficult trading conditions. In small
growing businesses the commitment of the directors and staff is paramount if the
company is to succeed and this commitment has been a key factor in achieving the
progress Your Space has made over the past year.
On a personal note, I would like to thank David Berry who has stepped down as
chairman due to other commitments. David's wisdom and support has been a key
factor in the development of Your Space, which he has chaired since flotation. I
am pleased to say that he has agreed to continue on the board as a non-executive
director so that your company will continue to benefit from his knowledge and
experience.
Christopher R L Phillips
Non-executive Chairman
22 July 2003
Consolidated Profit and Loss Account
for the year ended 31 March 2003
Note 2003 2002
#'000 #'000
Turnover 2,163 769
Operating expenses (2,062) (1,034)
--------- ---------
Operating profit/(loss) 101 (265)
Amounts written off fixed asset investments (50) -
Interest receivable 44 156
Interest payable (747) (496)
--------- ---------
Loss on ordinary activities before taxation (652) (605)
Taxation (1) (7)
--------- ---------
Retained loss for the financial period (653) (612)
========= =========
Loss per share
Basic and diluted loss per ordinary share 1 (0.41)p (0.41)p
========= =========
The profit and loss account has been prepared on the basis that all operations
are continuing operations.
Consolidated Balance Sheet
as at 31 March 2003
2003 2002
#'000 #'000
Fixed assets
Negative goodwill (1,056) (1,056)
Tangible assets 15,023 15,598
Investments - 50
--------- ---------
13,967 14,592
--------- ---------
Current assets
Debtors 347 332
Cash at bank and in hand 1,701 1,806
--------- ---------
2,048 2,138
Creditors: amounts falling due within one year (2,842) (3,154)
--------- ---------
Net current assets/(Liabilities) (794) (1,016)
--------- ---------
Total assets less current liabilities 13,173 13,576
Creditors: amounts falling due after one year (9,394) (8,502)
--------- ---------
Total assets less liabilities 3,779 5,074
========= =========
Capital and reserves
Called up share capital 1,634 1,600
Share premium account 4,196 4,196
Revaluation Reserve (676) -
Profit and loss account (1,375) (722)
--------- ---------
Equity shareholders' funds 3,779 5,074
========= =========
Consolidated Cash Flow Statement
for the year ended 31 March 2002
2003 2002
Note #'000 #'000 #'000 #'000
Net cash(outflow)/inflow from a (466) 1,096
operating activities
Returns on investments and
servicing of finance
Interest received 44 156
Interest payable (709) (496)
-------- --------
Net cash outflow from returns (665) (340)
on
investments and servicing of
finance
Taxation (13) -
Capital expenditure and
financial
investment
Payments to acquire tangible (187) (5,828)
assets
Payments to acquire - (50)
investments -------- --------
Receipts from sale of tangible - 47
assets
-------- --------
Net cash outflow from capital (187) (5,831)
expenditure
Acquisitions and disposals
-------- --------
Payment to acquire subsidiary - (1,043)
undertaking
-------- --------
-------- --------
Net cash outflow for - (1,043)
acquisitions
and disposals
-------- --------
Net cash outflow before (1,331) (6,118)
management of liquid resources
and financing
Financing
Issue of ordinary share 34 -
capital
New bank loan 1,483 3,867
Repayment of bank loan (269) (58)
Finance costs paid - (124)
-------- --------
Net cash inflow from financing 1,248 3,685
-------- --------
======== ========
Decrease in cash in b (83) (2,433)
the year
======== ========
(a) Reconciliation of operating loss to net cash inflow from operating
activities
2003 2002
#'000 #'000
Operating profit/(loss) 101 (265)
Depreciation 86 1
Amortisation 6 3
Profit on disposal of fixed asset - (5)
(Increase)/decrease in debtors (15) 66
(Decrease)/Increase in creditors (644) 1,296
-------- --------
Net cash (outflow)/inflow from operating activities (466) 1,096
======== ========
(b) Analysis of changes in cash and cash equivalents during the year
1 April 2002 Cash Flow #'000 Non- 31 March
#'000 Cash Movements 2003
#'000 #'000
Net cash:
Cash at bank 1,806 (105) - 1,701
Bank overdraft (22) 22 - -
-------- -------- --------- --------
Net funds/(debt) 1,784 (83) - 1,701
-------- -------- --------- --------
Debt:
Convertible debt (1,149) - (44) (1,193)
Bank loans (8,747) (1,214) (6) (9,967)
-------- -------- --------- --------
(9,896) (1,214) (50) (11,160)
-------- -------- --------- --------
Net debt (8,112) (1,297) (50) (9,459)
======== ======== ========= ========
(c) Reconciliation of net cash flow to movement in net debt
2003 2002
#'000 #'000
Decrease in cash in the year (83) (2,433)
Cash inflow from increase in net debt (1,214) (3,685)
-------- --------
Change in net debt resulting from cash flow (1,297) (6,118)
Non cash movement in net debt (50) (1,621)
-------- --------
Movements in net (debt)/funds in the year (1,347) (7,739)
Opening net funds (8,112) (373)
-------- --------
Closing net debt (9,459) (8,112)
======== ========
Notes to the Preliminary Results
1. Loss per share
The calculation of the basic loss per share is based on the loss after tax of
#653,000 (2002: #612,000) and on 160,963,766 (2002: 148,583,931) ordinary shares
being the weighted average number of ordinary shares in issue during the period.
There is no dilutive effect of warrants due to the fair price of shares during
the period being less than the exercisable price of those warrants and options.
There is also no dilutive effect on conversion of the convertible loan stock.
2. Dividends
The directors are not proposing the payment of a dividend in respect of the year
ended 31 March 2003.
3. Publication of non-statutory accounts
The financial information set out in this preliminary announcement does not
constitute statutory accounts as defined in Section 240 of the Companies Act
1985.
The consolidated balance sheet at 31 March 2003 and the consolidated profit and
loss account, consolidated cash flow statement and associated noted for the year
then ended have been extracted from the Group's financial statements. Those
financial statements have not yet been delivered to the Registrar of Companies,
nor have the auditors reported on them.
4. Report and Accounts
Copies of the Report and Accounts will be sent to shareholders in due course and
will be available from the Company's registered office.
Further Enquiries:
Your Space PLC Tel: 07778 810608
Christopher Tidball
John East & Partners Limited Tel: 020 7628 2200
John East / Simon Clements
This information is provided by RNS
The company news service from the London Stock Exchange
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