RNS Number:9551M
Selector Limited
30 June 2003
Selector Limited
Results for the Year Ended 31 December 2002
Chairman's Statement for the year ended 31 December 2002
RESULTS
The Group made a profit after exceptional items and tax for the year ended 31
December 2002 of $1,262,000(2001-restated $41,000) on a turnover from continuing
operations of $1,331,000(2001 restated-$1,204,000). Earnings per share were
0.06c compared to 0.0004c in 2001.No dividend is proposed for the year
(2001-Nil).
TRADING REVIEW OF THE YEAR
Our main trading subsidiary, Gal-Kar Marketing (1995) Ltd. has continued to
perform satisfactorily in very difficult market conditions, with a continued
increase in turnover and operating profit.
As a result of the termination of the Creditors' Arrangement (see below), your
Company is now in a position, for the first time in many years, to expand its
activities. In January 2003,we entered into an Agreement to appoint Tec-Biz Ltd,
a UK Marketing Company as our Representative in Europe. Tec-Biz has been
involved for many years in opening European channels of business, and has
particular expertise in the area of water coolers and ancillary products. We
believe that our products, which have been selling in ever-increasing numbers in
Israel, are well suited to the European market, and we have high hopes that this
will prove to be an exciting new development. However, we do not expect
significant sales until 2004 at the earliest.
CREDITORS' ARRANGEMENT
Selector Ltd. entered into a Creditors' Arrangement in September 1999, and this
was terminated by order of the Court in December 2002. The creditors were paid
partly in cash, and partly in shares, with approximately 7.5 million new shares
being issued in January 2003, representing about 28% of the enlarged capital.
The effect on your Company's Profit and Loss Account and Balance Sheet, as a
result of the finalization of the Creditors' Arrangement, has been beneficial,
with substantial exceptional credits to Profit and Loss Account, and a reduction
in Liabilities.
FUTURE PROSPECTS
A placing of shares to raise up to #150,000 at a price of 3p per share is being
undertaken, and the current indications are that this will be successful. The
venture into Europe should see the beginning of an exciting new era in the
history of the Company.
DIRECTORS AND STAFF
Once again, I feel that a special mention should be made of our loyal directors
and staff. The company is very grateful to all of them, and special tribute
should be paid to our Chief Executive, Ronen Levy, whose continuing hard work
and perseverance in the face of almost insurmountable obstacles is finally
getting its rewards.
John Corre
Chairman
29 June 2003
Consolidated profit and loss accounts
Adjusted NIS (to December 2002) in thousands
(Except per share data)
Adjusted NIS Convenience translation into
US $
Year ended Year ended
December 31, December 31,
2002 2001 2002 2001
Turnover 6,304 5,704 1,331 1,204
Cost of sales 4,254 3,975 898 839
Gross profit 2,050 1,729 433 365
Selling, general and administrative expense (2,765) (2,919) (584) (616)
Other income (net of expenses of NIS 338) - 1,717 - 362
Operating Profit (Loss) (715) 527 (151) 111
Financial income (loss), net 405 (743) 85 (157)
Other income (expenses), net (3) 87 (1) 18
Loss on ordinary activities (313) (129) (67) (28)
Exceptional items:
Income (loss) from discontinued operations - 170 - 36
Income resulting from Creditors' Arrangement (see 6,295 - 1,329 -
Note 1)
Retained profit for financial year 5,982 41 1,262 8
Profit per share (NIS/$) 0.31 0.002c 0.06 0.0004c
NOTE - There are no recognized gains and losses other than the profits and
losses above and therefore no separate statement of total recognized gains has
been presented.
Balance sheets
Adjusted NIS (to December 2002) in thousands
Group Company
December 31, December 31,
Adjusted NIS Convenience translation Adjusted NIS
into US $
2002 2001 2002 2001 2002 2001
Fixed assets
Tangible fixed assets 498 666 105 141 128 174
Current assets
Stock 720 379 152 80 - -
Debtors 984 2,879 208 608 - 4,919
Cash and cash equivalents 4 67 1 14 - 24
1,708 3,325 361 702 - 4,943
Balances under Creditors
Arrangement
Cash in custody of trustee 2,096 - 442 - 2,096 -
designated for payment to
creditors
Creditors to be repaid by cash (2,286) - (483) - (2,286) -
Creditors to be repaid by share (286) - (60) - (286) -
allotment
(476) - (101) - (476) -
Creditors: amounts falling due (7,895) (13,670) (1,667) (2,886) (1,713) (7,208)
within one year
Net current assets (6,663) (10,345) (1,407) (2,184) (2,189) (2,265)
Assets attributed to 174 665 37 140 - -
discontinued operations
Total assets less current (5,991) (9,014) (1,265) (1,903) (2,061) (2,091)
liabilities
Creditors: amounts falling due (792) (3,487) (167) (736) (525) (3,000)
after more than one year
Liabilities attributed to - (264) - (55) - -
discontinued operations
Provision for losses in - - - - (4,197) (7,674)
subsidiary undertakings
Net assets (6,783) (12,765) (1,432) (2,694) (6,783) (12,765)
Capital and reserves
Called up share capital 2,558 2,558 540 540 2,558 2,558
Share premium 17,402 17,402 3,674 3,674 17,402 17,402
Profit and loss account (26,743) (32,725) (5,646) (6,908) (26,743) (32,725)
Equity shareholders' funds (6,783) (12,765) (1,432) (2,694) (6,783) (12,765)
NOTES
1. The above financial information in respect of the years ended 31
December 2002, and 2001 has been abridged from the statutory accounts of
Selector Ltd ("the Company") for the relevant periods.
2. Profit per share for the year ended 31 December 2002 and 2001,
have been calculated on the net Profit for the financial year and on
19,517,640 ordinary shares, being the weighted average number of
ordinary shares in issue throughout the period.
3. Copies of the Annual Report will be available at the offices of
the Company's Nominated Advisers: Brewin Dolphin Securities Ltd., of 48
St Vincent Street, Glasgow G2 5TS, and the Company's Registered Office,
27 Amal Street, Kiryat Aryeh, Petach Tikva 49133, Israel.
This information is provided by RNS
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