Interim Results
September 10 2003 - 3:01AM
UK Regulatory
RNS Number:5859P
AeroBox plc
10 September 2003
AeroBox Plc
Interim Results for the Period Ended 30 June 2003
Highlights:
*Acquisition of Aerospace Composite Structures LLC and admission to AIM
*Joint Venture with Watermark Group plc
*15 airlines agree to commercial trials of the new Lower Deck Model 3
(LD3) Unit Load Device (ULD) made of Aeroplaz
*Placing raises #1.2m cash at 24p per share
Commenting today Robert Bushman, Chief Executive, said:
"The progress that the Company has made during the last six months has
strengthened our confidence that AeroBox is well positioned to achieve its
primary objective of becoming a significant force in the development and
production of fibre reinforced thermoplastic composites for use in the
transportation industry."
Enquiries:
Michael Edelson Chairman, AeroBox plc Tel: + 44 161 273 1440
Robert Bushman Chief Executive, AeroBox plc Tel: +1 505 332 7709
David Bick Holborn PR Tel: +44 20 7929 5599
Jonathan Wright/ Seymour Pierce Ltd Tel: +44 20 7107 8000
Jeremy Porter
Chairman's Statement
Introduction
It gives me great pleasure to present your Company's first report to
shareholders since its acquisition of Aerospace Composite Structures LLC ("ACS")
and admission to AIM on 20 March 2003. The results cover the period from
incorporation on 2 October 2002 to the financial half year, 30 June 2003.
Trading Update
ACS was founded in Albuquerque, New Mexico, in 1998 to pursue the development of
composite materials for use in manufacturing specialised products for the
freight and air cargo industries. ACS' initial application of its composites
technology has resulted in the development of a unique air freight and baggage
container that is lighter, stronger, more durable and more easily repaired than
the traditional aluminium containers now in airline service. The ACS Aeroplaz
container has received Federal Aviation Authority certification in the USA, for
use aboard commercial aircraft.
It was announced on 21 May 2003 that AeroBox and Watermark Group plc
("Watermark"), the airline industry support services supplier, have formed a
joint venture company called AeroBox ULD Limited (in which each has a 50% share)
to market and supply worldwide the lightweight and durable air freight
containers produced by AeroBox. Watermark is providing its worldwide marketing
expertise in support of the joint venture. I am pleased to report that the joint
venture has now been formally completed.
Under the terms of the joint venture, Watermark will receive a sales commission
and marketing fee and will have the right to exchange (after a period of twelve
months) its interest in the joint venture company at no further consideration,
in return for new shares in AeroBox, representing 10% of AeroBox's enlarged
share capital. Watermark is also entitled to an additional 2.5% of AeroBox's
enlarged share capital (again at no further consideration) depending on the
joint venture company meeting performance targets. AeroBox and Watermark are
confident that the joint venture company will meet those targets based upon
serious initial interest generated by Watermark with several of its airline
clients.
Aerobox ULD Limited today announces that 15 airlines have agreed to commercial
trials of their new Lower Deck Model 3 (LD3) Unit Load Device (ULD) made of
Aeroplaz. Following the successful launch of the new AeroBox cargo and
baggage container made from Aeroplaz in July this year, AeroBox has
agreed to supply 15 Airlines with 10 containers each on trial for 3 months. The
trials, if successful, represent the first major orders for AeroBox. Airlines
joining the trial include Virgin Atlantic, North West Airlines, Cathay Pacific,
Singapore Airlines, Aer Lingus and now British Airways who have all agreed they
will purchase the units following successful trials.
Results
The loss on ordinary activities for the period to 30 June 2003 amounted to
#569,000 and no turnover was reported. The loss per share is 1.6p and no
dividend is recommended. Cash outflow before financing amounted to #536,000 as
we continue to invest in research and development and market the AeroBox
products. We are announcing today that a further #1,200,000 has been raised via
a placing of 5,000,000 ordinary shares at 24p per share to provide additional
working capital.
Outlook
Having successfully initiated trials with 15 airlines, AeroBox now moves into
the next important stage of its development. The results of the trials will be a
major factor in determining the success of the business and an announcement
concerning their outcome will be made towards the end of this year.
Michael Edelson
Chairman
10 September 2003
CONSOLIDATED PROFIT AND LOSS ACCOUNT
FOR THE PERIOD 2 OCTOBER 2002 TO 30 JUNE 2003
Continuing
operations Acquisition Total
#000 #000 #000
Turnover - - -
Cost of sales - (72) (72)
---------- --------- ---------
Gross loss - (72) (72)
Administrative expenses:
- Amortisation of goodwill (247) - (247)
- Other administrative expenses (139) (121) (260)
--------- --------- ---------
Operating loss (386) (193) (579)
---------- ---------- ---------
Interest receivable 10
----------
Loss before and after tax and
loss for the financial period (569)
---------
Loss per share - basic (1.6)p
========
CONSOLIDATED BALANCE SHEET
AS AT 30 JUNE 2003
#000 #000
Fixed assets
Intangible assets 8,522
Tangible assets 240
---------
8,762
Current assets
Debtors 256
Cash at bank 439
--------
695
Creditors: amounts falling due within one year (97)
---------
Net current assets 598
----------
Total assets less current liabilities 9,360
Creditors: amounts falling due in more than one (123)
year ----------
Net assets 9,237
===========
Capital and reserves
Called up share capital 776
Share premium account 9,030
Profit and loss account (569)
-----------
Shareholders' funds 9,237
==========
CONSOLIDATED CASH FLOW STATEMENT
FOR THE PERIOD 2 OCTOBER 2002 TO 30 JUNE 2003
Reconciliation of operating loss to #000 #000
net cash outflow from operating activities
Operating loss (579)
Amortisation of intangible fixed assets 247
Depreciation of tangible fixed assets 3
Issue of shares to pay administrative 56
expenses
Increase in debtors (14)
Decrease in creditors (226)
---------
Net cash outflow from operating activities (513)
Returns on investment and servicing of
finance
Interest received 10
Capital expenditure and financial investment
Purchase of tangible fixed assets (24)
Acquisitions
Overdraft acquired with subsidiary (9)
undertaking -----------
Cash outflow before financing (536)
Financing
Issue of ordinary share capital 1,360
Share issue expenses (385)
----------
975
--------
Increase in cash 439
=======
Notes
1. The interim financial statements have not been audited and they do not
constitute full financial statements within the meaning of s240 of the
Companies Act 1985.
2. The interim financial statements have been prepared in accordance with
applicable accounting standards.
3. The group has no liability to current taxation due to the existence of tax
losses. The group has no potential liability to deferred taxation.
4. Basic loss per share has been calculated using a loss for the financial
period of #569,000 and a weighted average number of ordinary shares in issue
during the period 2 October 2002 to 30 June 2003 of 35,943,044.
5. Copies of this interim report are being posted to the Company's
shareholders. Further copies can be obtained by writing to The Company
Secretary, AeroBox plc, Third Floor, 345 Stockport Road, Manchester, M13
OLF.
This information is provided by RNS
The company news service from the London Stock Exchange
END
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