Interim Results
November 28 2003 - 7:29AM
UK Regulatory
RNS Number:6280S
Base Group PLC
28 November 2003
Base Group plc
Unaudited Interim Results for Base Group plc for the 6 months ended
31 August 2003
Chairman's Statement
I am pleased to present the unaudited interim results for the Base Group plc for
the six months ended 31 August 2003.
Trading during the period was extremely disappointing with turnover reducing to
#332,000 (6 months to 30 June 2002: #428,000) and losses before goodwill
amortisation and impairment amounting to #744,000 (6 months to 30 June 2002:
loss of #511,000).
Following this performance, the Board were left with no choice but to review the
ongoing viability of the group's trading operations, particularly bearing in
mind the new "transfer window" system which would mean that only one month of
football transfers would take place in the second six months of the financial
year.
As I reported on 13 November 2003, and following discussions with the company's
advisers, Collins Stewart, the Board agreed to sell the entire issued share
capital of the group's trading subsidiaries, Base Soccer Agency Limited and Time
Management Global Limited for #1 each, to Base Sport Limited, a company owned by
Leon Angel, a former director of Base Group plc. This decision was taken
following a review of projected cash flow which indicated that, without the sale
of the businesses, the group was likely to run out of working capital by late
Spring 2004.
Following the sale of the only trading operations, Base Group plc has now become
a shell company, retaining its AIM quotation and approximately #350,000 of free
cash. On-going overheads are minimal, only representing necessary "plc" costs.
The Board is now actively exploring all avenues with a view to maximising
shareholder value including potential acquisitions.
Adrian Bradshaw
28 November 2003
For further information, contact
Adrian Bradshaw 020 7495 5524
Base Group plc
Unaudited results for 6 months ended 31 August 2003
Consolidated Profit and Loss Account
6 months 6 months 14 months
to 31/8/03 to 30/6/02 to 28/2/03
(Unaudited) (Unaudited) (Audited)
Note #000 #000 #000
Turnover
Continuing operations 332 407 1,479
Acquisition - 21 53
332 428 1,532
Cost of sales (108) (205) (366)
Gross profit 224 223 1,166
Administrative expenses (746) (511) (1,749)
Goodwill amortisation and impairment 3 (391) (1,026) (1,711)
- -
(1,137) (1,537) (3,460)
Operating loss (913) (1,314) (2,294)
Net interest receivable 8 35 57
Loss on ordinary activities before taxation (905) (1,279) (2,237)
Taxation - - -
Loss for the financial period (905) (1,279) (2,237)
Loss per ordinary share:
Basic 4 (0.11)p (0.16)p (0.28)p
Diluted (0.11)p (0.15)p (0.28)p
Operating (loss) before exceptional items can be analysed between continuing and discontinued
operations as follows:
6 months 6 months 14 months
to 31/8/03 to 30/6/02 to 28/2/03
(Unaudited) (Unaudited) (Audited)
#000 #000 #000
Continuing operations (913) (714) (1,599)
Acquisitions - (600) (695)
(913) (1,314) (2,294)
Consolidated Balance Sheet
6 months 6 months 14 months
to 31/8 to 30/6/02 to 28/2/03
/03
(Unaudited) (Unaudited) (Audited)
#000 #000 #000
Fixed Assets
Intangible assets 1,293 484
-
Tangible assets 37 44 41
37 1,337 525
Current Assets
Debtors 317 444 341
Cash at bank and in hand 575 1,466 1,043
892 1,910 1,384
Creditors: Amounts falling due (452) (691) (428)
within one year
Net current assets 440 1,219 956
Total assets less current liabilities 477 2,556 1,481
Capital and reserves
Called up share capital 8,399 7,975 8,399
Shares to be issued 640 99
-
Share premium account 3,011 3,011 3,011
Other reserves 3,330 3,330 3,330
Profit and loss account (14,263) (12,400) (13,358)
Equity shareholders' funds 477 2,556 1,481
Consolidated cash flow statement
for the 6 months ended 31st August 2003
6 months 6 months 14 months
to 31/8/03 to 30/6/02 to 28/2/03
(Unaudited) (Unaudited) (Audited)
Note #000 #000 #000
Net cash outflow from operating 1 (474) (528) (851)
activities
Returns on investments and servicing of
finance
Net interest received 8 35 57
Capital expenditure
Payments for tangible fixed (2) (33) (42)
assets
Acquisitions and
disposals
Acquisition of subsidiary
undertakings,
net of cash borrowings - (642) (755)
acquired
Cash outflow before financing (468) (1,168) (1,591)
Financing - - -
Decrease in cash in the (468) (1,168) (1,591)
period
Reconciliation of movements in shareholders' funds
for the 6 months ended 31 August 2003
6 months 6 months 14 months
to 31/8/03 to 30/6/02 to 28/2/03
(Unaudited) (Unaudited) (Audited)
#000 #000 #000
Loss for the (905) (1,279) (2,237)
financial year
Shares issued - 300 724
Cancellation of shares to (99) - -
be issued
Shares to be issued recognised in - 100 (424)
prior years
Decrease in shares to be - - (17)
issued
(1,004) (879) (1,954)
Opening 1,481 3,435 3,435
shareholders' funds
Closing 477 2,556 1,481
shareholders' funds
Notes to the Interim Accounts
1 . Reconciliation of operating loss to net cash flow from operating
activities
6 months 6 months 14 months
to 31/8/03 to 30/6/02 to 28/2/03
Unaudited Unaudited Audited
#000 #000 #000
Operating loss (913) (1,314) (2,294)
Goodwill amortisation and impairment and 1,644
depreciation 391 1,026
Working capital movements:
Debtors 27 (113) (5)
Creditors 21 (127) (196)
Net cash outflow from operating activities (474) (528) (851)
2 . This interim report was neither audited nor reviewed by the auditors. It does not
constitute statutory accounts within the meaning of s240 of the Companies Act 1985,
but has been prepared using the accounting policies set out in the
Group's 2002 Statutory Accounts. The financial information for the 14 months ended 28
February 2003 was derived from the latest Group accounts which have been filed with
the Registrar of Companies and received an unqualified audit report which did not contain
statements under s237 (2) or (3).
3 . The goodwill that arose on the acquisition of Icon Management Services Limited, parent
company of Base Soccer Agency Limited ("Base Soccer"), and the acquisition of Time Management
Global Limited ("TMG'') have been impaired to zero value as at 31 August 2003 in view of the
subsequent sale of "Base Soccer" and "TMG" for #1 each on 13 November 2003.
4 . Loss per share were calculated on the group loss for the financial period and on the
weighted average number of ordinary shares during the period of 839,944,149 (30 June 2002 :
784,269,672).
5 . The Board approved these Interim Accounts on 28 November 2003.
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