Member Info for Toyin

Dire, i'm not saying revs in December would be meaningful, what I am saying is, we know Croda had sold some product and has continued to do so. Remember, income is recorded during the period that a licensee uses a licensed asset and generates sales, we dont need to receive the money for it to be in the accounts. As soon as Croda make a sale we book our royalty of that sale immediately. The launch is done and finished in April, marketing will continue but the launch is over.

Dire, I dont believe that to be correct, we already started receiving payments in 2024 and as I stated earlier accruing rules speed up the reporting of revenues. I believe we have already book material revenue.

Bazza, lets not forget the accrual accounting:

Revenue earned from royalties is recognised in accordance with accrual accounting principles, where revenue is recognised when it is earned, regardless of when cash is received. For royalties, this means that income is recorded during the period that a licensee uses a licensed asset and generates sales or other revenue from it; this might not be the same period in which payments are made. This accounting practice ensures that financial statements reflect the true economic activity and health of a business by matching the revenue earned with the expenses incurred to generate that revenue within the same period.

As soon as Croda generate sales SBTX have to put royalties earned in the accounts, receiving cash is irrelevant. The HY report issued in March should have had any sales Croda had made up to the end of December 24, it didn’t. I will be waiting until 1/8 before I contact the FCA & AIM regs. No company can make another company sign an NDA which forces them to break accounting rules, even if SA did sign it the courts would not enforce that contract.

This refusal to inform investors of revenue received has been a farce since day one, it jeopardises nothing.

Aquae, a couple more to strengthen your argument.

RNS Number : 6109U

SkinBioTherapeutics PLC

26 November 2019

Any licensed products resulting from this agreement will be sold to Croda's global portfolio of Personal Care customers. SkinBioTherapeutics will be paid tiered royalties based on global sales revenues on any licensed products derived from the partnership which will be covered in individual ingredient application agreements. Recognising the development activity required by Croda, the Company anticipates revenue generation to commence from these additional agreements from 2021.

RNS Number : 7630E

SkinBioTherapeutics PLC

03 March 2020

Any licensed products resulting from these agreements will be sold to Croda's global portfolio of Personal Care customers, which amount to >12,000, some of which are the leading companies and brands in the market. SkinBioTherapeutics will be paid tiered royalties based on global sales revenues on any licensed products subsequently derived from the successful development of the partnership. Recognising the development activity required by Croda, the Company anticipates revenue generation to commence from these additional agreements during 2021.

Net, one question. What was the target price on the last broker note from Cavendish?

Net, the broker note was a disgrace, so much so it has now been locked out of research tree. I shall run one inaccuracy for you.

The company FY25 pro forma number is £6.3m this did not include anything from Croda or Superdrug, Cenkos also agreed with this number.

Now let us move on to the Singer note. Mr Keegan has forecast FY26 at £6.2m, including Croda & Superdrug. So Mr Keegan has removed £100k of revenue for this FY, so what he is relaying to the market is this. Dermatonics, BTS & Axis (Ex superdrug) will have contraction and Croda & Superdrug will contribute zero in FY26.

Now even if we say Derma/BTS/Axis (ex Superdrug) had zero growth, that would still contribute £6.3m, then lets say Croda £500k & Superdrug £500k ( I think this is conservative), that takes us to £7.3m for FY26.

If you think that note was acceptable in anyway, shape, or form, you need to go and get help. The note has quite clearly put false information into the market, the question is why?

Revenue earned from royalties is recognized in accordance with accrual accounting principles, where revenue is recognised when it is earned, regardless of when cash is received. For royalties, this means that income is recorded during the period that a licensee uses a licensed asset and generates sales or other revenue from it; this might not be the same period in which payments are made. This accounting practice ensures that financial statements reflect the true economic activity and health of a business by matching the revenue earned with the expenses incurred to generate that revenue within the same period.

Mad, what utter nonsense, of course he has influence, its the house broker, we pay for it! I for one haven’t screamed or shouted at SA once, I have said its a shambles which it is. That broker note by the “house” broker should never have gone out, the end. Regarding the £4mil or £5m its strange for you to be so blasé to throw £1m away even though SA's forecast is £5.3m, so you are happy with a 20% miss which would imply the acquisitions have been a total failure? I am not selling as I believe Skinbiotix will be a great success with Croda, that doesnt mean I have to be happy with the way we have got there so far.

Oleric, it has been going on since the 16/6. If you look at the chart from that date, we haven't moved but the volume has been higher than normal. It stinks.

Yes, its a total shambles Clio, plain and simple.

Bazza, I agree he should make a statement via rns asap and clear things up, I have asked the question.

bel, the note is available on Research Tree, but you do have to pay for it.

Bazza, the broker note is wrong and SA stands by his forecasts, I read it yesterday and it is worthless. The board needs a shakeup, the note should never have seen light of day and the board is responsible.

Obsisian, thank you for the very good summary, much appreciated. Agree, verbals are more difficult to prove but are still enforceable by law.

Visibility and permission three months after launch, slam dunk as far as we are concerned.

https://youtu.be/CuAsivkDeSk?feature=shared&t=2214

Shy, totally agree, this is the last thing I want to be doing but bigger investors (friends) than I are involved and they have had enough. I also hope it doesnt come to it.

Shy, there was chat of changing it but as far as I know its still December. Regarding the resolutions, we shall take a view on that when we see them, its early days and we are flexible.

Bazza, dont be so sure that the board wont get reshuffled. I have 12% pledged already and it will be ramping up over the coming months. I also have at least five investors joining me at the AGM, the board are fast running out of time.

On another point, SA stated he was told he would have "visibility and permission” to release the numbers three months after launch. If that statement is correct the NDA is null and void on that point and there is no legal reason he cannot release revenues received to date.

Aquae, he categorically said we would have numbers before the end of June in IMC. He also told Elric he “had” to tell us what we had already got. He cannot give a forward looking statement but the broker can, but the broker cannot use material/price sensitive information unless it is in the public domain via rns.

Billyboy, open your ears and listen!

https://youtu.be/zTsjx6xFAMQ?feature=shared&t=2824

billyboy, wind your neck in, sa said numbers before end of june, you may be ok with a ceo lying/bull****ting, im not. carry on with your space cakes!

absolutely nonsense, sa said we would have sight of numbers before the end of june, he either lied or bull****ted. time for a new bod.

PG, no he isn't. Agree with your observation, he is very articulate and certainly knows his stuff.