Albion. Dev Vct Regulatory News (AADV)

23 Sep 2005 16:07

Close Brothers Dev VCT PLC23 September 2005 CLOSE BROTHERS DEVELOPMENT VCT PLC INTERIM RESULTS Close Brothers Development VCT PLC ("the Company"), today announces its interimresults for the six months to 30th June 2005. Financial Highlights: • NAV per Ordinary share of 96.8 pence (2004:77.3 pence (restated)) • Interim dividend on both Ordinary and C shares of 1.8 pence was paid in June 2005 For further information, please contact Patrick Reeve/Will Fraser-AllenClose Venture Management LimitedTel: 020 7422 7830 Clemmie CarrTavistock CommunicationsTel: 020 7920 3150 Notes to Editors: 1) Close Brothers Development VCT PLC is managed by Close Venture ManagementLimited 2) Close Venture Management Limited is a subsidiary of Close Brothers Group plcand is regulated by the FSA 3) Unaudited interim reports for the period will be sent to shareholdersshortly. 4) The financial information set out in the announcement does not constitute thecompany's statutory accounts for the six months ended 30th June 2005 or 2004.The financial information for the year ended 31st December 2004 is derived fromthe statutory accounts delivered from the Registrar of Companies. The auditorsreported on those accounts; their report was unqualified and did not contain astatement under s237 (2) or (3) of the Companies Act 1985. Chairman's statement Introduction The investment strategy of the Company is to establish a diversified portfolioof holdings in smaller, unquoted companies whilst at the same time selecting andstructuring investments through the use of secured debt in such a way as toreduce the risk normally associated with investment in these companies. Investment progress The results for the six months to 30 June 2005 show further good progress. Thenet asset value per share ("NAV") for the Ordinary Shares has increased to 96.8pence from 96.1 pence (restated) at the last year end, while the NAV for the CShares increased to 104.9 pence from 102.6 pence (restated)at the last year end. The principal reason for the increase is the successful sale of Automotive Technik, the manufacturer of military vehicles, which realised a gain of £1.4 million for the Ordinary Share portfolio, and a gain of £1.5 million for the C Share portfolio. The largest investment in the Ordinary Share portfolio is Careforce Group Plc,the domiciliary care business; shareholders will recall that this wassuccessfully floated on AIM in November 2004. Due to the fact that we arerestricted on selling any of our holding until November this year, the sharesare valued at market price less a discount of fifteen per cent. The largestholding in the C Share portfolio by value is Grosvenor Healthcare, whichprovides healthcare services to large corporates. This company continues toperform ahead of expectations and further amounts were invested during theperiod to purchase a smaller competitor in Scotland. The largest new investment during the period was of £300,000 with a further£200,000 commitment from the Ordinary Shares and a commitment for £800,000 fromthe C Shares as part of a larger fund raising to purchase a 30 acre freeholdsite in Weybridge, Surrey, for development into a new health and fitness club. The first interim dividend of 1.8 pence for both the Ordinary Shares and the CShares was declared in May and paid in June. As explained when we wrote to youin May, this is the transition year for the introduction of the revisedFinancial Reporting Standards, which changes the way we currently account forthe recording of dividends. We will therefore be announcing a second interimdividend in November, based on the unaudited results to 31 October 2005 forapproval and payment in December, in place of a final dividend. Shareholderswill therefore be receiving three dividends in the current calendar year,including the final for 2004, paid in March of this year. The income generated from the C Share portfolio is strong and growing, and willsupport a growing dividend in line with expectations. While the Ordinary Shareportfolio's successful disposal programme over the past twelve months hasgreatly boosted asset value, however, it has depressed revenue as high-yieldingloan stock has been repaid. The current programme of investments will help torestore this over time, although in the current year it is unlikely that theprevious years' dividend target of four pence will be met. Results and dividends As at 30 June 2005 the net asset value of the Ordinary Share portfolio was £13.1million, (2004: £11.0 million (restated)), equivalent to 96.8 pence per share(2004: 77.3 pence (restated)) for the Ordinary Shares, while the C Shareportfolio was £19.3 million, (2004: £17.8 million (restated)), or 104.9 penceper share (2004: 95.0 pence (restated)). Net income after taxation for theOrdinary Shares was £180,000 for the six months, (2004: £200,000). Net incomeafter taxation for the 'C' Share portfolio was £326,000 (2004: £201,000).The following is the total return of the Company since launch in January 1999. Pence per Pence per C Ordinary Share* Share* Dividends paid during theperiod ended 31 December 1999 1.00 -Dividends paid during theyear to 31 December 2000 3.65 -Dividends paid during theyear to 31 December 2001 3.20 -Dividends paid during theyear to 31 December 2002 4.20 -Dividends paid during theyear to 31 December 2003 4.50 -Dividends paid during theyear to 31 December 2004 4.00 2.75Dividends paid duringthe six months to 4.00 4.2030 June 2005 24.55 6.95Net asset value at 30 June2005 96.83 104.86Total return at 30 June 2005 121.38 111.81 \* The change in presentation of the above table in comparison to prior periodsreflects the adoption of FRS21 which requires only approved dividends to bedisclosed in each period. The directors have noted a number of typographical errors in the Company'sannual report for the year ended 31 December 2004, sent to shareholders inFebruary 2005 and published on Close Venture Management Limited's website ("thepublished accounts"), that did not appear in the Company's audited financialstatements for the year ended 31 December 2004 as filed with the Registrar atCompanies House ("the filed accounts"). Any shareholders wishing to receive copies of the filed accounts are invited tocontact the Company Secretary by telephone or in writing.. The directors have also noted two errors which appeared in the detailed notes ofboth the published accounts and the filed accounts and, as a consequence, theinterim accounts include additional information in notes 9 and 10. R M DavidsonChairman 23 September 2005 Statement of Total Return for the six months to 30 June 2005 Ordinary Shares Unaudited Unaudited Audited Six months to Six months to Year to 30 June 2005 30 June 2004 31 December 2004 (Restated)* (Restated)* Revenue Capital Total Revenue Capital Total Revenue Capital Total £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 Gains oninvestments - 657 657 - 2 2 - 2,463 2,463 Investmentincome 343 - 343 361 - 361 1,121 - 1,121 Investmentmanagement fee (44) (131) (175) (36) (108) (144) (76) (229) (305) Other expenses (42) - (42) (43) - (43) (81) - (81) Return/(loss) onordinary activitiesbefore tax 257 526 783 282 (106) 176 964 2,234 3,198 Tax on ordinaryactivities (77) 42 (35) (82) 35 (47) (289) 72 (217) Return/(loss)attributable toequityshareholders 180 568 748 200 (71) 129 675 2,306 2,981 Amounts recognised as distributionsto equityshareholdersin the period (552) - (552) (320) - (320) (577) - (577) Transfer (from)/to reserves (372) 568 196 (120) (71) (191) 98 2,306 2,404 Basic & dilutedreturn/(loss) pershare(pence) 1.3 4.1 5.4 1.4 (0.5) 0.9 4.7 16.1 20.8 All revenue and capital items in the above statement derive from continuingoperations.No operations were acquired or discontinued during the period.*Comparative figures have been restated in accordance with FRS 21 in respect ofdeclared dividends. Statement of total return for the six months to 30 June 2005 C Shares Unaudited Unaudited Audited Six months to Six months to Year to 30 June 2005 30 June 2004 31 December 2004 (Restated)* (Restated)* Revenue Capital Total Revenue Capital Total Revenue Capital Total £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 Gains oninvestments - 1,009 1,009 - 128 128 - 1,366 1,366 Investmentincome 582 - 582 365 - 365 1,097 - 1,097 Investmentmanagement fee (64) (191) (255) (36) (108) (144) (101) (303) (404) Other expenses (55) - (55) (45) - (45) (116) - (116) Return onordinary activitiesbefore tax 463 818 1,281 284 20 304 880 1,063 1,943 Tax on ordinaryactivities (137) 63 (74) (83) 36 (47) (264) 93 (171) Returnattributable to equityshareholders 326 881 1,207 201 56 257 616 1,156 1,772 Amounts recognised as distributionsto equityshareholdersin the period (593) (185) (778) (104) - (104) (233) - (233) Transfer (from)/to reserves (267) 696 429 97 56 153 383 1,156 1,539 Basic & dilutedreturn pershare 1.8 4.8 6.6 1.3 0.4 1.7 3.6 6.8 10.4(pence) *Comparative figures have been restated in accordance FRS 21 in respect ofdeclared dividends. Statement of total return for the six months to 30 June 2005 Total Unaudited Unaudited Audited Six months to Six months to Year to 30 June 2005 30 June 2004 31 December 2004 (Restated)* (Restated)* Revenue Capital Total Revenue Capital Total Revenue Capital Total £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 £'000 Gains oninvestments - 1,666 1,666 - 130 130 - 3,829 3,829 Investmentincome 925 - 925 726 - 726 2,218 - 2,218 Investmentmanagement fee (108) (322) (430) (72) (216) (288) (177) (532) (709) Other expenses (97) - (97) (88) - (88) (197) - (197) Return/(loss) on ordinaryactivitiesbefore tax 720 1,344 2,064 566 (86) 480 1,844 3,297 5,141 Tax on ordinaryactivities (214) 105 (109) (165) 71 (94) (553) 165 (388) Return/(loss)attributable to equityshareholders 506 1,449 1,955 401 (15) 386 1,291 3,462 4,753 Amounts recognised asdistributions to equityshareholdersin the period (1,145) (185) (1,330) (424) - (424) (810) - (810) Transfer (from)/toreserves (639) 1,264 625 (23) (15) (38) 481 3,462 3,943 *Comparative figures have been restated in accordance with FRS 21 in respect ofdeclared dividends. Balance sheet as at 30 June 2005 Ordinary Shares Unaudited Unaudited Audited 30 June 2005 30 June 2004 31 December 2004 (Restated)* (Restated)* £'000 £'000 £'000 Fixed asset investmentsQualifying investments 6,944 9,760 7,703Non-qualifying investments 60 - - Total fixed asset investments 7,004 9,760 7,703 Current assetsDebtors 68 78 186Cash at bank 6,678 1,593 5,980 6,746 1,671 6,166 Creditors: amounts fallingdue within one year (605) (387) (485) Net current assets 6,141 1,284 5,681 Total assets less current liabilities 13,145 11,044 13,384 Capital and reservesCalled up share capital 6,788 7,144 6,964Share premium 48 48 48Special reserve 5,671 6,245 5,991Capital redemption reserve 596 241 420Realised capital reserve (875) (2,240) (2,206)Unrealised capital reserve 877 (664) 1,679Revenue reserve 40 270 488 Total equity shareholders'funds 13,145 11,044 13,384 Net asset value per share(pence) 96.8 77.3 96.1 *Comparative figures have been restated in accordance with FRS 21 in respect ofdeclared dividends. Balance sheet as at 30 June 2005 C Shares Unaudited Unaudited Audited 30 June 2005 30 June 2004 31 December 2004 (Restated)* (Restated)* £'000 £'000 £'000 Fixed asset investmentsQualifying investments 6,768 3,756 7,297Non-qualifying investments 7,762 6,003 7,000 Total fixed asset investments 14,530 9,759 14,297 Current assetsDebtors 130 52 110Cash at bank 4,916 8,169 5,045 5,046 8,221 5,155 Creditors: amounts fallingdue within one year (256) (181) (416) Net current assets 4,790 8,040 4,739 Total assets less current liabilities 19,320 17,799 19,036 Capital and reservesCalled up share capital 9,212 9,366 9,278Share premium 3,160 3,160 3,160Special reserve 4,976 5,251 5,100Capital redemption reserve 159 5 93Realised capital reserve 483 (255) (362)Unrealised capital reserve 1,113 63 1,272Revenue reserve 217 209 495 Total equity shareholders'funds 19,320 17,799 19,036 Net asset value per share(pence) 104.9 95.0 102.6 *Comparative figures have been restated in accordance with FRS 21 in respect ofdeclared dividends. Balance sheet as at 30 June 2005 Total Unaudited Unaudited Audited 30 June 2005 30 June 2004 31 December 2004 (Restated)* (Restated)* £'000 £'000 £'000 Fixed asset investmentsQualifying investments 13,712 13,516 15,000Non-qualifying investments 7,822 6,003 7,000 Total fixed asset investments 21,534 19,519 22,000 Current assetsDebtors 198 130 296Cash at bank 11,594 9,762 11,025 11,792 9,892 11,321 Creditors: amounts fallingdue within one year (861) (568) (901) Net current assets 10,931 9,324 10,420 Total assets less current liabilities 32,465 28,843 32,420 Capital and reservesCalled up share capital 16,000 16,510 16,242Share premium 3,208 3,208 3,208Special reserve 10,647 11,496 11,091Capital redemption reserve 755 246 513Realised capital reserve (392) (2,495) (2,568)Unrealised capital reserve 1,990 (601) 2,951Revenue reserve 257 479 983 Total equity shareholders'funds 32,465 28,843 32,420 *Comparative figures have been restated in accordance with FRS 21 in respect ofdeclared dividends.The interim information was approved by the Board of Directors on 23 September2005.Signed on behalf of the Board of Directors Roderick DavidsonChairman Cash flow statement for the six months to 30 June 2005 Ordinary Shares Unaudited Unaudited Audited Six months to Six months to Six months to 30 June 2005 30 June 2004 31 December 2004 £'000 £'000 £'000 Operating activitiesInvestment income received 122 193 1,397Deposit income received 70 40 84Other income received - - 1Investment management feespaid (126) (147) (366)Other cash payments (79) (74) (101) Net cash (outflow)/inflowfrom (13) 12 1,015operating activities TaxationUK corporation tax paid (148) - - Capital expenditure andfinancial investmentPurchase of qualifyinginvestments (660) (472) (1,741)Disposals of qualifyinginvestments 2,388 - 5,240 Net cash inflow/(outflow)from investing activities 1,728 (472) 3,499 Equity dividends paidDividends paid onordinary shares (551) (319) (577) Net cash inflow/(outflow)before financing 1,016 (779) 3,937 FinancingCancellation of shares (318) (96) (425) Net cash outflow fromfinancing (318) (96) (425) Increase/(decrease) in cashin the period 698 (875) 3,512 Cash flow statement for the six months to 30 June 2005 C Shares Unaudited Unaudited Audited Six months to Six months to Six months to 30 June 2005 30 June 2004 31 December 2004 £'000 £'000 £'000 Operating activitiesInvestment income received 327 241 822Deposit income received 114 89 192Investment management feespaid (175) (144) (403)Other cash(payments)/receipts (18) (5) 27 Net cash inflow fromoperating activities 248 181 638 Capital expenditure andfinancial investmentPurchase of qualifyinginvestments (1,685) (1,362) (4,733)Purchase of non-qualifyinginvestments (92) - (2,999)Disposals of qualifyinginvestments 2,316 - 1,056Disposals of non-qualifyinginvestments - - 1,999 Net cash inflow/(outflow)from investing activities 539 (1,362) (4,677) Equity dividends paidDividends paid on C shares (779) (105) (233) Net cash inflow/(outflow)before financing 8 (1,286) (4,272) FinancingIssue of equity net ofexpenses - 6,672 6,671Cancellation of shares (137) (9) (146) Net cash (outflow)/inflowfrom financing (137) 6,663 6,525 (Decrease)/increase in cashin the period (129) 5,377 2,253 Cash flow statement for the six months to 30 June 2005 Total Unaudited Unaudited Audited Six months to Six months to Six months to 30 June 2005 30 June 2004 31 December 2004 £'000 £'000 £'000 Operating activitiesInvestment income received 449 434 2,219Deposit income received 184 129 276Other income received - - 1Investment management feespaid (301) (291) (769)Other cash payments (97) (79) (74) Net cash inflow fromoperating activities 235 193 1,653 TaxationUK corporation tax paid (148) - - Capital expenditure andfinancial investmentPurchase of qualifyinginvestments (2,345) (1,834) (6,474)Purchase of non-qualifyinginvestments (92) - (2,999)Disposals of qualifyinginvestments 4,704 - 6,296Disposals of non-qualifyinginvestments - - 1,999 Net cash inflow/(outflow)from investing activities 2,267 (1,834) (1,178) Equity dividends paidDividends paid onordinary and C shares (1,330) (424) (810) Net cash inflow/(outflow)before financing 1,024 (2,065) (335) FinancingIssue of equity net ofexpenses - 6,672 6,671Cancellation of shares (455) (105) (571) Net cash (outflow)/inflowfrom financing (455) 6,567 6,100 Increase in cash in theperiod 569 4,502 5,765 This information is provided by RNS The company news service from the London Stock Exchange