BONH.L Regulatory News (BONH)

31 Oct 2007 15:22

Vitesse Media PLC31 October 2007 Date: 31 October 2007On behalf of: Vitesse Media Plc ("Vitesse", the "Company" or the "Group") Immediate Release Vitesse Media PlcInterim Results The Board of Vitesse Media Plc (AIM: VIS), the publishing, events andmultimedia company, today announces its interim results for the six month ending31 July 2007. Highlights include: • Revenues for the six months to 31 July 2007 up 65% to £2.36 million (continuing operations up by 27%) (2006: £1.43 million) • Gross profit up by 74% to £1.56 million (2006: £0.9 million) • Maiden net profit for the six months to 31 July 2007 of £2,000 (2006: loss of £188,000) Commenting on the results, Vitesse Media's Chairman, Sara Williams, said: "The Group has made good progress for the first six months of the year,achieving strong organic growth in online activities and events. We arecommitted to drive and develop the Group further and the Board remainsoptimistic about our future prospects." - Ends - Enquiries: Vitesse Media Plc Via Redleaf CommunicationsSara Williams www.vitessemedia.co.uk KBC Peel Hunt Tel: 020 7972 8900Patrick Booth-Clibborn/Gordon Suggett Redleaf Communications Ltd Tel: 020 7822 0200Emma Kane/Sanna Lehtinen Chairman's Statement We are very pleased with the progress that the Group has made in the first sixmonths of the financial year, showing strong growth in revenues up 65% to£2.357m. There has also been a good turn round in gross profit, up 74%, and atthe bottom line (profit of £2,000 compared to a loss of £188,000 in 2006). Ofparticular note is the strong growth in our online activities, revenues up 34%to £458,000, and our events, revenues up 27% to £623,000. During the period,there was a further increase in the proportion of our revenues accounted for bysubscriptions, delegate payments and publication sales, now constituting some24% of total revenues. The Group is committed to making further increases inthese higher visibility earnings. Our acquisition of What Investment has been very successful in this period andperforming ahead of our expectations. We have seen the traffic increasing towww.Whatinvestment.co.uk by 60% during this period and will shortly relaunch thesite allowing us to drive up traffic even more. We also intend to launch theWhat Investment awards, as well as research documents and other publications tosell. Outlook The Group has made significant progress in the first part of the year and we areseeing strong organic growth in our core businesses. We believe we are wellpositioned to drive the Group's growth and development further. Sara WilliamsChairman and Chief Executive 31 October 2007 Consolidated Income StatementFor the six months ended 31 July 2007 6 months ended 6 months ended Year ended 31 July 2007 31 July 2006 06 February 2007 (unaudited) (unaudited) (audited) £'000 £'000 £'000 Revenue - Continuing 1,813 1,429 3,265 - Acquired 544 - - 2,357 1,429 3,265 Cost of sales 802 533 1,149 Gross profit 1,555 896 2,116 Administration expenses 1,546 1,085 2,447 Operating profit 9 (189) (331) Finance costs (7) 1 (9) Profit/(loss) before taxation 2 (188) (340) Taxation - - - Profit/(loss) for the period 2 (188) (340) Earnings/(loss) per share (pence) - 0.001p (0.96)p (1.95)pbasic and diluted Consolidated Balance sheetAs at 31 July 2007 6 months ended 6 months ended 12 months ended 31 July 2007 31 July 2006 6 February 2007 Assets (unaudited) (unaudited) (audited) £'000 £'000 £'000 (Restated) Non-current assetsTangible fixed assets 257 186 241Intangible assets 1,469 805 1,469 1,726 991 1,710 Current assetsTrade and other receivables 1,298 667 642Cash and cash equivalents - 434 181 1,298 1,101 823 Total Assets 3,024 2,092 2,533 Equity and liabilities EquityShare capital 2,091 1,812 2,091Share premium 1,843 1,616 1,845Other reserves 139 131 136Retained Earnings (3,095) (2,945) (3,096) 978 614 976 Non current liabilitiesFinancial liabilities 58 119 76 Current liabilitiesTrade and other payables 1,966 1,359 1,450Bank overdrafts and loans 22 - 31 1,988 1,359 1,481 Total equity and liabilities 3,024 2,092 2,533 Consolidated Cash Flow StatementFor the six months ended 31 July 2007 6 months to 6 months to 12 months to 31 July 2007 31 July 2006 6 February 2007 (unaudited) (unaudited) (audited) £'000 £'000 £'000 Restated Cash inflow from operating activitiesProfit from operations 9 (189) (331) Adjustments for:Depreciation 42 38 86 51 (151) (245) Share option costs 3 5 10Decrease/(increase) in receivables (656) (82) (57)Decrease in liabilities 490 (227) (239) Cash generated from operations (112) (455) (531) Interest paid (8) (4) (10)Interest received 1 5 1Income tax paid - - - Net cash (used in) from operating activities (119) (454) (540) Cash flows from investing activitiesAcquisition of subsidiaries (net of cash acquired) (2) (36) (36)Purchase of intangibles assets - - (626)Purchase of plant and equipment (43) (27) (70) Net cash (used in) investing activities (45) (63) (732) Cash flows from financing activities Issue of ordinary share capital for cash - 500 1,008Repayment of bank loan (10) (5) -Finance lease principle payments (29) (9) (20) Net cash (used in) / generated from financing (39) 486 988activities Net /(decrease) in cash and cash equivalents (203) (31) (284)Cash and cash equivalents at beginning of period 181 465 465 Cash and cash equivalents at end of period (22) 434 181 Consolidated Statement of changes in equityFor the six months ended 31 July 2007 Share Share Retained Other Share Total capital premium earnings reserves options account reserve £'000 £'000 £'000 £'000 £'000 £'000 6 months ended 31 July 2006 As at 1 February 2006 1,595 1,333 (2,757) 104 22 297Profit for the period (188) (188)Shares issued 217 283 500Share based payment charge 5 5 As at 31 July 2006 1,812 1,616 (2,945) 104 27 614 12 months ended 6 February 2007 As at 1 February 2006 1,595 1,333 (2,757) 104 22 297Profit for the period (340) (340)Shares issued 496 512 1,008Share based payment charge 10 10 As at 6 February 2007 2,091 1,845 (3,097) 104 32 975 6 months ended 31 July 2007 As at 7 February 2007 2,091 1,845 (3,097) 104 32 975Profit for the period 2 2Share issue costs (2) (2)Share based payment charge 3 3 As at 31 July 2007 2,091 1,843 (3,095) 104 35 978 Notes to the Interim Results 1. Basis of preparation The Interim Results for the six months ended 31 July 2007 are unaudited and donot constitute statutory accounts in accordance with section 240 of theCompanies Act 1985. Full accounts for the year ended 6 February 2007, on which the auditors gave anunqualified report and contained no statement under Section 237 (2) or (3) ofthe Companies Act 1985, have been delivered to the Registrar of Companies. 2. Adoption of International Financial Reporting Standards (IFRS) For all periods up to 6 February 2007 Vitesse Media plc has prepared itsfinancial statements in accordance with UK Generally Accepted AccountingPrinciples (UK GAAP). AIM Rules require that the annual consolidated financialstatements of Vitesse Media plc for the year ended 31 January 2008 be preparedin accordance with International Financial Reporting Standards (IFRS). Accordingly, these interim financial statements which are for the six monthsending 31 July 2007 have been prepared for the first time in accordance withInternational Financial Reporting Standards and are covered by IFRS1, First-timeAdoption of IFRS. The information presented within these interim financial statements is incompliance with IAS 34 'Interim Financial Reporting'. In preparing these interim financial statements the comparative figurespreviously reported under UK GAAP have been restated for the transition to IFRS. The disclosures required by IFRS 1 regarding the transition for the relevantperiods are given in note 3 below. Unless noted the same accounting policiesand methods of computation have been followed in the interim financialstatements as compared to the most recent annual financial statements. 3. Transition from UK GAAP to IFRS As required under IFRS 1, the equity reconciliations at 1 January 2006 (thetransition date for IFRS) and at 6 February 2007 (date of last UK GAAP financialstatements) are set out below. For comparative purposes, the equityreconciliation at 31 July 2006 is also included to enable a comparison of the2007 published interim figures The amortisation charged under UK GAAP for the year ended 6 February 2006 wascharged in accordance with UK GAAP policies and was also considered necessary tobring the goodwill to an accurate carrying value. Under IFRS goodwill cannot beamortised but an impairment is instead required for the year ended 6 February2006. The resulting loss for the year ended 6 February 2006 is therefore thesame under IFRS as reported in the audited accounts prepared under UK GAAP. 4. Reconciliation of UK GAAP equity to IFRS equity 6 February 2007 31 July 2006 1 January 2006Capital and reserves according to UK GAAP 976 614 298 Effect of adopting IFRS - - - 976 614 298Equity according to IFRS Under IFRS goodwill previously accounted for on the acquisition of investmentshas been restated as "Other intangible assets" in accordance with IFRS 3 -Business combinations. This reclassification does not affect the figurespreviously stated. In addition the total assets, equity and liabilities reportedunder UK GAAP are the same as that reported under IFRS. 5. Segmental information The group operates in one geographical location being the UK. Accordingly theprimary segmental disclosure is based on activity. Print Online publishing Events Total £'000 £'000 £'000 £'000 6 months ended 31 July 2007 Segmental revenue - continuing 458 732 623 1,813segmental revenue - acquired 54 490 - 544Total segmental revenue 512 1,222 623 2,357 Segmental result 480 753 322 1,555 6 months ended 31 July 2006 Segmental revenue - continuing 343 596 490 1,429segmental revenue - acquired - - - -Total segmental revenue 343 596 490 1,429 Segmental result 327 361 208 896 12 months ended 6 February 2007 Segmental revenue - continuing 696 1,539 1,030 3,265segmental revenue - acquiredTotal segmental revenue 696 1,539 1,030 3,265 Segmental result 648 1,009 459 2,116 6. Earnings/(loss) per share The calculation of loss per share is based on the following losses and numbersof shares. The diluted loss per share is the same as the basic loss per share,in accordance with FRS14 which prescribes that the potential ordinary sharesshould only be used as dilutive when,and only when, their conversion to ordinaryshares would decrease net profit or net loss per share from continuingoperations 6 months to 31 July 6 months to 31 July Year end 6 February 2007 2006 2007 (Unaudited) (Unaudited) (audited) £'000 £'000 £'000Earnings/(loss) for the period 2 (188) (340) No. No. No.Weighted average number of shares 20,908,914 15,131,177 17,429,667 7. Dividends No dividend is proposed for the six months ended 31 July 2007. 8. Restated Interim 31 July 2006 accounts An error in the treatment of acquisitions in the Balance Sheet in the previousyears interim accounts has been restated per analysis below 6 months to 31 July 6 months to 31 July 2006 2006 Restated Interim (unaudited) (unaudited) £'000 £'000 Equity 614 396Current Liabilities 1,359 1,296Intangible Assets 805 524 8. Copies of Interim Results Copies of the Interim Results will be available from www.vitessemedia.co.uk andfrom the Company's registered office, 20 Black Friars Lane, London EC4V 6HD This information is provided by RNS The company news service from the London Stock Exchange