Last checked at 31 Oct 2013 14:00
31st October 2013
GCM Resources plc
("GCM" or the "Company")
(AIM:GCM)
Preliminary Results for the year ended 30 June 2013
GCM Resources plc (AIM:GCM), a resource exploration and development company, is pleased to report its preliminary results for the year ended 30 June 2013.
Highlights:
· Coal is now recognised as integral to Bangladesh's energy security and constructive steps are being made towards increasing power generation through coal-fired power plants within the country.
· Throughout the year GCM continued its strategy of significantly increasing its involvement with the local community and directly engaging with the Bangladeshi Government. Support for the Phulbari Coal Project is increasing within the local communities.
· GCM recorded a loss after tax of £3.2 million for the year ended 30 June 2013 (2012: loss of £3.3 million). The Company has since reduced overheads to a minimum level.
· The Company raised £2.3 million on 29 August 2013 via a share placement.
The Annual Report and Accounts for the year ended 30 June 2013 will be posted on the Company's website today (www.gcmplc.com) and will shortly be mailed to shareholders. Copies will also be available on request from the Company.
In the 2013 Annual Report and Accounts Michael Tang, Executive Chairman, commented: "Despite substantial changes to the management of the Company following the appointment of new directors and resignation of the previous Board, I can assure our shareholders that the objectives of GCM have not changed; to achieve approval of the Scheme of Development of the Phulbari Coal Project (the Project) and to ensure the Project is developed for the benefit of all stakeholders.
"The Board believes the best route to achieving approval is to present the Project in a way that is agreeable to the Government of Bangladesh. To this end our strategy is to continue Government advocacy, strengthen ties with the local community, and consider appropriate alliances and/or partners which may aid the approval process.
"The upcoming Bangladesh national election has been dominating the political landscape throughout 2013 and this is likely to intensify as we draw closer to the poll date, which is currently expected to be between late-December 2013 and mid-January 2014.
"Over the next 12 months the Company will be in discussions with the Government to progress the Project and shall strengthen ties with the local community. Our key goal remains to achieve approval of the Project in order to realise the aspirations of all shareholders and to develop the Project for the benefit of all stakeholders.
"I would like to thank the previous Board and employees for their services to GCM, and the existing staff and new Board members for their confidence and support."
The Income Statement, Statement of Comprehensive Income, Statement of Changes in Equity, Balance Sheet and Cash Flow are presented on the following pages.
Consolidated Income Statement
For year ended 30 June
2013 | 2012 | ||
£000 | £000 | ||
Operating expenses | |||
Exploration and evaluation costs | (405) | (596) | |
Share based payments | (186) | (744) | |
Administrative expenses | (1,242) | (1,582) | |
Operating (loss) | (1,833) | (2,922) | |
Exceptional items | (864) | 258 | |
Finance revenue | - | 1,498 | |
(Loss) before tax | (2,697) | (1,166) | |
Taxation | (471) | (2,138) | |
(Loss) for the year | (3,168) | (3,304) | |
(Loss) per share | |||
Basic (pence per share) | (6.2p) | (6.5p) | |
Diluted (pence per share) | (6.2p) | (6.5p) |
Consolidated Statement of Comprehensive Income
For year ended 30 June
2013 | 2012 | ||
£000 | £000 | ||
Loss for the year | (3,168) | (3,304) | |
Other comprehensive income | |||
Items that may be reclassified to profit or loss: | |||
Net loss on revaluation of available-for-sale financial assets | (2,825) | (8,646) | |
Transfer to income statement: sale of available-for-sale financial assets | 662 | (1,107) | |
Transfer to income statement: impairment of available-for-sale financial assets | 202 | 849 | |
Income tax relating to components of other comprehensive income | 471 | 2,354 | |
Total comprehensive loss | (4,658) | (9,854) | |
Consolidated Statement of Changes in Equity
For year ended 30 June
| Share capital | Share premium account | Share based payments not settled | Net movement in available-for-sale investments | Accumulated losses | Total |
£000 | £000 | £000 | £000 | £000 | £000 | |
Balance at 1 July 2011 | 5,105 | 44,217 | 1,805 | 8,040 | (7,640) | 51,527 |
Total comprehensive income | - | - | - | (6,550) | (3,304) | (9,854) |
Shares issued during the year | 5 | 29 | - | - | - | 34 |
Share based payments | - | - | (489) | - | 744 | 255 |
Balance at 30 June 2012 | 5,110 | 44,246 | 1,316 | 1,490 | (10,200) | 41,962 |
Total comprehensive loss | - | - | - | (1,490) | (3,168) | (4,658) |
Shares issued during the year | 5 | 12 | - | - | - | 17 |
Share based payments | - | - | (728) | - | 280 | (448) |
Balance at 30 June 2013 | 5,115 | 44,258 | 588 | - | (13,088) | 36,873 |
Consolidated Balance Sheet
As at 30 June
2013 | 2012 | ||
£000 | £000 | ||
Current assets | |||
Cash and cash equivalents | 707 | 353 | |
Receivables | 178 | 303 | |
Total current assets | 885 | 656 | |
Non-current assets | |||
Property, plant and equipment | 47 | 66 | |
Intangible assets | 36,393 | 34,458 | |
Financial assets | - | 7,228 | |
Total non-current assets | 36,440 | 41,752 | |
Total assets | 37,325 | 42,408 | |
Current liabilities | |||
Payables | (452) | (446) | |
Total current liabilities | (452) | (446) | |
Total liabilities | (452) | (446) | |
Net assets | 36,873 | 41,962 | |
Equity | |||
Share capital | 5,115 | 5,110 | |
Share premium account | 44,258 | 44,246 | |
Other reserves | 588 | 2,806 | |
Accumulated losses | (13,088) | (10,200) | |
Total equity | 36,873 | 41,962 |
Consolidated Cash Flow Statement
For year ended 30 June
2013 | 2012 | ||
£000 | £000 | ||
Cash flows used in operating activities | |||
(Loss) before tax | (2,697) | (1,166) | |
Adjusted for: | |||
Exceptional items | 864 | (258) | |
Finance revenue | - | (1,498) | |
Share based payments | 186 | 744 | |
Other non-cash expenses | 4 | 270 | |
(1,643) | (1,908) | ||
Movements in working capital: | |||
Decrease in operating receivables | 125 | 69 | |
(Decrease)/increase in operating payables | (46) | 49 | |
Cash used in operations | (1,564) | (1,790) | |
Interest received | - | 2 | |
Net cash used in operating activities | (1,564) | (1,788) | |
Cash flows from/(used in) investing activities | |||
Payments for property, plant and equipment | - | (7) | |
Payments for intangible assets | (2,502) | (2,368) | |
Proceeds from sale of investments | 4,403 | 2,439 | |
Dividends received | - | 1,496 | |
Net cash generated from investing activities | 1,901 | 1,560 | |
Cash flows from financing activities | |||
Issue of ordinary share capital | 17 | 34 | |
Net cash from financing activities | 17 | 34 | |
Total decrease in cash and cash equivalents | 354 | (194) | |
Cash and cash equivalents at the start of the year | 353 | 547 | |
Cash and cash equivalents at the end of the year | 707 | 353 | |
The audited financial information for the years ended 30 June 2013 and 30 June 2012 contained in this document do not constitute statutory accounts as defined in the Companies Act 2006. The comparative financial information is based on the statutory accounts for the financial year ended 30 June 2012. Those accounts, upon which the auditors issued an unqualified opinion with an emphasis of matter paragraph, have been delivered to the Registrar of Companies. The financial information for the year ended 30 June 2013 has been extracted from the financial statements of GCM Resources plc which will be delivered to the Registrar of Companies in due course. The auditors have issued an unqualified opinion with an emphasis of matter paragraph on the Group's statutory financial statements for the year ended 30 June 2013. The preliminary announcement was approved by the Board of Directors on 31 October 2013.
For further information:
GCM Resources plc James Hobson CFO & Company Secretary +44 (0) 20 7290 1630
| Pelham Bell Pottinger Lorna Spears / Joanna Boon +44 (0) 20 7861 3232
|
ZAI Corporate Finance Ltd Nominated Adviser and Broker Tom Price +44 (0) 20 7060 2220 |
GCM Resources plc | |
Tel: +44 (0) 20 7290 1630 | |
info@gcmplc.com; www.gcmplc.com |