Last checked at 15 Mar 2021 07:00
15 March 2021
Mobile Streams plc
("MOS" or "the Company")
Interim Results
Mobile Streams plc, the AIM quoted mobile content and data intelligence company, is pleased to announce its unaudited interim results for the six months ended 31 December 2020.
Highlights
· Unaudited revenues were £0.2m (31 December 2019: £0.3m). All revenue is from continuing operations.
· £1.1m of cash and cash equivalents as at 31 December 2020 (£0.2m as at 31 December 2019), with no non-current debt.
Post-period end update
· £0.9m of cash and cash equivalents as at 12 March 2021, with no debt
· Streams, the Company's B2B (business to business) data insight and intelligence platform monthly revenues now exceed the net revenue produced by the legacy business
· Streams Data Chinese language website launched March 2021
Trading update
We are delighted to announce that revenues and customer growth continues to remain ahead of our internal forecast, and monthly Streams Data revenue continues to exceed the net revenue brought in via the legacy business. The Streams Data business, comprising the bespoke data insight, intelligence and visualisation service which achieved first revenues in June 2020, and the Streams SaaS ("Software as a Service") platform which generated initial customer revenues in October, is estimated to generate around £15,000 in monthly revenue for March, an increase of 67% since December.
Whilst still at a modest level, with our pipeline of product development and marketing, we hope to see continued growth in 2021.
Mobile business
The legacy business continues to perform at a stable level in line with our internal expectations.
Nigel Burton, Non-Executive Director, said:
"We are delighted with the performance of the Streams Data business to date. We are seeing ongoing revenue and customer growth for this business and hope to see this trend continue throughout 2021."
CONSOLIDATED INCOME STATEMENT |
|
|
|
|
|
|
|
| Unaudited | Unaudited | Audited |
| 6 months ended 31 December | 6 months ended 31 December | 12 months ended 30 June |
| 2020 | 2019 | 2020 |
| £000's | £000's | £000's |
|
|
|
|
Revenue | 176 | 271 | 636 |
Cost of sales | (80) | (156) | (473) |
Gross profit | 96 | 115 | 163 |
Selling and marketing costs | (30) | (54) | - |
Administrative expenses ** | (422) | (423) | (773) |
Operating Loss | (355) | (363) | (610) |
|
|
|
|
Profit (loss) on derecognition of subsidiaries | - | - | (953) |
Finance income | 2 | - | - |
Finance expense | - | - | - |
Loss before tax | (353) | (363) | (1,563) |
|
|
|
|
Tax expense | - | - | - |
Loss for the period | (353) | (363) | (1,563) |
|
|
|
|
Attributable to: |
|
|
|
Attributable to equity shareholders of Mobile Streams plc | (353) | (363) | (1,563) |
|
|
|
|
|
|
|
|
Earning Per Share |
|
|
|
| Pence per share | Pence per share | Pence per share |
Basic loss per share | (0.031) | (0.233) | (0.379) |
Diluted loss per share | (0.031) | (0.233) | (0.379) |
|
|
|
|
* *Administrative expenses include depreciation, amortisation, impairment and share based compensation. | |||
CONSOLIDATED STATEMENT OF COMPREHENSIVE LOSS |
| ||
|
|
|
|
| Unaudited | Unaudited | Audited |
| 6 months ended 31 December | 6 months ended 31 December | 12 months ended 30 June |
| 2020 | 2019 | 2020 |
|
|
|
|
| £000's | £000's | £000's |
|
|
|
|
Loss for the period | (353) | (363) | (1,563) |
|
|
|
|
Exchange differences on translating foreign operations | - | - | 956 |
|
|
|
|
Total comprehensive loss for the period | (353) | (363) | (607) |
|
|
|
|
Total comprehensive loss for the period attributable to: |
|
| |
|
|
|
|
Equity shareholders of Mobile Streams plc | (353) | (363) | (607) |
CONSOLIDATED STATEMENT OF FINANCIAL POSITION |
|
| |
|
|
|
|
| Unaudited | Unaudited | Audited |
| 6 months ended | 6 months ended | 12 months ended |
| 31 December 2020 | 31 December 2019 | 30 June 2020 |
| £000's | £000's | £000's |
Assets |
|
|
|
Current |
|
|
|
Trade and other receivables | 163 | 179 | 221 |
Cash and cash equivalents | 1,088 | 171 | 1,340 |
| 1,251 | 350 | 1,561 |
|
|
|
|
Total assets | 1,251 | 350 | 1,561 |
|
|
|
|
Equity |
|
|
|
Equity attributable to equity holders of Mobile Streams Plc |
|
| |
Called up share capital | 440 | 531 | 382 |
Share Premium | 14,126 | 12,610 | 14,126 |
Translation reserve | (3,050) | (4,005) | (3,050) |
Retained earnings | (10,816) | (9,334) | (10,463) |
Total equity | 700 | (198) | 995 |
|
|
|
|
Trade and other payables | 551 | 548 | 566 |
|
|
|
|
| 551 | 548 | 566 |
|
|
|
|
Total liabilities | 551 | 548 | 566 |
|
|
|
|
Total equity and liabilities | 1,251 | 350 | 1,561 |
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY |
|
|
| |||||
|
|
|
|
|
| |||
| Called up share capital | Share premium | Translation reserve | Retained earnings | Total Equity | |||
|
|
|
|
|
| |||
| £000's | £000's | £000's | £000's | £000's | |||
|
|
|
|
|
| |||
Balance at 1 July 2019 | 280 | 12,610 | (4,005) | (8,974) | (89) | |||
Credit for share based payments | - | - | - | 3 | 3 | |||
New equity | 251 | - | - | - | 251 | |||
Transactions with owners | 251 | - | - | 3 | 254 | |||
Loss for the 6 months ended 31 December 2019 | - | - | - | (363) | (363) | |||
Exchange differences on translating foreign operations | - | - | - | - | - | |||
Total comprehensive income for the period | - | - | - | (363) | (363) | |||
Balance at 31 December 2019 | 531 | 12,610 | (4,005) | (9,334) | (198) | |||
Balance at 1 January 2020 | 531 | 12,610 | (4,005) | (9,334) | (198) | |||
Credit for share based payments | - | - | - | 3 | 3 | |||
New equity | (149) | 1,516 | - | - | 1,367 | |||
Transactions with owners | (149) | 1,516 | - | 3 | 1,370 | |||
Loss for the 6 months ended 30 June 2020 | - | - | - | (1,563) | (1,563) | |||
Exchange differences on translating foreign operations | - | - | 955 | - | 955 | |||
Total comprehensive income for the period | - | 955 | (1,132) | (177) | ||||
Balance at 30 June 2020 | 382 | 14,126 | (3,050) | (10,463) | 995 | |||
Balance at 1 July 2020 | 382 | 14,126 | (3,050) | (10,463) | 995 | |||
Credit for share based payments | - | - | - | - | - | |||
New equity | 58 | - | - | - | 58 | |||
Transactions with owners | 58 | - | - | - | 58 | |||
Loss for the 6 months ended 31 December 2020 | - | - | - | (353) | (353) | |||
Exchange differences on translating foreign operations | - | - | - | - | - | |||
Total comprehensive income for the period | - | - | - | (353) | (353) | |||
Balance at 31 December 2020 | 440 | 14,126 | (3,050) | (10,816) | 700 | |||
CONSOLIDATED CASH FLOW STATEMENT |
|
|
| |||||
|
|
|
|
| ||||
| Unaudited | Unaudited | Audited |
| ||||
| 6 months ended 31 December 2020 | 6 months ended 31 December 2019 | 12 months ended30 June2020 |
| ||||
| £000's | £000's | £000's |
| ||||
Operating activities |
|
|
|
| ||||
Profit before taxation | (353) | (363) | (1,563) |
| ||||
Adjustments: |
|
|
|
| ||||
Shared based payments | - | 3 | - |
| ||||
Depreciation | - | - | - |
| ||||
Interest received | (2) | - | - |
| ||||
Changes in Trade and other receivables | 58 | 168 | 126 |
| ||||
Changes in Trade and other payables | (15) | (3) | 15 |
| ||||
Loss on Foreign Exchange | - | - | 953 |
| ||||
Interest paid | - | - | - |
| ||||
Exchange losses | 20 | - | 36 |
| ||||
Total cash utilised in operating activities | (292) | (195) | (433) |
| ||||
|
|
|
|
| ||||
Investing Activities |
|
|
|
| ||||
Additions to property, plant and equipment | - | - | - |
| ||||
Interest received | 2 | - | - |
| ||||
Interest paid | - | - | - |
| ||||
Net Cash generated from investing activities | 2 | - | - |
| ||||
|
|
|
|
| ||||
Issue of share capital (net of expenses paid) | 58 | - | 1,658 |
| ||||
Net Cash generated from financing activities | 58 | - | 1,658 |
| ||||
|
|
|
|
| ||||
Net change in cash and cash equivalents | (232) | (195) | 1,225 |
| ||||
Cash and cash equivalents at beginning of period | 1,340 | 115 | 115 |
| ||||
Exchange (loss)/ gain on cash and cash equivalents | (20) | 251 | - |
| ||||
Cash and cash equivalents, end of period | 1,088 | 171 | 1,340 |
| ||||
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS
1. BASIS OF PREPARATION
The interim results of Mobile Streams plc are prepared in accordance with the requirements of IAS 34 Interim Financial Reporting as adopted by the EU and prepared in accordance with the accounting policies set out in the last financial statements for the 12 months ended 30 June 2020.
The interim results, which are not audited, do not comprise statutory accounts within the meaning of section 434 of the Companies Act 2006.
The comparative financial information for the twelve months ended 30 June 2020 has been extracted from the statutory accounts for that period. In addition, the financial information for the 6 months ended 31 December 2019 has been extracted from the unaudited Interim results. The full audited accounts of the Group for the 12 months ended 30 June 2020 were prepared in accordance with International Financial Reporting Standards ("IFRS") as adopted by the European Union and have been delivered to the Registrar of Companies.
The auditor's report on these financial statements was unqualified and did not contain statements under S498 (2) or S498 (3) of the Companies Act 2006.
2. SEGMENT REPORTING
As at 31 December 2020, the Group was organised into four geographical segments: Europe, North America, Latin America, and Asia Pacific. Revenues were from external customers only and generated from three principal business activities: the sale of mobile content through MNOs (Mobile Operator sales), the sale of mobile content over the internet (Mobile Internet sales) and the provision of consulting and technical services (Other Service Fees).
All operations are continuing and all inter-segment transfers are priced and carried out at arm's length.
|
|
|
The segmental results for the 6 months ended 31 December 2020 were as follows: |
| ||||
£000's | Europe | Asia Pacific | North America | Latin America | Group |
Mobile operator sales | - | - | - | - | - |
Mobile internet sales | - | - | - | - | - |
Other service fees | 34 | 2 | 3 | 137 | 176 |
Total Revenue | 34 | 2 | 3 | 137 | 176 |
Cost of sales | - | - | - | (80) | (80) |
Gross profit | 34 | 2 | 3 | 57 | 96 |
Operating expenses | (318) | (54) | (6) | (73) | (451) |
EBITDA* | (284) | (52) | (3) | (16) | (355) |
Depreciation, amortisation | - | - | - | - | - |
Share based compensation | - | - | - | - | - |
Revenue/expense intercompany | - | - | - | - | - |
Finance income | - | - | - | 2 | 2 |
Profit/(Loss) before tax | (284) | (52) | (3) | (14) | (353) |
Income tax expense | - | - | - | - | - |
Profit/(Loss) after tax | (284) | (52) | (3) | (14) | (353) |
|
|
|
|
|
|
*Calculated as profit before tax, interest, amortization, depreciation, share compensation expense and impairment of assets. | |||||
The segmental results for the 6 months ended 31 December 2019 were as follows: |
| ||||
£000's | Europe | Asia Pacific | North America | Latin America | Group |
Mobile operator sales | - | - | - | - | - |
Mobile internet sales | - | - | - | - | - |
Other service fees | - | 23 | 2 | 246 | 271 |
Total Revenue | - | 23 | 2 | 246 | 271 |
Cost of sales | - | (13) | - | (144) | (156) |
Gross profit | - | 10 | 1 | 105 | 115 |
Operating expenses | (144) | (19) | (9) | (302) | (474) |
EBITDA* | (144) | (8) | (8) | (199) | (360) |
Depreciation, amortisation | - | - | - | - | - |
Share based compensation | (3) | - | - | - | (3) |
Revenue/expense intercompany | - | - | - | - | - |
Finance income | - | - | - | - | - |
Profit/(Loss) before tax | (147) | (8) | (8) | (199) | (363) |
Income tax expense | - | - | - | - | - |
Profit/(Loss) after tax | (147) | (8) | (8) | (199) | (363) |
|
|
|
|
|
|
*Calculated as profit before tax, interest, amortization, depreciation, share compensation expense and impairment of assets. | |||||
The segmental results for the year ended 30 June 2020 were as follows: |
| ||||
£000's | Europe | Asia Pacific | North America | Latin America | Group |
Mobile Operator Services | - | 124 | 4 | 502 | 630 |
Mobile Internet Services | - | - | - | - | - |
Other Service fees | 6 | - | - | - | 6 |
Total Revenue | 6 | 124 | 4 | 502 | 636 |
|
|
|
|
|
|
Cost of sales | - | (27) | - | (446) | (473) |
Gross profit | 6 | 97 | 4 | 56 | 163 |
Selling, marketing and administration expenses | (595) | (2) | (23) | (153) | (773) |
|
|
|
|
|
|
Trading EBITDA* | (589) | 95 | (19) | (97) | (610) |
Depreciation, amortisation and impairment | - | - | - | - | - |
Share based compensation | - | - | - | - | - |
Profit (loss) on derecognition of subsidiaries | - | (177) | (818) | 42 | (953) |
Finance income | - | - | - | - | - |
Finance expense | - | - | - | - | - |
Loss before tax | (589) | (82) | (837) | (55) | (1,563) |
Taxation | - | - | - | - | - |
Loss after tax | (589) | (82) | (837) | (55) | (1,563) |
3. EARNINGS PER SHARE |
|
|
|
|
|
|
|
Earnings per share |
|
|
|
Earnings per share is calculated by dividing the(loss)/profit attributable to equity holders of the Company by the weighted average number of ordinary shares in issue during the period. | |||
|
|
|
|
|
|
|
|
| Unaudited | Unaudited | Audited |
| 6 months ended 31 December 2020 | 6 months ended 31 December 2019 | 12 months ended 30 June 2020 |
|
|
|
|
Loss for the period (£000's) | (353) | (363) | (1,563) |
|
|
|
|
Loss earnings per share (pence): |
|
|
|
Basic | (0.031) | (0.233) | (0.379) |
Diluted | (0.031) | (0.233) | (0.379) |
|
|
|
|
|
|
|
|
Adjusted earnings per share |
|
|
|
Adjusted earnings per share is calculated to reflect the underlying profitability of the business by excluding non-cash charges for depreciation, amortisation, impairments and share compensation charges. | |||
|
|
|
|
| 6 months ended 31 December 2019 | 6 months ended 31 December 2019 | 12 months ended 30 June 2019 |
| £000's | £000's | £000's |
|
|
|
|
Loss for the period | (353) | (363) | (1,563) |
Add back: share compensation expense | - | 3 | 3 |
Add back: depreciation and amortisation | - | 0 | 0 |
Adjusted Loss for the period | (353) | (360) | (1,560) |
|
|
|
|
| Pence per share | Pence per share | Pence per share |
Adjusted loss per share | (0.031) | (0.231) | (0.379) |
Adjusted diluted loss per share | (0.031) | (0.231) | (0.379) |
|
|
|
|
|
|
|
|
Weighted average number of shares |
|
|
|
| 6 months ended 31 December 2019 | 6 months ended 31 December 2019 | 12 months ended 30 June 2019 |
|
|
|
|
Basic | 1,149,736,528 | 156,015,886 | 411,881,204 |
Exercisable share options | - | - | - |
Diluted | 1,149,736,528 | 156,015,886 | 411,881,204 |
|
|
|
|
Diluted (loss)/earnings per share is calculated adjusting the weighted average number of ordinary shares outstanding to assume conversion of all dilutive potential ordinary shares. The Company has only one category of ordinary shares.
The adjusted EPS has been calculated to reflect the underlying profitability of the business by excluding non-cash charges for depreciation, amortisation, impairments and share compensation charges.
4. GOING CONCERN
The Group had cash balances of £1.1m at 31 December 2020 (30 June 2020: £1.3m) and no borrowings. Having reviewed cash flow forecasts and budgets for a year ahead the Directors have a reasonable expectation that the Group has resources to continue in operational existence for the foreseeable future.
5. FOREIGN CURRENCY TRANSLATION
(a) Presentational currency
The consolidated financial statements are presented in British Pounds, which is also the functional currency of the parent entity.
(b) Transactions and balances
Foreign currency transactions are translated into the functional currency using the exchange rates prevailing at the date the transaction occurs. Any exchange gains or losses resulting from these transactions and from the translation of monetary assets and liabilities at the balance sheet date are reported in the income statement except when these represent a net investment in a subsidiary when they are charged or credited to equity.
Foreign currency balances are translated at the balance sheet date using exchange rates prevailing at the period end.(c) Group companies
The financial results and position of all group entities that have a functional currency different from the presentational currency of the Group are translated into the presentational currency as follows:
i. assets and liabilities for each balance sheet are translated at the closing exchange rate at the date of the balance sheet
ii. income and expenses for each income statement are translated at average exchange rates (unless it is not a reasonable approximation to the exchange rate at the date of transaction)
iii. all resulting exchange differences are recognised as a separate component of equity (translation reserve)
iv. The exchange rates used in respect of Argentinean Pesos are the official published exchange rates.
This announcement contains inside information for the purposes of Article 7 of Regulation (EU) 596/2014.
For further information, please contact:
Mobile Streams plc
Nigel Burton, Non-Executive Director
+44 77 8523 4447
www.mobilestreams.com
Beaumont Cornish (Nominated Adviser)
James Biddle and Roland Cornish
+44 (0) 20 7628 3396
Peterhouse Capital Limited (Broker)
Lucy Williams, Duncan Vasey and Eran Zucker
+44 (0) 20 7469 0930