11 Nov 2020 07:00
11 November 2020
Octagonal plc
("Octagonal" or the "Company")
Trading Update for Trading Subsidiaries and Timing Update for Octagonal Plc audited Accounts
Octagonal is pleased to provide the following trading update for its principal and wholly owned trading subsidiaries - Global Investment Strategy UK Limited ("GIS") and Global Investment Strategy HK Limited ("GISHK") for the six month period up to 30th September 2020 and to also update on the anticipated date for filing and notifying the Octagonal PLC audited accounts for the year ended 31 March 2020.
Trading Update- GIS & GISHK
Highlights for GIS for six months to 30 September 2020
· Sales increased by 42.7% against FY2019
· Profit increased by 41.2% against FY2019
· Strong net cash position, over £6.5m as at 30 September 2020.
GIS, is pleased to report unaudited revenues of GBP 4.794m and profits of GBP 2.082m for the 6 months to 30 September 2020. This was an increase of 42.7% in revenue and 41.2% in profit compared with the corresponding period last year (revenue of £3.359m and profits of £1.475m for the 6 months to 30 September 2019). The net cash position for GIS exceeds GBP 6.5m.
Chairman and Chief Executive Officer John Gunn, said, "We delivered strong earnings for the half year as markets remained active through the summer months against traditional trends, and our balanced business model continued to deliver consistent returns.
Still, GIS faces an incredibly broad range of outcomes tied to the coronavirus pandemic and there remain many challenges with no assurances of sustaining these levels of revenue.
The bright spot over the period has been an increase in client trade execution, which has benefited from increased volatility in equity markets and Central banks unprecedented actions to support credit markets. The actual results exceeded management expectations.
Our HK subsidiary remained fully operational during the period and continues to build on its network of Asia Pacific relationships to offer service to both its London based parent and regional clients. The HK office has contributed income to GIS, but we hope the year ahead will see it demonstrate its fiscal autonomy as a stand-alone entity, working in cooperation with its parent, but also servicing Asia based clients looking for a global service offering. The HK office made a loss of £153,000 for the 6 months to September 2020 (2019: loss of £143,000) Net cash stands at £483,000 in line with business needs and regulatory obligations.
The Company will announce its consolidated group interims by 31 December 2020.
Accounts publication
Further to the announcement made on 30 September 2020, the Group had applied for, and had been granted by AIM Regulation, a three month extension to the timeline for publishing its audited accounts for the year ended 31 March 2020 ("2020 Accounts"), which are now expected to be published before the end of November 2020. The Company confirms that it has been granted an extension by Companies House to file its 2020 Accounts by 31 December 2020 from the previous deadline of 30 September 2020.
This announcement contains inside information for the purposes of Article 7 of Regulation (EU) No 596/2014.
Enquiries:
Octagonal Plc | +44 (0) 20 7048 9400 |
John Gunn, Chairman |
|
|
|
Beaumont Cornish (Nominated Adviser and Broker) James Biddle / Roland Cornish | +44 (0) 20 7628 3396 |