6 Aug 2012 07:00
6 August 2012
PuriCore plc
("PuriCore" or the "Company")
Half Yearly Results for the Six Months Ended 30 June 2012
Company Continues to be EBITDA Profitable and Cash Flow Positive from Operations
PuriCore (LSE: PURI), the water-based clean technology company, today announces its half yearly results for the six months ended 30 June 2012.
Financial Highlights
·; Revenue increased 35% (37% at constant currency) to $25.3m (H1 2011: $18.8m)
o Supermarket Retail revenue up 71% to $13.0m (H1 2011: $7.6m)
o Endoscopy revenue up 6% (9% at constant currency) to $11.6m (H1 2011: $10.9m)
o Wound Care revenue up 217% to $0.7m (H1 2011: $0.2m)
·; Overall gross profit margin of 33.0% (H1 2011: 27.4%)
·; Operating expenses reduced 13%
·; EBITDA* profitable: an increase of $4.4m to $0.7m (H1 2011: EBITDA loss of $3.7m)
·; Cash flow generated from operations $2.9m (H1 2011: $1.6m outflow)
·; Gross cash of $4.7m at period end
Business and Operational Highlights
·; Supermarket Retail: sales of 754 new Sterilox Fresh and FloraFresh Systems from existing and new customers bringing to total of 6,101 Systems sold or leased to US and Canadian supermarkets
·; Endoscopy: recurring revenues up 8% (10% at constant currency), accounting for 77% of revenues
·; Wound Care: strong organic and distribution sales
·; University of Oxford received £500,000 to study PuriCore's ActiVita Agricultural Solution
Michael Ashton, Executive Chairman, said:
"PuriCore continued to be EBITDA profitable and cash flow positive from operations across the business during the first half of the year, delivered strong sales, and continued to reduce operating costs. For the remainder of the year, we will continue to drive sales aggressively in all business units, prudently control costs, and pursue potentially lucrative business development opportunities to continue to grow the company and build shareholder value."
PuriCore will host a conference call for investors and analysts today at 2.00 pm BST, and a recording will be available on the Company's website at www.puricore.com. For details of the call please contact FTI Consulting or Sage Strategic Marketing.
*Earnings before interest, tax, depreciation, and amortisation.
Enquiries:
UK | US |
FTI Consulting | Sage Strategic Marketing |
Susan Stuart | Jennifer Guinan |
Victoria Foster Mitchell | +1 610.410.8111 |
+44 (0) 20 7831 3113 |
About PuriCore
PuriCore plc (LSE: PURI) is a water-based clean technology company focused on developing and commercialising proprietary solutions that protect people from the spread of infectious pathogens without causing harm to human health or the environment. The Company's products are used in a broad range of markets that depend upon effective pathogen control. PuriCore is the leading full provider of all products and services required for a safe, efficient, and compliant endoscope decontamination to protect patients in UK hospitals. The Company's products are the de facto standard for food safety in leading US supermarket chains. PuriCore also offers a breakthrough wound therapy solution to treat chronic and acute wounds including diabetic ulcers and burns.
PuriCore is headquartered in Malvern, Pennsylvania, with operations in Stafford and Clevedon, UK. To receive additional information on PuriCore, please visit our website at www.puricore.com, which does not form part of this press release.
H1 Business and Financial Report
PuriCore ended the period EBITDA profitable across the business. Company sales grew 35% (37% at constant currency) to $25.3 million for the period (H1 2011: $18.8 million). Robust sales and installations in the Supermarket Retail sector, strong recurring revenues, and continued growth in the Wound Care business including distribution orders combined with prudent cost management resulted in an improved performance and solid set of first half results.
Operations
Supermarket Retail
PuriCore continued to expand market share with leading US and Canadian retail supermarkets as the de facto standard for protecting and driving down costs in fresh produce departments. Half-year sales increased 71% to $13.0 million (H1 2011: $7.6 million), reflecting PuriCore's extensive industry experience and a proven ROI model for customers.
The Company delivered 754 Sterilox Fresh and FloraFresh Systems during the period, increasing the aggregate total number of Systems sold or leased to date to 6,101. PuriCore now has Systems in 21% of the target market stores in the US and Canada, a rise of more than 10% in the period. Additional installations for these customers and for other chains in active sales discussions or trials represent a further 50% of the target market in total.
Endoscopy
PuriCore Endoscopy is a leading full-service provider of products and services required for compliant endoscope decontamination in UK National Health Service (NHS) hospitals and offers cutting-edge clean air solutions for the scientific sector. During the half year, this business increased sales 6% (9% at constant currency) to $11.6 million (H1 2011: $10.9 million) through its continued strong presence in the NHS supply chain combined with an increased focus on growing recurring revenues. These recurring revenues, including leases, services, and consumables, mitigate the potential impact of capital spending delays by the primary customer, the NHS. During the period, recurring revenues continued to increase, up 8% (up 10% at constant currency) to $8.9 million (H1 2011: $8.2 million), accounting for 77% of divisional sales for the year. To augment future recurring revenues, PuriCore purchased the business and assets of Monmouth Surgical, a leading provider of complementary endoscopy and surgical consumables, in May 2012 for £0.4 million (including inventory conditional payments of £0.1 million) and is rolling out the expanded product offering to potential and existing customers.
Wound Care
The Wound Care business continues to increase its US sales organically, and through a distribution agreement, for its Vashe Wound Therapy, a breakthrough product for infected chronic and acute wounds including diabetic ulcers and burns. Revenues for Wound Care (including Dental) increased 217% during the half year to $0.7 million (H1 2011: $0.2 million), with nearly all sales attributable to the new bottled products.
Work is underway to achieve a CE mark for distribution of the product in Europe. Additionally, PuriCore is focused on development work regarding new formulations as well as partnership opportunities, including those in dermatology and animal health.
R&D
PuriCore continued to advance a promising new application of its water-based clean technology during the period, with ongoing research on the potential breakthrough application of PuriCore's technology in the agricultural industry as a broad-spectrum fungicide. In January, the Biotechnology and Biological Sciences Research Council (BBSRC) awarded a £500,000 research grant to The University of Oxford for the study of its ActiVita Agricultural Solution. The three-year grant will fund research focused on exploring the mode of action of ActiVita Solution on major food crops including wheat, rice, and maize.
Financial Report
Income Statement
PuriCore increased sales in the half year with revenues of $25.3 million, an increase of 35% (37% at constant currency) over H1 2011 ($18.8 million). This growth was driven by strong sales in all business units, continuing EBITDA profitability across the Company during the period.
Gross profit margins increased to 33% for the half year (H1 2011: 27.4%) due to increased profit margins in the Endoscopy and Wound Care segments. The Company leveraged operating expense reductions, which improved the Group's operating loss to $0.9 million (H1 2011: $5.4 million). PuriCore achieved EBIDTA profitability of$0.7 million during the period (H1 2011: EBITDA loss of $3.7 million).
Balance Sheet and Cash Flow
As at 30 June 2012, cash and cash equivalents were $4.7 million (as at 30 June 2011: $3.8 million). The Company generated cash flows from operations of $2.9 million over the period due to both strong sales growth and significant reductions in operating expenses.
PuriCore reached an agreement in December 2011 with the requisite majority of holders of the Convertible Loan Notes for a two-year extension of the repayment date, which will now be 31 December 2013. The Convertible Loan Notes, amounting to £7.95 million, were due to be repaid on 31 December 2011, subject to the holders having the right to convert all or part of their holdings into ordinary shares of the Company at a price (following the consolidation of the share capital on 14 June 2010) of 75p per share. There have otherwise been no other changes to the terms of the Convertible Loan Notes.
Outlook
PuriCore's business mix has been designed to deliver both robust growth and cash generation, and the Company continues to maintain a prudent approach to costs. In the Supermarket Retail sector, an aggressive sales approach continues to drive top-line growth and market share expansion. In addition, development work is underway to launch a new FloraFresh bottled formulation for floral care to meet growing customer demand. In the UK, the Board is cautiously optimistic regarding 2012 as this business remains focused on prudent cost controls and margins whilst continuing to increase recurring revenues. PuriCore Endoscopy will also aim to capitalise on recurring revenues from the new surgical consumables catalogue now in the portfolio following the strategic acquisition of Monmouth Surgical. In the Wound Care market, PuriCore remains focused on driving sales by aggressively pursuing new opportunities, including new formulations, geographies, and partnerships to expand the Company's market reach and product adoption. Lastly, PuriCore will continue to invest in its R&D programme for ActiVita Agriculture Solution, with a view to attracting suitable partners for this promising application.
Condensed Consolidated Statement of Comprehensive Income
For the six-month period ended 30 June 2012
30 June 2012 | 30 June 2011 | 31 December 2011 | |
$ | $ | $ | |
Revenue | 25,349,219 | 18,755,237 | 42,554,284 |
Cost of sales | (16,985,839) | (13,617,212) | (30,048,322) |
Gross Profit | 8,363,380 | 5,138,025 | 12,505,962 |
Sales and marketing expenses | (2,459,136) | (2,425,420) | (4,577,176) |
General and administrative expenses | (4,690,232) | (5,991,615) | (10,231,238) |
Research and development expenses | (2,094,428) | (2,155,786) | (4,394,312) |
Loss before Interest and Tax | (880,416) | (5,434,796) | (6,696,764) |
Finance costs | (655,300) | (1,204,924) | (2,446,620) |
Finance income | 14,979 | 10,073 | 14,567 |
Net Finance Loss | (640,321) | (1,194,851) | (2,432,053) |
Loss before Taxation | (1,520,737) | (6,629,647) | (9,128,817) |
Taxation | 65,943 | - | - |
Loss for the Period | (1,454,794) | (6,629,647) | (9,128,817) |
Other Comprehensive Income: | |||
Foreign currency translation for foreign operations | (78,751) | (870,894) | 306,467 |
Total comprehensive loss for the period | (1,533,545) | (7,500,541) | (8,822,350) |
Loss Attributable to: | |||
Equity Holders of the Parent | (1,454,794) | (6,629,647) | (9,128,817) |
Total comprehensive income attributable to: | |||
Equity holders of the Parent | (1,533,545) | (7,500,541) | (8,822,350) |
Basic and Diluted Loss Per Share | (0.06) | (0.28) | (0.37) |
Condensed Consolidated Statement of Financial Position
For the six-month period ended 30 June 2012
30 June 2012 | 30 June 2011 | 31 December 2011 | |
$ | $ | $ | |
ASSETS | |||
Non Current Assets | |||
Intangible assets | 5,514,696 | 6,906,018 | 5,942,801 |
Property, plant, and equipment | 3,494,462 | 4,762,437 | 3,678,337 |
Trade and other receivables | 73,831 | 273,024 | 117,007 |
Total Non Current Assets | 9,082,989 | 11,941,479 | 9,738,145 |
Current Assets | |||
Inventories | 6,221,804 | 6,587,845 | 4,995,227 |
Trade and other receivables | 7,052,913 | 8,140,658 | 9,817,220 |
Cash and cash equivalents | 4,722,367 | 3,762,715 | 4,490,746 |
Total Current Assets | 17,997,084 | 18,491,218 | 19,303,193 |
Total Assets | 27,080,073 | 30,432,697 | 29,041,338 |
LIABILITIES | |||
Current Liabilities | |||
Trade and other payables | (13,989,333) | (12,992,928) | (12,904,187) |
Loans and borrowings | (2,123,383) | (15,078,095) | (3,609,614) |
Provisions | (73,391) | (95,999) | (72,629) |
Total Current Liabilities | (16,186,107) | (28,167,022) | (16,586,430) |
Non Current Liabilities | |||
Loans and borrowings | (12,653,062) | (1,337,360) | (12,729,762) |
Total Non Current Liabilities | (12,653,062) | (1,337,360) | (12,729,762) |
Total Liabilities | (28,839,169) | (29,504,382) | (29,316,192) |
Net Assets | (1,759,096) | 928,315 | (274,854) |
EQUITY | |||
Share capital | 4,527,883 | 4,483,312 | 4,527,883 |
Share premium | 163,082,712 | 162,998,021 | 163,082,712 |
Other Reserves | 8,438,571 | 8,399,890 | 8,389,268 |
Retained earnings | (175,811,747) | (171,857,783) | (174,356,953) |
Cumulative translation adjustment | (1,996,515) | (3,095,125) | (1,917,764) |
Issued capital and reserves attributable to equity holders of the parent | (1,759,096) | 928,315 | (274,854) |
Total Equity | (1,759,096) | 928,315 | (274,854) |
Condensed Consolidated Cash Flow Statement
For the six-month period ended 30 June 2012
30 June 2012 | 30 June 2011 | 31 December 2011 | |
$ | $ | $ | |
Cash Flows From Operating Activities | |||
Loss for the period | (1,454,794) | (6,629,647) | (9,128,817) |
Adjustments for: | |||
Finance costs | 655,300 | 1,204,924 | 2,446,620 |
Finance income | (14,979) | (10,073) | (14,567) |
Depreciation and amortization | 1,555,620 | 1,715,837 | 4,424,939 |
Share based payment expense | 49,303 | 80,512 | 69,890 |
Loss on disposal of property, plant, and equipment | 23,338 | 354,429 | 445,496 |
Operating Income/ (Loss) Before Movement In Working Capital | 813,788 | (3,284,018) | (1,756,439) |
(Increase)/Decrease in inventories | (1,226,577) | 427,649 | 2,020,267 |
Decrease/(Increase) in trade and other receivables | 2,212,586 | 973,480 | (1,202,497) |
Increase in trade and other payables | 1,085,146 | 230,566 | 867,028 |
Cash Generated/(Absorbed) By Operations | 2,884,943 | (1,652,323) | (71,641) |
Interest received | 14,979 | 10,073 | 14,567 |
Net Cash From Operating Activities | 2,899,922 | (1,642,250) | (57,074) |
Cash Flows From Investing Activities | |||
Purchase of property, plant and equipment | (599,319) | (331,703) | (656,100) |
Purchase of intangible assets | (312,300) | - | - |
Net Cash Flow From Investing Activities | (911,619) | (331,703) | (656,100) |
Cash Flows From Financing Activities | |||
Issue of shares, options, and warrants | - | 1,948,441 | 2,077,704 |
Proceeds from new loan notes | 1,663,980 | - | 4,817,735 |
Net debt issuance cost | - | 714,844 | (66,000) |
Repayment of borrowings | (3,369,856) | (400,746) | (5,946,385) |
Interest paid on borrowings | (60,403) | (1,204,924) | (1,010,344) |
Repayments of obligations under finance leases | - | (30,210) | (53,988) |
Net Cash Flow From Financing Activities | (1,766,279) | 1,027,405 | (181,278) |
Net Increase/(Decrease) In Cash And Cash Equivalents | 222,024 | (946,548) | (894,452) |
Cash and cash equivalents at beginning of year | 4,490,746 | 5,193,072 | 5,193,072 |
Effect of foreign exchange rate changes on cash held | 9,597 | (483,809) | 192,126 |
Cash and Cash Equivalents | 4,722,367 | 3,762,715 | 4,490,746 |
Total Cash at End of Period | 4,722,367 | 3,762,715 | 4,490,746 |
Condensed Consolidated Statement of Changes in Equity
For the six-month period ended 30 June 2012
30 June 2012 | 30 June 2011 | 31 December 2011 | |
$ | $ | $ | |
Balance at beginning of period | (274,854) | 6,399,903 | 6,399,903 |
Profit or loss | (1,454,794) | (6,629,647) | (9,128,817) |
Other comprehensive income | |||
Foreign currency translation for foreign operations | (78,751) | (870,894) | 306,467 |
Total other comprehensive income | (78,751) | (870,894) | 306,467 |
Total comprehensive income for the period | (1,533,545) | (7,500,541) | (8,822,350) |
Transactions with owners, recorded directly in equity | |||
Issue of ordinary shares | - | 1,948,441 | 2,077,703 |
Share-based payment transactions | 49,303 | 80,512 | 69,890 |
Total contributions by and distributions to owners | 49,303 | 2,028,953 | 2,147,593 |
Balance at end of period | (1,759,096) | 928,315 | (274,854) |
Basis of Preparation
PuriCore plc (the "Company") is a company domiciled in the United Kingdom. The condensed consolidated interim financial statements of the Company as at and for the six months ended 30 June 2012 comprise the Company and its subsidiaries (together referred to as the "Group") and the Group's interests in associates and jointly controlled entities.
The consolidated interim financial statements are the responsibility of the Directors and were authorised and approved by the Board of Directors for issuance on 6 August 2012.
The interim financial statements for the period ended 30 June 2012 are unaudited and do not comprise statutory accounts within the meaning of Sections 434 and 435 of the Companies Act of 2006.
Statement of Compliance
These interim financial statements have been prepared in accordance with IAS 34, 'Interim Financial Reporting,' as adopted by the EU. They do not include all of the information required for full annual financial statements and should be read in conjunction with the consolidated financial statements of the group for the year ended 31 December 2011.
The comparative figures for the financial year ended 31 December 2011 are not the Company's statutory accounts for the financial year. The statutory accounts for the year ended 31 December 2011, which were prepared under International Financial Reporting Standards adopted by the EU ("Adopted IFRS"), have been reported on by the Company's auditors and delivered to the Registrar of Companies. The report of the auditors was (i) unqualified, and (ii) did not contain a statement under section 498 (2) or (3) of the Companies Act 2006.
The accounting policies set out in the annual report and accounts for the year ended 31 December 2011 have been applied consistently throughout the Group for the purpose of these consolidated interim financial statements.
For the purposes of Rule 4.2.9(2) of the Disclosure and Transparency Rules, this report has not been audited or reviewed by the auditors pursuant to the Auditing Practices Board Guidance on Review of Interim Financial Information.
Significant Accounting Policies
As required by the Disclosure and Transparency Rules of the Financial Services Authority, this condensed set of financial statements has been prepared by the Group by applying the same accounting policies as were applied by the Group in its published consolidated financial statements as at and for the year ended 31 December 2011.
Use of Estimates and Judgements
The preparation of interim financial statements required management to make judgements, estimates, and assumptions that affect the application of accounting policies and the reported amounts of assets and liabilities, income and expenses. Actual results may differ from these estimates.
In preparing these consolidated interim financial statements, the significant judgements made by management in applying the Group's accounting policies and the key sources of estimation uncertainty were the same as those that applied to the consolidated financial statements as at and for the year ended 31 December 2011.
Going Concern
The financial statements are prepared on a going concern basis, which the Directors believe to be appropriate for the reasons set out below.
The Group meets its day-to-day working capital requirements through cash reserves and external funding facilities. At 30 June 2012 cash held was $4.7 million and outstanding loan notes payable were $14.8 million.
The Board is constantly reviewing alternative strategies for funding the Group. On the basis of the additional funds raised and the strategies being considered, the Board considers that the Group will continue to operate with sufficient funding and accordingly these financial statements have been prepared on a going concern basis.
Segmental Analysis
The PuriCore Group is managed by type of business. The Group has two main trading segments that are the Group's strategic business units. The strategic business units offer different products and services and are managed separately because they require different market knowledge and strategies. For each of the strategic business units, the Board reviews internal management reports on a monthly basis. For the purposes of IFRS 8, it is these strategic business units that form the Group's reportable segments and is in line with the basis of segmentation adopted in the consolidated Group financial statements for the year ended 31 December 2011. Under 'other,' we have identified the Group's Vashe and Global Dental business and certain business development activities not yet generating significant revenues.
Operating Segments
For the period ended 30 June 2012
| Endoscopy& Laboratory | Supermarket Retail | Other | Corporate, & Unallocated | Total as Reported for the PuriCore Group |
$ | $ | $ | $ | $ | |
Revenue | 11,585,778 | 13,060,582 | 702,859 | - | 25,349,219 |
Profit/(Loss) Before Interest, Tax, Depreciation and Amortisation | 1,132,168 | 1,533,212 | 105,459 | (2,095,635) | 675,204 |
Depreciation and Amortisation | (624,157) | (598,615) | (110,099) | (222,749) | (1,555,620) |
(Loss)/Profit Before Interest and Tax | 508,011 | 934,597 | (4,640) | (2,318,384) | (880,416) |
Total Assets | 14,239,830 | 5,947,078 | 892,929 | 6,000,236 | 27,080,073 |
For the period ended 30 June 2011
| Endoscopy& Laboratory | Supermarket Retail | Other | Corporate, & Unallocated | Total as Reported for the PuriCore Group |
$ | $ | $ | $ | $ | |
Revenue | 10,892,383 | 7,641,267 | 221,587 | - | 18,755,237 |
(Loss) Before Interest, Tax, Depreciation and Amortisation | (452,730) | 422,902 | (160,926) | (3,528,205) | (3,718,959) |
Depreciation and Amortisation | (708,028) | (740,388) | - | (267,421) | (1,715,837) |
(Loss)/Profit Before Interest and Tax | (1,160,758) | (317,486) | (160,926) | (3,795,626) | (5,434,796) |
Total Assets | 15,098,422 | 5,588,022 | 349,015 | 9,397,238 | 30,432,697 |
For the year ended 31 December 2011
| Endoscopy& Laboratory | Supermarket Retail | Other | Corporate, & Unallocated | Total as Reported for the PuriCore Group | ||
$ | $ | $ | $ | $ |
| ||
Revenue | 22,454,707 | 19,447,904 | 651,673 | - | 42,554,284 | ||
Loss Before Interest, Tax, Depreciation and Amortisation | 1,115,127 | 910,620 | (377,250) | (3,920,322) | (2,271,825) | ||
Depreciation and Amortisation | (2,155,390) | (1,084,816) | - | (1,184,733) | (4,424,939) | ||
Loss Before Interest and Tax | (1,040,263) | (174,196) | (377,250) | (5,105,055) | (6,696,764) | ||
Total Assets | 12,782,226 | 4,473,582 | 479,087 | 11,306,443 | 29,041,338 | ||
Sales by Geographic Areas |
Six months ended 30 June 2012 |
Six months ended 30 June 2011 |
Year ended 31 Dec. 2011 |
$ | $ | $ | |
United Kingdom | 11,585,778 | 10,892,383 | 22,454,707 |
United States | 13,763,441 | 7,862,854 | 20,099,577 |
25,349,219 | 18,755,237 | 42,554,284 |
The geographic areas above are segregated based upon the location of the respective operating division of the company.
Share Based Payments
During the periods ended 30 June 2012 and 2011 and the year ended 31 December 2011, PuriCore plc operated an Employee Share Option Scheme. The exercise period is up to 10 years with options becoming vested at various points in time following the completion of one year's employment with PuriCore plc. The scheme requires that grants to Executive Directors be subject to performance conditions. As at 30 June 2012, there were no options outstanding to Executive Directors.
30 June 2012 | 30 June 2011 | 31 December 2011 | ||||
Weighted average exercise price | Number of options | Weighted average exercise price | Number of options | Weighted average exercise price | Number of options | |
$ | $ | $ | ||||
Outstanding at beginning of period | 1.11 | 1,877,702 | 3.81 | 1,106,851 | 3.81 | 1,106,851 |
Granted during the period | 0.98 | 268,000 | 0.89 | 100,000 | 0.41 | 1,515,000 |
Exercised during the period | - | - | - | - | - | - |
Forfeited during the period | 1.52 | (124,000) | 6.44 | (150,849) | 3.19 | (744,149) |
Outstanding at end of period | 1.07 | 2,021,702 | 2.98 | 1,056,002 | 1.11 | 1,877,702 |
Exercisable at end of period | 3.08 | 462,197 | 5.95 | 348,329 | 4.19 | 332,529 |
The weighted average share price for the six months ended 30 June 2012 was $0.88. This compares with the weighted average share prices as at 30 June 2011 of $0.80 and 31 December 2011 of $0.60.
For the six months ended 30 June 2012, PuriCore plc has recognised total expenses of $49,303 (six months ended 30 June 2011: $80,512; year ended 31 December 2011: $69,890) related to Director and employee equity settled share based payment transactions during the year.
Property, Plant, and Equipment (including leased equipment)
At 30 June 2012 | At 30 June 2011 | At 31 December 2011 | |
$ | $ | $ | |
Cost | |||
At beginning of period | 13,217,390 | 20,357,532 | 20,357,532 |
Additions | 599,319 | 331,703 | 656,100 |
Disposals | (256,459) | (7,108,741) | (7,783,795) |
Effect of movements in foreign exchange | 55,912 | 384,234 | (12,447) |
At end of period | 13,616,162 | 13,964,728 | 13,217,390 |
Depreciation | |||
At beginning of period | 9,539,053 | 14,845,743 | 14,845,743 |
Charged in the period | 777,683 | 862,405 | 2,036,064 |
On disposals | (233,121) | (6,754,312) | (7,338,299) |
Effect of movements in foreign exchange | 38,085 | 248,455 | (4,455) |
At end of period | 10,121,700 | 9,202,291 | 9,539,053 |
Net book value | |||
At end of period | 3,494,462 | 4,762,437 | 3,678,337 |
At beginning of period | 3,678,337 | 5,511,789 | 5,511,789 |
Related-Party Transactions
Transactions with Key Management Personnel
Key management personnel receive compensation in the form of salary, bonuses, short-term employee benefits, post employment benefits, and share based payment awards. Key management personnel received total compensation of $919,866 for the six months ended 30 June 2012 (six months ended 30 June 2011: $1,014,947; 12 months ended 31 December 2011: $1,766,596). There were otherwise no related-party transactions during the six months ended 30 June 2012.
Risks
The Group continues to be affected by a number of risks. These have not changed since the year end and are detailed on pages 10 and 11 of the Company's Annual Report and Accounts 2011, a copy of which is available on the Company's website, www.puricore.com.
Responsibility Statement of the Directors in Respect of the Half Yearly Financial Report
We confirm that to the best of our knowledge the condensed set of financial statements has been prepared in accordance with IAS 34 Interim Financial Reporting as adopted by the EU.
The interim management report includes a fair review of the information required by:
a. DTR 4.2.7R of the Disclosure and Transparency Rules, being an indication of important events that have occurred during the first six months of the financial year and their impact on the condensed set of financial statements; and a description of the principal risks and uncertainties for the remaining six months of the year; and
b. DTR 4.2.8R of the Disclosure and Transparency Rules, being related party transactions that have taken place in the first six months of the current financial year and that have materially affected the financial position or performance of the entity during that period; and any changes in the related party transactions described in the last annual report that could do so.
The Directors of PuriCore plc are listed in the PuriCore plc Annual Report for 31 December 2011. This report will be available at PuriCore plc's registered office at: Wolseley Court, Staffordshire Technology Park, Stafford ST18 0GA,and on the Company's website at www.puricore.com.
By order of the Board
Michael Ashton | Executive Chairman |
6 August 2012