Tasty Regulatory News (TAST)

17 Apr 2007 07:02

Tasty PLC17 April 2007 Tasty Plc ("Tasty" or "the Company") Preliminary Results for the 52 weeks ended 31 December 2006 Tasty Plc, the operator of six restaurants under the 'dim t' format which servedim sum and other oriental food including, Chinese, Thai and Vietnamese cuisinetoday announces its Preliminary results for the 52 weeks ended 31 December 2006. * Turnover up 33% to £2,676,000 (2005 £2,016,000). * 2 new restaurants opened during the year with a further 2 opening within the next two months bringing total units in operation to 8. * Central kitchen facility currently under construction and due to be operational in June 2007. * Infrastructure in place to support future openings. 17 April 2007 Tasty plcJonny Plant, CEO 020 7637 1166Sam Kaye, Executive Director College Hill 020 7457 2020Matthew SmallwoodJustine Warren Chairman's Statement I am delighted to be able to report on the Company's first full year resultsfollowing its successful flotation on AIM in July last year, when the Companyraised some £1.75m followed by a further placing in September raising £3m. Results Turnover for the year ended 31 December 2006 was up 33% to £2,676,000 (2005 -£2,016,000). Profits before tax and the exceptional costs of the flotation andshare options costs were £82,000 (2005 - £141,000). During the year the Companyadopted FRS 20 "Share-based payments" which gave rise to a charge to profits of£136,000 (2005 - nil) and also incurred exceptional costs with regard to the AIMflotation of £118,000 (2005 - nil). The loss for the year after theseexceptional costs was £168,000 (2005 - profit of £230,000). Profitability hasalso been affected by the later than expected openings of new sites, including 2which opened only in December. The Board do not consider it appropriate to pay a dividend for the year. The results incorporate the performance of the Company and its subsidiary, TookUs A Long Time Limited. The subsidiary is treated as if it had always been amember of the Group under the merger method of accounting. The merger of thetwo companies took place on 26 June 2006. Openings Since our AIM flotation, the Group has opened 3 new restaurants under the dim tbrand and currently has 6 restaurants in operation, with a further 2 openingsplanned within the next 2 months. Contracts have been exchanged on a further 4units, 2 of which are conditional on planning. Central Kitchen facilities inPark Royal are expected to be operational by June 2007. Cashflows Net cash outflow for the year before management of liquid resources andfinancing was £1,985,000 (2005 - inflow of £228,000). This is largelyrepresented by capital expenditure on the expansion of the business. Staff As I mentioned in my Chairman's Statement accompanying the interim results inSeptember we are continuing to invest in staff and training to support theGroup's expansion. As with all growing businesses staff selection is key. Wecontinue to attract a high calibre of motivated and skilled employees. Ourstaff have worked tirelessly over the period and I would like to thank them allfor the contribution they have made to the Group's performance. AGM The Company's AGM will take place on 25th May, and the notice of AGM, whichaccompanies the full Report and Accounts, will be sent to shareholders withinthe next 2 weeks. Outlook The Group continues to make its mark in the high street, and I look forward toreporting to you on our performance in the Autumn. Keith LassmanChairman17 April 2007 Tasty plc Consolidated profit and loss account for the year ended 31 December 2006 2006 2005 £'000 £'000 Turnover 2,676 2,016 Cost of sales (1,598) (1,119) ______ ______ Gross Profit 1,078 897 Administrative expensesExceptional flotation expenses (118) -Share based payments (136) -Other administrative expenses (1,075) (787) Total administrative expenses (1,329) (787) ________ _______Operating (loss)/profit (251) 110 Interest receivable 77 31 ________ ________(Loss)/profit on ordinary activities before taxation (174) 141Taxation credit on profit on ordinary activities 6 89 ________ ________(Loss)/profit on ordinary activities after taxation (168) 230 ________ ________Earnings per share Basic and diluted earnings per share (0.83p) 1.32p All amounts relate to continuing activities Tasty plc Consolidated balance sheet at 31 December 2006 2006 2006 2005 2005 £'000 £'000 £'000 £'000 Fixed assets 7 - Intangible assets 3,517 1,117 Tangible assets ______ ______ 3,524 1,117 Current assetsStocks 82 25Debtors - due within one year 305 87 - due after more than one year 298 217 603 304 Cash at bank and in hand 4,003 1,230 _____ _____ 4,688 1,559 Creditors: amounts falling duewithin one year (1,349) (328) ______ _____ Net current assets 3,339 1,231 ______ _____ Total Assets less Current 6,863 2,348Liabilities _______ _______ Capital and reserves Called up share capital 2,601 1,942Share premium account 3,732 -Profit and loss account (648) (480)Merger reserve 992 886 Other reserve 186 - _______ _______ Shareholders' funds 6,863 2,348 _______ _______ Tasty plc Consolidated cash flow statement for the year ended 31 December 2006 2006 2005 £'000 £'000Net cash inflow from operating activities 462 218 _______ _______Returns on investments andservicing of finance Interest received 77 31 _______ _______ Taxation UK corporation tax paid (6) - _______ _______ Capital expenditure and financial investment Purchase of intangible fixed assets (8) - Purchase of tangible fixed assets (2,510) (21) _______ _______ (2,518) (21) _______ _______Cashflow before managementof liquid resources and financing (1,985) 228 Management of liquid resources Increase in short term cash deposits (2,904) (1,018) Financing Issue of share capital (net of share issue costs of £359,000 - 2005 - £nil) 4,531 822 _______ _______ (Decrease)/increase in cash (358) 32 _______ _______ Notes to the preliminary announcement 1 Basis of Accounting The consolidated financial statements incorporate the results of the Company andits subsidiary, Took Us A Long Time Limited. The merger method of accountinghas been used to consolidate the results of the subsidiary undertaking. Themerger of the two companies took place on 26 June 2006. In the Group accountsthe subsidiary undertaking is treated as if it had always been a member of theGroup. In the year it joined the Group its results are included for the wholeperiod. The comparative figures only represent the results of the subsidiary. The financial information included in this document has been prepared on aconsistent basis and using the same accounting policies as the audited financialstatements for Took Us A Long Time Limited for the year ended 31 December 2005except for the adoption of FRS20 'Share based payments'. FRS20 requires thatthe cost of equity -settled transactions are measured by reference to their fairvalue at the date at which they are granted and then recognised over the vestingperiod. As a result of the adoption of FRS20, there is an additional charge inthe year of £152,000 together with a related deferred tax credit of £35,000.The adoption of FRS20 has not resulted in any adjustment to prior years figures. 2 Taxation on (loss)/ profit from ordinary activities 2006 2005 £'000 £'000 - 6UK corporation tax on (loss)/ profits of the yearDeferred taxOrigination and reversal of timing differences (6) (95) _______ _______ Total credit (6) (89) _______ _______ The tax assessed for the year is different to the standard rate of corporation tax inthe UK. The differences are explained below: 2006 2005 £'000 £'000 (Loss)/profit on ordinary activities before tax (174) 141 _______ _______ (Loss)/profit on ordinary activities multiplied at the standard rateof corporation tax in the UK of 19% (2005 - 19%) (33) 27 Effects of:Expenses not deductible for tax purposes 48 4Capital allowances for year in excess of depreciation (37) (9)Utilisation of tax losses - (16)Increase in tax losses carried forward 22 - _______ _______Current tax charge for year - 6 _______ _______ 3 Earnings per share Basic loss per ordinary share is based on the loss for the year of £168,000(2005- profit £230,000) and on 20,221,212 (2005 - 17,472,855) ordinary sharesof 10p each being the weighted average number of ordinary shares in issue duringthe period. Basic and diluted earnings per share are the same as there is no dilution. The 1,071,531 share options that have been granted in the year have not beenincluded in the calculation of loss per share as they are anti-dilutive. 4 Reconciliation of operating (loss)/profit to net cash flow from operatingactivities 2006 2005 £'000 £'000Operating (loss)/ profit (251) 110Depreciation and amortisation 111 79(Increase) in stocks (57) (10)(Increase) in debtors (293) (13)Increase in creditors 800 52Share-based payment charge 136 -Share-based payment charge included withinexceptional flotation expenses 16 - _______ _______ Net cash inflow from operating activities 462 218 _______ _______ 5 Financial Information The financial information set out above does not constitute statutory accountsfor the 52 week period ended 31 December 2006 or the year ended 31 December2005. The Directors approved the full financial statements on 16 April 2007.Statutory accounts for 2005 have been delivered to the Registrar of Companiesbut those for 2006 have yet to be delivered. The auditors have reported on thefull accounts for both periods and have accompanied them with reports that wereunqualified and did not contain statements under the Companies Act S267 (2) or(3). The annual report and accounts will be posted to shareholders on 30 April2007, and the Annual General Meeting of the Company will be held on 25 May 2007. This information is provided by RNS The company news service from the London Stock Exchange