12 Nov 2009 09:51
Crosby ASSET MANAGEMENT Inc. ("CAM" or the "Group")
Trading Update - Nine Months to 30 September 2009
12 November 2009
CAM is pleased to announce its trading figures for the nine months ended 30 September 2009.
Summary Financials
Loss Attributable to Shareholders for the year to date of US$9.74 million (Q3 2008: US$58.27 million).
Loss Per Share (basic) for the year to date: US$0.04 (Q3 2008: US$0.24).
Commentary
The Group is continuing to pursue it's strategy of reducing costs with a further fall in the level of administration costs during the third quarter.
As reported in the previous two quarters, Crosby Wealth Management (CWM) continues to make modest progress in terms of assets under management but margins remain subdued. The Group is pleased to state that there have been no substantial developments in the legal proceedings that have been brought against CWM in relation to an execution error.
As announced on 28 August 2009 CAM has withdrawn from its joint venture with Apollo Multi Asset Management LLP.
The process of winding up the Crosby Forsyth hedge fund of funds continues, following the appointment of a liquidator in July 2008. Crosby Capital Partners Limited continues to manage the Forsyth Managed Balanced and Institutional Property funds.
Due to the lack of critical mass within the Crosby Active Opportunities Fund ('CAOF') CAOF has continued to liquidate positions, where possible, in order to return cash to shareholders.
Stronger oil prices have continued to help with the development of Orchard Petroleum, in which CAM has a five per cent. equity stake (rising to between nine per cent. and ten per cent. after the repayment of debt to preference shareholders). Total production for the period under review has been largely stable. Whilst the overall well count has not increased substantially (now standing at 47 wells), Orchard Petroleum has identified new prospects through the deployment of better drilling technology and the identification of additional geological features and is presently evaluating the best way to exploit these opportunities and how best to fund any further development.
ABOUT CAM
CAM is an asset management group with offices in London and Hong Kong. CAM is quoted on the AIM market of the London Stock Exchange.
For further information on Crosby please contact:
Crosby Asset Management Inc.
Simon Fry +44 (0) 20 3291 2863
Strand Hanson Limited
Stuart Faulkner / James Spinney +44 (0) 20 7409 3494
Trading Summary
| | Unaudited nine months ended 30 September | Unaudited nine months ended 30 September | | Unaudited three months ended 30 September | Unaudited three months ended 30 September |
| | 2009 | 2008 | | 2009 | 2008 |
| | US$'000 | US$'000 | | US$'000 | US$'000 |
| | | | | | |
| Continuing operations | | | | | |
| | | | | | |
| Revenue | 2,735 | 18,848 | | 631 | 3,873 |
| Cost of sales | (338) | (4,682) | | (16) | (1,145) |
| | | | | | |
| | | | | | |
| Gross profit | 2,397 | 14,166 | | 615 | 2,728 |
| | | | | | |
| (Loss)/Gain on financial assets at fair value through profit or loss | (1,859) | (1,959) | | 105 | (1,986) |
| Other income | 395 | 728 | | 101 | 428 |
| | | | | | |
| Administrative expenses | | | | | |
| Restructuring expenses | (580) | (7,437) | | - | (3,204) |
| Amortisation of intangible assets | - | (314) | | - | - |
| Impairment of intangible assets | (10) | (8,979) | | - | - |
| Other administrative expenses | (7,263) | (25,290) | | (1,646) | (7,792) |
| | (7,853) | (42,020) | | (1,646) | (10,996) |
| | | | | | |
| Distribution expenses | - | (13) | | - | (10) |
| Impairment of available-for-sale investments | (1,458) | - | | - | - |
| Other operating expenses | (2,076) | (4,582) | | (564) | (3,467) |
| | | | | | |
| | | | | | |
| Loss from operations | (10,454) | (33,680) | | (1,389) | (13,303) |
| | | | | | |
| Finance costs | (88) | (165) | | (26) | (32) |
| Share of (losses)/profits of associates | (38) | 42 | | (39) | (27) |
| Share of profits of jointly controlled entities | 200 | 98 | | 127 | 32 |
| | | | | | |
| | | | | | |
| Loss before taxation | (10,380) | (33,705) | | (1,327) | (13,330) |
| | | | | | |
| Taxation | 33 | (70) | | 9 | 223 |
| | | | | | |
| Loss for the period from continuing operations | (10,347) | (33,775) | | (1,318) | (13,107) |
| | | | | | |
| | | | | | |
| Discontinued operations | | | | | |
| | | | | | |
| Loss for the period from discontinued operations | - | (25,427) | | - | (220) |
| | | | | | |
| Loss for the period | (10,347) | (59,202) | | (1,318) | (13,327) |
| | | | | | |
| | | | | | |
| Attributable to: | | | | | |
| Equity holders of the Company | | | | | |
| Loss for the period from continuing operations | (9,737) | (32,838) | | (1,161) | (11,676) |
| Loss for the period from discontinued operations | - | (25,427) | | - | (220) |
| | | | | | |
| | (9,737) | (58,265) | | (1,161) | (11,896) |
| | | | | | |
| | | | | | |
| Minority interests | | | | | |
| Loss for the period from continuing operations | (610) | (937) | | (157) | (1,431) |
| Loss for the period from discontinued operations | - | - | | - | - |
| | | | | | |
| | (610) | (937) | | | (1,431) |
| | | | | | |
| Loss for the period | (10,347) | (59,202) | | (1,318) | (13,327) |
| | | | | | |
| | | | | | |
| | | | | | |
| Dividend | - | - | | - | - |
| | | | | | |
| Loss per share for loss attributable to equity holders of the Company during the period | US cents | US cents | | US cents | US cents |
| - Basic | (4.00) | (23.94) | | (0.48) | (4.89) |
| - Diluted | N/A | N/A | | N/A | N/A |