Half-yearly Report
12 September 2008 - 11:25AM
UK Regulatory
12 September 2008
TEP Exchange Group PLC
("TEP" or "the Company")
Interim Results for the six month
period ended 30 June 2008
Chairman's Statement
I am pleased to report the unaudited results of the Company for the six month
period ended 30 June 2008. Revenue for the period was �279,000 (2007: �
229,000), an increase of 21.8 per cent. over the corresponding period last
year. The Company achieved an operating profit of �18,000, compared to an
operating profit of �31,000 in the same period last year. The profit on
ordinary activities before and after taxation was �6,000, compared to a profit
before and after taxation of �18,000 in the first six months of last year.
Resolution of the Company's challenge to the VAT assessments is still
outstanding and as it continues to be difficult to predict the outcome of this
challenge; no provision has been made in the balance sheet contained within
these interim results for VAT which would become payable in the event that the
challenge is unsuccessful or only partly successful.
Trading activity on the Company's platform has stabilised in the year to date
at a somewhat higher level than in the previous year. The volume of Traded
Endowment Policies ("TEPs") offered for sale in the first six months, compared
with the corresponding period last year, has risen by 37 per cent. and
completions have increased by 19 per cent. Whilst overall demand for UK TEPs in
2008 is less buoyant than in 2007, there is still significant demand from
continental Europe and the Directors expect the demand from continental Europe
to continue in the remainder of 2008.
The Company's European retail website, TEP Exchange Deutschland, which has now
been launched, will facilitate the sale of UK TEPs through a network of German
financial advisers.
Pinvex Limited, which holds a 2.5 per cent. shareholding in the Company and is
responsible for developing property related offerings suitable for IFAs using
the electronic platform, continues to research additional product
possibilities.
As at 30 June 2008, the Company had cash of �95,000 and short term borrowings
of �29,000.
Your Directors are not proposing an interim dividend.
George Kynoch
Chairman
12 September 2008
Consolidated Income Statement
for the six months ended 30 June 2008
Six months Six months Year
ended ended ended
30 June 30 June 31 December
2008 2007 2007
(unaudited) (unaudited) (audited)
�'000 �'000 �'000
Revenue 279 229 607
Administrative expenses (261) (198) (542)
Profit from operations 18 31 65
Finance income 1 1 7
Finance costs (13) (14) (34)
Profit before tax 6 18 38
Tax expense - - -
Profit attributable to equity holders 6 18 38
of the Company
Earnings per share
Basic and diluted earnings per share 0.00p 0.01p 0.01p
Consolidated Statement of Changes in Equity
for the six months ended 30 June 2008
Attributable to equity holders of the Company
Share Share Accumulated Total
Capital Premium Losses Equity
(unaudited) (unaudited) (unaudited) (unaudited)
�'000 �'000 �'000 �'000
At 1 January 2008 2,263 3,952 (6,424) (209)
Profit for the period - - 6 6
At 30 June 2008 2,263 3,952 (6,418) (203)
Share capital is the amount subscribed for ordinary shares and deferred shares
at nominal value.
Share premium represents the excess of the amount subscribed for share capital
over the nominal value of these shares net of share issue expenses.
Accumulated losses represent cumulative losses of the Company and its
subsidiaries (together the "Group") attributable to equity holders.
Consolidated Balance Sheet
as at 30 June 2008
As at As at As at
30 June 30 June 31 December
2008 2007 2007
(unaudited) (unaudited) (audited)
�'000 �'000 �'000
ASSETS
Current assets
Inventories 3 3 3
Trade and other receivables 121 223 260
Cash and cash equivalents 95 109 38
Total current assets 219 335 301
TOTAL ASSETS 219 335 301
LIABILITIES
Current liabilities
Short term borrowings (29) (92) (73)
Trade and other payables (205) (228) (189)
Total current liabilities (234) (320) (262)
Non-current liabilities
Long term borrowings - (31) -
Trade payables (188) (213) (248)
Total non-current liabilities (188) (244) (248)
TOTAL LIABILITIES (422) (564) (510)
TOTAL NET LIABILITIES (203) (229) (209)
Equity attributable to equity holders of the parent
Share capital 2,263 2,263 2,263
Share premium reserve 3,952 3,952 3,952
Accumulated losses (6,418) (6,444) (6,424)
TOTAL EQUITY (203) (229) (209)
Consolidated Cash Flow Statement
for the six months ended 30 June 2008
Six months Six months Year
ended ended ended
30 June 30 June 31 December
2008 2007 2007
(unaudited) (unaudited) (audited)
�'000 �'000 �'000
Operating activities
Profit before taxation 6 18 38
Finance income (1) (1) (7)
Finance costs 13 14 34
Profit from operations before changes in 18 31 65
working capital
Decrease/(Increase) in trade and other 139 6 (30)
receivables
Decrease in trade and other payable (44) (205) (221)
Cash generated/(used) by operating 113 (168) (186)
activities
Investing activities
Interest received 1 1 7
Financing activities
Issue of ordinary shares - 351 351
Expenses relating to the issue of ordinary - (50) (49)
shares
Repayment of borrowings (44) (26) (77)
Interest paid (13) (25) (34)
Net cash (outflow)/inflow from financing (57) 250 191
activities
Increase in cash and cash equivalent 57 83 12
Cash and cash equivalents at beginning of 38 26 26
period
Cash and cash equivalents at end of period 95 109 38
Cash and cash equivalents comprise:
Cash available on demand 95 109 38
Notes to the Interim Results
1. Basis of preparation
The financial results of the Group for the six months ended 30 June 2008 have
been prepared in accordance with International Financial Reporting Standards,
International Accounting Standards and Interpretations (collectively "IFRS")
issued by the International Accounting Standards Board ("IASB") as adopted by
the European Union ("adopted IFRS") and are in accordance with IFRS as issued
by the IASB.
The financial information shown in this publication is unaudited and does not
constitute statutory accounts as defined in Section 240 of the Companies Act
1985. The comparative figures for the financial year ended 31 December 2007
have been derived from the statutory accounts for 2007. The statutory accounts
will be delivered to the Registrar of Companies following the Company's Annual
General Meeting. The auditors have reported on those accounts; their report was
unqualified and did not contain statements under the Companies Act 1985,
Section 237 (2) or (3). The auditors' report on the statutory accounts for 2007
referred to a matter concerning a contingent liability to which the auditors
drew attention by way of emphasis without qualifying their report. The details
concerning this matter are given in Note 4 of this publication.
2. Dividends
No dividend is proposed for the six months ended 30 June 2008.
3. Earnings per share
The earnings per share has been calculated by dividing the profit after
taxation for the period of �6,000 (six month period ended 30 June 2007: profit
of �18,000 and year ended 31 December 2007: profit of �38,000) by the weighted
average number of Ordinary Shares of 399,999,999 (six month period ended 30
June 2007: 329,235,746 and year ended 31 December 2007: 364,908,684) in issue
during the period.
The options and warrants in issue at 30 June 2007, 31 December 2007 and 30 June
2008 are antidilutive and have therefore been excluded from the calculation of
diluted earnings per share. However, such options may be dilutive in future
periods.
4. Contingent liability
The Company is appealing against assessments issued by HM Revenue and Customs
in respect of VAT under declared from 2003 to 2007. It is anticipated that the
case will be concluded by the end of 2008. In the opinion of the Directors, the
VAT returns submitted were correct and their appeal against the assessments
will be successful. However, if the appeal by the Company is not successful,
the Company would be liable to pay undeclared VAT, interest and penalties which
the Directors estimate to be a maximum amount of �400,000. No provision has
been made in these financial results for any VAT payable (including any
interest and penalties) in the event that the challenge against the assessments
is unsuccessful or only partly successful.
5. Interim Results
Copies of the interim results will be available at the Company's registered
office 12 Grosvenor Court, Foregate Street, Chester CH1 1HG and on the
Company's website www.tepexchange.com.
END
Doriemus (LSE:DOR)
Historical Stock Chart
Von Jun 2024 bis Jul 2024
Doriemus (LSE:DOR)
Historical Stock Chart
Von Jul 2023 bis Jul 2024
