Early Equity Plc - Audited Results for the Year Ending 31 August 2018 PR Newswire

4 December 2018

Early Equity Plc

("Early Equity" or "the Company")

AUDITED RESULTS FOR THE YEAR ENDING 31 AUGUST 2018

CHAIRMAN’S STATEMENT

I am pleased to present the financial results for Early Equity Plc for the year ended 31 August 2018. The total comprehensive loss for the year was £97,475 (2017 - £138,987). The loss per share was 0.01p (2017 – 0.02p). The loss before tax of £190,826 (2017 - £138,987) largely reflects the costs of maintaining a public listing, administration costs and the impairment of two investments.

On 8 November 2017, 128,333,334 new ordinary shares of 0.1p were issued at a price of 0.6p per share. This generated total cash consideration of £590,000 and a receipt of 60,000 shares in Yicom Global Sdn Bhd for 30,000,000 of the issued shares. Early Equity Plc now has a total interest in Yicom Global Sdn Bhd of 188,571 shares, representing 47.14% of its issued share capital.

On the 13th November 2017, 19,166,667 new ordinary shares of 0.1p were issued at a price of 0.6p per share. This generated a further cash consideration of £115,000 of working capital.

On the 15th December 2017 the Company invested £60,000 by way of subscription in TruSpine Technologies Limited a company that has developed minimally invasive spine stabilisation products. On the same day, the Company also invested £35,000 by way of subscription in Farina Investments (UK) Limited a boutique corporate finance and asset management company. These investments are still early stage and the board are monitoring the development of the respective companies.

At the year end, the value of our investment portfolio in unquoted securities (UK and Malaysia) stood at £983,704 (2017 - £600,320). The investment in Alpha Prospects Limited in 3,612,799 ordinary shares was reclassified to unquoted and the valuation of £0.055 per share has been based on recent share allotments that the company has recorded at Companies House.  Quoted investments decreased in value by £15,033 which offset the increase in value of the unlisted investments by £108,834, resulting in net increase in available for sale investments of £93,351.

At the end of the year our investment portfolio stood at £1,010,762 (2017: £642,411).

FUTURE DEVELOPMENTS

The Company has continued to develop a closer relationship with Yicom Global Sdn Bhd following further investment within this Group in the current year. We have developed a strong working relationship which will be mutually beneficial to both Early Equity Plc and Yicom Global Sdn Bhd. On the 21st September 2018 we were pleased to publish the results of Yicom Global Sdn Bhd that posted a major increase in its turnover (+508% on previous year) and a major increase in its profit (+530.4% on previous year). The balance sheet of Yicom Global also increased by 300.4%. The dividend payment received by Early Equity was proportionally lower as the Directors of Yicom Global retained a higher percentage of profit to facilitate the purchase of a new headquarter building and to reinvest into the business.

The Company is continuing with its application for a Standard Listing of the Company’s Ordinary Shares on the Main Market of the which the directors believe is an exciting opportunity and in the best interests of the Company and shareholders.

POST-BALANCE SHEET EVENTS

The Company continues to seek further acquisitions that meet its investment criteria and intend to raise additional funds in the future when suitable investment opportunities present.   

The Company's investment strategy is to invest in early stage, small to medium high-growth enterprises around the world. The Directors will continue to evaluate suitable investment opportunities.

On behalf of the Board, I would like to take this opportunity to thank shareholders and professional advisers for their continued support of the Company.

Greg Collier – Chairman and Non-Executive Director

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

FOR THE YEAR ENDED 31 AUGUST 2018


                                                2018                2017

                                                 GBP                 GBP

CONTINUING OPERATIONS

Turnover                                 16,016              -

Administrative expenses                  (203,118)           (137,791)

Finance costs                            (3,724)             (1,196)

                                         ------------------- -------------------

LOSS BEFORE TAX                          (190,826)           (138,987)

Income tax                               -                   -

                                         ------------------  ------------------

LOSS FOR THE YEAR                        £(190,826)          £(138,987)

                                         =========           =========

OTHER COMPREHENSIVE INCOME

Fair Value movement on available for     £93,351             -
sale assets

TOTAL COMPREHENSIVE LOSS FOR THE YEAR    £(97,475)           £(138,987)

                                         =========           =========

BASIC AND DILUTED LOSS PER SHARE (PENCE) (0.01)              (0.02)

                                         =========           =========



CONSOLIDATED STATEMENT OF FINANCIAL POSITION

AS AT 31 AUGUST 2018


                                            2018                 2017

                                             GBP                 GBP

NON-CURRENT ASSETS

Available-for-sale financial assets 1,010,762             642,411

CURRENT ASSETS

Trade and other receivables         10,549                2,338

Cash and cash equivalents           437,326               22,018

                                    --------------------- --------------

                                    447,875               24,356

CURRENT LIABILITIES

Trade and other payables            (14,309)              (9,964)

                                    --------------------- ----------------

NET CURRENT ASSETS                  433,566               14,392

                                    --------------------- ------------------

NET ASSETS                          £1,444,328            £656,803

                                    ==========            =========

REPRESENTING:

Share capital                       972,123               824,623

Share premium                       1,496,090             758,590

Fair value reserve                  142,382               49,031

Accumulated losses                  (1,166,267)           (975,441)

                                    --------------------- ------------------

SHAREHOLDERS’ FUNDS                 £1,444,328            £656,803

                                    ==========            =========



This financial information has been extracted from the audited financial statements of the Group for the year ended 31 August 2018. The financial statements are prepared in accordance with the International Financial Reporting Standards (IFRS). A copy of the Company's financial statements for the year ended 31 August 2018 will be posted to shareholders and will be delivered to the Registrar of Companies.

The Directors do not propose to pay a dividend for the year.

The Directors of the Company accept responsibility for this announcement.

--ENDS--

Enquiries:

Early Equity Plc
Tel:  +44 (0)7830 182501
Greg Collier

NEX CORPORATE ADVISER:   
Alexander David Securities Limited
David Scott -Corporate Finance  James Dewhurst - Institutional Sales  Telephone: +44 (0) 20 7448 9820  http://www.ad-securities.com
49 Queen Victoria Street, London EC4N 4SA