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DJ Capital for Colleagues plc Interim Results

 
TIDMCFCP 
 
Capital for Colleagues plc / EPIC: CFCP / Market: NEX / Sector: Investment 
 
31 May 2019 
 
                          CAPITAL FOR COLLEAGUES PLC 
                 ('Capital for Colleagues' or the 'Company') 
 
      Unaudited Interim Results for the six months ended 28 February 2019 
 
Capital for Colleagues, the investment vehicle focused on opportunities in the 
Employee Owned Business ('EOB') sector, is pleased to announce its unaudited 
interim results for the six months ended 28 February 2019 
 
Highlights 
 
  * Additional GBP 150,000 of follow-on funding invested in the period 
  * Revenues of GBP 198,000 (2018: GBP 138,000), comprising interest receivable 
    and other fees 
  * The valuations of certain existing investments were increased by a total of 
    around GBP 630,000 during the period, to reflect underlying performance and 
    prospects 
  * Net assets of GBP 7.4 million as at 28 February 2019 (28 February 2018: GBP 
    6.4million) 
  * Profit of GBP 585,000 for the six-month period (2018: loss of GBP 170,000) 
  * Investment portfolio at the period end comprised 17 unquoted EOBs (28 
    February 2018: 17) 
  * NAV per share of 48.05 pence (28 February 2018: 41.52 pence per share) 
  * Directors confident of continuing growth from existing and new investments 
 
Chief Executive's Statement 
 
There has been continued progress across the Company's portfolio during the six 
months ended 28 February 2019, and this has enabled the Directors to increase 
the value attributable to a number of the Company's investments. We are 
particularly pleased with the performance of our investments in the Technology 
sector, which we have revalued upwards by GBP 599,000 to reflect their 
progression from early stage companies to established businesses. This 
revaluation also serves to re-balance the portfolio and reduce the previous 
weighting towards Industrials. 
 
In November 2018, a follow-on loan of GBP 150,000 was made to existing investee 
company, TG Engineering Limited, to provide that company with additional 
working capital. 
 
After the end of the period, the Company discontinued its joint venture 
agreement with Castlefield Corporate Advisory Partners ('CCAP'), as the 
Directors believe that the activities previously undertaken by CCAP on behalf 
of the Company, namely educating and assisting companies which are looking to 
launch employee ownership schemes and advising them on how to secure 
investment, can be more efficiently undertaken by and within Capital for 
Colleagues itself. 
 
Financial Results 
 
In the six months ended 28 February 2019, the Company generated income of GBP 
198,000 (2018: GBP 138,000), principally from interest receivable and other 
fees associated with our investments.  As at 28 February 2019, the Company had 
net assets of GBP 7.4 million (2018: GBP 6.4 million), with the increase in 
value reflecting the revaluation of our investments in the Technology sector. 
The reported profit for the period of GBP 585,000 is driven by the unrealised 
gains arising from these revaluations. 
 
Outlook 
 
Whilst ongoing uncertainty around Brexit continues to have some impact on the 
wider economy, the Directors are confident that the breadth and quality of the 
Company's portfolio will ensure that our investments will continue to prosper. 
 
We continue to promote the commercial and financial benefits of EOBs at every 
opportunity and are pleased to see increasing recognition of EOBs as important 
generators of equitable and dynamic growth. 
 
Alistair Currie 
 
Chief Executive 
 
For further information, please visit www.capitalforcolleagues.com or contact: 
 
CAPITAL FOR COLLEAGUES PLC                                      0161 464 3260 
Richard Bailey, Chairman 
Alistair Currie, Chief Executive 
 
PETERHOUSE CAPITAL LIMITED                                      020 7469 0930 
Mark Anwyl 
Duncan Vasey 
 
 
PROFIT AND LOSS ACCOUNT 
 
                                               Unaudited 6 Unaudited 6 Audited 12 
                                                 months to   months to  months to 
                                               28 February 28 February  31 August 
                                                      2019        2018       2018 
                                                 GBP 000's   GBP 000's  GBP 000's 
 
Revenue                                                198         138        384 
 
Realised (losses)/gains                                  -           -        (4) 
 
Unrealised gains/(losses)                              630       (104)        437 
 
                                                       828          34        817 
 
Administrative expenses                              (243)       (204)      (443) 
 
PROFIT FROM ONGOING OPERATIONS                         585       (170)        374 
 
Impairment of investments and loans                      -           -      (134) 
 
PROFIT/(LOSS) BEFORE TAXATION                          585       (170)       (240 
 
Tax                                                      -           -      (138) 
 
PROFIT/(LOSS) FOR THE PERIOD                           585       (170)        102 
 
BALANCE SHEET 
 
                                                    As at       As at      As at 
                                              28 February 28 February  31 August 
                                                     2019        2018       2018 
                                                GBP 000's   GBP 000's  GBP 000's 
 
ASSETS 
 
Non-Current Assets 
 
Investments held at fair value through profit       5,233       4,570      5,034 
or loss 
 
Investments in Associates                               -          24         24 
 
Loans and receivables                               1,836       1,034      1,321 
 
                                                    7,069       5,628      6,379 
 
Current Assets 
 
Trade and other receivables                           152          88        416 
 
Cash and cash equivalents                             278         789        175 
 
                                                      430         877        591 
 
TOTAL ASSETS                                        7,499       6,505      6,970 
 
 
EQUITY AND LIABILTIES 
 
Equity 
 
Called up share capital                             6,176       6,167      6,176 
 
Share premium                                       1,099       1,099      1,099 
 
Retained (loss)                                       144       (853)      (581) 
 
Total Equity                                        7,419       6,413      6,694 
 
 
Current Liabilities 
 
Trade and other payables                               72          84        130 
Provision for liabilities                               8           8      1,146 
 
 
TOTAL EQUITY AND LIABILITIES                        7,499       6,505      6,970 
 
The interim results have not been reviewed by the Company's auditors. 
 
The Directors of the Company are responsible for the contents of this 
announcement. 
 
Capital for Colleagues 
 
Capital for Colleagues is an investment company focused on the UK EOB sector. 
The Company has a proven management team, with a wide network of contacts and 
affiliates, as well as established access to investment opportunities, enabling 
the Company to execute its strategy and capitalise on EOB-focused investment 
opportunities. 
 
Market Abuse Regulation (MAR) Disclosure 
 
The information contained within this announcement is deemed by the Company to 
constitute inside information as stipulated under the Market Abuse Regulation 
(EU) No. 596/2014. Upon the publication of this announcement via a Regulatory 
Information Service, this inside information is now considered to be in the 
public domain. 
 
 
 
END 
 

(END) Dow Jones Newswires

May 31, 2019 02:01 ET (06:01 GMT)