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DJ Formation Group Plc Final Results

 
TIDMFRM 
 
Formation Group Plc 
 
                        ("Formation" or the "Company") 
 
                                 Final Results 
 
Chairman's Statement 
 
I am pleased to present the annual result for the Company for the twelve month 
period to 31 August 2018. 
 
The year ended 31 August 2018 saw Formation work on existing construction 
projects, but it did not initiate any new larger projects during the latter 
part of the year. The more cautious investment activity is predominantly due to 
the uncertainty of the UK economy, both before and after the 'Brexit' 
referendum. House prices in London, the Group's key market, have been volatile 
throughout the reporting period. 
 
The Group spent much of the year completing existing projects, and revenues 
have increased this year from GBP37.011m in 2017 to GBP38.629m in 2018. Despite the 
increase in turnover and an operating profit prior to exceptional items of GBP 
0.034m, the Company has seen a loss for the year of GBP0.284m (2017 loss GBP0.152m) 
partly as a result of the inclusion of a provision of GBP0.318m in the balance 
sheet of Formation Construction Limited related to an accident on one of the 
Company's construction sites in 2015. 
 
The Group is pleased with its investment in Proton Partners International 
Limited("PPI").  PPI has successfully opened a treatment centre in Wales with 
further centres nearing completion in the UK. 
 
Every effort is being made to source further development and investment 
opportunities and the Group is continuing to seek out new opportunities. 
 
The Group has added and will continue to add to its experienced base of 
construction personnel to drive the Company forward. I would like to thank all 
board members and staff for the enormous efforts and dedicated contributions 
they have made during the year. I would also like to thank our shareholders for 
their continued trust and confidence in the Board and in my leadership as 
Chairman. 
 
William O'Dea 
 
Non-Executive Chairman 
 
Consolidated income statement 
 
For the year ended 31 August 2018 
 
                                                                2018          2017 
 
                                                               GBP'000         GBP'000 
 
Continuing operations 
 
Turnover                                                       38,629        37,011 
 
Cost of sales                                                 -37,674       -34,835 
 
                                                             __________    __________ 
 
Gross profit                                                    955          2,176 
 
Administrative expenses                                        -1,371        -2,283 
 
                                                             __________    __________ 
 
Operating loss on ordinary activities before investment         -416          -107 
income, interest and taxation 
 
Finance income                                                   -            -33 
 
Finance costs                                                    -            -12 
 
Gain on financial assets at fair value through profit and       450            - 
loss account 
 
                                                             __________    __________ 
 
Profit/(loss) on ordinary activities before exceptional          34           -152 
items and taxation 
 
Exceptional item                                                -318           - 
 
                                                             __________    __________ 
 
Loss on ordinary activities before taxation                     -284          -152 
 
Taxation                                                         -             - 
 
                                                             __________    __________ 
 
Loss for the year                                               -284          -152 
 
                                                              ________      ________ 
 
Attributable to: 
 
                                                             __________    __________ 
 
Equity holders of the parent                                    -284          -152 
 
                                                              ________      ________ 
 
Earnings  per share 
 
From continuing operations before exceptional items 
 
Basic                                                          0.08p        (0.34)p 
 
From continuing operations after exceptional items 
 
Basic                                                         (0.64)p       (0.34)p 
 
 
 
Loss for the year                                             (284)         (152) 
 
                                                           ___________   ___________ 
 
Total comprehensive Income for the financial year             (284)         (152) 
 
                                                            __________    _________ 
 
Attributable to: 
 
Equity holders of the parent 
 
Continued operations                                          (284)         (152) 
 
                                                            _________     _________ 
 
                                                              (284)         (152) 
 
                                                            _________     _________ 
 
Consolidated statement of financial position 
 
As at 31 August 2018 
 
                                                               2018          2017 
 
                                                              GBP'000         GBP'000 
 
Fixed Assets 
 
Tangible Assets                                                 14            21 
 
Investment Property                                            275           275 
Investments                                                   5,000           - 
 
                                                            __________    __________ 
 
                                                              5,289          296 
 
                                                            __________    __________ 
 
Current assets 
 
 
Inventories                                                    156          1,406 
Debtors                                                       9,949         7,525 
 
Cash at bank and in hand                                       746          4,229 
 
                                                            __________    __________ 
 
                                                              10,851        13,160 
 
                                                            __________    __________ 
 
Current liabilities 
 
Creditors: Amounts falling due within one year 
 
Creditors                                                    (5,878)       (3,227) 
 
                                                            __________    __________ 
 
Total current liabilities                                    (5,878)       (3,227) 
 
Net current assets                                            4,973         9,933 
 
                                                            __________    __________ 
 
Total assets less current liabilities                         10,261        10,229 
 
Provision for liabilities                                      318            - 
 
                                                            __________    __________ 
 
Net assets                                                    9,945         10,229 
 
                                                            __________    __________ 
 
 
 
Shareholders' funds 
 
Share capital                                                 2,205         2,205 
 
Share premium account                                         2,106         2,106 
 
Capital redemption reserve                                      61            61 
 
Share option reserve                                            22            22 
 
Retained earnings                                             5,101         5,835 
 
Fair value reserve                                             450            - 
 
                                                            __________    __________ 
 
Total shareholders' funds                                     9,945         10,229 
 
                                                            __________    _________ 
 
The financial information contained in this statement has been extracted from 
the full audited accounts of the Company. 
 
The Directors do not propose a dividend for the period reported. 
 
The Directors of the Company accept responsibility for this announcement. 
 
Formation Group Plc 
David Kennedy; Chief Executive Officer 
020 7920 7590 
 
NEX Exchange Corporate Adviser 
Peterhouse Capital Limited 
Fungai Ndoro and Mark Anwyl 
020 7469 0930 
 
 
 
END 
 

(END) Dow Jones Newswires

January 31, 2019 12:11 ET (17:11 GMT)