Half-year Report

LONDON--()-- 

12 June 2020

Wheelsure Holdings plc

(“Wheelsure” or the “Group”)

Interim Results for Six Months Ended 29 February 2020

Wheelsure announces its interim results for the six months ended 29 February 2020.

As a result of the publication of its interim results, the Group expects trading in its securities to be restored from the open of market.

This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014.

Enquires:

Wheelsure Holdings plc

 

01525 840 557

Gerhard Dodl, CEO

 

 

 

 

 

Cairn Financial Advisers LLP

 

020 7213 0885

Jo Turner / Liam Murray

 

 

Chairman’s statement

We are announcing our results for the 6 months ended 29 February 2020. I am pleased to report that sales in this period, from our existing customer base, reflect an 80% increase over the comparable period in 2019. This welcome increase follows on from a strong outcome in the final 6 months of the 2019 financial year which contributed to a 71% increase in sales over the year ended 31 August 2018.

Sales were £118,095 (6 months to 28 February 2019: £65,605), including royalty income of £2,365 (6 months to 28 February 2019: £4,226).

As we announced in the recent publication of 2019 final results, I am delighted to confirm that we have managed to secure additional funding that allows the Board to move forward.

On 22 May 2020, a General Meeting was held to pass the necessary resolutions required to restructure the Company’s share capital. As a result of shareholders passing the resolutions, the Company’s share capital was reorganised such that each ordinary shares was sub-divided into one ordinary share of 0.01 pence and 1 deferred share of 0.99 pence and, subsequently, every 100 ordinary shares of 0.01 pence each was consolidated into one new ordinary share of 1 penny (“New Ordinary Share”). As detailed in the Company’s circular of 6 May 2020, immediately prior to the consolidation taking place, the Company issued 74 ordinary shares in order that the number of shares in issue prior to the reorganisation is divisible by 100.

In our 2018 Annual Report, I informed shareholders that we had secured a working capital facility to support our business and I am pleased to confirm that, as a result of the successful restructuring of the Company’s share capital, this facility has been increased and extended to £500,000, of which £125,000 has currently been drawn.

The Board is confident that the continued development and realisation of our core business will deliver more sustainable income and this remains the primary focus of the business. In addition, we will be seeking to realise the opportunity for smart sensor technology which we have previously commented on.

Fuller details of our activities in the core markets were detailed in the full year accounts reported to the market (post fund-raising) on 8 June 2020, and, due to the close proximity of this report, there is nothing further to report of a material nature.

The Board would like to thank all our shareholders for their continued support.

G J Mulder
Chairman

Unaudited consolidated statement of comprehensive income
for the six months ended 29 February 2020

 

 

Six months
ended 29.02.20

 

Six months
ended 28.02.19

 

Year ended
31.08.19

 

 

£

 

£

 

£

 

 

 

 

 

 

 

TURNOVER

 

115,730

 

61,379

 

171,840

Cost of sales

 

(51,133)

 

(27,917)

 

(76,773)

 

GROSS PROFIT

 

 

64,597

 

 

33,462

 

 

95,067

Administrative expenses

 

(134,923)

 

(157,090)

 

(316,003)

 

 

(70,326)

 

(123,628)

 

(220,936)

Other operating income

 

2,365

 

4,226

 

6,604

 

OPERATING LOSS

 

 

(67,961)

 

 

(119,402)

 

 

(214,332)

Interest receivable and similar income

 

-

 

-

 

16

Interest payable and similar charges

 

(6,683)

 

(6,117)

 

(9,539)

 

 

 

 

 

 

 

LOSS ON ORDINARY ACTIVITIES BEFORE TAXATION

 

(74,644)

 

(125,519)

 

(223,855)

Tax on loss on ordinary activities

 

-

 

-

 

17,078

 

 

 

 

 

 

 

LOSS FOR THE PERIOD AFTER TAXATION

 

(74,644)

 

(125,519)

 

(206,777)

 

 

 

 

 

 

 

Other comprehensive income

 

-

 

-

 

-

TOTAL COMPREHENSIVE LOSS FOR THE PERIOD

 

(74,644)

 

(125,519)

 

(206,777)

BASIC AND DILUTED LOSS PER SHARE (NOTE 3)

 

3.1p

 

5.4p

 

8.7p

 

 

 

 

 

 

 

Unaudited consolidated balance sheet
as at 29 February 2020

 

 

As at

 

As at

 

As at

 

 

29.02.2020

 

28.02.2019

 

31.08.2019

 

 

£

 

£

 

£

 

£

 

£

 

£

FIXED ASSETS

 

 

 

 

 

 

 

 

 

 

 

 

Intangible assets

 

 

 

50,810

 

 

 

73,779

 

 

 

51,540

Tangible assets

 

 

 

532

 

 

 

-

 

 

 

612

 

 

 

 

51,342

 

 

 

73,779

 

 

 

52,152

 

 

 

 

 

 

 

 

 

 

 

 

 

CURRENT ASSETS

 

 

 

 

 

 

 

 

 

 

 

 

Stocks

 

38,434

 

 

 

37,602

 

 

 

37,686

 

 

Debtors

 

61,892

 

 

 

70,774

 

 

 

90,674

 

 

Cash at bank

 

1,756

 

 

 

9,070

 

 

 

9,287

 

 

 

 

102,082

 

 

 

117,446

 

 

 

137,647

 

 

CREDITORS

 

 

 

 

 

 

 

 

 

 

 

 

Amounts falling due within one year

 

(278,759)

 

 

 

(160,658)

 

 

 

(240,490)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

NET CURRENT (LIABILITIES) / ASSETS

 

 

 

(176,677)

 

 

 

(43,212)

 

 

 

(102,843)

 

 

 

 

 

 

 

 

 

 

 

 

 

NET (LIABILITIES)/ASSETS

 

(125,335)

 

 

 

30,567

 

 

 

(50,691)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

CAPITAL AND RESERVES

 

 

 

 

 

 

 

 

 

 

Called up share capital

 

 

 

2,402,057

 

 

 

2,402,057

 

 

 

2,402,057

Share premium

 

 

 

3,443,250

 

 

 

3,443,250

 

 

 

3,443,250

Profit and loss account

 

 

 

(5,970,642)

 

 

 

(5,814,740)

 

 

 

(5,895,998)

 

 

 

 

 

 

 

 

 

 

 

 

 

SHAREHOLDERS’ (DEFICIT)/FUNDS

 

(125,335)

 

 

 

30,567

 

 

 

(50,691)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Unaudited consolidated statement of changes in equity
for the six months ended 29 February 2020

Six months ended 29 February 2020

 

Called up share capital

 

Share Premium

 

Retained earnings

 

Total equity

 

 

£

 

£

 

£

 

£

Balance at 1 September 2019

 

2,402,057

 

3,443,250

 

(5,895,998)

 

(50,691)

Changes in equity

 

 

 

 

 

 

 

 

Total comprehensive loss

 

-

 

-

 

(74,644)

 

(74,644)

Balance at 29 February 2020

 

2,402,057

 

3,443,250

 

(5,970,642)

 

(125,335)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Six months ended 28 February 2019

 

Called up share capital

 

Share Premium

 

Retained earnings

 

Total equity

 

 

£

 

£

 

£

 

£

Balance at 1 September 2018

 

2,277,057

 

3,443,250

 

(5,682,471)

 

37,836

Changes in equity

 

 

 

 

 

 

 

 

Total comprehensive loss

 

-

 

-

 

(125,519)

 

(125,519)

Issue of share capital

 

125,000

 

-

 

(6,750)

 

118,250

Balance at 28 February 2019

 

2,402,057

 

3,443,250

 

(5,814,740)

 

30,657

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Year ended 31 August 2019

 

Called up share capital

 

Share Premium

 

Retained earnings

 

Total equity

 

 

£

 

£

 

£

 

£

Balance at 1 September 2018

 

2,277,057

 

3,443,250

 

(5,682,471)

 

37,836

Changes in equity

 

 

 

 

 

 

 

 

Total comprehensive loss

 

-

 

-

 

(206,777)

 

(206,777)

Issue of share capital

 

125,000

 

-

 

(6,750)

 

118,250

Balance at 31 August 2019

 

2,402,057

 

3,443,250

 

(5,895,998)

 

(50,691)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Unaudited consolidated cash flow statement
for the six months ended 29 February 2020

 

 

 

Notes

 

Six months
ended 29.02.20

 

Six months
ended 28.02.19

 

Year ended
31.08.19

 

 

 

£

 

£

 

£

Cash flows from operating activities

 

 

 

 

 

 

 

Cash used in operations

4

 

(48,918)

 

(147,707)

 

(231,598)

Tax received

 

 

18,681

 

13,537

 

23,950

Net cash used in operating activities

 

 

(30,237)

 

(134,170)

 

(207,648)

 

 

 

 

 

 

 

 

Cash flows from investing activities

 

 

 

 

 

 

 

Capital expenditure

 

 

(1,548)

 

(1,211)

 

(1,850)

Net cash used in investing activities

 

 

(1,548)

 

(1,211)

 

(1,850)

 

 

 

 

 

 

 

 

Cash flows from financing activities

 

 

 

 

 

 

 

New loans in period

 

 

25,000

 

-

 

75,000

Share issue proceeds

 

 

-

 

125,000

 

125,000

Share issue costs

 

 

-

 

(6,750)

 

(6,750)

Interest paid

 

 

(746)

 

(765)

 

(1,447)

Interest received

 

 

-

 

-

 

16

Net cash from financing activities

 

 

24,254

 

117,485

 

191,819

 

 

 

 

 

 

 

 

Decrease in cash and cash equivalents

 

 

(7,531)

 

(17,896)

 

(17,679)

 

 

 

 

 

 

 

 

Cash at bank and in hand at start of period

 

 

9,287

 

26,966

 

26,966

 

 

 

 

 

 

 

 

Cash at bank and in hand at period end

 

 

1,756

 

9,070

 

9,287

 

 

 

 

 

 

 

 

Notes to the unaudited financial statements for the six months ended 29 February 2020

1. Reporting entity

Wheelsure Holdings plc (the “Company”) is a company incorporated and domiciled in the United Kingdom. The address of the Company’s registered office is 235 Hunts Pond Road, Fareham, Hampshire, PO14 4PJ.

The consolidated interim financial statements of the Group as at and for the half year ended 29 February 2020 comprise the Company and its subsidiaries (together referred to as the “Group”). The financial information set out in this interim report does not constitute statutory accounts as defined in Section 434 of the Companies Act 2006. The Group’s statutory financial statements for the year ended 31 August 2019 have been filed with the Registrar of Companies. The auditor’s report on those financial statements was unqualified but contained an emphasis of matter paragraph in relation to going concern, and did not contain a statement under Section 498(2) of the Companies Act 2006. The consolidated financial statements of the Group as at and for the year ended 31 August 2019 are available at http://www.wsgroupglobal.com.

2. Basis of preparation

These consolidated financial statements for the half year ended 29 February 2020 are unaudited. They have been prepared and approved by the directors following the recognition and measurement principles of Financial Reporting Standard (FRS 102) and with the requirements of the Companies Act 2006. This information has not been reviewed by the Group’s auditors.

The interim financial statements do not include all of the information required for full annual financial statements, and should be read in conjunction with the consolidated financial statements of the Group as at and for the year ended 31 August 2019.

3. Basic and diluted loss per share

 

Six months
ended 29.02.20

 

Six months
ended 28.02.19

 

Year ended
31.08.19

 

 

£

 

£

 

£

Loss for the period

 

(74,644)

 

(125,519)

 

(206,777)

Weighted average number of ordinary shares in issue during the period

 

2,402,057

 

2,339,212

 

2,370,893

Basic and diluted loss per share

 

3.1p

 

5.4p

 

8.7p

The weighted average number of shares has been adjusted for the share capital reorganisation which took place on 22 May 2020. No shares were deemed to have been issued at nil consideration as a result of the share options granted.

The diluted basic loss per share is stated as the same amount as the basic as there is no dilutive effect in either year.

4. Reconciliation of operating loss to net cash outflow from operating activities

 

 

Six months
ended 29.02.20

 

Six months
ended 28.02.19

 

Year ended
31.08.19

 

 

£

 

£

 

£

Operating loss for the period

 

(67,961)

 

(119,402)

 

(214,332)

Depreciation and amortisation charges

 

2,358

 

4,420

 

8,608

Loss on disposal of fixed assets

 

-

 

-

 

18,078

 

 

(65,603)

 

(114,982)

 

(187,646)

Increase in stocks

 

(748)

 

(867)

 

(951)

Decrease / (increase) in debtors

 

10,101

 

(13,512)

 

(26,747)

Increase / (decrease) in creditors

 

7,332

 

(18,346)

 

(16,254

 

 

 

 

 

 

 

Net cash outflow from operating activities

 

(48,918)

 

(147,707)

 

(231,598)

 

 

 

 

 

 

 

 

Short Name: Wheelsure Holdings (WHLP)
Category Code: IR
Sequence Number: 701644
Time of Receipt (offset from UTC): 20200611T165906+0100

Contacts

Wheelsure Holdings Plc

Contacts

Wheelsure Holdings Plc