24th Apr 2018 13:37
LONDON (Alliance News) - Investment firm Tanfield Group PLC said Tuesday its 2017 loss narrowed amid a rise in income and a fall in costs, as its continues to monitor its two investments.
In 2017, pretax loss narrowed to GBP148,000 from GBP249,000 the year prior. Profit performance was help by a fall in other operating expenses to GBP149,000 from GBP182,000 as well as an increase in other operating income to GBP84,000 from GBP30,000 the year prior.
Tanfield did not generate revenue in either year.
The company holds a 49.0% stake in Snorkel International Holdings LLC as well as a 5.8% stake in Smith Electric Vehicles Corp.
"We have continued to closely monitor the progress of the company's main investment in Snorkel International Holdings LLC during the year whilst still maintaining a watchful eye over the investment in Smith Electric Vehicles Corp despite the carrying value being nil," Tanfield Chairman Daryn Robinson said.
"The board is pleased with the progress made by Snorkel during 2017 and feels that, should the progress continue, it makes the likelihood of a realisation of value in the future more probable," Robinson added. "The calculation of the Snorkel valuation was made in 2013 and is based on the formula for realisation of value, which expires on 30 September 2018, detailed in the circular that was distributed prior to the joint venture between Tanfield Group Plc and Xtreme Manufacturing LLC."
"Whilst progress continues to be made," Robinson emphasised, "the board is of the view that the financial targets required to trigger the formula for realisation of value will not be met before this expiry date. After this date, the calculation of the investment value becomes uncertain and the return could be less than the carrying value. The board continues to hold the view that the value of the investment in Smith should be nil."
Shares in Tanfield were untraded at 12.00 pence on Tuesday.
Related Shares:
Tanfield