16th Mar 2016 09:31
LONDON (Alliance News) - Snacktime PLC said Wednesday its pretax profit narrowed in the six months to September 30, as it released results from its financial year ended March 27, 2015 and the following six months, after extended audit work that concluded earlier this month.
Snacktime reported a pretax loss of GBP709,832 for the first half of its financial year to September 2015, from GBP781,923 the same period the previous year, despite revenue falling to GBP7.9 million from GBP8.5 million.
Snacktime said this was due to lower depreciation costs, at GBP610,494 in the six-month period, compared to GBP772,478.
Pretax loss had also narrowed for its financial year to end-March 2015, to GBP4.4 million from GBP8.5 million the previous year, due to a decline in exceptional costs. These costs came in at GBP1.4 million for the year, down from GBP7.2 million the previous year when the group had booked an impairment charge of GBP6.6 million. The impairment charge for the year to end-March 2015 was GBP448,532.
Revenue for the full year to March 27, 2015 was GBP16.2 million, compared to GBP18.8 million a year ealier.
Snacktime was suspended from trading on September 17, as it had not published its accounts within six months of the year end as required by the AIM rules for companies. Snacktime said it expects, following the publication of the two sets of results on Wednesday, trading will resume "in due course".
Snacktime said, since March 27, 2015 it has secured two tranches of investment from Versatel Company Ltd, totaling GBP2.4 million, as well as placing and issuing further shares.
Snacktime said a new agreement was reached with the Co-Operative Bank in February 2016 to extend its GBP750,000 overdraft facility to the end of 2016. It added an agreement has been reached in respect of the secured loan facility to waive all covenant testing to the end of 2016, and fix the aggregate repayments due in the calendar year 2016 to GBP350,000.
However, auditors BDO LLP said the disclosures concerning "the company's ability to continue" in the financial statements were a "going concern", as further funds may be required to finance the company's capital requirements and "there is no guarantee that an agreement will be reached and that the current financing is adequate to cover all liabilities falling due".
By Hannah Boland; [email protected]; @Hannaheboland
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