30th Sep 2011 07:00
Prime Focus London plc
(the "Company")
Final Results for the year ended 31 March 2011
Notice of Annual General Meeting
The Company is pleased to announce its final results for the year ended 31 March 2011. Extracts from the financial statements are set out below and a full version of the report and accounts is available on the Company's website www.primefocusworld.com
The report and accounts contains notice of the Company's Annual General Meeting, which will take place at 37 Dean Street, London W1D 4PT on 1 November 2011 at 11.30am. A copy of the notice is also set out below.
Enquiries:
Prime Focus London Plc | Tel: +44 20 7565 1000 |
Namit Malhotra Chairman and interim Chief Executive Officer | |
www.primefocusworld.com | |
Grant Thornton Corporate Finance | Tel: +44 20 7383 5100 |
Colin Aaronson/David Hignell |
Chairman's Statement
Against the continuing backdrop of a challenging consumer and economic environment, Prime Focus London Plc is reporting a good trading performance.
Financial Results
Sales have increased in key business streams by 43% overall to £30.6m. Profit before taxation has increased to £3.9m (Last Year £547k loss) and has benefited from the profit on sale of investments of £0.9m and other income of £0.2m, Operating Profit before exceptional items increased to £4.04 m from £1.62m last year.
Additional gross margin earned from increased sales has been invested in the development of the emerging VFX business, where the costs of future development have been written off as incurred. This investment has driven a more than threefold increase in Revenue to £8.7m, and although loss making as a result of the non recurring start up costs, this growth provides us with optimism about the Prime Focus brand in the UK market The core Content Services, Post Production and Animation business performed in line with expectations and showed 15% growth in sales to £21.8m.
Review of Operations
As the balance of Revenue streams continues to shift towards activities driven by new technological innovation in Film and Broadcast, it is expected that there will be a requirement to reconfigure the cost base of the business in the UK to match available resource to expected increased levels of activity in certain of our business streams
Employees
Prime Focus is a business with an international outlook whilst at the same time having a detailed understanding of the local markets in which it operates.
The business has a committed, capable, experienced and knowledgeable management, but to make this business function efficiently and effectively across national and cultural boundaries requires a coordinated and sustained team effort in which all of our employees have played their part. On behalf of all the stakeholders in Prime Focus, I would like to thank them for all their efforts of which they can be justifiably proud.
Outlook
Our focus on continuing to develop new business streams and exploiting the benefits of technological advances allied to the low cost operating base available through our sister company in India has allowed us to increase turnover and grow market share in a highly competitive and rapidly developing marketplace.
We continue to make great strides in developing the business for the future - delivering the highest quality post production, VFX, and 3D solutions to the Global Visual Entertainment space using our cost effective WorldsourcingÔmodel.
We have invested further in our unique production capabilities, increased efficiency across the group, gained valuable insights from our early entry into the 3D Film business and taken further steps to reinforce our position as a truly global force by exploiting the cost advantages provided by outsourcing commodity services to India.
As we entered 2011 we expected that our customers would remain under pressure and planned our business accordingly, by tight cost control, by shifting fixed costs to variable, and by investing carefully in areas of the business where we foresee opportunities for growth.
The comments I made last year remain true in that the Hollywood blockbusters continue to enhance the viewing experience through the extensive use of high quality visual effects. In addition, 2D to 3D conversion continues to gain momentum. During the year Prime Focus provided its VFX and 3D services for films such as Harry Potter 7, Chronicles of Narnia and Shrek. However following a strategic review of the operations of this division being highly dependent on other Group Companies for both revenue and execution, the board has decided to terminate the losses incurred and continuing to be incurred in growing this new business division. As a result, the Company expects to announce shortly the sale of that part of its activities The Review of Operations will accelerate the further transformation of our cost base to ensure cost efficiency whilst focusing capital expenditure strategically.
In taking these actions quickly and effectively we believe we will ensure maximization of our sales, operating profit and cash positions to drive towards achieving our expectations this year, and although there are positive market indicators emerging (as referred to in the Managing Director's review) we remain cautious in light of the continuing uncertainty in the wider economic environment.
Our performance to date, our growing customer base, increased levels of customer activity and their increased levels of engagement with Prime Focus and our ongoing focus on tight cost control throughout the business, coupled to selective investment in those areas that indicate growth potential, give the Board confidence that we will deliver our expectations for the year.
The year to end March 2011 benefitted from a number of exceptionally profitable contracts which may or may not be repeated in the current year. Discussions continue with the parent company to evaluate how to align the Group's interests.
Namit Malhotra
Chairman
28 September 2011
Managing Director's Review
The Operating Environment
The global entertainment and media (E&M) industry entered a positive growth phase in 2010. The Global Entertainment and Media Outlook: 2010-14 report by Price Waterhouse Coopers (PWC) estimates that global E&M spending grew by 4.6% in the year 2010 and over the next five years, the E&M spending is estimated to rise to USD 1.9 trillion in 2015, growing at a Compounded Annual Growth Rate (CAGR) of 5.7%.
For the year under review, the benefits predicted by PWC had yet to materialise and trading for the company remained challenging. New revenues had been developed whilst our core post production businesses had to fight to maintain market share in their respective sectors.
It is within this context that I am pleased to report a healthy growth in revenue from both key business streams. The post production business (incorporating content services and animation) grew from £19m to £21.9m, making progress in all areas of activity.
Review of the year
Despite difficult trading conditions being experienced by many of the company's customers, the company has continued to deliver organic growth. The global visual entertainment space is constantly evolving - a challenging and dynamic marketplace - and Prime Focus is emerging from the economic gloom at the centre of the industry, providing creative and technical services to the film, broadcast, commercials and media industries.
Revenue
The reported growth in revenue from £21.5m to £30.6m was due a growth in VFX from £2.47m to £8.74m, as well as organic growth across all trading activities.
Operating profit
Operating profit before exceptional items increased to £4.04m compared to a profit of £1.6m in the previous year.
Finance costs
Net finance costs have reduced to £0.13m from last year at £0.32m thanks to increased levels of interest receivable on loans to fellow subsidiaries. Within this, finance costs remain the same at £0.59m.
An analysis of revenue and profit or loss by operating segment is set out below.
Year ended 31 March 2011 | Content services, post production & animation | VFX | Total | |
£'000 | £'000 | £'000 | ||
Revenue | 21,867 | 8,741 | 30,608 | |
Inter-segment transactions | - | - | - | |
Depreciation and impairment of property, plant & equipment | (914) | (197) | (1,111) | |
Other income and expenses | (13,375) | (12,212) | (25,587) | |
Profit / (loss) before tax | 7,578 | (3,668) | 3,910 |
Restated - Year ended 31 March 2010 | Content services, post production & animation | VFX | Total | |
£'000 | £'000 | £'000 | ||
Revenue | 19,046 | 2,466 | 21,512 | |
Depreciation | (75) | 75 | - | |
Amortisation | (1,043) | (197) | (1,240) | |
Other income and expenses | (17,189) | (3,630) | (20,819) | |
Loss before tax | 739 | (1,286) | (547) |
Content Services, post-production and animation
This segment currently represents the largest piece of the Group's business and comprises data and content management facilities as well as top-end post-production and visual effects services for the broadcast & commercial sectors.
These activities are aggregated together into one reportable segment on the basis that the economic characteristics are similar.
Content Services
The UK Content Services division provides picture and audio restoration, duplication, mastering and encoding services to a variety of broadcasters, archives and content owners such as BBC, Sony, BFI, IMG and Adidas.
It also includes CLEARTM, our proprietary web-based media asset management service. CLEARTM manages the entire lifecycle of content from production to distribution, and offers a secure, fast and reliable digital delivery platform. This also enables the Prime Focus 'global digital pipeline' by seamlessly interconnecting the 16 Prime Focus offices around the world.
Post-production
This segment includes broadcast television programming such as documentaries, dramas and factual series, channel idents and on-air promos as well as high-end visual effects ("VFX"), colour grading and full post production services to the international commercials, music video and feature film industries.
Whilst the year has been challenging owing to the continued impact of the global recession, there have been a number of highlights:
Commercials
The Prime Focus UK Commercials division continued to assert its position with an impressive presence throughout the advertising community, attracting top-tier production companies, international flagship brands and some of the world's biggest creative agencies through its doors.
Highlights from the last twelve months include high-profile work on notable brands such as Nokia, Vodafone, Virgin Media, O2, Toyota, Budweiser, T Mobile, Volkswagen, GHD and Stella Artois, working with agencies such as Ogilvy & Mather, Wieden + Kennedy, JWT, DDB, Mother, Grey, VCCP, Saatchi & Saatchi and RKCR / Y&R.
Prime Focus has also seen success from a variety of viral and digital campaigns for clients such as Saatchi & Saatchi, Sony Ericsson, Volkswagen and Range Rover; and helped advertising take a move towards the third dimension, creatively converting Frank Miller's 'Gucci' commercial and Puma's 'Animagical' spot into stereoscopic 3D.
Broadcast
It is a testament to the talent inside Prime Focus' Broadcast division that it was responsible for providing full picture and sound post production on some of the most gripping, provocative and inspirational television programmes, series and specials that went to air during the last year, for broadcasters such as BBC, ITV, Channel 4, Sky, Discovery (UK & US) and History Channel (UK & US).
The Primetime Emmy Award winning series 'America The Story of Us' saw the history of a fledgling frontier nation laid out in rich, engaging detail for all to absorb, whilst the RTS award winning 'Heston's Feasts' pushed the boundaries of culinary science.
Family favourites 'Great British Menu' and 'An Island Parish' both returned for their fifth series, 'Famous, Rich, and Slumming It' explored celebrities and social deprivation whilst other highlights included 'The House that Made Me', 'Mary Portas - Secret Shopper', the controversial 'The Taking of Prince Harry' and the acclaimed 'Stephen Hawking's Universe',
The Broadcast VFX division provided visuals for award-winning documentaries such as 'Wonders of the Solar System', 'How the Earth Made Us' and 'Stone Age Atlantis'.
Film Post Production, VFX & View-D™
Prime Focus stepped into the limelight this year and announced itself as a serious global player in the feature film market. Ridley Scott's epic historical fantasy 'Robin Hood' was bolstered by the inclusion of hundreds of specialist VFX shots and British gangster film 'Bonded by Blood' was posted in its entirety at our UK facilities.
In response to the huge demand for 3D content, Prime Focus' proprietary View-D™ process was used to deliver 'The Chronicles of Narnia: Voyage of the Dawn Treader', for which Prime Focus was sole vendor, fully converting from 2D to 3D over 1,500 shots from Prime Focus' offices in LA, London and India. The process was also used to deliver shots on Resident Evil Afterlife, Shrek and Cats and Dogs 2 whilst work also began on 'Star Wars: Episode I - The Phantom Menace' arguably the biggest film franchise in the world. However following a strategic review of the operations of this division being highly dependent on other Group Companies for both revenue and execution, the board has decided to terminate the losses incurred and continuing to be incurred in growing this new business division. As a result, the Company expects to announce shortly the sale of that part of its activities
Key hires
The Group has continued to hire high quality executives.
Commercial Director Daniel Sapiano and Executive Producer Romilly Endacott were appointed as Joint Managing Directors for the UK Commercials division; together they are responsible for the management of the division.
Matthew Bristowe was appointed Head of Production of the London View-D™ division, joining from Technicolor Creative Services where he gained a reputation as one of London's most celebrated senior DI producers.
The Prime Focus Commercials division in London announced the appointment of Executive Producer Belinda Grew, who joined from Smoke and Mirrors with 20 years of industry experience, and also of Kristy Mae Currie (Exec Producer) and Dave 'Skippy' Clifton (Senior Flame Artist), both renowned industry individuals.
Experienced Executive producer Piers Hampton joined the Broadcast VFX team whilst Data specialist David J. Phillips joined as Head of Digital Services in the UK. David was brought in to track, enhance and update tapeless workflows while developing new revenue opportunities across all media platforms.
Additionally, BAFTA Award winning producer Rod Brown has joined to set up Prime Focus Productions, providing broadcasters and directors with concept-to-delivery expertise for TV drama productions. This will enable the company to generate new revenue direct from the Productions Division and also to provide dedicated post production facilities, delivering an integrated solution for drama production and securing production and post production revenue.
FINANCIAL POSITION
Net debt
Net debt decreased to £6.97m.
CASHFLOW
Our cash balance has increased to £1.3m from £1.2m in the prior year.
KEY PERFORMANCE INDICATORS
Key performance indicators (KPIs) used by the Board to monitor progress are listed in the table
below.
KPI | 2011 | 2010 | Definition and method of calculation |
Revenue | £30,608k | £21,512k | Revenue per the consolidated statement of comprehensive income.
|
Profit / (loss)
| £3,910k | (£547k) | Profit / (loss) before tax per the consolidated statement of comprehensive income.
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Earnings per share
| 11.65p | (2.85p) | Basic earnings per share per the consolidated statement of comprehensive income.
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Net Cash & Cash Equivalents
| £1,300k | £1,224k | Net cash position of the Group as per the consolidated statement of cash flows.
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Net debt
| £6,977k | £7,117k | Cash and cash equivalents less bank loans and overdrafts, hire purchase obligations and net parent and associate company loans. All taken from the consolidated statement of financial position.
|
PRINCIPAL RISKS AND UNCERTAINTIES
The management of the business and the execution of the Company's strategy are subject to a number of risks. Risks are formally reviewed by the Board and appropriate processes put in place to monitor and mitigate them.
The following section comprises a summary of the main risks the Board believes could potentially impact the Company's operating and financial performance.
Operational
The Company's performance depends largely on the retention of key creative staff and the ability of the management team to attract new talent to enhance this existing team. The Group continues to successfully retain its key staff by ensuring that it gives them the necessary tools and working atmosphere such that they can maximize their creative energies and output.
Financial
The company operates in an industry that demands continual investment in hardware and software to ensure competitive edge through technical delivery and creative output. This places a large emphasis on capital expenditure and the Company continues to invest in front-end creative systems and infrastructure through finance leasing. The current economic climate presents a greater challenge to securing this type of financing but the management continues to explore all opportunities to maintain this investment strategy.
Market and Environment
Business environment risks considered by the Group include a downturn in film production activity in the UK, potential delay in revenue generation from the Group's media asset management business, the timing of television production and the cut in advertising spend by blue chip clients.
Technology
The Group is reliant on a number of technology systems to provide services to clients. Due to the rapid advancement of technology, there is a risk that systems could become outdated with the potential to affect efficiency and have an impact on revenue and client service. This risk is mitigated by regular reviews of the Group's technology strategy and ongoing development of in-house technology and software.
The Company's policy in relation to the use of financial instruments and its exposure to price risk, liquidity risk and cash flow risk is given in Note 4 to the financial statements.
Namit Malhotra
Group Managing Director
28 September 2011
Consolidated Statement of Comprehensive Income for the year ended 31 March 2011
2011 | Restated 2010 | ||
£000 | £000 | ||
Revenue | 30,608 | 21,512 | |
Cost of sales | (11,890) | (2,412) | |
Gross profit | 18,718 | 19,100 | |
Net operating charges | (15,842) | (17,477) | |
Other Income | 1,159 | - | |
Operating profit / (loss) before exceptional items | 4,035 | 1,623 | |
Exceptional items | 5 | (1847) | |
Operating profit / (loss) | 4,040 | (224) | |
Finance income | 464 | 270 | |
Finance costs | (594) | (593) | |
Profit / (loss) before taxation | 3,910 | (547) | |
Taxation | (108) | (384) | |
Profit / (loss) for the year | 3,802 | (931) | |
Other comprehensive income: | |||
Revaluation of available-for-sale financial assets | - | - | |
Total comprehensive income for the year | 3,802 | (931) | |
Earnings per share (pence) |
| ||
Basic | 11.65 | (2.85) | |
Diluted | 11.53 | (2.82) |
The above results are derived from continuing activities.
Namit Malhotra
Director
Consolidated Statement of Financial Position at 31 March 2011
31 March 2011 | Restated 31 March 2010 | ||||||
£000 | £000 | ||||||
ASSETS | |||||||
Non-current assets | |||||||
Intangible assets | 707 | 9,345 | |||||
Property, plant and equipment | 7,997 | 6,746 | |||||
Other receivables | - | - | |||||
Deferred tax assets | - | 18 | |||||
Investments | 32 | 22 | |||||
Total non-current assets | 8,736 | 16,131 | |||||
Current assets | |||||||
Inventories | 38 | 30 | |||||
Trade and other receivables | 21,563 | 11,265 | |||||
Cash and cash equivalents | 1,300 | 1,224 | |||||
Total current assets | 22,901 | 12,519 | |||||
Total assets | 31,637 | 28,650 | |||||
EQUITY | |||||||
Share capital | 1,632 | 1,632 | |||||
Share premium account | 6,498 | 6,498 | |||||
Capital redemption reserve | 270 | 270 | |||||
Fair value reserve | (10) | - | |||||
Special reserve | - | - | |||||
Retained earnings | (810) | (4,612) | |||||
Total equity | 7,580 | 3,788 | |||||
LIABILITIES | |||||||
Non-current liabilities | |||||||
Borrowings | 2,030 | 3,405 | |||||
Deferred tax liability | 90 | - | |||||
Total non-current liabilities | 2,120 | 3,405 | |||||
Current liabilities | |||||||
Borrowings | 6,247 | 4,936 | |||||
Trade and other payables | 15,690 | 16,521 | |||||
Current income tax liabilities | - | - | |||||
Total current liabilities | 21,937 | 21,457 | |||||
Total liabilities | 24,057 | 24,862 | |||||
Total equity and liabilities | 31,637 | 28,650 | |||||
The financial statements were approved by the Board of Directors and authorised for issue on 28 September 2011.
Namit Malhotra
Director
Consolidated Statement of cash flows for the year ended 31 March 2011
2011 | Restated 2010 | |
£000 | £000 | |
Cash Flows from operating activities | ||
Profit / (loss) before taxation | 3,910 | (505) |
Finance income | (464) | (270) |
Finance costs | 594 | 593 |
Depreciation | 1,111 | 1,240 |
Share based payment | - | 95 |
W/off liabilities of companies under administration (Prior year adjustments) | (3,462) | 7 |
Non-cash exceptional items | - | (1,657) |
Profit on disposal of fixed assets | - | (84) |
Operating cash flows before movements in working capital | 1,689 | 581 |
Increase in inventories | (8) | 1 |
Increase in receivables | (10,299) | (2,037) |
Increase in payables | 2,631 | 13,005 |
Cash generated from operations | (5,987) | 10,388 |
Interest received | 464 | 270 |
Interest paid | (594) | (592) |
Tax recovered / (paid) | - | - |
Net cash generated from operating activities | (6,117) | 10,066 |
Cash flows from investing activities | ||
Purchases of property, plant and equipment | (2,361) | (777) |
Purchases of intangible assets | (498) | (9,345) |
Proceeds from sale of property, plant and equipment | 9,116 | 83 |
Net cash (used in)/generated from investing activities | 6,257 | (10,039) |
Cash flows from financing activities | ||
Issue of shares | - | - |
Net receipt / (repayment) in respect of Parent borrowings | (2,461) | 692 |
Repayment of Hire Purchase Obligations | (276) | (213) |
(Repayment) / receipt of Bank and other loans | 2,673 | (784) |
Net cash generated from financing activities | (64) | (305) |
Increase / (Decrease) in cash & cash equivalents | 76 | (278) |
Cash and cash equivalents at the beginning of the year | 1,224 | 1,502 |
Cash and cash equivalents at the end of the year | 1,300 | 1,224 |
Consolidated statement of changes in equity
Share capital |
Share premium (i) | Capital redemption reserve (ii) |
Fair value reserve (iii) |
Special reserve (iv) |
Retained earnings (v) |
Total Equity | |
£000 | £000 | £000 | £000 | £000 | £000 | £000 | |
At 1 April 2009 | 1,632 | 6,498 | 270 | - | - | (3,776) | 4,624 |
Comprehensive income: | |||||||
Profit for the year (restated) | - | - | - | - | - | (931) | (931) |
Transactions with owners: | |||||||
Share-based payments | - | - | - | - | - | 95 | 95 |
At 31 March 2010 | 1,632 | 6,498 | 270 | - | - | (4,612) | 3,788 |
Comprehensive income: | |||||||
Profit for the year | - | - | - | - | - | 3,802 | 3,802 |
Revaluation of investments | - | - | - | (10) | - | - | (10) |
Transactions with owners: | |||||||
Share-based payments | - | - | - | - | - | - | - |
At 31 March 2011 | 1,632 | 6,498 | 270 | (10) | - | (810) | 7,580 |
(i) Share premium - amount subscribed for share capital in excess of nominal value, net of directly attributable issue costs.
(ii) Capital redemption reserve - created as a result of a previous share buy-back.
(iii) Fair value reserve - represents cumulative gains or losses on the fair value of available for sale investments recognized in other comprehensive income.
(iv) Special reserve - created following court application for reduction in share capital. This was then released against the deficit recorded in retained earnings as permitted by the court.
(v) Retained earnings - cumulative net gains and losses recognized in the consolidated statement of comprehensive income net of associated share based payment credits.
Notes to the Accounts
1. General information
Prime Focus London plc ("the Company") and its subsidiaries (together "the Group") are technology based creative service providers to the media and entertainment industry.
The Company is a public limited company which is listed on the AIM Market of the London Stock Exchange and is incorporated and domiciled in England (Registration number 1694613). The address of its registered office and principal place of business is 64 Dean Street, London W1D 4QQ.
These financial statements were authorised for issue on 28 September 2011.
2. Segmental Reporting
The Group is organised into operating segments based on the nature of services provided. The information reviewed by the executive directors, who are perceived to fulfill the function of chief operating decision maker for the Group, contains various operating segments however, certain of these operating segments are aggregated into one reportable segment on the basis of the operating segments having similar economic characteristics and one management team is responsible for these combined segments.
The reportable segments of the group are comprised of the following:
·; Content services, post production & animation - providing data, content management and full post production & animation services and facilities to the broadcasting, advertising and film production sectors;
·; VFX - offers a full range of services to film and broadcast including pre-production, pre-visualisation and design, VFX supervision, 3D animation, matte paintings, digital grading and title design.
The accounting policies of the operating segments are the same as those described in the summary of significant accounting policies. The executive directors evaluate performance on the basis of profit or loss before tax.
Year ended 31 March 2011 | Content services, post production & animation | VFX | Total | |
£'000 | £'000 | £'000 | ||
Revenue | 21,867 | 8,741 | 30,608 | |
Inter-segment transactions | - | - | - | |
Depreciation and impairment of property, plant & equipment | (914) | (197) | (1,111) | |
Other income and expenses | (13,375) | (12,212) | (25,587) | |
Profit / (loss) before tax | 7,578 | (3,668) | 3,910 |
Year ended 31 March 2010 (Restated (Note 31)) | Content services & post production | VFX | Total | |
£'000 | £'000 | £'000 | ||
Revenue | 19,046 | 2,466 | 21,512 | |
Inter-segment transactions | (75) | 75 | - | |
Depreciation and impairment of property, plant & equipment | (1,043) | (197) | (1,240) | |
Other income and expenses | (17,189) | (3,630) | (20,819) | |
Loss before tax | 739 | (1,286) | (547) |
Entity wide disclosures
Revenue by geographical markets | |||
2011 | 2010 | ||
£'000 | £'000 | ||
United Kingdom | 24,820 | 16,587 | |
Europe | 29 | 92 | |
Rest of the world | 5,759 | 4,833 | |
30,608 | 21,512 | ||
Non-current assets by geographical market | |||
2011 | 2010 | ||
£'000 | £'000 | ||
United Kingdom | 8,736 | 16,131 |
3. Earnings per share
Basic earnings per share amounts are calculated by dividing the profit or loss attributable to owners of the parent by the weighted average number of shares in issue during the year.
Diluted earnings per share amounts are calculated by dividing the profit attributable to owners of the parent by the weighted average number of shares in issue during the year, adjusted for the effects of potentially dilutive options.
The dilution effect is calculated on the full exercise of all potentially dilutive ordinary share options granted by the Group.
All operations are continuing for the years presented.
2011 | 2010 | |||||
Basic | Potentially dilutive share options |
Diluted |
Basic | Potentially dilutive share options |
Diluted | |
Profit / (Loss) (£000) | 3,802 | 3,802 | (931) | - | (931) | |
Weighted average number of shares (000s) | 32,632 | 348 | 32,980 | 32,632 | 348 | 32,980 |
Earnings per share (pence) | 11.65 | 11.53 | (2.85) | - | (2.82) | |
4. Ultimate controlling party
Prime Focus Limited, a company incorporated in India is the ultimate controlling party.
5. Prior year restatements
Write back off liabilities of companies under administration.
Effect on the financial statements
The effect of above restatements is summarised below:
As previously stated 31 March 2010 £'000 | As restated 31 March 2010 £'000 | Restatement 31 March 2010 £'000 | |
Effect on Statement of Financial Position | |||
Current liabilities | 13,017 | 16,521 | 3,504 |
Retained earnings | (1,108) | (4,612) | (3,504) |
Net effect on equity | (3,504) | ||
Effect on Income Statement | |||
Net exceptional income / charges | (1,657) | 1,847 | (3,504) |
Decrease in result for the year | (3,504) | ||
Effect on Earnings per share | |||
Basic and diluted earnings per share | 7.89 | (2.85) | (10.74) |
There was no cash flow impact as a result of the restatements other than the consequential adjustments arising as a result of the restatement of the comparative Statement of Consolidated Financial Position.
6. Posting of accounts
The annual report and accounts for the year ended 31 Mach 2011 will be posted to shareholders and available on the Company's website, www.primefocusworld.com no later than 30 September 2011.
NOTICE OF ANNUAL GENERAL MEETING
Notice is hereby given that the Annual General Meeting of Prime Focus London PLC (the "Company") will be held at 37 Dean Street, London W1D 4PT on 1 November 2011 at 11.30am for the transaction of the following business:
Ordinary Business
1. | To receive and adopt the Director's Report, the Report of the Remuneration Committee and the Audited Accounts for the year ended 31 March 2011, together with the auditors' report on the Audited Accounts and on the auditable part of the Report of the Remuneration Committee.
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2. | To re-elect Marie Louise Windeler as a Director of the Company in accordance with Articles 82 to 84 of the Company's Articles of Association.
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3. | To re-elect Riv Karan Chadha as a Director of the Company in accordance with Articles 82 to 84 of the Company's Articles of Association.
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4. | To re-appoint Shipleys LLP, Chartered Accountants and Registered Auditors as the Company's auditors to hold office from the conclusion of this meeting until the conclusion of the next meeting at which accounts are laid before the Company.
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5. | To authorise the Directors to fix the remuneration of the auditors.
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Special Business
To consider and, if thought fit, to pass the following Resolutions:
Ordinary Resolutions
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6. | That the Directors be and they are hereby generally and unconditionally authorised in accordance with Section 551 of the Companies Act 2006 (the "Act") to exercise all the powers of the Company to allot, grant options over, offer or otherwise deal with or dispose of equity securities (as defined in Section 560 of the Act) of the Company provided that this authority shall:
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(a) | be limited to:
(i) the allotment of up to 2,500,000 ordinary shares of 5 pence each in the capital of the Company pursuant to the Company's Share Option Plan 2009; and
(ii) the allotment (other than pursuant to paragraph (i) above) of relevant securities of the Company up to an aggregate nominal value of £163,782.65;
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(b) | unless previously revoked or varied by the Company, expire on the date of the next Annual General Meeting of the Company, but so that the Company may any time before the authority shall expire make an offer or agreement which would or might require relevant securities to be allotted after the expiry of such period and the Directors may allot relevant securities in pursuance of such offer or agreement as if the authority conferred hereby had not expired.
This authority is in substitution for all previous authorities conferred upon the directors pursuant to Section 80 of the Companies Act 1985 or Section 551 of the Act, but without prejudice to the allotment of any relevant securities already made or to be made pursuant to such authorities.
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Special Resolution
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7. | That, subject to and conditional upon the passing of Resolution 6 above, in accordance with section 570 of the Act and in substitution for all previous authorities conferred on the Directors pursuant to Section 571 of the Act, the Directors be and they are empowered, pursuant to Section 571 of the Act and in accordance with the Articles of Association of the Company, to allot equity securities (as defined in Section 560 of the Act) for cash pursuant to the authority conferred by Resolution 6 above as if Section 561(1) of the Act did not apply to any such allotment provided that this power shall be limited to: |
(a) | the allotment of up to 2,500,000 ordinary shares of 5 pence each in the capital of the Company pursuant to the Company's Share Option Plan 2009; and
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(b) | the allotment (otherwise than pursuant to sub-paragraph (a) above) of equity securities up to an aggregate nominal amount of £163,782.65.
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and shall expire at the conclusion of the next Annual General Meeting of the Company except that the Company may, before the expiry of such period, make an offer or agreement which would or might require equity securities to be allotted after such expiry and the Directors may allot equity securities in pursuance of such offer or agreement as if the power conferred by this Resolution had not expired.
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By Order of the Board
J Muir for Derringtons Limited Secretary
| 64 Dean Street London W1D 4QQ 28 September 2011 |
Related Shares:
PFO.L