29th Jun 2005 17:24
Flightstore Group PLC29 June 2005 29 June 2005 Flightstore Group Plc ("Flightstore" or "the company") Preliminary statement of results for the year ended 31 December 2004 The Board of Flightstore Group Plc ("Flightstore" or "the company"), theUK-based onboard interactive shopping and marketing service for long haulinternational airlines, announces preliminary results for the year ended 31December 2004. Chairman's statement: In the past year, Flightstore has failed to achieve a number of objectives thatwere set out at the time of the flotation in late 2003. As a result, turnoverfor the period was £1,341 and losses before tax were £1.02 million. Group Strategy When we brought Flightstore to AIM at the end of 2003, the intention was todevelop a business that used specialist proprietary software to allow airlinepassengers to transact business with the terrestrial world while in flight.Regrettably, under the executive management responsible for implementing thisplan, Flightstore has failed to achieve a number of the financial andoperational objectives that were set at the time of the flotation. Thedifficulties being faced by the global airline industry and a flat advertisingmarket were also contributory factors. Following the appointment of Andy Mitchell and his strategic review of thebusiness, Flightstore has pursued a number of acquisitions in the digitalmulti-media market. It is disappointing that none of these negotiations came tofruition. Future Plans In view of the failure to complete any of the potential acquisitions which havebeen negotiated at great length, the Board have taken the decision thatFlightstore offer itself as being available for the reverse into the Company ofa business seeking an AIM listing. Any candidate will be considered on theirmerits irrespective of sector. David SebireChairman29 June 2005 Consolidated profit and loss accountFor the period ended 31 December 2004 Note 2004 Unaudited 2003 £ Audited £ Turnover 1,341 274,112 Cost of Sales (79,825) (175,616) ________ ________ Gross (loss)/profit (79,484) 98,496 Administrative expenses (973,118) (1,130,861) ________ ________ Operating loss (1,051,602) (1,032,365) Interest receivable 31,480 12,273Interest payable - (84) ________ ________ Loss on ordinary activities before taxation (1,020,122) (1,020,176) Tax on loss on ordinary activities - 69,792 ________ ________ Retained loss for the year (1,020,122) (950,384) ======== ======== Earnings per share Basic 3 (1.02)p (1.17)p ====== ====== Fully diluted 3 (1.02)p (1.17)p ====== ====== The Group has no recognised gains or losses during the current and previous yearother than the above results. All of the results above arose from continuingoperations during the current and previous year. Consolidated balance sheetAs at 31 December 2004 Note 2004 2003 Unaudited Audited £ £ £ £ Fixed assetsTangible assets 12,731 16,209 _______ _______ 12,731 16,209 Current assetsDebtors 56,311 67,158Cash at bank and in hand 605,724 1,765,490 _______ _______ 662,035 1,832,648 Creditors:Amounts falling duewithin one year (316,871) (470,840) _______ ________Net current assets/(liabilities) 345,164 1,361,808 _______ _______ Total net assets 357,895 1,378,017 ====== ======= Capital and reservesCalled up share capital 1,003,764 1,003,764Share premium account 1,408,599 1,408,599Merger reserve 2,272,123 2,272,123Investment in own shares (100,000) (100,000)Profit and loss account (4,226,591) (3,206,469) _______ _______ Equity shareholders' funds 4 357,895 1,378,017 ====== ======= Consolidated cash flow statementFor the year ended 31 December 2004 Note 2004 2003 Unaudited Audited £ £ Net cash outflow from operating activities 5 (1,182,453) (796,919) Returns on investment and servicing of finance 31,480 12,189 Taxation - 69,792 Capital expenditure and financial investment (8,793) (6,468) _______ _______ Cash outflow before financing (1,159,766) (721,406) Financing - 1,508,599 _______ _______ Increase/(Decrease) in cash in the year (1,159,766) 787,193 Reconciliation of net cash flow tomovement in net debt £ £ Increase/(Decrease) in cash in the year (1,159,766) 787,193 Net debt at 1 January 2003 1,765,490 978,297 ______ ______ Net debt at 31 December 2004 605,724 1,765,490 Notes to the financial statements 1. The financial information set out in this announcement does not constitute the Company's statutory accounts for the years ended 31 December 2004 and 2003. The financial information for the year ended 31 December 2004 has been prepared using accounting policies which are consistent with those adopted in the audited accounts for the year ended 31 December 2003. The financial information for the year ended 31 December 2003 is derived from the statutory accounts of Flightstore Group Plc for that year which have been delivered to the Registrar of Companies. The auditors have reported on the 2003 accounts; their report was unqualified and did not contain a statement under section 237 (2) or (3) of the Companies Act 1985. The auditors have yet to sign their report on the 2004 accounts, it is expected that a disclaimer will be made with regard to the going concern basis and the limitation in evidence available to support this. The statutory accounts for the year ended 31 December 2004 will be finalised on the basis of the financial information presented by the Directors in this preliminary announcement and will be delivered to the Registrar of Companies following the Company's Annual General Meeting. The financial information set out in this announcement was approved by the Board of Directors on 29 June 2005. 2. The Directors do not recommend the payment of a dividend. 3. The calculation of earnings per share is calculated on 100,376,460, ordinary shares (2003: 80,923,035) being the weighted average number of shares in issue during the year and on the profit after tax. The calculation of the diluted earnings per share is calculated on 103,182,213 ordinary shares (2003: 81,080,074) being the weighted average number of shares in issue adjusted for the effects of dilutive potential shares. In compliance with Financial Reporting Standard 14: Earnings per share, the weighted average number of ordinary shares in issue is calculated net of the number of own shares held within the group by FG Employee Trustee Company Limited, being 9,500,000 ordinary shares as at 31 December 2004. The diluted earnings per share can not be lower than the basic earnings per share when a loss is incurred. 4. Reconciliation of movement in shareholders' funds Group Group Unaudited Audited 2004 2003 £ £ Loss for the year (1,020,122) (950,384)New share capital subscribed - 2,000,000Equity share issue expenses - (391,401)Investment in own shares - (100,000) _______ _______ Net (reduction in)/addition to shareholders' funds (1,020,122) 558,215Opening shareholders' funds 1,378,017 819,802 _______ _______ Closing shareholders' funds 357,895 1,378,017 _______ _______ 5. Reconciliation of operating loss to net cash flow from operating activities 2004 2003 Unaudited Audited £ £ Operating loss (1,051,602) (1,032,365)Depreciation 12,271 8,187Loss on disposal of fixed assets - 871Decrease/(increase) in debtors 10,847 2,342(Decrease)/increase in creditors (153,969) 224,046 _______ _______ Net cash outflow from operating activities (1,182,453) (796,919) Copies of this announcement are available for collection from the offices ofVertex Law, 39 Kings Hill Avenue, Kings Hill, West Malling, Kent ME19 4SD. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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