30th Jun 2011 07:00
JSJS DESIGNS PLC
("JSJS" or "the Company")
INTERIM RESULTS FOR THE SIX MONTHS ENDED 31 MARCH 2011
JSJS (AIM: JSJS), specialists in the design, development and manufacture of home automation systems to enable consumers to remotely operate everyday household appliances, today announces its interim results for the period from 1 October 2010 to 31 March 2011.
Key Points
- Three year licensing agreement with Electrium Sales Ltd, a subsidiary of Siemens AG;
- Further interest stemming from Protocol LightWaveRF™; and
- Group loss of £358,867 (2010: Loss £348,882).
I am pleased to report that your company has made good progress in the first six months of the year and up to the date of this announcement.
The announcement in early May of the long awaited signing of a three year licensing agreement with Electrium Sales Ltd ("Electrium"), a subsidiary of Siemens AG, will see Electrium resell the JSJS product range, under the Siemens brand, exclusively into the Kingfisher Group of companies.
In addition to the agreement with Electrium, there is further interest stemming from other buyers in the applications of our Protocol LightWaveRF™. It is encouraging to note that there are niche industries, which would welcome the protocol to control devices with the level of sophistication that we can deliver through sequencing using remote computers and Smartphones.
Development of new smart technology products continues unabated and we look forward to updating the market on these items in due course.
We have, for the first time, attended several trade and consumer exhibitions and the interest in the product range, coupled with the energy efficiencies of the individual products through our LightWaveRF™ technology, gives me much confidence in the future roll out.
In the Company's 2010 Final Results, the Board stated that JSJS had engaged its broker, SVS Securities Plc ("SVS"), to undertake a placing. Throughout the Company's marketing roadshow, there has been a high level of interest shown in a proposed placing, however, not at the desired premium level to the market price per share that the Company was seeking. It is the Board's opinion that the current share price does not reflect the Company's value and they are not currently minded to issue further equity at a level which would dilute all existing shareholder interests. The Board is now considering alternative methods of funding for the purpose of further product development and working capital requirements.
We have also recently moved our offices to The Birmingham Science Park Aston, Faraday Wharf, Holt Street, Birmingham B7 4BB and have built room sets to demonstrate how products actually work. Accordingly, our Registered Office has been changed to this address.
Financial Review
The financial statements have been prepared in accordance with international financial reporting standards (IFRS) as adopted by the European Union. The financial statements include the results of JSJS Designs (Europe) Limited and the results of the Company from 1 October 2010 to 31 March 2011. The Group loss from operations for the period was £358,867 (2010: Loss £348,882) and the basic loss per share for the period amounted to 0.142p. (2010: loss per share 0.16p).
Outlook
The Company has many sales avenues to explore and the challenge will be to convert them into firm contracts as soon as possible. The agreement with Electrium is highly significant in the corporate history of JSJS and we expect to see the financial benefits starting to come through in the second half of this year.
Mike Lord
Chairman
CONSOLIDATED INCOME STATEMENT | ||||||||
For the Six Months Ended 31 March 2011 | ||||||||
Note | 6 Months 31/03/11 (Unaudited) | 6 Months 31/03/10 (Unaudited) | Year Ended 30/09/10 (Audited) | |||||
£ | £ | £ | ||||||
TURNOVER | 2,116,416 | - | 443,854 | |||||
Cost of sales | (2,045,019) | - | (440,328) | |||||
GROSS PROFIT | 71,397 | - | 3,526 | |||||
Other income | - | 75,000 | 75,000 | |||||
71,397 | 75,000 | 78,526 | ||||||
Administrative expenses | (424,929) | (423,888) | (923,550) | |||||
LOSS FROM OPERATIONS | (353,532) | (348,888) | (845,024) | |||||
Net Finance (Expense)/Revenue | (5,335) | 6 | (8,099) | |||||
LOSS BEFORE INCOME TAX | (358,867) | (348,882) | (853,123) | |||||
Income tax credit | - | - | 27,518 | |||||
RETAINED LOSS FOR THE PERIOD | (358,867) | (348,882) | (825,605) | |||||
Basic loss per share | 1 | (0.00142) | (0.00165) | (0.00365) | ||||
Diluted loss per share | 1 | (0.00142) | (0.00165) | (0.00365) | ||||
CONSOLIDATED BALANCE SHEET | 6 Months 31/03/11 (Unaudited) | 6 Months 31/03/10 (Unaudited) | Year Ended 30/09/10 (Audited) | |||||
As at 31 March 2011 | ||||||||
£ | £ | £ | ||||||
ASSETS | ||||||||
Non-current assets | ||||||||
Intangible assets | - | - | - | |||||
Property, plant and equipment | 8,750 | 11,000 | 11,375 | |||||
8,750 | 11,000 | 11,375 | ||||||
Current assets | ||||||||
Inventories | 73,474 | - | - | |||||
Trade and other receivables | 71,827 | 19,088 | 465,698 | |||||
Cash and cash equivalents | 260,650 | 1,663 | 139,927 | |||||
405,951 | 20,751 | 605,625 | ||||||
Total assets | 414,701 | 31,751 | 617,000 | |||||
EQUITY AND LIABILITIES | ||||||||
Equity | ||||||||
Issued share capital | 255,233 | 216,533 | 252,533 | |||||
Unissued share capital | - | 26,667 | 50,000 | |||||
Share premium account | 1,191,567 | 575,267 | 1,149,267 | |||||
Reverse acquisition reserve | (100,616) | (100,616) | (100,616) | |||||
Retained losses | (1,999,601) | (1,164,011) | (1,640,735) | |||||
Total equity | (653,417) | (446,160) | (289,551) | |||||
Current liabilities | ||||||||
Trade and other payables | 1,068,118 | 390,482 | 806,551 | |||||
Short term borrowings | - | 100,000 | 100,000 | |||||
Corporation tax | - | (12,571) | - | |||||
Total liabilities | 1,068,118 | 477,911 | 906,551 | |||||
Total equities and liabilities | 414,701 | 31,751 | 617,000 | |||||
CONSOLIDATED CASH FLOW STATEMENT | 6 Months 31/03/11 (Unaudited) | 6 Months 31/03/10 (Unaudited) | Year Ended 30/09/10 (Audited) | |||||
For the Six Months Ended 31 March 2011 | ||||||||
£ | £ | £ | ||||||
Cash flow from operating activities | ||||||||
Profit/(Loss) before taxation | (353,532) | (348,882) | (920,025) | |||||
Adjusted for: | ||||||||
Finance (Expense)/Revenue | (6) | - | ||||||
Depreciation | 2,625 | 2,250 | 4,875 | |||||
(Increase)/Decrease in inventories | (73,474) | - | - | |||||
(Increase)/Decrease in trade and other receivables | 393,871 | 19,735 | (426,875) | |||||
Increase/(Decrease) in trade and other payables | 261,569 | 149,002 | 565,070 | |||||
EFG Loan Repayment | (100,000) | - | - | |||||
Corporation Tax | - | (12,571) | - | |||||
Unissued share capital | (50,000) | 6,667 | 30,000 | |||||
Cash absorbed by operations | 81,059 | (183,805) | (746,955) | |||||
Finance costs | (5,348) | - | (8,131) | |||||
Other Operational Income | 6 | 75,000 | ||||||
Income Tax Set-Off/(Paid) | - | - | 27,518 | |||||
Net cash outflow from operating activities | 75,711 | (183,799) | (652,568) | |||||
Cash flows from investing activities | ||||||||
Purchase of property, plant and equipment | - | - | (3,000) | |||||
Finance Revenue | 12 | - | 33 | |||||
Net cash outflow from investing activities | 12 | - | (2,967) | |||||
Cash flows from financing activities | ||||||||
Proceeds from issue of shares | 45,000 | 180,000 | 790,000 | |||||
Expenses of share issues | - | - | - | |||||
Net cash used in financing activities | 45,000 | 180,000 | 790,000 | |||||
Net decrease in cash and cash equivalents | 120,723 | (3,799) | 134,465 | |||||
Cash and cash equivalents at start of period | 139,927 | 5,462 | 5,462 | |||||
Cash and cash equivalents at end of period | 260,650 | 1,663 | 139,927 | |||||
Notes to the financial information
1. The basic loss per share is calculated by dividing the loss for the financial period attributable to shareholders by the weighted average number of shares in issue.
6 Months 31/03/11 (Unaudited) | 6 Months 31/03/10 (Unaudited) | Year Ended 30/09/10 (Audited) | ||||||
The weighted average number of shares were; | ||||||||
Weighted average number of ordinary shares | 253,311,721 | 211,789,318 | 225,752,511 | |||||
Effect of outstanding options shares | 208,955 | 40,816 | 726,790 | |||||
Deferred consideration to be settled in shares | - | - | - | |||||
Adjusted weighted average number of ordinary shares | 253,520,677 | 211,830,134 | 226,479,301 | |||||
Basic loss per share | (0.00142) | (0.00165) | (0.00365) | |||||
Diluted loss per share | (0.00142) | (0.00165) | (0.00365) | |||||
2. While the financial information included in this announcement has been computed in accordance with International Financial Reporting Standards (IFRS), this announcement does not itself contain sufficient information to comply with IFRS. The full financial statements of the Company will be prepared in accordance with IFRS, International Accounting Standards and their interpretations issued or adopted by the International Accounting Standards Board as adopted for use in the European Union.
3. The financial information shown for the six month period ended 31 March 2011 and the six month period ended 31 March 2010 has not been audited or reviewed by the auditors, or extracted from audited information. The financial statement does not constitute statutory accounts within the meaning of Section 240 of the Companies Act 1985.
4. The directors have not declared a dividend for the period ended 31 March 2011.
This statement was approved by the Board of Directors on 29 June 2011. Copies of this statement will be available free of charge from the Company's Registered Office at The Birmingham Science Park Aston, Faraday Wharf, Holt Street, Birmingham B7 4BB and the Company's website.
The directors of JSJS Designs plc accept responsibility for this announcement.
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