Half Yearly Report

TP10 VCT plc

Interim Results

The directors of TP10 VCT plc are pleased to announce its Interim results for the six months to 31 August 2013.

For further information please contact Triple Point Investment Management LLP on 020 7201 8989. The Interim report will be available in full at www.triplepoint.co.uk

Unaudited Interim Financial Report - Financial Summary

TP10 VCT plc ("the Company") is a Venture Capital Trust ("VCT"). The Investment Manager is Triple Point Investment Management LLP. The Company was launched in November 2009 and raised £28.6 million (net of expenses) through an offer for subscription which closed on 31 May 2010.

Unaudited Interim Financial Report - Chairman's Statement

I am writing to you to present the unaudited Interim Financial Report for TP10 VCT plc ("the Company") for the 6 months ended 31 August 2013.

Portfolio Construction

We are pleased to report that the Company's funds are 99% invested, in a portfolio of qualifying and non-qualifying unquoted investments. The qualifying investments include companies which generate renewable electricity from roof-mounted solar photovoltaic panels (investments which will benefit from long-term, index linked revenues) and companies which provide cinema digitisation. These investments were selected for their ability to yield high quality, predictable cash flows.

The Company's portfolio of qualifying investments accounts for 86% of its net assets, thus maintaining its VCT qualifying status by satisfying the test of being at least 70% invested in VCT qualifying investments.

More information on the Company's investment portfolio is given in the Investment Manager's Review.

Dividends

On 12 July 2013 the Company paid its second dividend to shareholders of £1 million equal to 3.31p per share. This takes the total paid by way of dividends to shareholders to 6.62p per share.

Net Asset Value

With the portfolio established, loan interest from the investments has exceeded running costs and the Company made a profit of 0.28p per share for the period. At 31 August 2013 the Net Asset Value ("NAV") per share stood at 86.32p per share. Taken together with the dividend of 3.31p per share paid during the period this gives a NAV per share equivalent to 89.63p per share.

Principal Risks

The Board believes that the principal risks facing the Company are:

· investment risk associated with the VCT's portfolio of unquoted investments;

· failure to maintain approval as a qualifying VCT.

The Board believes these risks are manageable and, with the Investment Manager, continues to work to minimise either the likelihood or potential impact of these risks within the scope of the Company's established investment strategy. 

Outlook

The Board is pleased that the Company continues to maintain a diversified portfolio of stable investments, which are designed to provide the Company with the returns it seeks for its shareholders.

If you have any questions or comments, please do not hesitate to telephone Triple Point Investment Management LLP on 020 7201 8989.

Robin Morrison

Chairman

16 October 2013

Unaudited Interim Financial Report - Investment Manager's Review

At 31 August 2013, qualifying investments represented 86% of net assets, ensuring that the Company continues to satisfy the requirement to be 70% invested in qualifying investments.

The overall portfolio comprises investments in 26 small, unquoted companies which operate in four sectors: cinema digitisation; hydro project management; renewable electricity generation from solar PV, anaerobic digestion and landfill gas; and SME lending.

Each of these investments meets Triple Point's investment criteria, with projected revenues generated by businesses with good quality customers and the potential for steady returns. Investments in each sector have been made with the benefit of rigorous selection criteria, including extensive due diligence and expert technical assessment and are subject to continuous stringent review.

Sector Analysis

The unquoted investment portfolio can be analysed as follows:

VCT Sector Review

Solar PV

The Company's investment portfolio includes 13 holdings in businesses generating renewable electricity from residential solar PV panels. The solar businesses derive their revenues from the receipt of index-linked Feed-in Tariffs (FiTs). The performance of each of these businesses is closely monitored by Triple Point. We are pleased to report that the solar investment portfolio continues to perform in line with expectations.

Cinema Digitisation

The businesses in the portfolio that own, maintain and operate digital equipment in cinemas in the UK, Germany, Austria, Italy and Ireland continue to perform in line with their objectives. Digital cinema projection conversion is paid for under the globally recognised Virtual Print Fee model, through which film studios pay for the cost of the deployment over a number of years. The majority of the revenues come from the six major investment grade Hollywood Studios. Film booking rates are significantly ahead of base line projections.

Anaerobic Digestion

Funds are invested in two renewable energy generating companies which both operate 1 MW anaerobic digestion plants. The plants use agricultural feed stocks to generate electricity for sale to a utility company. The electricity generation also attracts Feed-in Tariffs which provide RPI linked revenues for a 20 year period from commissioning. The high rainfall and resultant poor maize harvest in 2012 contributed to underperformance of the plants over the last year. Recent indicators are that this year's harvest will be significantly better.

The Company is withdrawing from its investment in Drumnahare Biogas Limited as its Anaerobic Digestion project did not proceed.

Landfill Gas

The Company was able to take advantage of the opportunity to fund businesses seeking to generate renewable electricity from landfill gas from sites owned by public bodies in Northern Ireland, which gives access to long term, reliable cash flows generated from strong counterparties through Government enshrined legislation (ROCs), the sale of electricity to a utility company and the potential for sale of electricity to local authorities. Craigahulliar Energy Ltd's plant started to generate electricity for export to the National Grid in December 2012 and Aeris Power Ltd's first project is under construction.

Hydro Project Management

Highland Hydro Services Limited manages the planning and environmental impact studies for a portfolio of new small scale hydro electric power installations in the Scottish Highlands. All applications are proceeding according to plan with the first scheme having received planning consent in February and the second in March 2013.

SME Lending

The Company has a £3.3 million investment in Broadpoint Limited, a finance company which provides short and medium term funding to businesses in the telecoms, finance, cinema and renewable energy sectors.

Outlook

We continue to work closely with all the management teams of all the portfolio businesses to ensure that that they continue to meet the Company's investment strategy and objectives for shareholders.

If you have any questions, please do not hesitate to call us on 020 7201 8990.

Claire Ainsworth

Managing Partner

for Triple Point Investment Management LLP

16 October 2013

Unaudited Interim Financial Report - Investment Portfolio

Unaudited Interim Financial Report - Directors' Responsibility Statement

The Directors have chosen to prepare the Interim Financial Report for the Company in accordance with International Financial Reporting Standards ("IFRS").

In preparing the Interim Financial Report for the 6 month period to 31 August 2013, the Directors confirm that to the best of their knowledge:

a) the Interim Financial Report has been prepared in accordance with International Accounting Standard IAS34, "Interim Financial Reporting" issued by the International Accounting Standards Board;

b) the Interim Financial Report includes a fair review of important events during the period and their effect on the Financial Statements and a description of principal risks and uncertainties for the remainder of the accounting period;

c) the Interim Financial Report gives a true and fair view in accordance with IFRS of the assets, liabilities, financial position and of the results of the Company for the period and complies with IFRS and the Companies Act 2006;

d) the Interim Financial Report includes a fair review of related party transactions and changes therein. There are no related party transactions; and

e) The Directors believe that the Company has sufficient financial resources to manage its business risks in the current uncertain economic outlook.

The Directors have reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future. Thus they continue to adopt the going concern basis of accounting in preparing the Financial Statements.

This Interim Financial Report has not been audited or reviewed by the auditors.

Robin Morrison

Chairman

16 October 2013

Unaudited Statement of Comprehensive Income

The total column of this statement is the Statement of Comprehensive Income of the Company prepared in accordance with International Financial Reporting Standards (IFRS). The supplementary revenue return and capital columns have been prepared in accordance with the Association of Investment Companies Statement of Recommended Practice (AIC SORP).

All revenue and capital items in the above statement derive from continuing operations.

This Statement of Comprehensive Income includes all recognised gains and losses.

The accompanying notes are an integral part of these statements.

Unaudited Balance Sheet

The accompanying notes are an integral part of this statement.

Unaudited Statement of Changes in Shareholders' Equity

The capital reserve represents the proportion of investment management fees charged against capital and realised/unrealised gains or losses on the disposal/revaluation of investments. The capital reserve is not distributable. The special distributable reserve was created on court cancellation of the share premium account. The revenue and special distributable reserves are distributable by way of dividend.

The accompanying notes are an integral part of this statement.

Unaudited Statement of Cash Flows

The accompanying notes are an integral part of this statement.

Notes to the Unaudited Interim Financial Report

1. Corporate information

The Unaudited Interim Financial Report of the Company for the six months ended 31 August 2013 was authorised for issue in accordance with a resolution of the Directors on 16 October 2013.

The Company is listed on the London Stock Exchange.

TP10 VCT plc is incorporated and domiciled in Great Britain. The address of TP10 VCT plc's registered office, which is also its principal place of business, is 4-5 Grosvenor Place, London, SW1X 7HJ.

TP10 VCT plc's Unaudited Interim Financial Report is presented in Pounds Sterling (£) which is also the functional currency of the Company, rounded to the nearest thousand.

The financial information set out in this report does not constitute statutory accounts as defined in S434 of the Companies Act 2006.

The principal activity of the Company is investment. The Company's investment strategy is to offer combined exposure to cash or cash based funds and venture capital investments focused on companies with contractual revenues from financially secure counterparties.

2. Basis of preparation and accounting policies

Basis of preparation

The Unaudited Interim Financial Report of the Company for the 6 months ended 31 August 2013 has been prepared in accordance with IAS 34: 'Interim Financial Reporting'. It does not include all of the information required for full Financial Statements and should be read in conjunction with the Financial Statements for the year ended 28 February 2013.

Estimates

The preparation of the Unaudited Interim Financial Report requires management to make judgements, estimates and assumptions that reflect the application of accounting policies and the reported amounts of assets and liabilities, income and expenditure. However, actual results may differ from these estimates.

3. Segmental reporting

The Company only has one class of business, being investment activity. All revenues and assets are generated and held in the UK.

4. Investment income

5. Investment management fees

Triple Point Investment Management LLP provides investment management and administration services to the Company under an Investment Management Agreement effective 29 January 2010. The agreement provides for an administration and investment management fee of 2.50% per annum of net assets calculated and payable quarterly in arrear and runs for a period of 5 years and may be terminated at any time thereafter by not less than twelve months' notice given by either party. Should notice of termination be given, the Investment Manager would perform its duties under the Investment Management Agreement and receive its management fee during the notice period.

6. Directors' remuneration

7. Taxation

Capital gains and losses are exempt from corporation tax due to the Company's status as a Venture Capital Trust.

8. Earnings per share

The earnings per share is based on a profit from ordinary activities after tax of £81,000 and on the weighted average number of shares in issue during the period of 30,175,568. The table below shows the weighted average number of shares used in the above calculation.

9. Cash and cash equivalents

Cash and cash equivalents comprise deposits with The Royal Bank of Scotland plc.

10. Share capital

On 23 August 2013 50,000 Ordinary Shares were purchased by the Company for cancellation.

11. Net asset value per share

The calculation of net asset value per share is based on net assets of £26,007,000 divided by the 30,128,014 shares in issue.

12. Commitments and contingencies

The Company has no contingent liabilities or commitments.

13. Relationship with Investment Manager

During the period, TPIM received £336,616 which has been expensed, for providing management and administrative services to the Company. At 31 August 2013 £168,426 was owing to TPIM.

14. Related party transactions

There have been no related party transactions during the period.

15 . Post balance sheet events

There were no post balance sheet events.

16. Dividend

On 12 July 2013 the Company paid a dividend of £1 million equal to 3.31p per share.