24th Sep 2018 07:00
24 September 2018
Interim Results
New Trend Lifestyle Group Plc
("NTLG" or the "Company")
Unaudited Interim results for the six months ended 30 June 2018
New Trend Lifestyle Group Plc (AIM: NTLG), the Singapore-based Feng Shui products and services group, announces its unaudited interim results for the six months to 30 June 2018.
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The Directors of the issuer accept responsibility for this announcement. This announcement contains inside information which is disclosed in accordance with the Market Abuse Regulation which came into effect on 3 July 2016.
For further information please contact:
New Trend Lifestyle Group Plc +44 (0) 7830 182501 Gregory Collier, Non-Executive Chairman
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SPARK Advisory Partners Limited (NOMAD) | +44 (0) 20 3368 3551 |
Mark Brady/Neil Baldwin
SI Capital Limited (Broker) +44 (0) 1483 413500 | |
Nick Emerson |
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Or visit our Website: www.newtrendlifestylegroup.com |
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Chairman's Statement
Results for the period
Revenue in the period increased significantly against the corresponding period last year at SGD 2,543k (1H-2017: SGD 2,017k), as the sales and marketing initiatives implemented since the downturn have started to take effect. The trading conditions in Singapore remain challenging, however, the Board is hopeful that the improvement in sales seen in the first half will continue throughout the remainder of the year.
The total comprehensive loss of for the period was SGD1,060k (1H-2017: SGD1,106k loss). Overheads increased in the year as a result of increased headcount and commissions to support the sales growth. The Board continues to keep tight control of our costs, which are reviewed on an ongoing basis.
Cash at bank at the period end was lower than at the same date last year at SGD 659k (1H-2017: SGD1, 401k). The Board continue to try and manage our cash resources as best we can and continue, wherever possible to save cost, without compromising our ability to develop the business and increase revenue.
The Group disposed of Le Queenz Pte. Ltd (a wholly owned subsidiary of New Trend Lifestyle Pte. Ltd) in the period and is now focussed solely on its core activities of providing feng shui products and services.
Update on acquisition strategy
The Board continue with their efforts to source an acquisition as previously stated. To date, a suitable target has not been identified, however, the search is ongoing, and we will update shareholders with progress as and when appropriate.
Outlook
The Board continues to adopt a cautious view on the short-term outlook and are encouraged by the improved revenue in the first half against the same period in the prior year. It is difficult to ascertain whether this improvement will continue, however, the Board are hopeful that the full year results will be an improvement on the prior year, albeit still making a loss for the year.
Gregory Collier
Chairman
New Trend Lifestyle Group Plc
Consolidated Comprehensive Income Statement
For the period to 30 June 2018
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Notes | Six months to 30 June 2018 Unaudited | Six months to 30 June 2017 Unaudited | Year ended 31 December 2017 Audited |
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| SGD'000 | SGD'000 | SGD'000 |
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Revenue |
| 2,543 | 2,017 | 4,898 |
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Cost of Sales |
| (730) | (554) | (1,445) |
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| ────── | ────── | ────── |
Gross Profit |
| 1,813 | 1,463 | 3,453 |
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| ────── | ────── | ────── |
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Administrative expenses |
| (3,011) | (2,864) | (5,620) |
Other income |
| 246 | 355 | 867 |
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| ────── | ────── | ────── |
Operating Loss | 4 | (952) | (1,046) | (1,300) |
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Finance expense |
| (109) | (60) | (259) |
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| ────── | ────── | ────── |
Loss before tax |
| (1,061) | (1,106) | (1,559) |
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Income tax charges |
| - | - | - |
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| ────── | ────── | ────── |
Loss for the year |
| (1,061) | (1,106) | (1,559) |
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| ═════ | ═════ | ═════ |
Other comprehensive income/(loss) for the period
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| - | - | - |
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| ────── | ────── | ────── |
Total comprehensive loss for the Period |
| (1,061) | (1,106) | (1,559) |
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| ═════ | ═════ | ═════ |
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Attributable to: |
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- Owners of the parent |
| (1,061) | (1,106) | (1,559) |
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| ═════ | ═════ | ═════ |
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Loss per share |
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From continuing operations:- |
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Basic and diluted loss per share | 6 | (0.008) | (0.009) | (0.012) |
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New Trend Lifestyle Group Plc
Consolidated Statement of Financial Position as at 30 June 2018
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Notes | As at 30 June 2018 Unaudited | As at 30 June 2017 Unaudited | As at 31 December 2017 Audited |
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| SGD'000 | SGD'000 | SGD'000 |
Assets |
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Non-current assets |
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Property, plant and equipment |
| 1,254 | 1,490 | 1,396 |
Investment property |
| 1,931 | 1,987 | 1,959 |
Intangible assets |
| 11 | 36 | 23 |
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| ────── | ────── | ────── |
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| 3,196 | 3,513 | 3,378 |
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| ────── | ────── | ────── |
Current assets |
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Cash and cash equivalents | 8 | 659 | 1,401 | 2,119 |
Trade and other receivables |
| 929 | 559 | 501 |
Inventories |
| 717 | 652 | 689 |
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| ────── | ────── | ────── |
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| 2,305 | 2,612 | 3,309 |
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| ────── | ────── | ────── |
Total assets |
| 5,501 | 6,125 | 6,687 |
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| ═════ | ═════ | ═════ |
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Equity and liabilities |
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Capital and reserves |
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Issued capital | 7 | 243 | 243 | 243 |
Share premium |
| 2,221 | 2,221 | 2,221 |
Other reserves |
| 303 | 306 | 303 |
Group reorganisation reserve |
| 2,845 | 2,845 | 2,845 |
Currency translation reserve |
| (61) | (159) | (61) |
Accumulated surplus |
| (7,698) | (6,184) | (6,637) |
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| ────── | ────── | ────── |
Total equity |
| (2,147) | (729) | (1,086) |
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| ────── | ────── | ────── |
Non-current Liabilities |
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Restoration costs |
| - | - | 48 |
Borrowings |
| - | - | 2,753 |
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| ────── | ────── | ────── |
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| - | - | 2,801 |
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| ────── | ────── | ────── |
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Current liabilities |
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Trade and other payables |
| 4,889 | 3,743 | 3,570 |
Short term borrowings |
| 2,759 | 3,111 | 1,357 |
Restoration costs |
| - | - | 45 |
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| ────── | ────── | ────── |
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| 7,648 | 6,854 | 4,972 |
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| ────── | ────── | ────── |
Total equity and liabilities |
| 5,501 | 6,125 | 6,687 |
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| ═════ | ═════ | ═════ |
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New Trend Lifestyle Group Plc
Consolidated Statement of Cash Flows
For the six months to 30 June 2018
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| 6 Months to | 6 Months to | Year to |
| 30 June 2018 | 30 June 2017 | 31 Dec 2017 | |
Notes | Unaudited | Unaudited | Audited | |
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| SGD'000 | SGD'000 | SGD'000 |
Cash flows from operating activities |
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Loss before income tax |
| (1,061) | (1,106) | (1,559) |
Adjustments for: |
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Depreciation and amortisation expense |
| 172 | 187 | 272 |
Loss on disposal of fixed assets |
| - | - | - |
Interest expense |
| 109 | 61 | 259 |
Foreign exchange differences |
| - | - | 196 |
Movement in reserves |
| - | 100 | - |
Goods in Transit |
| - | 18 | - |
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| ────── | ────── | ────── |
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| (780) | (740) | (832) |
Changes in working capital:- |
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Inventories |
| (28) | 31 | (6) |
Trade and other receivables |
| (428) | (213) | (155) |
Trade and other payables |
| 1,598 | 1,432 | 946 |
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| ────── | ────── | ────── |
Cash consumed in operations |
| 362 | 510 | (47) |
Income tax paid |
| - | - | - |
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| ────── | ────── | ────── |
Net cash consumed in operating activities |
| 362 | 510 | (47) |
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| ────── | ────── | ────── |
Cash flows from investing activities |
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Purchase of plant and equipment |
| (26) | (24) | (24) |
Proceeds from disposal of PPE |
| - | - | 59 |
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| ────── | ────── | ────── |
Net cash consumed in investing activities |
| (26) | (24) | 35 |
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| ────── | ────── | ────── |
Cash flows from financing activities |
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(Repayment) of bank loans |
| (1,687) | (1,414) | - |
Interest paid |
| (109) | (61) | (259) |
Net proceeds from share issue |
| - | - | - |
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| ────── | ────── | ────── |
Net cash from/(consumed in) financing activities |
| (1,796) | (1,475) | (259) |
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| ────── | ────── | ────── |
Net change in cash and cash equivalents |
| (1,460) | (989) | (271) |
Cash and cash equivalents at beginning of year |
| 2,119 | 2,390 | 2,390 |
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| ────── | ────── | ────── |
Cash and cash equivalents at end of year |
| 659 | 1,401 | 2,119 |
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New Trend Lifestyle Group Plc
Consolidated statement of changes in equity
For six months to 30 June 2018
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Share capital |
Share premium |
Retained Profits | Other reserves |
Group reorganisation reserve |
Currency translation reserve |
Total |
| SGD'000 | SGD'000 | SGD'000 | SGD'000 | SGD'000 | SGD'000 | SGD'000 |
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Balance at 1 January 2017 | 243 | 2,221 | (5,078) | 305 | 2,845 | (259) | 277 |
| ────── | ────── | ────── | ────── | ────── | ────── | ────── |
Loss for the period | - | - | (1,106) | - | - | - | (1,105) |
Convertible loan notes | - | - | - | - | - | - | - |
Currency translation | - | - | - | - | - | 99 | 99 |
| ────── | ────── | ────── | ────── | ────── | ────── | ────── |
Balance at 30 June 2017 | 243 | 2,221 | (6,184) | 305 | 2,845 | (159) | (729) |
| ────── | ────── | ────── | ────── | ────── | ────── | ────── |
Loss for the period | - | - | (453) | - | - | - | (453) |
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Currency translation | - | - | - | - | - | 98 | 98 |
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Convertible Loan note | - | - | - | (2) | - | - | (2) |
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Balance at 31 December 2017 | 243 | 2,221 | (6,637) | 303 | 2,845 | (61) | (1,086) |
| ────── | ────── | ────── | ────── | ────── | ────── | ────── |
Loss for the period | - | - | (1,061) | - | - | - | (1,061) |
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Balance at 30 June 2018 | 243 | 2,221 | (7,698) | 303 | 2,845 | (61) | (2,147) |
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New Trend Lifestyle Group Plc
Notes to the Interim Financial Information
1. General Information
New Trend Lifestyle Group Plc ("NTLG" or "Group") is a public limited company incorporated in England and Wales with company number 8000104 and is quoted on the AIM market of the London Stock Exchange Plc.
2. Basis of Preparation
This interim report, which incorporates the financial information of the Company, has been prepared using the historical cost convention, on a going concern basis and in accordance with International Financial Reporting Standards ("IFRS") as adopted by the European Union, using accounting policies which are consistent with those set out in the financial statements for the year ended 31 December 2017.
Taxes
Taxes on income in the interim periods are accrued using the tax rate that would be applicable to expected total annual earnings.
Standards and Interpretations adopted with no material effect on financial statements
There are no IFRS or IFRIC interpretations that are effective for the first time in this financial period that would be expected to have a material impact on the Group.
There are no other IFRS or IFRIC interpretations that are not yet effective that would be expected to have material impact on the Group.
3. Segmental Analysis
Segmental reporting
In the opinion of the Directors the Group has one class of business, being the provider of Feng Shui products and services in Singapore and mainland China.
The Group's primary reporting format is determined by the geographical segment according to the location of its establishments. There are currently two geographic reporting segments: Singapore and China.
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| 6 months to 30 June 2018 |
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| Singapore | China and HK |
UK | Total | |
| Unaudited | Unaudited | Unaudited | Unaudited | |
| SGD'000 | SGD'000 | SGD'000 | SGD'000 | |
Income Statement |
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Revenue | 2,543 | - | - | 2,543 | |
Other income | 246 | - | - | 246 | |
Direct and operating costs | (3,607) | - | (243) | (3,850) | |
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Group loss before tax | (818) | - | (243) | (1,061) | |
Assets and Liabilities |
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Segment Assets | 5,491 | - | 10 | 5,501 | |
Segment Liabilities | (7,331) | - | (317) | (7,648) | |
| (1,840) | - | (307) | (2,147) | |
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| 6 months to 30 June 2017 |
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| Singapore | China and HK |
UK | Total | |
| Unaudited | Unaudited | Unaudited | Unaudited | |
| SGD'000 | SGD'000 | SGD'000 | SGD'000 | |
Income Statement |
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Revenue | 2,017 | - | - | 2,017 | |
Other income | 331 | 23 | 1 | 355 | |
Direct and operating costs | (3,248) | (10) | (220) | (3,478) | |
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Group profit/(loss) before tax | (900) | 13 | (219) | (1,106) | |
Assets and Liabilities |
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Segment Assets | 5,920 | 32 | 173 | 6,125 | |
Segment Liabilities | (6,554) | (15) | (285) | (6,854) | |
| (634) | 17 | (112) | (729) | |
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| Year to 31 December 2017 |
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| Singapore | China and HK |
UK | Total | |
| Audited | Audited | Audited | Audited | |
| SGD'000 | SGD'000 | SGD'000 | SGD'000 | |
Income Statement |
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Revenue | 4,898 | - | - | 4,898 | |
Other income | 866 | - | 1 | 867 | |
Direct and operating costs | (6,947) | - | (377) | (7,324) | |
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Group profit/(loss) before tax | (1,183) | - | (376) | (1,559) | |
Assets and Liabilities |
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Segment Assets | 6,657 | - | 30 | 6,687 | |
Segment Liabilities | (7,428) | - | (345) | (7,773) | |
| (771) | - | (315) | (1,086) | |
4. Operating loss for the period is stated after charging
| 6 Months to 30 June 2018 Unaudited | 6 Months to 30 June 2017 Unaudited | Year to 31 December 2017 Audited |
| SGD'000 | SGD'000 | SGD'Õ000 |
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Depreciation | 172 | 187 | 272 |
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5. DirectorsÕ emoluments
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6 Months to 30 June 2018 Unaudited |
6 Months to 30 June 2017 Unaudited |
Year to 31 December 2017 Audited |
| NTLG SGD'000 | Total SGD'000 | NTL SGD'000 |
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Hillary Phang Song Hua | 283 | 329 | 617 |
Ajay Kumar Rajpal | 44 | 64 | 121 |
Gregory Collier | 14 | 13 | 15 |
Leung Chi Chiu | 12 | 11 | 10 |
Leung Bo Ye Nancy | - | 9 | 10 |
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6. Loss per share
| 6 Months to 30 June 2018 Unaudited | 6 Months to 30 June 2017 Unaudited | Year to 31 December 2017 Audited |
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Loss per ordinary share Ð SGD |
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Basic | (0.008) | (0.011) | (0.012) |
Diluted | (0.008) | (0.011) | (0.012) |
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Earnings per share has been calculated on the net basis on the loss after tax of SGD1,061,000 (31 December 2017 Ð loss SGD1,559,000; 30 June 2017 - loss SGD1,106,000) using the weighted average number of ordinary shares in issue of 125,000,000 (31 December 2017 Ð 125,000,000; 30 June 2017 Ð 125,000,000)
The weighted average number of ordinary shares in issue if fully diluted is 125,000,000 (31 December 2017 Ð 125,000,000; 30 June 2017 Ð 125,000,000).
7. Called up Share Capital
The issued share capital as at 30 June 2018 was 125,000,000 Ordinary Shares of 0.1p each.
8. Cash and cash equivalents
| As at 30 June 2018 Unaudited | As at 30 June 2017 Unaudited | As at 31 December 2017 Audited |
| SGD'000 | SGD'000 | SGD'000 |
Cash and bank balance | 659 | 1,401 | 2,119 |
Fixed deposits | - | - | - |
| ────── | ────── | ────── |
Cash and bank balances as presented in the statement of financial position |
659 |
1,401 |
2,119 |
Less: Pledge fixed deposits | - | - | - |
| ────── | ────── | ────── |
Cash and cash equivalents as presented in the statement of cash flow | 659 | 1,401 |
2,119 |
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9. Events subsequent to 30 June 2018
50,000,000 new ordinary shares of 0.1p each have been issued on 19 July 2018 to Zue Zuen Enterprise (ZZG) as part of a partial payment of debt owed to ZZG. The balance owing to ZZG after the issue will now be deferred by 18 months, at which time ZZG can either agree a payment plan with NTLSG or discuss the issue of further new ordinary shares.
10. The unaudited results for period ended 30 June 2018 do not constitute statutory accounts within the meaning of Section 435 of the Companies Act 2006. The comparative figures for the year ended 31 December 2017 for NTLG extracted from the audited financial statements which contained an unqualified audit report and did not contain statements under Sections 498 to 502 of the Companies Act 2006.
11. This interim financial statement will be, in accordance with the AIM Rules for Companies, available shortly on the Company's website at www.newtrendlifestylegroup.com.
Related Shares:
NTLG.L