26th Jan 2006 10:52
Henderson Morley PLC26 January 2006 FOR IMMEDIATE RELEASE 26 JANUARY 2006 HENDERSON MORLEY PLC (AIM) INTERIM RESULTS FOR THE SIX MONTHS TO 31 OCTOBER 2005 CHAIRMAN'S STATEMENT Financial Summary The Board of Henderson Morley plc ("Henderson Morley" or "the Company"), the AIMlisted Drug Discovery Company, announces its Interim results for the six monthsto 31 October 2005. Turnover for the period was £1,081 (2004: £3,120) which,after expenses and R & D costs showed a pre-tax loss of £382,976 (2004:(£391,331)). Cash at Bank as at 31 October 2005 was £355,271. No dividend isproposed. Issue of Equity During the period the Company issued 50 million new Ordinary shares through aPlacing to an investor at a price of 0.5p per share, raising £250,000 for theCompany which will be used as working capital. The total number of shares inissue is now 383,928,632. Business Review Research continues in the anti-viral and vaccine pipeline. The technology knownas PREPS and L-particles, which was originally developed by the UK Government'sMedical Research Council Virology unit in Glasgow, is owned by the Company.Following independent research in the USA, new and potentially valuableapplications of this technology have been discovered in the multi-billion dollarorgan transplant rejection market. A new patent has been filed for the new useof PREPS and L-particles as immunomodulators, with potential application as atreatment for diseases of an overactive immune system such as RheumatoidArthritis, acute and chronic organ rejection and connective tissue disorders. Asa result, the Company has retained a US based biotechnology licensing consultantwith a view to exploiting this potential application. The Company now has 25 granted patents in respect of its ICVT technologyplatform with a significant number of other patents filed and under examinationby the patent authorities. Update on Croma Trial The Boards of both Croma and Henderson Morley are working together to explorecertain options which may include moving the trial to a new location. I hope tobe able to provide shareholders with news in this respect as soon as possible. Dr Daniel Kirrcherr, Business Development consultant, is continuing discussionswith potential partners for the dermal application of ICVT. We will keepshareholders informed of progress in this respect. --ENDS-- Copies of this announcement will be available free of charge to the public atthe Company's registered office at Metropolitan House, 2 Salisbury Road,Moseley, Birmingham, B13 8JS and at the offices of Brewin Dolphin SecuritiesLtd, 34 Lisbon Street, Leeds LS1 4LX for 14 days. Enquiries: HENDERSON MORLEY PLC Tel: 0121 442 4600Andrew Knight, Chairman BREWIN DOLPHIN SECURITIES LTD Tel: 0113 241 0126Neil Baldwin H-B CORPORATE Tel: 020 7538 1166Jon Levinson BISHOPSGATE COMMUNICATIONS LTD Tel: 020 7430 1600Maxine Barnes Mobile 07860 489571Dominic Barretto HENDERSON MORLEY PLC INTERIM RESULTS FOR THE SIX MONTHS ENDED 31 OCTOBER 2005 CONSOLIDATED PROFIT AND LOSS ACCOUNT 6 months to 6 months to Year Ended 31 October 31 October 30 April 2005 2004 2005 (Unaudited) (Unaudited) (Audited) £ £ £ TURNOVER 1,081 3,120 5,735 Cost of sales (763) (2,516) (17,385) --------- --------- --------GROSS PROFIT 318 604 (11,650) Administrative expenses (200,903) (198,629) (548,493)Research and development (186,375) (184,966) (281,195)Amortisation of goodwill (7,370) (7,370) (14,740) --------- --------- --------OPERATING LOSS (394,330) (390,361) (856,078) Net Interest received/(paid) 11,354 (970) (7,233) --------- --------- --------LOSS ON ORDINARY ACTIVITIES BEFORETAXATION (382,976) (391,331) (848,845) Tax on loss on ordinary activities 30,772 28,218 67,487 --------- --------- --------RETAINED LOSS FOR THE PERIOD (352,204) (363,113) (781,358) ========= ========= ======== Loss per Ordinary ShareBasic and Diluted (0.11)p (0.14)p (0.27)p HENDERSON MORLEY PLC INTERIM RESULTS FOR THE SIX MONTHS ENDED 31 OCTOBER 2005 CONSOLIDATED BALANCE SHEET As at As at As At 31 October 31 October 30 April 2005 2004 2005 (Unaudited) (Unaudited) (Audited) £ £ £ FIXED ASSETSIntangible assets 111,486 134,194 121,512Tangible assets 45,381 52,246 42,510 156,867 186,440 164,022 CURRENT ASSETSStocks 2,532 14,013 2,831Debtors 88,459 194,935 128,173Called up Share Capital not paid 242,500 - -Cash at bank 355,271 476,600 688,725 688,762 685,548 819,729 CREDITORS: Amounts falling duewithin one year (75,629) (78,439) (104,047) TOTAL ASSETS LESS CURRENTLIABILITIES 770,000 793,549 879,704 =========== =========== =========== CAPITAL AND RESERVESCalled up Share Capital 479,911 358,320 417,411Share Premium Account 3,913,641 3,288,333 3,733,641Profit and Loss Account (3,623,552) (2,853,104) (3,271,348) --------- ---------- ---------EQUITY SHAREHOLDERS FUNDS 770,000 793,549 879,704 ========= ========== ========= HENDERSON MORLEY PLC INTERIM RESULTS FOR THE SIX MONTHS ENDED 31 OCTOBER 2005 SUMMARISED CONSOLIDATED CASH FLOWSTATEMENT 6 months to 6 months to Year Ended 31 October 31 October 30 April 2005 2004 2005 (Unaudited) (Unaudited) (Audited) £ £ £ Net cash outflow from operatingactivities (400,001) (434,029) (797,420)(Note 1) Returns on investments and servicingof finance 11,354 (970) 7,233 Taxation 67,487 - 60,280 Capital expenditure (8,784) 15,394 15,394 FinancingIssue of ordinary share capital - 843,209 1,334,676Loans and Hire Purchase - (15,566) - --------- --------- --------Increase/(Decrease) in cash (329,944) 408,038 620,163 ========= ========= ======== Reconciliation of net cash flow tomovement in net debt Increase/(Decrease) in cash (329,944) 408,038 620,163Cash outflow from finance leases - 15,566 19,638 --- -------- --------Movement in net debt in the period (329,944) 423,604 639,801Net funds at beginning of period 685,215 45,414 45,414 --------- --------- --------Net funds at end of period 355,271 469,018 685,215 ========= ========= ======== Note1 Reconciliation of operating lossto cash outflow from operatingactivities.Operating Loss (394,330) (390,361) (856,078)Depreciation and amortisation charges 15,939 17,101 39,520Loss on sale of fixed assets - 5,105 5,105Decrease in stocks 299 1,000 12,182(Increase)/decrease in debtors 2,999 (69,320) (23,570)Increase/(decrease) in creditors (24,908) 2,446 25,421 --------- --------- --------Net cash outflow from operatingactivities (400,001) (434,029) (797,420) ========= ========= ======== NOTES TO THE INTERIM RESULTS 1.The interim financial statements have been prepared on the basis of theaccounting policies set out in the audited statutory accounts for the year ended30 April 2005 2. The calculation of loss per share is based on the loss after tax for theperiod and on 335,025,589 (30 April 2005 -287,155,624 and 31 October 2004-263,240,084) ordinary shares, being the weighted average number of shares inissue during the period. 3. On 28 October 2005 the Company issued 50,000,000 ordinary shares of 0.125p at0.5p per share for cash. The proceeds of this issue were received in November2005. 4. This statement does not constitute statutory accounts as defined in section240 of the Companies Act 1985. The statutory accounts for the period to 30 April2005, upon which the auditors issued an unqualified report, have been filed withthe Registrar of Companies. 5.This interim report is being sent to all shareholders and is available to thepublic from the Company's registered office at Metropolitan House, 2 SalisburyRoad, Moseley, Birmingham B13 8JS. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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