21st Sep 2007 07:01
Nature Technology Solutions Limited21 September 2007 Nature Technology Solutions Limited Unaudited Interim Results for the 6 months to 30 June 2007 Chairman's Statement The Group profit for the six months ended 30th June 2007 was £33,339. This is asatisfactory improvement over the profit of £30,656 in the same period lastyear, especially in the light of a smaller contribution from joint ventures andof our having had to absorb increased staffing costs necessary for ourdevelopment plans. The lower first half revenues in the joint ventures should be satisfactorilycompensated by increased revenues in the second six months and from new directbusiness in Norway which has recently been agreed. As yet we have no actualcontracts for our offshore treatment units (which we believe have the potentialto be a substantial profit contributor), but discussions relating to theiroffshore deployment are continuing. During the same period our Norwegian operations successfully collected andtreated wastewaters from within the Arctic Circle. In addition to the benefit ofthe profit earned, we expect the logistical experience gained to be helpful inthe conduct of future operations. Our 40% owned onshore treatment company inNorway, SAR Treatment AS ("SART"), successfully moved back into profit in thefirst half and we expect further improvement in the current period. Meanwhile wehave agreed terms for the purchase by the Group of our co-shareholders 40%interest in Northern Treatment AS, the joint company formed in 2005 to developthe offshore treatment business. In Gibraltar our port wastewater management and oil recovery business operatedby 50% owned Slop Oil Reception and Treatment Ltd ("SORT") have continued todevelop, with its 5 collection vessels, and storage facilities enlarged to 6000tonnes. We have also recently obtained both the newly required EU IPPC licenceand ISO 9001 certification, which positions the company at the very top ofinternational industry standards. Of note recently is a significant contract tosalvage oil offshore from a vessel wrecked on 11th August off Europa Point,Gibraltar, which will contribute towards what should be considerably higherrevenues and profit in the second half of 2007. Additional shareholder funds of £284,000 net were subscribed in January 2007and, as already announced, Nigel Sandy joined the Board of Nature as anon-executive director at the same time. He came to us with considerableexperience in the waste industry, including the CEO role at Waste RecyclingLimited whilst that company was quoted on the FTSE 250. We are now pleased towelcome him into a semi-executive role with special reference to our Groupactivities in Norway, and with the possibility of a senior supervisory positionif operations in the UK develop as we are hoping. All AIM listed companies are now required under 'Rule 26' of the London StockExchange to have a website carrying certain prescribed information on thecompany. Our investor website www.investnature.com is now fully compliant andcarries our Stock Exchange press ("RNS") releases, details of share capital,substantial shareholders and background to our Directors, together with theoriginal prospectus issued in 2002 when we entered the oil industry sector. Thewebsite also links to our technical website in Norway which describes our Groupcapabilities and contact points. In Gibraltar the port services we provide canbe accessed under www.gibsort.com. We hope shareholders will take advantage ofthis website facility which we aim to keep updated with the latest news on theGroup's development. Richard EldridgeChairman 21st September 2007 CONSOLIDATED PROFIT AND LOSS ACCOUNT FOR THE HALF YEAR TO 30TH JUNE 2007 Unaudited Unaudited Audited Six months Six months Year to to to 30 June 2007 30 June 2006 31 December 2006 £ £ £ TURNOVER Continuing operations 531,097 111,408 264,036 Joint ventures 435,959 516,456 927,205 ----------- ----------- ----------- 967,056 627,864 1,191,241 OPERATING COSTS Continuing operations (260,272) (99,198) (225,854) Joint ventures (235,094) (187,249) (431,820) ----------- ----------- -----------OPERATING PROFIT 471,690 341,417 533,567 Interest receivable 528 4,177 7,535Administrativecosts (365,068) (237,403) (473,738)Bank interest andcharges (12,237) (9,403) (20,622)Depreciation andgoodwill impairmentcost (72,323) (68,006) (151,110) ----------- ----------- -----------Profit / (Loss) onordinary activitiesbefore taxation 22,590 30,782 (104,368) Minority interest 10,749 - 21,354Taxation on profit/ (loss) onordinary activities - (126) 9,716 ----------- ----------- -----------Profit / (Loss) forthe financialperiod 33,339 30,656 (73,298) =========== =========== ===========Basic profit /(loss) per share 0.00007 0.00008 (0.00017) NATURE TECHNOLOGY SOLUTIONS LIMITED CONSOLIDATED BALANCE SHEET AT 30TH JUNE 2007 Unaudited Unaudited Audited As at As at As at 30 June 2007 30 June 2006 31 December 2006 £ £ £FIXED ASSETSIntangible assets 148,988 137,000 148,429Tangible assets 511,653 283,080 434,450Investments 1,799,846 1,750,023 1,715,856 ----------- ----------- ----------- 2,460,487 2,170,103 2,298,735 CURRENT ASSETSStock - 40,215 -Debtors 209,887 267,443 316,279Balance at bank 556,556 445,907 211,902 ----------- ----------- ----------- 766,443 753,565 528,181 CREDITORS:AMOUNTS FALLING DUEWITHIN ONE YEAR (322,754) (292,908) (325,896) ----------- ----------- -----------NET CURRENT ASSETS 443,689 460,657 202,285 CREDITORS: AMOUNTS FALLING DUEAFTER ONE YEAR: (287,246) (187,826) (194,400)Minority interest (1,402) (44,511) (12,151) ----------- ----------- -----------NET ASSETS 2,615,528 2,398,423 2,294,469 =========== =========== =========== CAPITAL AND RESERVESCalled up sharecapital 46,859 43,959 43,959Share premium 1,981,016 1,696,196 1,696,196Capital Reserve 2,864,130 2,864,130 2,864,130Profit and lossaccount (2,276,477) (2,205,862) (2,309,816) ----------- ----------- -----------Shareholders funds 2,615,528 2,398,423 2,294,469 =========== =========== =========== NATURE TECHNOLOGY SOLUTIONS LIMITED CONSOLIDATED CASH FLOW STATEMENT FOR THE HALF YEAR TO 30TH JUNE 2007 Unaudited Unaudited Audited half year half year year to to to 30 June 2007 30 June 2006 31 December 2006 £ £ £ Net cash flow from operating activities:Operatingprofit/(loss) 45,048 35,882 (60,171)Depreciation 72,323 2,927 13,027(Increase)/Decreasein debtors 106,392 (15,755) (64,591)(Increase)/decreasein stock - (40,215) -(Decrease)/increasein creditors 89,704 156,887 196,449Decrease/(Increase)in minorityinterests (10,749) 9,900 (22,460) ----------- ----------- ----------- 302,718 149,626 62,254 Return on investments and servicing offinance:Interest received 528 4,177 7,535Interest paid (12,237) (9,403) (20,662)Increase ininvestments (83,990) (181,742) (147,575) Financing:Issuing of ordinaryshare capital 287,720 215,481 215,481 Capital expenditure:Acquisition ofintangible fixedassets (559) (38,441) (54,032)Acquisition oftangible fixedassets (149,526) (257,873) (415,181) ----------- ----------- -----------Decrease in cashbalances 344,654 (118,175) (352,180) =========== =========== =========== Movement in cashbalances: Balance at bank 1stJanuary 2007 211,902 564,082 564,082 Net cashinflow/(outflow) 344,654 (118,175) (352,180) ----------- ----------- -----------Balance at 30thJune 2007 556,556 445,907 211,902 =========== =========== =========== Notes to the accounts 1. The calculation of profit per share has been based on the profit for the period and the average 483,440,051 Ordinary Shares in issue throughout the period. 2. These unaudited results have been prepared on the basis of the accounting policies adopted in the accounts to 31 December 2006. 3. The interim report to 30 June 2007 was approved by the directors on 21stSeptember 2007. The report will be posted to shareholders and will be available to the public, free of charge, from the offices of Seymour Pierce Limited, 20 Old Bailey, London, EC4M 7EN This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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