RNS Number:4381Q
CustomVis plc
02 October 2003
Embargoed until 0700 2 October 2003
CustomVis plc
("CustomVis" or "the Group")
MAIDEN PRELIMINARY RESULTS FOR THE PERIOD ENDED 30 JUNE 2003
Introduction
CustomVis, which designs and markets customised surgical laser vision equipment,
is pleased to announce its maiden preliminary results for the period from the date
of incorporation, being 5 December 2002, to 30 June 2003. The Group was admitted
to the Alternative Investment Market in London on 8 July 2003, having raised
#11.5m, before costs, through an institutional placing. As a consequence, the
financial results reported upon in this statement relate to the pre-IPO period.
These funds were raised to enable management to scale up the Group's production,
sales and service capabilities. In the three months since flotation the Group
has primarily focused on the recruitment and training of additional skilled
staff plus the acquisition of equipment and materials required to move closer to
full scale production. In addition, the Group has begun to set up a sales and
service network worldwide.
A number of highly skilled and experienced individuals have already been
recruited who bring a wealth of knowledge in Refractive Laser technology,
specifically in the key areas of science, production, software, service, sales
and marketing. The sales and distribution network is being strengthened and
built up to ensure that we have an order pipeline which keeps ahead of our
production capabilities.
We anticipate the new recruits will make an important contribution and help
ensure we meet our objectives as set out at the time of our flotation.
Financial Results
The Group recorded a loss after tax which amounted to #660,238 for the period
ended 30 June 2003 on sales of #2,848. This equated to a loss of 7.6p per share,
and reflected the early stage nature of this business and the management team's
focus on research and development over this period.
Group net assets at 30 June 2003 were #0.95m. This included intangible assets of
#1.56m and net current assets of #0.63m, which includes cash funds of #0.78.
On 8 July 2003, 12,637,363 Ordinary Shares of 5p each were issued on the
Alternative Investment Market at an issue price of 91p per share. This raised a
total of #11.5 million for the Group before issue costs. Excluding costs of the
IPO, monthly cash spend had reached #230,000 by August 2003. In the current
financial year the cash funds held by the Group at the end of August totalled
#11.18m. This is in line with management expectations.
Given that the current focus of all Group resources is the development and
introduction to the market of new products, the Board does not propose to pay a
dividend.
Overview of Business
Business Progress
As a result of the significant gearing up of production, together with the
recruitment of leading people in the sector, the Board believes the Group is
well positioned to meet its sales and production targets for the first half of
the current financial year.
The TGA (Therapeutic Goods Administration) process resulted in design
improvements to the system and this will result in the delivery of the first
commercial system being made later, but within the year as planned. In
conjunction with the delivery of our first systems, which will operate in
accordance with FDA (Food and Drug Administration) protocols, further clinical
trials will take place during the current calendar year.
There continues to be a substantial interest in acquiring our system and this is
likely to increase following our participation in the American Academy of
Ophthalmology Exhibition in November 2003, the world's largest ophthalmic
conference and exhibition.
Management & Staff
Since flotation, the Group has grown significantly from 36 to 49 people (an
increase of 36%), and we are particularly pleased by the calibre and experience
of our strengthened team, many of whom are globally recognised within our
industry.
Dr Mukesh Jain brings a wealth of knowledge and experience of Refractive Laser
technology and was previously with Nidek, a leading ophthalmic device company
based in Japan. Mukesh was responsible for international sales and marketing of
refractive products as well as clinical issues. He joins as General Manager in
Perth, Western Australia.
Richard Gillroy joins us as a production manager together with several
additional mechanical and electronic engineers. These appointments have been
complemented by the recruitment of additional software specialists to ensure the
Group's laser control systems are completed in the same timescale as the
electromechanical components.
The Group has also recruited two new service specialists. Mr Bill Ryan has
joined as Service Manager, Europe. Bill was previously global service manager
with LaserSight, Florida and has temporarily relocated to Perth, Western
Australia, where he is assisting in building the Laser systems that will be
shipped to Europe later this year. At that time, Bill will again relocate, this
time to Europe to ensure the systems continue to offer optimal performance.
Mr Darrell Taylor joins as Service Engineer based in our office in Australia,
where he will service customers in Asia Pacific and the Far East region. Darrell
joins us from Bausch & Lomb, one of the world's largest manufacturers of
Refractive lasers and as well as excellent technical knowledge he brings many
years of experience in areas such as customer service.
A number of Board appointments were made in the run up to the IPO and CustomVis
will strengthen the Board further as the business develops.
Commenting on the outlook, Bill Colvin, Chairman of CustomVis said:
"Good progress in vital areas such as research, production and sales has been
made since incorporation, with an acceleration of activity since our IPO in July.
The Group now employs 49 people, all of whom are focused on increasing
production of our systems and in the treatment of more eyes.
"The Laser Vision Correction industry continues to show rapid growth in our key
target markets across Europe, the Far East and Australia. The strong demand for
new technology continues to drive interest in our system and CustomVis remains
very well positioned to take full advantage of this demand. We continue to
receive strong endorsements from leading ophthalmic surgeons around the world
and remain confident of making further progress over the coming year and of
meeting our forecasts as set out in the Prospectus at the time of our IPO."
- Ends -
Further information:
CustomVis
Simon Gordon, Managing Director 01382 738 545
Hugh Grant, Finance Director 01382 341 532
Weber Shandwick Square Mile
Susan Ellis or Susanne Walker 0207 067 0700
Collins Stewart
Steve Roberts or James King 0207 523 8000
CUSTOMVIS PLC
GROUP PROFIT AND LOSS ACCOUNT - UNAUDITED
FOR THE PERIOD ENDED 30 JUNE 2003
Notes 30 June 2003
#
Turnover and gross profit
Continuing operations -
Acquisitions 2,848
---------
2,848
Administrative expenses
Continuing operations 23,365
Acquisitions 668,678
---------
(692,043)
Other operating income
Continuing operations -
Acquisitions 23,818
---------
23,818
Operating loss
Continuing operations (23,365)
Acquisitions (642,012)
---------
(665,377)
Interest receivable and similar income 7,768
---------
Loss on ordinary activities before taxation (657,609)
Tax on loss on ordinary activities (2,629)
---------
Loss on ordinary activities after taxation transferred
to reserves (660,238)
=========
Loss per ordinary share
Basic 1 (7.6p)
=========
Diluted 1 (7.6p)
=========
There are no recognised gains or losses other than the profit or loss for the
financial period.
GROUP BALANCE SHEET - UNAUDITED
AS AT 30 JUNE 2003
Notes 30 June 2003
#
Fixed assets
Intangible assets 1,565,278
Tangible assets 100,033
---------
1,665,311
Current assets =========
Debtors 286,545
Cash at bank and in hand 773,458
---------
1,060,003
Creditors: amounts falling due within one year (429,236)
---------
Net current assets 630,767
---------
Net assets less current liabilities 2,296,078
Creditors: amounts falling due after more than one
year (including convertible debt) (1,342,844)
---------
Net assets 953,234
=========
Capital and reserves
Called up share capital 3 1,048,090
Share premium account 546,078
Foreign currency translation reserve 19,304
Profit and loss account (660,238)
---------
Shareholders' funds 4 953,234
=========
The financial statements were approved by the Board on 1 October 2003 and signed
on its behalf by Paul Van Saarloos, Director.
COMPANY BALANCE SHEET - UNAUDITED
AS AT 30 JUNE 2003
Notes 30 June 2003
#
Fixed assets
Investments 2 1,000,316
Current assets
Debtors 1,157,124
Cash at bank and in hand 764,001
---------
1,921,125
Creditors: amounts falling due within one year (5,000)
---------
Net current assets 1,916,125
---------
Net assets less current liabilities 2,916,441
Creditors: amounts falling due within one year
(including convertible debt) 1,342,844
---------
Net assets 1,573,597
=========
Capital and reserves
Called up share capital 3 1,048,090
Share premium account 546,078
Profit and loss account (20,571)
---------
Shareholders' funds 4 1,573,597
=========
The financial statements were approved by the Board on 1 October 2003 and signed
on its behalf by Paul Van Saarloos, Director.
GROUP CASH FLOW STATEMENT - UNAUDITED
FOR THE PERIOD ENDED 30 JUNE 2003
30 June 2003
Notes #
Reconciliation of operating loss to net cash outflow
from operating activities
Operating loss (665,377)
Depreciation 105,537
(Increase) in debtors (252,036)
Increase in creditors 166,799
---------
Net cash outflow from operating activities (645,077)
=========
Cash flow statement
Net cash outflow from operating activities (645,077)
Returns on investments and servicing of finance 5 7,768
Taxation 5 (2,629)
Capital expenditure 5 (70,743)
Acquisitions and disposals 5 122,243
---------
(588,438)
Financing 5 1,361,896
---------
Increase in cash in the period 773,458
=========
Reconciliation of net cash flow to movement in net debt
(Note 6)
Increase in cash in the period 773,458
Cash inflow from issue of loan paper (1,342,844)
---------
Net debt at 30 June 2003 (569,386)
=========
NOTES TO THE FINANCIAL STATEMENTS - UNAUDITED
FOR THE PERIOD ENDED 30 JUNE 2003
1. Loss per Share
Loss for the period attributable to shareholders #(660,238)
=========
Weighted average number of shares in issue 8,666,563
=========
The weighted average number of shares in issue was calculated from date of
incorporation (5 December, 2002) until 30 June 2003. There were only 2
Ordinary Shares of #1 in issue from incorporation up to 17 April 2003. The
weighted average calculation has taken account of the reclassification on
17 April 2003 of the 2 Ordinary Shares of #1 each to 40 Ordinary Shares of
5p each.
Diluted loss per share has been calculated using the same figures as the
basic calculation. No account has been taken of options, as these potential
Ordinary Shares are not considered to be dilutive under the definitions of
the applicable accounting standards.
2. Fixed asset investments - Company
Subsidiary
undertaking Total
# #
Cost and net book value
Additions 1,000,316 1,000,316
--------- ---------
At 30 June 2003 1,000,316 1,000,316
========= =========
The above investment relates entirely to the subsidiary undertaking,
CLVR Pty.Ltd. which was purchased on 17 April 2003.
3. Share capital - Group and Company
30 June 2003
#
Authorised
100,000,000 Ordinary shares of 5p each 5,000,000
=========
Allotted, called up and fully paid
20,961,785 Ordinary shares of 5p each 1,048,090
=========
On 17 April 2003 a share exchange was carried out in respect of the
acquisition of CLVR Pty Ltd and 20,006,322 Ordinary Shares of 5p each were
issued at par value.
On 5 May 2003 924,693 Ordinary Shares of 5p each were issued at a premium of
#0.57 per share in exchange for amounts due by CLVR Pty Ltd totalling
#574,797.
Also on 5 May 2003 30,730 Ordinary Shares of 5p each were issued for cash.
They were issued at a price of 62p per share.
The remainder of the shares relate to the 2 subscriber shares which were
converted from 2 Ordinary Shares of #1 each to 40 Ordinary Shares of
5p each.
4. Reconciliation of movements in shareholders' funds - Company
30 June 2003
#
Loss for the period (20,571)
Net proceeds of equity share issue 1,594,168
---------
Net addition to shareholders' funds 1,573,597
=========
Reconciliation of movements in shareholders' funds - Group
Loss for the period (660,238)
Net proceeds of equity share issue 1,594,168
On translation of assets held in foreign currencies 19,304
---------
Closing shareholders' funds 953,234
=========
5. Gross cash flows - Group
30 June 2003
#
Returns on investments and servicing of finance
Interest received 7,768
========
Taxation
Corporation tax paid (2,629)
========
Capital expenditure
Payments to acquire intangible assets (19,695)
Payments to acquire tangible assets (51,048)
--------
(70,743)
========
Acquisitions and disposals
Cash assets acquired from subsidiary 122,243
========
Financing
Issue of ordinary share capital 19,052
New debenture loan 1,342,844
--------
1,361,896
========
6. Analysis of changes in net debt - Group
Cash flows Closing balance
# #
Cash at bank and in hand 773,458 773,458
--------- ---------
Debt due within one year (1,342,844) (1,342,844)
--------- ---------
Net debt at 30 June 2003 (569,386) (569,386)
========= =========
7. Other Information
The financial information set out in the announcement does not constitute
the Company's statutory accounts for the period ended 30 June 2003, which
will be delivered to the Registrar in due course.
The directors are not recommending payment of a dividend.
This information is provided by RNS
The company news service from the London Stock Exchange
END
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