LMS CAPITAL PLC

Earnings Release • Mar 31, 2022

National Storage Mechanism | Additional information

Lombard Capital PLC - Half-year report and Trading Update

PR Newswire

London, March 31

31 March 2022

LOMBARD CAPITAL PLC

(‘Lombard’ or the ‘Company’)

Unaudited Interim Results for the Six Months Ended 31 December 2021

Trading Update

The Directors provide Shareholders with the unaudited interim results for the six months to 31 December 2021 and a trading update for the quarter to 31 March 2022.

Chairman’s Statement

During the 6 months to 31 December 2021, the Company incurred a loss of £601,269 principally due to finance and administration costs.

As a result of the ongoing loss, the Company continues to be dependent upon its ability to raise funds through directors’ loans, sale of assets, the issue of further bonds with a longer maturity profile, shares and conversion of warrants in order to meet operational costs and liabilities.  During the period under review, the Directors took a number of steps in this regard, including:

1. The sale of Gaskell House, the Company’s main asset, a waste and recycling property, for £2,075,000 plus VAT of £415,000 resulting in cash generation of £1,600,000;
2. Agreement with bond holders, as announced in December 2021, to extend the due date for repayment to 31 December 2027. This relieves the company’s pressure on its cash liquidity position; and
3. In October 2021, the granting of an extension to  the exercise date of existing warrants to 30 September 2024. This extension enables the Company to continue to provide a mechanism for an equity-based capital injection should one be required in the future.

Outside of the period under review, as announced on 18 January 2022, the discussions with SBS Group in respect of a possible acquisition by SBS Group of trade and assets are on-going and the Directors will update the market as soon as it is in a position to do so.  There have been no further material events, transactions or developments in the first quarter of 2022.  As at the date of this announcement, the Company has sufficient cash reserves to be able to meet creditor payments as they fall due.

The Directors and their advisers continue to explore opportunities to re-finance the Company and secure sufficient funds to place the company on a firm footing going forward.

The directors of Lombard Capital Plc accept responsibility for this announcement.

For further information please contact:

Brent Fitzpatrick

Tel:  07718 883813

Condensed Consolidated Statement of Comprehensive Income

Six months ended 31 December 2021

		Unaudited		Unaudited		Audited
		31-Dec-21		30-Sep-21		30-Jun-21
		£		£		£
Income
Consultancy fees		-		-		-
Investment income		36,393		18,197		70,396
		36,393		18,197		70,396
Expenditure
Direct costs		(161,582)		(19,234)		(159,516)
Administration costs		(234,514)		(101,427)		(421,378)
Loan interest		(241,566)		(120,049)		(520,425)
		(637,662)		(240,710)		(1,101,319)
Loss before tax		(601,269)		(222,513)		(1,030,923)
Corporation tax		-		-		-
Loss after tax		(601,269)		(222,513)		(1,030,923)
Loss on disposal		(114,922)		-		-
investment change in market value		-		-		-
Investment impairment		-		-		(1,173,230)
Investment revaluation reserve		-		-		-
Loss / profit for the period		(716,191)		(222,513)		(2,204,153)

Condensed Consolidated Statement of Financial Position

As at 31 December 2021

		Unaudited		Unaudited		Audited
		31-Dec-21		30-Sep-21		30-Jun-21
		£		£		£
Fixed assets
Investments		42,751		2,167,625		2,113,215
Current assets		3,508,677		1,998,764		2,183,595
Creditors		(5,839,473)		(5,960,757)		(5,868,665)
Total assets		(2,288,045)		(1,794,368)		(1,571,855)
Capital and reserves
Ordinary shares		14,810		14,810		14,810
Deferred shares		189,897		189,897		189,897
Share premium		2,237,456		2,237,456		2,237,456
Share option reserve		80,300		80,300		80,300
Investment revaluation reserve		30,435		30,435		30,435
Retained earnings : b/f		(4,124,753)		(4,124,753)		(2,652,602)
Retained earnings : current period		(716,191)		(222,513)		(1,318,559)
Non-controlling interest						(153,592)
		(2,288,046)		(1,794,368)		(1,571,855)

Notes to the Consolidated Interim Financial Information

Six months ended 31 December 2021

1.      Basis of preparation

The interim financial information for the six months ended 31 December 2021 is unaudited and does not constitute statutory accounts as defined in Section 434 of Companies Act 2006. The financial information for the fifteen months ended 30 June 2021 is extracted from the audited statutory accounts which have been delivered to the Registrar of Companies. The audit report on those accounts was qualified and did contain a statement under Section 498 (3) of Companies Act 2006. Those final statements can be downloaded from the company’s website.

The interim financial information for the six months ended 31 December 2021 has been prepared on the basis of the accounting policies set out in the full annual financial statements of the company for the 15 months ended 30 June 2021. This interim financial information has not been reviewed by the company auditors.

2.      Earnings per share

The earnings per share is calculated by dividing the loss attributable to the owners of the company by the weighted average number of ordinary shares in issue during the period.

The weighted average number of shares in issue at 31 December 2021 was 14,809,784 (30 June 2021 was 14,809,707).

The loss per share for the period was 4.83 pence per share.