RUA LIFE SCIENCES PLC

Interim / Quarterly Report • Jun 25, 2025

National Storage Mechanism | Additional information

RNS Number : 2627O

RUA Life Sciences PLC

25 June 2025

25 June 2025

RUA Life Sciences plc

("RUA Life Sciences", the "Company" or the "Group")

Interim Results

RUA Life Sciences, the holding company of a group of medical device businesses focused on the exploitation of the world's leading long-term implantable biostable polymer (Elast-EonTM), today announces its unaudited second interim results for the twelve months ended 31 March 2025

Highlights:

·      Break even achieved with £1k post tax profit (FY2024, £1,440k loss)

·      Revenue increased 88% to £4,113k (FY2024: £2,191k), 29% before the consolidation of ABISS revenue from acquisition on 6 September 2024

·      Strong Gross profit margin of 77% (FY2024: 81%)

·      Strategic purchase of Abiss - £985k of net assets purchased for £68k

·      Cash burn over the twelve-month period significantly reduced

·      Cash balance £3,567k (31 March 2024: £3,931k)  

Geoff Berg , Chairman of  RUA Life Sciences , commented:

"Compared to other industries, growing a medical device business can be frustratingly slow due to the necessary regulatory requirements; however, the past 12 months have been exceptional, with a doubling in the scale of the business. The new business opportunities being pursued are equally exciting and, if successful, will add further to the growing high-quality revenues."

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the UK version of the EU Market Abuse Regulation (2014/596), which is part of UK law by virtue of the European Union (Withdrawal) Act 2018, as amended and supplemented from time to time.

For further information contact:

RUA Life Sciences                                                                                Tel: +44 (0)1294 317073  

Geoffrey Berg, Non-Executive Chairman                                                

Bill Brown, Chief Executive                                                                   

Lachlan Smith, Group Chief Financial Officer

Cavendish Capital Markets Limited

(Nominated Adviser and Broker)                                                              Tel: +44 (0)20 7220 0500

Giles Balleny/Isaac Hooper (Corporate Finance)                         

Jamie Anderson (Broking)

Michael Johnson (Sales)

About RUA Life Sciences

RUA Life Sciences plc is the ultimate parent company of the Group, whose principal activities comprise exploiting the value of its IP & know-how, medical device contract manufacturing and development of medical devices.

CHAIRMAN'S STATEMENT

I am pleased to present the second interim statement covering the 12 month period to 31 March 2025. As previously announced to shareholders, the Company extended its reporting period to 30 September 2025, and the full 18 month period report and accounts will be published during January 2026. These interim accounts do, however, cover a year's trading at RUA and, compared to the previous year-end results, demonstrate the substantial progress made during the year.

The focus of the business over the past twelve months has been to increase the size and scale of our medical device and component manufacturing business whilst keeping a tight control over costs. Growing a medical device business in the short term is not straightforward as customer decisions and timelines are driven by strict regulatory considerations rather than shorter term financial objectives. Although frustrating compared to other industries, the compensation tends to be the attractive margins achievable and the longer term nature of supply contracts.

Against this general industry background, the results are encouraging.

Revenue

In the year to 31 March 2025, Group revenues grew by 88% from £2,191k to £4,113k, achieving much of our 2-3 year objective to double revenues within the period. All of the revenue-generating business units have contributed to this growth, with Biomaterials growing 18% from £496k to £587k, the Medical Device and Components business increasing 110% from £1,679k to £3,526k. Of this growth, £550k (33%) was contributed by the UK Contract Manufacture business. On 6 September 2024, the Group acquired the business of ABISS France, and in the period from the acquisition to 31 March 2025, contributed further revenue of £1,296k.

Gross Profit

Over the period, gross profits increased by 79% from £1,776k to £3,172k. The Gross Margin, however, fell from 81% to 77% over the period. This reduction is partly due to the Biomaterials business, on which gross margins remain at over 94%, being diluted by the faster-growing contract manufacturing business. The margins were also depressed by the integration of ABISS Group. The underlying margin in both the Biomaterials and UK Contract manufacture business increased during the period, but the Gross Margin recognised at ABISS during the period was a lower 68% reflecting on consolidation the fair value of work in progress held on the date of acquisition. The normal gross margin at ABISS has historically been around 75% and is expected to return to those levels in the medium term.

Other Income

Other income is represented in the main by the bargain purchase gain on the acquisition of ABISS. Having concluded the fair value calculation of the assets and liabilities of ABISS, the gain amounts to £917k. Of this gain £322k reflects the recognition of the work in progress, the attributed value of which had the resultant depressing impact on gross margin recognised on consolidation.

Costs

A key objective is to control the costs within the business. Over the period, administration costs increased by 10% to £4,161. This increase is represented by the overheads within the acquired ABISS business of £757k and savings made within the UK business as a result of an organisational restructure enabling higher levels of activity and efficiency.

Break-even for the period

As a result of tight cost control, growth in revenues and the initial benefits of the ABISS acquisition, a small post-tax profit of £1k was achieved compared to a loss of £1,440k in the comparative 12 month period.

Cash

Over the 12 months to March, the business saw consolidated cash balances reduce from £3.9m to £3.6m, representing cash consumption of £0.3m. This reduced level of cash burn demonstrates improved cost control, and management is committed to further reducing cash burn over the remaining six months of the financial period to September 2025.

Acquisition of ABISS

On acquisition, RUA paid £68k for the entire issued share capital of ABISS (France), together with a 60% interest in ABISS (Poland), a distributor of ABISS-manufactured medical devices. The (preliminary) fair value of the identified net assets on acquisition has been adjusted to £985k, resulting in a bargain purchase gain of £917k.

ABISS is the legal manufacturer of pelvic floor repair devices under CE Mark and a subcontract manufacturer of the same devices for a US manufacturer. ABISS was purchased with a short-term order backlog, which was fulfilled in the period. However overall, inventory levels at ABISS's customer had been increased to levels higher than required due to the supply chain risk as a result of the status of the former parent of ABISS. There will be a period of reduced orders as this excess inventory is worked through the system. However, ABISS is not anticipated to be a drag on the Group during this period.

There are structural changes in the competitive landscape within the European pelvic floor device market, driven by two of the market's major players. One has withdrawn entirely from the European market, while another has transferred its product portfolio to a business with no current European presence. The structural impact is believed to affect around 70% of an estimated market of more than €25 million. These products will still require to be sourced by hospitals. ABISS 's customers should benefit from this opportunity, but ABISS is also seeking to expand its distribution networks for its own product range. ABISS has manufacturing capacity to supply a significantly larger market share, and as an indication of the operational gearing within the business, it has historically achieved a 30% net margin on revenues of over €3 million.

Business review

Since the equity fund raise in December 2023, significant progress has been made by the business in its objectives of growing the contract manufacturing business and controlling costs. The progress and potential have been accelerated through the purchase of ABISS and deepening relationships with major customers allowing a shorter pathway to profitability. Over the same period, little of the progress made by the Company has been reflected in the share price, and indeed it has not progressed from the heavily discounted price of the fund raise.

The business had previously been pursuing a strategy of developing its own devices to bring to market, however, the ability to exploit these business areas was prohibited by the quantity of capital and the cost of that capital. The strategy was therefore switched to focus on the biomaterials and contract manufacturing part of the business.

We believe that the historical investment in both grafts and heart valve material will result in revenues to the group through a combination of licensing income and device/component manufacturing revenues. It is however counterproductive to have market expectations based on the potential to exploit IP at a time when the Company is marketing and negotiating potential contracts. Rather than provide a commentary of developments, we will focus on reporting the outcomes of deals once completed.

Focus for growth

RUA has been profitable on an occasional monthly basis over the period and is much closer to our objectives of being profitable on a sustainable basis. The opportunities for growth identified and being actively pursued are:

·      Biomaterials

o  Continuation of organic growth from existing licensees.

o  Additional growth opportunities from signing new license agreements in new fields of use.

·      Medical Devices and Components

o  Increase the customer base for Contract Manufacture development projects, leading to long-term supply contracts.

o  Deepen the relationship with existing customers by supplying more of their supply chain needs for current products.

o  Introduce existing customers to RUA IP and technology to help develop next-generation devices.

o  Increase market penetration of ABISS-manufactured devices through both existing and new sales channels.

·      Structural Heart and Vascular

o  Increase IP and royalty revenue from licensing RUA-developed technology (graft and heart valve).

As mentioned at the beginning of my report, compared to other industries, growing a medical device business can be frustratingly slow due to the necessary regulatory requirements; however, the past 12 months have been exceptional, with a doubling in the scale of the business. The new business opportunities being pursued are equally exciting and, if successful, will add further to the growing high-quality revenues.

Geoff Berg, Chairman

24 June 2025

CONDENSED INTERIM CONSOLIDATED STATEMENT OF PROFIT OR LOSS

				Unaudited		Audited
	Note			Twelve months to 31 Mar 2025 GB£000		Twelve months to 31 Mar 2024 GB£000
Revenue	3			4,113		2,191
Cost of sales				(941)		(415)
Gross profit				3,172		1,776
Other income	4			969		79
Administrative expenses				(4,161)		(3,792)
Operating Profit / (loss)				(20)		(1,937)
Net finance income / (expense)				10		(83)
Loss before taxation				(10)		(2,020)
Taxation received / (charge)				11		580
Profit / (Loss) for the period				1		(1,440)
Other comprehensive income:
Currency translation differences				-		-
Total comprehensive income for the period				1		(1,440)
Total comprehensive income for the period is attributable to:
Equity holders of the parent				6		(1,440)
Non-controlling interests				(5)		-
				1		(1,440)
Profit/(Loss) per share :
Basic & Diluted (GB Pence per share)				-		(4.29)

CONDENSED INTERIM CONSOLIDATED STATEMENT OF FINANCIAL POSITION

				Unaudited		Audited
	Note			31 Mar 2025 GB£000		31 Mar 2024 GB£000
Assets
Non-current assets
Goodwill	5			301		301
Other intangible assets	6			375		419
Property, plant and equipment	7			3,166		2,456
Total non-currents assets				3,842		3,176
Current assets
Inventories	8			754		112
Trade and other receivables	9			1,092		950
Cash and cash equivalents	10			3,567		3,931
Total current assets				5,413		4,993
Total assets				9,255		8,169
Equity
Issued capital				3,103		3,103
Share premium				13,709		13,709
Capital redemption reserve				11,840		11,840
Reserves				(1,375)		(1,485)
Profit and loss account				(19,979)		(19,985)
Total equity attributable to equity holders of the parent company				7,298		7,182
Non-controlling interests				94		-
Total Equity				7,392		7,182
Liabilities
Non-current liabilities
Borrowings	11			19		132
Lease liabilities	11			620		140
Deferred tax				64		74
Other Liabilities	12			58		87
Total non-current liabilities				761		433
Current liabilities
Borrowings	11			234		31
Lease liabilities	11			156		86
Trade and other payables	12			683		408
Other liabilities	12			29		29
Total current liabilities				1,102		554
Total liabilities				1,863		987
Total equity and liabilities				9,255		8,169

CONDENSED INTERIM CONSOLIDATED CASH FLOW STATEMENT

			Unaudited		Audited
			Twelve months to		Twelve months to
			31 March 2025		31 March 2024
			GB£000		GB£000
Cash flows from operating activities:
Group Profit / (Loss) after tax			1		(1,440)
Adjustments for:
Gain on bargain purchase			(917)		-
Amortisation of intangible assets			55		51
Depreciation of property, plant and equipment			366		313
Share-based payments			110		(35)
Net finance costs			(10)		83
Tax credit in year			-		(580)
(Increase)/decrease in trade and other receivables			180		(362)
(Increase)/decrease in inventories			2		(31)
Taxation received			(11)		569
(Increase)/decrease in trade and other payables			5		104
Net cash flow from operating activities			(219)		(1,328)
Cash flows from investing activities:
Purchase of property plant and equipment			(62)		(55)
Proceeds from disposal of tangible assets			1		25
Acquisition of subsidiary (net of cash acquired)			102		-
Interest paid			(51)		(55)
Interest received			80		-
Net cash flow from investing activities			70		(85)
Cash flows from financing activities:
Proceeds from borrowing			27		7
Repayment of borrowings and leasing liabilities			(223)		(93)
Proceeds from share issue			-		3,974
Net cash flow from financing activities			(196)		3,888
Net increase / (decrease) in cash and cash equivalents			(345)		2,475
Cash and cash equivalents at beginning of year			3,931		1,484
Effect of foreign exchange rate changes			(19)		(28)
Cash and cash equivalents at end of the period			3,567		3,931

CONDENSED  INTERIM CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

	Unaudited	Unaudited	Unaudited	Unaudited	Unaudited	Unaudited	Unaudited
	Issued Share capital	Share Premium	Capital Redemption Reserve	Other Reserve	Non- Controlling Interest	Profit and loss account	Total equity
	GB£000	GB£000	GB£000	GB£000	GB£000	GB£000	GB£000
Balance at 1 April 2023	1,109	11,729	11,840	(1,450)	-	(18,545)	4,683
Shares Issued (Net of Expenses)	1,994	1,980		-	-	-	3,974
Share based payments	-	-	-	(35)	-	-	(35)
Transactions with owners	1,994	1,980	-	(35)	-	-	(3,939)
Total comprehensive income for the period	-	-	-	-	-	(1,440)	(1,440)
Balance at 31 March 2024	3,103	13,709	11,840	(1,485)	-	(19,985)	7,182
Share based payments	-	-	-	110		-	110
Transactions with owners	-	-	-	110	-	-	110
Adjustment to NCI from foreign entity acquisition	-	-	-	-	99	-	99
Total comprehensive income for the period	-	-	-	-	(5)	6	1
Balance at 31 March 2025	3,103	13,709	11,840	(1,375)	94	(19,979)	7,392

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

1.   Reporting entity

RUA Life Sciences plc ("the Company") is a public limited company and is domiciled and incorporated in Scotland with number SC170071. The Company is listed on the AIM market of the London Stock Exchange (ticker: RUA, ISIN: GB0033360586)

The registered office is

2 Drummond Crescent

Irvine

Ayrshire

KA11 5AN

These condensed consolidated interim financial statements as at and for the twelve months ended 31 March 2025 comprise the company and its subsidiaries (together referred to as 'the Group'). RUA Life Sciences plc is the ultimate parent company of the Group, whose principal activities are contract design and manufacture of medical devices and exploiting the value of its IP and know-how.

2.   Basis of preparation

These interim financial statements do not comprise statutory accounts within the meaning of section 434 of the Companies Act 2006. Statutory accounts for the year ended 31 March 2024 were approved by the Board of Directors on 23 July 2024 and delivered to the Registrar of Companies. The report of the auditors on those accounts was unqualified and did not contain statements under sections 498 (2) or (3) of the Companies Act 2006.

As permitted, these interim financial statements have been prepared in accordance with UK AIM Rules and UK-adopted IAS 34, "Interim Financial Reporting". They should be read in conjunction with the annual financial statements for the year ended 31 March 2024, which have been prepared in accordance with UK-adopted international accounting standards, consistent with the IFRS framework adopted in UK law. The accounting policies applied are consistent with those of the annual financial statements for the year ended 31 March 2024, as described in those annual financial statements.

Where new standards or amendments to existing standards have become effective during the year, there has been no material impact on the net assets or results of the Group.

The financial information is presented in pounds Sterling, which is the functional and presentational currency of the Company. Balances are rounded to the nearest thousand (£'000) except where otherwise indicated.

These Interim Financial Statements were authorised for issue by the Company's Board of Directors on 24 June 2025.

Going concern

The Directors have considered the applicability of the going concern basis in the preparation of the financial statements. This included the review of financial results, internal budgets and cash flow forecasts for the period of at least 12-months following the date of approval of these interim financial statements.

In assessing whether the going concern assumption is appropriate, the directors have considered the Group's existing working capital and are of the opinion that the Group has adequate resources to undertake its planned program of activities for a period of at least 12 months from the date of approval of these financial statements.

Principal Risks and Uncertainties

The principal risks and uncertainties affecting the business activities of the Group remain those detailed on pages 22-24 of the Annual Report 2024, a copy of which is available on the Company's website www.rualifesciences.com  

Profit/(Loss) per share

Profit/(Loss) per share has been calculated on the basis of the result for the period after tax, divided by the weighted average number of ordinary shares in issue in the period of 62,060,272.  (31 March 2024: 62,060,272).

3.   BUSINESS SEGMENTS AND REVENUE ANALYSIS

The principal activity of the RUA Life Sciences Group comprises exploiting the value of its IP & know-how, medical device manufacturing and development of cardiovascular devices.

Following the acquisition of the ABISS Group on 6th September 2024 and an internal organisation and reporting review, the Board has decided to rename the business segment formerly known as Contract Manufacturing to Medical Devices and Components to more accurately describe it. This change incorporates revenues generated from contract manufacturing of medical devices, manufacturing and sale & distribution of medical devices into a single reporting segment. This change is consistent with both how the business will be managed and be reported internally in the future. The following analysis by segment is presented in accordance with IFRS 8 on the basis of those segments whose operating results are regularly reviewed by the Chief Operating Decision Maker (considered to be the Chief Executive Officer) to assess performance and make strategic decisions about the allocation of resources. Segmental results are calculated on an IFRS basis.

A brief description of the segments of the business is as follows:

·      Biomaterials - Licensor of Elast-EonTM polymers to the medical device industry.

·      Medical Devices and Components - End-to-end contract developer, manufacturer, and seller of medical devices and implantable fabric specialist.

·      Vascular - Development and commercialisation of the Group's Elast-Eon sealed Vascular Graft products.

·      Structural Heart - Development of the Group's Elast-Eon composite heart valve material AurTexTM.

Operating results which cannot be allocated to an individual segment are recorded as central and unallocated.

Segment revenue represents revenue from external customers arising from sale of goods and services. Segment results, assets and liabilities include items directly attributable to a segment as well as those that can be allocated on a reasonable basis.

The Group's revenue from continuing operations to destinations outside the UK amounted to 100% (year to 31 March 2024: 100%). The revenue analysis below is based on the region of registration of the customer:

The Group's revenue for 12 months to 31 March 2025 is segmented as follows:

Analysis of revenue by income stream
	Unaudited	Unaudited	Unaudited	Unaudited	Unaudited	Unaudited
	Biomaterials	Medical Devices & Components	Vascular	Structural Heart	Central and unallocated	Total
	GB£000	GB£000	GB£000	GB£000	GB£000	GB£000
Manufacture and sale of Medical Devices	-	3,526	-	-	-	3,526
Royalty revenue	587	-	-	-	-	587
Total	587	3,526	-	-	-	4,113

Analysis of revenue by geographical location
	Unaudited	Unaudited	Unaudited	Unaudited	Unaudited	Unaudited
	Biomaterials	Medical Devices & Components	Vascular	Structural Heart	Central and unallocated	Total
	GB£000	GB£000	GB£000	GB£000	GB£000	GB£000
Europe	159	524	-	-	-	683
North America	377	2,981	-	-	-	3,358
Middle East	51	-	-	-	-	51
Asia Pacific	0	20	0	0	0	20
Africa	0	1	0	0	0	1
Total	587	3,526	-	-	-	4,113

The Group's revenue for 12 months to 31 March 2024 is segmented as follows:

Analysis of revenue by income stream
	Unaudited	Unaudited	Unaudited	Unaudited	Unaudited	Unaudited
	Biomaterials	Medical Devices & Components	Vascular	Structural Heart	Central and unallocated	Total
	GB£000	GB£000	GB£000	GB£000	GB£000	GB£000
Manufacture and sale of Medical Devices	-	1,679	16	-	-	1,695
Royalty revenue	496	-	-	-	-	496
Total	496	1,679	16	-	-	2,191

Analysis of revenue by geographical location
	Unaudited	Unaudited	Unaudited	Unaudited	Unaudited	Unaudited
	Biomaterials	Medical Devices & Components	Vascular	Structural Heart	Central and unallocated	Total
	GB£000	GB£000	GB£000	GB£000	GB£000	GB£000
Europe	158	38	-	-	-	196
North America	288	1,641	16	-	-	1,945
Middle East	50	-	-	-	-	50
Asia Pacific	-	-	-	-	-	-
Africa	-	-	-	-	-	-
Total	496	1,679	16	-	-	2,191

The Group's Segmental analysis for 12 months to 31 March 2025 is segmented as follows:

	Unaudited	Unaudited	Unaudited	Unaudited	Unaudited	Unaudited
	Biomaterials	Medical Devices & Components	Vascular	Structural Heart	Central and unallocated	Total
	GB£000	GB£000	GB£000	GB£000	GB£000	GB£000
Consolidated group revenues from external customers	587	3,526	-	-	-	4,113
Contributions to group operating loss	553	166	(672)	(426)	359	(20)
Depreciation	-	267	82	14	3	366
Amortisation of intangible assets	-	47	-	-	8	55
Segment assets	293	4,063	665	114	4,120	9,255
Segment liabilities	6	1,242	233	5	377	1,863
Intangible assets - goodwill	-	301	-	-	-	301
Other intangible assets	-	180	139	-	56	375
Additions to non-current assets	-	38	2	3	19	62

Additions to non-current assets represent capital expenditure incurred by the Group during the reporting period, including purchases of property, plant and equipment, and right-of-use assets arising from new lease arrangements. This excludes any assets or fair value adjustments recognised as part of business combinations, which are reflected within segment assets but not reported as current period additions.

The Group's Segmental analysis for 12 months to 31 March 2024 is segmented as follows:

	Unaudited	Unaudited	Unaudited	Unaudited	Unaudited	Unaudited
	Biomaterials	Medical Devices & Components	Vascular	Structural Heart	Central and unallocated	Total
	GB£000	GB£000	GB£000	GB£000	GB£000	GB£000
Consolidated group revenues from external customers	496	1,679	16	-	-	2,191
Contributions to group operating loss	421	931	(1,009)	(465)	(1,815)	(1,937)
Depreciation	-	135	116	17	45	313
Amortisation of intangible assets	-	43	-	-	8	51
Segment assets	225	1,527	1,118	232	5,067	8,169
Segment liabilities	5	218	383	22	359	987
Intangible assets - goodwill	-	301	-	-	-	301
Other intangible assets	-	216	139	-	64	419
Additions to non-current assets	-	14	3	-	38	55

4.     BUSINESS COMBINATIONS

On 6 September 2024, RUA Life Sciences acquired the assets of Analytic Biosurgical Solutions SAS, ("ABISS ") for a cash consideration of £68,000 (€80,000) through a transaction facilitated by the French courts. ABISS was part of a wider medical devices group which went into insolvent liquidation in June 2021 because of the impacts of Covid. Although the parent company was in liquidation, ABISS itself was not placed in receivership/liquidation. ABISS has continued to trade solvently and has traded within its own financial resources. There is no future, deferred or contingent consideration due on this transaction. Further details of the acquisition are detailed in the Chairmans statement.

As part of the acquisition, the net identifiable assets' carrying value was determined to be £985,000, which exceeds the total consideration transferred of £68,000. Consequently, a gain on a bargain purchase of £917,000 has been recognised in profit or loss as of the acquisition date.

This gain reflects the favourable terms of the transaction, arising primarily from the purchase through court proceedings at a value significantly below the fair value of the assets acquired.

The Group intends to complete the review of the fair value of the acquired assets and liabilities during the annual reporting process for the 18-month period ending 30 September 2025 , as permitted under IFRS 3-Business Combinations. Thus, the accounting is currently provisional .

Details of the Acquisition:

·      Date of Acquisition: 6 September 2024

·      Consideration Transferred: £ 68,000

·      Carrying Value of Identifiable Net Assets Acquired: £985,000

·      Gain on Bargain Purchase: £917,000

·      Recognition of Gain: Included under "Other Income" in the Statement of Comprehensive Income for the period ended 31 March 2025

The Group continues to assess the fair value of assets and liabilities acquired in the ABISS transaction. As of 31 March 2025, these amounts remain provisional and may be subject to further adjustment as permitted under IFRS 3 during the measurement period. The updated provisional fair values at 31 March 2025 are as follows .

Details of the consideration paid and the fair value of net assets acquired are as follows:

	ABISS Group
	Provisionally recognised fair value on acquisition
	GB£000
Consideration paid	68
Less:
Intangible Assets	11
Property, Plant and Equipment	1,015
Trade receivables	275
Inventory	322
WIP	322
Other Current Assets	107
Cash	170
Trade payables	(106)
Other Current Liabilities	(196)
Other interest-bearing loans and borrowings	(836)
Non-Controlling Interest	(99)
Carrying value of net assets acquired	985
Gain on bargain purchase	917

5.     GOODWILL

The final valuation following the acquisition of RUA Medical Devices Limited gave rise to adjustments being required to the value of intangibles recognised in the Interim Report for the six months ended 30 September 2020, and lead to the following goodwill being recognised:

No impairment review has been carried out in the six-month period.

	GB£000
Gross carrying amount
Balance at 31 March 2024	301
Balance at 31 March 2025	301

6.     OTHER INTANGIBLE ASSETS

	Development costs	Intellectual property	Customer Related	Technology Based	Total
	GB£000	GB£000	GB£000	GB£000	GB£000
Gross carrying amount
At 31 March 2023	337	3,325	247	141	4,050
Additions	-	-	-	-	-
At 31 March 2024	337	3,325	247	141	4,050
Additions	391	5	-	6	402
At 31 March 2025	728	3,330	247	147	4,452
Amortisation and impairment
At 31 March 2023	337	3,114	87	42	3,580
Amortisation	-	8	29	14	51
At 31 March 2024	337	3,122	116	56	3,631
Amortisation	-	12	29	14	55
Impairment	391	-	-	-	391
At 31 March 2025	728	3,134	145	70	4,077
Net book value
At 31 March 2023	-	211	160	99	470
At 31 March 2024	-	203	131	85	419
At 31 March 2025	-	196	102	77	375

As part of the acquisition of Analytic Biosurgical Solutions SAS ("ABISS") on 6 September 2024, the Group recognised identifiable intangible assets with a carrying value of £391,000. These assets primarily related to previously capitalised research and development expenditure.

During the measurement period permitted under IFRS 3, management conducted a detailed review of the acquired intangible assets as part of the purchase price allocation process. It was determined that the assets did not possess standalone commercial value. As a result, the full amount was impaired retrospectively in the financial statements, with no residual net book value at the reporting date.

7.   PROPERTY, PLANT AND EQUIPMENT

	Land & Buildings	Assets Under Construction	Plant & Machinery	Office Equipment	Motor Vehicles	Total
	GB£000	GB£000	GB£000	GB£000	GB£000	GB£000
Cost
At 31 March 2023	1,335	142	1,905	95	25	3,502
Additions	-	-	18	4	33	55
Transfer of Assets	-	(142)	142	-	-	-
Disposals	-	-	-	-	(25)	(25)
At 31 March 2024	1,335	-	2,065	99	33	3,532
Additions	657	-	393	7	20	1,077
Disposals	-	-	(1)	-	-	(1)
At 31 March 2025	1,992	-	2,457	106	53	4,608
Depreciation
At 31 March 2023	180	-	509	50	24	763
Charge	53	-	236	15	9	313
At 31 March 2024	233	-	745	65	33	1,076
Charge	91	-	258	14	3	366
At 30 31 March 2025	324	-	1,003	79	36	1,442
Net book value
At 31 March 2023	1,155	142	1,396	45	1	2,739
At 31 March 2024	1,102	-	1,320	34	-	2,456
At 31 March 2025	1,668	-	1,454	27	17	3,166

Included in the net carrying amount of property plant and equipment are right-of-use assets as follows:	Buildings (Leased)		Plant & Machinery (Leased)		Motor Vehicles (Leased)		Total
	GB£000		GB£000		GB£000		GB£000
Cost
At 31 March 2023	-		391		25		416
Additions			-		33		33
Disposals	-		-		(25)		(25)
At 31 March 2024	-		391		33		424
Additions	656		8		19		683
At 31 March 2025	656		399		52		1,107
Depreciation
At 31 March 2023	-		48		24		72
Charge	-		30		9		39
At 31 March 2024	-		78		33		111
Charge	50		28		3		81
At 31 March 2025	50		106		36		192
Net book value
At 31 March 2023	-		343		1		344
At 31 March 2024	-		313		-		313
At 31 March 2025	606		293		16		915

8.  INVENTORIES

Inventories consist of the following:

			Unaudited		Audited
			Twelve months to 31 Mar 2025		Twelve months to 31 Mar 2024
			GB£000		GB£000
Raw Materials			215		59
Work in Progress			372		53
Finished Goods			167		-
			754		112

The cost of inventories recognised as an expense and included in cost of goods sold amounted to £212k (2024: £36k).

9. TRADE AND OTHER RECEIVABLES

			Unaudited		Audited
			Twelve months to 31 Mar 2025		Twelve months to 31 Mar 2024
			GB£000		GB£000
Current:
Trade receivables - gross			519		301
Allowance for credit losses			-		-
Trade receivables net			519		301
Tax credit due			-		189
Prepayments and accrued income			573		460
			1,092		950

10.  CASH AND CASH EQUIVALENTS

			Unaudited		Audited
			Twelve months to 31 Mar 2025		Twelve months to 31 Mar 2024
			GB£000		GB£000
Cash at bank and in hand			3,567		3,931
			3,567		3,931

11. BORROWINGS & LEASE LIABILITIES

			Unaudited		Audited
			Twelve months to 31 Mar 2025		Twelve months to 31 Mar 2024
			GB£000		GB£000
Current:
Bank Loans			234		31
Lease Liabilities			156		86
			390		117
Non-current:
Bank loans			19		132
Lease Liabilities			620		140
			639		272
Total Borrowings & Lease Liabilities			1,029		389

	Bank loans		Lease liabilities		Total
	GB£000		GBP£000		GB£000
Repayable in less than 6 months	176		85		261
Repayable in 7 to 12 months	58		71		129
Repayable in 1 to 5 years	19		439		458
Repayable after 5 years	-		181		181
	253		776		1,029

£117,519 of bank loans is secured on the property at 2 Drummond Crescent, Irvine, Ayrshire and subject to a bond and floating charge over the Group's assets. Secured bank loans carry a variable rate of interest, which were between 6% and 7.8%.

£14,787 of bank loans is an unsecured UK government support loan. Unsecured bank loans carry an effective rate of interest at 9%.

£121,171 of bank loans is an unsecured French government support loan. Unsecured bank loans carry an effective rate of interest at 6%.

The lease liabilities are secured by the related underlying assets. Lease borrowings carry fixed rates of interest, ranging between 4.0% and 9.6%.

Reconciliation of change in lease liabilities:

	GB£000
As at 1 April 2023	282
Payment of lease liability - principal	(58)
Payment of lease liability - interest	(41)
Interest expense	41
Additions	2
Disposals	-
As at 31 March 2024	226
Payment of lease liability - principal	(132)
Payment of lease liability - interest	(39)
Interest expense	39
Additions	682
Disposals	-
As at 31 March 2025	776

12. TRADE AND OTHER PAYABLES

			Unaudited		Audited
			Twelve months to 31 Mar 2025		Twelve months to 31 Mar 2024
			GB£000		GB£000
Current liabilities:
Trade payables			110		140
Other payables			180		46
Accruals and deferred income			393		222
			683		408
Other Liabilities (Grant Income)			87		116
Total Trade and Other Payables			770		524

Deferred grant income is included within other liabilities in the Consolidated Statement of Financial Position.  £29,000 (2024: £29,000) is included in current liabilities and £58,000 (2024: £87,000) is included in Non-current Liabilities.

13. SUBSEQUENT EVENTS

None to report.

14.  ISSUED SHARE CAPITAL

The Company's issued share capital as at 31 March 2025 comprises 62,060,272 Ordinary Shares of which none are held in treasury.

15. INTERIM ANNOUNCEMENT

The interim results announcement was released on 25 June 2025.  A copy of this Interim Report is also available on the Company's website www.rualifesciencs.com.

CORPORATE INFORMATION AND ADVISERS

HEAD OFFICE 2 Drummond Crescent Irvine Ayrshire KA11 5AN	REGISTERED OFFICE 2 Drummond Crescent Irvine Ayrshire KA11 5AN
web: www.rualifesciences.com email: info@rualifesciences.com

NOMINATED ADVISER AND BROKER	REGISTRARS
Cavendish Capital Markets Limited	Equiniti Limited
One Bartholomew Close	Aspect House
London	Spencer Road
EC1A 7BL	West Sussex
	BN99 6DA
LAWYERS
Burness Paull LLP
50 Lothian Road
Festival Square
Edinburgh
EH3 9WJ
INDEPENDENT AUDITOR
RSM Audit UK LLP
Centenary House
69 Wellington Street
Glasgow
G2 6HG

Registered in Scotland, Company No.SC170071

Financial statements will be available to Shareholders from the Company Website, along with copies of the announcement.  Dealings permitted on Alternative Investment Market (AIM) of the London Stock Exchange .

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