Final Results- Part I

Westside Acquisitions plc, the AIM listed investment vehicle, announces its results for the year ended 31 December 2008.

Chairman's Statement and Chief Executive's Review

The audited consolidated accounts for the year ended 31 December 2008 show a loss before taxation of  £1,160,281 (2007: loss of £122,854).

Westside's net cash balances as at 31 December 2008 were £1,095,007 (2007: £1,682,700)

The experience of 2008 was really a year which continued the trend established in the second half of 2007.

In our 2007 annual statement we warned that market conditions were likely to be unsettled and uncertain, but the turmoil which ensued throughout 2008 – starting with the liquidity strains experienced in the banking sector from August 2007 – have become progressively more serious such that conditions are now recognised as the worst in possibly 75 years.

The result in 2008 has been the unpleasant experience of seeing some of the largest banks in our universe require financial assistance to maintain their liquidity and solvency.

Westside holds 75 million ordinary shares of Pantheon Leisure PLC ('Pantheon') representing 62.5% of the issued share capital where both the ordinary shares and warrants trade on AIM.

Pantheon made a loss of £170,904 for the year ended 31 December 2008 (2007: loss £210,642).

In 2008, Pantheon has reported that the turnover of its subsidiary, Sport in Schools Ltd was £518,034 (2007: £306,915) an increase of 69% over 2007.  The turnover of the 5-a-side football activity for the year was £552,204 (2007: £583,040) a reduction of 5%.

In the current year, Pantheon is budgeting for a continuation of its improving trend with the expectation that Sport in Schools will again generate significant additional turnover and that 5-a-side football will continue to maintain its level of activity despite the current recessionary climate.

Reverse Take-Over Investments plc ('RTI') has investments in five companies whose ordinary shares and warrants trade on AIM and holds 18.75% of Ethanol 10 plc, which is unquoted.

At 31 December 2008 the fair value of our holdings of listed investments was £773,000 (2007: £2,638,942) against an original cost of £774,498 (2007: £774,498)

At the year end:

  • RTI held 22.54 million ordinary shares in ADDleisure plc (10.75% of the issued share capital), a company which develops products and services in the health and leisure sectors. BUPA holds a 28.9% stake in ADDleisure. On 2 March 2009, RTI's investment in ADDleisure was sold to Pantheon Leisure for £500,000.
  • RTI held 1.8 million ordinary shares in York Pharma plc (3.8% of the issued share capital), a company which sells a range of dermatological products available on prescription to wholesalers, hospitals and general practitioners. York Pharma holds 68 patents on 13 patent families of dermatology products for which it is at different stages of seeking regulatory approval.  On 22 March 2009, shares in York Pharma were suspended from trading as the company announced that it had received an approach that might or might not lead to an offer for its share capital.
  • RTI held 23 million ordinary shares in Messaging International plc (9.8% of the issued share capital) a company which is a leading provider of text to landline messaging services on a worldwide basis working with blue chip telecom providers such as Verizon, SprintNextel and Rogers Wireless.
  • RTI held 800,000 ordinary shares in Cheerful Scout plc (8.2% of the issued share capital), a company which is a multi media specialist ranging from the provision of DVD and short film production to cutting edge conference and visualization technology.
  • RTI held 20 million ordinary shares in Astek Group plc (28.5% of the issued share capital), a company which is a dental designer, manufacturer and distributor. Astek has an extensive portfolio including prosthetic products for dentures and innovative products relating to the prevention of cross infection.
  • RTI held 3.75 million ordinary shares in Ethanol 10 plc (18.75% of the issued share capital) a company which was formed to develop and build an Ethanol producing plant in the Dominican Republic.  In view of the significant fall in the price of oil in 2008, substantial provision has been made against the cost of this investment.

There is little doubt that operating conditions in 2009 will continue to be difficult. On the positive side, Pantheon is building a business that we continue to believe does have some serious potential. Elms Sport in Schools is a brand in the making and should promote sponsorship opportunities in the future. The portfolio of investments held by RTI has suffered considerably in the bear market but the respective management teams of the individual companies remain confident that their business models are sound.  Since the year end we have raised additional capital of £500,000.

In conclusion, we can only hope that the aggressive actions taken by the various governmental and financial authorities around the world will at the very least enable business to function in such a strong and unprecedented recessionary climate.

Electronic Communications

The directors wish to utilise the new provisions of the Companies Act 2006 to allow them to send documents or information electronically, thereby reducing printing and postage costs. Accordingly, Resolution 5 is being proposed as a special resolution at the annual general meeting, to make certain amendments to the company's articles of association to authorise the company to send documents and information to shareholders using electronic means which includes making them available on the company's website and to ensure that the relevant notice and service provisions in the company's articles of association shall apply to electronic communications.

R L Owen

G M Simmonds

18 June 2009

* * ENDS * * For further information please visit www.westsideacquisitions.com  or contact:

Geoffrey Simmonds

Westside Acquisitions Plc

Tel: 020 7935 0823

Mark Percy

Seymour Pierce Limited

Tel: 020 7107 8000

Susie Callear

St Brides Media & Finance Limited

Tel: 020 7236 1177

Consolidated income statement for the year ended 31 December 2008
    2008 2007
  Notes £ £
       
Continuing operations      
       
Revenue   1,076,857 1,575,055
       
Cost of sales   (714,824) (693,868)
       
Gross profit   362,033 881,187
       
Administrative expenses   (1,088,685) (1,096,184)
Provision for impairment in value of available -for- sale investments   (495,756) -
    (1,584,441) (1,096,184)
       
Operating loss   (1,222,408) (214,997)
       
Financial income   62,127 92,143
       
       
Loss before taxation   (1,160,281) (122,854)
       
Taxation 3 (143,822) (111,512)
Loss for the year from continuing operations   (1,304,103) (234,366)
Discontinued operations      
Profit for the year from discontinued operations   - 6,426
Loss after taxation   (1,304,103) (227,940)
Attributable to:    
Equity holders of the parent company (1,240,014) (148,949)
Minority interest (64,089) (78,991)
     
  (1,304,103) (227,940)
       
Continuing operations      
Basic and diluted loss per share 4 (1.11)p (0.136)p
       
Discontinued operations      
Basic and diluted earnings per share 4 - 0.003p

Continuing and discontinued operations

Basic and diluted loss per share 4  

(1.11)p

 

(0.133)p

Consolidated statement of recognised income and expense
    2008 2007
  Notes £ £
       
       
Revaluation losses on available-for-sale investments taken to equity   (1,440,186) (1,484,094)
       
Tax on items taken directly to equity   445,604 482,518
       
Net expense recognised directly in equity   (994,582) (1,001,576)
       
Transferred to profit or loss on sale of available-for-sale investments   - (487,500)
       
Tax on items transferred from equity   - 146,250
       
    (994,582) (1,342,826)
       
Loss for the year   (1,304,103) (227,940)
       
       
Total recognised income and expense for the year   (2,298,685) (1,570,766)
       
       
Attributable to equity holders of the parent   (2,234,596) (1,491,775)
       
Attributable to minority interests   (64,089) (78,991)
       
  6 (2,298,685) (1,570,766)

Consolidated balance sheet as at 31 December 2008

  Notes 2008   2007
    £       £
Non current assets        
Goodwill   59,954   59,954
Property, plant and equipment   108,227   13,618
Deferred tax asset 5 11,426   16,181
         
Total non-current assets   179,607   89,753
         
Current assets        
Available-for-sale investments   778,000   2,713,942
Trade and other receivables   88,762   123,558
Cash and cash equivalents   1,128,956   1,787,500
         
Total current assets   1,995,718   4,625,000
         
Total assets   2,175,325   4,714,753
         
Current liabilities        
Trade and other payables   324,775   284,292
Bank overdraft   33,949   104,800
Borrowings   21,152   -
         
Total current liabilities   379,876   389,092
         
Non-current liabilities        
Deferred taxation 5 -   306,537
Borrowings   75,010    
         
Total non-current liabilities   75,010   306,537
         
Total liabilities   454,886   695,629
         
         
Net assets   1,720,439   4,019,124
         
Equity        
         
Share capital   1,112,378   1,112,378
Share premium account   292,179   292,179
Capital redemption reserve   182,512   182,512
Merger reserve   325,584   325,584
Fair value reserve   196,562   1,191,144
Retained earnings   (526,059)   713,955
         
Equity attributable to shareholders' of the parent company 6 1,583,156   3,817,752
         
Minority interest 6 137,283   201,372
         
Total Equity   1,720,439   4,019,124

Consolidated cash flow statement for the year ended 31 December 2008

  Notes   2008 2007
      £ £
         
Cash flow from operating activities        
         
Loss before taxation on continuing operations     (1,222,408) (214,997)
Profit before taxation on discontinued operations     - 6,426
      (1,222,408) (208,571)
         
Adjustments for:        
Provision for impairment in value of available        
for sale of investments     495,756 -
Share based payment charges     - 13,000
Profit on sale of property, plant and equipment     (6,383) -
Depreciation     21,051 -
         
Operating cash flow before working capital movements     (711,984) (195,571)
Net purchases of available-for-sale investments     - (222,500)
Decrease/(increase) in receivables     34,796 (32,403)
Increase/(decrease) in payables     40,483 (6,799)
         
Net cash used in operating activities     (636,705) (457,273)
         
Investing activities        
Property, plant & equipment acquired     (29,750) -
Proceeds from sale of property, plant and equipment     20,000 -
Financial income (net)     62,127 92,143
         
Net cash used in investing activities     (584,328) (365,130)
         
         
Financing activities        
         
Issue of equity capital     - 45
Dividends paid     - (111,237)
Loan advanced     20,000 -
Hire purchase repayments     (23,365) -
Net cash used in financing activities    

(3,365)

(111,192)
         
         
         
Net change in cash and cash equivalents 8   (587,693) (476,322)
         
Cash and cash equivalents and bank overdraft at the beginning of the year 8   1,682,700 2,159,022
         
Cash and cash equivalents and bank overdraft at the end of the year 8  

1,095,007

1,682,700

 

« Main News Page                                                                         « Back to the Top