The information contained within
this announcement is deemed to constitute inside information as
stipulated under the retained EU law version of the Market Abuse
Regulation (EU) No. 596/2014 (the "UK MAR") which is part of UK law
by virtue of the European Union (Withdrawal) Act 2018. The
information is disclosed in accordance with the Company's
obligations under Article 17 of the UK MAR. Upon the publication of
this announcement, this inside information is now considered to be
in the public domain.
23 September 2024
Eden
Research plc
("Eden"
or "the Company")
Half
Yearly Report
Eden Research plc (AIM:
EDEN), a leader in sustainable biopesticide
and biocontrol technology, announces its interim results
for the six months ended 30 June 2024.
Financial highlights
· Revenue for the period of £1.9m (H1 2023: £1.1m)
· Product sales of £1.7m (H1 2023: £1.1m)
· Operating loss for the period of £1.3m (H1 2023:
£1.2m)
· Cash
and cash equivalents of £4.9m (H1 2023: £0.5m)
· On
track to meet 2024 market expectations for revenue and operating
loss
Business highlights
Expanding regulatory approvals in key territories, including
the US, new commercial agreement, and new product
areas
· Authorisation for Mevalone® received in the key
state of California
· Mevalone® authorised for use in new crops and
fungal pathogens in Spain
· 140
insecticide field trials run by potential distribution partners so
far in 2024, following significant interest in the evaluation of
Eden's developmental insecticide
· Authorisation for Mevalone® received in Germany and
Czechia (post period-end)
Corporate highlights
Strengthening of the Company's financial position and team to
allow the business to grow apace
· Eden
named ESG Company of the Year at the prestigious 2024
Small Cap Network Awards in recognition of its commitment to
environmental, social and governance matters and contribution to
the green economy
· Appointment of Derek McAllan as Non-executive Director and
Chairman of the Audit Committee
· Strengthening of the Commercial Team with the appointment of
Humair Tariq as Global Commercial Lead and Daniel Mulas Garcia as
Global Product and Marketing Lead
Lykele van der Broek, Chairman of Eden Research,
commented:
"Eden
continues to grow, as evidenced by increased sales of 65% compared
to the first half of 2023 and product registrations received across
target geographies. To support this growth and ensure the business
can capture its significant future potential, we have expanded the
team in the first half of the year, welcoming Humair Tariq as
Global Commercial Lead, Daniel Mulas Garcia as Global Product and
Marketing Lead and Ilshad Moulan as Head of Regulatory Affairs. We
were also delighted to appoint Derek McAllan as Non-executive
Director and Chairman of the Audit Committee.
In the background, the Company is
working flat out developing novel formulations and commercialising
products in order to fully exploit the vast bank of intellectual
property and expertise that Eden has created over the past four
years in particular, since it opened its laboratory facilities in
mid-2020.
Be in no doubt, the potential for
Eden is huge.
Aside from having a great team and a
strong product portfolio, Eden is very much in the right place at
the right time.
Regulators continue to restrict, or
ban, existing chemistry, whilst at the same time making it
increasingly difficult for new active ingredients and products to
come into the market with ever-increasing regulatory
requirements.
Farmers continue to demand choice
and flexibility in their use of pesticides with an ever-reducing
set of tools available to them, due to the diminution of old
chemistry.
Consumers and supermarkets are
increasingly demanding residue-free, organic produce, which Eden
can help growers to deliver.
All of this means that demand for
products like Eden's will continue to increase, something which is
backed up by market forecasts that predict a Compound Annual Growth
Rate of the global biopesticides market of 15.9% over the next
seven years.
I remain very confident in the
future success of Eden and would like to thank our shareholders for
their continued support and belief in us."
For further information
contact:
|
Eden
Research plc
|
www.edenresearch.com
|
|
Sean Smith
Alex Abrey
|
01285 359
555
|
|
|
|
|
Cavendish Capital Markets Limited (Nominated advisor and
broker)
|
|
|
Giles Balleny / George
Lawson (corporate finance)
Charlie Combe (corporate
broking)
Michael Johnson (sales)
|
020 7397
1961
|
|
|
|
|
Hawthorn Advisors (Financial PR)
|
|
|
Victoria Ainsworth
|
eden@hawthornadvisors.com
|
Chief Executive Officer's Statement
The first half of 2024 was
characterised by strong regulatory momentum, including a number of
significant approvals in key geographies, and also the expansion of
our team to increase our capacity to capture future opportunities.
These efforts have enabled us to meet our growth objectives,
supported by increased product sales across our existing portfolio
and our commercial partnerships with some of agriculture's largest
players.
Financial
performance
Revenue for the period increased by
65% to £1.9m from £1.1m in H1 2023, of which product sales made up
£1.7m (H1 2023: £1.1m).
The Operating loss for the period
was £1.3m, a slight increase on H1 2023 when it was £1.2m. This was
a reflection of a reduction in gross margin (31% in H1, 2024 vs 37%
in H1, 2023), as well as an increase in staff costs as the
Company increased its headcount of both
commercial and laboratory staff.
At 30 June 2024, Cash and cash
equivalents stood at £4.9m, up from £0.5m at 30 June 2023 following
completion of the last fundraise in the second half of
2023.
In the twelve months to 30 June
2024, Eden has invested £2.3m in intangible assets including
development and regulatory costs.
Overall, the Company is pleased to
report that it is on track to meet its 2024
market expectations for revenue and operating loss, the key
financial metrics of the business.
Expanding territorial reach,
growing the label
With the industry's regulators
creating high barriers to entry, our approach to regulatory affairs
and approvals is integral to Eden's growth proposition and offers a
great potential reward to investors willing to back our innovative
technology. Despite the high regulatory hurdles and long lead times
for adoption, we have recently managed to successfully gain
important approvals which expand both the geographies and the range
of crop applications and addressable markets.
2024 began with the welcome news of
regulatory authorisation for Mevalone® in California. To put this one
approval into context, California is the US's largest wine region,
accounting for approximately 84% of the nation's total production
and, in comparison with the rest of the US, has much stricter
agricultural regulations geared towards sustainable farming
practices. Given the timing of this regulatory approval, we have
been able to commence distributing to grape growers across the
state via our commercial partner, Sipcam. We expect to make
meaningful revenues in 2025 as we continue to develop the
commercial and marketing strategy.
In June, Eden received notification
from the Spanish regulators that Mevalone, marketed as Araw® in the
region, had received a label expansion to include 22 new crops on 4
new fungal diseases. This newly expanded label makes our
biofungicide one of the most versatile and reliable solutions
available to Spanish farmers to prevent fungal diseases in many
crops under both organic and conventional agriculture. The new
approval extends to a large number of high-value crops that weren't
previously on the label, but most notably, includes almonds which
are the third largest tree crop in Spain after olives and grapes.
Furthermore, Spain boasts the largest cultivated area of almond
trees in the world and ranks third in terms of overall
production.
Post-period end in August, we were
delighted that Mevalone received regulatory authorisation in
Germany, applicable for use on grape vines to control Botrytis and
apples to prevent storage diseases. Germany is widely considered in
the biocontrol markets as one of the strictest regulatory
environments across the EU and more broadly, and our regulatory
success here is a great validation of the strong efficacy of our
product, as well as its flexible and environmentally friendly
qualities.
In September, Cedroz was
granted, according to Reg. EU/1107/2009, a temporary approval
in Greece for use on potatoes against wireworms for
the 2024 growing season.
New products, same
technology
Eden's development pipeline remains
active across a number of different projects, all using the same
proprietary terpene technology and underlying microencapsulation
technology, SustaineÒ. These products are based on a desire to replace, or work
alongside, conventional pesticide chemistry with plant-derived
alternatives. We have the capacity, capability, and flexibility
with our in-house laboratory facilities and team to be able to
adapt our development to meet the demands of the industry and to
also pursue new market opportunities as they arise.
This in-house expertise has allowed
us to accelerate the development of our new bioinsecticide which
would have otherwise been a much longer process had we needed to
contract the work. In June, we announced encouraging results of our
new bioinsecticide which has involved more than 30 laboratory
trials and more than 140 field trials conducted in Europe and the
United States. Results show strong efficacy against all life stages
of key pests such as aphids, spider mites and whiteflies and
demonstrate equivalence or superior performance when compared with
registered biological reference products produced by some of the
world's leading biochemical companies.
Eden is now working towards
regulatory submissions of our new bioinsecticide in the US and
Europe, which we anticipate will happen in 2024 and 2025,
respectively. Subject to authorisation, first sales of the product
could be achieved as early as 2025 in the US, given our active
ingredients have already been registered at a federal
level.
We are also working towards
including downy mildew on the Mevalone label for the first time
with an application already submitted in France. With key
competitor products being removed from the market, or in some
cases, already withdrawn, we see a significant opportunity to
address an unmet need. We anticipate a positive verdict in early
2025, subject to regulatory timelines.
Strengthening our
team
Driving sustainable innovation
through the development of new products using our unique, patented
technologies is a fundamental aspect of creating value for
shareholders. Since our move to Oxfordshire in 2020, we have
benefited tremendously from the ability to bring our biopesticide
and biocontrol development in-house and accelerate timelines that
would have otherwise been significantly slower. To continue to
accelerate growth, we have elected to make key hires across
specific mandates.
The first of these key appointments
came in June 2024, when we appointed Humair Tariq as our Global
Commercial Lead. Humair joined Eden from Syngenta where he spent
the past 12 years working across a number of remits across the
firm's pesticide division. Humair assumes a new role which is
specifically dedicated to fostering the Company's existing
partnerships, developing new relationships with potential partners,
and driving revenue growth through both the expansion of our
existing business and the pursuit of new opportunities.
Since the end of the first half, we
are also pleased to welcome Daniel Mulas García as the Company's
new Global Product and Marketing Lead. Daniel holds a wealth of
industry experience from his time working as a product manager of
biostimulants and biocontrol for one of Eden's most important
commercial partners, Sipcam Oxon. Daniel's focus at Eden is on
ensuring that our current and future products are well-aligned with
the needs of farmers in an ever-changing regulatory and commercial
environment, as well as maximising revenue growth through the
pursuit of ongoing expansions of the Company's product
portfolio.
Finally, Ilshad Moulan joined Eden
as our new Head of Regulatory Affairs last month. Ilshad worked at
a specialist product registration consultancy where he led a team
of nine, focusing on regulatory affairs. Ilshad succeeds Dr Mike
Carroll who will retire at the end of a handover period. Mike has
served as Eden's first-ever regulatory leader and played a key role
in not only establishing Eden's in-house regulatory capabilities
but also in successfully securing the many regulatory
authorisations the Company now holds.
At a Board level, we saw the
appointment of Derek McAllan as a new non-executive director and
Chairman of the Audit Committee. He takes over from Robin Cridland
who has undertaken this duty for the past nine years. Robin
continues to advise the Board in his capacity as a non-executive
director. At the start of the year, we also saw the departure of
Richard Horsman who stepped down as a non-executive director
following an 18-month stint, during which he made significant
contributions to the Company at a pivotal time.
Outlook
We anticipate the remainder of the
year will provide plenty of reasons for excitement. Eden is
exploring various options to reintroduce its sustainable seed
treatment, Ecovelex, on an emergency authorisation basis following
success in Italy in 2023. We anticipate full Ecovelex authorisation
in the EU in 2025. We are also looking into the potential for
deploying Ecovelex on other grain and cereal crops such as
sweetcorn.
On the regulatory front, Eden is
working closely with Sipcam towards submitting regulatory
applications for Mevalone and Cedroz in new frontier markets such
as Argentina, Brazil, and Chile. We expect to update the market
with our progress in due course.
Ahead of the launch of our
bioinsecticide, we expect to appoint a commercial partner to help
prepare the product for regulatory submission in the coming months.
This has been a highly competitive process which has so far
involved more than 11 potential partners covering a range of global
opportunities.
I'd like to take this opportunity to
thank our team for all their effort so far this year in what has
been a very busy period for the Company. I would also like to
extend my gratitude to all our shareholders and the Board for their
continued support.
Sean Smith
Chief Executive Officer
20 September 2024
|
Eden
Research plc - Consolidated Statement of Comprehensive Income for
the six months ended 30 June 2024
|
|
|
|
Six
months ended 30 June 2024 £
unaudited
|
|
Six
months
ended 30 June 2023 £ unaudited
|
|
Year ended
31 December 2023
£
audited
|
|
|
|
|
|
|
|
|
|
|
|
Revenue (note 18)
|
|
1,885,929
|
|
1,142,371
|
|
3,192,027
|
|
|
Cost of sales
|
|
(1,292,117)
|
|
(710,337)
|
|
(1,426,547)
|
|
|
Gross profit
|
|
593,812
|
|
432,034
|
|
1,765,480
|
|
|
Administrative expenses
|
|
(1,701,968)
|
|
(1,250,541)
|
|
(2,997,633)
|
|
|
Other operating income
|
|
4,199
|
|
-
|
|
20,689
|
|
|
Amortisation of intangible
assets
|
|
(150,508)
|
|
(264,557)
|
|
(418,651)
|
|
|
Share based payments (note
17)
|
|
(79,666)
|
|
(119,083)
|
|
(236,576)
|
|
|
Operating loss
|
|
(1,334,131)
|
|
(1,202,147)
|
|
(1,866,691)
|
|
|
Investment revenues
Finance costs
Foreign exchange
gains/(losses)
Impairment of intangible assets (note
9)
Share of loss of equity
accounted investee, net of tax (note
10)
|
|
43,884
(6,068)
(8,994)
-
(3,350)
|
|
181
(9,539)
11,857
(4,968,529)
(25,111)
|
|
34,014
(17,207)
(68,802)
(4,968,529)
(33,047)
|
|
|
Loss
before taxation
|
|
(1,308,659)
|
|
(6,193,288)
|
|
(6,920,262)
|
|
|
Income tax income
|
|
395,778
|
|
317,230
|
|
428,326
|
|
|
Loss
for the financial period
|
|
(912,881)
|
|
(5,876,058)
|
|
(6,491,936)
|
|
|
Attributable to:
Equity holder of the
company
|
|
(916,128)
|
|
(5,887,194)
|
|
(6,491,936)
|
|
|
Non-controlling interest
|
|
3,247
|
|
11,136
|
|
2,313
|
|
|
Total Comprehensive Income
|
|
(912,881)
|
|
(5,876,058)
|
|
(6,491,936)
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per share (note 7)
|
|
|
|
|
|
|
|
|
Basic (pence per share)
|
|
(0.17)
|
|
(1.54)
|
|
(1.54)
|
|
Eden Research plc - Consolidated Statement of Financial
Position as at 30 June 2024
|
|
30 June
2024
|
|
30 June
2023
|
|
31 Dec
2023
|
|
|
£
unaudited
|
|
£
unaudited
|
|
£
audited
|
|
NON-CURRENT ASSETS
|
|
|
|
|
|
|
Intangible assets (note 9)
|
5,620,863
|
|
3,641,058
|
|
4,710,511
|
|
Property, plant & equipment (note
12)
|
231,997
|
|
167,175
|
|
230,091
|
|
Right of Use assets (note
13)
|
144,769
|
|
265,141
|
|
212,437
|
|
Investments in associate (note
10)
|
293,847
|
|
305,133
|
|
297,197
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
6,291,476
|
|
4,378,507
|
|
5,450,236
|
|
CURRENT ASSETS
|
|
|
|
|
|
|
Inventories (note 14)
|
618,190
|
|
651,394
|
|
964,552
|
|
Trade and other receivables (note
15)
|
2,463,758
|
|
930,000
|
|
2,449,623
|
|
Taxation
|
712,978
|
|
640,946
|
|
317,201
|
|
Cash and cash equivalents
|
4,947,303
|
|
492,766
|
|
7,413,107
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
8,742,229
|
|
2,715,106
|
|
11,144,483
|
|
|
|
|
|
|
|
|
CURRENT LIABILITIES
|
|
|
|
|
|
|
Trade and other payables (note
16)
|
2,161,728
|
|
1,818,582
|
|
2,819,153
|
|
Lease liabilities
|
139,773
|
|
138,808
|
|
142,849
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2,301,501
|
|
1,957,390
|
|
2,962,002
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET
CURRENT ASSETS
|
6,440,728
|
|
757,716
|
|
8,182,481
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NON-CURRENT LIABILITIES
|
|
|
|
|
|
|
Lease liabilities
|
19,622
|
|
147,780
|
|
86,920
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
19,622
|
|
147,780
|
|
86,920
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
NET
ASSETS
|
12,712,582
|
|
4,988,443
|
|
13,545,797
|
|
|
|
|
|
|
|
|
EQUITY
|
|
|
|
|
|
|
Called up share capital
|
5,333,529
|
|
3,811,089
|
|
5,333,529
|
|
Share premium account
|
6,413,652
|
|
39,308,529
|
|
6,413,652
|
|
Warrant reserve
|
664,892
|
|
640,741
|
|
758,234
|
|
Retained earnings
|
270,447
|
|
(38,807,554)
|
|
1,013,567
|
|
Non-controlling interest
|
30,062
|
|
35,638
|
|
26,815
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
TOTAL EQUITY
|
12,712,582
|
|
4,988,443
|
|
13,545,797
|
|
|
|
|
|
|
|
Eden
Research plc - Consolidated Statement of Changes in Equity as at 30
June
2024
|
|
Share
capital
|
Share
premium
|
Merger
reserve
|
Warrant
reserve
|
Retained
earnings
|
Non-control-ling
interest
|
Total
|
|
|
£
|
£
|
£
|
£
|
£
|
£
|
£
|
|
Six months ended 30 June
2024
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance at 1 January 2024 (audited)
|
5,333,529
|
6,413,652
|
-
|
758,234
|
1,013,567
|
26,815
|
13,545,797
|
|
|
|
|
|
|
|
|
|
|
(Loss)
/profit and total comprehensive income
|
-
|
-
|
-
|
-
|
(916,128)
|
3,247
|
(912,881)
|
|
Transactions with owners
|
|
|
|
|
|
|
|
|
-
Options granted
|
-
|
-
|
-
|
79,666
|
-
|
-
|
79,666
|
|
-
Options exercised/ lapsed
|
-
|
-
|
-
|
(173,008)
|
173,008
|
-
|
-
|
|
|
|
|
|
|
|
|
|
|
Transactions with owners
|
-
|
-
|
-
|
(93,342)
|
173,008
|
-
|
-
|
|
|
|
|
|
|
|
|
|
|
Balance at 30 June 2024 (unaudited)
|
5,333,529
|
6,413,652
|
-
|
664,892
|
270,447
|
30,062
|
12,712,582
|
|
|
|
|
|
|
|
|
|
|
Six months ended 30 June
2023
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance at 1 January 2023
(audited)
|
3,808,589
|
39,308,529
|
10,209,673
|
701,065
|
(43,309,440)
|
24,502
|
10,742,918
|
|
|
|
|
|
|
|
|
|
|
(Loss)/profit and total
comprehensive income
|
-
|
-
|
-
|
-
|
(5,887,194)
|
11,136
|
(5,876,058)
|
|
Transactions with owners
|
|
|
|
|
|
|
|
|
-
Transfer of merger reserve
- Options granted
|
-
-
|
-
-
|
(10,209,673)
-
|
-
119,083
|
10,209,673
-
|
-
-
|
-
119,083
|
|
- Options
exercised/lapsed
|
2,500
|
-
|
-
|
(179,407)
|
179,407
|
-
|
2,500
|
|
|
|
|
|
|
|
|
|
|
Transactions with owners
|
-
|
-
|
(10,209,673)
|
(60,324)
|
10,389,080
|
-
|
2,500
|
|
|
|
|
|
|
|
|
|
|
Balance at 30 June 2023
(unaudited)
|
3,811,089
|
39,308,529
|
-
|
640,741
|
(38,807,554)
|
35,638
|
4,988,443
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Eden Research plc - Consolidated Statement of cash flows for
the six months ended 30 June 2024
|
|
|
|
|
|
|
|
|
|
Six months
|
|
Six months
|
|
|
|
|
|
ended
|
|
ended
|
|
Year ended
31
|
|
|
|
30 June
2024
|
|
30 June
2023
|
|
December
2023
|
|
|
|
£
|
|
£
|
|
£
|
|
|
|
unaudited
|
|
unaudited
|
|
audited
|
|
|
|
|
|
|
|
|
|
|
Cash
flows from operating activities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash outflow from operations (note
8)
|
(1,306,694)
|
|
(1,018,716)
|
|
(2,130,252)
|
|
|
R&D tax credit
received
|
1
|
|
-
|
|
434,841
|
|
|
|
|
|
|
|
|
|
|
Net cash used in operating
activities
|
(1,306,693)
|
|
(1,018,716)
|
|
(1,695,411)
|
|
|
|
|
|
|
|
|
|
|
Cash
flows from investing activities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Development of intangible
assets
|
(1,060,860)
|
|
(426,918)
|
|
(1,650,465)
|
|
|
Purchase of property, plant and
equipment
|
(48,649)
|
|
(1,875)
|
|
(102,391)
|
|
|
Interest received
|
43,884
|
|
181
|
|
34,014
|
|
|
|
|
|
|
|
|
|
|
Net cash used in investing
activities
|
(1,065,625)
|
|
(428,612)
|
|
(1,718,842)
|
|
|
|
|
|
|
|
|
|
|
Cash
flows from financing activities
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Issue of shares
|
-
|
|
2,500
|
|
9,058,239
|
|
|
Payment of lease
liabilities
|
(79,108)
|
|
(59,196)
|
|
(139,539)
|
|
|
Interest on lease
liabilities
|
(5,383)
|
|
(9,539)
|
|
(17,009)
|
|
|
|
|
|
|
|
|
|
|
Net cash used in financing
activities
|
(84,491)
|
|
(66,235)
|
|
8,901,690
|
|
|
|
|
|
|
|
|
|
|
Decrease in cash and cash equivalents
|
(2,456,810)
|
|
(1,513,563)
|
|
5,487,437
|
|
|
|
|
|
|
|
|
|
|
Cash
and cash equivalents at
|
|
|
|
|
|
|
|
beginning of period
Effect of exchange rate fluctuations on cash
held
|
7,413,107
(8,994)
|
|
1,994,472
11,857
|
|
1,994,472
(68,802)
|
|
|
|
|
|
|
|
|
|
|
Cash
and cash equivalents at
|
|
|
|
|
|
|
|
end of period
|
4,947,303
|
|
492,766
|
|
7,413,107
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents comprise
bank account balances.
Notes to the Interim
Results
1. Reporting
Entity
Eden Research plc is a public
limited company incorporated in the United Kingdom under the
Companies Act 1985. The Company is domiciled in the United Kingdom
and is quoted on the Alternative Investment Market
(AIM).
These condensed consolidated interim
financial statements ('Interims') as at and for the six months
ended 30 June 2024 comprise the Company and its Subsidiaries
(together referred to as 'the Group'). The principal activities of
the Group are the development and commercialisation of
encapsulation, terpenes and environmentally friendly technologies
to provide naturally occurring solutions for the global
agrochemicals, animal health, and consumer product
industries.
2. Basis of
Preparation
These Interims have been prepared in
accordance with IAS 34 'Interim Financial Reporting' and should be
read in conjunction with the Group's last annual consolidated
financial statements as at and for the year ended 31 December 2023
which were approved by the Board of Directors on 2 May 2024 and
have been delivered to the Registrar of Companies. The report of
the auditors on those financial statements was unqualified, did not
contain an emphasis of matter paragraph and did not contain any
statement under section 498 of the Companies Act 2006.
The Interims do not include all of
the information required for a complete set of financial statements
prepared under UK-adopted International Accounting Standards and do
not constitute statutory accounts within the meaning of section 434
of the Companies Act 2006. However, selected explanatory notes are
included to explain events and transactions that are significant to
an understanding of the changes in the Group's financial position
and performance since the last annual financial
statements.
Comparative information in the
Interims as at and for the year ended 31 December 2023 has been
taken from the published audited financial statements as at and for
the year ended 31 December 2023. All other periods presented are
unaudited.
The Board of Directors and the Audit
Committee approved the interims on 20 September 2024.
3. Going
Concern
The Directors have, at the time of
approving the Interims, a reasonable expectation that the Group has
adequate resources to continue in operational existence for at
least 12 months from the approval of the financial statements.
Thus, the Interim financial statements have been prepared on a
going concern basis which contemplates the realisation of assets
and the settlement of liabilities in the ordinary course of
business.
The Group has reported a loss for
the first half of the year after taxation of £912,881 (H1 2023:
£5,876,058). Net current assets at that date amounted to
£6,440,728 (H1
2023: £757,716).
Cash at that date amounted to £4,947,303 (H1 2023:
£492,766). The
Group is reliant on its current cash balance to fund its working
capital.
The Directors have prepared budgets
and projected cash flow forecasts, based on forecast sales provided
by Eden's distributors where available, for a period of at least 12
months from the date of approval of the Interims and they consider
that the Company and Group will be able to operate with the cash
resources that are available to it for this
period.
The forecasts adopted include only
revenue derived from existing contracts. They do not include
potential upside from on-going discussions and negotiations with
other parties not yet contracted, as well as other 'blue sky'
opportunities.
In addition, the Group has
relatively low fixed running costs and, while mitigating actions
are not forecast to be required to support the going concern basis,
the Directors have previously demonstrated their ability to
postpone certain other costs, such as Research and Development
expenditure, in the event of unforeseen cash constraints and are
willing and able to delay costs in the forecast period should the
need arise.
Furthermore, in July 2023, Eden
completed a firm Capital Raising of £1.1 million and Retail
Offer of £0.4 million (July 2023) together with a Conditional
Capital Raising of £7.9 million, all before expenses.
Consequently, the Directors are
confident that the Company will have sufficient funds to continue
to meet its liabilities as they fall due for at least 12 months
from the date of approval of the half year report and therefore
have prepared the half year report on a going concern
basis.
4. Adoption of
new and revised standards and changes in accounting
policies
These condensed consolidated
Interims have been prepared in accordance with the accounting
policies adopted in the last annual financial statements for the
year to 31 December 2023.
The accounting policies have been
applied consistently for the purposes of preparation of these
condensed Interims.
5. Principal
risks and uncertainties
The Company's prime risk is the
on-going commercialisation of its intellectual property, which
involves testing of the Company's products, obtaining regulatory
approvals and reaching a commercially beneficial arrangement for
each product to be taken to market. This is measured by comparing
actual results with forecasts that have been agreed by the
Company's Board of Directors.
The Company's credit risk is
primarily attributable to its trade receivables. Credit risk is
managed by running credit checks on customers and by monitoring
payments against contractual agreements.
The Company monitors cash flow as
part of its day-to-day control procedures. The Board considers cash
flow projections at its meetings and ensures that the Company has
sufficient cash resources to meet its on-going cash flow
requirements.
Due to the nature of the business,
there is inherent risk of infringement of Eden's intellectual
property rights by third parties. The risk of infringement is
managed by taking (and acting on) the relevant legal advice as and
when required.
There is also inherent uncertainty
surrounding the regulatory approval of products in terms of both
timing and outcome. This risk is managed by retaining appropriately
experienced staff and contracting with expert consultants as
needed.
Full details of the principal risks
and uncertainties can be found in the Strategic Report in the
Company's 2023 Annual Report.
6.
Ukraine
Eden does not currently have any
business activities in Russia or Ukraine and, as such, has not
experienced, nor does it expect, any direct impact on its
business.
The knock-on effect of the conflict
on other countries is still being understood, though we do not
envisage significant disruption to the current business in the
short term.
7. Earnings
per share
|
|
Six months
ended
30 June
2024
Pence
unaudited
|
|
Six months
ended
30 June
2023
Pence
unaudited
|
|
Year
ended
31
December 2023
Pence
audited
|
|
(Loss)/profit per ordinary share
(pence) - basic
|
(0.17)
|
|
(1.54)
|
|
(1.54)
|
Loss per share - basic has been
calculated on the net basis on the loss after tax of
£912,881 (30 June
2023: £5,876,058,
31 December 2023: £6,491,936) using the weighted average number of
ordinary shares in issue of 533,352,523 (30 June 2023: 380,912,474,
31 December 2023: 420,921,123).
Diluted earnings per share has not
been presented as the Group is currently loss making and as a
result, any additional equity instruments have the effect of being
anti-dilutive.
8.
Reconciliation of
loss before income tax to cash used by operations
|
|
Six months
ended
30 June
2024
£
unaudited
|
|
Six months
ended
30 June
2023
£
unaudited
|
|
Year ended
31 December
2023
£
audited
|
|
|
(Loss)/profit after tax
|
(912,881)
|
|
(5,876,058)
|
|
(6,
491,936)
|
|
|
|
|
|
|
|
|
|
|
Adjustments for:
|
|
|
|
|
|
|
|
Share of associate's
losses
|
3,350
|
|
25,111
|
|
33,047
|
|
|
Amortisation charges
|
150,508
|
|
264,557
|
|
5,387,180
|
|
|
Impairment of intangible
assets
|
-
|
|
4,968,529
|
|
-
|
|
|
Share based payment
charge
|
79,666
|
|
119,083
|
|
236,576
|
|
|
Depreciation of property, plant and
equipment and right of use assets
|
114,411
|
|
101,159
|
|
206,426
|
|
|
Finance costs
|
5,383
|
|
-
|
|
17,009
|
|
|
Foreign exchange currency
losses/(gains)
|
8,994
|
|
(11,857)
|
|
68,802
|
|
|
Finance income
|
(43,884)
|
|
(181)
|
|
(34,014)
|
|
|
Tax credit
|
(395,778)
|
|
(317,230)
|
|
(428,326)
|
|
|
Inventory provision
|
-
|
|
-
|
|
-
|
|
|
Doubtful debt provision
|
-
|
|
-
|
|
-
|
|
|
|
|
|
|
|
|
|
|
Movements in working capital:
|
|
|
|
|
|
|
|
(Increase)/decrease in trade and
other receivables
|
(14,135)
|
|
(271,134)
|
|
(1,790,757)
|
|
|
(Decrease)/ Increase in trade and
other payables
|
(648,690)
|
|
5,241
|
|
1,004,833
|
|
|
Decrease/(increase) in
inventory
|
346,362
|
|
(25,936)
|
|
(339,094)
|
|
|
|
|
|
|
|
|
|
|
Cash used by operations
|
(1,306,694)
|
|
(1,018,716)
|
|
(2,130,252)
|
|
9. Intangible
assets
|
|
Intellectual
property
|
Licences and
trademarks
|
Development
Costs
|
Total
|
|
|
£
|
£
|
£
|
£
|
|
COST
|
|
|
|
|
|
At 1 January 2023
|
9,507,057
|
456,684
|
9,074,031
|
19,037,772
|
|
Additions
|
-
|
-
|
426,918
|
426,918
|
|
|
|
|
|
|
|
At 30 June 2023
|
9,507,057
|
456,684
|
9,500,949
|
19,464,690
|
|
Additions
|
45,166
|
-
|
1,178,381
|
1,223,547
|
|
|
|
|
|
|
|
At 31 December 2023
|
9,552,223
|
456,684
|
10,679,330
|
20,688,237
|
|
Additions
|
-
|
-
|
1,060,860
|
1,060,860
|
|
|
|
|
|
|
|
At
30 June 2024
|
9,552,223
|
456,684
|
11,740,190
|
21,749,097
|
|
|
|
|
|
|
|
AMORTISATION
|
|
|
|
|
|
|
|
|
|
|
|
At 1 January 2023
|
7,146,975
|
450,192
|
2,993,379
|
10,590,546
|
|
Charge for the period
|
132,588
|
780
|
131,189
|
264,557
|
|
Impairment charge for the
period
|
1,705,122
|
2,545
|
3,260,862
|
4,968,529
|
|
|
|
|
|
|
|
At 30 June 2023
|
8,984,685
|
453,517
|
6,385,430
|
15,825,242
|
|
Charge for the period
|
30,864
|
608
|
122,622
|
152,484
|
|
|
|
|
|
|
|
At 31 December 2023
|
9,015,549
|
454,125
|
6,508,052
|
15,977,726
|
|
Charge for the period
|
33,372
|
522
|
116,614
|
150,508
|
|
|
|
|
|
|
|
At
30 June 2024
|
9,048,921
|
454,647
|
6,624,666
|
16,128,234
|
|
|
|
|
|
|
|
CARRYING AMOUNT
|
|
|
|
|
|
|
|
|
|
|
|
At
30 June 2024
|
503,302
|
2,037
|
5,115,524
|
5,620,863
|
|
|
|
|
|
|
|
At 31 December 2023
|
536,674
|
2,559
|
4,171,278
|
4,710,511
|
|
|
|
|
|
|
|
At
30 June 2023
|
522,372
|
3,167
|
3,115,519
|
3,641,058
|
Impairment
review
Full details of the impairment
review and subsequent charge in 2023 can be found in the Company's
2023 Annual Report and Accounts.
Given that the Company has recently
completed an impairment review as part of its 2023 audit and since
there have been no indicators of impairment subsequent to that, as
well as positive events, such as the authorisation of Mevalone in
California, Germany and Czechia, and label extension for Mevalone
in Spain, the Board is satisfied that an impairment review is not
required at this point.
The Board will continue to assess
the carrying value of its intangible assets on a regular basis to
check for any indications of impairment.
10. Investment in associate
|
|
|
Six months
ended
|
|
Six
months ended
|
|
Year
ended
|
|
|
|
30 June
2024
|
|
30 June
2023
|
|
31
December 2023
|
|
|
|
unaudited
|
|
unaudited
|
|
audited
|
|
|
|
|
|
|
|
|
|
Percentage ownership interest
|
|
|
|
|
|
|
|
and proportion of voting
rights
|
|
29.90%
|
|
29.90%
|
|
29.90%
|
|
|
|
|
|
|
|
|
|
|
|
£
|
|
£
|
|
£
|
|
Non-current assets
|
|
284,742
|
|
347,094
|
|
315,918
|
|
Current assets
|
|
360,750
|
|
340,873
|
|
311,599
|
|
Non-current liabilities
|
|
(468)
|
|
(57,155)
|
|
(23,819)
|
|
Current liabilities
|
|
(328,661)
|
|
(386,531)
|
|
(309,349)
|
|
|
|
|
|
|
|
|
|
Net
assets (100%)
|
|
316,363
|
|
244,281
|
|
294,349
|
|
|
|
|
|
|
|
|
|
Company's share of net
assets
|
|
94,593
|
|
73,040
|
|
88,010
|
|
Separable intangible
assets
|
|
86,126
|
|
118,965
|
|
96,059
|
|
Goodwill
|
|
412,649
|
|
412,649
|
|
412,649
|
|
Impairment of investment in
associate
|
|
(299,521)
|
|
(299,521)
|
|
(299,521)
|
|
|
|
|
|
|
|
|
|
Carrying amount of interest in associate
|
|
293,847
|
|
305,133
|
|
297,197
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenue
|
|
434,230
|
|
297,304
|
|
515,647
|
|
Profit/(loss) from continuing
operations
|
|
13,158
|
|
(59,620)
|
|
(61,802)
|
|
Post tax profit from discontinued
operations
|
|
-
|
|
-
|
|
-
|
|
100% of total post-tax
profits
|
|
13,158
|
|
(59,620)
|
|
(61,802)
|
|
29.9% of total post-tax
profits
|
|
(3,934)
|
|
(17,827)
|
|
(18,479)
|
|
Amortisation of separable intangible
assets
|
(7,284)
|
|
(7,284)
|
|
(14,568)
|
|
|
|
|
|
|
|
|
|
Company's share of loss including amortisation of separable
intangible asset
|
(3,350)
|
|
(25,111)
|
|
(33,047)
|
11.
Subsidiaries
|
Details of the company's
subsidiaries at 30 June 2023 are as follows:
|
|
|
|
Name of undertaking
|
Country of incorporation
|
Ownership interest (%)
|
Voting power held (%)
|
Nature of business
|
|
TerpeneTech Limited
Eden Research Europe
Limited
|
Republic of Ireland
Republic of Ireland
|
50.00
100.00
|
50.00
100.00
|
Sale of biocide products
Dormant
|
|
TerpeneTech Limited ("TerpeneTech
(Ireland))", whose registered office is 108 Q House, Furze Road,
Sandyford, Dublin, Ireland, was incorporated on 15 January 2019 and
is jointly owned by both Eden Research Plc and TerpeneTech (UK),
the company's associate.
Eden has the right to appoint a
director as chairperson who will have a casting vote, enabling the
Group to exercise control over the Board of Directors in the
absence of an equivalent right for TerpeneTech (UK). Eden owns 500
ordinary shares in TerpeneTech (Ireland).
Eden Research Europe Limited, whose
registered office is 108 Q House, Furze Road, Sandyford, Dublin,
Ireland, was incorporated on 18 November 2020 and is wholly owned
by both Eden Research plc.
|
Non-controlling interests
The following table summarises the
information relating to the Group's subsidiary with material
non-controlling interest, before intra-group
eliminations:
|
|
|
30
June
2024
|
30 June 2023
|
|
31 Dec 2023
|
|
|
|
£
|
£
|
|
£
|
|
|
|
unaudited
|
unaudited
|
|
audited
|
|
|
|
|
|
|
|
|
NCI
percentage
|
50%
|
50%
|
|
50%
|
|
|
|
|
|
|
|
Non-current assets
|
73,019
|
86,291
|
|
79,655
|
|
Current assets
|
100,310
|
34,983
|
|
56,887
|
|
Non-current liabilities
|
-
|
-
|
|
-
|
|
Current liabilities
|
(197,208)
|
-
|
|
(166,914)
|
|
|
|
|
|
|
|
Net
assets/(liabilities)
|
(23,879)
|
121,274
|
|
(30,372)
|
|
|
|
|
|
|
|
Carrying amount of NCI
|
|
|
|
-
|
|
|
|
|
|
|
|
|
Revenue
|
43,423
|
28,907
|
|
50,811
|
|
|
Profit/(loss)
|
6,493
|
22,271
|
|
4,625
|
|
|
OCI
|
-
|
-
|
|
-
|
|
Total comprehensive income
|
6,493
|
22,271
|
|
4,625
|
|
Share of NCI (50% of net Total comprehensive
income)
|
3,247
|
11,136
|
|
2,313
|
|
|
|
|
|
|
|
Cash flows from operating
activities
|
-
|
-
|
|
-
|
|
Cash flows from investment
activities
|
-
|
-
|
|
-
|
|
Cash flows from financing
activities
|
-
|
-
|
|
-
|
|
Net increase/(decrease) in cash and
cash equivalents
|
-
|
-
|
|
-
|
|
|
|
|
|
|
|
Dividends paid to non-controlling interests
|
-
|
-
|
|
-
|
12. Property, plant and
equipment
|
|
Land and
buildings
|
|
Total
|
|
|
£
|
|
£
|
|
COST
|
|
|
|
|
At 1 January 2023
|
332,956
|
|
332,956
|
|
Additions
|
1,875
|
|
1,875
|
|
|
|
|
|
|
At 30 June 2023
|
334,831
|
|
334,831
|
|
Additions - owned
|
100,516
|
|
100,516
|
|
|
|
|
|
|
At 31 December 2023
|
435,347
|
|
435,347
|
|
Additions
|
48,649
|
|
48,649
|
|
|
|
|
|
|
At
30 June 2024
|
483,996
|
|
483,996
|
|
|
|
|
|
|
AMORTISATION
|
|
|
|
|
|
|
|
|
|
At 1 January 2023
|
134,170
|
|
134,170
|
|
Charge for the period
|
33,486
|
|
33,486
|
|
|
|
|
|
|
At 30 June 2023
|
167,656
|
|
167,656
|
|
Charge for the period
|
37,600
|
|
37,600
|
|
|
|
|
|
|
At 31 December 2023
|
205,256
|
|
205,256
|
|
Charge for the period
|
46,743
|
|
46,743
|
|
|
|
|
|
|
At
30 June 2024
|
251,999
|
|
251,999
|
|
|
|
|
|
|
CARRYING AMOUNT
|
|
|
|
|
|
|
|
|
|
At
30 June 2024
|
231,997
|
|
231,997
|
|
|
|
|
|
|
At
31 December 2023
|
230,091
|
|
230,091
|
|
|
|
|
|
|
At
30 June 2023
|
167,175
|
|
167,175
|
|
|
|
|
|
13. Right of use
assets
|
|
Land and
buildings
|
Vehicles
|
|
Total
|
|
|
£
|
£
|
|
£
|
|
COST
|
|
|
|
|
|
At 1 January 2023
|
443,777
|
137,436
|
|
581,213
|
|
Additions
|
-
|
-
|
|
-
|
|
|
|
|
|
|
|
At 30 June 2023
|
443,777
|
137,436
|
|
581,213
|
|
Additions
|
-
|
14,963
|
|
14,963
|
|
Disposals
|
-
|
(22,282)
|
|
(22,282)
|
|
|
|
|
|
|
|
At 31 December 2023
|
443,777
|
130,117
|
|
573,894
|
|
|
|
|
|
|
|
At
30 June 2024
|
443,777
|
130,117
|
|
573,894
|
|
|
|
|
|
|
|
AMORTISATION
|
|
|
|
|
|
|
|
|
|
|
|
At 1 January 2023
|
210,741
|
37,658
|
|
248,399
|
|
Charge for the period
|
45,438
|
22,235
|
|
67,673
|
|
Eliminated on disposal
|
-
|
-
|
|
-
|
|
|
|
|
|
|
|
At 30 June 2023
|
256,179
|
59,893
|
|
316,072
|
|
Charge for the period
Eliminated on disposal
|
45,438
-
|
22,229
(22,282)
|
|
67,667
(22,282)
|
|
|
|
|
|
|
|
At 31 December 2023
|
301,617
|
59,840
|
|
361,457
|
|
Charge for the period
|
45,438
|
22,230
|
|
67,668
|
|
|
|
|
|
|
|
At
30 June 2024
|
347,055
|
82,070
|
|
429,125
|
|
|
|
|
|
|
|
CARRYING AMOUNT
|
|
|
|
|
|
|
|
|
|
|
|
At
30 June 2024
|
96,722
|
48,047
|
|
144,769
|
|
|
|
|
|
|
|
At 31 December 2023
|
142,160
|
70,277
|
|
212,437
|
|
|
|
|
|
|
|
At 30 June 2023
|
187,598
|
77,543
|
|
265,141
|
|
14.
|
Inventories
|
|
|
|
|
|
30 June
|
31 December
|
|
|
|
30 June
2024
|
2023
|
2023
|
|
|
|
£
|
£
|
£
|
|
|
|
|
Raw materials
|
|
355,348
|
533,227
|
149,644
|
|
|
Goods in transit
|
|
-
|
-
|
27,736
|
|
|
Finished goods
|
|
262,842
|
118,167
|
787,172
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
618,190
|
651,394
|
964,552
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Inventory above is shown net of a
provision off
|
|
|
|
|
|
|
Provision for obsolete
inventory
|
|
-
|
76,250
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
-
|
76,250
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
15.
|
Trade and other receivables
|
|
|
|
|
|
30 June
|
31 December
|
|
|
|
30 June
2024
|
2023
|
2023
|
|
|
|
£
|
£
|
£
|
|
|
|
|
Trade receivables
|
|
1,609,698
|
479,311
|
1,788,151
|
|
|
VAT recoverable
|
|
361,566
|
252,336
|
386,684
|
|
|
Other receivables
|
|
160,328
|
99,140
|
112,375
|
|
|
Prepayments and accrued
income
|
|
332,166
|
99,213
|
162,413
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2,463,758
|
930,000
|
2,449,623
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Trade receivables are shown net of a
provision for doubtful debt of:
|
|
|
|
|
|
|
Provision for doubtful
debt
|
|
-
|
107,188
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
-
|
107,188
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Trade receivables disclosed above
are measured at amortised cost. The Directors consider that the
carrying amount of trade and other receivables approximates their
fair value.
|
|
16.
|
Trade and other payables
|
|
|
|
|
|
30 June
|
31 December
|
|
|
|
30 June
2024
|
2023
|
2023
|
|
|
|
£
|
£
|
£
|
|
|
|
|
Trade payables
|
|
1,720,027
|
1,171,433
|
1,925,559
|
|
|
Accruals and deferred
income
|
|
184,157
|
420,310
|
640,342
|
|
|
Social security and other
taxation
|
|
62,911
|
55,434
|
56,841
|
|
|
Other payables
|
|
194,633
|
171,405
|
196,411
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2,161,728
|
1,818,582
|
2,819,153
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Long-Term Incentive Plan ("LTIP")
Since September 2017 Eden has
operated an option scheme for Executive Directors, senior
management and certain employees under an LTIP which allows for
certain qualifying grants to be HMRC approved. Details on options
issued in prior periods can be found in the annual report for the
year ended 31 December 2023.
|
Options
|
|
|
|
|
Number of share
options
|
Weighted average exercise
price (pence)
|
|
|
|
30 Jun 2024
|
30 Jun 2023
|
30 Jun 2024
|
30 Jun 2023
|
|
|
Outstanding at 1 January
|
|
23,486,534
|
|
16,312,649
|
|
8
|
|
7
|
|
|
Granted during the period
|
|
-
|
|
-
|
|
-
|
|
-
|
|
|
Exercised during the
period
|
|
-
|
|
(250,000)
|
|
-
|
|
1
|
|
|
Lapsed during the period
|
|
(3,596,432)
|
|
(3,500,000)
|
|
6
|
|
6
|
|
|
|
|
|
Exercisable at 30 June
|
|
19,890,102
|
|
12,562,649
|
|
6
|
|
8
|
|
The exercise price of options
outstanding at the end of the period ranged between 6p and 10.4p
(H1 2023: 6p and 10.4p) and their weighted average contractual life
was 2.0 years (H1 2023: 1.4 years).
The share-based payment charge for
the period, in respect of options, was £79,666 (H1 2023: £119,083).
The charge in H1, 2024 is in respect of the options granted in 2023
under a LTIP Award.
During the period, 3,596,432 of
options lapsed and £173,008 (H1 2023: £171,251) was transferred
from the warrant reserve to retained earnings.
There were no warrants outstanding at
30 June 2024.
|
18. Segmental
Reporting
IFRS 8 requires operating segments
to be reported in a manner consistent with the internal reporting
provided to the chief operating decision-maker. The chief operating
decision-makers, who are responsible for the resource
allocation and assessing performance of the
operating segments have been identified as the Executive Directors
as they are primarily responsible for the allocation of the
resources to segments and the assessment of performance of the
segments.
The Executive Directors monitor and
then assess the performance of segments based on product type and
geographical area using a measure of adjusted EBITDA. This is the
result of the segment after excluding the share-based payment
charges, other operating income and the amortisation of
intangibles. These items, together with interest income and expense
are not allocated to a specific segment.
The segmental information for the six
months ended 30 June 2024 is as follows:
|
|
Agrochemicals
|
Consumer
products
|
Total
|
|
Revenue
|
£
|
£
|
£
|
|
Milestone payments
|
165,245
|
-
|
165,245
|
|
R & D charges
|
-
|
2,309
|
2,309
|
|
Royalties
|
-
|
43,423
|
43,423
|
|
Product sales
|
1,674,952
|
-
|
1,674,952
|
|
Total revenue
|
1,840,197
|
45,732
|
1,885,929
|
|
EBITDA
|
(991,394)
|
45,732
|
(945,662)
|
|
Share Based Payments
|
(79,666)
|
-
|
(79,666)
|
|
Adjusted EBITDA
|
(1,071,060)
|
45,732
|
(1,025,328)
|
|
Amortisation
|
(143,872)
|
(6,636)
|
(150,508)
|
|
Impairment
|
-
|
-
|
-
|
|
Depreciation
|
(114,411)
|
-
|
(114,411)
|
|
Finance costs, foreign exchange and
investment revenues
|
(15,062)
|
-
|
(15,062)
|
|
Income Tax
|
395,778
|
-
|
395,778
|
|
Share of Associate's loss
|
-
|
(3,350)
|
(3,350)
|
|
(Loss)/Profit for the Period
|
(916,231)
|
35,746
|
(912,881)
|
|
Total Assets
|
14,860,376
|
173,329
|
15,033,705
|
|
Total assets includes:
|
|
|
|
|
Additions to Non-Current
Assets
|
1,109,509
|
-
|
1,109,509
|
|
Total Liabilities
|
2,123,915
|
197,208
|
2,321,123
|
|
|
|
|
|
The segmental information for the six
months ended 30 June 2023 is as follows:
|
|
Agrochemicals
|
Consumer
products
|
Total
|
|
Revenue
|
£
|
£
|
£
|
|
Milestone payments
|
-
|
-
|
-
|
|
R & D charges
|
-
|
4,943
|
4,943
|
|
Royalties
|
-
|
28,907
|
28,907
|
|
Product sales
|
1,108,521
|
-
|
1,108,521
|
|
Total revenue
|
1,108,521
|
33,850
|
1,142,371
|
|
EBITDA
|
(751,178)
|
33,850
|
(717,328)
|
|
Share Based Payments
|
(119,083)
|
-
|
(119,083)
|
|
Adjusted EBITDA
|
(870,261)
|
33,850
|
(836,411)
|
|
Amortisation
|
(257,941)
|
(6,636)
|
(264,577)
|
|
Impairment
|
(4,968,529)
|
-
|
(4,968,529)
|
|
Depreciation
|
(101,159)
|
-
|
(101,159)
|
|
Finance costs, foreign exchange and
investment revenues
|
2,499
|
-
|
2,499
|
|
Income Tax
|
317,230
|
-
|
317,230
|
|
Share of Associate's loss
|
-
|
(25,111)
|
(25,111)
|
|
(Loss)/Profit for the Year
|
(5,878,161)
|
2,103
|
(5,876,058)
|
|
Total Assets
|
6,971,889
|
121,274
|
7,093,613
|
|
Total assets includes:
|
|
|
|
|
Additions to Non-Current
Assets
|
428,793
|
-
|
428,793
|
|
Total Liabilities
|
2,085,170
|
20,000
|
2,105,170
|
|
|
|
|
|
The segmental information for the
year ended 31 December 2023 is as follows:
|
|
Agrochemicals
|
Consumer
products
|
Total
|
|
Revenue
|
£
|
£
|
£
|
|
Milestone payments
|
-
|
-
|
-
|
|
R & D charges
|
501,324
|
9,133
|
510,457
|
|
Royalties
|
17,391
|
50,811
|
68,202
|
|
Product sales
|
2,613,368
|
-
|
2,613,368
|
|
Total revenue
|
3,132,083
|
59,944
|
3,192,027
|
|
Adjusted EBITDA
|
(1,064,982)
|
59,944
|
(1,005,038)
|
|
Share Based Payments
|
(236,576)
|
-
|
(236,576)
|
|
EBITDA
|
(1,301,558)
|
59,944
|
(1,241,614)
|
|
Amortisation
|
(405,379)
|
(13,272)
|
(418,651)
|
|
Depreciation
|
(206,426)
|
-
|
(206,426)
|
|
Finance costs, foreign exchange and
investment revenues
|
(51,995)
|
-
|
(51,995)
|
|
Impairment of investment in
associate
|
(4,968,529)
|
-
|
(4,968,529)
|
|
Income Tax
|
428,326
|
-
|
428,326
|
|
Share of Associate's loss
|
-
|
(33,047)
|
(33,047)
|
|
(Loss)/Profit for the Year
|
(6,505,561)
|
13,625
|
(6,491,936)
|
|
Total Assets
|
16,458,177
|
136,542
|
16,594,719
|
|
Total assets includes:
|
|
|
|
|
Additions to Non-Current
Assets
|
1,730,280
|
37,539
|
1,767,819
|
|
Total Liabilities
|
3,048,922
|
-
|
3,048,922
|
Geographical Reporting
|
|
Six months ended 30 June
2024
|
|
Six months
ended 30 June 2023
|
|
Year ended
31 December 2023
|
|
|
£
|
|
£
|
|
£
|
|
|
|
|
|
|
|
|
UK
|
43,423
|
|
33,850
|
|
59,944
|
|
Europe
|
1,842,506
|
|
1,108,521
|
|
3,132,083
|
|
|
|
|
|
|
|
|
|
1,885,929
|
|
1,142,371
|
|
3,192,027
|
|
|
|
|
|
|
|
The above analysis represents sales
to the Group's direct customers who further distribute these
products to their end markets.
All of the non-current assets are in
the UK.
19. Subsequent
Events
LTIP grant
On 4 July 2024, the Company has made
a grant to the Executive Directors, in respect of 2023 in order to
ensure continuity of long term incentive, of options over
11,918,901 new Ordinary Shares in Eden ("the Options"), at a strike
price of 6.5p each, representing a premium of 48% to the current
share price, in the amounts of 6,805,852 awarded to Sean
Smith and 5,113,049 awarded to Alex Abrey.
The Options expire on 30 June
2028 and vest as follows:
1/3 12 months from the date of
grant
1/3 24 months from the date of
grant
1/3 36 months from the date of
grant
Notes to Editors:
Eden Research is the
only UK-listed company focused on biopesticides for
sustainable agriculture. It develops and supplies innovative
biopesticide products and natural microencapsulation technologies
to the global crop protection, animal health and consumer products
industries.
Eden's products are formulated with
terpene active ingredients, based on natural plant defence
metabolites. To date, they have been primarily used on high-value
fruits and vegetables, improving crop yields and marketability,
with equal or better performance when compared with conventional
pesticides. Eden has two products currently on the
market:
Based on plant-derived active
ingredients, Mevalone® is a foliar biofungicide which
initially targets a key disease affecting grapes and other
high-value fruit and vegetable crops. It is a useful
tool in crop defence programmes and is aligned with the
requirements of integrated pest management programmes. It is
approved for sale in a number of key countries whilst Eden and its
partners pursue regulatory clearance in new territories thereby
growing Eden's addressable market globally.
Cedroz™ is a
bionematicide that targets free living nematodes which are
parasitic worms that affect a wide range of high-value fruit and
vegetable crops globally. Cedroz is registered for sale on
two continents and Eden's commercial collaborator, Eastman
Chemical, is pursuing registration and commercialisation of this
important new product in numerous countries globally.
Eden's seed treatment
product, EcovelexÔ was developed to safely tackle crop destruction caused
by birds - a major cause of losses in maize and other
crops. Ecovelex works by creating an unpleasant taste or odour
that repels birds, leaving the seeds safely intact and the birds
unaffected and free to find alternative food sources. The
product is based on Eden's plant-derived chemistry, registered in
the EU, U.S. and elsewhere, and formulated using Eden's Sustaine®
microencapsulation system.
Eden's Sustaine® encapsulation
technology is used to harness the biocidal efficacy of naturally
occurring chemicals produced by plants (terpenes) and can also be
used with both natural and synthetic compounds to enhance their
performance and ease-of-use. Sustaine microcapsules are
naturally-derived, plastic-free, biodegradable micro-spheres
derived from yeast. It is one of the only viable, proven and
immediately registerable solutions to the microplastics problem in
formulations requiring encapsulation.
Eden was admitted to trading on AIM
on 11 May 2012 and trades under the symbol EDEN. It was
awarded the London Stock Exchange Green Economy Mark in January
2021, which recognises London-listed companies that derive
over 50% of their total annual revenue from products and services
that contribute to the global green economy. Eden derives 100% of
its total annual revenues from sustainable products and
services.
For more information about Eden,
please visit: www.edenresearch.com.
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