TIDMSKL
RNS Number : 9018A
Skillcast Group PLC
28 September 2022
The information contained within this announcement is deemed by
the Company to constitute inside information pursuant to Article 7
of EU Regulation 596/2014 as it forms part of UK domestic law by
virtue of the European Union (Withdrawal) Act 2018 as amended.
28 September 2022
Skillcast Group PLC
("Skillcast", the "Group" or the "Company")
Results for the six months ended 30 June 2022
Skillcast (AIM: SKL), the provider of content and technology for
digital compliance transformation, is pleased to announce its
unaudited results for the six months ended 30 June 2022.
Highlights
6 months to 6 months 12 Months Change
30 June 2022 to 30 June to 31 December (H1 22 v
2021 2021 H1 21)
(unaudited) (unaudited) (audited)
(H1 22) (H1 21)
------------------------------ ---- -------------- -------------- ---------------- ----------
Revenue GBP4.5m GBP3.7m GBP8.4m +20%
Gross margin (%) 69.8% 69.1% 70.5% +0.7pps
Annualised recurring revenue
(ARR)* GBP6.3m GBP5.0m GBP5.8m +26%
Adjusted EBITDA* -GBP0.2m +GBP0.6m GBP1.2m n/a
Basic (loss)/EPS (pence) -0.16p +0.28p +0.47p n/a
Dividend per share (pence) 0.168p 0.188p 0.447p
Cash in bank GBP7.5m GBP4.6m GBP7.9m +61%
(Cash burn) / Free cash -GBP0.3m +GBP1.3m +GBP1.3m n/a
flow
------------------------------------ -------------- -------------- ---------------- ----------
-- Revenue growth of 20% (H1 21: 4%) driven by 33% increase in
subscription revenues predominantly from new customers
-- ARR* increased 26% to GBP6.3m in the 12 months to June 2022 (June 21: GBP5.0m)
-- Adjusted EBITDA* of -GBP0.2m as IPO proceeds start to be
invested with average headcount increasing 32% over the past 12
months to 95 (June 21: 72)
-- Interim dividend declared of GBP150,000, in line with last
year as per our stated policy. This represents 0.168 pence per
share (H1 21: 0.188 pence per share)
-- Cash in bank up at GBP7.5m at 30 June 2022 following GBP3.5m
IPO proceeds (30 June 2021: GBP4.6m)
-- Cash burn of GBP0.3m in H1 22 due in part to planned headcount investments for future growth.
Current trading and outlook
Trading since the period end has continued to increase on the
prior year. In response to rising inflation that is impacting all
businesses, we have implemented a 10% price increase from 1 June.
This has been implemented for new business immediately and for
subscription renewals will feed in progressively from 1 January
2023 .
The strong growth in revenue that we achieved in the first half
of the year was partly due to the significant increase in ARR that
we signed in the latter part of last year. Despite the challenging
market conditions that currently exist we have continued to grow
ARR during the first half of this year, demonstrating the strength
and resilience of our proposition in the non-discretionary
corporate compliance and e-learning market. We expect this trend to
continue and remain confident in achieving full year
expectations.
Vivek Dodd, Chief Executive Officer of Skillcast, said:
"Skillcast enables companies to digitise and consolidate their
compliance processes, thereby reducing costs, improving their
employee experience and helping build more ethical, inclusive and
resilient workplaces. With companies facing inflationary pressures
as well as regulatory demands, the need for this compliance
transformation is greater than ever.
"We are pleased with the 33% growth in our subscription revenue
over H1 21, which raised the total revenue growth to 20% and meant
that subscription revenue as a proportion of total revenue
increased to 70% (H1 21: 63%).
"Since our IPO in December 2021, we have made substantial
improvements to our content and technology products and have
maintained our 4.9/5.0 customer service rating. We have
successfully attracted and retained top talent in key roles.
"Trading in the second half of the year has started in line with
our expectations, and the pipeline of new prospective customers is
strong. Although the macroeconomic outlook in the UK and the EU
remains uncertain, we continue to see opportunities to grow by
offering cost-saving, risk-reducing compliance solutions."
*Further details on the calculation of adjusted EBITDA and ARR
are set out in the Financial Review below
Enquiries:
Skillcast Group plc +44 (0)20 7929 5000
Richard Amos, Chairman
Vivek Dodd, Chief Executive Officer
Richard Steele, Chief Financial Officer
Allenby Capital Limited (Nominated Adviser
& Broker) +44 (0)20 3328 5656
James Reeve, Piers Shimwell (Corporate Finance)
Jos Pinnington, Tony Quirke (Sales and broking)
S tr a t egic and operational progress
Skillcast operates in a $10 billion market for governance, risk
and compliance software. Corporate compliance is undergoing a
structural shift as companies digitise staff training and other
compliance processes. Skillcast is helping companies of all sizes
and business sectors to digitise and consolidate their workflows.
Our Skillcast Portal streamlines their user and administrator
experience and consolidates all their data in one place, thereby
reducing the risk of violations whilst reducing their costs.
Our subscription products include course libraries, a learning
management system, a policy hub, staff declarations and surveys,
online compliance registers, a register for recording offline
activities and continuing professional development ("CPD"). Our
products integrate with several third-party HR software, digital
identity platforms and collaboration apps. Unlike many of our
competitors, our courses and technology are highly customisable,
and we were proud to receive the platinum award for customer
service from Feefo for the third year in a row in 2022.
Our strategy is to grow our recurring subscription-based
revenues through a focus on supporting existing clients and
acquiring similar new customers. We are very pleased with the
progress we have made by growing subscription revenues by 33% in H1
22 compared to the same period in FY2021 and that ARR* at 30 June
2022 is 26% higher than at 30 June 2021. A significant part of the
growth in ARR was generated in H2 21 which was in part responsible
for the growth in subscription revenue in the first half this year.
In the six month period to 30 June 2022, ARR grew 8% on the level
at 31 December 2021. The growth in ARR over the last six months
came from a combination of new client wins in H1 22 growing our
active, revenue generating client base to 841 (30 June 2021: 601;
31 December 2021: 790), coupled with upsells to existing clients
from both more active users and new products. An example of this is
our SMCR 360 product, launched in 2021 which helps financial firms
manage all aspects of compliance with the Senior Managers and
Certification Regime ("SM&CR"), and which contributed its first
meaningful revenues in H1 22.
Our second revenue stream is providing professional services to
develop bespoke e-learning compliance courses. Our strategy is to
maintain our revenues and important client relationships, and we
achieved this in H1 22 with revenues of GBP1.4 million (H1 21:
GBP1.4 million).
We are using the proceeds of our IPO to invest in growth. In H1
22, the average number of employees was 95, up 32% (H1 21: 72)
despite the well documented talent acquisition and retention
challenges in the technology sector. The largest area of headcount
growth was in our sales and marketing team, which grew by 47%,
primarily due to increases in the subscription sales team.
Marketing activity increased with the introduction of our webinar
series, as well as live, in-person events for compliance leaders
that are proving hugely popular post-COVID.
We have increased the investment in both the content and
technology of our products and have made good progress in H1 22 in
migrating the platforms our clients use to access our products. We
expect all clients to have migrated by the end of 2022.
Richard Steele joined the Group as its first full time CFO in
May 2022 replacing Chris Backhouse. Following the IPO in December
2021, the Board recognised both the need and opportunity to invest
further in the finance function. Richard has over 30 years
experience in commercial finance roles. The Board wish to thank
Chris Backhouse for his support over the past four years and in
particular during the IPO process.
ESG is at the core of what we offer and stand for. Our products
help our clients build a culture of respect, inclusivity, integrity
and compliance with laws, regulations and standards. We also help
them reduce energy consumption and CO(2) emissions by digitising
many activities that previously required travel. We have
substantially reduced our carbon footprint due to travel, by moving
to a hybrid working model and the use of virtual meetings and
webinars in our sales and marketing.
Current Trading and Outlook
Trading since the period end has continued to increase on the
prior year. In response to rising inflation that is impacting all
businesses, we have implemented a 10% price increase from 1 June.
This has been implemented for new business immediately and for
subscription renewals will feed in progressively from 1 January
2023.
The strong growth in revenue that we achieved in the first half
of the year was partly due to the significant increase in ARR that
we signed in the latter part of last year. Despite the challenging
market conditions that currently exist we have continued to grow
ARR during the first half of this year, demonstrating the strength
and resilience of our proposition in the non-discretionary
corporate compliance and e-learning market. We expect this trend to
continue and remain confident in achieving full year
expectations.
Financial Review
Revenue
Total revenues of GBP4.5 million were 20% up on the comparable
period last year (H1 21: GBP3.7 million), driven by
software-as-a-service ("SaaS") subscription revenues. Subscription
revenues typically accrue from 12 month contracts, invoiced up
front, for our library of compliance e-learning courses and
associated compliance products. During H1 22, subscription revenue
growth helped grow the proportion of revenues from subscriptions to
70% (H1 21: 63%) of total revenues. Total revenues from
non-financial service sectors grew 28% on the comparable period
last year to account for 44% of total revenues (H1 21: 41%). Total
revenue-generating clients in H1 22 increased by 40% to 841 (H1 21:
601). The top 10 clients accounted for 25% of revenues in the
period (H1 21: 33%).
Subscription ("SaaS") revenues grew 33% to GBP3.1 million (H1
21: GBP2.4 million). The growth in subscription revenues was driven
by a combination of new clients and product upsells/more users. In
H1 22, 84% (H1 21: 88%) of subscription revenues were derived from
our core e-learning libraries and Learning Management System
("LMS"), which grew 27% on the year. We were encouraged to see a
higher, 75% growth in the balance of our subscription revenues from
our compliance products, increasing their mix of subscription
revenues to 16% (H1 22: 12%). For example, revenues from our Policy
Hub product increased by 109% on the prior year.
Annual recurring revenue ("ARR"), our key performance indicator
to measure subscription sales progress, grew by 26% to GBP6.3
million over the past 12 months (June 2021: GBP5.0 million) and by
8% since the start of the year (December 2021: GBP5.8 million). New
sales lifted ARR by 13% from December 21, offset by a net retention
rate of 95%, which included 7% churn.
Revenue from professional services was GBP1.4m, which was 1%
below the same period last year, in line with our strategy to
maintain these lower margin revenues at consistent absolute
levels.
Gross profit
Gross profit margin increased by 1% to 70% in H1 22 (H1 21: 69%)
as a result of the higher mix of subscription revenues which, with
no bespoke work, yield typically higher margins.
Investing for growth
Adjusted overheads (which exclude IPO-related costs in the prior
year of GBP173k) grew by GBP1.3 million to GBP3.4 million (H1 21:
GBP2.1 million) in the period as the Group invested to drive growth
as intended. The majority of this investment was in people. In H1
22 total employment costs, increased by GBP1.1 million or 43% to
GBP3.5 million (H1 21: GBP2.4 million), and the average headcount
increased 32% to 95 (H1 21: 72). The biggest area of growth was in
the sales and marketing function with an average of 8 more heads
during the period.
EBITDA
As anticipated, and due to the increased investment, the Group
delivered an adjusted loss in EBITDA of GBP0.2 million in H1 22 (H1
21: +GBP0.6 million). This profit performance reflects the intended
investment programme, which is supported by the fundraise in
December 2021.
Tax
The Group reported a loss before tax of GBP285,000 in the period
and consequently was not liable for any corporation tax in either
its UK or Malta jurisdictions.
The Group had unutilised tax losses carried forward of
approximately GBP0.7 million as of 31 December 2021 (2020: GBP0.6
million) due predominantly to research and development credits. It
is expected these will increase in 2022 through trading losses and
further research and development claim. Given the varying degrees
of uncertainty as to the timescale of the utilisation of these
losses, the Group has not recognised the potential deferred tax
assets associated with these losses.
In Malta, a withholding tax rebate of GBP139,983, due to
Inmarkets Group Ltd with regards to dividends declared by Inmarket
International Ltd for 2021, is reflected as a tax credit in H1
22.
EPS
Following the share issue in December 2021 at the time of the
IPO, no ordinary shares were issued in H1 22, and the basic loss
per share was -0.162 pence on 89.5m shares. (H1 21: earnings per
share +0.280 pence). Adjusted diluted loss per share was -0.162
pence (H1 21: earnings per share +0.497 pence)
Dividend
With a business that is backed by recurring revenues that
provide strong cash generation, the Board is committed to paying
dividends. The Board, therefore, declared an interim dividend of
GBP150,000 consistent with the previous year, or 0.168 pence per
issued ordinary share. The interim dividend will be paid on 28
October 2022 to shareholders on the register on 7 October 2022.
It is the Board's stated policy to maintain the total aggregate
annual dividend at least at GBP400,000, consistent with previous
years, for the foreseeable future.
Balance sheet and cash flow
Net assets at 30 June 2022 were GBP7.2 million, in line with 31
December 2021 and GBP3.5 million higher than 30 June 3021 due
primarily to the IPO proceeds received in December 2021.
There was a small operating cash burn in H1 22 of GBP0.3 million
compared to a cash generation of GBP1.3 million in H1 21 due
primarily to the reduction in profits. This cash burn which is
relatively small in comparison to the cash resources of the Group
was planned as part of the growth strategy and was due in part to
the investment programme we are undertaking. The Group had GBP7.5m
cash at bank at 30 June 2022 (30 June 2021: GBP4.6m) and has no
bank debt.
The Group does not capitalise any intellectual property on
either the content or technology of its products. It has two
right-of-use assets of GBP0.5 million at 30 June 2022, representing
its leased offices in London and Malta.
Net trade receivables at 30 June 2022 of GBP2.5 million were
GBP0.7 million or 41% higher than 30 June 2021. Other receivables
of GBP1.5 million include a GBP1.0 million Maltese withholding tax
rebate. Trade payables of GBP1.1 million at 30 June 2022 were in
line with the previous year. Deferred income of GBP3.4 million at
30 June 2022 was GBP1.2 million or 54% higher than 30 June 2021 due
to a combination of new/renewed SaaS contracts and incomplete
professional services projects.
Alternative Performance Measures
*Adjusted EBITDA
The Group elected to adjust its EBITDA from continuing
operations for non-recurring costs in connection with its IPO in
December 2021. It also elected to adjust EBITDA by reversing the
IFRS treatment of depreciation of property leases and the
share-based payment charges. The Group now accepts these are both
recurring items and no longer elects to adjust for them.
H1 22 H1 21 2021 2021
GBP'000 GBP'000 GBP'000 GBP'000
Unaudited Unaudited Re-stated Audited
EBITDA from continuing operations (165) 380 360 360
IPO costs 0 173 876 876
Reversal of IFRS treatment of depreciation
of property lease (198)
Share-based payment 17
Adjusted EBITDA (165) 553 1,237 1,056
*Annual Recurring Revenue (ARR)
ARR is also used to assess the performance and the trend of
subscription revenue. ARR is calculated by multiplying the Monthly
Recurring Revenue ("MRR") by twelve. MRR is defined as the
subscription revenue that was recognised in a month, excluding any
retrospective upward adjustments that arise at the end of the
contract where there have been more subscribers than a client
originally contracted for, less any contract losses (Churn), or
downward adjustments arising on contract renewal. The Directors
consider that the ARR, derived from software-as-a-service (SaaS)
sales, is a key measure of the performance of the business. The ARR
increased 26% to GBP6.3 million on the year (June 21: GBP5.0
million) and 8% since December 2021 (GBP5.8 million).
Skillcast Group
PLC
Consolidated statement of profit or loss and other comprehensive
income
For the period
ended
30 June 2022
Unaudited Unaudited Audited
Six months Six months Twelve
to to months to
30 June 30 June 31 December
2022 2021 2021
Note GBP GBP GBP
Revenue 4 4,484,085 3,735,951 8,408,056
Cost of sales (1,352,211) (1,156,136) (2,476,708)
Gross profit 3,131,874 2,579,815 5,931,348
Administrative
expenses (3,407,561) (2,278,675) (5,853,792)
Operating
profit (275,687) 301,140 77,556
------------------------------- ------------------------------- ----------------------------
EBITDA 3 (165,095) 379,929 360,345
Adjustment
items 3 173,428 876,477
Adjusted EBITDA 3 (165,095) 553,357 1,236,822
---------------- ----- ------------------------------- -------------------------------
Other income - 1,650 1,650
Finance income 838 - 393
Finance expense (10,339) (4,035) (18,953)
(Loss)/profit
before
tax (285,188) 298,755 60,646
Income tax
expense 139,983 (74,454) 316,984
Total
comprehensive
(loss)/income (145,205) 224,301 377,630
=============================== =============================== ============================
EPS basic 7 -0.162 0.280 0.467
-----
EPS basic
adjusted -0.162 0.497 1.552
---------------- ----- ------------------------------- ------------------------------- ----------------------------
Skillcast
Group PLC
Consolidated
statement
of financial
position
As at 30 June
2022
Unaudited Unaudited Audited
as at as at as at
30 June 30 June 31 December
2022 2021 2021
Note GBP GBP GBP
Assets
Non-current
assets
Property,
plant and
equipment 275,656 176,840 276,697
Right-of-use
assets 513,732 213,626 582,517
Deferred tax
assets 4,745 5,112 4,745
794,133 395,578 863,959
Current
assets
Trade and
other
receivables 4,015,601 2,429,654 3,798,823
Cash and cash
equivalents 7,453,752 4,637,801 7,856,126
11,469,353 7,067,455 11,654,949
TOTAL ASSETS 12,263,486 7,463,033 12,518,908
======================================= =============================================== =======================================
Issued
capital and
reserves
attributable
to owners
Share capital 5 89,459 2,000 89,459
Share Option 108,973 - 17,000
Reserve
Share Premium 3,490,541 - 3,490,541
Paid
Retained
earnings 3,479,165 3,699,039 3,624,369
7,168,138 3,701,039 7,221,369
Liabilities
Current
liabilities
Trade and
other
payables 1,098,682 1,096,051 1,440,550
Contract
liability 3,405,292 2,233,599 3,037,184
Current lease
liabilities 186,369 85,624 182,366
Income tax
payable 16,320 234,036 176,134
4,706,662 3,649,310 4,836,234
Non-current
liabilities
Long-term
lease
liabilities 388,686 112,684 461,305
388,686 112,684 461,305
Total
liabilities 5,095,348 3,761,994 5,297,539
TOTAL EQUITY
AND
LIABILITIES 12,263,486 7,463,033 12,518,908
======================================= =============================================== =======================================
Skillcast Group
PLC
Consolidated
statement
of changes in
equity
Share Share
Share Premium Option Retained Total
capital Paid Reserve earnings equity
GBP GBP GBP GBP GBP
01 January 2021 2,000 - - 3,874,738 3,876,738
Comprehensive
Income for
the period
Profit - - - 224,301 224,301
Total
comprehensive
Income
for the year - - - 224,301 224,301
Contributions
by and
distributions
to owners
Dividends - - - (400,000) (400,000)
Total
contributions
by
and
distributions
to owners - - - (400,000) (400,000)
30 June 2021 2,000 - - 3,699,039 3,701,039
01 July 2021 2,000 - - 3,699,039 3,701,039
Comprehensive
Income for
the period
Profit 153,330 153,330
Total
comprehensive
Income
for the period - - - 153,330 153,330
Total
contributions
by
and
distributions
to owners
Capitalisation
of Profit
and Loss 78,000 - - (78,000) -
Shares issued
on admission
to AIM 9,459 3,490,541 - - 3,500,000
Share Option
Reserve - - 17,000 - 17,000
Dividends - - - (150,000) (150,000)
Total
contributions
by
and
distributions
to owners 87,459 3,490,541 17,000 (228,000) 3,367,000
31 December
2021 89,459 3,490,541 17,000 3,624,369 7,221,369
01 January 2022 89,459 3,490,541 17,000 3,624,369 7,221,369
Comprehensive
Income for
the period
Profit (145,204) (145,204)
Total
comprehensive
Income
for the year - - - (145,204) (145,204)
Share Option
Reserve 0 91,973 91,973
Dividends - -
Total
contributions
by
and
distributions
to owners - - - 91,973 - - - 91,973
30 June 2022 89,459 3,490,541 108,973 3,479,165 7,168,138
Skillcast Group
PLC
Consolidated
statement of
cash flows
Unaudited Unaudited
Six months Six months Audited
to to
30 June 2022 30 June 2021 31 December
2021
GBP GBP GBP
Cash flows from
operating
activities
(Loss) / profit
before tax (285,188) 298,755 60,646
Adjustments
for:
Depreciation of 41,808 29,063 84,668
property,
plant and
equipment
Amortisation of 68,785 49,727 198,121
right-of-use
assets
Finance income (838) - (393)
Share based 91,973 - 17,000
payment
Finance expense 10,339 4,035 18,953
Sale of
property, plant
and
equipment - (1,650) (1,650)
379,930 377,345
(73,121)
(Increase)/
decrease in
trade
and other
receivables (216,777) 1,044,695 (324,474)
Increase in 26,240 308,525 1,456,609
trade and other
payables
Cash generated 1,733,150 1,509,480
from operations (263,659)
Income taxes
paid (19,831) (344,532) (10,629)
Net cash flows
from operating
activities (283,490) 1,388,618 1,498,851
Investing
activities
Purchases of
property, plant
and equipment (40,767) (87,150) (242,612)
Sale of - 1,650 1,650
property, plant
and
equipment
Interest 838 - 393
received
Net cash used in
investing
activities (39,929) (85,500) (240,569)
Free cash flow (323,419) 1,303,118 1,258,282
Financing
activities
Principal paid
on lease
liabilities (68,616) (61,086) (133,007)
Dividends paid - (400,000) (550,000)
Share issue - - 3,500,000
Interest paid on
lease
liabilities (10,339) (4,035) (18,953)
Net cash (used (78,955) (465,121) 2,798,040
in)/from
financing
activities
Net increase in 837,997 4,056,322
cash and (402,374)
cash
equivalents
Cash and cash 7,856,126 3,799,804 3,799,804
equivalents
at beginning of
period
Cash and cash 7,453,752 4,637,801 7,856,126
equivalents
at end of
period
=============================================== =============================================== ===================================================
.
Skillcast Group
PLC
Notes to the consolidated
financial statements
For the period ended
30 June 2022
1 GENERAL INFORMATION
Skillcast Group PLC ('Company') is registered in the United Kingdom
with registration number 12305914 and is limited by shares. Its registered
office is at 80 Leadenhall Street, London, England, EC3A 3DH. The
Company is the ultimate parent of Inmarkets Ltd, Inmarkets Group Ltd,
Inmarkets International Ltd.
This report and financial statements reflect the consolidated activities
and transactions of the Company and other group companies ('Group')
and are non-statutory. It is prepared to present the mid-year trading
performance and position. This report and financial statements reflect
the Group after its restructuring which took place in November 2019
and which involved; the incorporation of Skillcast Group Ltd, its
positioning at the head of the Group, the transfer of ownership of
Inmarkets Ltd from Inmarkets Group Ltd to Skillcast Group Ltd, and
the swap of the shares of Inmarkets Group Ltd with the shares of Skillcast
Group Ltd. This report reflects a restructuring of the group and presents
a consolidated position as if Skillcast Group PLC had been incorporated
and the head of the Group since the earliest comparative presented.
Up to the 28 July 2021 the Company was a private limited company.
On the 28 July 2021 the Company re-registered as a public company
as Skillcast Group PLC. The Company did this in preparation of admission
to the AIM market of the London Stock Exchange. On 1 December 2021
the Company's ordinary shares were admitted in trading on AIM. On
22 July 2022 the Group published its Annual Report for the year to
31 December 2021. This is the first interim report and financial statements
since admission to AIM.
The Company is primarily involved in providing management services
to other entities in the group. The Group provides software and content
subscriptions and related professional services to enable companies
to transform their staff compliance. Operating from its two bases,
in London and Malta, the Group helps companies across a broad spectrum
of industry sectors in the UK, EU and in the rest of the world, to
train their staff and demonstrate compliance with various laws, regulations,
and standards that are relevant for their business.
The accounting year end of the Company and Group is 31 December. This
unaudited interim report and financial statements presents activities
and transactions for the six months to 30 June 2022.
2 Basis of preparation and
statement of compliance
The condensed interim financial statements have been prepared in accordance
with the requirements of the AIM Rules for Companies. As permitted,
the Company has chosen not to adopt IAS 34 "Interim Financial Statements"
in preparing this interim financial information. The condensed interim
financial statements should be read in conjunction with the annual
financial statements for the year ended 31 December 2021, which have
been prepared in accordance with International Accounting Standards
in conformity with the Companies Act 2006. The unaudited interim financial
information does not constitute statutory accounts within the meaning
of the Companies Act 2006. This interim report, which has neither
been audited nor reviewed by independent auditors, was approved by
the board of directors on 27 September 2022
Statutory accounts for the year ended 31 December 2021 were approved
by the Board of Directors on xx and delivered to the Registrar of
Companies.
The Group's forecast and projections and strong cash balance support
the preparation of the interim financial statements on a going concern
basis under historical cost convention.
The interim financial statements have been presented in pounds sterling.
The accounting policies used in preparing the interim statements are
the same as those applied to the latest audited annual financial statements.
3 EBITDA and adjusted EBITDA
EBITDA is not defined or recognised under IAS. EBITDA is defined by
the Group as 'earnings before interest, tax, depreciation and amortisation'.
EBITDA is presented below as 'operating profit' plus all depreciation
added back.
The Group also presents 'adjusted EBITDA' as the directors believe
it presents a more meaningful measure of performance. The Group incurred
certain administrative expenses in anticipation of the Placing and
Admission so as to deliver the anticipated growth in the business
post-Admission. Had the decision to undertake the Placing and Admission
not been taken by the Group, then such expenditure would not have
been incurred. In calculating 'adjusted EBITDA' such 'non-recurring
expenditure' has been added back to EBITDA.
3 EBITDA and
adjusted EBITDA
- Continued
Unaudited Unaudited Audited
as at as at as at
30 June 30 June 31 Dec.
2022 2021 2021
GBP GBP GBP
Operating profit (275,687) 301,140 77,556
Depreciation 110,592 78,789 282,789
EBITDA (165,095) 379,929 360,345
Non-recurring
expenditure - 173,428 876,477
Adjusted EBITDA (165,095) 553,357 1,236,822
Due to nature of calculation of EBITDA and adjusted EBITDA
the reported figures may not be comparable to other companies
with similar measures.
4 Revenue
Unaudited Unaudited Audited
as at as at as at
30 June 30 June 31 Dec.
2022 2021 2021
GBP GBP GBP
Major product
lines
Software as a
Service (SaaS)
subscriptions
(i) 3,117,216 2,350,079 5,227,229
Professional
services (ii) 1,366,869 1,385,870 3,180,827
4,484,085 3,735,949 8,408,056
(i) SaaS subscriptions - The Group provides right of access of content
to the customer over time for the subscription period ranging from
6 to 12 months. The revenue recognition is deferred for the remaining
period of subscription. This revenue includes subscriptions to: (a)
Skillcast Portal - the Group's integrated compliance management application
that comes with a broad range of tools, namely SELMS, Policy Hub,
Compliance Declarations, Surveys, Compliance Registers, Training 360,
Events Management and SMCR 360; and (b) the Skillcast OTS course libraries,
namely Essentials, FCA Compliance, Insurance Compliance and Risk.
(ii) Professional services - The Group provides customised and standard
content to its clients provided under fixed-price contracts. This
non-recurring revenue includes: (a) bespoke e-learning development
projects for large corporates; (b) translations of those bespoke courses;
(c) customisation of OTS courses for subscription clients; and (d)
other content and technology consultancy.
Unaudited Unaudited Audited
as at as at as at
30 June 30 June 31 Dec.
2022 2021 2021
GBP GBP GBP
Geographic split
UK 3,582,827 2,935,169 5,716,503
Europe 577,581 529,508 1,693,379
Rest of world 323,676 271,272 998,176
4,484,083 3,735,949 8,408,058
Non-current assets in which they are
based are shown below:
Property, plant
and equipment
UK 108,239 100,047 205,003
Malta 74,081 76,793 71,694
182,321 176,840 276,697
Right of use
assets
UK 415,376 62,847 465,188
Malta 98,357 150,779 117,329
513,733 213,626 582,517
-------------------------------------------- --------------------------------- ------------------------------
5 Equity -
issued
capital
Unaudited Unaudited Audited
as at as at as at
30 June 30 June 31 Dec.
2022 2021 2021
Number 89,459,460 20,000,000 89,459,460
Par value per
share
(GBP) 0.10p 0.01p 0.10p
Total (GBP) 89,459 2,000 89,459
All the shares in the Company are fully paid up. On 28 July 2021
the Company re-registered as a public company. Prior to re-registration
the company's shares were reclassified as Ordinary Shares, and the
company capitalised GBP78,000 of retained profit in order to meet
the minimum capital value for these shares required of a public
company. The shares were also consolidated into 1 share for every
10 in issue. On 1 December 2021 9,459,460 additional shares were
issued upon the Company's admission to the Alternative Investment
Market.
Ordinary shares entitle the holder to participate in dividends and
the proceeds on the winding up of the Company in proportion to the
number of, and amounts paid, on the shares held. On a show of hands,
every member present at a meeting in person or by proxy shall have
one vote and upon a poll, each share shall have one vote.
6 Related party
transactions
Enterprise FD Limited liability company registered
Ltd in England and Wales.
Company registration number is
11201000.
Provides services to the Group. Chris Backhouse
is both a director of Enterprise FD Ltd
and a member of the key management personnel
of the Group, see note 6.
Vivek Dodd Independent Contractor located
in Czech Republic.
Provided services to the Group. Vivek Dodd
is both a director and owns more than 50%
of the shares in the parent company.
Monad IKE Limited liability company registered
in Greece.
Company registration number is 153449133000
Provides services to the Group. Morten Damsleth
is both a director of Monad IKE and a member
of the key management personnel of the Group.
Unaudited Unaudited Audited
as at as at as at
30 June 30 June 31 Dec.
2022 2021 2021
GBP GBP GBP
Group expenditure
with
Enterprise FD Ltd 44,154 64,426 152,130
Vivek Dodd 0 48,000 72,000
Monad IKE 88,649 87,209 138,190
Earnings per
7 share
Earnings per share (EPS) is calculated on the basis of profit attributable
to equity shareholders divided by the weighted average number of
shares in issue for the year.
Diluted earnings per share have been calculated on the same basis
as above, except that the weighted average number of ordinary shares
that would be issued on the conversion of the dilutive potential
ordinary shares as calculated using the treasury stock method (arising
from the Company's share option scheme and warrants) into ordinary
shares has been added to the denominator.
Unaudited Unaudited Audited
as at as at as at
30 June 30 June 31 Dec.
2022 2021 2021
GBP GBP GBP
Profit (Loss)
before tax (285,188) 298,755 60,646
Tax 139,983 (74,454) 316,984
---------------------------------------- ------------------------- ------------------------------
Profit (Loss)
after tax (145,205) 224,301 377,630
Non-recurring
expenditure - 173,428 876,477
Adjusted earnings (145,205) 397,729 1,254,107
---------------------------------------- ------------------------- ------------------------------
Weighted average number
of ordinary shares
Basic 89,459,460 80,000,000 80,788,288
Effect of dilutive
potential
ordinary shares 4,445,370 - 402,500
Diluted average number
of shares 93,904,830 80,000,000 81,190,788
---------------------------------------- ------------------------- ------------------------------
Earnings per
share:
Basic -0.162p 0.280p 0.467p
Diluted -0.162p 0.280p 0.465p
Adjusted earnings
- Basic -0.162p 0.497p 1.552p
Adjusted earnings
- Diluted -0.162p 0.497p 1.545p
*For comparative purposes the earnings per share for 30/06/2021 as
stated above have been calculated after taking into account the capitalisation
of the reserves as set out in note 16 of last year's Annual Report.
Basic and diluted earnings per share of -0.162p (30/06/2021: 0.280p)
has been impacted by interest, tax, depreciation, amortisation, non-core
operating expenses. Tax on adjusted earnings is the same figure as
that shown on the consolidated statement of comprehensive income
given that the majority of the adjusting items in the earnings per
share calculation above are also adjusted for when calculating the
Company's tax expense.
Dividends
8
Unaudited Unaudited Audited
as at as at as at
30 June 30 June 31 Dec.
2022 2021 2021
Pence GBP Pence GBP Pence GBP
per per per
share share share
Dividend declared
- Final 2020 0.500p 400,000 0.500p 400,000
Dividend declared -
Interim
2021 0.188p 150,000
During the period under review, the Group generated a loss
before tax of (GBP285,188). The Group's policy is to at
least maintain dividend payments.
Shareholders passed a resolution at the AGM on 22 June 2022 for a
final dividend of 0.279p per share to be paid on 21 July 2021 to
shareholders on the register at the close of business on 1 July 2022.
In combination with the interim dividend paid during 2021 this represented
a total dividend for the year 2021 of GBP400,000 (2020: GBP400,000)
or 0.447p per share based upon the number of shares currently in
issue.
This information is provided by RNS, the news service of the
London Stock Exchange. RNS is approved by the Financial Conduct
Authority to act as a Primary Information Provider in the United
Kingdom. Terms and conditions relating to the use and distribution
of this information may apply. For further information, please
contact rns@lseg.com or visit www.rns.com.
RNS may use your IP address to confirm compliance with the terms
and conditions, to analyse how you engage with the information
contained in this communication, and to share such analysis on an
anonymised basis with others as part of our commercial services.
For further information about how RNS and the London Stock Exchange
use the personal data you provide us, please see our Privacy
Policy.
END
IR FLFVRAVIDFIF
(END) Dow Jones Newswires
September 28, 2022 02:00 ET (06:00 GMT)
Skillcast (LSE:SKL)
과거 데이터 주식 차트
부터 5월(5) 2024 으로 6월(6) 2024
Skillcast (LSE:SKL)
과거 데이터 주식 차트
부터 6월(6) 2023 으로 6월(6) 2024
