Half-yearly Report

For Immediate Release 21 July 2008 SILENTPOINT PLC ("Silentpoint" or "the Company") Half yearly results for the six months ended 30 April 2008 Chairman's statement I am pleased to report Silentpoint's interim results for the six month period ended 31 March 2008. These interim statements for the six months ended 30 April 2008 are the first that the Company has prepared under International Financial Reporting Standards ('IFRS') and include reconciliations to the previously reported numbers prepared under United Kingdom Generally Accepted Accounting Principles ('UK GAAP'). The Company has continued its strategy of making investments and in the six month period to 30 April 2008 made a loss before tax of £94,516 compared to a profit before tax of £277,831 in the previous corresponding period as calculated under the IFRS accounting convention. As at 30 April 2008 the net assets of the Company stood at £1,301,939, of which £ 1,028,723 was held in cash. Our net asset value per share stands at 8.17 pence, of which cash represents 6.45 pence per share. The loss per share in the period amounted to 0.6p per share versus a profit of 1.7p in the same period last year. Our cash balance has increased substantially since 30 April 2007 when our cash balance was £587,316. The loss incurred in the period was anticipated as April 2008 when we announced the Company's preliminary results when we stated that markets would remain difficult and volatile in the near term. We expected to report a loss at the interim stage as we mark-to-market the value of investments. Our approach to investments has always been cautious and we believe that is the right strategy in the current volatile market conditions. Outlook With the credit cycle having turned in recent months, we have seen an increased tempo in approaches, both in number and quality, from companies seeking investment. Corporate earnings have yet to fall sharply and although valuations in the stock market have already fallen very sharply, we think the UK may slip into recession. This cycle could well be long and deep and therefore valuations are likely to fall further. Consequently it remains our view that holding a large cash balance, which stand at almost twice the level of this time last year, places us in good stead as we review opportunities for investment. Haresh Kanabar Chairman 21 July 2008 Silentpoint plc Smit Berry Tel: 020 8656 4648 Haresh Kanabar Tel: 020 7297 0010 John East & Partners Limited Tel: 020 7628 2200 David Worlidge/Simon Clements Income Statement For the six months ended 30 April 2008 Note Unaudited Unaudited Unaudited six months six months Year ended ended ended 30 April 30 April 31 2008 2007 October £ £ 2007 £ Gain from disposal of investments 15,898 47,731 155,804 held for trading Net income from trading activities 15,898 47,731 155,804 Administrative expenses (51,194) (38,097) (106,962) (Loss)/Gain from operations (35,296) 9,634 48,842 Fair value (losses)/gains on (84,577) 256,383 (56,523) investments held for trading Finance income 25,357 11,814 31,132 (Loss)/Profit before taxation (94,516) 277,831 23,451 Taxation - (2,026) (9,324) (Loss)/Profit for the period (94,516) 275,805 14,127 (Loss)/Profit per ordinary share Basic and diluted (loss)/profit per 2 (0.6p) 1.7p 0.1p share Balance Sheet As at 30 April2008 Note Unaudited Unaudited Unaudited 30 April 30 April 31 October 2008 2007 2007 £ £ £ Non-current assets Investments available for sale 1 1 1 Current assets Investments - held for trading 309,166 1,101,902 383,967 Cash and cash equivalents 3 1,028,723 587,316 1,077,764 Trade and other receivables 23,571 17,652 6,875 Total current assets 1,361,460 1,706,870 1,468,606 Total assets 1,361,461 1,706,871 1,468,607 Liabilities Current liabilities Trade and other payables (59,522) (48,737) (72,152) Total liabilities (59,522) (48,737) (72,152) 1,301,939 1,658,133 1,396,455 Equity Share capital 318,600 318,600 318,600 Share premium account 1,076,496 1,076,496 1,076,496 Capital redemption reserve 31,400 31,400 31,400 Retained earnings (124,557) 231,637 (30,041) Equity attributable to equity holders 1,301,939 1,658,133 1,396,455 of the parent Statement of changes in equity at30 April 2008 Share Share Capital Retained Total capital - premium redemption earnings equity reserve £ £ £ £ £ Year ended 31 October 2007 At 1 November 2006 318,600 1,076,496 31,400 (44,168) 1,382,328 Profit for the year - - - 14,127 14,127 At 31 October 2007 318,600 1,076,496 31,400 (30,041) 1,396,455 Six months ended 30 April 2007 At 1 November 2006 318,600 1,076,496 31,400 (44,168) 1,382,328 Profit for the period - - - 275,805 275,805 At 30 April 2007 318,600 1,076,496 31,400 231,637 1,658,133 Six months ended 30 April 2008 At 31 October 2007 318,600 1,076,496 31,400 (30,041) 1,396,455 Profit for the period - - - (94,516) (94,516) At 30 April 2008 318,600 1,076,496 31,400 (124,557) 1,301,939 Cash Flow Statement For the six months ended 30 April 2008 Note Unaudited Unaudited Unaudited six months six months Year ended ended ended 30 April 30 April 31 October 2008 2007 2008 £ £ £ Net cash absorbed by operating 3(a) (54,147) (5,451) (53,671) activities Investing activities Interest received 25,357 11,814 31,132 Net cash used in investing 25,357 11,814 31,132 activities Investing activities Investments acquired (66,976) (319,438) (269,571) Investments disposed 46,725 292,620 762,103 Cash flows from investing (20,251) (26,818) 514,057 activities Net decrease in cash and cash (49,041) (20,455) 469,993 equivalents Cash and cash equivalents at 3(b) 1,077,764 607,771 607,771 beginning of period Cash and cash equivalents at end of 3(b) 1,028,723 587,316 1,077,764 period Notes to the half yearly results 1. Basis of preparation The AIM Rules for Companies require that the annual financial statements of the Company for the year ending 31 October 2008 be prepared in accordance with International Financial Reporting Standards adopted for use in the European Union ("EU") ("IFRS"). Consequently these interim financial statements has been prepared on the basis of the recognition and measurement requirements of IFRS in issue that are either endorsed by the EU and effective (or available for early adoption) at 31 October 2008, the group's first annual reporting date at which it is required to use IFRS. Based on these IFRS, the directors have made assumptions about the accounting policies expected to be applied when the first annual IFRS financial statements are prepared for the year ending 31 October 2008. IAS 34 "Interim financial reporting" has not been adopted early. An explanation of how the transition to IFRS has affected the reported financial position and financial performance of the Company is included within note 15. This includes reconciliations of equity and profit or loss for the comparative periods under UK Generally Accepted Accounting Practice ("UK GAAP") to those reported for the periods under IFRS. The preparation of the interim statement requires management to make judgements, estimates and assumptions that affect the application of policies and reported amounts of assets and liabilities, income and expenses. Actual results may differ from these estimates. This interim statement has been prepared under the historical cost convention. This interim statement is unaudited. The comparatives for the full year ended 31 October 2007 are not the Company's statutory accounts for that year as they are restated under IFRS. A copy of the statutory accounts for that year, which were prepared under UK GAAP, have been delivered to the Registrar of Companies. The auditor's report on those accounts was unqualified, did not include references to any matters to which the auditors drew attention by way of emphasis without qualifying their report and did not contain a statement under Section 237(2)-(3) of the Companies Act 1985. 2. Loss per ordinary share The calculation of a basic loss per share of 0.6 pence (30 April 2007: profit of 1.7 pence, 31 October 2007: profit of 0.1 pence) is based on the loss for the period attributable to equity holders of Silentpoint plc of £94,516 (30 April: profit of £275,805; 31 October 2007: profit of £14,127) and on the weighted average number of shares in issue during the period of 15,930,000 (30 April 2007: 15,930,000; 31 October 2007: 15,930,000). Due to the loss incurred during the year, a diluted loss per share has not been disclosed as this would serve to reduce the basic loss per share. 3. (a) Notes to the cash flow statement Net cash absorbed by operating Unaudited Unaudited Unaudited activities 30 April 30 April 31 October 2008 2007 2007 £ £ £ Gain/(Loss) before taxation (94,516) 275,805 14,127 Adjustments for: Investment revenues (25,357) (11,814) (31,132) Other revenues 95,052 (274,328) (75,744) Operating cash flows before (24,821) (10,337) (92,749) movements in working capital (Increase)/Decrease in receivables (16,696) (11,155) (378) (Decrease)/Increase in payables (12,630) 16,041 45,824 Taxation (6,368) Net cash outflow from operations (54,147) (5,451) (53,671) Cash and cash equivalents (which are presented as a single class of assets on the face of the balance sheet) comprise cash at bank and other short-term highly liquid investments with a maturity of three months or less. (b) Cash and cash equivalents Unaudited Unaudited Unaudited 30 April 30 April 31 October 2008 2007 2007 £ £ £ Cash at bank and in hand 254,498 157,446 224,131 Treasury reserve deposit 774,225 429,870 853,633 Net cash position 1,028,723 587,316 1,077,764 4. Explanation of transition to IFRS This is the first year that the group has presented its financial statements under IFRS. The following disclosures are required in the year of transition. The last audited financial statements under UK GAAP were for the year ended 31 October 2007 and the date of transition to IFRSs was therefore 1 November 2006. a. Reconciliation of balance sheet at 1 November 2006 from UK GAAP to IFRS Notes Audited Unaudited Unaudited UK GAAP Effect of IFRS transition to IFRS £ £ £ Assets Non-current assets Investments - available 1 - 1 for sale 1 - 1 Current assets Investments held for (i) 792,088 8,667 800,755 trading Cash and cash equivalents 607,771 - 607,771 Trade and other 6,497 - 6,497 receivables Total current assets 1,406,356 8,667 1,415,023 Total assets 1,406,357 8,667 1,415,024 Liabilities Current liabilities Trade and other payables (32,696) - (32,696) Total liabilities (32,696) - (32,696) Net assets 1,373,661 8,667 1,382,328 Equity Share capital 318,600 - 318,600 Share premium account 1,076,496 - 1,076,496 Capital redemption reserve 31,400 - 31,400 Retained losses (52,835) 8,667 (44,168) Total equity 1,373,661 8,667 1,382,328 b. Reconciliation of balance sheet at 30 April 2007 from UK GAAP to IFRS Notes Unaudited Unaudited Unaudited UK GAAP Effect of IFRS transition to IFRS £ £ £ Non-current assets Investments - available 1 - 1 for sale Total non-current assets 1 - 1 Current assets Investments held for (i) 826,066 275,835 1,101,901 trading Cash and cash equivalents 587,316 - 587,316 Trade and other 17,652 - 17,652 receivables Total current assets 1,431,034 275,835 1,706,869 Total assets 1,431,035 275,835 1,706,870 Current liabilities Trade and other payables (48,737) - (48,737) Total liabilities (48,737) - (48,737) Net assets 1,382,298 - 1,658,133 Equity Share capital 318,600 - 318,600 Share premium account 1,076,496 - 1,076,496 Capital redemption reserve 31,400 31,400 Retained earnings (44,198) 275,835 231,637 Total equity 1,382,298 275,835 1,658,133 c. Reconciliation of balance sheet at 31 October 2007 from UK GAAP to IFRS Notes Audited Unaudited Unaudited UK GAAP Effect of IFRS transition to IFRS £ £ £ Assets Non-current assets Investments - available 1 - 1 for sale 1 - 1 Current assets Investments held for (i) 400,592 (16,625) 383,967 trading Cash and cash equivalents 1,077,764 - 1,077,764 Trade and other 6,875 - 6,875 receivables Total current assets 1,485,231 (16,625) 1,468,606 Total assets 1,485,232 (16,625) 1,468,607 Liabilities Current liabilities Trade and other payables (72,152) - (72,152) Total liabilities (72,152) - (72,152) Net assets 1,413,080 (16,625) 1,396,455 Equity Share capital 318,600 - 318,600 Share premium account 1,076,496 - 1,076,496 Capital redemption reserve 31,400 31,400 Retained earnings (13,416) (16,625) (30,041) Total equity 1,413,080 (16,625) 1,396,455 d. Reconciliation of the UK GAAP statement of profit and loss to the IFRS income statement for the six months ended 30 April 2007 Notes Unaudited Unaudited Unaudited UK GAAP effect of IFRS transition to IFRS £ £ £ Gain on disposal of (i) - 47,731 47,731 investments Net gain from trading - 47,731 47,731 activities Administrative expenses (38,097) - (38,097) Loss from operations (38,097) 47,731 9,634 Investment revenues (i) 36,946 219,437 256,383 Finance income 11,814 - 11,814 Profit before taxation 10,663 267,168 277,831 Taxation (2,026) (2,026) Profit for the period 8,637 267,168 275,805 e. Reconciliation of the UK GAAP consolidated statement of profit and loss to the IFRS consolidated income statement for the year ended 31 October 2007 Notes Audited Unaudited Unaudited UK GAAP effect of IFRS transition to IFRS £ £ £ Gain from disposal of investments (i) - 155,804 155,804 Net gain from trading - 155,804 155,804 activities Administrative expenses (106,962) - (106,962) Loss from operations (106,962) 155,804 48,842 Investment revenues (i) 124,573 (181,096) (56,523) Finance income 31,132 - 31,132 Profit before taxation 48,743 (25,292) 23,451 Taxation (9,324) - (9,324) Profit for the period 39,419 (25,292) 14,127 f. Notes to reconciliations explaining the transition to IFRS i. Equity investments were previously recognised under UK GAAP at cost on acquisition, less any provision for impairment. Under IFRS, these investments are classified as held for trading and are recognised initially at cost and subsequently at fair value. Any gains or losses arising due to movements in the fair values of these investments are recorded directly in Income Statement 5. Dividends No dividend is proposed for the six months ended 30 April 2008. 6. Copies of interim results Copies of the interim results will be available on the Company's website www.silentpoint.co.uk

Companies

Sylvania Platinum Ltd (DI) (SLP)
UK 100
FTSE quotes by TradingView

Latest directors dealings

All directors dealings today