Half-year Report

RNS Number : 9101C

MobilityOne Limited

22 October 2020

 

22 October 2020

MobilityOne Limited

("MobilityOne", the "Company" or the "Group")

Unaudited interim results for the six months ended 30 June 2020

MobilityOne (AIM: MBO), the e-commerce infrastructure payment solutions and platform provider, announces its unaudited interim results for the six months ended 30 June 2020.

Highlights:

· Revenue increased by 51.9% to £119.9 million (H1 2019: £78.9 million) contributed by strong growth in the Group's mobile phone prepaid airtime reload and bill payment business in Malaysia and an increase in e-payment transactions resulting from the COVID-19 pandemic ;

· Profit after tax of £1.07 million (H1 2019: profit after tax of £0.42 million);

· Cash and cash equivalents (including fixed deposits) at 30 June 2020 of £5.92 million (30 June 2019: £4.99 million);

· The Group intends to continue to enhance its product offering and payment systems including online payment gateways and to explore venturing into complementary businesses such as moneylending business in Malaysia; and

· The Group remains confident on the outlook for the remainder of 2020, taking into consideration the improved financial performance in the first six months of 2020 for the Group's existing businesses as well as the prospects for the new initiatives being pursued.

For further information, contact:

MobilityOne Limited  [phone]

Dato' Hussian A. Rahman, CEO  www.mobilityone.com.my

[e-mail]

Allenby Capital Limited

(Nominated Adviser and Broker)   [phone]

Nick Athanas /James Hornigold

About the Group:

MobilityOne provides e-commerce infrastructure payment solutions and platforms through its proprietary technology solutions. The Group has developed an end-to-end e-commerce solution which connects various service providers across several industries such as banking, telecommunication and transportation through multiple distribution devices including EDC terminals, mobile devices, automated teller machines ("ATM") and internet banking. The Group's technology platform is flexible, scalable and designed to facilitate cash, debit card and credit card transactions from multiple devices while controlling and monitoring the distribution of different products and services.

For more information, refer to our website at www.mobilityone.com.my

Chairman's statement

The Group's revenue continued its growth trend in the period under review increasing by 51.9% to £119.9 million (H1 2019: revenue of £78.9 million) i n the first six months of 2020.  The higher revenue was mainly contributed by the strong growth of mobile phone prepaid airtime reload and bill payment business activities in Malaysia through the Group's banking channels (i.e. mobile banking and internet banking) with 10 banks and third parties' e-wallet applications. In addition, the COVID-19 pandemic has encouraged more e-payment transactions which has contributed to the revenue growth. As a result of the substantial increase in revenue in the period under review, t he Group recorded a profit after tax of £1.07 million in the first six months of 2020 (H1 2019: profit after tax of £0.42 million).

The Group's other businesses, including the international remittance services in Malaysia and its e-payment solutions activities in the Philippines and Brunei, remained small and did not make significant contributions to the Group in the period under review.

As at 30 June 2020, the Group had cash and cash equivalents (including fixed deposits) of £5.92 million (30 June 2019: cash and cash equivalents of £4.99 million) and the secured loans and borrowings from financial institutions amounted to £3.47 million (30 June 2019: £4.08 million).  The Group has shown strong cash generation from operations in the period under review which has strengthened the Group's financial position as at 30 June 2020.

Current trading and outlook

For future growth, the Group intends to continue to enhance its product offering and payment systems including online payment gateways which cover the acceptance of credit cards and payment wallets. In addition, the Group intends to explore venturing into complementary businesses such as moneylending business in Malaysia by the first quarter of next year following demand from individuals and small businesses such as the Group's existing and new merchants. 

Recently, the Company has announced the following developments:

(i)  the Company's wholly-owned subsidiary in the United Kingdom, M-One Tech Limited, is in the midst of preparing the necessary application to the Financial Conduct Authority to seek its approval for the Group to commence businesses such as payment aggregation, electronic payments and e-remittance services in the United Kingdom, areas in which the Group already has the operational experience in Malaysia;   

(ii)  the Company's 50%-owned remittance company, OneTransfer Remittance Sdn Bhd ("OTR"), has, since 25 September 2020, been acting as one of MoneyGram Payment Systems, Inc. ("MoneyGram") correspondence remittance companies in Malaysia enabling the customers of OTR to send and receive money via MoneyGram's global platform which connects to more than 200 countries worldwide; and

(iii)  the Company's wholly-owned subsidiary, MobilityOne Sdn Bhd, entered into an Alipay service contract with Alipay.com Co., Ltd ("Alipay") in August 2020 to offer Alipay's payment acceptance service to the Group's merchants in Malaysia. The Group intends to, via an e-platform, provide payment processing, authorisation and settlement services to its merchants who provide goods and services directly to Alipay users to enable such merchants to accept payments from Alipay users. The Group intends to deploy the service to the market by the end of this year.

The Group remains confident on the outlook for the full year of 2020, taking into consideration the improved financial performance in the first six months of 2020 for the Group's existing businesses as well as the prospects for the new initiatives being pursued.

Abu Bakar bin Mohd Taib

Chairman

22 October 2020

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

FOR THE SIX MONTHS PERIOD ENDED 30 JUNE 2020

	Six months		Six months		Financial year
	Ended		Ended		Ended
	30 June 2020		30 June 2019		31 Dec 2019
	Unaudited		Unaudited		Audited
CONTINUING OPERATIONS	£		£		£
Revenue	119,909,734		78,920,618		169,412,664
Cost of sales	(112,615,797)		(73,676,744)		(158,641,222)
GROSS PROFIT	7,293,937		5,243,874		10,771,442
Other operating income	54,024		59,822		192,515
Administration expenses	(5,701,502)		(4,610,647)		(9,253,270)
Distribution costs	-		(384)		-
Other operating expenses	(155,027)		(124,664)		(377,143)
Share of associate result	-		-		22,684
OPERATING PROFIT	1,491,432		568,001		1,356,228
Finance costs	(68,905)		(144,002)		(273,052)
PROFIT BEFORE TAX	1,422,527		423,999		1,083,176
Tax	(356,510)		(2,813)		(108,674)
PROFIT FROM CONTINUING OPERATIONS	1,066,017		421,186		974,502
Gain on disposal of subsidiary	-		-		1,105,535
LOSS FROM DISCONTINUED OPERATIONS, NET OF TAX	-		-		(208,039)
PROFIT FOR THE PERIOD/YEAR	1,066,017		421,186		1,871,998
Attributable to:
Owners of the parent	1,066,435		786,931		1,508,874
Non-controlling interest	(418)		(365,745)		363,124
	1,066,017		421,186		1,871,998
EARNINGS PER SHARE
Basic earnings per share (pence)	1.003		0.740		1.419
Diluted earnings per share (pence)	0.912		0.677		1.291
PROFIT FOR THE PERIOD/YEAR	1,066,017		421,186		1,871,998
OTHER COMPREHENSIVE PROFIT/(LOSS)
Foreign currency translation	52,686		11,718		(43,083)
TOTAL COMPREHENSIVE PROFIT FOR THE PERIOD/YEAR	1,118,703		432,904		1,828,915
Total comprehensive profit attributable to:
Owners of the parent	1,118,970		445,693		1,465,622
Non-controlling interest	(267)		(12,789)		363,293
	1,118,703		432,904		1,828,915

CONSOLIDATED STATEMENT OF FINANCIAL POSITION

AS AT 30 JUNE 2020

		At		At		At
		30 June 2020		30 June 2019		31 Dec 2019
		Unaudited		Unaudited		Audited
		£		£		£
Assets
Non-current assets
	Intangible assets	192,685		268,501		222,731
	Property, plant and equipment	701,369		1,855,510		721,079
	Deferred tax assets	-		193,251		-
	Right-of-use assets	396,736		-		455,168
		1,290,790		2,317,262		1,398,978
Current assets
	Inventories	2,328,897		1,317,318		1,564,160
	Trade receivables	4,129,100		3,040,250		3,769,016
	Other receivables	551,494		1,399,891		644,173
	Amount due from an associate	175,363		-		145,095
	Tax recoverable	131,866		142,591		81,353
	Fixed deposits	2,912,833		-		2,763,029
	Assets held for sale	-		63,740		-
	Cash and cash equivalents	3,011,312		4,994,352		1,660,034
		13,240,865		10,958,142		10,626,860
Total Assets		14,531,655		13,275,404		12,025,838
Shareholders' equity
Equity attributable to equity holders of the Company
	Called up share capital	2,657,470		2,657,470		2,657,470
	Share premium	909,472		909,472		909,472
	Reverse acquisition reserve	708,951		708,951		708,951
	Foreign currency translation reserve	891,945		894,229		839,259
	Accumulated losses	(2,182,717)		(3,968,077)		(3,249,152)
Shareholders' equity		2,985,121		1,202,045		1,866,000
Non-controlling interest		(11,946)		(1,681,855)		(11,261)
Total Equity		2,973,175		(479,810)		1,854,739
Liabilities
Non-current liabilities
	Loans and borrowings - secured	268,449		269,651		265,585
	Lease liabilities	45,114		-		151,565
	Deferred tax liabilities	62,274		472		60,873
	Amount due to directors	-		1,911,200		-
		375,837		2,181,323		478,023
Current liabilities
	Trade payables	1,732,505		1,816,034		1,266,150
	Other payables	5,884,717		5,772,848		4,920,913
	Amount due to directors	123,991		174,598		107,827
	Loans and borrowings - secured	3,199,201		3,805,908		3,161,178
	Lease liabilities	236,547		-		232,228
	Tax payables	5,682		4,503		4,780
		11,182,643		11,573,891		9,693,076
Total Liabilities		11,558,480		13,755,214		10,171,099
Total Equity and Liabilities		14,531,655		13,275,404		12,025,838

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

FOR THE SIX MONTH PERIOD ENDED 30 JUNE 2020

		Non-Distributable			Distributable
				Foreign
			Reverse	Currency			Non-
	Share	Share	Acquisition	Translation	Accumulated		Controlling	Total
	Capital	Premium	Reserve	Reserve	Losses	Total	Interest	Equity
	£	£	£	£	£	£	£	£
As at 1 January 2019	2,657,470	909,472	708,951	882,511	(4,755,008)	403,396	(1,303,321)	(899,925)
Effect of adopting IFRS16	-	-	-	-	(3,018)	(3,018)	-	(3,018)
As at 1 January 2019, restated	2,657,470	909,472	708,951	882,511	(4,758,026)	400,378	(1,303,321)	(902,943)
Foreign currency translation	-	-	-	11,718	-	11,718	(12,789)	(1,071)
Profit/(Loss) for the period	-	-	-	-	786,931	786,931	(365,745)	421,186
As at 30 June 2019	2,657,470	909,472	708,951	894,229	(3,971,095)	1,199,027	(1,681,855)	(482,828)
As at 1 July 2019	2,657,470	909,472	708,951	894,229	(3,971,095)	1,199,027	(1,681,855)	(482,828)
Foreign currency translation	-	-	-	(54,970)	-	(54,970)	12,958	(42,012)
Profit/(Loss) for the period	-	-	-	-	721,943	721,943	728,869	1,450,812
	2,657,470	909,472	708,951	839,259	(3,249,152)	1,866,000	(940,028)	925,972
Transaction with owners:
Disposal of a subsidiary company	-	-	-	-	-	-	928,767	928,767
As at 31 Dec 2019	2,657,470	909,472	708,951	839,259	(3,249,152)	1,866,000	(11,261)	1,854,739
As at 1 January 2020	2,657,470	909,472	708,951	839,259	(3,249,152)	1,866,000	(11,261)	1,854,739
Foreign currency translation	-	-	-	52,686	-	52,686	(267)	52,419
Profit for the period	-	-	-	-	1,066,435	1,066,435	(418)	1,066,017
As at 30 June 2020	2,657,470	909,472	708,951	891,945	(2,182,717)	2,985,121	(11,946)	2,973,175

Share capital is the amount subscribed for shares at nominal value.

Share premium represents the excess of the amount subscribed for share capital over the nominal value of the respective shares net of share issue expenses.

The reverse acquisition reserve relates to the adjustment required by accounting for the reverse acquisition in accordance with IFRS 3.

The Company's assets and liabilities stated in the Statement of Financial Position were translated into Pound Sterling (£) using the closing rate as at the Statement of Financial Position date and the income statements were translated into £ using the average rate for that period. All resulting exchange differences are taken to the foreign currency translation reserve within equity.

Retained earnings represent the cumulative earnings of the Group attributable to equity shareholders.

Non-controlling interests represent the share of ownership of subsidiary companies outside the Group.

CONSOLIDATED STATEMENT OF CASH FLOWS

FOR THE SIX MONTH PERIOD ENDED 30 JUNE 2020

	Six months		Six months		Financial year
	Ended		Ended		ended
	30 June 2020		30 June 2019		31 Dec 2019
	Unaudited		Unaudited		Audited
	£		£		£
Cash flows from operating activities
Cash generated from operations	1,634,969		1,117,239		1,428,219
Interest paid	(68,906)		(144,002)		(287,587)
Interest received	45,890		41,725		97,617
Tax paid	(133,882)		(2,813)		(184,491)
Tax refund	-		-		196,205
Net cash generated from operating activities	1,478,071		1,012,149		1,249,963
Cash flows (used in)/from investing activities
Purchase of property, plant and equipment	(32,719)		(39,716)		(70,294)
Decrease/(Increase) in asset held for sale	-		55,699		-
Proceeds from disposal of property, plant and equipment	-		-		1,890
Net cash outflow for disposal of subsidiary company	-		-		(80,486)
Addition investment in associate company	-		-		(47,258)
Net cash (used in)/from investing activities	(32,719)		15,983		(196,148)
Cash flows used in financing activities
Net change of banker acceptance	(27,017)		(2,671)		(398,175)
Repayment of lease liabilities	(118,702)		(87,381)		(317,999)
Repayment of term loan	(3,250)		(10,634)		(6,824)
Net cash used in financing activities	(148,969)		(100,686)		(722,998)
Increase in cash and cash equivalents	1,296,383		927,446		330,817
Effect of foreign exchange rate changes	204,699		(41,412)		(16,072)
Cash and cash equivalents at beginning of period/year	4,423,063		4,108,318		4,108,318
Cash and cash equivalents at end of period/year	5,924,145		4,994,352		4,423,063

NOTES TO THE INTERIM FINANCIAL STATEMENTS

1.	Basis of preparation
	The Group's interim financial statements for the six months ended 30 June 2020 were authorised for issue by the Board of Directors on 22 October 2020. The interim financial statements are unaudited and have been prepared in accordance with International Financial Reporting Standards   (IFRSs and IFRIC interpretations) issued by the International Accounting Standards Board (IASB), as adopted by the European Union, and with those parts of the Companies (Jersey) Law 1991 applicable to companies preparing their financial statements under IFRS. It has been prepared in accordance with IAS 34 "Interim Financial Reporting" and does not include all of the information required for full annual financial statements. The financial statements have been prepared under the historical cost convention. Full details of the accounting policies adopted, which are consistent with those disclosed in the Company's 2019 Annual Report, will be included in the audited financial statements for the year ending 31 December 2020.
2.	Basis of consolidation
	The consolidated statement of comprehensive income and statement of financial position include financial statements of the Company and its subsidiaries made up to 30 June 2020.
3.	Nature of financial information Theunaudited interim financial information for the six months ended 30 June 2020 does not constitute statutory accounts under the meaning of Section 435 of the Companies Act 2006. The comparative figures for the year ended 31 December 2019 are extracted from the audited statutory financial statements.Full audited financial statements of the Group in respect of that financial year prepared in accordance with IFRS, which we received an unqualified audit opinion, have been delivered to the Registrar of Companies.
4.	Functional and presentation currency (i)  Functional and presentation currency Items included in the financial statements of each of the Group's entities are measured using the currency of the primary economic environment in which the entity operates (the functional currency). The functional currency of the Group is Ringgit Malaysia (RM). The consolidated financial statements are presented in Pound Sterling (£), which is the Company's presentational currency as this is the currency used in the country in which the entity is listed. Assets and liabilities are translated into Pound Sterling (£) at foreign exchange rates ruling at the Statement of Financial Position date. Results and cash flows are translated into Pound Sterling (£) using average rates of exchange for the period. (ii)  Transactions and balances Foreign currency transactions are translated into the functional currency using exchange rates prevailing at the dates of the transactions. Foreign exchange gains and losses resulting from the settlement of such transactions and from the translation at year/period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in the statement of comprehensive income.   The financial information set out below has been translated at the following rates: Exchange rate (RM: £) At Statement of Financial Position date Average for year/ Period Period ended 30 June 2020 5.26 5.36 Period ended 30 June 2019 5.24 5.33 Year ended 31 December 2019 5.38 5.29

5.	Segmental analysis
	The Group has two operating segments as follows: (a)  Telecommunication services and electronic commerce solutions; and (b)  Hardware No segmental analysis of assets and capital expenditure are presented as they are mostly unallocated items which comprise corporate assets and liabilities. No geographical segment information is presented as more than 95% of the Group's revenue was generated in Malaysia. Group Telecommunication services and electronic commerce solutions Hardware Elimination Total 6 months ended 30 June 2020 £   £ £ £ Segment revenue: Sales to external customers 118,573,581 1,492,294 (156,141) 119,909,734 118,573,581 1,492,294 (156,141) 119,909,734 Profit before tax 1,422,527 - - 1,422,527 Tax (356,510) - - (356,510) Profit for the period 1,066,017 - - 1,066,017 Non-cash expenses/(income)* Depreciation of property, plant and equipment 68,166 - - 68,166 Amortisation of intangible assets 34,507 - - 34,507 Amortisation of right-of-use assets 67,601 - - 67,601 170,274 - - 170,274 Group 6 months ended 30 June 2019 Segment revenue: Sales to external customers 77,709,967   1,375,889 (165,238) 78,920,618 77,709,967 1,375,889 (165,238) 78,920,618 Profit before tax 423,999   - - 423,999 Tax (2,813)   - - (2,813) Profit for the period 421,186 - - 421,186 Non-cash expenses/(income)* Depreciation of property, plant and equipment   90,422 - - 90,422 Amortisation of intangible assets 34,672 - - 34,672 Amortisation of right-of-use assets - - - - 125,094   - -   125,094 Group Financial year ended 31 Dec 2019 Segment revenue: Sales to external customers 166,796,343   2,907,507 (291,186) 169,412,664 166,796,343 2,907,507 (291,186) 169,412,664 Profit before tax 1,083,176   - - 1,083,176 Tax (108,674)   - -   (108,674) Profit for the year 974,502 - -   974,502 Non-cash expenses/(income)* Depreciation of property, plant and equipment   151,255 - - 151,255 Amortisation of intangible assets   69,897 - - 69,897 Amortisation of right-of-use assets 109,067 - - 109,067 Impairment loss on goodwill 4,130 - - 4,130 334,349   - -   334,349 *The disclosure for non-cash expenses has not been split according to the different segments as the cost to obtain such information is excessive and provides very little by way of information.
6.	Taxation
	Taxation on the income statement for the financial period comprises current and deferred tax. Current tax is the expected amount of taxes payable in respect of the taxable profit for the financial period and is measured using the tax rates that have been enacted at the Statement of Financial Position date. Deferred tax is recognised on the liability method for all temporary differences between the carrying amount of an asset or liability in the Statement of Financial Position and its tax base at the Statement of Financial Position date. Deferred tax liabilities are recognised for all taxable temporary differences and deferred tax assets are recognised for all deductible temporary differences, unused tax losses and unused tax credits to the extent that it is probable that future taxable profit will be available against which the deductible temporary differences, unused tax losses and unused tax credits can be utilised. Deferred tax is not recognised if the temporary difference arises from goodwill or negative goodwill or from the initial recognition of an asset or liability in a transaction which is not a business combination and at the time of the transaction, affects neither accounting profit nor taxable profit. Deferred tax assets and liabilities are measured at the tax rates that are expected to apply to the period when the asset is realised or the liability is settled, based on the tax rates that have been enacted or substantively enacted by the Statement of Financial Position date. The carrying amount of a deferred tax asset is reviewed at each Statement of Financial Position date and is reduced to the extent that it becomes probable that sufficient future taxable profit will be available. Deferred tax is recognised in the income statement, except when it arises from a transaction which is recognised directly in equity, in which case the deferred tax is also charged or credited directly in equity, or when it arises from a business combination that is an acquisition, in which case the deferred tax is included in the resulting goodwill or negative goodwill.
7.	Earnings per share
	The basic earnings per share is calculated by dividing the profit in the six month period ended 30 June 2020 of £1 ,066,435 (30 June 2019: profit of £786,931 and year ended 31 December 2019: profit of £1,508,874) attributable to owners of the parent by the number of ordinary shares outstanding at 30 June 2020 of 106,298,780 (30 June 2019: 106,298,780 and 31 December 2019: 106,298,780). The diluted earnings per share for the six month period ended 30 June 2020 is calculated using the number of shares adjusted to assume the conversion of all dilutive potential ordinary shares of 116,898,780 (on 5 December 2014, the Company granted share options of 10,600,000 shares at 2.5p to directors and certain employees of the Group).

8.	Reconciliation of profit before tax to cash generated from operations Six months Six months Financial year ended ended ended 30 June 2020 30 June 2019 31 Dec 2019 Unaudited Unaudited Audited £ £ £ Cash flow from operating activities Profit before tax 1,422,527  423,999 1,980,672 Adjustments for: Amortisation of intangible assets 34,507 34,672 69,897 Amortisation of right-of-use assets 67,601 109,067 Impairment of goodwill - - 4,130 Depreciation of property, plant and equipment 68,166 90,422 151,255 Gain on disposal of subsidiary company - - (1,105,535) Gain on disposal of property, plant and   equipment - - (779) (Gain)/Loss on foreign exchange - unrealised (9,831) - 301 Impairment investment in an associate   company - - 69,941 Interest expenses 68,906 144,002 287,587 Inventories written off - - 351 Interest income (45,890) (41,725) (97,617) Property, plant and equipment written   off - - 7,657 Share of profit in associated - - (22,684) Waiver of payable  -   - (34,692) Operating profit before   working capital changes 1,605,986 651,370 1,419,551 (Increase)/Decrease in inventories (728,728) 63,788 (367,596) Increase in receivables (319,033) (180,055) (662,199) Increase in amount due to Directors &   Shareholder 16,102 208,794 142,023 Amount due to/by related company - - (130,353) Increase in payables  1,060,642 373,342 1,026,793 Cash generated from operations  1,634,969 1,117,239 1,428,219
9.	Contingent liabilities
	In the period under review, corporate guarantees of RM21.1 million (£4.01 million) (H1 2019: RM21.1 million (£4.03 million) were given to a licensed bank by the Company for credit facilities granted to a subsidiary company.
10.		Significant accounting policies
		The interim consolidated financial statements have been prepared applying the same accounting policies that were applied in the preparation of the Company's published consolidated financial statements for the year ended 31 December 2019 except for the adoption of new and amended reporting standards, which are effective for periods commencing on or after 1 January 2020. Various amendments to standards and interpretations of standards are effective for periods commencing on or after 1 January 2020 as detailed in the 2019 Annual Report, none of which have any impact on reported results.

	Amortisation of intangible assets Software is amortised over its estimated useful life. Management estimated the useful life of this asset to be within 10 years. Changes in the expected level of usage and technological development could impact the economic useful life therefore future amortisation could be revised. The Group determines whether goodwill is impaired at least on an annual basis. This requires an estimation of the value-in-use of the cash generating units ("CGU") to which goodwill is allocated. Estimating a value-in-use amount requires management to make an estimation of the expected future cash flows from the CGU and also to choose a suitable discount rate in order to calculate the present value of those cash flows. The research and development costs are amortised on a straight-line basis over the life span of the developed assets. Management estimated the useful life of these assets to be within 5 years. Changes in the technological developments could impact the economic useful life and the residual values of these assets, therefore future amortisation charges could be revised.
		Impairment of goodwill on consolidation The Group's cash flow projections include estimates of sales. However, if the projected sales do not materialise there is a risk that the value of goodwill would be impaired. The Directors have carried out a detailed impairment review in respect of goodwill. The Group assesses at each reporting date whether there is an indication that an asset may be impaired, by considering cash flows forecasts. The cash flow projections are based on the assumption that the Group can realise projected sales. A prudent approach has been applied with no residual value being factored. At the period end, based on these assumptions there was no indication of impairment of the value of goodwill or of development costs.
		Research and development costs All research costs are recognised in the income statement as incurred. Expenditure incurred on projects to develop new products is capitalised and deferred only when the Group can demonstrate the technical feasibility of completing the intangible asset so that it will be available for use or sale, its intention to complete and its ability to use or sell the asset, how the asset will generate future economic benefits, the availability of resources to complete the project and the ability to measure reliably the expenditure during the development. Product development expenditures which do not meet these criteria are expensed when incurred. Development costs, considered to have finite useful lives, are stated at cost less any impairment losses and are amortised through other operating expenses in the income statement using the straight-line basis over the commercial lives of the underlying products not exceeding 5 years. Impairment is assessed whenever there is an indication of impairment and the amortisation period and method are also reviewed at least at each Statement of Financial Position date.
11.	Dividends
	The Company has not proposed or declared an interim dividend.

12.	Interim report
	This interim financial statement will, in accordance with Rule 26 of the AIM Rules for Companies, be available shortly on the Company's website at www.mobilityone.com.my .
	-Ends-

 

END

 

 

IR DLLBLBBLEFBB