TIDMMBO
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 GBP119.9 million (H1 2019:
GBP78.9 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 GBP1.07 million (H1 2019: profit after tax of GBP0.42 million);
-- Cash and cash equivalents (including fixed deposits) at 30
June 2020 of GBP5.92 million (30 June 2019: GBP4.99 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 +6 03 89963600
Dato' Hussian A. Rahman, CEO www.mobilityone.com.my
har@mobilityone.com.my
Allenby Capital Limited
(Nominated Adviser and Broker) +44 20 3328 5656
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 GBP119.9 million (H1 2019:
revenue of GBP78.9 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 GBP1.07 million in the first six months of 2020 (H1
2019: profit after tax of GBP0.42 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 GBP5.92 million (30 June 2019: cash
and cash equivalents of GBP4.99 million) and the secured loans and
borrowings from financial institutions amounted to GBP3.47 million
(30 June 2019: GBP4.08 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 PERIODED 30 JUNE 2020
Six months Six months Financial
year
Ended Ended Ended
30 June 30 June 31 Dec 2019
2020 2019
Unaudited Unaudited Audited
CONTINUING OPERATIONS GBP GBP GBP
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
GBP GBP GBP
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 PERIODED 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
GBP GBP GBP GBP GBP GBP GBP GBP
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 (GBP) using
the closing rate as at the Statement of Financial Position date and
the income statements were translated into GBP 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 PERIODED 30 JUNE 2020
Six months Six months Financial
year
Ended Ended ended
30 June 2020 30 June 2019 31 Dec 2019
Unaudited Unaudited Audited
GBP GBP GBP
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
The unaudited 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
(GBP), 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 (GBP)
at foreign exchange rates ruling at the Statement of Financial
Position date. Results and cash flows are translated into Pound
Sterling (GBP) 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: GBP)
At Statement Average for
of Financial year/
Position date 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.
Telecommunication
Group services and electronic
commerce solutions Hardware Elimination Total
6 months ended 30 GBP GBP GBP GBP
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 GBP1 ,066,435 (30
June 2019: profit of GBP786,931 and year ended 31 December 2019:
profit of GBP1,508,874) 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
GBP GBP GBP
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
(GBP4.01 million) (H1 2019: RM21.1 million (GBP4.03 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-
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END
IR DLLBLBBLEFBB
(END) Dow Jones Newswires
October 22, 2020 03:52 ET (07:52 GMT)
Mobilityone (LSE:MBO)
過去 株価チャート
から 6 2024 まで 7 2024
Mobilityone (LSE:MBO)
過去 株価チャート
から 7 2023 まで 7 2024
