15 February
2024
Information within this
announcement is deemed by the Company to constitute inside
information under the Market Abuse Regulations (EU) No.
596/2014
Benchmark Holdings
plc
("Benchmark", the "Company"
or the "Group")
Q1 Results
(Three months ended 31
December 2023)
Good performance in Genetics
and Advanced Nutrition in line with Management's
expectations
Actions taken to transition
to new business model in Health
In compliance with the terms of
the Company's unsecured Green bond, which requires it to publish
quarterly financial information, Benchmark, the aquaculture
biotechnology business, announces its unaudited results for the
three months ended 31 December 2023 (the "Period"), which
constitute the first quarter for the fiscal year ("FY")
2024. All Q1
FY23, Q4 FY23 and Q1 FY24 figures quoted in this announcement are
based on unaudited accounts.
Financial highlights
·
Q1 FY24 revenues were £40.5m, 26% below a
particularly strong Q1 FY23 (-19% CER), but 11% above Q4 FY23,
maintaining quarterly momentum
o Genetics revenues were £15.2m, a
solid performance against a strong Q1 FY23 when the Company
benefitted from supply constraints of salmon eggs in the
market (Q1 FY23: £21.4m)
o Advanced
Nutrition revenues were £19.3m, 13%
above Q4 FY23 reflecting a solid performance in the context of
continuing soft market conditions (Q1 FY23:
£22.7m)
o Health revenues of £6.1m were lower
than anticipated as a result of biological challenges faced by
certain customers' fish stock which led to the cancellation of
orders of Ectosan® Vet and CleanTreat® in December (Q1 FY23:
£10.4m)
·
Gross profit margin maintained at 45% (Q1 FY23:
45%)
·
Q1 FY24 Adjusted EBITDA excluding fair value
movements from biological assets was £7.5m (Q1 FY23: £12.5m) due to
lower revenues partially offset by a reduction in operating costs
·
Adj. EBITDA margin excluding fair value movements
from biological assets of 18% (Q1 FY23: 23%); margin
improvements in Genetics and Advanced Nutrition offset by
Health
o Genetics Adj. EBITDA margin excluding FV movements in
biological assets increased to 22% (Q1 FY23: 19%)
o Advanced Nutrition Adj. EBITDA margin increased to 24% (Q1
FY23: 23%)
o Excluding Health, Group Adj. EBITDA margin excl. fair value
movements from biological assets of 20% (Q1 FY23: 19%)
·
Cash, liquidity and net debt:
o Cash of £24.2m and liquidity of £36.4m (cash and available
facility)
o Net debt excluding lease liabilities of £57.5m (30 September
2023: £45.6m)
Operational highlights
·
Genetics - Solid performance in the core salmon
business and progress in growth vectors
o Post period end launch of a new product portfolio in salmon
genetics, strengthening the Company's offering and demonstrating
its ongoing commitment to innovation
o Growing commercial traction in Chile with revenue growth
underpinned by new customers and repeat orders and strong progress
towards profitability
o Successful integration of shrimp activities across Genetics
and Advanced Nutrition driving commercial synergies and cost
savings
o No impact on the Company's ability to meet customer demand
for salmon eggs following the detection of ISA virus (Infectious
Salmon Anaemia) in a single tank at Salten facility post period
end. There have been no further signs ISA at the facility or in the
specific tank from which the fish originated
·
Advanced Nutrition - Strong performance in Europe
and well positioned for market recovery
o Strong performance in Europe from marine fish, offset by soft
shrimp markets particularly in Asia
o Successful commercialisation of SnappArt post launch with
initial supply sold-out, demonstrating the Company's successful
innovation and commercial capability
o Ongoing commercial focus and actions to improve operational
efficiency, including equipment improvements, place the business in
a strong position for market recovery
·
Health - Significant steps taken to transition to
new business model for Ectosan® Vet and CleanTreat®
o Further progress made towards development of a new
configuration and business model for Ectosan® Vet and CleanTreat®
aimed at reducing infrastructure costs
§ Continued progress on wellboat configuration and steps to
develop a third configuration based on a barge
o Streamlining of existing infrastructure and organisation with
demobilisation of one of the two CleanTreat® units, leading to cost
savings
Current trading and
outlook
Trading in line with management's
expectations for the full year underpinned by good revenue
visibility in Genetics, continuing positive performance in Advanced
Nutrition and focus on profitable growth with actions to manage
costs and cash in Health as the business transitions to a new
configuration for Ectosan® Vet and CleanTreat®.
Financial Summary - continuing operations
£m
|
Q1 FY24
|
Q1 FY23
Restated
|
%
AER
|
%
CER**
|
Q4 FY23
|
FY23
(full
year)
|
Revenue
|
40.5
|
54.4
|
-26%
|
-19%
|
36.6
|
169.5
|
Adjusted
|
|
|
|
|
|
|
Adj.
EBITDA excluding fair value movement in biological asset
|
7.5
|
12.5
|
-40%
|
-34%
|
9.2
|
35.6
|
Adjusted
EBITDA1
|
6.7
|
11.3
|
-41%
|
-35%
|
7.4
|
35.5
|
Adjusted
Operating Profit/(Loss)2
|
(0.2)
|
6.2
|
n.m.
|
n.m.
|
2.1
|
14.6
|
Statutory
|
|
|
|
|
|
|
Operating
loss
|
(4.4)
|
0.3
|
n.m.
|
n.m.
|
(2.3)
|
(5.3)
|
Profit/(loss) before tax
|
(7.2)
|
0.6
|
n.m.
|
n.m.
|
(7.3)
|
(12.7)
|
Loss for
the period
|
(7.6)
|
(0.7)
|
n.m.
|
n.m.
|
(13.5)
|
(21.6)
|
Basic
loss per share (p)
|
(1.03)
|
(0.18)
|
|
|
(1.87)
|
(3.16)
|
Net
debt3
|
(74.6)
|
(61.4)
|
|
|
(65.5)
|
(65.5)
|
Net debt
excluding lease liabilities
|
(57.5)
|
(37.9)
|
|
|
(45.6)
|
(45.6)
|
Business Area summary
£m
|
Q1 FY24
|
Q1 FY23
|
% AER
|
%
CER**
|
Q4 FY23
|
FY23
(full
year)
|
Revenue
|
|
|
|
|
|
|
Advanced Nutrition
|
19.3
|
22.7
|
-15%
|
-7%
|
17.1
|
78.5
|
Genetics
|
15.2
|
21.4
|
-29%
|
-23%
|
16.9
|
65.5
|
Health
|
6.1
|
10.4
|
-42%
|
-39%
|
2.6
|
25.5
|
Adjusted EBITDA1
|
|
|
|
|
|
|
Advanced Nutrition
|
4.6
|
5.3
|
-13%
|
-8%
|
3.5
|
18.4
|
Adj. EBITDA Margin (%)
|
24%
|
23%
|
|
|
20%
|
23%
|
Genetics
|
2.5
|
2.9
|
-15%
|
-5%
|
5.4
|
15.7
|
Genetics
excluding fair value movements in biological assets
|
3.3
|
4.1
|
-19%
|
-9%
|
7.2
|
15.8
|
Adjusted EBITDA Margin (%)
excl. FV movements in biological asses
|
22%
|
19%
|
|
|
42%
|
24%
|
Health
|
0.6
|
4.1
|
-86%
|
-84%
|
(0.9)
|
4.8
|
*Constant exchange rate (CER)
figures derived by retranslating current year figures using
previous year's foreign exchange rates
(1) Adjusted EBITDA is EBITDA
(earnings before interest, tax, depreciation, amortisation, and
impairment), before exceptional items
(2) Adjusted Operating Profit is
operating gain or loss before exceptional items and amortisation of
intangible assets excluding development costs
(3) Net debt is cash and cash
equivalents less loans and borrowings
Trond Williksen, CEO, commented:
"We have had a busy quarter where we
have maintained momentum in our two largest business areas and the
Group is on track to meet management's expectations for the
year. We have good visibility of revenues in Genetics,
continuing good performance in Advanced Nutrition and have taken
actions in Health to transition to a new business model for
Ectosan® Vet and CleanTreat® which will increase its commercial
attractiveness and strengthen our portfolio of sea lice
solutions. We have a busy year ahead and intend to stay
focused to deliver continued progress towards our goals. Longer
term, as a supplier of specialised mission
critical solutions to aquaculture producers worldwide, Benchmark is
uniquely positioned in an industry with significant structural
growth trends with significant opportunities ahead."
Analyst / investor presentation and webcast being held
today
Trond Williksen, Chief Executive
Officer and Septima Maguire, Chief Financial Officer will host a
presentation for analysts and institutional investors on the day at
09.30 GMT (10.30 CET).
The presentation will be held in
person at Haakon Vlls Gate 2, Oslo, Norway. To register your
interest, please contact benchmark@mhpgroup.com
A live webcast of the presentation
will be available for analysts and investors to join remotely at
the following link:
https://channel.royalcast.com/hegnarmedia/#!/hegnarmedia/20240215_10
Equity Development webcast for retail investors at 12:00pm UK
time
Trond Williksen, Chief Executive
Officer and Septima Maguire, Chief Financial Officer will host a
second webcast for retail investors and wealth managers at 12.00pm
UK time. The webcast is open to all existing and potential
shareholders.
To register please visit:
https://www.equitydevelopment.co.uk/news-and-events/benchmark-q1-investor-presentation-15february2024
Enquiries
For further information, please
contact:
|
|
Benchmark Holdings plc
|
benchmark@mphc.com
|
Trond Williksen, CEO
|
|
Septima Maguire, CFO
|
|
Ivonne Cantu, Investor
Relations
|
|
|
|
|
|
Deutsche Numis (Broker and NOMAD)
|
Tel: 020 7260
1000
|
Freddie Barnfield, Duncan
Monteith, Sher Shah
|
|
|
|
MHP Communications
|
Tel: +44(0) 20 3128 8100 /
(0)7884 494112
|
Katie Hunt, Reg
Hoare
benchmark@mhpgroup.com
About Benchmark
Benchmark is a market leading
aquaculture biotechnology company. Benchmark's mission is to drive
sustainability in aquaculture by delivering products and solutions
in genetics, advanced nutrition and health which improve yield,
growth and animal health and welfare.
Through a global footprint in 26
countries and a broad portfolio of products and solutions,
Benchmark addresses many of the major aquaculture species - salmon,
shrimp, sea bass and sea bream, and tilapia - in all
the major aquaculture regions around the world. Find out more at
www.benchmarkplc.com.
Management Report
Benchmark's Q1 FY24 top line
performance was relatively soft against a strong Q1 FY23 but ahead
of the previous quarter, maintaining momentum in the
business. The two largest business areas, Genetics and
Advanced Nutrition performed in line with management's
expectations, while our Health business area was affected by
biological challenges faced by certain customers' fish stock which
led to the cancellation of orders for Ectosan® Vet and CleanTreat®
in December and therefore lower sales than previously
anticipated. As a result, Group revenues against the same
period in FY23 were down 26% to £40.5m, 19% at a constant exchange
rate (CER) but 11% ahead of Q4 FY23. Lower revenues against the
same period last year also reflect a strong comparative quarter in
FY23 which benefitted from shortage in supply of salmon eggs in the
market. Gross profit margin for the Group was 45% in line
with the previous year (Q1 FY23: 45%).
Adjusted EBITDA margin excluding
fair value movements from biological assets was 18% (Q1 FY23: 23%)
with an improvement in Genetics and Advanced Nutrition offset by
Health. Excluding Health, the Adj. EBITDA margin for the Group
excluding fair value movements was 20% (Q1 FY23: 19%). Adjusted
EBITDA from excluding fair value movements from biological assets
was £7.5m (Q1 FY23: £12.5m). Again, the Group suffered adverse
foreign exchange conditions, and at CER Adj. EBITDA excluding fair
value movements fell 34%.
The Group has maintained financial
discipline with a focus on spend and profitability. As a result,
despite inflationary pressure, operating costs were £10.5m, 9%
below the prior year (6% at CER). R&D costs were £1.5m, broadly
in line with Q1 FY23 (Q1 FY23: £1.6m). Total R&D investment
including capitalised development costs was £1.6m, in line with the
prior year (Q1 FY23: £1.6m).
Depreciation and amortisation
increased marginally from the comparative period last year to
£10.5m (Q1 FY23: £10.0m). The increase in depreciation arising from
the demobilisation of one of the CleanTreat® vessels was offset by
a reduction in amortisation as some acquired assets become fully
written off. Exceptional costs incurred in the period of
£0.5m (Q1 FY23: £1.0m) related to costs associated with business
reorganisation and the closure of the tilapia business.
Net finance cost in the period was
£2.8m; (Q1 FY23: £0.2m income) with the increase primarily
explained by a £2.5m credit in Q1 FY23 from changes the fair value
of derivative financial instruments. In addition, there was an
increase in interest costs in the year of £0.3m resulting from
higher borrowings in the current quarter.
The Group reported a loss before tax
of £7.2m (Q1 FY23: profit before tax £0.6m); the loss after
tax for the period was £7.6m (Q1 FY23: loss after tax
£0.7m).
Net operating cash outflow from
operating activities for the period was £5.6m (Q1 FY23: inflow
£8.1m) impacted by the lower sales. However, this also
included an increase in net working capital of £10.8m against a
much lower of £0.8m in the Q1 FY23, with the main movements being a
lower reduction in receivables and biological assets and a higher
reduction in payables in Q1 24 than in the comparative
quarter. Movements in biological assets and receivables both
showed larger reductions in Q1 23 than in Q1 24 and were dominated
by the impact in Genetics of the supply issues in the market in Q4
FY22 and Q1 FY23. The opportunities from which Benchmark was
able to benefit due to these supply issues meant an abnormally high
biological asset inventory in September 2022, and hence a larger
reduction in Q1 FY23, during which the supply issues were resolved,
than in Q1 FY24 when inventory levels were more normalised
throughout. The same supply issues also meant a higher level
of debtors in September 2022 from higher sales in Q4 FY22 leading
to a larger reduction in debtors in Q1 23 than in Q1 24. The
large reduction in creditors in Q1 24 compared to Q1 23 occurred
due to larger contractual payments for artemia supplies in Q1 24,
an increase in payables for exceptional costs within Corporate for
the Oslo listing preparation work at the end of Q1 23 which were
paid off after the end of that quarter and higher accrued harvest
production costs at September 2023 which returned to normal levels
at the end of Q1 24.
Net cash used in investing
activities was significantly reduced to £0.8m (Q1 FY23: £2.2m) of
which capex was £1.0m (Q1 FY23: £1.9m). Capex in the period
related to investment in Genetics (£0.6m) and Advanced Nutrition
(£0.3m). Net cash outflow from financing activities was £5.5m
arising mainly from interest and lease payments. Net decrease
in cash in the quarter was £11.8m (Q1
FY23: £8.1m inflow) to leave the period end cash position at £24.2m
and liquidity of £36.4m.
Advanced Nutrition
Advanced Nutrition revenues were
£19.3m, 15% below the prior year (-7% CER) but 13% ahead of Q4
FY23, a good performance against a backdrop of continuing soft
market conditions. By geography performance was stronger in Europe
driven by sales to the marine fish market, and in the Americas,
while Asia was most affected by conditions in the shrimp markets.
Innovation continues to be an important part of the Group's
strategy and we were pleased with the customer reception for the
recently launched SnappArt, with initial volumes sold
out.
Gross margin was 53% (Q1 FY23: 50%)
reflecting a change in product mix. Q1 FY24 Adjusted EBITDA was
£4.6m (Q1 FY23: £5.3m) as a result of lower sales. Adjusted EBITDA
margin was marginally up at 24% (Q1 FY23: 23%).
The resilience and continued good
performance of Advanced Nutrition in difficult markets reflects our
continuous innovation, focused commercial effort, financial
discipline, and our drive to improve operational efficiency.
Together this puts the business in a strong position for a recovery
in the market.
Genetics
Genetics delivered revenues of
£15.2m in Q1 FY24 (Q1 FY23: £21.4m) primarily driven by normalised
egg volumes against the prior year which benefitted from supply
constraints in the market. Egg sales were 86m against 118m in Q1
FY23. Our core salmon business had revenues of £13.6m (Q1
FY23: £20.7m) primarily driven by lower egg sales and lower harvest
income at £2.8m (Q1 FY23: £3.5m). Revenues from genetic services
were 15% ahead of the prior year.
In our growth vectors, increasing
commercial traction in Chile translated into revenues of £0.9m (Q1
FY23: £0.01m) taking the Company closer to profitability. Sales of
shrimp genetics were broadly in line with the prior year at £0.3m
(Q1 FY23: £0.3m).
Adjusted EBITDA for Q1 FY24
excluding fair value movements of biological assets was £3.3m, 19%
below the prior year (Q1 FY23: £4.1m), and at constant exchange
rates, was 9% below the prior year. The fair value movements
on biological assets in the quarter was a £0.8m reduction in value
(Q1 FY23: £1.2m reduction), so Adjusted EBITDA including fair value
movements for Q1 FY24 was £2.5m (Q1 FY23: £2.9m). Adjusted EBITDA
margin excluding fair value movements in biological assets
increased to 22% (Q1 FY23: 19%) reflecting an improvement in our
growth vectors, Chile and shrimp genetics.
Innovation is a key element in the
strategy of our core genetics business to bring in new traits and
technologies that differentiate our offering and can add
substantial value for our customers. We continue to progress our
work on sterility and gene editing to position ourselves at the
forefront of these developments. In addition, post year end
we launched a new product portfolio of specialised, premium
genetics products based on innovation in our existing technologies,
including genomics and cryopreservation, to optimise our genetic
design, and focus our selection intensity on the traits that give
the most benefit to customers.
Post period end, the Company
reported an isolated incident of ISA virus (Infectious Salmon
Anaemia) at its facility in Salten. The
tank containing the affected fish is an isolated unit with separate
water systems and farming equipment. The tank contained 1,582
broodstock fish, equivalent to a production of 12m salmon
eggs. All fish in the tank were culled and the Company does
not expect the incident to impact its delivery capability. The
Company has accessible broodstock from other fish groups in the
facility as well as access to additional supply of eggs from third
party partners in Norway and from its own facility in
Iceland.
Health
Revenues in Q1 FY24 were
£6.1m (Q1 FY23: £10.4m) primarily reflecting lower sales of
Ectosan® Vet and CleanTreat® which were impacted by biological
challenges at certain customers which led to the cancellation of
sales in December. Revenues from Ectosan® Vet and CleanTreat®
were £4.0m of which £1.4m was derived from recharging vessel and
fuel costs associated with the Ectosan® Vet and CleanTreat®
operations. Sales of Salmosan® Vet - the Group's
well-established sea lice treatment were down as a result of
geographic mix with sales skewed towards countries with lower
pricing versus last year. The reduction in revenues resulted
in Adjusted EBITDA of £0.6m in the quarter (Q1 FY23:
£4.1m).
In December 2023, we took the
decision to demobilise one of the two CleanTreat® vessels in light
of the low-capacity utilisation. The decision also led to a
streamlining of the Health business area reducing its costs base.
As Q2 evolves we will monitor capacity utilisation, prioritising
cash management in the transition period until new a less capital
intensive business model is in place. We view a model with
CleanTreat® integrated into wellboats as the medium to long term
solution and continue our work to bring this into place. In
addition, we are exploring a third configuration for CleanTreat®
based on a barge in order to provide customers with continuity
through a less costly alternative until the wellboat solution is
implemented.
Strategic Review
On 22 January, the Company announced
a strategic review to evaluate the Company's options including, but
not limited to, a potential sale of the Company as a whole or of
one or more individual business units. The purpose of the strategic
review is to establish whether there are bidders prepared to offer
a price that the Board considers attractive relative to its view of
the Company's intrinsic value. Further announcements will be made
as appropriate in due course.
Current Trading and Outlook
The Group is trading in line with
management's expectations for the full year underpinned by good
visibility of revenues in Genetics, continued good performance in
Advanced Nutrition and streamlining of our infrastructure and
operations in Health. Post period end the Genetics and Advanced
Nutrition business areas are trading well, and actions are being
taken to manage costs and cash in our Health business area through
the period of transition to a new business model.
All
figures in £000's
|
Notes
|
Q1 2024
(unaudited)
|
Q1 2023
Restated*
(unaudited)
|
FY 2023
(audited)
|
Revenue
|
4
|
40,473
|
54,422
|
169,476
|
Cost of
sales
|
|
(22,110)
|
(30,024)
|
(82,726)
|
Gross
profit
|
|
18,363
|
24,398
|
86,750
|
Research
and development costs
|
|
(1,517)
|
(1,551)
|
(6,069)
|
Other
operating costs
|
|
(10,490)
|
(11,568)
|
(45,157)
|
Share of
profit/(loss) of equity-accounted investees, net of tax
|
|
318
|
56
|
(32)
|
Adjusted
EBITDA²
|
|
6,674
|
11,335
|
35,492
|
Exceptional - restructuring, acquisition and disposal related
items
|
6
|
(517)
|
(972)
|
(3,904)
|
EBITDA¹
|
|
6,157
|
10,363
|
31,588
|
Depreciation and impairment
|
|
(6,249)
|
(4,539)
|
(18,409)
|
Amortisation and impairment
|
|
(4,268)
|
(5,502)
|
(18,495)
|
Operating
(loss)/profit
|
|
(4,360)
|
322
|
(5,316)
|
Finance
cost
|
7
|
(5,385)
|
(7,277)
|
(15,048)
|
Finance
income
|
7
|
2,554
|
7,508
|
7,670
|
(Loss)/profit before
taxation
|
|
(7,191)
|
553
|
(12,694)
|
Tax on
loss/profit
|
8
|
(433)
|
(779)
|
(3,365)
|
Loss from continuing
operations
|
|
(7,624)
|
(226)
|
(16,059)
|
Discontinued
operations
|
|
|
|
|
Loss from
discontinued operations, net of tax
|
5
|
-
|
(453)
|
(5,505)
|
|
|
(7,624)
|
(679)
|
(21,564)
|
Loss for the year
attributable to:
|
|
|
|
|
-
Owners of the parent
|
|
(7,627)
|
(1,283)
|
(23,146)
|
-
Non-controlling interest
|
|
3
|
604
|
1,582
|
|
|
(7,624)
|
(679)
|
(21,564)
|
|
|
|
|
|
Earnings per
share
|
|
|
|
|
Basic
loss per share (pence)
|
9
|
(1.03)
|
(0.18)
|
(3.16)
|
Diluted
loss per share (pence)
|
9
|
(1.03)
|
(0.18)
|
(3.16)
|
Earnings per share -
continuing operations
|
|
|
|
|
Basic
loss per share (pence)
|
9
|
(1.03)
|
(0.12)
|
(2.41)
|
Diluted
loss per share (pence)
|
9
|
(1.03)
|
(0.12)
|
(2.41)
|
|
|
|
|
|
Adjusted
EBITDA from continuing operations
|
|
6,674
|
11,335
|
35,492
|
Adjusted
EBITDA from discontinued operations
|
|
-
|
(368)
|
(1,254)
|
Total Adjusted
EBITDA
|
|
6,674
|
10,967
|
34,238
|
1 EBITDA - Earnings before interest,
tax, depreciation, amortisation, and impairment
2 Adjusted EBITDA - EBITDA before
exceptional items including acquisition related items
* Q1 2023 numbers have been restated
to reflect certain operations of the Group that have been
classified as discontinued operations during the
period in line with IFRS 5. (See Note 5).
All
figures in £000's
|
|
Q1 2024
(unaudited)
|
Q1 2023
Restated
(unaudited)
|
FY 2023
(audited)
|
|
|
|
|
|
|
|
Loss for the
period
|
|
(7,624)
|
(679)
|
(21,564)
|
|
Other comprehensive
income
|
|
|
|
|
|
Items that are or may be
reclassified subsequently to profit or loss
|
|
|
|
|
|
Foreign
exchange translation differences
|
|
(7,413)
|
(18,040)
|
(23,475)
|
|
Cash flow
hedges - changes in fair value
|
|
(890)
|
(516)
|
(2,123)
|
|
Cash flow
hedges - reclassified to profit or loss
|
|
120
|
(113)
|
2,623
|
|
Total comprehensive income
for the period
|
|
(15,807)
|
(19,348)
|
(44,539)
|
|
|
|
|
|
|
|
Total comprehensive income
for the period attributable to:
|
|
|
|
|
|
- Owners
of the parent
|
|
(15,741)
|
(19,751)
|
(45,404)
|
|
-
Non-controlling interest
|
|
(66)
|
403
|
865
|
|
|
|
(15,807)
|
(19,348)
|
(44,539)
|
|
|
|
|
|
|
|
Total comprehensive income
for the period attributable to owners of the
parent:
|
|
|
|
-
Continuing operations
|
|
(15,741)
|
(19,547)
|
(39,777)
|
|
-
Discontinued operations*
|
|
-
|
(204)
|
(5,627)
|
|
|
|
(15,741)
|
(19,751)
|
(45,404)
|
|
|
|
|
|
|
|
|
| |
* Total comprehensive income for the
period relating to discontinued operations for Q1 2024 includes the
loss of £Nil (Q1 2023: £453,000) and foreign exchange gain of £Nil
(Q1 2023: £249,000). FY23 includes the loss of £5,505,000 and
foreign exchange loss of £122,000.
The accompanying notes are an
integral part of this consolidated financial
information.
|
|
31 December 2023
|
31 December 2022
|
30 September 2023
|
All
figures in £000's
|
Notes
|
(unaudited)
|
(unaudited)
|
(audited)
|
Assets
|
|
|
|
|
Property,
plant and equipment
|
|
71,664
|
80,505
|
73,411
|
Right-of-use assets
|
|
16,513
|
23,883
|
19,804
|
Intangible assets
|
|
194,953
|
224,606
|
206,077
|
Equity-accounted investees
|
|
3,780
|
3,041
|
3,558
|
Other
investments
|
|
1
|
15
|
14
|
Biological and agricultural assets
|
|
23,779
|
24,930
|
18,406
|
Trade and
other receivables
|
|
-
|
422
|
-
|
Non-current
assets
|
|
310,690
|
357,402
|
321,270
|
Inventories
|
|
24,505
|
28,222
|
25,269
|
Biological and agricultural assets
|
|
19,926
|
17,154
|
27,586
|
Trade and
other receivables
|
|
56,380
|
51,159
|
59,795
|
Cash and
cash equivalents
|
|
24,164
|
42,782
|
36,525
|
|
|
124,975
|
139,317
|
149,175
|
Assets
held for sale
|
10
|
500
|
-
|
850
|
Current
assets
|
|
125,475
|
139,317
|
150,025
|
Total
assets
|
|
436,165
|
496,719
|
471,295
|
Liabilities
|
|
|
|
|
Trade and
other payables
|
|
(33,513)
|
(35,254)
|
(47,329)
|
Loans and
borrowings
|
11
|
(18,682)
|
(16,227)
|
(20,045)
|
Corporation tax liability
|
|
(5,929)
|
(10,349)
|
(6,422)
|
Provisions
|
|
(2,410)
|
(1,587)
|
(1,280)
|
Current
liabilities
|
|
(60,534)
|
(63,417)
|
(75,076)
|
Loans and
borrowings
|
11
|
(80,032)
|
(87,958)
|
(81,954)
|
Other
payables
|
|
(5,930)
|
(4,369)
|
(6,842)
|
Deferred
tax
|
|
(22,168)
|
(25,105)
|
(24,106)
|
Provisions
|
|
(440)
|
-
|
(700)
|
Non-current
liabilities
|
|
(108,570)
|
(117,432)
|
(113,602)
|
Total
liabilities
|
|
(169,104)
|
(180,849)
|
(188,678)
|
Net assets
|
|
267,061
|
315,870
|
282,617
|
Issued capital and reserves
attributable to owners of the parent
|
|
|
|
|
Share
capital
|
12
|
739
|
739
|
739
|
Additional paid-in share capital
|
12
|
37,428
|
432,423
|
37,428
|
Capital
redemption reserve
|
|
5
|
5
|
5
|
Retained
earnings
|
|
176,114
|
(186,120)
|
183,489
|
Hedging
reserve
|
|
(973)
|
(1,332)
|
(203)
|
Foreign
exchange reserve
|
|
47,603
|
59,866
|
54,947
|
Equity attributable to
owners of the parent
|
|
260,916
|
305,581
|
276,405
|
Non-controlling interest
|
|
6,146
|
10,289
|
6,212
|
Total equity and
reserves
|
|
267,062
|
315,870
|
282,617
|
The accompanying notes are an
integral part of this consolidated financial information
|
Share
capital
|
Additional paid-in
share capital
|
Other
reserves*
|
Hedging
reserve
|
Retained
earnings
|
Total attributable
to equity holders of
parent
|
Non-
controlling
interest
|
Total
equity
|
|
£000
|
£000
|
£000
|
£000
|
£000
|
£000
|
£000
|
£000
|
|
|
|
|
|
|
|
|
|
As at 1 October 2023
(audited)
|
739
|
37,428
|
54,952
|
(203)
|
183,489
|
276,405
|
6,212
|
282,617
|
Comprehensive income/(loss)
for the period
|
|
|
|
|
|
|
|
|
Profit/(loss) for the period
|
-
|
-
|
-
|
-
|
(7,627)
|
(7,627)
|
3
|
(7,624)
|
Other
comprehensive income/(loss)
|
-
|
-
|
(7,344)
|
(770)
|
-
|
(8,114)
|
(69)
|
(8,183)
|
Total comprehensive
income/(loss) for the period
|
-
|
-
|
(7,344)
|
(770)
|
(7,627)
|
(15,741)
|
(66)
|
(15,807)
|
Contributions by and
distributions to owners
|
|
|
|
|
|
|
|
|
Share-based payment
|
-
|
-
|
-
|
-
|
252
|
252
|
-
|
252
|
Total contributions by and
distributions to owners
|
-
|
-
|
-
|
-
|
252
|
252
|
-
|
252
|
Total transactions with
owners of the Company
|
-
|
-
|
-
|
-
|
252
|
252
|
-
|
252
|
As at 31 December 2023
(unaudited)
|
739
|
37,428
|
47,608
|
(973)
|
176,114
|
260,916
|
6,146
|
267,062
|
|
|
|
|
|
|
|
|
|
As at 1 October 2022
(audited)
|
704
|
420,824
|
77,710
|
(703)
|
(185,136)
|
313,399
|
9,886
|
323,285
|
Comprehensive
income/(loss)for the period
|
|
|
|
|
|
|
|
|
Profit/(loss) for the period
|
-
|
-
|
-
|
-
|
(1,283)
|
(1,283)
|
604
|
(679)
|
Other
comprehensive income/(loss)
|
-
|
-
|
(17,839)
|
(629)
|
-
|
(18,468)
|
(201)
|
(18,669)
|
Total comprehensive
income/(loss)for the period
|
-
|
-
|
(17,839)
|
(629)
|
(1,283)
|
(19,751)
|
403
|
(19,348)
|
Contributions by and
distributions to owners
|
|
|
|
|
|
|
|
|
Share
issue
|
35
|
12,985
|
-
|
-
|
-
|
13,020
|
-
|
13,020
|
Share
issue costs recognised through equity
|
-
|
(1,386)
|
-
|
-
|
-
|
(1,386)
|
-
|
(1,386)
|
Share-based payment
|
-
|
-
|
-
|
-
|
299
|
299
|
-
|
299
|
Total contributions by and
distributions to owners
|
35
|
11,599
|
-
|
-
|
299
|
11,933
|
-
|
11,933
|
Total transactions with
owners of the Company
|
35
|
11,599
|
-
|
-
|
299
|
11,933
|
-
|
11,933
|
As at 31 December 2022
(unaudited)
|
739
|
432,423
|
59,871
|
(1,332)
|
(186,120)
|
305,581
|
10,289
|
315,870
|
|
|
|
|
|
|
|
|
|
As at 1 October 2022
(audited)
|
704
|
420,824
|
77,710
|
(703)
|
(185,136)
|
313,399
|
9,886
|
323,285
|
Comprehensive income/(loss) for the period
|
|
|
|
|
|
|
|
|
Profit/(loss) for the period
|
-
|
-
|
-
|
-
|
(23,146)
|
(23,146)
|
1,582
|
(21,564)
|
Other
comprehensive income/(loss)
|
-
|
-
|
(22,758)
|
500
|
-
|
(22,258)
|
(717)
|
(22,975)
|
Total comprehensive
income/(loss) for the period
|
-
|
-
|
(22,758)
|
500
|
(23,146)
|
(45,404)
|
865
|
(44,539)
|
Contributions by and
distributions to owners
|
|
|
|
|
|
|
|
|
Share
issue
|
35
|
12,985
|
-
|
-
|
-
|
13,020
|
-
|
13,020
|
Share
issue costs recognised through equity
|
-
|
(2,146)
|
-
|
-
|
-
|
(2,146)
|
-
|
(2,146)
|
Cancellation of part of share premium account
|
-
|
(394,235)
|
-
|
-
|
394,235
|
-
|
-
|
-
|
Share-based payment
|
-
|
-
|
-
|
-
|
1,006
|
1,006
|
-
|
1,006
|
Total contributions by and
distributions to owners
|
35
|
(383,396)
|
-
|
-
|
395,241
|
11,880
|
-
|
11,880
|
Changes in
ownership
|
|
|
|
|
|
|
|
|
Acquisition of NCI
|
-
|
-
|
-
|
-
|
(3,470)
|
(3,470)
|
(4,539)
|
(8,009)
|
Total
changes in ownership interests
|
-
|
-
|
-
|
-
|
(3,470)
|
(3,470)
|
(4,539)
|
(8,009)
|
Total transactions with
owners of the Company
|
35
|
(383,396)
|
-
|
-
|
391,771
|
8,410
|
(4,539)
|
3,871
|
As at 30 September 2023
(audited)
|
739
|
37,428
|
54,952
|
(203)
|
183,489
|
276,405
|
6,212
|
282,617
|
*Other reserves in this statement is
an aggregation of capital redemption reserve and foreign exchange
reserve
|
|
Q1 2024
|
Q1 2023
|
FY 2023
|
|
Notes
|
(unaudited)
|
(unaudited)
|
(audited)
|
Cash flows from operating
activities
|
|
|
|
|
Loss for the
period
|
|
(7,624)
|
(679)
|
(21,564)
|
Adjustments
for:
|
|
|
|
|
Depreciation and impairment of property, plant and
equipment
|
|
2,969
|
2,033
|
8,453
|
Depreciation and impairment of right-of-use assets
|
|
3,280
|
2,582
|
10,260
|
Amortisation and impairment of intangible fixed
assets
|
|
4,268
|
5,502
|
18,495
|
(Profit)/loss on sale of property, plant and
equipment
|
|
5
|
(37)
|
(121)
|
Loss on
sale of discontinued operation
|
|
-
|
-
|
3,774
|
Finance
income
|
|
(210)
|
(7,508)
|
(2,802)
|
Finance
costs
|
|
2,685
|
7,010
|
10,535
|
Loss on
disposal of investments in joint ventures
|
|
(42)
|
-
|
-
|
Share of
(profit)/loss of equity-accounted investees, net of tax
|
|
(318)
|
(56)
|
32
|
Foreign
exchange gains
|
|
745
|
418
|
(1,814)
|
Share-based payment expense
|
|
252
|
299
|
1,005
|
Tax
expense
|
|
433
|
779
|
3,365
|
Decrease/(increase) in trade and other receivables
|
|
1,191
|
4,011
|
(6,570)
|
Decrease/(increase) in inventories
|
|
570
|
1,571
|
2,877
|
Decrease/(increase) in biological and agricultural
assets
|
|
813
|
3,294
|
(1,659)
|
(Decrease)/Increase in trade and other payables
|
|
(13,393)
|
(9,633)
|
3,909
|
Decrease
/(increase) in provisions
|
|
7
|
(9)
|
386
|
|
|
(4,369)
|
9,577
|
28,561
|
Income
taxes paid
|
|
(1,204)
|
(1,509)
|
(8,556)
|
Net cash flows generated
from operating activities
|
|
(5,573)
|
8,068
|
20,005
|
Investing
activities
|
|
|
|
|
Acquisition of subsidiaries
|
|
-
|
-
|
(48)
|
Purchase
of investments in associates
|
|
-
|
(63)
|
(558)
|
Receipts
from disposal of subsidiaries, joint ventures, and other
investments
|
|
37
|
-
|
1,250
|
Purchases
of property, plant and equipment
|
|
(921)
|
(1,829)
|
(5,953)
|
Purchase
of intangibles
|
|
(50)
|
(30)
|
(196)
|
Capitalised research and development costs
|
|
(62)
|
(54)
|
(632)
|
Cash
advances and loans made to other parties
|
|
-
|
(415)
|
-
|
Proceeds
from sale of fixed assets
|
|
18
|
75
|
227
|
Cash
receipts from swap contracts
|
|
-
|
-
|
11
|
Interest
received
|
|
204
|
160
|
627
|
Net cash flows used in
investing activities
|
|
(774)
|
(2,156)
|
(5,272)
|
Financing
activities
|
|
|
|
|
Proceeds
of share issues
|
|
-
|
13,020
|
13,020
|
Share-issue costs recognised through equity
|
|
-
|
(1,386)
|
(2,146)
|
Acquisition of minority interests in subsidiaries, net of
cash acquired
|
|
-
|
-
|
(8,009)
|
Proceeds
from bank or other borrowings, net of borrowing fees
|
|
-
|
(600)
|
21,847
|
Repayment
of bank or other borrowings
|
|
(386)
|
(4,397)
|
(18,470)
|
Interest
and finance charges paid
|
|
(2,250)
|
(2,211)
|
(9,131)
|
Repayments of lease liabilities
|
|
(2,854)
|
(2,200)
|
(9,438)
|
Net cash used in financing
activities
|
|
(5,490)
|
2,226
|
(12,327)
|
Net increase/(decrease) in
cash and cash equivalents
|
|
(11,837)
|
8,138
|
2,406
|
Cash and
cash equivalents at beginning of period
|
|
36,525
|
36,399
|
36,399
|
Effect of
movements in exchange rate
|
|
(524)
|
(1,755)
|
(2,280)
|
Cash and cash equivalents at
end of period
|
|
24,164
|
42,782
|
36,525
|
1. Basis of
preparation
Benchmark Holdings plc (the
'Company') is a company incorporated and domiciled in the United
Kingdom. These consolidated quarterly financial statements as at
and for the three months ended 31 December 2023 comprises those of
the Company and its subsidiaries (together referred to as the
'Group').
These consolidated quarterly
financial statements do not comprise statutory accounts within the
meaning of section 434 of the Companies Act 2006 and are unaudited.
These financial statements do not include all the information
required for a complete set of IFRS financial statements. However,
selected explanatory notes are included to explain events and
transactions that are significant to an understanding of the
changes in the Group's financial position and performance since the
last annual financial statements. The Group's last annual statutory
financial statements as at and for the year ended 30 September 2023
were prepared in accordance with (i) UK-adopted International
Accounting Standards and (ii) IFRS adopted pursuant to Regulation
(EC) No. 1606/2002 as it applied in the European Union ("Adopted
IFRS") and are available from the Company's website at
www.benchmarkplc.com.
The prior year comparatives are
derived from audited financial information for Benchmark Holdings
PLC Group as set out in the Annual Report and Accounts for the year
ended 30 September 2023 and the unaudited financial information in
the Quarterly Financial Report for the three months ended 31
December 2022. The comparative figures for the financial year ended
30 September 2023 are not the Company's statutory accounts for that
financial year. Those accounts were approved by the Directors on 29
November 2023 and have been delivered to the Registrar of
Companies. The audit report received on those accounts was (i)
unqualified and (ii) did not contain a statement under section
498(2) or (3) of the Companies Act 2006.
Statement of Compliance
These consolidated quarterly
financial statements have been prepared and approved by the
Directors in accordance with UK and EU adopted IAS 34 'Interim
Financial Reporting'. These financial statements do not include all
of the information required for the full annual financial
statements and should be read in conjunction with the Group's last
annual consolidated financial statements as at and for the year
ended 30 September 2023. These consolidated quarterly financial
statements were approved by the Board of Directors on
15 February 2024.
Going concern
The Group's business activities,
together with the factors likely to affect its future development,
performance and position are set out in the Management
Report.
As at 31 December 2023 the Group
had net assets of £267.1m (30 September 2023: £282.6m), including
cash of £24.2m (30 September 2022: £36.5m) as set out in the
consolidated balance sheet. The Group made a loss for the period of
£7.6m (year ended 30 September 2023: loss £21.6m).
As noted in the Management Report,
the business experienced tough market conditions in the shrimp
markets in FY23 which continued into the first quarter of FY24.
This has also combined with lower demand for its sealice solution
in the first quarter of FY24. The lower demand has resulted in the
decision to reduced available CleanTreat® capacity in the market to
match demand and preserve cash as we move towards a lower cost
CleanTreat® model.
The Directors have reviewed
forecasts and cash flow projections for a period of at least 12
months including downside sensitivity assumptions in relation to
trading performance across the Group to assess the impact on the
Group's trading and cash flow forecasts and on the forecast
compliance with the covenants included within the Group's financing
arrangements.
In the downside analysis
performed, the Directors considered severe but plausible scenarios
on the Group's trading and cash flow forecasts, firstly in relation
to continued roll out of the Ectosan®Vet and CleanTreat® offering.
Sensitivities considered included modelling slower ramp up of the
commercialisation of Ectosan® Vet and CleanTreat® through delayed
roll-out of the revised operating model for the service, together
with reductions in expected biomass treated and reduction in
short-term treatment capacity. Key downside sensitivities modelled
in other areas included assumptions on slower commercialisation of
SPR shrimp, slower salmon egg sales growth in Chile and removal of
an additional financing opportunity within Genetics, along with
sensitivities on sales growth in revenues and pressure on pricing
on CIS artemia in Advanced Nutrition. Mitigating measures within
the control of management have been identified should they be
required in response to these sensitivities, including reductions
in areas of discretionary spend, tight control over new hires,
deferral of capital projects and temporary hold on R&D for
non-imminent products.
The Directors consider that
adequate finance facilities are in place following the completion
of the refinancing in FY23, and with financial instruments in place
to fix interest rates and opportunities available to mitigate
globally high inflation rates, the Group continues to show
resilience against current global economic pressures.
The Board believes that the
current share price materially undervalues the combined value of
Benchmark's businesses and the long-term prospects of the Company.
Consequently, the Board announced on 22 January 2024 the decision
to undertake a formal review of the Company's strategic options,
which include a potential sale of the Company as a whole or of one
or more of the individual business units. As this is only the
very beginning of the process, there are currently no deal or deals
identified or underway and all parts of the business are operating
as usual, so there is no impact on the Directors' assessment of
going concern.
The Directors are therefore
confident that even under all of the above sensitivity analysis and
ongoing strategic review, the Group has sufficient liquidity and
resources throughout the period under review whilst still
maintaining adequate headroom against the borrowing covenants. They
therefore remain confident that the Group has adequate resources to
continue to meet its liabilities as and when they fall due within
the period of 12 months from the date of approval of these
financial statements. Based on their assessment, the Directors
believe it remains appropriate to prepare the financial statements
on a going concern basis.
2. Accounting
policies
The accounting policies adopted are
consistent with those used in preparing the consolidated financial
statements for the financial year ended 30 September
2023.
Taxes on income in the interim
periods are accrued using the tax rate that would be applicable to
expected total earnings.
Alternative performance measures ('APMs')
The Directors measure the
performance of the Group based on a range of financial measures,
including measures not recognised by UK or EU-adopted IFRS. These
APMs may not be directly comparable with other companies' APMs, and
the Directors do not intend these as a substitute for, or superior
to, IFRS measures.
Directors have presented the
performance measures Adjusted EBITDA, Adjusted Operating Profit,
Adjusted Profit Before Tax and Adjusted EBITDA excluding fair value
movement on biological assets because they monitor performance at a
consolidated level using these and believe that these measures are
relevant to an understanding of the Group's financial performance
(see note 13). Furthermore, the Directors also refer to current
period results using constant currency, which are derived by
retranslating current period results using the prior year's foreign
exchange rates.
Use of estimates and judgements
The preparation of quarterly
financial information requires management to make certain
judgements, estimates and assumptions that affect the application
of accounting policies and the reported amounts of assets and
liabilities, income and expense. Actual amounts may differ from
these estimates.
In preparing these quarterly
financial statements the significant judgements made by management
in applying the Group's accounting policies and the key sources of
estimation uncertainty were the same as those applied to the
consolidated financial statements for the year ended 30 September
2023.
3. Segment
information
Operating segments are reported in a
manner consistent with the reports made to the chief operating
decision maker. It is considered that the role of chief operating
decision maker is performed by the Board of Directors.
The Group operates globally and for
management purposes is organised into reportable segments based on
the following business areas:
· Genetics -
harnesses industry leading salmon breeding
technologies combined with state-of-the-art production facilities
to provide a range of year-round high genetic merit ova.
· Advanced Nutrition
- manufactures and provides
technically advanced nutrition and health products to the global
aquaculture industry.
· Health
- the segment provides
health products and services to the global aquaculture
market.
In order to reconcile the segmental
analysis to the consolidated income statement, corporate and
inter-segment sales are also shown. Corporate sales represent
revenues earned from recharging certain central costs to the
operating business areas, together with unallocated central
costs.
Measurement of operating segment profit or
loss
Inter-segment sales are priced along
the same lines as sales to external customers, with an appropriate
discount being applied to encourage use of Group resources at a
rate acceptable to local tax authorities. This policy was
applied consistently throughout the current and prior
period.
3. Segment information
(continued)
Reconciliations of segmental information to IFRS
measures
Segmental
Revenue
|
|
|
|
All
figures in £000's
|
Q1 2024
(unaudited)
|
Q1 2023
(unaudited)*
|
FY 2023
(audited)*
|
Genetics
|
15,164
|
21,439
|
65,791
|
Advanced Nutrition
|
19,283
|
22,680
|
78,503
|
Health
|
6,059
|
10,385
|
25,514
|
Corporate
|
1,349
|
1,437
|
5,747
|
Inter-segment sales
|
(1,382)
|
(1,446)
|
(5,811)
|
Total
|
40,473
|
54,495
|
169,744
|
Segmental Adjusted
EBITDA
|
|
|
|
All
figures in £000's
|
Q1 2024
(unaudited)
|
Q1 2023
(unaudited)*
|
FY 2023
(audited)*
|
Genetics
|
2,498
|
2,563
|
14,409
|
Advanced Nutrition
|
4,600
|
5,297
|
18,374
|
Health
|
570
|
4,067
|
4,772
|
Corporate
|
(994)
|
(960)
|
(3,317)
|
Total
|
6,674
|
10,967
|
34,238
|
Reconciliation of
Reportable Segments Adjusted EBITDA to Loss before
taxation
|
All
figures in £000's
|
Q1 2024
(unaudited)
|
Q1 2023
(unaudited)*
|
FY 2023
(audited)*
|
Total reportable segment Adjusted
EBITDA
|
7,668
|
11,927
|
37,555
|
Corporate Adjusted EBITDA
|
(994)
|
(960)
|
(3,317)
|
Adjusted
EBITDA
|
6,674
|
10,967
|
34,238
|
Exceptional - restructuring, acquisition and disposal
related items
|
(517)
|
(972)
|
(7,817)
|
Depreciation and impairment
|
(6,249)
|
(4,615)
|
(18,713)
|
Amortisation and impairment
|
(4,268)
|
(5,502)
|
(18,495)
|
Net
finance costs
|
(2,831)
|
222
|
(7,412)
|
Loss before taxation
from continuing operations
|
(7,191)
|
100
|
(18,199)
|
Reconciliation of
segmental information to IFRS measures - Revenue and Loss before
tax
|
|
|
|
|
Revenue
|
|
|
|
|
Q1 2024
(unaudited)
|
Q1 2023
Restated
(unaudited)
|
FY 2023
(audited)
|
Total revenue per segmental
information
|
40,473
|
54,495
|
169,744
|
Less: revenue from discontinued
operations
|
-
|
(73)
|
(268)
|
Consolidated
revenue
|
40,473
|
54,422
|
169,476
|
|
|
|
|
Loss before
tax
|
|
|
|
|
Q1 2024
(unaudited)
|
Q1 2023
Restated
(unaudited)
|
FY 2023
(audited)
|
Profit/(loss) before tax per segmental
information
|
(7,191)
|
100
|
(18,199)
|
Less: (profit)/loss before tax from discontinued
operations
|
-
|
453
|
5,505
|
Consolidated
Profit/(loss) before tax
|
(7,191)
|
553
|
(12,694)
|
* Results
include discontinued operations, see note 5 for further
detail
4. Revenue
The Group's
operations and main revenue streams are those described in its
financial statements to 30 September 2023. The Group's revenue is
derived from contracts with customers.
Disaggregation of
revenue
In the following
tables, revenue is disaggregated by primary geographical market and
by sales of goods and services. The table includes a reconciliation
of the disaggregated revenue with the Group's reportable segments
(see note 3).
Sale of goods and provision
of services
|
3 months ended 31 December
2023 (unaudited)
|
|
|
All figures in
£000's
|
Genetics
|
Advanced
Nutrition
|
Health
|
Corporate
|
Inter-segment
sales
|
Total
|
Discontinued
|
Continuing
|
Sale of
goods
|
14,841
|
19,254
|
4,459
|
-
|
-
|
38,554
|
-
|
38,554
|
Provision of
services
|
319
|
-
|
1,600
|
-
|
-
|
1,919
|
-
|
1,919
|
Inter-segment
sales
|
4
|
29
|
-
|
1,349
|
(1,382)
|
-
|
-
|
-
|
|
15,164
|
19,283
|
6,059
|
1,349
|
(1,382)
|
40,473
|
-
|
40,473
|
|
|
|
|
|
|
|
|
|
|
3 months ended 31 December
2022 (unaudited)
|
|
|
All
figures in £000's
|
Genetics
|
Advanced
Nutrition
|
Health
|
Corporate
|
Inter-segment
sales
|
Total
|
Discontinued
|
Continuing
|
Sale
of goods
|
21,121
|
22,672
|
7,449
|
-
|
-
|
51,242
|
73
|
51,169
|
Provision of services
|
317
|
-
|
2,936
|
-
|
-
|
3,253
|
-
|
3,253
|
Inter-segment sales
|
1
|
8
|
-
|
1,437
|
(1,446)
|
-
|
-
|
-
|
|
21,439
|
22,680
|
10,385
|
1,437
|
(1,446)
|
54,495
|
73
|
54,422
|
|
|
|
|
|
|
|
|
|
|
12 months ended 30 September
2023 (audited)
|
|
|
All
figures in £000's
|
Genetics
|
Advanced
Nutrition
|
Health
|
Corporate
|
Inter-segment
sales
|
Total
|
Discontinued
|
Continuing
|
Sale
of goods
|
61,372
|
78,449
|
17,707
|
-
|
-
|
157,528
|
268
|
157,260
|
Provision of services
|
4,409
|
-
|
7,807
|
-
|
-
|
12,216
|
-
|
12,216
|
Inter-segment sales
|
10
|
54
|
-
|
5,747
|
(5,811)
|
-
|
-
|
-
|
|
65,791
|
78,503
|
25,514
|
5,747
|
(5,811)
|
169,744
|
268
|
169,476
|
4. Revenue
(continued)
Primary geographical
markets
|
3 months ended 31 December
2023 (unaudited)
|
|
|
All figures in
£000's
|
Genetics
|
Advanced
Nutrition
|
Health
|
Corporate
|
Inter-segment
sales
|
Total
|
Discontinued
|
Continuing
|
Norway
|
9,557
|
311
|
4,809
|
-
|
-
|
14,677
|
-
|
14,677
|
Vietnam
|
-
|
1,635
|
-
|
-
|
-
|
1,635
|
-
|
1,635
|
India
|
-
|
4,163
|
-
|
-
|
-
|
4,163
|
-
|
4,163
|
Iceland
|
1,233
|
-
|
-
|
-
|
-
|
1,233
|
-
|
1,233
|
Ecuador
|
32
|
1,489
|
-
|
-
|
-
|
1,521
|
-
|
1,521
|
Canada
|
60
|
22
|
142
|
-
|
-
|
224
|
-
|
224
|
Turkey
|
9
|
1,898
|
-
|
-
|
-
|
1,907
|
-
|
1,907
|
Indonesia
|
92
|
1,282
|
-
|
-
|
-
|
1,374
|
-
|
1,374
|
Faroe
Islands
|
1,472
|
-
|
432
|
-
|
-
|
1,904
|
-
|
1,904
|
Greece
|
-
|
1,948
|
-
|
-
|
-
|
1,948
|
-
|
1,948
|
China
|
98
|
502
|
-
|
-
|
-
|
600
|
-
|
600
|
United
Kingdom
|
774
|
7
|
53
|
-
|
-
|
834
|
-
|
834
|
Chile
|
984
|
-
|
623
|
-
|
-
|
1,607
|
-
|
1,607
|
Rest of
Europe
|
382
|
1,656
|
-
|
-
|
-
|
2,038
|
-
|
2,038
|
Rest of
World
|
467
|
4,341
|
-
|
-
|
-
|
4,808
|
-
|
4,808
|
Inter-segment
sales
|
4
|
29
|
-
|
1,349
|
(1,382)
|
-
|
-
|
-
|
|
15,164
|
19,283
|
6,059
|
1,349
|
(1,382)
|
40,473
|
-
|
40,473
|
|
3 months ended 31 December
2022 (unaudited)
|
|
|
All
figures in £000's
|
Genetics
|
Advanced
Nutrition
|
Health
|
Corporate
|
Inter-segment
sales
|
Total
|
Discontinued
|
Continuing
|
Norway
|
16,884
|
90
|
8,295
|
-
|
-
|
25,269
|
-
|
25,269
|
Vietnam
|
-
|
2,718
|
-
|
-
|
-
|
2,718
|
-
|
2,718
|
India
|
-
|
4,203
|
-
|
-
|
-
|
4,203
|
-
|
4,203
|
Iceland
|
1,788
|
-
|
-
|
-
|
-
|
1,788
|
-
|
1,788
|
Ecuador
|
20
|
1,740
|
-
|
-
|
-
|
1,760
|
-
|
1,760
|
Canada
|
25
|
21
|
1,565
|
-
|
-
|
1,611
|
-
|
1,611
|
Turkey
|
6
|
2,204
|
-
|
-
|
-
|
2,210
|
-
|
2,210
|
Indonesia
|
208
|
1,691
|
-
|
-
|
-
|
1,899
|
-
|
1,899
|
Faroe Islands
|
1,095
|
-
|
229
|
-
|
-
|
1,324
|
-
|
1,324
|
Greece
|
-
|
2,269
|
-
|
-
|
-
|
2,269
|
-
|
2,269
|
China
|
-
|
1,836
|
-
|
-
|
-
|
1,836
|
-
|
1,836
|
United Kingdom
|
737
|
19
|
42
|
-
|
-
|
798
|
-
|
798
|
Chile
|
12
|
2
|
254
|
-
|
-
|
268
|
-
|
268
|
Rest
of Europe
|
274
|
1,622
|
-
|
-
|
-
|
1,896
|
-
|
1,896
|
Rest
of World
|
389
|
4,257
|
-
|
-
|
-
|
4,646
|
73
|
4,573
|
Inter-segment sales
|
1
|
8
|
-
|
1,437
|
(1,446)
|
-
|
-
|
-
|
|
21,439
|
22,680
|
10,385
|
1,437
|
(1,446)
|
54,495
|
73
|
54,422
|
4. Revenue
(continued)
Primary geographical
markets (continued)
|
12 months ended 30 September
2023 (audited)
|
|
|
All
figures in £000's
|
Genetics
|
Advanced
Nutrition
|
Health
|
Corporate
|
Inter-segment
sales
|
Total
|
Discontinued
|
Continuing
|
Norway
|
39,008
|
899
|
19,596
|
-
|
-
|
59,503
|
-
|
59,503
|
Vietnam
|
-
|
11,087
|
-
|
-
|
-
|
11,087
|
-
|
11,087
|
India
|
-
|
9,743
|
-
|
-
|
-
|
9,743
|
-
|
9,743
|
Iceland
|
7,343
|
-
|
-
|
-
|
-
|
7,343
|
-
|
7,343
|
Ecuador
|
38
|
7,257
|
-
|
-
|
-
|
7,295
|
-
|
7,295
|
Canada
|
3,071
|
96
|
4,032
|
-
|
-
|
7,199
|
-
|
7,199
|
Turkey
|
93
|
7,009
|
-
|
-
|
-
|
7,102
|
-
|
7,102
|
Indonesia
|
637
|
4,099
|
-
|
-
|
-
|
4,736
|
-
|
4,736
|
Faroe Islands
|
6,160
|
-
|
718
|
-
|
-
|
6,878
|
-
|
6,878
|
Greece
|
-
|
6,759
|
-
|
-
|
-
|
6,759
|
-
|
6,759
|
China
|
327
|
4,502
|
-
|
-
|
-
|
4,829
|
-
|
4,829
|
United Kingdom
|
3,957
|
85
|
177
|
-
|
-
|
4,219
|
-
|
4,219
|
Chile
|
1,824
|
12
|
991
|
-
|
-
|
2,827
|
-
|
2,827
|
Rest
of Europe
|
1,470
|
4,879
|
-
|
-
|
-
|
6,349
|
-
|
6,349
|
Rest
of World
|
1,853
|
22,022
|
-
|
-
|
-
|
23,875
|
268
|
23,607
|
Inter-segment sales
|
10
|
54
|
-
|
5,747
|
(5,811)
|
-
|
-
|
-
|
|
65,791
|
78,503
|
25,514
|
5,747
|
(5,811)
|
169,744
|
268
|
169,476
|
5.
Discontinued activities
During FY23, the
group divested its tilapia business for consideration of USD 1 in a
management buy out. Consequently, these operations were
classified as discontinued in the prior year and a restatement of
the consolidated income statement for the period ended
31 December 2022 has been made to reflect these
changes.
Summary of restatement of Q1
FY23 results as reported in Q1 FY24 financial
statements
|
Continuing
operations
|
Discontinued
operations
|
All figures in
£000's
|
Revenue
|
Adjusted
EBITDA
|
Loss from continuing
operations
|
Loss from discontinued
operations
|
As stated
in Q1 FY23 financial statements
|
54,495
|
10,967
|
(679)
|
-
|
Reclassified in Q1
|
(73)
|
368
|
453
|
(453)
|
As stated
in Q1 FY24 financial statements
|
54,422
|
11,335
|
(226)
|
(453)
|
Results from discontinued
operations
|
|
Q1 FY23
|
|
|
Q1 FY24
|
Restated
|
FY23
|
|
£000
|
£000
|
£000
|
Revenue
|
-
|
73
|
268
|
Cost of
sales
|
-
|
(244)
|
(973)
|
Gross
profit
|
-
|
(171)
|
(705)
|
Research
and development costs
|
-
|
(12)
|
(59)
|
Other
operating costs
|
-
|
(185)
|
(490)
|
Share of
profit of equity-accounted investees, net of tax
|
-
|
-
|
-
|
Adjusted
EBITDA
|
-
|
(368)
|
(1,254)
|
Exceptional loss on disposal
|
-
|
-
|
(3,913)
|
EBITDA
|
-
|
(368)
|
(5,167)
|
Depreciation and impairment
|
-
|
(76)
|
(304)
|
Amortisation and impairment
|
-
|
-
|
-
|
Operating loss / Loss before
taxation
|
-
|
(444)
|
(5,471)
|
Net
finance costs
|
-
|
(9)
|
(34)
|
Loss before
taxation
|
-
|
(453)
|
(5,505)
|
Tax on
loss
|
-
|
-
|
-
|
Loss from discontinued
operations
|
-
|
(453)
|
(5,505)
|
Exceptional items within
discontinued operations
|
|
|
|
|
Q1 FY24
|
Q1 FY23
|
FY23
|
|
£000
|
£000
|
£000
|
|
|
|
|
Profit/(loss) on disposal of subsidiaries
|
-
|
-
|
3,774
|
Profit/(loss) on other asset disposals
|
-
|
-
|
139
|
Total exceptional
recognised
|
-
|
-
|
3,913
|
Results from discontinued
operations by segment
The
results from discontinued operations relate solely to the Genetics
operating segment.
6.
Exceptional - restructuring/acquisition
and disposal related items
Items that
are material because of their size or nature, non-recurring and
whose significance is sufficient to warrant separate disclosure and
identification within the consolidated financial statements are
referred to as exceptional items. The separate reporting of
exceptional items helps to provide an understanding of the Group's
underlying performance.
All
figures in £000's
|
|
Q1 2024
(unaudited)
|
Q1 2023
(unaudited)
|
FY 2023
(audited)
|
Acquisition related items
|
|
-
|
-
|
652
|
Exceptional restructuring costs
|
|
517
|
948
|
3,470
|
Disposal related items
|
|
-
|
24
|
(218)
|
Total exceptional
items
|
|
517
|
972
|
3,904
|
In FY2023
acquisition related items comprise fees incurred in the year in
connection with an aborted acquisition.
Exceptional costs include: £517,000 of restructuring costs (Q1
2023: £85,000, FY2023 £872,000). In addition to this in FY23 there
were £2,598,000 (Q1 2023: £863,000) of legal and professional costs
in relation to preparing for listing the Group on the Oslo stock
exchange.
Disposal
related items of £nil relation to disposals (Q1 2023: £24,000,
FY2023 £17,000). In FY2023 there was also a credit of £235,000 for
additional contingent consideration received and receivable
relating to the disposal of Improve International Limited and its
subsidiaries on 23 June 2020.
7. Net finance
costs
All figures in £000's
|
Q1 2024
(unaudited)
|
Q1 2023
Restated
(unaudited)
|
FY 2023
(audited)
|
Interest
received on bank deposits
|
210
|
160
|
627
|
Foreign
exchange gains on financing activities
|
-
|
-
|
158
|
Foreign
exchange gains on operating activities
|
2,344
|
4,825
|
4,709
|
Cash flow
hedges - ineffective portion of changes in fair value
|
-
|
2,523
|
2,176
|
Finance
income
|
2,554
|
7,508
|
7,670
|
Leases
(interest portion)
|
(336)
|
(345)
|
(1,620)
|
Foreign
exchange losses on operating activities
|
(2,700)
|
(4,922)
|
(4,547)
|
Interest
expense on financial liabilities measured at amortised
cost
|
(2,349)
|
(2,010)
|
(8,881)
|
Finance
costs
|
(5,385)
|
(7,277)
|
(15,048)
|
Net finance costs recognised
in profit or loss
|
(2,831)
|
231
|
(7,378)
|
8. Taxation
All
figures in £000's
|
|
Q1 2024
(unaudited)
|
Q1 2023
(unaudited)
|
FY 2023
(audited)
|
|
|
|
|
|
Analysis
of charge in period
|
|
|
|
|
Current
tax:
|
|
|
|
|
Current
income tax expense on profits for the period
|
|
1,319
|
1,838
|
6,178
|
Adjustment in respect of prior periods
|
|
-
|
-
|
(880)
|
Total current tax
charge
|
|
1,319
|
1,838
|
5,298
|
|
|
|
|
|
Deferred
tax:
|
|
|
|
|
Origination and reversal of temporary differences
|
|
(886)
|
(1,059)
|
(1,933)
|
Deferred
tax movements in respect of prior periods
|
|
-
|
-
|
-
|
Total deferred tax
charge/(credit)
|
|
(886)
|
(1,059)
|
(1,933)
|
|
|
|
|
-
|
Total tax
charge
|
|
433
|
779
|
3,365
|
9. Loss per share
Basic loss per share is calculated by
dividing the loss attributable to ordinary equity holders of the
Company by the weighted average number of ordinary shares in issue
during the period.
|
Q1 2024
(unaudited)
|
Q1 2023
(unaudited)
|
FY 2023
(audited)
|
Loss attributable to equity
holders of the parent (£000)
|
|
|
|
Continuing operations
|
(7,627)
|
(830)
|
(17,641)
|
Discontinued operations
|
-
|
(453)
|
(5,505)
|
Total
|
(7,627)
|
(1,283)
|
(23,146)
|
|
|
|
|
Weighted average number of
shares in issue (thousands)
|
739,352
|
710,087
|
731,935
|
|
|
|
|
Basic loss per share
(pence)
|
|
|
|
Continuing operations
|
(1.03)
|
(0.12)
|
(2.41)
|
Discontinued operations
|
-
|
(0.06)
|
(0.75)
|
Total
|
(1.03)
|
(0.18)
|
(3.16)
|
Diluted loss per share is calculated
by adjusting the weighted average number of ordinary shares
outstanding to assume conversion of all dilutive potential ordinary
shares. This is done by calculating the number of shares that could
have been acquired at fair value (determined as the average market
price of the Company's shares for the period) based on the monetary
value of the subscription rights attached to outstanding share
options and warrants. The number of shares calculated above is
compared with the number of shares that would have been issued
assuming the exercise of the share options and warrants.
Therefore, the Company is required to
adjust the earnings per share calculation in relation to the share
options that are in issue under the Company's share-based incentive
schemes, and outstanding warrants. However, as any potential
ordinary shares would be anti-dilutive due to losses being made
there is no difference between Basic loss per share and Diluted
loss per share for any of the periods being reported.
A total of 14,571,445 potential
ordinary shares have not been included within the calculation of
statutory diluted loss per share for the year (30 September 2023:
8,948,132). These potential ordinary shares could dilute
earnings/loss per share in the future.
10. Assets held
for sale
During
2022, management committed to sell certain property, plant and
equipment held within the Health business area. The property
concerned is no longer required by the business and the decision
was made to sell. It is anticipated that sale will take place
within 12 months. The market value of the property has fallen
during the period and an impairment charge of £350,000 has been
incurred, such that the market value at the period end is £500,000
(31 December 2023: £850,000).
There are
no liabilities directly associated with the assets held for
sale.
Assets held for sale
|
|
Q1 2024
(unaudited)
|
Q1 2023
(unaudited)
|
FY 2023
(audited)
|
All
figures in £000's
|
|
Property,
plant and equipment
|
|
500
|
-
|
850
|
Total Assets held for
sale
|
|
500
|
-
|
850
|
11. Loans and
borrowings
|
Q1 2024
(unaudited)
|
Q1 2023
(unaudited)
|
FY 2023
(audited)
|
All
figures in £000's
|
Non-Current
|
|
|
|
2025 750m NOK Loan notes
|
57,403
|
63,325
|
57,604
|
Bank borrowings
|
16,349
|
17,201
|
16,799
|
Unamortised debt issue
costs
|
(532)
|
(1,459)
|
(742)
|
Lease liabilities
|
6,812
|
8,891
|
8,293
|
|
80,032
|
87,958
|
81,954
|
Current
|
|
|
|
Bank
borrowings
|
9,315
|
1,603
|
9,320
|
Unamortised debt issue costs
|
(842)
|
-
|
(842)
|
Lease liabilities
|
10,209
|
14,624
|
11,567
|
|
18,682
|
16,227
|
20,045
|
Total loans and
borrowings
|
98,714
|
104,185
|
101,999
|
The Group
has an unsecured floating rate listed green bond of NOK 750m in
issue. The bond which matures in September 2025, has a coupon of
three-month NIBOR + 6.50% p.a. with quarterly interest payments,
and is listed on the Oslo Stock Exchange.
In FY
2023 on 21 November 2022, the Group refinanced its USD15m RCF,
which was provided by DNB Bank ASA (50%) and HSBC UK Bank PLC
(50%), with a secured GBP20m RCF provided by DNB Bank ASA, maturing
on 27 June 2025. The margin on this facility is a minimum of 2.75%
and a maximum of 3.25%, dependent upon the leverage of the Group
above the relevant risk-free reference or IBOR rates depending on
which currency is drawn. At 31 December 2023 there was
£12,250,000 undrawn.
Additionally on 1 November 2022, the Group's Nordea Bank term
loan of NOK 165.6m, which had a term loan of five years ending in
November 2023 and interest rate of 2.5% above three month NIBOR,
was refinanced together with an existing undrawn overdraft facility
into a new loan facility of NOK 179.5m with a new maturity date in
a further five years no later than 15 January 2028. Other terms of
this facility remain the same.
12. Share capital and additional
paid-in share capital
|
Number
|
Share
Capital
|
Additional paid-in
share capital
|
Allotted, called up and
fully paid
|
|
£000
|
£000
|
Ordinary shares of 0.1 pence
each
|
|
|
|
Balance at 30 September 2023
and 31 December 2023
|
739,352,390
|
739
|
37,428
|
During the quarter ended 30 December
2023, the Group issued no new shares.
13. Alternative performance measures and other
metrics
Management has presented the performance measures EBITDA,
Adjusted EBITDA, Adjusted EBITDA before fair value movement in
biological assets, Adjusted Operating Profit and Adjusted Profit
Before Tax because it monitors performance at a consolidated level
using these and believes that these measures are relevant to an
understanding of the Group's financial performance.
Adjusted
EBITDA which reflects underlying profitability, is earnings before
interest, tax, depreciation, amortisation, impairment, and
exceptional items and is shown on the Income Statement.
Adjusted
EBITDA before fair value movements in biological assets, which is
Adjusted EBITDA before the non-cash fair value movements in
biological assets arising from their revaluation in line with
International Accounting Standards.
Adjusted
Operating Profit is operating loss before exceptional items and
amortisation and impairment of intangible assets excluding
development costs as reconciled below.
Adjusted
Profit Before Tax is earnings before tax, amortisation and
impairment of intangibles assets excluding development costs, and
exceptional items as reconciled below. These measures are not
defined performance measures in IFRS. The Group's definition of
these measures may not be comparable with similarly titled
performance measures and disclosures by other entities.
13. Alternative performance measures and
other metrics (continued)
Reconciliation of Adjusted Operating Profit to Operating
Loss
All figures in £000's
|
|
Q1 2024
(unaudited)
|
Q1 2023
Restated
(unaudited)
|
FY 2023
(audited)
|
Revenue
|
|
40,473
|
54,422
|
169,476
|
Cost of
sales
|
|
(22,110)
|
(30,024)
|
(82,726)
|
Gross
profit
|
|
18,363
|
24,398
|
86,750
|
Research
and development costs
|
|
(1,517)
|
(1,551)
|
(6,069)
|
Other
operating costs
|
|
(10,490)
|
(11,568)
|
(45,157)
|
Depreciation and impairment
|
|
(6,249)
|
(4,539)
|
(18,409)
|
Amortisation of capitalised development costs
|
|
(607)
|
(617)
|
(2,437)
|
Share of
loss of equity accounted investees net of tax
|
|
318
|
56
|
(32)
|
Adjusted operating
(loss)/profit
|
|
(182)
|
6,179
|
14,646
|
Exceptional - restructuring, acquisition and disposal related
items
|
|
(517)
|
(972)
|
(3,904)
|
Amortisation and impairment of intangible assets excluding
development costs
|
|
(3,661)
|
(4,885)
|
(16,058)
|
Operating
(loss)/profit
|
|
(4,360)
|
322
|
(5,316)
|
Reconciliation of Loss
Before Taxation to Adjusted Profit Before Tax
All figures in £000's
|
|
Q1 2024
(unaudited)
|
Q1 2023
Restated
(unaudited)
|
FY 2023
(audited)
|
|
|
|
|
|
Loss before
taxation
|
|
(7,191)
|
553
|
(12,694)
|
Exceptional - restructuring, acquisition and disposal related
items
|
|
517
|
972
|
3,904
|
Amortisation and impairment of intangible assets excluding
development costs
|
|
3,661
|
4,885
|
16,058
|
Adjusted (loss)/profit
before tax
|
|
(3,013)
|
6,410
|
7,268
|
Other
Metrics
All figures in £000's
|
|
Q1 2024
(unaudited)
|
Q1 2023
Restated
(unaudited)
|
FY 2023
(audited)
|
Total R&D
Investment
|
|
|
|
|
Research
and development costs
|
|
|
|
|
-
Continuing operations
|
|
1,517
|
1,551
|
6,069
|
-
Discontinued operations
|
|
-
|
12
|
59
|
Internal
capitalised development costs
|
|
62
|
54
|
632
|
Total R&D
investment
|
|
1,579
|
1,617
|
6,760
|
|
|
|
|
|
All
figures in £000's
|
|
Q1 2024
(unaudited)
|
Q1 2023
Restated
(unaudited)
|
FY 2023
(audited)
|
Adjusted EBITDA excluding
fair value movement in biological assets
|
|
|
|
|
Adjusted
EBITDA
|
|
6,674
|
11,335
|
35,492
|
Exclude
fair value movement
|
|
793
|
1,154
|
103
|
Adjusted EBITDA excluding
fair value movement in biological assets
|
|
7,467
|
12,489
|
35,595
|
13. Alternative
performance measures and other metrics
(continued)
Liquidity
A key
financial covenant is a minimum liquidity of £10m, defined
as cash plus undrawn facilities.
All
figures in £000's
|
|
Q1 2024
(unaudited)
|
Q1 2023
Restated
(unaudited)
|
FY 2023
(audited)
|
Cash and
cash equivalents
|
|
24,164
|
42,782
|
36,525
|
Undrawn
bank facility
|
|
12,250
|
20,000
|
12,250
|
|
|
36,414
|
62,782
|
48,775
|
The
undrawn bank facility relates to the RCF facility. At 31
December 2023, £7.75m of the RCF was drawn (31 December 2022: £nil,
30 September 2023: £7.75m), leaving £12.25m undrawn (31 December
2022: £20.0m, 30 September 2023: £12.25m).
14. Net debt
Net debt is cash and cash
equivalents less loans and borrowings.
All
figures in £000's
|
|
Q1 2024
(unaudited)
|
Q1 2023
Restated
(unaudited)
|
FY 2023
(audited)
|
Cash and
cash equivalents
|
|
24,164
|
42,782
|
36,525
|
Loans and
borrowings (excluding lease liabilities) - current
|
|
(8,473)
|
(1,603)
|
(8,478)
|
Loans and
borrowings (excluding lease liabilities) - non-current
|
|
(73,220)
|
(79,067)
|
(73,661)
|
Net debt
excluding lease liabilities
|
|
(57,529)
|
(37,888)
|
(45,614)
|
Lease
liabilities - current
|
|
(10,209)
|
(14,624)
|
(11,567)
|
Lease
liabilities - non-current
|
|
(6,812)
|
(8,891)
|
(8,293)
|
Net
debt
|
|
(74,550)
|
(61,403)
|
(65,474)
|
15. Post-balance sheet events
The Board believes that the
current share price materially undervalues the combined value of
Benchmark's businesses and the long-term prospects of the Company.
Consequently, the Board announced on 22 January 2024 the decision
to undertake a formal review of the Company's strategic options.
These options include, but are not limited to, a potential sale of
the Company as a whole or of one or more individual business units,
to establish whether bidders would be prepared to offer a value for
the Company that the Board considers attractive relative to the
Board's view of intrinsic value. The Company is therefore
commencing a targeted sales process. At this early stage of the
process, there are currently no deal or deals identified or
underway and all parts of the business continue to operate as
usual.