MANAGEMENT ACCOUNTS FOR SIX MONTHS ENDED 30TH JUNE 2015

Transcription

1 JULI PLC MANAGEMENT ACCOUNTS FOR SIX MONTHS ENDED 30TH JUNE 2015 Page 1

2 JULI PLC STATEMENT OF FINANCIAL POSITION AS AT 30TH JUNE MONTHS 6 MONTHS NOTES 30/6/ /6/2014 ASSETS N N N N NON-CURRENT ASSETS: PROPERTY,MOTOR VEHICLE,EQUIPMENT ,697, ,166,646 PRODUCT DEVELOPMENT EXP ,695 2,035,560 INVESTMENT 59,042 59,042 TOTAL NON-CURRENT ASSETS 216,682, ,261,248 CURRENT ASSETS: INVENTORIES (STOCKS) 6 17,304,100 13,481,196 CONSTRUCTION(WORK-IN-PROGRESS) 0 0 GOODS-IN-TRANSIT 0 0 TRADE RECEIVABLES 7 3,114,227 5,461,045 PREPAYMENTS AND OTHER RECEIVABLES 8-20,000 CASH AND CASH EQUIVALENTS 9 (1,387,693) 3,080,322 TOTAL CURRENT ASSETS 19,030,634 22,042,563 TOTAL ASSETS 235,713, ,303,811 EQUITY AND LIABILITIES CAPITAL AND RESERVES: SHARE CAPITAL 16 99,952,502 99,952,502 SHARE PREMIUM 17 6,549,305 6,549,305 BONUS ISSUE REVALUATION RESERVE 200,261, ,243,772 RETAINED EARNINGS (289,485,938) (241,091,433) TOTAL EQUITY 17,277,742 70,654,146 NON-CURRENT LIABILITIES: DEFERRED TAXATION 14 6,880,347 6,880,347 BANK LOAN(LONG-TERM BORROWINGS) 19 86,743,814 86,743,814 TOTAL NON-CURRENT LIABILITIES 93,624,161 93,624,161 CURRENT LIABILITIES: BANK OVERDRAFT(SHORT-TERM BORROWINGS) MIDAS INVESTMENT & PROPERTIES LTD 9,000,000 9,000,000 TRADE PAYABLES 10 19,534,309 18,079,236 OTHER PAYABLES 11 77,518,165 46,081,648 TAXATION PAYABLES 5 18,759,137 13,864,620 TOTAL CURRENT LIABILITIES 124,811,611 87,025,504 TOTAL EQUITY AND LIABILITIES 235,713, ,303,811..) ) ) DIRECTORS..) Page 2

3 JULI PLC STATEMENT OF COMPREHENSIVE INCOME FOR THE SIX MONTHS ENDED 30TH JUNE MONTHS 6 MONTHS NOTES 30/6/ /6/2014 N N N N REVENUE 1 82,717,462 85,077,539 Less: COST OF SALES (52,329,707) (57,080,155) GROSS PROFIT 30,387,755 27,997,384 OTHER INCOME 2 21,330 7,685,435 ADMIN & DISTRIBUTION EXPENSES 0 (37,125,137) 0 (39,850,144) RESEARCH AND DEVELOPMENT EXPENSES 0 (554,432) 0 (646,431) OTHER OPERATING EXPENSES (2,872,722) (2,888,443) PROFIT/(LOSS)FROM OPERATING ACTIVITIES (10,143,206) (7,702,199) INVESTMENT/FINANCE INCOME 0 0 FINANCE COST 3 (4,898,138) (1,595,416) PROFIT/(LOSS) BEFORE TAXATION (15,041,344) (9,297,615) TAXATION 0 0 PROFIT /(LOSS) AFTER TAXATION (15,041,344) (9,297,615) PROFIT /(LOSS) BROUGHT FORWARD (274,444,594) (231,793,818) PROFIT /(LOSS) CARRIED FORWARD (289,485,938) (241,091,433) Page 3

4 JULI PLC STATEMENT OF CHANGES IN EQUITY FOR THE SIX MONTHS ENDED 30TH JUNE 2015 Share Capital Share Premium Revaluation Reserve Retained Earnings Total N N N N N Balance as at 1st January, ,952,502 6,549, ,752,823 (274,444,594) 34,810,036 Amortization of Revaluation Surplus 0 0 (2,490,950) 0 (2,490,950) Prior Year Adjustment Profit or Loss Account (15,041,344) (15,041,344) Balance as at 30th June, ,952,502 6,549, ,261,873 (289,485,938) 17,277,742 Page 4

5 JULI PLC STATEMENT OF CASH FLOW FOR THE SIX MONTHS ENDED 30TH JUNE MONTHS 6 MONTHS 30/6/ /6/2014 N N N N Cash flows from Operating activities Profit/(Loss)from operating activities (15,041,344) (9,297,615) Adjustment for non cash items: Depreciation of fixed Assets 2,872,722 2,888,443 Impairment Interest Expense (12,168,622) (6,409,172) Changes in current assets and liabilities : Decrease/(Increase) in Stocks 3,822,904 6,106,319 (Increase)/Decrease in Debtors(Receivables) 1,631,397 1,864,525 Increase/(Decrease) in Creditors(Payables) 1,455,073 (10,149,403) Operating Activities (5,259,248) (8,587,731) Taxation Paid 0 0 Net Cash inflow/(outflow) from Operating activities (5,259,248) (8,587,731) Cash flows from Investing activities: Purchase of fixed Assets 0 1,301,324 Construction work in progress 0 0 Product Development Expenditure 1,108,865 (1,293,270) Deferred Recapitalization 0 0 Loss on Investment 0 0 Net Cash inflows /(outflow) from Investing activities: 1,108,865 8,054 Cash flows from Financing activities: Bank Overdraft 0 0 Bank Loan 0 28,835,859 Interest Paid 0 Deposit for Shares 0 0 Issue of Shares 0 0 Share Premium 0 0 Bonus Issue 0 0 Net Cash generated from/(used)in financing activities: - 28,835,859 NET INCREASE/(DECREASE)IN CASH&CASH EQUIVALENTS (4,150,383) 20,256,182 CASH & CASH EQUIVALENT AT BEGINNING(1st January'15) 2,762,690 (17,175,860) CASH & CASH EQUIVALENT AT END(30th June'15) (1,387,693) 3,080,322 CASH & CASH EQUIVALENT Cash and Bank Balances (1,387,693) 3,080,322 Page 5

6 JULI PLC ACCOUNTING POLICIES FOR THE SIX MONTHS ENDED 30TH JUNE BASIS OF ACCOUNTING THE ACCOUNTS ARE PREPARED UNDER THE HISTORICAL COST CONVENTION 2 BASIS OF PREPARATION THE FINANCIAL STATEMENTS OF THE COMPANY HAVE BEEN PREPARED IN ACCORDANCE WITH INTERNATIONAL FINANCIAL REPORTING STANDARDS (IFRS) AS ISSUED BY THE INTERNATIONAL ACCOUNTING STANDARDS BOARD (IASB). THE FINANCIAL STATEMENTS IS PRESENTED IN THE FUNCTIONAL CURRENCY,NIGERIA NAIRA ROUNDED UP TO THE NEAREST THOUSAND. 3 REVENUE THIS REPRESENTS THE INVOICE VALUE OF SALES TO CUSTOMERS, LESS RETURNS AND SALES DISCOUNTS. 3 DEPRECIATION DEPRECIATION IS CALCULATED TO WRITE OFF THE COST OF THE FIXED ASSETS IN EQUAL ANNUAL INSTALMENTS OVER THEIR EXPECTED USEFUL LIVES AT THE FOLLOWING RATES: LAND NIL BUILDING 2.5% PLANT,MACHINERY AND EQUIPMENT 20% MOTOR VEHICLES 25% FURNITURE AND FITTINGS 16.67% NO DEPRECIATION IS PROVIDED ON FIXED ASSETS UNTIL THEY ARE BROUGHT INTO USE. 4 STOCKS STOCKS ARE VALUED AT THE LOWER OF COST AND NET REALISABLE VALUE AFTER MAKING PROVISION FOR OBSOLESCENCE AND DAMAGED ITEMS. COST ARE ASCERTAINED ON THE FOLLOWING BASIS: (1) MERCHANDISE GOODS-DIRECT COSTS PLUS ALL ASSOCIATED COST INCURED TO THE POINT OF SALE. (11) GOODS-IN-TRANSIT -GOODS ARE VALUED AT THE INVOICE PRICE. 5 EMPLOYEES RETIREMENT BENEFITS AND PROVISION FOR GRATUITY THE COMPANY OPERATES A NON-CONTRIBUTORY GRATUITY SCHEME WHERE BY BENEFITS ARE DETERMINED ON RETIREMENT OR TERMINATION. THE COMPANY INSTITUTED A DEFINED CONTRIBUTION PENSION SCHEME FOR ITS STAFF IN LINE WITH THE PROVISIONS OF THE PENSION REFORM ACT 2004.STAFF CONTRIBUTION TO THE SCHEME ARE DEDUCTED FROM THE PAYROLL WHILE THE CONTRIBUTION OF THE COMPANY IS CHARGED TO THE PROFIT AND LOSS ACCOUNT. 6 INVESTMENTS INVESTMENTS ARE STATED AT COST. 7 FIXED ASSETS REVALUATION RESERVE SURPLUSES/(DEFICITS) ARISING ON THE REVALUATION OF INDIVIDUAL FIXED ASSETS ARE CREDITED AND DEBITED TO A NON-DISTRIBUTABLE RESERVE KNOWN AS THE FIXED ASSETS REVALUATION RESERVE. 8 DEBTORS DEBTORS ARE STATED NET OF PROVISION FOR BAD AND DOUBTFUL DEBTS. 9 FAIR VALUE LAND AND BUILDING ARE MEASURED AT FAIR VALUE BY REFERENCE TO MARKET BASED EVIDENCE.THE FAIR VALUE MEASUREMENT IS CARRIED OUT WHEN NECESSARY TO ENSURE THAT THE CARRYING AMOUNT OF LAND AND BUILDING IS NOT MATERIALLY DIFFERENT FROM ITS MARKET VALUE. Page 6

7 JULI PLC NOTES TO THE ACCOUNTS FOR THE SIX MONTHS ENDED 30TH JUNE MONTHS 6 MONTHS 30/6/ /6/2014 N N N N 1 REVENUE Class of Business: Pharmaceutical and Household Consumer Goods 61,926,592 62,569,224 Metherm P Cream & G-Plus 0 1,267,955 Water 20,790,870 21,240,360 82,717,462 85,077,539 2 OTHER INCOME 21,330 7,685,435 3 FINANCE COST Loan/Overdraft Interest 4,756,878 1,247,104 Bank Commission 141, ,312 4,898,138 1,595,416 4 PROFIT/(LOSS) BEFORE TAXATION (15,041,344) (9,297,615) THE TRADING PROFIT/(LOSS) IS STATED AFTER CHARGING/(CREDITING) Directors' emoluments: *Fees 30,000 0 *Other 7,500,000 7,530,000 7,500,000 7,500,000 Auditors Remuneration 0 0 Depreciation 2,872,722 2,888,443 5 TAXATION (a) Per Profit and Loss account 0 0 (b) Per balance sheet Balance as at 1st January 18,759,137 13,864,620 Provision for the year ,759,137 13,864,620 Payment during the year 0 0 Balance as at 30th June 18,759,137 13,864,620 6 INVENTORIES (STOCKS) Merchandise 17,304,100 13,481,196 Olpharm/Juli Alliance ,304,100 13,481,196 7 TRADE RECEIVABLES Trade Debtors-Merchandise 2,615,397 4,962,215 Sundry Debtors 498, ,830 3,114,227 5,461,045 8 PREPAYMENTS AND OTHER RECEIVABLES Staff Loan 0 20,000 Prepayments ,000 9 CASH AND CASH EQUIVALENTS Bank Balances (7,129,463) (1,120,166) Fixed Deposit 0 0 Cash Balances 480, ,360 Cash in Transit 5,261,770 3,866,128 (1,387,693) 3,080, TRADE PAYABLES Trade Creditors 15,923,017 17,257,252 Sundry Creditors 3,611, ,984 19,534,309 18,079, OTHER PAYABLES Accured Charges 16,104,788 5,828,190 Other Payable 49,920,433 30,809,706 Pension Fund-Payable 17,867,500 15,637,808 83,892,721 52,275,704 Directors Current Account (6,374,556) (6,194,056) 77,518,165 46,081,648 Page 7

8 12 PROPERTY,MOTOR VEHICLE&EQUIPMENT SHEDULE Fixed assets at the balance sheet date are made up as follows: Land & Motor Furniture & Office Laboratory Library & Plant & Buildings Vehicles Fittings Equipments Equipment Publication Machinery Total COST N N N N N N N N At 1st January ,729,860 22,467,195 8,018,808 18,004,158 5,511,786 29,372 10,452, ,213,179 Addition Disposal At 30th June ,729,860 22,467,195 8,018,808 18,004,158 5,511,786 29,372 10,452, ,213,179 DEPRECIATION At 1st January ,652,337 19,801,020 7,645,712 17,220,380 5,433,646 29,370 6,369, ,152,365 Charged for the year 3,319, ,946 75, ,172 78, ,730 5,363,671 Disposal At 30th June ,972,015 20,623,966 7,720,727 17,389,552 5,511,776 29,370 7,268, ,516,036 NET BOOK VALUE At 30th June ,757,845 1,843, , , ,183, ,697,143 At 1st January ,077,523 2,666, , ,778 78, ,082, ,060,814 6 MONTHS 6 MONTHS 30/6/ /6/2014 N N N N 13 PRODUCT DEVELOPMENT EXPENDITURE 926,695 2,035,560 These are expenses incured on production HIV drugs.registration of Methaderm-P Cream, Ekicef Injection and G-Plus Caps. 14 DEFERRED TAXATION 6,880,347 6,880, BANK OVERDRAFT B.O.I(Overdraft) Page 8

9 16 SHARE CAPITAL 16 Authorised 200,000,000 Ordinary shares of 50k each 100,000, ,000, Issued and fully paid 199,905,002 Ordinary shares of 50k each 99,952,502 99,952,502 6 MONTHS 6 MONTHS 31/6/ /6/2014 N N N N 17 SHARE PREMIUM 6,549,305 6,549,305 This represent amount received on Ordinary Shares Issued to the Public. 18 DEPOSIT FOR SHARES 0 0 This represent amount deposit towards recapitalization of the company. 19 BANK LOAN B.O.I-Term loan 35,409,168 35,409,168 WEMA BANK PLC(Restructure Loan) 51,334,646 51,334,646 86,743,814 86,743,814 This is secured for production of new products. Secured against the Company's property at 19,Kodesoh Street Ikeja. Page 9

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