notes to the financial statements 8–18
8. Loss per share
Basic and diluted
Basic loss per share is calculated by dividing the loss attributable to ordinary shareholders by the weighted average number of ordinary shares in issue during the year, excluding those held in the EBT, which are treated as cancelled:
|
2009 |
2008 |
|---|---|---|
EARNINGS |
|
|
Loss attributable to the equity holders of the Company (£'000) |
17,143 |
13,371 |
NUMBER OF SHARES |
|
|
Weighted average number of ordinary shares ('000) |
188,464 |
185,001 |
Basic and diluted loss per share (pence) |
9.1 |
7.2 |
All of the Group’s unexercised share options are currently anti-dilutive, These may become dilutive in future years should the Group be profitable in a financial year before expiry of the options.
9. Investment in subsidiaries
|
|
|
|
|
Company £’000 |
|---|---|---|---|---|---|
At 1 October 2007 |
|
|
|
|
44,932 |
Share options granted to employees of subsidiary company |
|
|
|
|
1,468 |
At 1 October 2008 |
|
|
|
|
46,400 |
Share options granted to employees of subsidiary company |
|
|
|
|
485 |
AT 30 SEPTEMBER 2009 |
|
|
|
|
46,885 |
Name |
Place of incorporation and operation |
Proportion of ownership interest |
Proportion of voting power held |
| Method used to account for investment |
Renovo Limited |
England |
100% |
100% |
|
Historical cost |
Renovo Technologies Limited |
England |
100% |
100% |
|
Historical cost |
The cost of share options issued to employees of a Group subsidiary have been capitalised as part of the cost of investment in accordance with IFRIC 11 IFRS 2 – Group and Treasury Share Transactions.
10. Property, plant and equipment
Group |
Computers |
Fixtures and fittings |
Scientific equipment |
Leasehold improvements |
Total |
|---|---|---|---|---|---|
COST |
|
|
|
|
|
At 1 October 2007 |
551 |
175 |
2,060 |
— |
2,786 |
Additions |
62 |
105 |
418 |
2,693 |
3,278 |
Disposals |
(169) |
(61) |
(1,125) |
— |
(1,355) |
At 1 October 2008 |
444 |
219 |
1,353 |
2,693 |
4,709 |
Additions |
73 |
3 |
136 |
136 |
348 |
Reclassification |
— |
(24) |
24 |
— |
— |
AT 30 SEPTEMBER 2009 |
517 |
198 |
1,513 |
2,829 |
5,057 |
ACCUMULATED DEPRECIATION |
|
|
|
|
|
At 1 October 2007 |
443 |
119 |
1,390 |
— |
1,952 |
Charge for the year |
70 |
27 |
227 |
158 |
482 |
Eliminated on disposals |
(169) |
(61) |
(1,124) |
— |
(1,354) |
At 1 October 2008 |
344 |
85 |
491 |
158 |
1,078 |
Charge for the year |
81 |
38 |
269 |
404 |
792 |
Reclassification |
— |
(20) |
20 |
— |
— |
AT 30 SEPTEMBER 2008 |
425 |
103 |
780 |
562 |
1,870 |
CARRYING AMOUNT |
92 |
95 |
733 |
2,267 |
3,187 |
At 30 September 2008 |
100 |
134 |
862 |
2,535 |
3,631 |
11. Other financial assets
|
Group |
|
Company |
||
|---|---|---|---|---|---|
2009 |
2008 |
| 2009 |
2008 |
|
TRADE AND OTHER RECEIVABLES |
|
|
|
|
|
Trade receivables |
328 |
1,524 |
|
— |
— |
Prepayments |
929 |
2,926 |
|
793 |
2,161 |
Amounts owed by subsidiary undertakings |
— |
— |
|
31,371 |
10,972 |
VAT recoverable |
219 |
362 |
|
— |
— |
|
1,476 |
4,812 |
|
32,164 |
13,133 |
RECOVERABLE TAX CREDITS |
3,014 |
3,308 |
|
— |
— |
INVESTMENTS |
|
|
|
|
|
Term deposits maturing within one year |
57,500 |
76,000 |
|
57,500 |
76,000 |
Cash and cash equivalents
Bank balances and cash comprise cash held by the Group and short-term bank deposits with an original maturity of three months or less. The carrying amounts of these assets approximate their fair value.
Credit, liquidity and market risk
The Group’s principal financial assets are bank balances and cash and term deposits regarded as investments that mature within one year. These deposits carry fixed rates of interest for their term. The credit risk on these assets is limited because the counterparties are banks with high credit ratings assigned by international credit rating agencies. The Group’s trade receivables are concentrated primarily with one counterparty. The Directors have carefully reviewed the carrying value of the Group’s financial assets and consider that at the date of this report no impairment in those values is anticipated.
12. Other financial liabilities
|
Group |
|
Company |
||
|---|---|---|---|---|---|
2009 |
2008 |
|
2009 |
2008 |
|
TRADE AND OTHER PAYABLES |
|
|
|
|
|
Trade payables |
2,690 |
3,968 |
|
69 |
18 |
Accruals |
2,215 |
2,885 |
|
183 |
107 |
Payroll tax and social security costs |
215 |
205 |
|
9 |
8 |
|
5,120 |
7,058 |
|
261 |
133 |
The average credit period taken for trade purchases is 60 days (2008: 53 days). The Directors consider that the carrying amount of trade payables approximates to their fair value.
13. Grants
|
£’000 |
|---|---|
At 1 October 2008 |
1,409 |
Recognised as revenue in the year |
(223) |
AT 30 SEPTEMBER 2009 |
1,186 |
|
£’000 |
Deferred grants due for recognition within one year |
250 |
Deferred grants due for recognition after one year |
936 |
|
1,186 |
14. Amounts due to customers for contract work
|
Group |
|
Company |
||
|---|---|---|---|---|---|
2009 |
2008 |
|
2009 |
2008 |
|
Deferred net income arising from the out-licensing of Juvista |
|
|
|
|
|
– due within one year |
3,433 |
3,845 |
|
— |
— |
– due after one year |
23,355 |
25,596 |
|
— |
— |
The amount falling due within one year is reviewed annually and re-profiled in line with the current project plan.
15. Share capital
Group and Company |
2009 |
2008 |
|---|---|---|
AUTHORISED: |
|
|
299,500,165 ordinary shares of 10 pence each |
29,950 |
29,950 |
999,670 non-voting deferred shares of 5 pence each |
50 |
50 |
|
30,000 |
30,000 |
ISSUED: |
|
|
190,057,371 (2008: 189,869,095) ordinary shares of 10 pence each |
19,006 |
18,987 |
999,670 non-voting deferred shares of 5 pence each |
50 |
50 |
|
19,056 |
19,037 |
On 16 December 2008, the Company issued 188,276 new ordinary shares of 10 pence each representing 0.099% of the enlarged issued share capital as a result of the exercise of share options. The deferred shares are non-convertible and do not entitle the holders thereof to participate in dividends or in the capital of the Company.
16. Share premium
Group and Company |
£’000 |
|---|---|
At 1 October 2007 |
79,134 |
AT 1 OCTOBER 2008 AND 30 SEPTEMBER 2009 |
79,134 |
17. Own shares
|
Group |
Company |
|---|---|---|
At 1 October 2007 |
(619) |
(619) |
Disposed of on exercise of options |
462 |
462 |
At 1 October 2008 |
(157) |
(157) |
Disposed of on exercise of options |
8 |
8 |
AT 30 SEPTEMBER 2009 |
(149) |
(149) |
The own shares reserve represents the cost at nominal value of shares in Renovo Group plc held by the Renovo Group plc Employee Benefits Trust to satisfy options under the Group’s share options scheme (see note 25). The number of shares held by the Employee Benefits Trust at 30 September 2009 was 1,486,554 (2008: 1,570,320).
18. Merger reserve
|
Company £’000 |
|---|---|
At 1 October 2007 |
34,398 |
AT 1 OCTOBER 2008 AND 30 SEPTEMBER 2009 |
34,398 |