Associated British Engineering : ABE Interim Report March 2021

ASSOCIATED BRITISH ENGINEERING PLC

INTERIM REPORT

FOR THE SIX MONTHS ENDED

31 MARCH 2021

ASSOCIATED BRITISH ENGINEERING PLC

INTERIM REPORT

FOR THE SIX MONTHS ENDED 31 MARCH 2021

CONTENTS	PAGE
Chairman's statement	1
Responsibility statement	2
Group income statement	3
Group statement of comprehensive income	4
Group interim balance sheet	5
Group interim statement of changes in shareholders' equity	6
Group interim cash flow statement	7 - 8
Notes to the interim report	9 - 15

ASSOCIATED BRITISH ENGINEERING PLC

CHAIRMAN'S STATEMENT

INTERIM REPORT FOR THE SIX MONTHS ENDED 31 MARCH 2021

SUMMARY OF RESULTS	Six months to	Period to
	31 March	30 September
	2021	2020
	£'000	£'000

Revenue	-	165
(Loss)/profit before tax	(49)	145
Profit on disposal of discontinued operations	-	5,239
Earnings per share
Basic	(2.3p)	263.0p
Diluted	(2.3p)	263.0p

As shareholders are aware the Company disposed of its interest in British Polar Engines Limited on 4 August 2020 immediately following authorisation by shareholders; the audited results for the period to 30 September 2020 were published on 31 March 2021 and are available from our web site. Although there was an audit qualification, which related to our inability to access or be provided with information at British Polar Engines, this did not relate to the balance sheet as at 30 September 2020 - so we started with a clean base.

You will see from our financial numbers and balance sheet that in the period there was a loss of £49k that covered company expenses and was offset by realising gains on the sales of our investments of £283k, see page 6 of the accounts, £140k that related to prior periods and £143k that related to this 6 month period. This is due to the increase in value of the Company's investments in the period.

As the investments have gained in value, the Company has started the process of realising its investments. It is expected that these and future capital gains will be tax free due to inherited capital gains tax losses so no provision has been made for any tax payments. The Board will take the opportunity to liquidate investments and invest for future growth when suitable opportunities occur.

Your Company is now in a position to talk to potential acquisitions without having to consider the impact of the pension fund and related historical deficits. The Board is now committed to using all its efforts to identifying and acquiring a new business with growth potential and hopefully showing profits for our group and a financial return for our patient shareholders.

The Board continues to review options for the future development of the Group.

Colin Weinberg and Rupert Pearce Gould

Chairmen

8 June 2021

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ASSOCIATED BRITISH ENGINEERING PLC

RESPONSIBILITY STATEMENT

INTERIM REPORT FOR THE SIX MONTHS ENDED 31 MARCH 2021

The Directors of the Company confirm to the best of their knowledge that:

1. the Interim Report has been prepared in accordance with IAS 34;
2. the Interim Report includes a fair view of the information required by DTR 4.2.7R, being an indication of the important events that have occurred during the first six months of the financial year and a description of the principal risks and uncertainties for the remaining six months of the year; and
3. the Interim Report includes a fair review of the information required by DTR 4.2.8R, being disclosure of related party transactions that have taken place in the first six months of the current financial year and that have materially affected the financial position or performance of the group during that period; and any changes in the related party transactions described in the latest annual financial statements that could do so.

By order of the Board

Colin Weinberg and Rupert Pearce Gould

Chairmen

8 June 2021

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ASSOCIATED BRITISH ENGINEERING PLC

GROUP INCOME STATEMENT

FOR THE SIX MONTHS ENDED 31 MARCH 2021

		Six months to		Period to
		31 March		30 September
		2021	2020
		£'000		£'000
REVENUE	-	165
Operating costs	(50)		(26)
OPERATING (LOSS)/PROFIT	(50)	139
Finance expense	-	-
Finance income	-	1
Other income	1		5
(LOSS)/PROFIT BEFORE TAXATION	(49)	145
Taxation	-	-
(LOSS)/PROFIT FOR THE PERIOD FROM
CONTINUOUS OPERATIONS	(49)	145
PROFIT ON DISPOSAL OF DISCONTINUED
OPERATIONS	-	5,239
TOTAL (LOSS)/PROFIT FOR THE PERIOD	(49)	5,384
(LOSS)/PROFIT PER SHARE ON
(LOSS)/PROFIT FOR THE PERIOD
ATTRIBUATABLE TO EQUITY HOLDERS
OF THE PARENT COMPANY
Basic and diluted profit from discontinued	-		256.0p
operations
Basic and diluted (loss)/profit	(2.3p)		263.0p
(Loss)/profit for the period attributable to:
Owners of the company	(49)	5,384
Non-controlling interest	-		-
		(49)		5,384

Profit on disposal of discontinued operations reported in the comparative period relates to the disposal of British Polar Engines Limited ("BPE"), the Group's main trading subsidiary, completed on 4 August 2020, details of which were disclosed in the statutory consolidated financial statements of Associated British Engineering Plc for the period to 30 September 2020.

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