MicroEmissive Displays Group plc - 'MED' - Preliminary Results for the Year to 31 December 2004.LONDON London, city, Canada London, city (1991 pop. 303,165), SE Ont., Canada, on the Thames River. The site was chosen in 1792 by Governor Simcoe to be the capital of Upper Canada, but York was made capital instead. London was settled in 1826. -- MicroEmissive Displays plc (MED med adj. Medical. Used informally. n. A medication. Used informally, often in the plural. MED minimal effective dose; minimal erythema dose. MED 1. or "the Company"), a designer and manufacturer of low power microdisplays using light emitting polymers See LEP. for portable consumer electronics products, announces its maiden MAIDEN. The name of an instrument formerly used in Scotland for beheading criminals. results for the year to 31 December 2004. Highlights Financial highlights --First revenue achieved from microdisplay pre-production device sales --Admission to AIM in November 2004 --Placing of ordinary shares raising GBP GBP In currencies, this is the abbreviation for the British Pound. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. 13.5m --Cash balances of GBP 12.7m at year end Operating highlights --Two new customers taking total number of customers to three --Improved terms to license light emitting polymer patents --Negotiations at advanced stage for manufacturing partnership --Volume shipments anticipated in H2 05 Board --Christopher Smith joins board of MED Bill Campbell, Chief Executive of MED, said: " MED is making solid progress in commercialising its microdisplays for portable consumer electronics products. The Company enters 2005 with an encouraging order book and is on track to meet Directors' expectations. We are excited by the new opportunities being presented to us." Chairman's Statement MicroEmissive Displays is delighted to present its first set of preliminary results as a public company. These results mark a turning point in the Company's history as we move from technology development to full volume ramp up Ramp Up To increase a company's operations in anticipation of increased demand. Notes: A company might 'ramp up' operations if they just signed a contract creating substantially more demand for their product. See also: Demand, Economies of Scale of our unique microdisplays for a variety of portable consumer electronics products. During 2004 MED transformed from a promising University spin-out, to a public company admitted to the AIM market of the London Stock Exchange London Stock Exchange London marketplace for securities. It was formed in 1773 by a group of stockbrokers who had been doing business informally in local coffeehouses. . Though young, the Company has developed a unique and competitive technology which addresses growing mainstream consumer markets. The flotation flotation or froth flotation Most widely used process for extracting many minerals from their ores. The method separates and concentrates ores by altering their surfaces so that they are either repelled or attracted by water. in November 2004 was not an exit of itself for any of our investors; many of them participated further in the placing. MED is at an early stage and its most significant challenge will be to ramp production to meet a share of the projected 29M unit market for microdisplays in 2006. Recent market updates reinforce this opportunity. None of this can be realised without the skill and dedication of employees. It is my pleasure to acknowledge the efforts of our staff, and to thank them for their continuing exceptional contributions. I have been privileged to act as chairman of MED over the past five years. I intend to step down from this role at the Annual General Meeting in June but remain as a non executive director where I believe that my semiconductor experience and knowledge of the consumer imaging market will continue to add value to the Company. Christopher Smith For other persons named Chris Smith, see Chris Smith (disambiguation). Christopher Smith (1984, Bradford, West Yorkshire, England) is an English actor well known for playing the part of Robert Sugden in ITV soap opera Emmerdale has been appointed as a non executive director of the Company and it is proposed that his appointment to the role of chairman of MED is confirmed at the Company's Annual General Meeting. Christopher brings a wealth of experience in directing the boards of private and publicly quoted companies. Results Turnover for the year to 31 December 2004 was GBP 12 thousand (2003: GBP 12 thousand) which in Q4 2004 included the first revenue from sales of MED's QVGA (Quarter VGA) A screen resolution of 320x240 pixels, which is used on handheld devices. Although 320x240 seems half the 640x480 VGA resolution, the "quarter" comes from the total number of pixels, which is one fourth the number (320 times 240=76800; 640 times 480=307200). resolution microdisplay products. During the year the Company continued to promote the design-in of its microdisplay into customers' new products through the sale of development kits. Operating costs operating costs npl → gastos mpl operacionales in the year increased by GBP 1.2m (37%) to GBP 4.4m (2003: GBP 3.2m) due to the expansion in MED's operating activities following the completion during H1 2004 of its pilot production line. Production staff for the pilot line were recruited during H2 2004 and average staff numbers for the year increased to 31 (2003: 23). Costs incurred in the development of the production process were a significant factor in the increase in the loss for the year to GBP 4.4m (2003: GBP 3.3m). Recoverable VAT VAT See: Value-added tax VAT See value-added tax (VAT). contributed to the high debtor One who owes a debt or the performance of an obligation to another, who is called the creditor; one who may be compelled to pay a claim or demand; anyone liable on a claim, whether due or to become due. balance (GBP 0.5m) reported at year end. Due to the Company's anticipated level of VAT zero rated sales, MED is, and can be expected to remain, in a net repayment position for VAT purposes. MED is a licensee licensee n. a person given a license by government or under private agreement. (See: license, licensor) LICENSEE. One to whom a license has been given. 1 M. Q. & S. 699 n. of CDT CDT abbr. Central Daylight Time CDT Central Daylight Time CDT n abbr (US) (= Central Daylight Time) → hora de verano del centro; (BRIT Ltd with the licence providing access to the fundamental patents for organic light emitting polymer technology. The expansion of this licence contributed to an increase in the value of our intangible assets Intangible Asset An asset that is not physical in nature. Notes: Examples are things like copyrights, patents, intellectual property, and goodwill. These are the opposite of tangible assets. which after amortisation Noun 1. amortisation - the reduction of the value of an asset by prorating its cost over a period of years amortization reduction, step-down, diminution, decrease - the act of decreasing or reducing something 2. amounted to GBP 2.1m (2003: GBP 1.9m). On 30 November 2004 MED was admitted to the AIM market of the London Stock Exchange. At the time of admission, MED increased its share capital by way of a placing of ordinary shares raising approximately GBP 13.5m cash in net proceeds Net Proceeds The amount received after all costs are deducted from the sale of a piece of property or security. Notes: In the case of an investor selling a security, net proceeds represent the proceeds from the sale minus any trading costs (i.e. commissions). . Cash balances at 31 December 2004 were GBP 12.7m and will enable the Company to further expand its operations and begin to develop a significant share of the microdisplay market. Markets MED's initial market focus for its EVF EVF Electronic Viewfinder EVF Eaton Vance Senior Income Trust EVF Éducation à la Vie Familiale EVF Early Vertical Forearm EVF European Venous Forum EVF Endovascular Forum EVF Eye View Finder (cameras/camcorders) and micro panel products is primarily in the high growth Digital Still Camera sector. Independent market researchers, Insight Media and Techno techno electronic dance music that first appeared in the U.S. in the 1980s and became globally popular in the 1990s. It originated with Detroit deejay-producers who, inspired by European electro-pop, underlaid dreamy synthesizer melodies with rapid electronic rhythms. Systems Research, forecast that this sector will double in size over four years to reach 100M unit shipments per annum Per annum Yearly. by 2007. Significantly for MED, it is reported that approximately 30% of these units will include an electronic viewfinder An electronic viewfinder or EVF is a viewfinder where the image captured by the lens is projected electronically onto a miniature display. The image on this display is used to assist in aiming the camera at the scene to be photographed. . MED's microdisplay feature set of lowest power, excellent image quality and electronic integration offers our customers a competitive advantage in their markets where these features are critical to added value Added value in financial analysis of shares is to be distinguished from value added. Used as a measure of shareholder value, calculated using the formula:
A source of competitive advantage that depends on producing some item that is regarded to have unique and valuable characteristics. . MED's ambition is to service this sector as market leader by 2008. MED's products have also received favourable reviews in two emerging markets: personal viewers (often described as wearable or headset Headphones combined with a microphone. Used in call centers and by people in telephone-intensive jobs, headsets provide the equivalent functionality of a telephone handset with hands-free operation. Many people use headsets at the computer so they can converse and type comfortably. displays) and night vision products. MED is confident that power consumption, image quality and cost will remain the key drivers in microdisplay applications and that its products provide a platform to secure market leadership. MED have long standing representative and agency agreements with local companies in Taiwan The following is a list of companies based in Taiwan. : Top - 0–9 A B C D E F G H I J K L M N O P Q R S T U V W X Y Z By company name A Company Product(s) Notes Accton network infrastructure. Acer computer systems Active Development Co. , Korea and Japan to service demand for its products. These three countries generate the majority of all Digital Still Camera designs and development. MED intends to continue to expand its distribution channels during 2005. Product definition for the Personal Viewer market is more geographically diverse; however, much of the development and manufacturing will be centred in Asia. Customers & applications During 2004 the Company secured its first two design wins with companies who plan multiple products featuring MED microdisplays. In meeting these multiple product requirements MED's display device represents a common platform for the display component in all of these customer product variants. The display component requires only minor changes to the display lens to meet the specific customer end product application. The first customer application for MED's microdisplay is in an ultra-compact USB-enabled Digital Still Camera which can also operate as a video camera and MP3 music player. Developed by NHJ NHJ Not Happy, Jan! (Australia advertising catchphrase) NHJ Norma Holloway Johnson (judge) , a Tokyo-based company, the product is a member of their "Cheez" brand family, which is commonly available worldwide in retail stores and through specialist catalogue distribution channels. The second application is a British designed consumer night vision product used, for example by naturalists and field sports field sports Noun, pl sports carried on in the countryside, such as hunting or fishing enthusiasts. This product to be manufactured in Asia is the first in a series of seven variants planned by our customer. Initial response to this product has been better than expected as its low cost, high resolution night time viewing characteristics is generating considerable interest for security applications. Since the year end, the Company has received an order from a military customer for devices to be used in the early development of a new personal viewer. Product developments In November 2004 MED initiated the development of a second microdisplay product which is planned for market introduction in 2006. This will be targeted at the personal viewer market as well as expanding MED's applications in digital still cameras. IPR IPR Intellectual Property Rights IPR Inprocess/Inprogress Review IPR Industrial Property Rights IPR Institute for Policy Research (Northwestern University and University of Cincinnati) IPR Institute of Public Relations At the end of 2004, applications were progressing internationally on 14 MED patent families, and during the year, the first of these was granted in one jurisdiction (Europe). Additional applications, and possibly further grants, are likely to be made during 2005. This is a strong showing for a technology company at this stage of growth, and demonstrates the quality of our intellectual property asset base. Following the placing, our licence from CDT Ltd was improved to remove from MED the obligation to license back to CDT new developments relevant to LEP (Light Emitting Polymer) An organic polymer that glows (emits photons) when excited by electricity. LEP screens are used to make organic LED (OLED) displays and are expected to compete with LCD screens in the future. See OLED. devices. This gives MED greater independence and will safeguard and enhance shareholder value. Strategy A key component of the Company's strategy, and a major reason for its flotation, is to secure a volume manufacturing capability through partnership, acquisition or by commissioning new plant. The Company's preference is to enter into partnership with a company already experienced in display manufacture. Putting this resource in place, and ready to contribute revenue in 2006, is a crucial step for MED. Following an extensive worldwide review of potential partners the Company is in final discussions with a short list of three organisations that have the skills and facilities to support MED's volume manufacturing. MED anticipate that this selection will be finalised in Q2 2005. A supply agreement is in place with Dow (Direct OverWrite) See magneto-optic disk. Chemical for the supply of polymer materials and in March 2005 we announced UMC UMC United Methodist Church UMC United Microelectronics Corporation UMC University Medical Center UMC United Microelectronics Corp (Republic of China) UMC University of Missouri-Columbia of Taiwan as our volume silicon wafer (1) A small, thin continuous-loop magnetic tape cartridge that has been used from time to time for data storage and specialized applications. (2) The base unit of chip making. It is a slice taken from a salami-like silicon crystal ingot up to 12" (300mm) in diameter. foundry A semiconductor manufacturer that makes chips for third parties. It may be a large chip maker that sells its excess manufacturing capacity or one that makes chips exclusively for other companies. . Current trading and outlook MED commenced shipment of devices to support pre-production runs at two customers during the 1st quarter of 2005. Shipping the preproduction pre·pro·duc·tion adj. 1. Taking place or existing before production: preproduction planning. 2. prototyping quantities enabled MED to finalise Verb 1. finalise - make final; put the last touches on; put into final form; "let's finalize the proposal" finalize, nail down, settle terminate, end - bring to an end or halt; "She ended their friendship when she found out that he had once been convicted of the customer and product performance objectives, and our engineering team is now working towards a stable manufacturing process to meet those needs. Commencement of volume shipments is anticipated in the second half of 2005. The Company enters 2005 with an encouraging order book. The Company continues to work diligently dil·i·gent adj. Marked by persevering, painstaking effort. See Synonyms at busy. [Middle English, from Old French, from Latin d to optimize optimize - optimisation production yields and considerable progress in this respect has been made since production activities began in November 2004. Throughout 2005 the Company will ramp volume and yield, though we are unlikely to maximise our potential until volume manufacturing capacity is brought on stream. The Company is on track to meet Directors' expectations. MicroEmissive Displays Group plc ("MED") Preliminary Results for the year to 31 December 2004 Consolidated profit and loss account for the year ended 31 December 2004
Note 2004 2003
GBP GBP
Turnover 12,443 12,321
Administrative expenses (4,478,535) (3,196,170)
Other operating income 157,551 58,290
----------- -----------
Operating loss (4,308,541) (3,125,559)
Other interest receivable and similar
income 36,229 9,745
Interest payable and similar charges (187,637) (162,145)
----------- -----------
Loss on ordinary activities before
taxation (4,459,949) (3,277,959)
Tax on loss on ordinary activities - -
----------- -----------
Retained loss for the year for equity
shareholders (4,459,949) (3,277,959)
=========== ===========
Loss per ordinary share
Basic and diluted loss per share 3 56.7p 55.4p
============================================== =========== ===========
There are no recognised gains or losses other then the loss for the current and preceding financial years. Turnover and loss on ordinary activities before taxation for the current and previous year relate wholly to continuing activities. Consolidated balance sheet consolidated balance sheet A balance sheet in which assets and liabilities of a parent company and its controlled subsidiaries are combined, thereby presenting balance sheet items for the parent and its subsidiaries as if they were a single firm. at 31 December 2004
Note 2004 2004 2003 2003
GBP GBP GBP GBP
Fixed assets
Intangible assets 2,129,191 1,876,962
Tangible assets 931,629 1,260,996
----------- ----------
3,060,820 3,137,958
Current assets
Stock 235,500 -
Debtors 503,944 140,185
Cash at bank and in
hand 12,678,024 1,234,597
----------- ----------
13,417,468 1,374,782
=========== ===========
Creditors: amounts
falling due within
one year (1,116,588) (1,387,994)
----------- -----------
Net current
assets/(liabilities) 12,300,880 (13,212)
----------- -----------
Total assets less
current liabilities 15,361,700 3,124,746
Creditors: amounts
falling due after
more than one year (377,930) (935,766)
----------- -----------
Net assets 14,983,770 2,188,980
============ ===========
Capital and reserves
Called up share
capital 4 11,135,524 4,455,290
Share premium account 5 8,051,993 -
Merger reserve 5 6,814,164 4,291,652
Profit and loss
account 5 (11,017,911) (6,557,962)
----------- -----------
Shareholders' funds 14,983,770 2,188,980
============ ===========
Consolidated cash flow statement for the year ended 31 December 2004
2004 2003
GBP GBP
Cash flow statement
Cash out flow from operating activities (4,512,970)(1,643,258)
Returns on investments and servicing of
finance (151,408) (152,400)
Taxation - 230,798
Capital expenditure (829,098) (713,189)
----------- ----------
Cash outflow before financing (5,493,476)(2,278,049)
Financing 16,936,903 2,639,880
----------- ----------
Increase in cash in the year 11,443,427 361,831
=========== ==========
Reconciliation of net cash flow
to movement in net funds
Increase in cash in the year 11,443,427 361,831
Change in net debt resulting from cash flows 475,387 332,355
----------- ----------
Movement in net funds in the year 11,918,814 694,186
Net debt at the start of the year (228,109) (922,295)
----------- ----------
Net funds/(debt) at the end of the year 11,690,705 (228,109)
=========== ==========
Notes to the accounts: 1 Basis of preparation The consolidated financial statements Consolidated Financial Statements The combined financial statements of a parent company and its subsidiaries. Notes: Because consolidated financial statements present an aggregated look at the financial position of a parent and its subsidiaries, they enable you to gauge include the financial statements of the Company and its subsidiary undertakings made up to 31 December 2004. On 4 October 2004 in return for the issue of new ordinary share capital, the entire share capital of MicroEmissive Displays Limited was acquired. The acquisition has been accounted for in line with the reporting requirements of Financial Reporting Standard No 6 "Acquisitions and Mergers". Under section 230(4) of the Companies Act 1985 the Company is exempt from the requirement to present its own profit and loss account. 2 Financial information The financial information set out above in respect of the years ended 31 December 2004 and 31 December 2003 does not constitute the group's financial statements for those periods but has been derived from the audited statutory accounts for those years. Statutory accounts for the year ended 31 December 2004 will be delivered to the Registrar of Companies The introduction to this article provides insufficient context for those unfamiliar with the subject matter. Please help [ improve the introduction] to meet Wikipedia's layout standards. You can discuss the issue on the talk page. following the Company's Annual General Meeting. The auditors AUDITORS, practice. Persons lawfully appointed to examine and digest accounts referred to them, take down the evidence in writing, which may be lawfully offered in relation to such accounts, and prepare materials on which a decree or judgment may be made; and to report the whole, together have reported on those accounts; their reports were unqualified and did not contain statements under s237(2) or (3) Companies Act 1985. 3 Loss per share
Loss per share is calculated as follows: 2004 2003
GBP GBP
Net loss for the financial period (4,459,949) (3,277,959)
----------- ----------
Weighted average number or Ordinary shares in
issue 7,862,147 5,916,420
----------- ----------
Basic and diluted loss per share 56.7p 55.4p
=========== ==========
4 Called up share capital
Number 2004
GBP
Authorised
Ordinary share of GBP 0.65
each 29,000,000 18,850,000
=========== ==========
Allotted, called up and fully paid
Ordinary shares of GBP 0.65
each 17,131,575 11,135,524
=========== ==========
5 Share premium and reserves
Share Merger Profit
premium Reserve and loss
account account
Group GBP GBP GBP
Arising on Group reconstruction - 4,291,652 (6,557,692)
Retained loss for the year - - (4,459,949)
Premium on share issues less expenses 8,051,993 - -
Arising in the year - 2,522,512 -
--------- --------- ----------
At end of year 8,051,993 6,814,164 (11,017,911)
========= ========= ==========
|
|
||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion