Half-year Report
19 December 2024
Marechale Capital plc
("Marechale Capital", “Marechale” or the "Company")
Half-yearly Results
Marechale Capital plc, an established City of London based corporate finance house with a long-term track record and a strong reputation for advising and financing high growth consumer brands, leisure, clean energy, mineral extraction and technology companies, announces its unaudited half-yearly results for the six months ended 31 October 2024 (the “Period”).
Chairman’s Statement
Following the announcement with Marechale’s full year results released in August 2024, the market continues to remain challenging, particularly in the hospitality sector.
During the six months ended 31 October 2024, the Company generated gross profits of £103,468 (2023: £93,813) and delivered an operating loss of £138,485 (2023: loss of £155,421 ), resulting in an overall loss before tax of £178,261 (2023: loss of £155,803).
The Company’s balance sheet shows a net asset value of £3,183,537 (2023: £3,340,486 ), representing 3.01p (2023: 3.15p) of value per share in issue. The Company remains positive about the investments that it holds in its client companies.
Marechale Capital continues to see interesting corporate finance and advisory projects where it can take founders shares and warrants as part of its advisory fees. On a positive note, Marechale has completed transactions during the period for Weardale Lithium, Forest Road Brewery, Stubben Edge and Chestnut Inns. However, the market remains a difficult environment in which to raise capital. This has resulted in some advisory projects that launched in the summer not being completed by the end of the Period which includes a major UK hotel group and a leading brewery and pub group. Marechale continues to look for new and strategic funding partners alongside its traditional investor relationships.
The Board is working on a number of initiatives to create further value for shareholders over and above its core investment portfolio and corporate finance projects, including working with various potential businesses and individuals. The plan is to continue to develop Marechale’s strategic partnerships with the objective of enhancing shareholder value.
Marechale also uses its balance sheet to co-invest in its client companies, along with warrants and founder equity. Furthermore, the Board is able to announce a partial realisation of £109,000 for cash on two of the Company’s investments. Cash at bank at 31 October 2024 was £223,700.
Whist the current economic climate is difficult, Marechale Capital remains diligent and is convinced that there will be good advisory and investment opportunities in its core hospitality, renewable, clean energy and technology sectors over the short to medium term.
Mark Warde-Norbury
Chairman
The information communicated in this announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) No. 596/2014
For further information please contact:
|
Marechale Capital Mark Warde-Norbury / Patrick Booth-Clibborn |
Tel: +44 (0)20 7628 5582 |
|
Cairn Financial Advisers LLP Jo Turner / Sandy Jamieson |
Tel: +44 (0)20 7213 0880 |
| Income Statement (unaudited) | |||||||||||
| 6 months ended 31 October | 2024 | 2023 | |||||||||
| £ | |||||||||||
| Revenue | 148,500 | 320,603 | |||||||||
| Cost of sales | (45,032) | (226,790) | |||||||||
| Gross profit | 103,468 | 93,813 | |||||||||
| Administrative expenses | (241,953) | (249,235) | |||||||||
| Operating loss | (138,485) | (155,421) | |||||||||
| Exceptional credit | 10,316 | - | |||||||||
| Loss on disposal of investments | (49,837) | ||||||||||
| Interest paid | (255) | (382) | |||||||||
| (Loss)/profit before tax | (178,261) | (155,803) | |||||||||
| Taxation | - | - | |||||||||
| (Loss)/profit after tax | (178,261) | (155,803) | |||||||||
| (Loss)/profit per share | |||||||||||
| (Pence) | (Pence) | ||||||||||
| - Basic | (0.17) | (0.15) | |||||||||
| - Diluted | (0.17) | (0.14) | |||||||||
| Balance Sheet (unaudited) | ||||||||
| As at | 31 October | 31 October | ||||||
| 2024 | 2023 | |||||||
| Current assets | ||||||||
| Available for sale investments | 2,939,660 | 2,863,227 | ||||||
| Trading investments | 49,953 | 130,076 | ||||||
| Trade and other receivables | 52,856 | 37,219 | ||||||
| Cash and cash equivalents | 223,712 | 398,229 | ||||||
| 3,266,181 | 3,428,751 | |||||||
| Current liabilities | ||||||||
| Trade and other payablesPAYEBounce-back Loan | (54,338)(10,806)(10,000) | (51,278)(9,847)(10,000) | ||||||
| Total current liabilities | (75,144) | (70,765) | ||||||
| Net current assets | 3,191,037 | 3,357,986 | ||||||
| Bounce-back Loan – long-term | (7,500) | (17,500) | ||||||
| Net assets | 3,183,537 | 3,340,486 | ||||||
| Equity | ||||||||
| Capital and reserves attributable to equity shareholders | ||||||||
| Share capitalShare premium | 847,530481,290 | 847,530481,290 | ||||||
| Reserve for own shares | (50,254) | (50,254) | ||||||
| Retained profits/ (losses) | 1,739,397 | 1944,842 | ||||||
| Reserve for share based payments | 165,574 | 117,078 | ||||||
| 3,183,537 | 3,340,486 | |||||||
| Cash Flow Statement (unaudited) | |||||||
| 6 months ended | 31 October | 31 October | |||||
| 2024 | 2023 | ||||||
| £ | £ | ||||||
| Net cash from operating activities | |||||||
| Loss after tax | (178,261) | (155,803) | |||||
| Reverse exceptional credits | (10,316) | - | |||||
| Loss of disposal of investments | 49,837 | ||||||
| Provision for share based paymentsReverse interest paid | 15,406255 | 33,091381 | |||||
| Operating cash flows before movements in working capital | (123,079) | (122,331) | |||||
| Movement in working capital | |||||||
| (Increase)/ decrease in receivables | (7,950) | 38,714 | |||||
| Increase/ (decrease) in payables | 3,108 | (30,795) | |||||
| Net movement in working capital | (4,842) | 7,919 | |||||
| Operating cash out-flow | (127,921) | (114,412) | |||||
| Investment activities | |||||||
| Expenditure on available for sale investments | - | 572 | |||||
| Proceeds from sale of investments and options | 108,692 | - | |||||
| Cash flow from investing activities | 108,692 | (572) | |||||
| FinancingShare CapitalBounce-back Loan repaymentsInterest paidNet financing | -(5,000)(255)(5,255) | 235,800(5,000)(381)230,419 | |||||
| Net (decrease)/ increase in cash and cash equivalents | (24,484) | 115,435 | |||||
| Cash and cash equivalents at start of the period | 248,196 | 282,794 | |||||
| Cash and cash equivalents at end of the period | 223,712 | 398,229 | |||||
| (Decrease)/ increase in cash and cash equivalents | (24,484) | 115,435 | |||||
This financial information has been prepared in accordance with IFRS and International Financial Reporting Interpretations Committee ('IFRIC') interpretations adopted by the European Union, and with those parts of the Companies Act 2006 applicable to companies reporting under IFRS, with the prior period being reported on the same basis.