Interim Report

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2696 Fiske Interim Report:2696 Fiske Interim Report

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Interim Report 30 November 2009

6LA 600

Job No.: 2696 Customer: Fiske

Proof Event: 2 Project Title: Interim Report

Park Communications Ltd Alpine Way London E6 6LA T: 020 7055 6500 F: 020 7055 6600

2696 Fiske Interim Report:2696 Fiske Interim Report

4/2/10

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Page 1

Chairman’s Statement The improvement in our business began in August and has enabled us to earn a profit of £286,000 at the pre-tax level for the half year to 30 November 2009 compared with a loss of £139,000 for the six months ended 30 November 2008. Most of the impetus for the improvement over last year is in stock market conditions but we have continued to attract additional funds for management and our emphasis on our expansion as a fund manager is on track. Our acquisition in April 2009 of Vor Financial, a specialist bond manager, has been a success. Conditions in the Stock Market have vastly improved from the panic of early 2009. However, many of the underlying problems remain. The banks need to continue to rebuild their balance sheets with both equity and retained profits. Unfortunately the culture in the banks has still to adjust to the new climate. The economy remains close to recession. Printing money by the authorities does wonders for asset bubbles but rather less for the real economy. One despairs of the wisdom and abilities of the economic and financial authorities worldwide. For the immediate future this vast supply of money should be good for markets but one day this year the printing will have to end and that will present a real challenge for the markets. At Fiske we have changed neither our strategy nor our balance sheet. We continue to strengthen our institutional department and our private client fund management business has grown organically as well as by acquisition. Whilst we remain cautious on the outlook for markets and the economy in the short term, we remain confident in our ability to grow our business this financial year. Last October we paid a reduced second interim dividend in respect of the last financial year of 2p. For this year’s first interim dividend we feel it would be prudent to pay 2p as opposed to the 2.5p paid this time last year. Accordingly our first interim dividend of 2p will be paid on 12 March 2010 to shareholders on the register on 12 February 2010. The shares will be marked ex-dividend in the market on 10 February 2010. C F Harrison Chairman 5 February 2010

Fiske plc

Job No.: 2696 Customer: Fiske

Proof Event: 2 Project Title: Interim Report

Page 1

Park Communications Ltd Alpine Way London E6 6LA T: 020 7055 6500 F: 020 7055 6600

2696 Fiske Interim Report:2696 Fiske Interim Report

4/2/10

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Independent Review Report to Fiske plc We have been engaged by the Group to review the condensed set of financial statements in the half-yearly financial report for the six months ended 30 November 2009 which comprises the consolidated statement of comprehensive income, the consolidated balance sheet, the consolidated statement of changes in equity, the consolidated cash flow statement and related notes 1 to 3. We have read the other information contained in the half-yearly financial report and considered whether it contains any apparent misstatements or material inconsistencies with the information in the condensed set of financial statements. This report is made solely to the Group in accordance with International Standard on Review Engagements (UK and Ireland) 2410 “Review of Interim Financial Information Performed by the Independent Auditor of the Entity” issued by the Auditing Practices Board. Our work has been undertaken so that we might state to the company those matters we are required to state to them in an independent review report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Group, for our review work, for this report, or for the conclusions we have formed. Directors’ responsibilities The half-yearly financial report is the responsibility of, and has been approved by, the directors. The directors are responsible for preparing the half-yearly financial report in accordance with the AIM Rules of the London Stock Exchange. As disclosed in note 1, the annual financial statements of the Group are prepared in accordance with International Financial Reporting Standards (IFRSs) as adopted by the European Union. The condensed set of financial statements included in this half-yearly financial report have been prepared in accordance with the accounting policies the Group intends to use in preparing its next annual financial statements. Our responsibility Our responsibility is to express to the Group a conclusion on the condensed set of financial statements in the half-yearly financial report based on our review. Scope of Review We conducted our review in accordance with International Standard on Review Engagements (UK and Ireland) 2410 “Review of Interim Financial Information Performed by the Independent Auditor of the Entity” issued by the Auditing Practices Board for use in the United Kingdom. A review of interim financial information consists of making inquiries, primarily of persons responsible for financial and accounting matters, and applying analytical and other review procedures. A review is substantially less in scope than an audit conducted in accordance with International Standards on Auditing (UK and Ireland) and consequently does not enable us to obtain assurance that we would become aware of all significant matters that might be identified in an audit. Accordingly, we do not express an audit opinion. Conclusion Based on our review, nothing has come to our attention that causes us to believe that the condensed set of financial statements in the half-yearly financial report for the six months ended 30 November 2009 is not prepared, in all material respects, in accordance with the AIM Rules of the London Stock Exchange. Deloitte LLP Chartered Accountants and Statutory Auditors London, UK Page 2

Job No.: 2696 Customer: Fiske

5 February 2010

Fiske plc

Proof Event: 2 Project Title: Interim Report

Park Communications Ltd Alpine Way London E6 6LA T: 020 7055 6500 F: 020 7055 6600

Job Cus

2696 Fiske Interim Report:2696 Fiske Interim Report

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Consolidated Statement of Comprehensive Income for the six months ended 30 November 2009 Six months ended 30 November 2009 Unaudited £’000

Six months ended 30 November 2008 Unaudited £’000

Year ended 31 May 2009 Audited £’000

Fee and commission income Fee and commission expenses

2,043 (476)

1,621 (371)

3,480 (863)

Net fee and commission income Other income

1,567 97

1,250 96

2,617 154

TOTAL REVENUE Profit on disposal of available-for-sale investments Impairment on available-for-sale investments Profit/(loss) on investments held for trading Operating expenses Write-down of goodwill Amortisation of intangibles

1,664

1,346

2,771

3 – 101 (1,520) – –

– – (141) (1,300) (121) (45)

– (27) (107) (2,741) (145) (45)

OPERATING PROFIT/(LOSS) Investment revenue Finance income Finance costs

248 28 13 (3)

(261) 39 85 (2)

(294) 52 109 (6)

PROFIT/(LOSS) ON ORDINARY ACTIVITIES BEFORE TAXATION Taxation

286 (73)

(139) (4)

(139) (11)

PROFIT/(LOSS) ON ORDINARY ACTIVITIES AFTER TAXATION

213

(143)

(150)

2

(16)

(178)

–

(3)

50

2

(19)

(128)

TOTAL COMPREHENSIVE INCOME/(EXPENSE) FOR THE PERIOD/YEAR ATTRIBUTABLE TO EQUITY SHAREHOLDERS

215

(162)

(278)

Earnings per ordinary share (pence) Basic Diluted

2.5p 2.5p

(1.7)p (1.7)p

(1.8)p (1.8)p

OTHER COMPREHENSIVE INCOME/(EXPENSE) Movement in unrealised appreciation of investments Deferred tax on movement in unrealised appreciation of investments NET OTHER COMPREHENSIVE INCOME/(EXPENSE)

Fiske plc

6LA 600

Job No.: 2696 Customer: Fiske

Proof Event: 2 Project Title: Interim Report

Page 3

Park Communications Ltd Alpine Way London E6 6LA T: 020 7055 6500 F: 020 7055 6600

2696 Fiske Interim Report:2696 Fiske Interim Report

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Consolidated Statement of Changes in Equity

Share Capital £’000

Share Premium £’000

Revaluation Reserve £’000

Retained Earnings £’000

Total Equity £’000

2,087

1,187

831

735

4,840

Profit/(loss) on ordinary activities after taxation Other comprehensive income/(loss)

– –

– –

– (109)

(7) –

(7) (109)

Total comprehensive income/(loss) for period

–

–

(109)

(7)

(116)

Issue of ordinary share capital Dividends paid

22 –

29 –

– –

– (208)

51 (208)

BALANCE AT 31 MAY 2009

2,109

1,216

722

520

4,567

Profit on ordinary activities after taxation Other comprehensive income

– –

– –

– 2

213 –

213 2

Total comprehensive income for period

–

–

2

213

215

Dividends paid

–

–

–

(169)

(169)

2,109

1,216

724

564

4,613

BALANCE AT 1 DECEMBER 2008

BALANCE AT 30 NOVEMBER 2009

Page 4

Job No.: 2696 Customer: Fiske

Fiske plc

Proof Event: 2 Project Title: Interim Report

Park Communications Ltd Alpine Way London E6 6LA T: 020 7055 6500 F: 020 7055 6600

Job Cus

2696 Fiske Interim Report:2696 Fiske Interim Report

4/2/10

10:57

Page 5

Consolidated Balance Sheet 30 November 2009 As at 30 November 2009 Unaudited £’000

As at 30 November 2008 Unaudited £’000

As at 31 May 2009 Audited £’000

NON-CURRENT ASSETS Goodwill Property, plant and equipment Available-for-sale investments

380 53 1,236

254 91 1,421

380 75 1,233

TOTAL NON-CURRENT ASSETS

1,669

1,766

1,688

CURRENT ASSETS Trade and other receivables Investments held for trading Cash and cash equivalents

9,992 245 3,327

13,946 114 3,254

10,664 187 3,143

TOTAL CURRENT ASSETS

13,564

17,314

13,994

TOTAL ASSETS

15,233

19,080

15,682

CURRENT LIABILITIES Trade and other payables Current tax liabilities

10,277 79

13,809 117

10,836 22

TOTAL CURRENT LIABILITIES

10,356

13,926

10,858

NON-CURRENT LIABILITIES Deferred tax liabilities

264

314

257

TOTAL NON-CURRENT LIABILITIES

264

314

257

10,620

14,240

11,115

EQUITY Share capital Share premium Revaluation reserve Retained earnings

2,109 1,216 724 564

2,087 1,187 831 735

2,109 1,216 722 520

SHAREHOLDERS’ EQUITY

4,613

4,840

4,567

15,233

19,080

15,682

ASSETS

LIABILITIES

TOTAL LIABILITIES

TOTAL EQUITY AND LIABILITIES

Fiske plc

6LA 600

Job No.: 2696 Customer: Fiske

Proof Event: 2 Project Title: Interim Report

Page 5

Park Communications Ltd Alpine Way London E6 6LA T: 020 7055 6500 F: 020 7055 6600

2696 Fiske Interim Report:2696 Fiske Interim Report

4/2/10

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Page 6

Consolidated Cash Flow Statement for the six months ended 30 November 2009 Six months ended 30 November 2009 Unaudited £’000

Six months ended 30 November 2008 Unaudited £’000

Year ended 31 May 2009 Audited £’000

CASH FLOWS FROM OPERATING ACTIVITIES Cash generated from/(used in) by operations Interest paid Tax paid

323 (3) (10)

(394) (2) –

(197) (6) (117)

NET CASH GENERATED FROM/(USED IN) OPERATING ACTIVITIES

310

(396)

(320)

13 28

85 39

109 52

23 (20) (1) – –

– – (10) – –

– – (25) (160) 160

43

114

136

INVESTING ACTIVITIES Interest received Investment income received Proceeds on disposal of available-for-sale investments Purchases of available-for-sale investments Purchases of property, plant and equipment Payments to acquire subsidiary undertaking Cash acquired with subsidiary undertaking NET CASH GENERATED FROM INVESTING ACTIVITIES FINANCING ACTIVITIES Proceeds from issue of ordinary share capital Dividends paid

– (169)

– (250)

– (459)

NET CASH USED IN FINANCING ACTIVITIES

(169)

(250)

(459)

NET INCREASE/(DECREASE) IN CASH AND CASH EQUIVALENTS Cash and cash equivalents at beginning of period

184 3,143

(532) 3,786

(643) 3,786

CASH AND CASH EQUIVALENTS AT END OF PERIOD/YEAR

3,327

3,254

3,143

Page 6

Job No.: 2696 Customer: Fiske

Fiske plc

Proof Event: 2 Project Title: Interim Report

Park Communications Ltd Alpine Way London E6 6LA T: 020 7055 6500 F: 020 7055 6600

Job Cus

2696 Fiske Interim Report:2696 Fiske Interim Report

4/2/10

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Page 7

Notes to the Interim Financial Statements 1. BASIS OF PREPARATION The financial information contained in this half year financial report does not constitute statutory accounts as defined in section 434 of the Companies Act 2006. The figures and financial information for the period ended 31 May 2009 are extracted from the latest published audited financial statements of the Group and do not constitute the statutory financial statements for that period. The audited financial statements for the period ended 31 May 2009 have been filed with the Registrar of Companies. The report of the independent auditors on those financial statements contained no qualification or statement under section 498(2) or section 498(3) of the Companies Act 2006. The financial information has been prepared in accordance with the recognition and measurement criteria of International Financial Reporting Standards (IFRS) as adopted by the European Union and IFRIC interpretations. The financial information has been prepared under the historical cost convention, except for the revaluation of certain financial instruments. The statutory financial statements are prepared in accordance with IFRSs as adopted by the European Union. Except as described below, the Group has applied consistent accounting policies in preparing the interim financial statements for the six months ended 30 November 2009, the comparative information for the six months ended 30 November 2008, and the financial statements for the period ended 31 May 2009. The Group applies revised IAS 1 Presentation of Financial Statements, which became effective as of 1 January 2009. As a result, the Company presents in the statement of changes in equity all owner changes in equity, whereas all non-owner changes in equity are presented in the statement of comprehensive income. This standard is concerned with presentation only and does not have any impact on the results or net assets of the Company. Comparative information has been re-presented where applicable so that it also is in conformity with the revised standard. As permitted, the Company has chosen not to adopt IAS 34 “Interim Financial Statements” in preparing this interim financial information. The directors have a reasonable expectation that the Group has adequate resources to continue in operational existence for the foreseeable future. Thus they continue to adopt the going concern basis of accounting in preparing these half-yearly financial statements. 2. TAXATION The tax charge for the six months to 30 November 2009 reflects all the necessary provisions for current tax, taking into account the availability of losses brought forward, and movements in deferred tax. In arriving at the effective tax rate, account has been taken of the change in the rate of tax charged and the disallowance of the cost of share-based payments charged to the consolidated statement of comprehensive income.

Fiske plc

6LA 600

Job No.: 2696 Customer: Fiske

Proof Event: 2 Project Title: Interim Report

Page 7

Park Communications Ltd Alpine Way London E6 6LA T: 020 7055 6500 F: 020 7055 6600

2696 Fiske Interim Report:2696 Fiske Interim Report

4/2/10

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Page 8

Notes to the Interim Financial Statements 3. DIVIDENDS PAID Dividends paid of £169,000 (2008 – £250,000) refer to the second interim dividend paid for the preceding year. The Interim dividend of 2p will be paid on 12 March 2010 to shareholders on the register on 12 February 2010. The shares will be marked ex-dividend on 10 February 2010.

Page 8

Job No.: 2696 Customer: Fiske

Fiske plc

Proof Event: 2 Project Title: Interim Report

Park Communications Ltd Alpine Way London E6 6LA T: 020 7055 6500 F: 020 7055 6600

2696 Fiske Interim Report:2696 Fiske Interim Report

4/2/10

10:57

Page C4

Park Communications – 2696

Job No.: 2696 Customer: Fiske

Proof Event: 2 Project Title: Interim Report

Park Communications Ltd Alpine Way London E6 6LA T: 020 7055 6500 F: 020 7055 6600

Job Cus