Tag Archives: tom sumner

BigDish Plc (LON: DISH), a food technology company that operates a yield management platform for restaurants, is pleased to announce its half-yearly report for the period ended 30 September 2019. 

 

Highlights:

·    Cash in bank £1,296,042.

·    Sufficient funding to Q3 2020.

·    Accounts prepared on a Going Concern basis as noted by the Auditors who stated in the Annual Report that the Going Concern basis was appropriate for the 12 month period from the date of approval of the financial statements.  The financial statements were approved on 31 July 2019.

·    No headroom to issue new equity prior to July 2020 without the publication of a prospectus – there are no plans to publish a prospectus.

Tom Sumner, CEO commented: “Since joining BigDish on 2 December 2019 we have been able to streamline operations and reduce cash burn significantly in order to improve and be more effective as a business in 2020.  We have sufficient funding runway in order to increase the pace of restaurant acquisition which is the key performance indicator for the year ahead.  It is my expectation that 2020 will be a turnaround story for BigDish and our shareholders.”

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION FOR THE PURPOSES OF ARTICLE 7 OF THE MARKET ABUSE REGULATION EU 596/2014 (“MAR”)

Enquiries:

Zak Mir, Digital Communications Officer, BigDish	+44 (0) 7867 527658
	zak@bigdish.com
Jonathan Morley-Kirk, Non-Executive Chairman	+44 (0) 7797 859986
	jmk@bigdish.com

REPORT OF THE DIRECTORS

The Directors present the report together with the unaudited financial statements for the Group for the half-year ended 30 September 2019.

 

The Company

BigDish Plc, the parent Company, is registered (registered number 121041) and domiciled in Jersey. It was incorporated on 11 April 2016.

 

Principal Activity and Business Review

 

The Company’s principal activity has not changed during the half-year ended 30 September 2019.  BigDish Plc is a holding company, holding subsidiaries trading under the “BigDish” brand. The Company’s focus has been on the UK operations, supported by the Philippines technology and business support functions, in the financial reporting period.

 

The Company announced after the reporting period a change in strategy that resulted in discontinuing using a ‘boots on the ground’ approach to restaurant acquisition using territory managers.  At the date of this report two territory managers remain in Brighton and in Birmingham.

 

Results and Dividends

 

The results of the Group for the half-year ended 30 September 2019 show a loss before taxation of GBP 1,050,255 with recurrent operational loss of GBP 506,966 before impairment adjustments and charges on fund raising (30 June 2018 showed a loss of GBP 388,244).

 

No dividends have been paid during the half-year ended 30 September 2019 or during the comparative period.

 

Operational Activities

 

The key operational activities that shareholders should note took place after the reporting period with the appointment of a new CEO and a change of approach to restaurant acquisition from a ‘boots on the ground’ strategy to a telesales operation in Manchester. 

 

The new CEO, Tom Sumner, commenced working at BigDish on 2 December 2019 along with two experienced persons that Tom had prior experience of working with.  The Manchester office also opened on 2 December 2019.  This has resulted in a substantial cost saving for the business and is expected to result in a material difference to the pace of restaurant acquisition in 2020. 

 

The former CEO, Sanj Naha, has become a consultant to the Company focusing on the acquisition of restaurant chains and third-party integrations with Electronic Point of Sale (ePOS) and other restaurant technology platforms.

 

The technology and business support teams based in Manila both grew in number.  The BigDish technology platforms have all seen improvements in terms of functionality and speed.  Technology development will remain a key focus in 2020.  

 

 

Principal Risks and Uncertainties

 

The principal business risks that have been identified are as below.

 

The Company is operating in a competitive market and faces competition from other companies who do or may in the future offer a similar service on similar terms. Competitors may have much greater marketing budgets than the Company. If the Company is unable to attract sufficient restaurants and potential customers in the UK at the rate expected, the Company may be unable to successfully compete in the market which would have a material adverse impact on its future prospects. 

 

The Company has not reached breakeven due to the early stage of the Company’s business development.  The Company has sufficient funds to meets its strategic objectives until Q3 2020. The Company does not have sufficient headroom to issue new equity prior to July 2020, without the publication of a prospectus.  The Company does not plan to publish a prospectus. 

 

Restaurants may not continue to accept the value proposition of online reservation companies like BigDish which could lead to the number of restaurants signing up and continuing to use BigDish to decline which could affect the Company’s prospects.

 

The success of the Company is dependent on the technical capabilities of its restaurant booking app and appeal to users. If technical issues arise or the technology is not as appealing as competitors’ technology, this may have a significant impact on the Company’s ability to attract and retain restaurants and entice customers to use BigDish. The costs associated with remaining competitive may be disproportionate to the revenues generated by the Company resulting in an adverse impact on the Company’s financial position.

 

The loss of/inability to attract key personnel could adversely affect the business of the Company. The Company is dependent on the experience and abilities of its Directors and certain Senior Managers and technology staff. If such individuals were to leave the Company, and the Company was unable to attract suitable experienced personnel to compensate for those departing, it could have a significant negative impact on the rate of growth of the business.

 

Any unauthorised intrusion, malicious software infiltration, network disruption, denial of service or similar act by a malevolent party could disrupt the integrity, continuity, security and trust of the Group’s platform. These security risks could create costly litigation, significant financial liability, increased regulatory scrutiny, financial sanctions and a loss of confidence in the Company’s ability to serve restaurants and diners securely, which could have a material adverse impact on the Company’s business.

 

The Company may process personal data (names, emails and telephone numbers), which may be considered sensitive, as part of its business. The Company may be subject to investigative or enforcement action by regulatory authorities in the Company’s countries of operations if it acts or is perceived to be acting inconsistently with the terms of its privacy policy, customer expectations or the law. The Company will continue to monitor its policies to ensure on-going compliance with the General Data Protection Regulation (GDPR) regulations.

 

The Company has not made contingency plans for risks associated with Brexit. 

 

Any risks that may arise will be mitigated through on-going review by Management and reporting of KPIs to the Board for periodic review and strategy amendment as required.

 

Events after the Reporting Period

 

Refer note 6 of the unaudited financial statements.

 

Company Directors

 

	Position	Appointment Date	Audit Committee	Remuneration Committee
Jonathan Morley-Kirk	Non-Executive Chairman	16 April 2016	Chair	Member
Simon Perrée	Non-Executive Director	30 July 2018	Member	Chair
Aidan Bishop	Executive Director	16 April 2016	–	–

 

Share Capital

 

At 30 September 2019 the issued share capital of the Company stood at 348,950,355 – with 63,102,836 new shares having been issued during the period. The issuances are detailed in note 5 to the unaudited financial statements.

 

This Directors’ Report was approved by the Board of Directors on 30 December and is signed on its behalf.

 

By Order of the Board

 

 

 

 

 

Jonathan Morley-Kirk

Chairman

30 December 2019

 

 

CONSOLIDATED INCOME STATEMENT

For the half-year ended 30 September 2019

 

30 Sep 2019         30 Jun 2018

(unaudited)           (unaudited)

                                                                                                                Note                                       GBP                        GBP                                       

Income                                                                                                                                                  11,766                   2,448

Cost of sales                                                                                                                                           (696)                      –

 

 

Administrative expenses                                                                                                                   (735,077)              (235,423)

IPO costs                                                                                                                                               –                        (155,269)

Impairment loss                                                                                   9                                            (396,277)                              –

Fair value gain                                                                                     8                                              70,029                   –              

 

 

Income tax expense                                                                                                                           –                               –              

 

 

Earnings per share:

Basic and diluted loss per share                                                          5                                                  (0.0033)              (194,122)

 

The accompanying accounting policies and notes form an integral part of these financial statements.

 

 

 

 

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

For the half-year ended 30 September 2019

 

30 Sep 2019         30 Jun 2018

(unaudited)           (unaudited)

                                                                                                                                Note             GBP                        GBP       

 

 

 

*To be reclassified to Profit and Loss if the foreign entity is sold.

 

The accompanying accounting policies and notes form an integral part of these financial statements.

 

 

 

 

 

 

 

CONSOLIDATED STATEMENT OF FINANCIAL POSITION

For the half-year ended 30 September 2019

                                                                                                                               

30 Sep 2019         31 Mar 2019

(unaudited)          

                                                                                                                Note                              GBP                        GBP       

 

Property, plant and equipment                                                                                                         13,053                   –

 

                                                                                                                                                         13,053                   –

Current assets

 

Trade and other receivables                                                                                                             37,387                   28,568

 

                                                                                                                                                     1,333,429                   72,072

Current liabilities

 

Trade and other payables                                                                    2                                        (205,730)              (769,461)

Borrowings                                                                                           2                                            (4,744)                  (4,744)

 

 

Non-current liabilities

 

Trade and other payables                                                                                                                  (3,581)                  (31,562)

Borrowings                                                                                           2                                          (10,128)                 (12,500)

 

 

Net assets/(liabilities)                                                                                                                    1,122,299              (746,195)

 

Equity

 

Issued share capital                                                                            5                                           6,273,887              3,239,914

Retained earnings                                                                                                                           (5,916,067)           (4,865,812)

Other Reserves                                                                                                                                   764,479                 879,703

 

 

These financial statements were approved by the Board of Directors.

 

 

 

 

Jonathan Morley-Kirk

Chairman

30 December 2019

 

 

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

For the half-year ended 30 September 2019

                                                                                               

                                                                                                                Share         Retained            Other                     Total                                                                                                                                        Capital       Earnings            Reserves               Equity

                                                                                                                 GBP            GBP                    GBP                     GBP

 

 

Loss for the period                                                                                      –            (388,244)                  –                       (388,244)

 

Translation reserves                                                                                   –               –                         (21,306)                 (21,306)

 

 

 

Loss for the period                                                                                      –           (3,246,696)        –                             (3,246,696)

 

Translation reserves                                                                                   –                  –                          54,641                  54,641

 

Warrants reserves                                                                                       –                 –                          89,733                  89,733

 

Share options reserves                                                                               –                –                          756,635                756,635

  

Issue of new ordinary shares (net)                                                           776,683     –                          –                              776,683

 

Issue of ordinary shares – conversions                                                  2,463,229    –                        –                              2,463,229

 

 

 

Loss for the period                                                                                         –           (1,050,255)     –                              (1,050,255)

 

Translation reserves                                                                                      –                   –                        (45,195)            (45,195)

 

Warrants reserves                                                                                         –                   –                        (70,029)            (70,029)

 

Issue of new ordinary shares (net)                                                            3,033,973         –                             –                3,033,973

                                               

 

 

The accompanying accounting policies and notes form an integral part of these financial statements.

 

 

 

 

 

CONSOLIDATED CASH FLOW STATEMENT

For the half-year ended 30 September 2019

 

30 Sep 2019         30 Jun 2018

(unaudited)           (unaudited)

                                                                                                                                Note                GBP                   GBP

 

 

Cash received from customers                                                                                                       6,875                     2,432

Cash paid to suppliers & employees                                                                                         (670,921)              (275,059)

 

 

Cash flows from investing activities

 

Intellectual property                                                                                                                          –                        (45,429)

 

 

Cash flows from financing activities

 

Loan repayments                                                                                                                           (2,370)                        –

Net proceeds from issue of convertible loan notes                                                                                –                  311,449

Net proceeds from share capital issue                                                                                      1,952,988                        –

 

 

Net increase in cash                                                                                                                1,286,572                (6,607)

 

 

Cash and cash equivalents at start of period                                                                                   9,470                16,077

Cash and cash equivalents at end of the period                                                                        1,296,042                 9,470

 

 

 

 

 

 

 

 

NOTES TO THE FINANCIAL STATEMENTS

For the half-year ended 30 September 2019

 

1. BASIS OF PREPARATION AND ADOPTION OF INTERNATIONAL FINANCIAL REPORTING STANDARDS (IFRS)

 

The Group’s financial statements have been prepared in accordance with IFRS and International Financial Reporting Interpretations Committee (‘IFRIC’) interpretations as adopted by the European Union at 31 March 2019.

 

The financial statements are prepared under the historical cost convention unless otherwise stated in the accounting policies.

 

The financial statements are presented in GB Pounds (‘GBP’), which is the functional currency of the Group and are rounded to the nearest pound.

 

The Group has reviewed newly effective IFRS Standards and note that:

 

·      IFRS 9 (Financial Instruments) has been addressed consistently with the Annual Report

·      IFRS 15 (Revenue from Contracts with Customers) has been addressed consistently with the Annual Report, the Group has reviewed the impact of IFRS15 and determined there is no material adjustments required to revenue balances within the financial statements or to opening retained earnings

·      IFRS 16 (Leases) has been addressed consistently with the Annual Report, the Group is in the process of evaluating the impact that IFRS 16, however given the Group currently has only one lease agreements in place, the impact of IFRS 16 is expected not to be significant.

 

2. GOING CONCERN

 

The Group has the following loans:

30 Sep 2019         31 Mar 2019

(unaudited)          

    GBP                        GBP

 

 

The Group made a consolidated loss in the half-year ended 30 September 2019 of GBP 1,050,255 with recurrent operational loss of GBP 506,966 before impairment adjustments and charges on fund raising. At 30 September 2019, the consolidated cash held was GBP 1,296,042 and the group had consolidated current liabilities of GBP 224,183, which includes GBP 185,094 of non-related trade liabilities and GBP 14,872 of borrowings.

 

The Group has prepared cash flow forecasts which indicate that it continues to have sufficient funds to support its activities in the period to 31 July 2020.

 

The Financial Statements have been prepared on a Going Concern basis – as noted by the Group’s auditors at the 31 March 2019 Annual Report on page 15.  The Auditors stated that the Going Concern basis was appropriate for the 12 month period from the date of approval of the financial statements.  The financial statements were approved on 31 July 2019.