Summary
- Invinity Energy Systems’ revenue decreased by 72 per cent in FY19 to £0.7 million, in comparison with £2.5 million in FY18
- Jarvis Securities revenue increased by 30.8 per cent in FY20 to £6.8 million, in comparison with £5.2 million in FY19
- Revenue of Mirada increased by 7 per cent to $13.16 million as compared to $12.32 million in 2019
The FTSE AIM index of the London Stock Exchange (LSE) was launched in 1995, celebrating two and a half decades of its existence in 2020. At the time of launch, AIM index comprised of ten companies only, valuing just £82 million. After the successful completion of 25 years, it consists of 850 companies with a total market capitalisation (Mcap) of £104 billion. AIM platform has been providing companies access to a diverse set of institutional investors, who have the knowledge and can sense the needs of entrepreneurial businesses.
The AIM index has three segments-
- FTSE AIM UK 50 index comprising of 50 largest UK companies
- FTSE AIM 100 index comprising of 50 largest UK companies
- FTSE AIM All-Share index comprising of all the AIM quoted companies
Here we are going to discuss the earnings announcements of some of the AIM stocks.
Invinity Energy Systems PLC
Established in 1989, Invinity Energy has its headquarters in Jersey. The company is into manufacturing vanadium flow battery. Its systems are safe, dependable, and economical and are used for commercial & industrial sites, grid network infrastructure projects and off-grid applications.
Financial Highlights
On 16 July 2020, Invinity Energy Systems released its final result for the financial year ending 31 December 2019. The Group's revenue decreased by 72 per cent in FY19 to £0.7 million, in comparison with £2.5 million in FY18. The company generated revenue of £0.2 million from the sale of its first Gen 3 machine. The gross profit remained constant at £0.4 million resulting from the grant income. The trading loss accounted to £6.9 million (FY18: Loss £11.7 million), including £3.5 million reduction in the product development costs. The operating loss was recorded a £7.4 million, as compared to £12.3 million loss in the previous year, resulting from the cost incurred on the merger with Avalon. The company was having loans and borrowing of £1.1 million in FY19 (FY18: NIL). The free cash of the company was recorded as £1.2 million (2018: £3.3 million).
Stock Performance
Invinity Energy Systems PLC (LON: IES) stock was trading at GBX 120.00 on 17 July 2020, at 10:27 AM, up by 0.84 per cent from its previous close of GBX 119.00. The 52-week low/high price was GBX 36.00/142.00. It was having a market capitalisation (Mcap) of £84.18 million. The volume traded at the time of reporting was 6,630. The company recorded a positive return on price, which was 126.67 per cent on a YTD (Year to Date) basis. The Beta of the company stood at 1.0, indicating that the volatility of the stock is the same as of the benchmark index.
Jarvis Securities PLC
Incorporated in 1984 in England and Wales, Jarvis Securities is the parent company of Jarvis Investment Management Ltd. The company operates in retail and outsourced financial services, primarily in the United Kingdom.
Financial Highlights
On 16 July 2020, Jarvis Securities released its interim result for the six months ending 30 June 2020. The Group's revenue increased by 30.8 per cent in FY20 to £6.8 million, in comparison with £5.2 million in FY19. The rise in revenue was due to the significant increase in trade volumes. The profit before tax accounted to £3.5 million, increasing by 50.3 per cent (FY19: £2.3 million). The cash position of the company also strengthened by 23 per cent. The basic earnings per share was 26.66p. The Directors have expressed their belief that the Company was trading ahead of market expectations.
Stock Performance
Jarvis Securities PLC (LON: JIM) stock traded at GBX 625.00 on 17 July 2020, at 10:30 AM, unchanged as of the previous day’s closing. The 52-week low/high price was GBX 359.00/625.00. It was having a market capitalisation (Mcap) of £68.36 million. The volume traded at the time of reporting was 4,298. The company recorded a positive return on price, which was 30.48 per cent on a YTD (Year to Date) basis. The Beta of the company stood at 0.9, indicating that the volatility of the stock is slightly lower than the benchmark index.
Mirada PLC
Mirada is a provider of software products and services with cutting-edge digital TV technology. Some of the products of Mirada includes Iris Ecosystem, UX Evolver, Iris OTT Platform, Iris Inspire UI, Iris SDP, Iris CMS, LogIQ and Mirada Kids.
Financial Highlights
On 16 July 2020, Mirada PLC released its final result for the year ending 31 March 2020. An increase of 7 per cent can be seen in the revenue of the company on a year-on-year (YOY) basis, which was reported at $13.16 million (2019: $12.32 million). A 13 per cent year-on-year increase was recorded in the revenue growth, excluding Mirada Connect, which was sold in July 2019, recording $12.96 million (2019: $11.49 million). Growth in development revenue was driven by the customisation of the Android TV custom launcher for izzi Telecom, of $1.47million to reach $7.98 million for the year.
The gross profit of the company grew to $12.48 million in FY20, which was $11.46 million in FY19 and the operating losses plunged to $1.36 million from $2.91 million, because of a decrease in the staff costs by $0.46 million to $6.79 million and other administrative expenses by $0.20 million to $3.20 million (2019: $3.40 million). The improvement in revenues and the reduction in costs resulted in adjusted EBITDA of $2.50 million (2019: $0.81 million). As a result, the net impact was the company achieved a net profit of $0.59 million in FY20 (FY19: loss of $3.11 million), supported by Mirada Iberia's research and innovation tax deductions.
The net debt surged to $5.05 million (2019: $4.86 million). Long term interest-bearing loans and borrowings also increased by 40 per cent to $2.40 million (2019: $1.72 million), and short-term borrowings and related party loans and interest decreased to $2.85 million (2019: $3.26 million).
Stock Performance
Mirada PLC (LON: MIRA) stock last traded at GBX 90.00 on 17 July 2020, at 10:33 AM, unchanged as of the previous closing. The 52-week low/high price was GBX 1.05 / 160.00. It was having a market capitalisation (Mcap) of £8.02 million. The company recorded a negative return on price, which was 33.33 per cent on a YTD (Year to Date) basis. The Beta of the company stood at 0.9, indicating that the volatility of the stock is lower than the benchmark index.
