RNS Number : 7262N

OptiBiotix Health PLC

27 September 2023

27 September 2023

OptiBiotix Health plc

("OptiBiotix" or the "Company" or the "Group")

Half Year Report

OptiBiotix Health p lc (AI M: OPTI), a life sciences busi ness d eveloping compou n ds to tackle obesity, cardiovascular disease, diabetes and skincare, a nnounces its unaudited results for the six months ended 30 June 2023.


-- Strong first half of trading with sales of GBP351k (2022: GBP119k), a 195% increase over H1 2022. Given H1 2022 included GBP19.5k from Probiotic sales up to March 30 2022, the 'like for like' increase is 251%. 85% of this sales income was received in Q2 2023

   --    A 154% increase in gross profit from GBP62k in H1 2022 to GBP158k in H1 2023 
   --    A 17.3% reduction in administrative expenses from GBP1,108k to GBP918k 

-- Sales from existing partners slowly returning to forecast with new orders from both The Hut Group (THG) and Holland & Barrett

-- Improved sales performance in H1 2023 by Apollo Pharmacies (up 500%) in India and Nahdi Medical (up 30%) in Saudi Arabia following more active account management. These increased sales are not reflected in H1 but impact on restocking requirements in H2 2023

   --    Three new partners in Asia who have all placed initial orders for SlimBiome(R) 
   --    Strong sales growth of own brand products on e-commerce channel 

-- A large first order from a new partner of GBP116k for SlimBiome (R) from a contract manufacturer of a leading weight management and sports nutrition brand in the USA

-- The listing of SlimBiome(R) Medical and Gofigure(R) products on Amazon UK in February 2023, and Slimbiome(R) Medical on Amazon Germany and Walmart USA in May 2023. We anticipate further international listings on Amazon throughout 2023 including Amazon India, the Gulf States, and Amazon USA. This is all part of a strategy to increase the internationalisation of our own brand products online in 2023

-- Published the results of a third human study on SlimBiome(R) demonstrating statistically significant benefits to appetite and hunger regulation with a single dose of SlimBiome(R)

-- The launch of our gut and digestive health WellBiome(R) product as part of a strategy to enhance our range of product offerings and to mitigate the seasonal variations in the sale of weight management products. The product has received excellent reviews on Amazon with growing month on month sales (125% increase July to August) and a high number of repeat orders (63% in August). We will increase our marketing on WellBiome(R) and extend its availability to other Amazon international channels in Q4 2023

   --    Significant progress in the manufacturing scale up of our microbiome modulators: a range of second-generation products which selectively enhance the growth rate of specific types of bacteria and create the potential for targeted treatment of a range of human diseases 

-- Good progress from both partners in the commercial scale up and testing of our second-generation SweetBiotix(R) family of products offering exciting potential for future growth

-- No debt with valuable assets in SkinBioTherapeutics plc and ProBiotix Health plc providing a strong balance sheet

Post Period

-- As announced on 29 August 2023, one of our partners has secured an international listing for products containing SlimBiome (R) with Costco, the fifth largest retailer in the world

-- Q3 saw our first new customer in Canada, Prairie Naturals, who will launch a SlimBiome (R) based powder in Q4 2023

-- We have reached agreement with Boots pharmacies to launch SlimBiome (R) products online in Q1 2024 (announced on 21 September 2023)

-- A further 9.7 metric tonnes of SlimBiome (R) has been taken from stock held by distributors for our two largest partners up to August 2023. Once this stock overhang is cleared this should have a material impact on reportable revenue

Stephen O'Hara, CEO of OptiBiotix, commented: "The focus for 2023 has been on moving the business to profitability by a reduction in costs, a focus on existing partners returning to forecast, bringing in new partners particularly in the USA and Asia, and expanding e-commerce channels to reduce partner dependency. Good progress has been made in each of these areas. This is all part of plans for each business unit (USA, India, Ecommerce, B2B) to reach profitability, at least on a monthly basis by the end of the calendar year.

"The aim for the second half of the year is to maintain our focus on managing costs, growing sales and closing out ongoing discussions with a number of larger partners across first and second-generation products to ensure a return on investment from the expansion of our commercial and business development teams. We are particularly excited about our second-generation products approaching commercialisation given their uniqueness in the marketplace. Our sweet prebiotic fibres, called SweetBiotix(R) create the opportunity to replace unhealthy calorific and cariogenic sugars with healthy fibres in a wide range of food and beverage products. With growing health concerns over traditional sugars and sweeteners, the commercialisation of SweetBiotix(R) meets a large global market need. After many years of hard work we are equally pleased at the s ignificant progress we have made in 2023 in the manufacturing scale up our microbiome modulators which selectively enhance the growth rate of specific types of bacteria and create the potential for targeted treatment of a range of human diseases. We believe these unique products, individually and collectively, offer shareholders the potential for a significant enhancement in the value of the Company.

"The Group has no debt, a strong balance sheet, and retains significant exposure to the considerable growth potential of the microbiome through its shareholdings in ProBiotix Health plc and SkinBioTherapeutics plc."

This announcement contains information which, prior to its disclosure, was considered inside information for the purposes of the UK Market Abuse Regulation and the Directors of the Company are responsible for the release of this announcement.

Forward-Looking Statements

Certain statements made in this announcement are forward-looking statements. These forward-looking statements are not historical facts but rather are based on the Company's current expectations, estimates, and projections about its industry; its beliefs; and assumptions. Words such as 'anticipates,' 'expects,' 'intends,' 'plans,' 'believes,' 'seeks,' 'estimates,' and similar expressions are intended to identify forward-looking statements. These statements are not guarantees of future performance and are subject to known and unknown risks, uncertainties, and other factors, some of which are beyond the Company's control, are difficult to predict, and could cause actual results to differ materially from those expressed or forecasted in the forward-looking statements. The Company cautions security holders and prospective security holders not to place undue reliance on these forward-looking statements, which reflect the view of the Company only as of the date of this announcement. The forward-looking statements made in this announcement relate only to events as of the date on which the statements are made. The Company will not undertake any obligation to release publicly any revisions or updates to these forward-looking statements to reflect events, circumstances, or unanticipated events occurring after the date of this announcement except as required by law or by any appropriate regulatory authority.

For further information, please contact:

  OptiBiotix Health plc                                      www.optibiotix.com 
  Neil Davidson, Chairman                            Contact via Walbrook below 
  Stephen O'Hara, Chief Executive 
  Cairn Financial Advisers LLP (NOMAD)                       Tel: 020 7213 0880 
  Liam Murray / Jo Turner / Ludovico Lazzaretti 
  Peterhouse Capital Limited (Broker)                        Tel: 020 7220 9797 
  Duncan Vasey / Lucy Williams 
  Walbrook PR Ltd                                            Mob: 07876 741 001 
  Anna Dunphy 

Chairman's and Chief Executive's Statement

After a challenging 2022 our focus in 2023 has been on moving the Company towards profitability. We believe we will achieve this by a reduction in central costs and by the promotion of sales, both direct to consumers via e-commerce channels and through our existing partners delivering on forecasts and bringing in new customers, particularly in the USA and Asian markets. There has been progress in each of these areas in the first six months of 2023, and in particular since March 2023 when we initiated a number of changes to the management team.

This focus has resulted in a substantial increase in turnover (195%) and gross profit (154%) and a reduction in administration expenses (17.3%). This has led to a fall in our operating loss (28%) for the first six months of the year. Whilst encouraging, it's only a first step, and our focus remains on reaching profitability by broadening our customer base in more territories, building new partnerships with larger companies particularly in the USA and Asia, and controlling costs. This will create a more robust business for the future and will reduce the risk of revenues in future accounting periods being impacted by individual partners delaying launches, or by timing differences in restocking.

Strategic overview

Whilst our immediate focus is on reaching profitability this takes place within a strategic framework of:-

-- Focusing on a number of large partners in key strategic markets, particularly the USA and Asia;

-- Improving our sales mix and margins by moving increasingly from ingredient sales to the sale of finished products, both through larger partners and direct-to-consumer through our own online store and other outlets such as Tmall.com in Asia and Amazon;

-- Building first-generation product portfolio in weight management and extending our technology into new channels such as sports nutrition with LeanBiome(R), and new product areas such gut and digestive health with WellBiome(R);

-- Progressing the commercialisation of our second-generation products, SweetBiotix(R) and Microbiome Modulators

The first phase of strategy was to establish the credibility of our science and brands and the sustainability of the business through an initial focus on building sales of our first-generation products ( SlimBiome(R), LP(LDL) (R)) through business-to-business deals with multiple partners principally in Europe. The Company made rapid sales progress with combined sales of prebiotic and probiotic first-generation products of GBP1.5m (2020) and GBP2.2m (2021) and both the Probiotic (now ProBiotix Health plc) and Prebiotic trading businesses being EBITDA profitable in both years. SlimBiome(R) now has three clinical studies, health claims in numerous territories around the world, an extensive international IP portfolio, multiple awards, and accounts with well-known national (Holland and Barrett), and international brands (Myprotein). This has allowed us to extend our SlimBiome(R) brand into new territories (Asia, USA), expand into the sports nutrition channel, and launch a patented gut and digestive health product, WellBiome(R).

Our strategic focus is now turning to the approaching commercialisation of the SweetBiotix(R) and Microbiome modulator family of products which offers shareholders the potential for significant value enhancement. 2023 has seen significant progress by both partners in the commercial scale production of SweetBiotix(R), with final product taste tested and accepted by our US partner. Liquid and freeze-dried products are undergoing independent structural analysis and expert panel taste testing to determine sweetness, off tastes, aftertastes etc when compared to sucrose and other products after which we can start partner application development and launch plans. In the meantime, our partners are undergoing early consumer testing as they prepare for launch.

All these actions increase the scale of the opportunity within OptiBiotix and our ability to deliver sustained growth for shareholders in the years ahead.

Commercial and scientific overview

Since the beginning of the current financial year we have:-

-- Invested significantly in new e-commerce channels, including Amazon in the UK, and Walmart in the USA, as well as Tmall.com in China. This has led to good sales growth which with continued investment we anticipate will continue throughout 2023 and beyond.

-- Shifted our commercial focus to selling SlimBiome(R) Medical sachets in Europe and SlimBiome(R) shots in India and the Gulf states. These are designed to be consumed before meals and help users manage their weight by making consumers feel fuller for longer and reducing cravings for sweet and savoury snacks. This is a highly differentiated product which leverages growing market interest in injectable appetite control drugs like semaglutide. SlimBiome(R) Medical can be used with any weight management plan or calorie restriction plan and complements rather than competes in a crowded marketplace. The product enjoys high margins and became a top-selling line on Amazon UK in 2023 within its market segment.

-- Re-engaged with major partners that underperformed against our sales expectations in 2022, leading to:

-- A significant new investment in marketing by Optipharm in Australia, coupled with the launch online of their Optislim and Optiman ranges containing our OptiBiome (R) prebiotic fibre.

   --    New orders from both The Hut Group and Holland & Barrett in the UK. 

-- A substantial increase in the number of Apollo pharmacies in India and Nahdi pharmacies in Saudi Arabia selling GoFigure(R) products.

-- Successfully launched new products, including our reformulated gut and digestive health WellBiome(R) functional fibre and mineral blend, which has been made available via our own online store and more recently on Amazon UK.

-- Recruited three new partners in Asia who have all placed initial orders for SlimBiome and a major US weight management brand, with which we will be launching during the second half of 2023, initially in Europe and later in the USA.

-- Published the results of a third human study on SlimBiome(R) which demonstrated statistically significant benefits to appetite and hunger regulation, with no safety, compliance or tolerance issues reported by the participating volunteers. This study underlines the effectiveness of a single dose of SlimBiome(R) in delivering hunger-free weight loss by non-invasive means. This study was timely given the growing consumer, media and pharmaceutical company interest in this field following NICE'S approval of the injectable drug semaglutide.

North America Sales and Business Development

We have a strong sales pipeline in North America and the USA made up of small, medium size, and a number of large US corporates (including a GBP9bn Muliti Level Marketing company -MLM) that offer opportunities for sales growth in 2023 and beyond. The Company has received a number of orders from USA and Canadian partners who are owners of leading weight management or sports nutrition brands in the USA. We expect further orders in H2 from our pipeline of interested partners.

We continue to advance projects and expand our pipeline with North American companies with the US business looking to contribute $287k of sales in its first full year of commercial operation. The Company will be exhibiting its SlimBiome(R), LeanBiome(R), and Wellbiome(R) products at Supply Side West, USA, in November 2023 with a view to progressing further opportunities in this market.

Consumer Health and Ecommerce sales

The Consumer Health Division is growing rapidly increasing sales by 65% in Q2 compared to Q1 and in the first 6 months of 2023 has already achieved higher sales than FY 2022. Amazon UK has been instrumental in achieving such success due to the increase in the customer base. The Company has successfully moved to Fulfilment By Amazon model (FBA). This model has allowed customers to receive faster delivery through Prime accounts. Slimbiome (R) is consistently in the top best sellers for anti-appetite-suppressants and achieved the highest sales in online history during Prime month in July 2023.

The key to growth is to expand our reach to customers via various channels globally (Amazon Germany, United Arab Emirates (UAE) and India) and to widen our product portfolio and increase brand awareness.

New customers such as Amazon UAE terms have been agreed and Slimbiome (R) , and Wellbiome (R) , and our gummies are being listed. Amazon Kingdom of Saudia Arabia (KSA) will follow suit as they have observed our strong presence in Nahdi Pharmacies in the territory. Amazon India has been identified as a huge potential and the Amazon account has been created. Next steps include getting the products listed ready for a strong sales push in Q4.

Our China business has seen our highest month of sales on Tmall in August 2023 and we envisage an even higher month in September 2023. This can be attributed to the work done with local KOL influencers in the region and a strategic move to sell more on the TikTok platform. Tmall has a large event in November 2023 which OptiBiotix will be participating in and should encourage further sales.

To widen our product portfolio, in Q4 2023 will bring new products including soups and porridges onto our own platform and subsequently to Amazon. By adding further to the range, this will allow an increase in average order value online and compensate for the peaks and troughs in the weight management cycle.

Competitor analysis of our WellBiome(R) product has indicated the Consumer Health Division needs to increase awareness through social channels and is currently focusing on recruiting influencers. With the increased awareness, our division will have more visits, brand recognition and most importantly sales. Competitors such as Symprove have sales of up to GBP15 million per annum with a heavy reliance on Influencers/social media. Based on our analysis we have competitive advantage on price and product including on pack health claims.

A competitor analysis for Wellbiome (R) has indicated value in a change in positioning from healthy ageing to gut and digestive health which will allow us to attract more customers. We have already begun targeting competitors with keywords/ads and have listed successfully with Amazon UK on FBA. We will follow a similar path with Slimbiome (R) in the months ahead.

The Consumer Health Division has the advantage of receiving online sales income immediately and allows more control of our brand/IP/messaging and less reliance on distributors to grow the brand.

OptiBiotix Health India

OptiBiotix Health India ("OHI") was formed in November 2021 as a mid to long term strategic investment in the world's most populous nation forecast to have the highest population of medium to high level income customers in the world. The formation of OHI has helped OptiBiotix avoid high import taxes and control the purchase and sale of ingredients (SlimBiome(R)) and final product (GoFigure(R)) manufactured and sold in India.

After a slow start following the launch of products with Apollo in September 2022 we are now seeing momentum increase with 529 stores in major cities now selling GoFigure products with the aim of 1000 stores by year end. This has helped sales grow by by 500% in the last 5 months. These increased sales will not be reflected in H1 but will impact on restocking requirements in H2 when Apollo have agreed to extend the product range. Apollo carried out a consumer survey which showed:-

   --    There was a 87% customer return rate of customers buying GoFigure(R) products 
   --    There were 23% new customers to Apollo pharmacies who just bought GoFigure(R) products 

This customer feedback is consistent with feedback from THG who gained 40% new customers with the introduction of LeanBiome (R) to their Myprotein (R) product range. These launch experiences transform the proposition in commercial discussions with new partners as it demonstrates our products customer appeal and its ability to attract new and returning customers.

The business in India has a strong pipeline with emerging and leading players in weight management and sports nutrition and if launches go to plan, we would anticipate sales in the region of GBP130k this financial year.


OptiBiotix results for the six months ended June 30 2023 are set out below. These results are for the Group's new structure following the listing of ProBiotix Health (PBX) plc on the AQSE Growth Market on 31 March 2022 with PBX costs and revenues no longer included from that date. When making comparisons with 2022, it should be noted that H1 2022 accounts included costs and revenues for the combined group (ProBiotix and OptiBiotix) up to the end of March 2022.

The results show revenue from continuing operations for the six months of GBP351k (H1 2022: GBP119k), a 195% increase in sales. 85% of this income was received in the second quarter (April to June 2023) following changes to the leadership team. Administration expenses are down 17% (H1 2023: GBP918k, H1 2022: GBP1,108k) reflecting cost saving measures and recovery of some of the debt provision reported in 2022 accounts. This includes a proportional settlement payment to the departing CEO, Rene Kamminga. There is a GBP286k (28%) reduction in operating loss, from GBP1,046k in 2022 to GBP760k in 2023 which will reduce further with the full year effect of cost improvement measures including removing Cenkos as joint broker, the departure of Rene Kamminga in March 2023, and the reduction of the board from four to two non-executives in July 2023. As in previous years, there was no contribution in this period from licence or royalty payments which tend to be received in the second half of the year.

The Company has a healthy balance sheet with gross assets of GBP9.9m (31 December 2022: GBP11.5m) with circa GBP893k cash (31 December 2022: GBP1.1m) at the end of June 2023. Once R&D tax credits are claimed and recoverable VAT repayments are added, the balance would be GBP1.02m (31 December 2022: GBP1.24m).

Post period end, the Group generated gross proceeds of GBP399k from the sales of SBTX shares.

The Board senior management and advisers

The Board took decisive action in December 2022 and in H1 2023 to reduce Board, management and advisory costs in order to ensure each part of the business and subsequently the Group achieve operational profitability as soon as possible. These actions included the termination of joint brokerage with Cenkos Securities plc at the end of March 2023, the stepping down of Rene Kamminga, CEO of OptiBiotix Ltd, who left the business on 28 February 2023, and a voluntary 20% reduction in all directors' salaries from 1 January 2023. With twice as many non-executive directors as executive directors Stephen Hammond and Chris Brinsmead agreed to step down as Non-executive directors at the Company's Annual General Meeting in July 2023. The overall aim of the measures was to reduce cost throughout 2023 and beyond.

We anticipate further restructuring of the board and management team of OptiBiotix as ProBiotix Health plc develops its independence and we reduce the number of senior employees currently shared with ProBiotix Health plc under shared service agreements.

Looking ahead, the focus of the Company will be on investing in areas that offer the highest return. To support that process and ensure a focus on profitability the Company is developing profit and loss metrics for each part of the business with the aim of each area (USA, India, Ecommerce, B2B) reaching profitability, at least on a monthly basis by the end of the calendar year.


After a challenging 2022 the Company took decisive action to reduce costs and focus on sales and bringing in new customers, particularly in the USA and Asian markets. There has been progress in each of these areas which has been reflected in much improved results. These changes, further sales growth, full year cost reductions, and income from licence or royalty payments which tend to be received in the second half of the year should help the Company on its path to return to the levels of growth and EBITDA profitability achieved in 2020 and 2021. However, this is only the start and the Company must continue to bring in new partners, build on line sales in more territories, and launch its second generation products if it is to continue this upward trajectory.

The Board recognises that whilst sales in H1 were strong it is working in a very volatile external environment and until it increases its number of partners it is very reliant on sales performance of a limited number of large partners where timing differences in restocking large orders can have a material impact on reporting revenues in that accounting period. To mitigate this risk the Company has sought to increase the number of partners buying its products, of which Boots and Costco are good examples, and build its e-commerce presence in multiple territories to create a more robust business for the future.

OptiBiotix is operating in an exciting and evolving market place with gut health and modulation of the human microbiome attracting ever-increasing interest as the potential solution to a wide and growing range of life-style related health challenges. Unique, innovative products take time to gain market acceptance and our products are no exception. We believe their strong science, clinical studies, and broad IP portfolio together with the industry awards and great customer reviews are starting to attract growing international recognition and with this more sales opportunities. Successful launches with established national and international retailers such as Holland and Barett, Europe's largest health and wellness retailer with over 1,600 stores in 18 countries across the world, gives our product credibility furthering sales opportunities in other territories. This has changed discussions from the science to commercial discussions on which products to launch and timings of launch. The agreements with Boots, Costco, and a large USA sports nutrition brand in the last few months are good examples of this and if successful have the potential to contribute significantly to revenues in 2024 and beyond.

Our early success in the USA and Asian markets with new customers support this proposition with initial sales suggesting high growth potential in these markets. This is supported by the credibility of our science and success stories with partners like THG and Apollo which demonstrates our products customer appeal and its ability to attract new and returning customers.

We are confident that our strategy will continue to deliver sales growth in 2023 whilst the approaching commercialisation of our second-generation SweetBiotix (R) family of products and microbiome modulators offer exciting potential for future growth. We believe the launch of either of these products will be transformational for the Company and offer shareholders the potential for a significant enhancement in the value of the Company.

This is in addition to the Company having a continued exposure to the considerable growth potential in probiotics and skincare through the Group's shareholdings in ProBiotix Health plc and SkinBioTherapeutics plc.

N Davidson and S O'Hara

27 September 2023

Consolidated Statement of Comprehensive Income

For the six months to 30 June 2023

                                                6 months to       6 months to           Year to 
                                                    30 June           30 June       31 December 
                                                       2023              2022              2022 
                                                  Unaudited         Unaudited           Audited 
  Continuing operations                             GBP'000           GBP'000           GBP'000 
  Revenue                                               351               119               457 
  Cost of sales                                       (193)              (57)             (213) 
                                             --------------    --------------    -------------- 
  Gross Profit                                          158                62               244 
  Share based payments                                    -               (6)              (11) 
  Depreciation and amortisation                        (93)             (117)             (224) 
  Other administrative costs                     (825)                  (985)           (2,498) 
                                             --------------    --------------    -------------- 
  Total administrative expenses                       (918)           (1,108)           (2,733) 
                                             --------------    --------------    -------------- 
  Operating loss                                      (760)           (1,046)           (2,489) 
  Finance income / (costs)                                -                 -                 - 
  Share of (loss)/profit 
   from associate                                     (226)                91              (83) 
  Loss on fair value of investments                 (1,066)           (6,788)           (8,620) 
  Profit on disposal of investments                     198                 -                16 
  Profit on disposal of subsidiary                        -            21,647            21,647 
  Provision against associate 
   valuation                                              -                 -           (8,030) 
                                             --------------    --------------    -------------- 
  Profit/(Loss) before Income 
   tax                                              (1,854)            13,904             2,441 
  Income tax                                              8                12               146 
                                             --------------    --------------    -------------- 
  (Loss)/Profit for the 
   period                                           (1,846)            13,916             2,587 
  Other Comprehensive Income                              -                 -                 - 
                                             --------------    --------------    -------------- 
  Total comprehensive income 
   for the period                                   (1,846)            13,916             2,587 
  Total comprehensive income 
   attributable to the owners 
   of the group                                     (1,846)            13,916             2,587 
  Dividends                                               -          (10,258)                 - 
                                                    (1,846)             3,658             2,587 
  Earnings/(loss) per share 
  Basic & Diluted - pence               4           (2.09)p             4.15p             2.93p 

Consolidated Statement of Financial Position

As at 30 June 2023

                                   Notes             As at             As at             As at 
                                              30 June 2023      30 June 2022       31 December 
                                                 Unaudited         Unaudited              2022 
  ASSETS                                           GBP'000           GBP'000           GBP'000 
  Non-current assets 
  Intangibles                                        1,463             2,233             1,540 
  Property, plant & equipment                            -                 2                 - 
  Investments                        5               3,711             6,761             5,022 
  Investment is associate            5               2,903            11,333             3,129 
                                            --------------    --------------    -------------- 
                                                     8,077            20,329             9,691 
                                            --------------    --------------    -------------- 
  Inventories                                          179               128               178 
  Trade and other receivables                          666               434               521 
  Current tax asset                                    106                68               106 
  Cash and cash equivalents                            893             1,509             1,052 
                                            --------------    --------------    -------------- 
                                                     1,844             2,139             1,857 
                                            --------------    --------------    -------------- 
  TOTAL ASSETS                                       9,921            22,468            11,548 
  Shareholders' Equity 
  Called up share capital            6               1,824             1,760             1,824 
  Share premium                                      2,958             2,545             2,958 
  Share based payment reserve                          939               933               939 
  Merger relief reserve                              1,500             1,500             1,500 
  Retained Earnings                                  1,838            15,014             3,684 
                                            --------------    --------------    -------------- 
  Total Equity                                       9,059            21,752            10,905 
                                            --------------    --------------    -------------- 
  Current liabilities 
  Trade and other payables                             514               255               278 
                                            --------------    --------------    -------------- 
                                                       514               255               278 
                                            --------------    --------------    -------------- 
  Non - current liabilities 
  Deferred tax liability                               348               461               365 
                                            --------------    --------------    -------------- 
                                                       348               461               365 
                                            --------------    --------------    -------------- 
  TOTAL LIABILITIES                                    862               716               643 
                                            --------------    --------------    -------------- 
  TOTAL EQUITY AND LIABILITIES                       9,921            22,468            11,548 

Consolidated Statement of Changes in Equity

For six months to 30 June 2023

                        Called             Share       Share-based             Non          Merger        Retained     Convertible             Total 
                            up           premium           Payment     controlling          Relief        Earnings       Loan note            Equity 
                         Share                             reserve        Interest         Reserve 
                       GBP'000           GBP'000           GBP'000         GBP'000         GBP'000         GBP'000         GBP'000           GBP'000 
                  ------------    --------------    --------------    ------------    ------------    ------------        --------    -------------- 
  Balance at 
   31 December 
   2021                  1,759             2,537               927              35           1,500          11,320              93            18,172 
  Profit for 
   the period                -                 -                 -               -               -          13,916               -            13,916 
  Dividends                  -                 -                 -               -               -        (10,258)               -          (10,258) 
  Transfer on 
   loss of 
   control                   -                 -                 -               -               -               -            (93)              (93) 
  Share issues               1                 8                 -               -               -               -               -                 9 
   reserves                  -                 -                 -            (35)               -              35               -                 - 
  Share based 
   payment                   -                 -                 6               -               -               -               -                 6 
                  ------------    --------------    --------------    ------------    ------------    ------------    ------------    -------------- 
  Balance at 
   30 June 
   2022                  1,760             2,545               933               -           1,500          15,014               -            21,752 
                  ------------    --------------    --------------    ------------    ------------    ------------    ------------    -------------- 
  Loss for the 
   period                    -                 -                 -               -               -        (11,330)               -          (11,330) 
   commission                -              (24)                 -               -               -               -               -              (24) 
  Share issues              64               437                 -               -               -               -               -               501 
  share based 
   payment                   -                 -                 6               -               -               -               -                 6 
                  ------------      ------------      ------------    ------------    ------------    ------------    ------------      ------------ 
  Balance at 
   31 December 
   2022                  1,824             2,958               939               -           1,500           3,684               -            10,905 
                  ------------      ------------      ------------    ------------    ------------    ------------    ------------      ------------ 
  Loss for the 
   period                    -                 -                 -               -               -         (1,846)               -           (1,846) 
                  ------------      ------------      ------------    ------------    ------------    ------------    ------------      ------------ 
  Balance at 
   30 June 
   2023                  1,824             2,958               939               -           1,500           1,838               -             9,059 
                  ------------      ------------      ------------    ------------    ------------    ------------    ------------      ------------ 

Consolidated Statement of Cash Flows

For the six months to 30 June 2023

                                       Notes         6 months        6 months            Year 
                                                           to              to              to 
                                                      30 June         30 June     31 December 
                                                         2023            2022            2022 
                                                    Unaudited       Unaudited         Audited 
                                                      GBP'000         GBP'000         GBP'000 
  Reconciliation of loss 
   before income tax to cash 
   outflow from operations 
  Operating loss                                        (760)         (1,046)         (2,489) 
  Decrease/ (Increase) in 
   inventories                                            (1)            (36)            (76) 
  (Increase)/decrease in trade 
   and other 
   receivables                                          (144)             658           1,116 
  (Decrease)/increase in trade 
   and other 
   payables                                               236           (211)            (19) 
  Share Option expense                                      -               6              11 
  Amortisation of patents                                  92             118             224 
                                                 ------------    ------------    ------------ 
  Net cash outflow from operations                      (577)           (512)         (1,233) 
  Tax paid                                                (9)              98             124 
                                                 ------------    ------------    ------------ 
  Net cash outflow from operating 
   activities                                           (586)           (414)         (1,109) 
  Cash flows from investing 
  Purchase of intangible assets                          (15)            (58)           (168) 
  Net cashflow re disposal 
   of subsidiary                                            -            (35)           (188) 
  Proceeds on disposal of 
   investments                                            442               -              25 
                                                 ------------    ------------    ------------ 
  Net cash (outflow)/inflow 
   from investing activities                              427           (507)           (331) 
                                                 ------------    ------------    ------------ 
  Cash flows from financing 
  Share issues                                              -               9             485 
                                                 ------------    ------------    ------------ 
  Net cash inflow from financing 
   activities                                         -                     9             485 
                                                 ------------    ------------    ------------ 
  Increase/(decrease) in 
   cash and equivalents                                 (159)           (498)           (955) 
  Cash and cash equivalents 
   at beginning of year                                 1,052           2,007           2,007 
                                                 ------------    ------------    ------------ 
  Cash and cash equivalents 
   at end of year                                         893           1,509           1,052 

Notes to the Half Yearly Report

For the six months to 30 June 2023

   1.   General Information 

Optibiotix Health Plc is a com pany incorp orated and d omiciled in England and Wales. The com pan y 's registered office is in York. The com pany is listed on the AIM market of the Lo nd on Stock Exchange (ticker: OPTI).

The financial information set out in this Half Yearly report does not constitute statutory accounts as defined in Section 434 of the Companies Act 2006. The group's statutory financial statements for the period ended 31 December 2022, prepared under UK - adopted International Financial Reporting Standards ("IFRS"), have been filed with the Registrar of Companies. The auditor's report on those financial statements was unqualified and did not contain statements under Sections 498(2) and 498 (3) of the Companies Act 2006.

Copies of the annual statutory accounts and the Half Yearly report can be found on the Company's website at http://www.optibiotix.com/ .

   2.   Basis of preparation and significant accounting policies 

This Half Yearly report has been prepared using the historical cost convention, on a going concern basis and in accordance with UK - adopted International Financial Reporting Standards ("IFRS") as adopted by the United Kingdom.

The interim financial statements have been prepared in accordance with the accounting policies set out in the Annual Report and Accounts for the year ended 31 December 2022.

   3.   Segmental Reporting 

In the opinion of the directors, the Group has one class of business, in three geographical areas being that of identifying and developing microbial strains, compounds and formulations for use in the nutraceutical industry. The Group sells into four highly interconnected markets, all costs assets and liabilities are derived from the UK location.

Revenue analysed by market

                          6 months to        6 months       Year ended 
                              30 June              to      31 December 
                                 2023         30 June             2022 
                              GBP'000         GBP'000          GBP'000 
  Probiotics                        -              24               24 
  Functional Fibres               351              95              433 
                         ------------    ------------     ------------ 
                                  351             119              457 

Following the loss of control of Probiotix Health plc on 31 March 2022, all group revenues since then have been derived from functional fibres.

Revenue analysed by geographical market

                      Period ended        6 months       Year ended 
                           30 June              to      31 December 
                              2022         30 June             2022 
                           GBP'000         GBP'000          GBP'000 
  UK                           142              48              136 
  US                             -              15              100 
  India                          -               -               61 
  Rest of world                209              56              160 
                      ------------    ------------     ------------ 
                               351             119              457 

During the reporting period one customer represented GBP116,256 (33.1%) of Group revenues. (June 2022: one customer generated GBP49,668 representing 41.8% of Group revenues)

   4.    Earnings per Share 

Basic earnings per share is calculated by dividing the earnings attributable shareholders by the weighted average number of ordinary shares outstanding during the period.

Reconciliations are set out below:

                                                  6 months to 
                                                 30 June 2023 
    Basic and diluted EPS       Earnings     Weighted average      Profit per-share 
                                             Number of shares 
                                 GBP'000                  No.                 Pence 
  Basic and diluted EPS          (1,846)           88,279,952                  2.09 
                                                6 months to 
                                               30 June 2022 
                              Earnings     Weighted average      Profit per-share 
                                           Number of shares 
                               GBP'000                  No.                 Pence 
  Basic and diluted EPS         3,658            88,047,596                  4.15 
                                                 Year to 31 
                                              December 2022 
                              Earnings     Weighted average      Profit per-share 
                                           Number of shares 
                               GBP'000                  No.                 Pence 
  Basic and diluted EPS          2,587           88,279,952                  2.93 

As at 30 June 2023 there were 7,182,907 outstanding share options.

   5.   Investments 
  Available for sale investments 
  Carrying value                           GBP'000 
  At 31 December 2021                       13,651 
  Revaluations                             (6,890) 
  Carrying amount 
  At 30 June 2022                            6,761 
  Revaluations                             (1,730) 
  Disposal of shares                           (9) 
  Carrying amount 
  At 31 December 2022                        5,022 
  Disposal of shares                         (244) 
  Revaluations                             (1,067) 
  Investment in associates 
  Carrying value                             GBP'000 
  At 31 December 2021                              - 
  Additions                                   11,242 
  Share of profit                                 91 
  Carrying amount 
  At 30 June 2022                             11,333 
  Share of loss                                (174) 
  Impairment in the period                   (8,030) 
  Carrying amount                              3,129 
  At 31 December 2022 
  Share of loss                                (226) 
  Carrying amount                              2,903 
  At 30 June 2023 
  Total value of investments at 30 
   June 2023                                   6,614 
   6.   Share Capital 

Issued share capital comprises:

                                   6 months          6 months           Year to 
                                 to 30 June        to 30 June                31 
                                       2023              2022          December 
                                  Unaudited         Unaudited              2022 
                                    GBP'000           GBP'000           GBP'000 
  Ordinary shares of 2p 
   87,940,601                         1,824                 -             1,824 
  Ordinary shares of 2p                   -             1,760                 - 
                             --------------    --------------    -------------- 
                                      1,824             1,760             1,824 
   7.   Post balance sheet events 

On 26 July 2023 Stephen Hammond and Chris Brinsmead stepped down from the Board.

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our Privacy Policy.



(END) Dow Jones Newswires

September 27, 2023 02:00 ET (06:00 GMT)

Grafico Azioni Optibiotix Health (LSE:OPTI)
Da Nov 2023 a Dic 2023 Clicca qui per i Grafici di Optibiotix Health
Grafico Azioni Optibiotix Health (LSE:OPTI)
Da Dic 2022 a Dic 2023 Clicca qui per i Grafici di Optibiotix Health