SkinBioTherapeutics plc

("SkinBioTherapeutics" or "the Company")

Full year results

 

30 November 2023 - SkinBioTherapeutics plc (AIM: SBTX, or the "Company"), the life science business focused on skin health, announces the fully consolidated audited results for the 12 months to 30 June 2023.

 

Operational highlights

·      The Skinbiotix? partnership with Croda plc product development phase continues well:

o  Successful scale-up of manufacturing

o  Post financial year end, contract to extend for a further 12 months to enable exploration of potential additional claims

·      AxisBiotix-Ps?

o  Solid sales growth in the UK; expansion of sales distribution into Europe during the year in Spain and post period end in Italy and France

o  Monthly retention rates of subscribers remain at 80%+

o  Post year end

§ Start of recruitment of participants for the consumer study with acne food supplement; results expected in Q1 2024

§ Launch on Amazon UK

·      Oral research and inflammation programmes continue at the University of Manchester

·      Management continuing to investigate potential accretive inorganic opportunities that provide synergies and accelerated routes to market; update on progress expected in the near term

 

Financial highlights

·      Revenues up to £132k (2022: £75k) boosted by solid increase in UK revenues.

·      Operating at loss £2,999k (2022: loss £2,982k) with increase in sales balancing the increase in headcount costs

·      Cash and cash equivalents as at 30 June was £1.3m (2022: £1.8m), following successful Placing and Open Offer in January 2023

o  Post year end, the Company raised an additional £3.3m (gross) in a Placing and Retail Offer in November 2023

·      Change to Company's auditors due to auditors' corporate reorganisation

 

 

Stuart Ashman, CEO of SkinBioTherapeutics said:

"In 2023, we introduced AxisBiotix-PS? into new European territories, beginning with Spain then moving onto France and Italy. Launching a disruptive product into any market always takes time to establish, and given our limited resources, we are pleased with the loyalty and the very positive testimonials we are receiving. 

 

"We continue to enjoy a positive relationship with the Croda/Sederma teams and they have provided very supportive commentary on their views of the SkinBiotix? technology. We see their wish to extend the collaboration for a further 12 months as very positive; it may slightly delay near-term revenue generation, but the potential enhanced commercial opportunities could be quite considerable. All costs for the extension and the resulting clinical grade study are met directly by Croda."

 

"Next year should also see the early results from other studies, including the consumer study around an acne product, as well as results from our oral and inflammation programmes with Manchester University. The acne programme is especially exciting. We saw initial positive responses to AxisBiotix-Ps in participants of the psoriasis study who had other skin conditions, and this has resulted in this new development programme which could have a significant impact on a much wider population.

 

"Talks with potential strategic partners continue around our other pillars. We are also pushing ahead with our inorganic acquisition programme, looking for opportunities that are synergistic and complement our current programmes. We have strict criteria for these opportunities; we will not overpay and they must be accretive from day one."

-Ends-

The information communicated in this announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) No. 596/2014.

 

For more information please contact:

SkinBioTherapeutics plc Stuart J. Ashman, CEO Manprit Randhawa, CFO	Tel: +44 (0) 191 495 7325
Cavendish Capital Markets Limited (Nominated Adviser & Broker) Giles Balleny, Dan Hodkinson (Corporate Finance) Charlie Combe (Broking) Dale Bellis, Tamar Cranford-Smith (Sales)	Tel: +44 (0) 20 7397 8900
Instinctif Partners (financial press) Melanie Toyne-Sewell / Jack Kincade	Tel: +44 (0) 20 7457 2020 SkinBioTherapeutics@instinctif.com

 

Notes to Editors

About SkinBioTherapeutics plc

SkinBioTherapeutics is a life science company focused on skin health. The Company's proprietary platform technology, SkinBiotix®, is based upon discoveries made by Professor Catherine O'Neill and Professor Andrew McBain.

The Company is targeting a number of skin healthcare sectors, the most advanced of which are cosmetic skincare and food supplements to modulate the immune system by harnessing the gut-skin axis. In each area SkinBioTherapeutics plans to exemplify its technology through human studies. The Company's first product, AxisBiotix-Ps?, a food supplement to address the symptoms of mild to moderate psoriasis.

The Company listed on AIM in April 2017 and is based in Newcastle, UK. For more information, visit: www.skinbiotherapeutics.com and www.axisbiotix.com.

 

Caution regarding forward looking statements

Certain statements in this announcement, are, or may be deemed to be, forward looking statements. Forward looking statements are identi?ed by their use of terms and phrases such as ''believe'', ''could'', "should" ''envisage'', ''estimate'', ''intend'', ''may'', ''plan'', ''potentially'', "expect", ''will'' or the negative of those, variations or comparable expressions, including references to assumptions. These forward-looking statements are not based on historical facts but rather on the Directors' current expectations and assumptions regarding the Group's future growth, results of operations, performance, future capital and other expenditures (including the amount, nature and sources of funding thereof), competitive advantages, business prospects and opportunities. Such forward looking statements re?ect the Directors' current beliefs and assumptions and are based on information currently available to the Directors.

 

 

Chairman and Chief Executive's Statement

Overview

The year for SkinBioTherapeutics has been dominated by growing the sales of AxisBiotix-Ps? in the UK and expanding sales and distribution channels into Europe, starting with Spain. Beyond the commercial operations, the Company has continued its research programmes alongside the University of Manchester, and engaging with partners and potential strategic partners across the other business pillars, including SkinBiotix, and MediBiotix. Management is also pushing its inorganic acquisition strategy forward with the aim to generate further shareholder value in the near to medium term.

 

Financial review

Reported sales for the full year were £132k (2022: £75k), in line with management expectations, as UK sales continued to increase slowly but steadily, and the introduction of new European regions.

Cost of sales were £46k (2022: £29k) and gross profits were £85k (2022: £45k). As shipping volumes have increased, the Company is seeing a gradual improvement in the operating margin.

Total administrative expenses were £3,085k (2022: £3,027k), comprising research and development expenditure of £931k (2022: £861k), which includes the ongoing cost of the inflammation programme, and in oral health and wellbeing research programme. Selling and distribution costs were £81k (FY22 £44k) due to an increase in volumes of product being sold. Ongoing operating expenses were £2,073k (2022: £2,122k).

The operating loss was £2,999k (2022: £2,982k).

The cash and cash equivalents balance as at 30 June 2023 was £1.3m (2022: £1.8m) reflecting tight control on costs and was boosted by the Placing and Open Offer which raised 2.6m of gross proceeds to fund future operations. Post year end, the Company raised an additional £3.3m (gross) in a Placing and Retail Offer in November 2023.

 

Update on the Company's auditors

Jeffreys Henry LLP has indicated that it will resign as the Company's Auditor as the firm will provide audit services to clients from another company in the group, Gravita Audit Limited. This is following a business reorganisation at the auditors. As announced in the FY22 Annual Report, Gravita Audit Limited has been appointed as the Company's auditor for the financial year ending 30 June 2023.

Jeffreys Henry LLP has confirmed to the Company that, in accordance with Section 519 of the Companies Act 2006, there are no circumstances in connection with its resignation which it considers need to be brought to the attention of the Company's members or creditors.

 

Current trading and outlook

Revenues of AxisBiotix-Ps? have continued to increase following the year end, with an increase in the monthly run rate hitting £20k+, with revenues on course to double to c£250k for the year ending 30 June 2024.

Retention rates for subscribers continue to be at least 80% with retention rates being measured as the number of subscribers who are remaining as a subscriber at the end of each month, compared to the same cohort that were in existence at the start of the previous month.

 

The Group also successfully completed a fundraise in November 2023, raising gross proceeds of £3.3m which will allow it to continue its R&D programmes, continue marketing of AxisBiotix-PS in the UK and Europe, and fund operating expenditure.

 

Acquisition strategy

The Group is in advanced discussions to acquire two private companies that either manufacture or sell a variety of branded topical products for common dermatological conditions to NHS hospitals, dispensing practices and national pharmacy chains.  The proposed targets are profitable and the Group sees a number of synergies to improve this.  However, there is no certainty of timing or execution as the Company would need to agree additional funding using debt and/or equity and any acquisition would be conditional on satisfactory diligence.

In addition, the Group has a pipeline of further acquisitions where active discussions are taking place. Any targets which the Group is interested in purchasing will be accretive from a revenue and earnings perspective, and thus reduce the operating cash burn, with the goal of the Group in the next 12-18 months to becoming a cash generating entity.

 

Operational review

SkinBiotix^? Pillar (skincare/cosmetics)

In November 2019, SkinBioTherapeutics signed a commercial and manufacturing agreement with Croda's Consumer Care division, Sederma, which is a specialist in bioactive ingredients for the cosmetic industry. Croda has a global portfolio of personal care customers which comprise many of the major international cosmetics and FMCG brands.

During this financial year, Sederma has been focused on developing quality formulations with their customers, which has seen scaling-up manufacture of SkinBiotix? from 600 litres to 2,000 litres which is expected to ultimately lead to the 20,000 litres vessel required  to service the global market. 4 pilot batches have been manufactured which identified significant, unexpected technical benefits which Sederma believes may lead to a justifiable increase in price based on clinical evidence. To this end, the company extended its development agreement with Croda plc to allow a clinical trial to be carried out to evidence the additional activity. This study is fully funded by Sederma /Croda and is expected to be completed early 2024.

Post year end, in November, Sederma extended its contract with SkinBioTherapeutics for a further 12 months to conduct these studies which are due to run from late 2023 into early 2024.

 

AxisBiotix? Pillar (gut/skin axis)

The AxisBiotix pillar has challenged management time in the year, as efforts to grow the UK market and expanding sales and distribution channels into Europe, as well as driving the Acne programme forward.

 

-     AxisBiotix? (Psoriasis)

Management has continued to grow the sales of the AxisBiotix-Ps? food supplement designed to alleviate the symptoms associated with irritable skin conditions like psoriasis in the UK and Europe.

The primary focus has been growing the UK market, whilst keeping a strong control on costs, which has led to a reduction in marketing expenditure with the completion of the influencer programme. The response from customers continues to be extremely positive with the retention rates of AxisBioTix-Ps? in the UK staying at 80% or above, which is encouraging. The retention rate is measured as the number of subscribers who remain a subscriber at the end of each monthly period, compared to the same cohort that were in existence at the start of a month period. This is an important statistic for the product, along with the increasing number of positive testimonials from customers describing the impact that this product has had on their lives.

This year was marked by the expansion into Europe, initially in Spain in February 2023. Spain was management's first country target since the market for psoriasis is similar to the UK  with incidence rates of psoriasis of between 1%-3% of the population. Post period end, the Company opened new markets in Italy and France. The Company also announced today that AxisBiotix-Ps? will be sold on Amazon's UK platform; the aim will be to expand this into other countries, starting with European countries where the product already has regulatory approval - Spain, Italy and France.

Work continues with Winclove, our formulation partner, to investigate other delivery vehicles for SkinBiotix, for example capsules, tablets etc which we hope to announce in 2024. These will bring with them economic benefits to the Group.

Discussions with potential multinational partners are on-going and are supported by our current activities. Partnering discussions can take time and difficult to predict. Management will provide further information as and when they are able to.

 

-     AxisBiotix for Acne

The original consumer study with AxisBiotix-Ps? involved participants who had a mix of symptoms from psoriasis, rosacea, and acne. The theory behind the use of a probiotic supplement was to calm and therefore reduce the inflammatory pathways associated with irritable skin conditions. The data showed that as well as alleviating symptoms of psoriasis, the product had an impact on other skin conditions; customer testimonials made reference to its positive effect on eczema, dandruff and acne. As a result of this, management has chosen acne as the next market to address with an adapted form of AxisBiotix?. 

During the year, the team has been working on a stabilised bacterial blend from which to choose final formulations for a consumer study in acne. The benefit of undertaking another consumer study is the relatively short time and cost compared to a clinical study and the classification as a food supplement rather than a heavily regulated medical device.

Post year end, in October 2023, SkinBioTherapeutics announced that two separate blends, formulated by Winclove Probiotics BV, had been finalised to be studied side-by-side. A consumer volunteer study is commencing to determine which has better efficacy. The aim is to supply participants with the blends in powder form, just like AxisBiotix-PS?.

The study involves 300 UK-based participants with acne-prone skin, 150 randomly selected participants will receive product 1, the other half of the group will receive product 2. Online recruitment of participants will start via a pre-qualification questionnaire form.

The products will be mailed to participants who are expected to record their experience of using the product in a weekly questionnaire over eight weeks, over which they are expected to take the product daily. A follow-up questionnaire will be provided one month after the participants stop taking their allocated product. The study is expected to be completed and results reported by the end of Q1 2024.

 

MediBiotix? Pillar (MedTech applications e.g. woundcare)

Management is looking at using Skinbiotix? technology in medical device applications, such as woundcare since early data showed that it encourages wound healing. In a similar way to the AxisBiotix-Ps? supplement, management is exploring how SkinBiotix could be developed to alleviate the symptoms of eczema via the gut-skin axis.

The advanced woundcare sector is significant but extremely complex and heavily regulated, therefore, management believes the optimal strategy is to seek a partner with an extensive product portfolio and significant experience in the space to develop this pillar further. Management continues to have advanced conversations with global players in this sector.

 

CleanBiotix? Pillar (anti-infection)

In early studies of SkinBiotix?, data also suggested that the lysate prevented the most common skin pathogen, Staphylococcus aureus, from sticking to and growing on skin surfaces. Increased use of antibiotics has led to resistance to this infection (MRSA) and incidences are growing more common in hospital settings. Development of SkinBiotix as an anti-infection agent is an exciting opportunity, but, again, management believes it would require taking forward only as part of a wider outlicensed programme with a bigger organisation.

 

Other Research Programmes

The Group has continued with its two research programmes with the University of Manchester; an oral programme and an inflammation study.

In August 2022, the first phase of the oral programme was completed and results strongly supported the use of probiotic strains or lysates in the prevention of gum (periodontal) disease. By mixing bacteria and lysates together with oral cells, data suggested that the cells were protected from the pathogens connected with gum disease and reduced inflammation. By changing the type and mix of bacteria to lysate created different levels and elements of protection, therefore, further study is required to optimise the mix. The research and development programme with the University of Manchester continues to uncover novel mechanism by which bacterially derived actives are protective in oral care applications.

Three different actives, and a number of components have been investigated with differentiated activities that offer a route to oral care products with different protective actions on the hard and soft tissues of the oral cavity. This current phase of the programme ends in January 2024 and the company will work with the University to publish relevant findings in H1 2024, and the remainder of the details of the next phase programme through to commercialisation. This lysate is different to that of SkinBiotix.

The inflammation study is still underway. It is looking at how the microbiome can influence and balance the body's response to inflammation specifically related to harmful UVR (sunlight) light. Several first-in-class findings have been made on the effects of bacterially derived components and their ability to regulate the cytokine mediated inflammatory response associated with exposure to UVR.  These results strongly support the use of bacterial actives in protecting the skin from sun exposure and a breakout patent filing has been made by the company on a lead active. 

The company continues to work with the University of Manchester in further validating these and other findings and in advancing the technology toward human trials. The programme has delivered very encouraging results and has been expanded and extended to allow for the actives identified to be validated in propriety human skin models. The programme will run until June 2025. 

 

Conclusion

In 2023, the majority of the Company's focus has been on growing sales of AxisBiotix-PS? in the UK and starting to push into new European territories, beginning with Spain. Launching a disruptive product into any market always takes time to establish, and given our limited resources, we are pleased with the loyalty and the very positive testimonials we are receiving. The launch into new European markets is very exciting and marks a new chapter.

We continue to enjoy a positive relationship with the Croda/Sederma teams and they have provided very supportive commentary on their views of the SkinBiotix? technology. We see their wish to extend the collaboration for a further 12 months as positive overall; it may delay near-term revenue generation, but the potential enhanced commercial opportunities could be considerable.

Next year should also see the early results from other studies, including the consumer study around an acne product, as well as results from our oral and inflammation programmes with Manchester University. The acne programme is especially exciting. We saw initial positive responses to AxisBiotix-Ps in participants of the psoriasis study who had other skin conditions, and this has resulted in this new development programme which could have a significant impact on a much wider population.

We were very pleased to complete and announce our recent fundraise of £3.3m of gross proceeds in November 2023, which allow the Group to continue to progress its R&D programmes, namely the oral and inflammation programmes.

Talks with potential strategic partners continue around our other pillars. We are also pushing ahead with our inorganic acquisition programme, looking for opportunities that are synergistic and complement our current programmes. We have strict criteria for these opportunities; we will not overpay and they must be accretive from day one.

 

Martin Hunt (Non-executive Chairman)

Stuart J. Ashman (Chief Executive Officer)

30 November 2023

 

 

Consolidated Statement of Comprehensive Income

For the Year Ended 30 June 2023

 

 

	Notes	2023	2022
Continuing Operations		£	£
Revenue	3	132,057	74,761
Cost of Sales		(46,867)	(29,424)
Gross Profit		85,190	45,337
Selling and distribution costs		(81,294)	(43,804)
Research and development		(930,636)	(861,383)
Operating expenses		(2,072,612)	(2,122,238)
Total administrative expenses		(3,084,542)	(3,027,425)
Loss from operations	4	(2,999,352)	(2,982,088)
Finance costs	5	(8,886)	(10,135)
Loss before taxation		(3,008,238)	(2,992,223)
Taxation		173,089	199,622
Loss for the year	7	(2,835,149)	(2,792,601)
Other comprehensive income		-	-
Total comprehensive loss for the year		(2,835,149)	(2,792,601)
Basis and diluted loss per share (pence)	8	(1.72)	(1.78)

 

 

Consolidated Statement of Financial Position

As at 30 June 2023

 

	Notes	2023	2022
Assets		£	£
Non-current assets
Property, plant and equipment	10	78,658	-
Right-of-use assets	11	94,502	126,903
Intangible assets	12	700,331	625,504
Total non-current assets		873,491	752,407
Current assets
Inventories	14	33,497	122,571
Trade and other receivables	15	192,885	138,150
Corporation tax receivable	15	182,545	266,916
Cash and cash equivalents		1,311,834	1,804,923
Total current assets		1,720,761	2,332,560
Total assets		2,594,252	3,084,967
Equity and liabilities
Equity
Capital and reserves
Called up share capital	19	1,731,390	1,567,802
Share premium	19	10,947,874	8,758,037
Other reserves		438,589	437,316
Accumulated deficit		(11,122,943)	(8,287,794)
Total equity		1,994,910	2,475,361
Liabilities
Non-current liabilities
Lease liabilities	17	69,601	100,647
Total non-current liabilities		69,601	100,647
Current liabilities
Trade and other payables	16	498,696	481,742
Lease liabilities	17	31,045	27,217
Total current liabilities		529,741	508,959
Total liabilities		599,342	609,606
Total equity and liabilities		2,594,252	3,084,967

 

Consolidated Statement of Cash Flows

For the Year Ended 30 June 2023

	2023	2022
	£	£
Cash flows from operating activities
Loss before tax for the period	(3,008,238)	(2,992,223)
Depreciation of property, plant and equipment	11,136	-
Right-of-use assets depreciation and interest	41,287	39,557
Amortisation of IP	656	250
Share-based payments charge	1,273	52,704
	(2,953,886)	(2,889,712)
Changes in working capital
Decrease/(increase) in inventories	89,074	(122,571)
(lncrease)/decrease in trade and other receivables	(54,735)	130,796
Increase in trade and other payables	16,954	101,922
Cash generated by operations	51,293	110,147
Taxation received	257,458	116,534
Net cash used in operating activities	(2,645,135)	(2,673,031)
Investing activities
Purchase of property, plant and equipment	(89,794)	-
Purchase of IP	(75,483)	(96,813)
Net cash used in investing activities	(165,277)	(96,813)
Cash flows from financing activities
Net proceeds from issue of shares	2,353,425	-
Lease payments made	(36,102)	(35,122)
Net cash generated by/(used in) financing activities	2,317,323	(35,122)
Net decrease in cash and cash equivalents	(493,089)	(2,804,966)
Cash and cash equivalents at the beginning of the period	1,804,923	4,609,889
Cash and cash equivalents at the end of the period	1,311,834	1,804,923

 

 

Consolidated Statement of Changes in Equity

For the Year Ended 30 June 2023

 

 

	Share Capital	Share Premium	Other reserves	Retained earnings	Total
	£	£	£	£	£
As at 1 July 2021	1,567,802	8,758,037	384,612	(5,495,193)	5,215,258
Loss for the period	-	-	-	(2,792,601)	(2,792,601)
Share-based payments	-	-	52,704	-	52,704
As at 30 June 2022	1,567,802	8,758,037	437,316	(8,287,794)	2,475,361
Loss for the period	-	-	-	(2,835,149)	(2,835,149)
Issue of shares	163,588	2,453,793	-	-	2,617,381
Cost of share issue	-	(263,956)	-	-	(263,956)
Share-based payments	-	-	1,273	-	1,273
As at 30 June 2023	1,731,390	10,947,874	438,589	(11,122,943)	1,994,910

  

 

Company Statement of Financial Position

As at 30 June 2023

 

 

 

	Notes	2023	2022
Assets		£	£
Non-current assets
Property, plant and equipment	10	78,658	-
Right-of-use assets	11	94,502	126,903
Intangible assets	12	694,402	624,255
Investments	13	482,434	423,072
Other receivables	15	1,445,801	1,142,891
Total non-current assets		2,795,797	2,317,121
Current assets
Trade and other receivables	15	149,157	91,427
Corporation tax receivable	15	182,545	230,391
Cash and cash equivalents		1,124,961	1,561,402
Total current assets		1,456,663	1,883,220
Total assets		4,252,460	4,200,341
Equity and liabilities
Equity
Capital and reserves
Called up share capital	19	1,731,390	1,567,802
Share premium	19	10,947,874	8,758,037
Other reserves		438,589	437,316
Accumulated deficit		(9,441,596)	(7,151,781)
Total equity		3,676,257	3,611,374
Liabilities
Non-current liabilities
Lease liabilities	17	69,601	100,647
Total non-current liabilities		69,601	100,647
Current liabilities
Trade and other payables	16	475,557	461,103
Lease liabilities	17	31,045	27,217
Total current liabilities		506,602	488,320
Total liabilities		576,203	588,967
Total equity and liabilities		4,252,460	4,200,341

 

 

Company Statement of Cash Flows

For the Year Ended 30 June 2023

	2023	2022
	£	£
Cash flows from operating activities
Loss before tax for the period	(2,471,551)	(2,029,989)
Depreciation of property, plant and equipment	11,136	-
Right-of-use assets depreciation and interest	41,287	39,557
Impairment of financial assets	16,573	28,407
Share-based payments charge	1,273	52,704
	(2,401,282)	(1,909,321)
Changes in working capital
(lncrease)/decrease in trade and other receivables	(57,731)	(31,539)
Increase in trade and other payables	14,454	108,423
Cash (used)/generated by operations	(43,277)	76,884
Taxation received	229,583	116,534
Net cash used in operating activities	(2,214,976)	(1,715,903)
Investing activities
Purchase of property, plant and equipment	(89,794)	-
Purchase of IP	(70,147)	(95,314)
Investment in subsidiaries	(378,847)	(856,949)
Net cash used in investing activities	(538,788)	(952,263)
Cash flows from financing activities
Net proceeds from issue of shares	2,353,425	-
Lease payments made	(36,102)	(35,122)
Net cash generated by/(used in) financing activities	2,317,323	(35,122)
Net decrease in cash and cash equivalents	(436,441)	(2,703,288)
Cash and cash equivalents at the beginning of the period	1,561,402	4,264,690
Cash and cash equivalents at the end of the period	1,124,961	1,561,402

 

 

Company Statement of Changes in Equity

For the Year Ended 30 June 2023

 

	Share Capital	Share Premium	Other reserves	Retained earnings	Total
	£	£	£	£	£
As at 1 July 2021	1,567,802	8,758,037	384,612	(5,284,889)	5,425,562
Loss for the period	-	-	-	(1,866,892)	(1,866,892)
Share-based payments	-	-	52,704	-	52,704
As at 30 June 2022	1,567,802	8,758,037	437,316	(7,151,781)	3,611,374
Loss for the period	-	-	-	(2,289,815)	(2,289,815)
Issue of shares	163,588	2,453,793	-	-	2,617,381
Cost of share issue	-	(263,956)	-	-	(263,956)
Share-based payments	-	-	1,273	-	1,273
As at 30 June 2023	1,731,390	10,947,874	438,589	(9,441,596)	3,676,257

 

 

Notes to the Financial Statements

For the Year Ended 30 June 2023

 

1.  General information

 

SkinBioTherapeutics plc ('the Company') is a public limited company incorporated in England under the Companies Act and quoted on the AIM market of the London Stock Exchange (AIM: SBTX).

 

The principal activity of the Group is the identification and development of technology that harnesses the human microbiome to improve health.

 

2.  Significant accounting policies and basis of preparation

 

a)  Statement of compliance

 

The consolidated and company financial statements of SkinBioTherapeutics plc have been prepared in accordance with UK-adopted International Accounting Standards ('IFRS') and the Companies Act 2006 applicable to companies reporting under IFRS.

 

b)  Basis of preparation

 

The consolidated and company financial statements have been prepared under the historical cost convention modified by the revaluation of certain financial instruments. The accounting policies have been applied consistently in all material respects.

 

The consolidated and company financial statements are presented in Sterling (£) as this is the predominant functional currency of the Group and Company, and is the currency of the primary economic environment in which it operates. Foreign transactions are accounted in accordance with the policies set out below.

 

c)  Basis of consolidation

 

The consolidated financial statements incorporate the financial statements of the Company and entities controlled by the Company (its subsidiaries) made up to 30 June each year. Control is achieved where the Company has the power to govern the financial and operating policies of an investee entity so as to obtain benefits from its activities. All intra-group transactions, balances, income and expenses are eliminated on consolidation.

 

d)  Going concern

 

These financial statements have been prepared on a going concern basis. In considering the appropriateness of this assumption, the Board has considered the Group's projections for the twelve months from the date of approval of this financial information, including cash flow forecasts. The directors are confident that based on the Group's forecasts and the recently completed capital raise of approximately £3.3 million (before costs) the Group will have enough funds to continue in operation for at least 12 months from the date of signing these financial statements. The Directors believe that the Group has adequate resources to continue in operational existence for the foreseeable future and therefore adopt the going concern basis of accounting in preparing these financial statements.

 

e)  Estimates and judgements

 

The preparation of financial statements requires the Board to make judgements, estimates and assumptions that may affect the application of accounting policies and reported amounts of assets and liabilities as at each balance sheet date and the reported amounts of revenues and expenses during each reporting period. Any estimates and assumptions are based on experience and any other factors that are believed to be relevant under the circumstances and which the Board considers to be reasonable. Actual outcomes may differ from these estimates. Any revisions to accounting estimates will be recognised in the period in which the estimate is revised if the revision affects only that period. If the revision affects both current and future periods, the change will be recognised over those periods.

 

The following are the critical judgements that the Directors have made in the process of applying the Group's accounting policies and that have the most significant effect on the amounts recognised in the consolidated financial statements.

 

Estimation of the lifetime of intangible assets

 

Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortization and accumulated impairment losses.

 

Intangible assets recognised are reviewed against the criteria for capitalisation with useful life determined by reference to the underlying product being developed. Management believes that the assigned values and useful lives, as well as the underlying assumptions, are reasonable, though different assumptions and assigned lives could have a significant impact on the reported amounts.

 

Useful lives are also examined on an annual basis and adjustments, where applicable are made on a prospective basis. The Group does not have any intangible assets with indefinite lives.

 

Amortisation is calculated so as to write off the cost of an asset, less its estimated residual value, over the useful life of that asset as follows:

 

Intellectual property            -           20% straight line

 

Capitalisation of development costs

 

During the year £75,483 (2022: £96,813) of development costs were capitalised, bringing the total amount of development costs capitalised, as intangible assets, as at 30 June 2023, to £700,331 (2022: £625,504), net of amortisation. Management has reviewed the balances by project, compared the carrying amount to expected future revenues and is satisfied that no impairment exists and that the costs capitalised will be fully recovered as the products are launched to market. New product projects are monitored regularly and should the technical or market feasibility of a new product be in question, the project would be cancelled and capitalised costs to date will be removed from the balance sheet and charged to the statement of comprehensive income.

 

Inventory valuation

 

Inventory is carried at the lower of cost and net realisable value, using the first in first out method. Appropriate provisions for estimated irrecoverable amounts due to slow-moving or obsolete inventory are recognised in the income statement where there is objective evidence that the assets are impaired.

 

The provision is £35,386 at 30 June 2023 (2022: £265,966).

 

Refund accruals

 

Accruals for sales returns are estimated on the basis of historical returns and are recorded so as to allocate them to the same period in which the original revenue is recorded. These accruals are reviewed regularly and updated to reflect The Boards's latest best estimates. The Board do not believe that the difference between the accrual estimate and actual returns will be material.

 

The accrual for net refunds totalled £82 at 30 June 2023 (2022: £267). The expected returns rate would need to differ to actual returns by 10% to have an impact of +/- £1,014 on reported revenue and on operating profit. The choice of a 10% change for the determination of sensitivity represents an extreme variation in the return rate.

 

Share-based payments

 

The Group measures the cost of equity-settled transactions with employees by reference to the fair value of the equity instruments at the date at which they are granted. The fair value is determined by using the Black-Scholes model taking into account the terms and conditions upon which the instruments were granted. The accounting estimates and assumptions relating to equity-settled share-based payments would have no impact on the carrying amounts of assets and liabilities within the next annual reporting period but may impact profit or loss and equity. The judgments made and the model used are further specified in note 20.

 

Estimation of incremental borrowing rate in accounting for leases under IFRS16

 

In recognising a lease liability and right-of-use asset under IFRS 16 the Group has used an estimated incremental borrowing rate of 8%. The Group does not have any borrowings, so in order to apply IFRS 16 it was necessary to estimate the incremental borrowing rate that would be faced by the Group. The rate of 8% was determined by looking at a range of loans available on the market. If the interest rate used in the calculation were higher, this would have the effect of reducing the size of both the lease liability and right-of-use asset, reducing the depreciation charge and increasing the interest charge in the consolidated income statement. The overall change to the Company Income Statement and the Company Statement of Financial Position would be immaterial. There would be no change to operating cash flows or lease payments as a result of a change in the estimate of the incremental interest rate.

 

f)   Application of new and re vised International Financial Reporting Standards (IFRSs)

 

The Group has adopted all of the new or amended Accounting Standards and interpretations issued by the International Accounting Standards Board ('IASB') or the IFRS Interpretations Committee ('IFRIC') that are mandatory and relevant to The Group's activities for the current reporting period.

 

No new standards or interpretations issued by the IASB or the IFRIC have led to any material changes in the Group's accounting policies or disclosures during each reporting period.

 

New and revised IFRSs in issue but not yet effective

There are a number of new and revised IFRSs that have been issued but are not yet effective that the Group has decided not to adopt early. The most significant of these are as follows:

 

Reference	Title	Summary	Application date of standard (Periods commencing on or after)
IFRS17	Insurance Contracts	Principles for the recognition, measurement, presentation and disclosure of insurance contracts   Amendments to address concerns and implementation challenges that were identified after IFRS 17 was published	1 January 2023       1 January 2023
IAS1	Presentation of Financial Statements	Amendments regarding the classification of liabilities as current or non-current	1 January 2023
IAS8	Accounting Policies, Changes in Accounting Estimates	Amendments regarding the definition of accounting estimates	1 January 2023
IAS12	Income taxes	Deferred Tax related to Assets and Liabilities arising from a Single Transaction	1 January 2023
IAS37	Amendments to IAS1 and IFRS Practice Statement 2	Amendments regarding disclosure of material accounting policies	1 January 2023

 

The adoption of these Standards and Interpretations is not expected to have a material impact on the financial information of the Group in the period of initial application when they come into effect.

 

 

3.  Segmental information

 

IFRS 8 'Operating Segments' requires operating segments to be determined based on The Group's internal reporting to the Chief Operating Decision Maker. The Chief Operating Decision Maker has been determined to be The Board of Directors which receives information on the basis of the Group's operations in key geographical territories, based on the Group's management and internal reporting structure. Based on this assessment the Group consider there to be 3 operating segments. Despite there being 3 operating segments, it is not currently feasible to allocate assets and liabilities to the operating segments. As these operating segments grow, we expect that allocation of assets and liabilities will be possible. Administrative expenses are not segmented for accounting purposes as the Board do not review these by segment currently.

 

		Year ended 30 June 2023
		UK		US		EU		Total
		£		£		£		£
Retail sales		118,921		9,275		3,861		132,057
Cost of sales		(42,205)		(3,292)		(1,370)		(46,867)
Gross profit		76,716		5,983		2,491		85,190

 

		Year ended 30 June 2022
		UK		US		EU		Total
		£		£		£		£
Retail sales		57,687		17,074		-		74,761
Cost of sales		(23,264)		(6,160)		-		(29,424)
Gross profit		34,423		10,914		-		45,337

 

Due to the nature of its activities, the Group is not reliant on any individual major customers.

 

 

4.  Expenses - analysis by nature

		Group	Group
		2023	2022
		£	£
Other income		(3,292)	(1,032)
Selling and distribution costs		81,294	43,804
Depreciation of right-of-use asset		32,401	29,422
Depreciation of plant and equipment		11,136	-
Research and development		930,636	861,383
Directors remuneration (including share-based compensation)		778,639	624,564
Staff costs		214,606	142,342
Foreign exchange differences		(51)	1,127
Auditors remuneration
-     audit fees		34,450	26,250
-     other services		3,000	2,260
Inventory write down		35,386	265,966
Other operating costs		966,337	1,031,339
Total operating expenses		3,084,542	3,027,425

 

 

5.  Finance costs

 

		Group	Group
		2023	2022
		£	£
Interest payable		8,886	10,135
		8,886	10,135

 

Interest payable represents amounts arising on leases accounted for under IFRS 16.

 

6.  Employees and Directors

 

Group and company		2023		2022
The average monthly number of employees and senior management was:		Number		Number
Executive directors		2		2
Non-executive directors		3		2
Employees		7		4
Average total persons employed		12		8

 

As at 30 June 2023 the Company had 11 employees (2022: 7).

 

Group and company		2023		2022
Staff costs in respect of these employees were:		£		£
Wages and salaries		1,012,909		631,789
Social security costs		137,531		68,816
Defined contribution pensions		19,733		16,883
Share-based payments (see note 20)		1,273		52,704
Total remuneration		1,171,446		770,192

 

All staff were directly employed by SkinBioTherapeutics Plc.

Some of these staff costs are included within research and development and some in share issue costs.

 

All the directors above can be considered to be key management and have the responsibility for planning, directing and controlling, directly or indirectly, the activities of the Company.

The remuneration of directors and key executives is determined by the remuneration committee having regard to the performance of individuals and market trends.

 

The Company operates a defined contribution pension scheme for employees and directors. The assets of the scheme are held separately from those of the Company in independently administered funds. The amounts outstanding at 30 June 2023 are £3,326 (2022: £2,633).

 

Group and company		2023	2022
Directors remuneration:		£	£
Stuart J. Ashman		382,478	368,449
Manprit Randhawa		261,480	14,951
Doug Quinn		-	140,414
Martin Hunt		68,670	63,000
Dr Cathy Prescott		41,011	31,500
Danielle Bekker		25,000	6,250
Total remuneration		778,639	624,564
Which is made up of:
Remuneration		755,258	572,151
Amounts receivable under long term incentive schemes		11,375	42,603
Company contributions to pension schemes		12,006	9,810
Total remuneration		778,639	624,564

The number of directors to whom retirement benefits are accruing in respect of qualifying services under defined contribution pension schemes is 2 (2022: 2). The highest paid director received total emoluments of £382,478 (2022: £368,449) during the year.

 

7.  Taxation

 

Income taxes recognised in profit or loss		2023	2022
		£	£
Current tax
Current period - UK corporation tax		-	-
R&D tax credit		182,547	173,729
R&D tax credit - prior year		(8,458)	25,893
Tax credit for the year		173,089	199,622

 

The tax charge for each period can be reconciled to the loss per the statement of comprehensive income as follows:

 

 

Taxable losses		(3,008,238)	(2,992,223)
Normal applicable rate of tax		19.00%	19.00%
Loss on ordinary activities multiplied by normal rate of tax		(571,565)	(568,522)
Effects of:
Depreciation		2,116	-
Disallowables		3,752	12,525
Capital allowances		(17,061)	-
R&D enhanced deductions		(137,215)	(128,668)
R&D tax credit		(173,089)	(199,622)
Losses surrendered		248,189	227,644
Unused tax losses carried forward		471,784	457,021
UK tax charge/(credit)		(173,089)	(199,622)

 

The Group has an unrecognised deferred tax asset of £1,637,470 (2022: £1,132,844) at the period end, which has not been recognised in the financial statements due to uncertainty of future profits. The Group has an estimated tax loss of £8,618,261 (2022: £5,962,339) available to be carried forward against future profits.

 

 

 

8.  Loss per share

		2023	2022
		£	£
Basic and diluted loss per share
Total comprehensive loss for the year		(2,835,149)	(2,792,601)
Weighted average number of shares		164,713,045	156,780,236
Basic and diluted loss per share (pence)		(1.72)	(1.78)

 

As the Group and Company are reporting a loss from continuing operations for the year then, in accordance with IAS 33, the share options are not considered dilutive because the exercise of the share options would have an anti-dilutive effect. The basic and diluted earnings per share as presented on the face of the income statement are therefore identical.

 

9.  Company's result for the period

 

The Group has elected to take the exemption under section 408 of the Companies Act 2006 not to present the Parent Company income statement account.

 

The loss for the Parent Company for the period was £2,289,815 (2022: £1,866,892).

 

10.  Property, plant and equipment

 

Group and Company

 

		Plant & Machinery
		£
Cost
At 1 July 2021		10,200
Additions		-
At 30 June 2022		10,200
Additions		89,794
At 30 June 2023		99,994
Accumulated depreciation
At 1 July 2021		10,200
Charge for the year		-
At 30 June 2022		10,200
Charge for the year		11,136
At 30 June 2023		21,336
Net book value
At 1 July 2021		-
At 30 June 2022		-
At 30 June 2023		78,658

 

 

11.   Right-of-use assets

 

Group and Company
					Total
					£
Cost
At 1 July 2021					145,757
Additions					12,997
At 30 June 2022					158,754
At 30 June 2023					158,754
Accumulated amortisation
At 1 July 2021					2,429
Charge for the year					29,422
At 30 June 2022					31,851
Charge for the year					32,401
At 30 June 2023					64,252
Net book value
At 1 July 2021					143,328
At 30 June 2022					126,903
At 30 June 2023					94,502

 

 

12.   Intangible assets

		Patents & trademarks	Patents & trademarks
		Group	Company
		£	£
Cost
At 1 July 2021		528,941	528,941
Additions		96,813	95,314
At 30 June 2022		625,754	624,255
Additions		75,483	70,147
At 30 June 2023		701,237	694,402
Accumulated amortisation
At 1 July 2021		-	-
Charge for the year		250	-
At 30 June 2022		250	-
Charge for the year		656	-
At 30 June 2023		906	-
Net book value
At 1 July 2021		528,941	528,941
At 30 June 2022		625,504	624,255
At 30 June 2023		700,331	694,402

 

Intellectual property is to be amortised over the expected period that the asset generates income. A small part of the IP belonging to the active subsidiary, AxisBiotix Limited, commenced amortisation in the year ending 30 June 2022. Other IP amortisation is expected to commence in the year ending 30 June 2024.

 

13.   Investments

 

Company: Investments in subsidiary undertakings		£
Cost
At 1 July 2021		113,733
Additions		309,339
At 30 June 2022		423,072
Additions		59,362
At 30 June 2023		482,434

 

As at 30 June 2023, the Company directly owned the following subsidiaries:

 

Name of company	Country of incorporation	Proportion of equity interest
SkinBiotix Limited	United Kingdom	100% of ordinary shares
AxisBiotix Limited	United Kingdom	100% of ordinary shares
MediBiotix Limited	United Kingdom	100% of ordinary shares
CleanBiotix Limited	United Kingdom	100% of ordinary shares
PharmaBiotix Limited	United Kingdom	100% of ordinary shares

 

14.   Inventories

		2023	2022
		£	£
Inventories		33,497	122,571
		33,497	122,571

 

The cost of inventories recognised as an expense during the year was £82,252 (2022: £295,390).

 

The cost of inventories recognised as an expense includes £35,386 (2022: £265,966) in respect of write-downs of inventory to net realisable value.

 

15.   Trade and other receivables

 

	2023	2022	2023	2022
	£	£	£	£
Current
Trade debtors	816	1,800	-	-
Corporation tax	182,545	266,916	182,545	230,391
Sales taxes recoverable	108,720	48,669	96,240	13,560
Other receivables	12,693	11,101	12,891	11,101
Prepayments	70,656	76,580	40,026	66,766
	375,430	405,066	331,702	321,818
Non-current
Amounts due from group undertakings	-	-	1,445,801	1,142,891
	-	-	1,445,801	1,142,891

 

The fair values of the Company's current trade and other receivables are considered to equate to their carrying amounts. The maximum exposure to credit risk for trade receivables is represented by their carrying amount. There are no financial assets which are past due but not impaired. No current financial assets are impaired.

 

The amounts owed by subsidiary undertakings include a loan to AxisBiotix Limited for £1,788,549 (2022:£1,531,177) which was discounted to £1,524,909 and then impaired by £16,573, in addition to earlier years impairment of £62,531 to give a current value of £1,445,801 (2022: £1,142,891) under IFRS 9, as set out in note 2. Although the loan has no repayment terms, it is anticipated to be repaid in 3 years from the date of these financial statements.

 

 

16.   Trade and other payables

	2023	2022	2023	2022
	£	£	£	£
Current
Trade creditors	194,274	72,610	176,176	66,277
Accruals	236,837	366,784	233,839	353,534
Sales taxes payable	505	85	-	-
Other taxes	62,815	31,812	61,636	31,059
Other payables	4,265	10,451	3,906	10,233
	498,696	481,742	475,557	461,103

 

Trade and other payables principally consist of amounts outstanding for trade purchases and ongoing costs. They are non-interest bearing and are normally settled on 30-day terms. The directors consider that the carrying value of trade and other payables approximates to their fair value. All trade and other payables are denominated in Sterling. The Company has financial risk management policies in place to ensure that all payables are paid within the credit timeframe and no interest has been charged by any suppliers as a result of late payment of invoices during the period.

 

The fair value of trade and other payables approximates their current book values.

 

 

17.   Lease liabilities

 

Group and Company

		2023	2022
		£	£
Maturity analysis
Year 1		37,770	36,102
Year 2		39,029	37,770
Year 3		35,777	39,029
Year 4		-	35,778
Year 5		-	-
		112,576	148,679
Less future interest charges		(11,930)	(20,815)
		100,646	127,864
Analysed as
Current		31,045	27,217
Non-current		69,601	100,647
		100,646	127,864

 

 

18.   Financial instruments

 

Maturity analysis

 

A summary table with maturity of financial assets and liabilities presented below is used by management to manage liquidity risks. The amounts disclosed in the following tables are the contractual undiscounted cash flows. Undiscounted cash flows in respect of balances due within 12 months generally equal their carrying amounts in the statement of financial position, as the impact of discounting is not material.

The maturity analysis of financial instruments at 30 June 2023 is as follows:

 

Group
		Carrying amount	On demand and less than 3 months	3 to 12 months	1 to 2 years	2 to 5 years
Assets
Cash and cash equivalents		1,311,834	1,311,834	-	-	-
Trade and other receivables		13,509	13,509	-	-	-
		1,325,343	1,325,343	-	-	-
Liabilities
Trade and other payables		435,881	435,881	-	-	-
Lease liabilities		112,576	8,498	29,272	39,029	35,777
		548,457	444,379	29,272	39,029	35,777

 

 

Company
		Carrying amount	On demand and less than 3 months	3 to 12 months	1 to 2 years	2 to 5 years
Assets
Cash and cash equivalents		1,124,961	1,124,961	-	-	-
Trade and other receivables		12,892	12,892	-	-	-
		1,137,853	1,137,853	-	-	-
Liabilities
Trade and other payables		413,923	413,923	-	-	-
Lease liabilities		112,576	8,498	29,272	39,029	35,777
		526,499	422,421	29,272	39,029	35,777

The maturity analysis of financial instruments at 30 June 2022 is as follows:

 

 

Group
		Carrying amount	On demand and less than 3 months	3 to 12 months	1 to 2 years	2 to 5 years
Assets
Cash and cash equivalents		1,804,923	1,804,923	-	-	-
Trade and other receivables		12,901	12,901	-	-	-
		1,817,824	1,817,824	-	-	-
Liabilities
Trade and other payables		449,930	449,930	-	-	-
Lease liabilities		133,501	5,854	26,341	33,989	67,317
		583,431	455,784	26,341	33,989	67,317

 

Company
		Carrying amount	On demand and less than 3 months	3 to 12 months	1 to 2 years	2 to 5 years
Assets
Cash and cash equivalents		1,561,402	1561,402	-	-	-
Trade and other receivables		1,542,278	11,101	-	-	1,531,177
		3,103,680	1,572,503	-	-	1,531,177
Liabilities
Trade and other payables		430,044	430,044	-	-	-
Lease liabilities		133,501	5,584	26,341	33,989	67,317
		563,545	435,898	26,341	33,989	67,317

 

 

18.   Share capital

 

		Number of shares	Share capital	Share premium
As at 1 July 2021		156,780,236	1,567,802	8,758,037
As at 30 June 2022		156,780,236	1,567,802	8,758,037
Ordinary share issued at 1p per share		16,358,618	163,588	2,453,793
Costs related to shares issued		-	-	(263,956)
As at 30 June 2023		173,138,854	1,731,390	10,947,874

 

 

On 5 January 2023 16,358,618 ordinary shares were issued by way of a placing at a price of 16p per share to raise funding for the Group.

 

Share capital is the amount subscribed for shares at nominal value, issued and fully paid.

 

Share premium is the amount subscribed for share capital in excess of nominal value.

 

 

19.   Share-based payments

 

Share options

The Group operates share-based payment arrangements to remunerate directors and others providing similar services in the form of a share option scheme. The exercise price of the option is normally equal to the market price of an ordinary share in the Group at the date of grant. Each share option converts into one ordinary share of the Group on exercise. No amounts are paid or payable by the recipient on receipt of the option. The options carry neither rights to dividends nor voting rights.

 

Movements in the number of share options outstanding and their related weighted average exercise prices are as follows:

 

Group and company
		2023		2022
		Number  of options	Weighted average exercise price	Number  of options	Weighted average exercise price
			£		£
Outstanding at 1 July		17,379,343	0.12	16,729,343	0.11
Granted during the year		-	-	650,000	0.38
Forfeited/cancelled during the year		(650,000)	0.38	-	-
Outstanding at 30 June		16,729,343	0.11	17,379,343	0.12

 

 

On 9 May 2023, 650,000 options were forfeited, which were previously granted at an exercise price of £0.376 per share.

 

The total credit recognised for the year ended 30 June 2023 for these share options is -£10,102, whereas in 2022 this was a charge of £10,102.

 

The fair values of the share options issued in the year were derived using the Black Scholes model. The charge recognised for the year ended 30 June 2023 for share options is £11,375 (2022: £52,704) amounting to a total net charge of £1,273 being recognised in the profit and loss account. The following assumptions were used in the calculations:

 

 

Deed pool		1	2	3a	3b	3c
Grant date		05/04/17	05/04/17	05/04/17	05/04/17	05/04/17
Exercise price		9p	9p	9p	9p	9p
Share price at grant date		9p	9p	9p	9p	9p
Risk-free rate		0.24%	0.24%	0.16%	0.16%	0.16%
Volatility		60%	60%	60%	60%	60%
Expected life		3.5 years	3.5 years	2.75 years	2.75 years	2.75 years
Fair value		2.58p	1.85p	2.30p	2.30p	2.30p

 

Deed pool		4	5	6	7	8
Grant date		18/04/19	18/04/19	18/04/19	03/03/20	08/04/20
Exercise price		18p	18p	18p	9.5p	9p
Share price at grant date		18p	18p	18p	9.5p	7p
Risk-free rate		0.75%	0.75%	0.75%	0.29%	0.12%
Volatility		60%	60%	60%	80%	80%
Expected life		3.5 years	3.5 years	3.5 years	0 years	2 years
Fair value		2.85p	3.99p	3.48p	9.50p	0.87p

 

The closing share price per share at 30 June 2023 was 12.5p (30 June 2022: 20.25p).

 

Expected volatility is based on a conservative estimate for an AIM listed entity. The expected life used in the model has been adjusted, based on management's best estimate, for the effects of non-transferability, exercise restrictions and behavioural considerations.

 

 

20.   Related party transactions

 

Group and company
Key management personnel compensation		2023	2022
		£	£
Short-term employee benefits including social security costs		934,467	694,844
Post-employment benefits		13,218	11,239
Share-based payments		11,375	42,603
		959,060	748,686

 

Compensation figures above include directors and key management personnel.

 

Transactions with other related parties

 

During the period ended 30 June 2023, the Company was charged fees of £55,440 (2022: £50,400) by Invictus Management Ltd, a company in which Martin Hunt, a director of the Company, is also a director. These fees relate to Martin Hunt's consultancy services to the Company. As at 30 June 2023 £5,292 (2022: £5,040) was outstanding.

 

During the period ended 30 June 2023, the Company was charged fees of £28,096 (2022: £25,200) by Biolatris Ltd, a company in which Dr Cathy Prescott, a director of the Company, is also a director. These fees relate to Dr Cathy Prescott's consultancy services to the Company. As at 30 June 2023 £nil (2022: £nil) was outstanding.

 

 

21.   Ultimate controlling party

 

No one shareholder has control of the Company.

 

 

22.   Events after the reporting date

 

The Company has evaluated all events and transactions that occurred after 30 June 2023 up to the date of signing of the financial statements.

 

On 22 November 2023 the Company completed a fundraise through a Placing and Retail Offer, raising £3.3m of gross proceeds.

 

No other material subsequent events have occurred that would require adjustment to or disclosure in the financial statements.