Crossword Cybersecurity plc
GXG : CCP

April 21, 2015 11:04 ET

Crossword Cybersecurity plc: Final results

FOR:  CROSSWORD CYBERSECURITY PLC

GXG SYMBOL:  CCP

April 21, 2015

Crossword Cybersecurity plc: Final results

LONDON, UNITED KINGDOM--(Marketwired - April 21, 2015) -

Statement from the board

Crossword Cybersecurity plc (GXG:CCP) is a cyber security focused technology transfer business. We work with
universities to identify leading edge research in cyber security and establish intellectual property (IP) and
technology transfer deals with the university to commercialise their research. This will typically involve some
development work to take their largely theoretical research and produce a practical software solution.

Over the past year Crossword has assembled a strong team consisting of IP transfer and cyber security
specialists. We have established a software development subsidiary based in Krakow, Poland. We have analysed
the cyber security research currently being done and have identified over 400 cyber security research projects
across the UK and parts of Europe, representing over GBP 200m of research grants since 2007. This information
has been catalogued and captured in Crossword's searchable research database along with the identity of the
team conducting the research, the lead Professors and the institution where the work is being conducted. We
therefore have a very clear picture of the type of cyber security research going on across Europe.

As a result, Crossword is now engaged in building two cyber security software products. The first of these,
based on several years of research at City University, London, is a cyber-risk assessment software as a service
(SaaS) solution that will be launched in the first half of 2015. The second product is commercially
confidential at this stage but we believe has global applicability. We have also signed agreements with both
University of Bristol and University of Warwick to explore how to commercialise their research into cryptograpy
and blockchain security respectively.

Going forward, Crossword intends to announce its' first two products in 2015. Our plan is to build a portfolio
of up to six significant cyber security products over the next couple of years. We have started building a
partner programme of third parties who will assist in taking our products to market in 2015 and beyond.

PRINCIPAL RISKS AND UNCERTAINTIES
The key risks to the group are as follows:

--  failure to develop an appropriate commercial application for its
    developing products;
--  failure to obtain sufficient financial support to enable such products
    to be adequately delivered;
--  failure to establish commercialisation partnerships with leading
    research universities
--  competition from existing IP transfer businesses seeking to engage in
    cyber security commercialisation activity
--  failure to commercialise the products that it develops.

At present the directors are pleased with progress in both of these areas and consider these risks are
sufficiently mitigated.

FINANCIAL AND NON FINANCIAL KEY PERFORMANCE INDICATORS
The directors consider the key financial performance indicator to be cash 'burn rate'. At present they consider
that this is within reasonable parameters and will continue to monitor this is the future.

At this stage in its development, the directors do not consider that there are any relevant non-financial key
performance indicators.

T Ilube
Director

21 April 2015

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE PERIOD ENDED 31 DECEMBER 2014


                                                                    6 Mar to
                                                                      31 Dec
                                                                        2014
                                                                         GBP

Cost of sales                                                       (54,142)

                                                            ----------------
GROSS LOSS                                                          (54,142)

Administrative expenses                                            (184,538)

                                                            ----------------
LOSS BEFORE TAXATION                                               (238,680)

Tax expense                                                                -

                                                            ----------------
LOSS FOR THE PERIOD                                                (238,680)
                                                            ----------------
                                                            ----------------

Loss from continuing operations                                    (238,680)


Other comprehensive income:

Exchange differences on translating foreign operations               (1,282)

                                                            ----------------
TOTAL COMPREHENSIVE INCOME FOR THE PERIOD                          (239,962)
                                                            ----------------
                                                            ----------------


CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2014

                                                                       Group
                                                                      31 Dec
                                                                        2014
                                                                        GBP

ASSETS

NON-CURRENT ASSETS
  Property, plant and equipment                                        5,486
  Investments in subsidiaries                                              -
                                                           -----------------
Total non-current assets                                               5,486
                                                           -----------------

CURRENT ASSETS
  Trade and other receivables                                         44,112
  Cash and cash equivalents                                          445,163
                                                           -----------------
Total current assets                                                 489,275
                                                           -----------------

                                                           -----------------
TOTAL ASSETS                                                         494,761
                                                           -----------------
                                                           -----------------

TOTAL EQUITY AND LIABILITIES

EQUITY
Attributable to the owners of Crossword Cybersecurity Plc
  Share capital                                                       79,697
  Share premium account                                              620,303
  Retained earnings                                                (238,680)
  Translation of foreign operations                                  (1,282)
                                                           -----------------
Total Equity                                                         460,038
                                                           -----------------

LIABILITIES

CURRENT LIABILITIES
  Trade and other payables                                            34,723
                                                           -----------------
Total current liabilities                                             34,723
                                                           -----------------

                                                           -----------------
TOTAL LIABILITIES                                                     34,723
                                                           -----------------

                                                           -----------------
TOTAL EQUITY AND LIABILITIES                                         494,761
                                                           -----------------
                                                           -----------------

Statutory Information

The financial information set out above does not constitute the Company's statutory accounts for the period
ended 31 December 2014 but is derived from those accounts.

The financial information has been extracted from the statutory accounts of Crossword Cybersecurity plc and is
presented using the same accounting policies, which have not yet been filed with the Registrar of companies,
but on which the auditors, MHA MacIntyre Hudson, gave an unqualified report on 21 April 2015.

The Annual Report of Crossword Cybersecurity Plc for period ended 30 November 2014 is available upon request
from the Company's registered office at One America Square, Crosswall, London, United Kingdom, EC3N 2SG


FOR FURTHER INFORMATION PLEASE CONTACT:

Crossword Cybersecurity Plc
Tom Ilube - CEO
+44 (0)208 973 2350
info@crosswordcybersecurity.com
www.crosswordcybersecurity.com
Twitter: @crosswordcyber

OR

WMG, University of Warwick
Professor Tim Watson
Director of the Cyber Security Centre
K.V.Choudhary@warwick.ac.uk
http://www2.warwick.ac.uk/fac/sci/wmg/research/csc/
Twitter: @wmgwarwick

OR

Alfred Henry Corporate Finance Limited
Nick Michaels and Jon Isaacs
GXG Corporate Advisor
+44 207 251 3762
www.alfredhenry.com

Contact Information

  • Crossword Cybersecurity plc