TradeLabs Plc

March 26, 2010 07:45 ET

TradeLabs PLC Interim Results and Trading Update



March 26, 2010

TradeLabs PLC Interim Results and Trading Update

LONDON, UNITED KINGDOM--(Marketwire - March 26, 2010) - The Board of Directors of TradeLabs PLC ("TradeLabs" or
the "Company") (PLUS:TLAP) is pleased to announce the interim results for the six months to 30 September 2009
and a Trading update.

TradeLabs PLC ("TradeLabs" or "the Company") was admitted to trading on the PLUS-quoted market on 9 January
2009 (TIDM:TLAP.PL).

"An international designer developer and licensor of software to the online and land based gaming industry and
Algorithmic trading for the commodity markets"

Statement by the Board


Dividend increased from GBP 0.001 to GBP 0.002

A developing acquisition policy - Three acquisitions in first half of year and 1 joint venture

New distributors appointed in Singapore, Russia, Hong Kong, Dubai and USA

New Products: Timing Technology for gaming products to be deployed in Casino's

Operational Overview

The six months under review have been particularly active with the Company opening a new office in Singapore
and commencing an acquisition policy resulting in two acquisitions during the period ended 30 September 2009
and a further acquisition in October 2009. In addition, a joint-venture was announced with a Ukrainian company
based in Kharkov which will distribute the TradeLabs range of products. The Board continues to review
opportunities to expand into new geographical areas.


The Directors identified a number of acquisition targets which could drive the Company's expansion plans. The
targets were cash generative and profitable in their own right and also gave TradeLabs a base in other
geographical regions. The first of these acquisitions, Right Deal Limited was completed on 21 August 2009.
Right Deal is a well established electronic IT distributer based in Hong Kong from where it markets its product
range locally and into mainland China. The vendor of Right Deal, Tristan Tabori is also a distributor of the
TradeLabs' product range in South East Asia through his company, Market Force Integrated Pte Ltd.

The second acquisition, Asher Investments Pte Ltd was completed on 25 September 2009. Asher operates a
profitable proprietary futures trading desk based in Singapore. It's owner, prior to the acquisition was Dr
Stephen Lee who has known and worked closely with TradeLabs' CEO, Niraj Goel over the past five years. Going
forward Dr Lee will continue to develop trading strategies for TradeLabs PLC. In line with the Company's
branding policy, Asher has been re-incorporated in Singapore as TradeLabs Asia Ltd and will primarily provide
administrative and marketing support for TradeLabs PLC's distributor network.

A third acquisition, Real Value Consultancy FZE was announced after the Company's half year on 8 October 2009.
Real Value was established in Dubai in February 2009 by Aninder Singh Sawhney who is an experienced Dubai-based
businessman. Real Value operates four futures trading desks and also has a trade license to practice banking
and financial consultancy services in the UAE. It is intended that Real Value will be re-named as TradeLabs
Middle East in due course. Real Value's trading desks have been incorporated into TradeLabs own proprietary
trading desk but will continue to operate from Dubai. Mr Sawhney will continue his relationship with TradeLabs
as a distributor covering the Middle East region.

Distribution Network

The Board is developing a strategy of locating strategically placed offices in major financial centres which
will support a growing number of distributors who are being actively recruited to market the Company's trading
technologies. Over the last three months distributors have been appointed in Hong Kong and Dubai, and on 25th
November 2009 an agreement was signed for a distributor covering California. These distributorships are in
addition to an existing agreement covering Sout East Asia.

Subscriber base

Subscription income has continued to grow over the last six months.

The original subscriber base has increased from 1,700 to over 2,000.

In addition the Company's distributors have signed 23 new customers who range from hedge funds to high net
worth individuals accounting for approximately US$ 2,000,000 deployed in the futures markets.

Proprietary trading

After the hiatus caused by the relocation of the Company's proprietary trading desk from Dubai to Singapore
normal trading was resumed in August and has since been augmented by the inclusion of the trading desks run by
Asher Investments and Real Value Consultancy.


The Board is pleased to announce that the Directors intend paying an increased interim dividend of GBP 0.002
(GBP 0.001 for its maiden dividend last year). The dividend will be paid to shareholders on the share register
at the close of business on 30th May 2010.

Following the high level of shareholders who opted to receive their final dividend in the form of scrip
dividend shares, the board will again offer this alternative to a cash dividend. Shareholders wishing to take
their dividend entitlement in the form of a scrip dividend will be able to subscribe for Ordinary shares at 22p
per TradeLabs' share. The scrip alternative is offered to all shareholders on the register at the close of
business on 30th May 2010.

Technology for Gaming Business

The company has also started to deploy its Algorithmic technology in the gaming industry with the first set of
live Algorithmic games scheduled to go live in Casino's in April 2010.


The Seventeen months since the Company commenced trading have seen marked contrasts in financial markets; the
last quarter of 2008 was particularly volatile but as markets have become calmer, the Company has deployed
different algorithms better suited to tracking less volatile conditions, again demonstrating its ability to
adapt and make profits in different market conditions. The Board believes that it has developed a suite of
algorithms covering all market conditions which it can offer to its customer base who range from hedge funds to
the private individual. The Board further believes that its policy of working with distributors is the most
efficient way of reaching a wider market. In the meantime, the Company will continue to refine existing
strategies and develop and test new algorithms which will introduce new concepts in trading technology.

Finally, the Board reports that the interest currently being generated in the Company's products is
outstripping server capacity resulting in a two week waiting period before new accounts can commence trading.
The Directors expect to be able to introduce additional servers to reduce customers' waiting time in the near

The Company will announce their audited results to 31 March 2010 as soon as possible but no later than 31
August 2010 as required by the PLUS Rules.

Niraj Goel, Chief Executive Officer

The Directors of TradeLabs PLC accept responsibility for the contents of this announcement.

Tradelabs Plc, Jersey

Statement of Income

For the period from 1st April 2009 to September 30, 2009

                                                            (GBP '000)
                                                                  27 Aug'08
                                                         April to     to 31
                                                        30 Sep'09    Mar'09

Revenue from Trading of Futures Contracts                   6,396     6,128
Revenue from Subscription Fees                                927       421
Trading Income                                                  -       887
Other Income                                                    2       201
Total Revenue                                               7,325     7,637

Cost of sales and other Direct Expenses                     (6662)   (5,822)
Gross Profit                                                  663     1,815

General, Administrative and Legal Expenses                   (437)     (474)

Operating Profit                                              226     1,342

Finance Cost                                                  (14)      (38)

Profit before Taxation                                        212     1,303

Taxation                                                       (5)        -

Profit for the Period                                         207     1,303

Attributable to:
Equity holders of the parent                                  207     1,303

Earning per share
Basic and diluted                                        0.000979   .006515

Tradelabs PLC, Jersey
Consolidated Balance Sheet as at September 30, 2009
                                                            (GBP '000)
                                                                  27 Aug'08
                                                                      to 31
                                                        30 Sep'09    Mar'09

Non-current Assets
Intangible Assets                                           7,359     5,000
Goodwill, Plant & Equipments                                  608         -
                                                            7,967     5,000

Current Assets
Trade & Other Receivable                                    2,297     2,825
Trading Stock                                                 827        60
Cash & Cash equivalents                                       806        40
                                                            3,930     2,925

TOTAL ASSETS                                               11,897     7,925

Equity attributable to holders of the parent
Share Capital                                               7,278     6,000
Retained Earnings                                           1,476     1,269
Minority Interest                                              92         -

Total Equity                                                8,846     7,269

Non-Current Liabilities
Provisions                                                    362         -
                                                              362         -

Current Liabilities
Other payables                                              2,377       656
Due to Related parties                                        312         -

Total Liabilities                                           2,689       656

Total Equity and Liabilities                               11,897     7,925

We approve these financial statements and confirm that we are responsible for them, including selecting the
accounting policies and making the judgments underlying them. We also confirm that we have made available all
relevant accounting records and information for their compilation.

These financial statements were approved on March 26th, 2010.

These figures are an abridged version of the Audit of the interim Financial Information as provided by James
Raj and Company Chartered Accountants

Niraj Goel, CEO

Board of Directors

Notes to Editors:

TradeLabs PLC admitted to trading on PLUS on 9th January 2009. The business was incorporated on 27 August 2008,
as a technology-based business which owns and exploits fully automated trading software for Futures trading and
also runs its own proprietary desk.

TradeLabs Plc


TradeLabs PLC
Naranjan Naidoo
+ 44 776 884 1845


TradeLabs PLC
Niraj Goel
+ 65 8363 5566


TradeLabs PLC
Yana Slatina
Investor Relations
+ 65 9372 7605

Contact Information

  • TradeLabs Plc