Kasei Digital Assets Plc - Half-Year Results

Kasei Digital Assets Plc - Half-Year Results

PR Newswire

LONDON, United Kingdom, April 26

KASEI DIGITAL ASSETS PLC

("Kasei" or the "Company")

Half-Year Results

Kasei Digital Assets PLC (AQSE: KASH), a digital asset and web 3.0 investment company, announces its unaudited Half-Year results for the six months ended 31 January 2024. The full unaudited financial statements will be uploaded to the Company website:

https://kaseidigitalassets.com

Period Highlights

During the period the Company has taken advantage of market turbulence to add to core positions as well as incept new opportunistic trades. The Company added to its position in the Grayscale Bitcoin Investment Trust at significant discounts to NAV as well as averaging down on high conviction holdings.

The overall market recovery helped the digital assets the Company held increase by over £600,000 to £1,980,104. In addition the Company also grew its income from staking and yield generation.

Post Period Highlights

Following the approval of spot BTC ETF's in January the Company closed its position in GBTC and rolled some of the profits into spot BTC. The significant inflows generated by the ETF launches has led to an appreciation in NAV to £3,684,327.83 as at 31 March 2024.

Staking rewards and income from yield generating strategies are also expected to be markedly higher this year with spot prices at current levels.

Outlook

Our portfolio as of 31 March 2024 is as follows:

Asset	Quantity	Price	Valuation
BTC	29.50	$70,858.00	$2,090,311
ETH	262.93	$3,624.00	$952,858
LINK	4,990.00	$19.02	$94,910
SOL	1,000.00	$199.72	$199,720
AR	2,500.00	$38.54	$96,350
ALGO	13,061.58	$0.26	$3,455
AVAX	1,026.71	$53.72	$55,155
QNT	2,500.00	$133.07	$332,675
HBAR	249,890.00	$0.12	$28,837
HNT	2,500.00	$5.99	$14,975
DAG	2,500,000.92	$0.06	$156,250
LTX	50,000.00	$0.16	$7,850
ADS	500,000.00	$0.22	$111,000
TAO	50.00	$498.13	$24,907

The management of Kasei remains confident that the Digital Asset industry will have further growth this year as ETF adoption continues both in the USA and in other jurisdictions across the world. There has also been a lot of attention paid over the last few weeks to BlackRock, the world's largest asset manager, which has launched its first tokenised money market fund on the Ethereum blockchain. As more and more use cases and utility come to the fore we believe the asset prices will rise to reflect this demand and that we are well placed to capitalise on the opportunities as they arise.

further information please contact:

Kasei Digital Assets PLC Engage with us directly at our investor hub	Jai Patel Chief Investment Officer	Sign up at: investors.kaseidigitalassets.com [e-mail]
VSA Capital Limited (AQSE Corporate Adviser)	Simon Barton / Thomas Jackson (Corporate Finance)	[phone]

About Kasei Digital Assets

Kasei is a team of experienced financial experts who came together through a shared interest in the digital asset ecosystem and the belief that blockchain technology will transform industries and have significant global economic impact.

Kasei's cumulative 100 years plus experience in navigating traditional financial markets, in particular highly volatile asset classes, provides the Company with a solid grounding to build a balanced portfolio positioned to take advantage of the disruptive innovation in this space.

Despite Kasei's belief that these assets are positioned for highly significant long-term gains, the Company employs a balanced risk-and-reward strategy. This provides shareholders with an actively managed portfolio of crypto assets, as well as exposure to investments in blockchain enabled companies and technology, all in the form of one listed security.

STATEMENTOFCOMPREHENSIVEINCOME FORTHEPERIODENDED31JANUARY2024
	Unaudited periodto31	AUDITED
Note	January 2024 £	YeartoJuly 2023 £
Turnover 3	18,803	40,519
Grossprofit	18,803	40,519
Administrative expenses	(173,263)	(290,042)
Profit (loss) on disposal of digital asset	4,075	(701)
Impairment of digital asset	-	(128,101)
Operatingloss	(150,385)	(378,325)
Tax on loss	-	94,581
Lossforthefinancialperiod	(150,385)	(283,744)
Othercomprehensiveincomefortheperiod
Fair value movements	647,112	14,153
Othercomprehensiveincomefortheperiod	647,112	14,153
Totalcomprehensiveincomefortheperiod	496,727	(269,591)
The notes form part of these financial statements.

REGISTEREDNUMBER:13503888

BALANCE SHEET

ASAT31JANUARY2024

			Unaudited
			periodto31		AUDITED
			January		YeartoJuly
			2024		2023
	Note		£		£
Fixedassets
Intangible assets	5		1,980,104		1,434,003
Other fixed asset investments			149,715		89,679
Investment in subsidiary			50,000		50,000
			2,179,819		1,573,682
Currentassets
Debtors: amounts falling due within one year	7	613,011		636,630
Cash at bank and in hand	8	266,970		351,469
		879,981		988,099
Creditors: Amounts Falling Due Within One Year	9	(251,718)		(250,426)
Netcurrentassets			628,263		737,673
Totalassetslesscurrentliabilities			2,808,082		2,311,355
Netassets			2,808,082		2,311,355
Capitalandreserves
Called up share capital	10		332,284		332,284
Share premium account			3,789,677		3,789,677
Treasury Shares			(27,992)		(27,992)
Other reserves			661,265		14,153
Profit and loss account			(1,947,152)		(1,796,767)
			2,808,082		2,311,355

The financial statements were approved and authorised for issue by the board and were signed on its behalf on 24 April 2024.

................................................

BrendanKearns

Director

The notes form part of these financial statements.

STATEMENT OF CHANGES IN EQUITY FORTHEPERIODENDED31JANUARY2024

Calledup sharecapital £		Share premium account £		Treasury Shares £		Other reserves £	Profitand lossaccount £		Totalequity £
At1February2023	290,617	3,639,253		-		-	(1,513,023)		2,416,847
Loss for the period	- - - - (283,744)								(283,744)
Other comprehensive income	- - - 14,153 -								14,153
Unsubscribed shares	- - (27,992) - -								(27,992)
Shares issued during the period	41,667 150,424 - - -								192,091
At1August2023	332,284		3,789,677		(27,992)	14,153		(1,796,767)	2,311,355
Loss for the period	- - - -						(150,385)		(150,385)
Movement in fair value	- - - 647,112						-		647,112
At31January2024	332,284		3,789,677		(27,992)	661,265		(1,947,152)	2,808,082

The notes form part of these financial statements.

STATEMENT OF CASH FLOWS

FORTHEPERIODENDED31JANUARY2024

	Unaudited
	periodto31	AUDITED
	January	yearto July
	2024	2023
	£	£
Cashflowsfromoperatingactivities
Loss for the financial period	(150,385)	(283,744)
Adjustmentsfor:
Impairments of fixed assets	-	116,781
Profit on disposal of digital asset	4,075	-
Income generated on digital assets	21,925	-
Decrease/(increase) in debtors	23,619	(114,167)
Increase/(decrease) in creditors	1,291	(14,064)
Increase in interactive broker cash investment	79,926	-
Netcashgeneratedfromoperatingactivities	(19,549)	(295,194)
Cashflowsfrominvestingactivities
Purchase of digital assets	(14,150)	(623,457)
Sale of digital assets	9,236	532,958
Purchase of unlisted and other investments	(60,036)	(75,275)
Netcashfrominvestingactivities	(64,950)	(165,774)
Cashflowsfromfinancingactivities
Issue of ordinary shares	-	164,099
Netcashusedinfinancingactivities	-	164,099
Net(decrease)incashandcashequivalents	(84,499)	(296,869)
Cash and cash equivalents at beginning of period	351,469	648,338
Cashandcashequivalentsattheendofperiod	266,970	351,469
Cashandcashequivalentsattheendofperiodcomprise:
Cash at bank and in hand	266,970	351,469
	266,970	351,469
The notes form part of these financial statements.

NOTES TO THE FINANCIAL STATEMENTS FORTHEPERIODENDED31JANUARY2024

1. General information

Kasei Digital Assets Plc ("the Company") is a public limited company limited by shares and incorporated in England. Its registered office is 72 Charlotte Street Ground Floor, London, England, W1T 4QQ, United Kingdom.

The Company's shares are traded on the Aquis Stock Exchange Growth Market under ticker KASH and ISIN number GB00BN950D98.

The Company's aim is to provide investors with exposure to the digital assets ecosystem and an attractive rate of return by leveraging the Board's expertise, experience and networks in the cryptocurrency sector. The Company also intends to invest in venture capital and private equity investments in the blockchain ecosystem.

2. Accounting policies
   1. Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the Company's accounting policies.

The following principal accounting policies have been applied:

2.2Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

2.3Currentanddeferredtaxation

The tax expense for the period comprises current and deferred tax. Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the balance sheet date in the countries where the Company operates and generates income.

2.4Debtors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

2. Accountingpolicies(continued)

2.5Cashandcashequivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

In the Statement of Cash Flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the Company's cash management.

2.6Creditors

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

3.	Turnover
	An analysis of turnover by class of business is as follows:
		Unaudited periodto31		AUDITED
		January		yearto31
		2024 £		July2023 £
	Staking income	8,439		12,997
	Option income	4,190		20,469
	Interest income	6,174		7,052
		18,803		40,518

4.	Directors'remuneration
		Unaudited periodto31		AUDITED
		January		yearto31
		2024 £		July2023 £
	Directors' emoluments	27,000		48,000
		27,000		48,000

5. Intangibleassets
				DigitalAssets £
Cost
At 1 August 2023				1,434,003
Additions				14,150
Disposals				(9,236)
Revaluation surplus				541,187
At 31 January 2024				1,980,104
Netbookvalue
At 31 January 2024				1,980,104
At31July2023				1,434,003
6. Fixedassetinvestments
	Investments in		Otherfixed
	subsidiary companies		asset investments	Total
	£		£	£
Costorvaluation
At 1 August 2023	50,000		89,679	139,679
Additions	-		60,036	60,036
At 31 January 2024	50,000		149,715	199,715

7. Debtors

	Unaudited period to 31 January	Audited period to 31 January
	2024 £	2023 £
Other debtors	13,940	37,559
Deferred taxation	599,071	599,071
	613,011	636,630

8.	Cashandcashequivalents
		Unaudited periodto31 January 2024 £		AUDITED yearto31 July 2023 £
	Cash at bank and in hand	266,970		351,469
		266,970		351,469
9.	Creditors:Amountsfallingduewithinoneyear
		Unaudited periodto31 January 2024 £		AUDITED yearto31 July 2023 £
	Trade creditors	878		316
	Amounts owed to group companies	207,200		207,200
	Other taxation and social security	7,016		6,287
	Other creditors	6,273		6,272
	Accruals and deferred income	30,351		30,351
		251,718		250,426

10. Share capital

	Unaudited period to 31 January	Audited period to 31 January
	2024 £	2023 £
Allotted, called up and fully paid
30,429,193 (2023 - 30,429,193) Ordinary Share Capital (subscribed shares)	304,292	304,292
shares of £0.01 each
2,799,157 (2023 - 2,799,157) Treasury Shares (unsubscribed shares) shares of £0.01 each	27,992	27,992
	332,284	332,284

11. Earnings per share

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

Diluted earnings per share are calculated by dividing the profit attributable to ordinary owners of the parent by the weighted average number of ordinary shares outstanding during the year plus the weighted average number of ordinary shares that would have been issued on the conversion of all dilutive potential ordinary shares into ordinary shares.

The following reflects the income and share data used and dilutive earnings per share computations to the period 31 January 2024:

Unaudited periodto31

January

2024

£

Profit / (loss) for the period attributable to owners of the Company (147,263)

Numberofshares

Basic weighted average number of shares 30,429,193

Effect of dilutive share options -

Diluted weighted average number of shares 30,429,193

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