Half-year Results
Tanfield Group Plc reported a loss of £661,000 for the six months ending 30 June 2026, an increase from the £540,000 loss in the prior year period, primarily due to ongoing legal and professional fees related to US proceedings concerning its 49% investment in Snorkel International Holdings LLC, valued at £19.1m. The company's cash and short-term deposits decreased to £1.1m as of 30 June 2026, down from £2.1m at the end of December 2025. Despite Snorkel intending to appeal court rulings, Tanfield remains optimistic about a return of value to shareholders from its Snorkel investment.
| Half year to 30 Jun 2026 | Now | Year before | Change |
|---|---|---|---|
| Profit before tax | (£0.7m) | (£0.5m) | |
| Net income | (£0.7m) | (£0.5m) | |
| Cash from operations | (£1.0m) | (£0.5m) | |
| Cash | £0.2m | £0.4m | −43.5% |
Figures as reported, converted to £ where needed – see all financials.
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Tanfield, an investing company as defined by AIM Rules, announces its half year results for the period ending 30 June 2026. The unaudited financial information will shortly be available on the Company website at www.tanfieldgroup.com.
Background and highlights
Tanfield is a 49% member of Snorkel International Holdings LLC (“Snorkel”) following the joint venture between the Company and Xtreme Manufacturing LLC (“Xtreme”) (the “Contemplated Transaction”), in October 2013.
The Snorkel investment is valued at £19.1m. The outcome of the US Proceedings referenced below could have an impact on this valuation.
On 22 October 2019, the Company announced that it had received a Summons and Complaint, filed in Nevada (the “US Proceedings”) by subsidiaries of Xtreme, relating to the Contemplated Transaction.
The Company announced on 19 May 2025 that the Court granted its motion concerning the contractual obligations of Snorkel under the agreements of the Contemplated Transaction; on 26 November 2025 that the Court granted its further motion that because Snorkel exercised its Call Option in November 2018, it must fulfil the contractual obligations to acquire the Company’s 49% interest; and on 3 March 2026 announced that the Court granted its motion for certification of the prior orders as final judgments.
The Company's loss in H1 2026 was £661k (H1 2025: £540k) with the largest expense being the ongoing legal and professional fees relating to the US Proceedings.
As at 30 June 2026, the Company had cash and short-term deposits of £1.1m (Dec 2025: £2.1m).
Overview of investments
As announced on 1 April 2026, the Company received notification that Snorkel intends to appeal the Court’s rulings in the US Proceedings. The Board of Tanfield (the “Board”) also reported that the remaining matters to be resolved were not expected to conclude until after the completion of the appeal process. The Board believes it likely that the Nevada Supreme Court will uphold the rulings made by the District Court in the US Proceedings, and as such continues to believe that the investment in Snorkel International should result in a return of value to Shareholders.
The Board further reports that since then, as expected, the Court granted a stay of the remaining litigation matters pending the resolution of the appeal. Currently, it is not known exactly when that is likely to be, but further updates will be provided to Shareholders in due course. While the remaining litigation matters have been stayed, the Company continues to focus on other matters relating to the US Proceedings, including seeking to progress the collection of its final judgment.
The Board will continue to vigorously protect its position in the US litigation, whilst continuing to seek advice, and further updates will be provided to Shareholders as and when appropriate.
Share capital Share premium Merger reserve Special reserve Retained earnings Total £000's £000's £000's £000's £000's £000's Six months to 30 June 2026 (unaudited) At 1 January 2026 8,145 17,336 1,534 66,837 (73,237) 20,615 Comprehensive income Loss for the period - - - - (661) (661) Total comprehensive income for the period - - - - (661) (661) At 30 June 2026 8,145 17,336 1,534 66,837 (73,898) 19,954 Six months to 30 June 2025 (unaudited) At 1 January 2025 8,145 17,336 1,534 66,837 (71,564) 22,288 Comprehensive income Loss for the period - - - - (540) (540) Total comprehensive income for the period - - - - (540) (540) At 30 June 2025 8,145 17,336 1,534 66,837 (72,104) 21,748 Year to December 2025 (audited) At 1 January 2025 8,145 17,336 1,534 66,837 (71,564) 22,288 Comprehensive income Loss for the period - - - - (1,673) (1,673) Total comprehensive income for the year - - - - (1,673) (1,673) At 31 December 2025 8,145 17,336 1,534 66,837 (73,237) 20,615
CASH FLOW STATEMENT
FOR THE SIX MONTHS ENDING 30 JUNE 2026
| Six months to 30 Jun 26 (unaudited) | Six months to 30 Jun 25 (unaudited) | Year to 31 Dec 25 (audited) | |
|---|---|---|---|
| £000's | £000's | £000's | |
| (Loss)/profit before tax | (661) | (540) | (1,673) |
| Adjustment for: | |||
| Finance expense | - | - | - |
| Finance income | (16) | (49) | (85) |
| Changes in operating assets and liabilities / working capital: | |||
| (Increase)/decrease in receivables | 1 | 14 | 4 |
| Increase/(decrease) in payables | (304) | 97 | 517 |
| Net Cash used in operations | (980) | (478) | (1,237) |
| Cash flow from Investing Activities | |||
| Interest received | 16 | 49 | 85 |
| Short-term deposits – placed on deposit | - | (2,500) | (2,500) |
| Short-term deposits – receipts from withdrawals | 800 | 450 | 1,150 |
| Net Cash generated from/(used in) investing activities | 816 | (2,001) | (1,265) |
| Net decrease in cash and cash equivalents | (164) | (2,479) | (2,502) |
| Cash and cash equivalents at the start of period | 407 | 2,909 | 2,909 |
| Cash and cash equivalents at the end of the period | 243 | 430 | 407 |
1 Basis of preparation The Interim Report of the Company for the six months ended 30 June 2026 has been prepared in accordance with AIM Rule 18 and not in accordance with IAS34 "Interim Financial Reporting" therefore is not fully in compliance with IFRS. The half year report does not constitute financial statements as defined in Section 434 of the Companies Act 2006 and does not include all of the information and disclosures required for full annual statements. It should be read in conjunction with the annual report and financial statements for the year ended 31 December 2025 which is available on request from the Company's registered office, c/o Weightmans LLP, 1 St James’ Gate, Newcastle upon Tyne, NE1 4AD or can be downloaded from the corporate website www.tanfieldgroup.com. 2 Accounting Policies Impact of accounting standards to be applied in future periods There are a number of standards and interpretations which have been issued by the International Accounting Standards Board that are effective for periods beginning subsequent to 31 December 2026 that the Company has decided not to adopt early. The Company does not believe these standards and interpretations will have a material impact on the financial statements once adopted.
3 Loss per share
The calculation of the basic and diluted loss per share is based on the following data:
| Six months | Six months | Year to | |
|---|---|---|---|
| to 30 Jun 26 | to 30 Jun 25 | 31 Dec 25 | |
| Number of shares | 000's | 000's | 000's |
| Weighted average number of ordinary shares for the purposes of basic earnings per share | 162,907 | 162,907 | 162,907 |
| Loss or the period | £000's | £000's | £000's |
| Loss for the purposes of basic earnings per share being net profit attributable to owners of the parent | (661) | (540) | (1,673) |
| Loss per share for the period | |||
| Basic and diluted (p) | 0.41 | 0.33 | 1.03 |
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