Our opinion on the current state of NUMERAL(XII)Previously known as "Go Life International" (GLI), Numeral is a company listed in Mauritius with a secondary listing on the JSE's Alt-X market. The company operates in the "nutraceuticals" sector, focusing on products associated with alternative medicine. These products are not pharmaceuticals but claim to provide health benefits. Numeral was established to acquire and exploit nutraceutical-producing companies in South Africa, currently owning Go Life Health Products and Gotha Health Products.
In its results for the six months to 31st August 2023, the company reported zero revenue and a headline loss per share (HEPS) of 0.0051 cents (US), compared with a loss of 0.0044 cents in the previous period. The company stated, "...the asset base had been completely eroded, which required a full write-off of all the underlying investments of $34,851,774 in 2020. The recapitalisation process was completed in the first quarter of 2023. The Board approved subscription agreements for the issue of 465,000,000 new shares, of which 132,500,000 were the treasury shares recovered above."
In its financials for the nine months to 30th November 2023, the company again reported zero revenue and a headline loss per share of 0.07 cents (US), with a net loss of $80,777 and a negative net asset value (NAV). The company has faced challenges, including delays in publishing its financial statements.
Until Numeral can generate revenue and improve the free float and tradability of its shares, it remains an impractical investment for private investors. On 6th November 2023, the company's board announced a proposal to change its name from "Go Life International" to "Numeral Limited."
In a trading statement for the six months to 31st August 2024, the company estimated a 292% increase in HEPS. However, in an update for the nine months to 30th November 2024, it reported unchanged turnover but an improvement in HEPS to 0.0283 cents, compared with 0.007 cents in the previous period.
While the increase in HEPS is a positive development, the company’s lack of revenue generation, history of financial delays, and negative NAV indicate significant risks. Until these issues are addressed, Numeral is unlikely to appeal to private investors seeking practical and stable opportunities.
