UIPATH UK LIMITED

Company Registration Number:
09932290 (England and Wales)

Unaudited statutory accounts for the year ended 31 January 2023

Period of accounts

Start date: 1 February 2022

End date: 31 January 2023

UIPATH UK LIMITED

Contents of the Financial Statements

for the Period Ended 31 January 2023

Directors report
Profit and loss
Balance sheet
Additional notes
Balance sheet notes

UIPATH UK LIMITED

Directors' report period ended 31 January 2023

The directors present their report with the financial statements of the company for the period ended 31 January 2023

Principal activities of the company

UiPath UK Limited is a privately held company owned by UiPath Inc., which is based in the United States of America and headquartered in New York.UiPath Inc. is a global software company that was first established in 2005 and incorporated in Delaware in 2015. Since that time, UiPath has evolved to an end to end AI powered automation platform through development and acquisitions, launched new products, and expanded our operations across the globe.First established in a Bucharest, Romania apartment in 2005, UiPath was incorporated in Delaware in 2015 as a company principally focused on building and managing automations and developing computer vision technology, which remains the foundation of our platform today. Since that time, we have evolved from our beginnings in RPAinto an end to end AI powered Business Automation Platform through development and acquisitions, have launched new products, and have expanded our operations across the globe. Our vision is to enable automation across all knowledge work to accelerate human achievement. We are leading a new era of workforce productivity, inspired by the rise of business automation platforms across enterprises everywhere.The UiPath Business Automation Platform is The Foundation of Innovation because it can be used everywhere, by everyone, for everything, to benefit every business. We provide our customers with a robust set of capabilities that allow them to discover opportunities for automation, automate using a digital workforce that seamlessly collaborates with humans, and operate a mission critical automation program at scale. Our platform combines generative and specialized AI with the agility and speed of enterprise automation. It enables employees to quickly build automations for both existing and new processes and to automate a vast array of actions including, but not limited to, logging into applications, extracting information from documents, moving folders, filling in forms, reading emails, and updating information fields and databases. The ability of our platform to replicate stepsperformed by humans in executing business processes drives operational efficiencies and enables companies to deliver on key digital initiatives with greater speed, agility, and accuracy.AI powered automation is here, and its momentum is continuing to grow as organizations around the world begin to understand the combined power of automation and AI to drive efficiency and accelerate business outcomes. We aspire to be the defining business automation platform, advancing the evolution of automation and AI as a way ofworking and a catalyst for continuous reinvention.A fragmented application landscape complicates business processes and hinders digital transformation Businesses worldwide have spent billions of dollars on software in an attempt to drive efficiency and competitive advantages. A proliferation of applications has resulted in a shift from traditional software suites to specialized point solutions. Enterprises have transitioned from managing a handful of multi-purpose, largely on-premises applications to managing hundreds or thousands of point solutions deployed across on-premises, cloud, and hybrid environments. These applications, which were generally not designed for interoperability, run in tandem with legacy technologies, relying on humans to act as the connective tissue in the performance of business processes. As a result, employees lose valuable time navigating a fragmented application landscape and attention is diverted away from more cognitive activities that could directly improve business outcomes.Automation of personal workflows can lead to a democratization of automation Employees must navigate an ever-increasing number of systems and applications and execute many manual and repetitive tasks in the performance of their day-to-day work, leading to frustration and lost productivity. While traditional automation solutions have attempted to address this friction, they frequently fall short of expectations because they have been designed for use by developers and engineers, rather than the employees who are directly involved in and familiar with the work being automated. By contrast, low-code solutions require little technical expertise and empower employees to use their firsthand knowledge of business processes to easily automate their personal workflows, resulting in personal and organizational benefits.Resource constraints require organizations to maximize workforce productivity Enterprises are under pressure to maximize the productivity of their employees. This is even more critical in the current macroeconomic climate. Inflationary tensions have caused resource constraints for organizations, driving them to become more cost-conscious and seek new opportunities for efficiency and savings. Investment in automation allows organizations to devote human capital resources to the highest value tasks that humans do best,such as abstract thinking, innovation, relationship building, and dealing with ambiguity.Recent advancements in AI are enabling automation of sophisticated business processes and broader use cases While RPA can easily capture data and manipulate applications like a person would, automation of certain more complex and cognitive tasks has historically been out of reach. The evolution of AI, which refers to decision-making capabilities demonstrated by computer programs, has now enabled the automation of processes with characteristics such as high variability, inherent uncertainty, and unstructured data that would have been impossible to automate with RPA alone. AI expands capabilities by enabling automations to learn how to read, write, listen, recognize patterns, and make complex decisions, bringing automation to a new level by opening a world of new opportunities for business growth, cost reduction, and improved productivity.The companys revenue for the year ended 31 January 2023 was GBP46,686,574 (2022 GBP60,516,282). The company earns revenue by recharging sales assistance, marketing support and Research and Development services expenses incurred to an affiliate at a mark-up.The decrease in administrative expenses to GBP 38,808,963 (2022 GBP 49,602,081) is driven mainly by higher costs due to salary taxes on group share based payments and intercompany share transactions – refer also to Notes 7 Employees and 16 Share based payments.The companys profit for the year before taxation amounted to GBP 3,335,171 (2022 GBP 4,457,791).Principal risks and uncertaintiesIt is not possible to identify or anticipate every risk that may affect the company, or the materiality of that risk, however, the principal risks and uncertainties are set out below. Growth Strategy The companys growth is dependent on the overall growth of UiPath. UiPath growth and future success will be dependent to some extent on its successful completion of such growth and expansion strategies and the sufficiency of demand for its software. Market Acceptance A large proportion of UiPath target market uses traditional systems relying on humandriven activities for the major part of their operations. Failure to educate the market on the benefits of softwaremachine-driven technology may result in potential customers continuing to favor traditional methodologies,resulting in a low or slow adoption rate and slower growth in UiPath revenues and profits. Software Reliability Undetected software defects may result in our failure to meet customers performancerequirements or otherwise satisfy contract specifications. This may result in lost customers, becoming liable toour customers for damages and this may, amongst other things, damage UiPath reputation and financialcondition. Unfavorable Conditions Unfavorable conditions in our industry, or the global economy, or reductions in ITspending, could limit our ability to grow our business and negatively affect our results of operations. Thecompanys board has overall responsibility for risk management and monitors and manages these risks throughthe implementation of appropriate controls.Financial key performance indicatorsThe company has a number of internal business targets that are closely monitored by the companys directors.Targets that are monitored closely are, among others, renewal rates of licenses bought by clients and the number ofnew clients. Given the nature of the services provided by UiPath UK Limited to UiPath Inc., there are closelymonitored KPIs that measure the activity performed by the company under the supervision of the UiPath Groupprincipals1. Demand generation for the UK market2. Expansion of the market share for Intelligent Automation and in the UK3. Growth of overall group annual recurrent revenues and incremental annual recurrent revenues.4. Working under the supervision of the UiPath group principals to enhance the group R and DPost balance sheet eventsThe Company is undergoing a compliance check tax audit performed by HMRC in relation to the PAYE taxation of the stock based compensation granted to its employees that has been initiated on 18 November 2022. At the date of the approval of these financial statements, this compliance check tax audit has not been completed and we expect that such a closure will occur during the calendar year 2024. The latest communication from the Company on the preliminary findings issued by HMRC on 7 November 2023 has been performed on 8 January 2024. No formal or informal reply from HMRC has been provided up to the date of the issuance of these financial statements. As the position of the Company is different vs the HMRC preliminary findings, in the likely event of a possible future litigation on such matter, although the Company has sound and strong reasons to believe such a possible litigation would be ruled in its favor, the Company cannot however rule out a material tax settlement in relation to such a possible tax litigation. However, under the intercompany agreement and transfer pricing policy of the UiPath group, any additional tax liabilities assessed and booked in the income statement of UiPath UK Limited would be part ofthe cost base and will be recharged to UiPath SRL.Section 172 (1) StatementSection 172 of The Companies Act 2006 states that a director of a company must act in the way it considers, ingood faith, would be most likely to promote the success of the company for the benefit of its members as a whole.In doing so a director of a company must have regard (amongst other matters) toa. The likely consequences of any decision in the long term;b. The interests of the companys employees;c. The need to foster the companys business relationships with suppliers, customers and others;d. The impact of the companys operations on the community and the environment;e. The desirability of the company maintaining a reputations for high standards of business conduct; andf. The need to act fairly as between members of the company.The directors have received guidance and training to support the performance of their statutory duties and have been briefed on the additional reporting requirements introduced by the Companies (Miscellaneous Reporting) Regulations 2018. In discharging our section 172 duties we have regard to the factors set out above. We also have regard to other factors which we consider relevant to the decision being made. Those factors, for example, include the interests and views of our shareholders, other group companies, pension scheme members and other relevant stakeholders. We acknowledge that every decision we make will not necessarily result in a positive outcome for all of our stakeholders. By considering the companys purpose, vision and values together with its strategic priorities and having a process in place for decision-making, we do, however, aim to make sure that our decisions are consistent and predictable.The directors reviewed their current approach to corporate governance and decision making, engagement with stakeholders and the companys impact on the environment.The company is part of UiPath Group, ultimate holding company UiPath Inc., incorporated in the United States of America is a company listed on New York Stock Exchange. For more information please refer to UiPath, Inc. annual report. Copies of the financial statements of UiPath Inc, are available from the SEC website or UiPath website.Strategy and objectivesThe company will continue to perform the services provided to UiPath Inc. The company will scale its business through activities such as organizing marketing events arid participating in sponsorship events, increasing awareness of the brand, communicating with clients and performing various analysis related to industry trends and market evolution.



Directors

The directors shown below have held office during the whole of the period from
1 February 2022 to 31 January 2023

Ionut-Valentin Sas
Brad Brubaker
Mihai Faur
John Patrick Kelleher


The above report has been prepared in accordance with the special provisions in part 15 of the Companies Act 2006

This report was approved by the board of directors on
19 July 2023

And signed on behalf of the board by:
Name: Ionut-Valentin Sas
Status: Director

UIPATH UK LIMITED

Profit And Loss Account

for the Period Ended 31 January 2023

2023 2022


£

£
Turnover: 46,686,574 60,516,282
Cost of sales: ( 4,542,440 ) ( 6,391,683 )
Gross profit(or loss): 42,144,134 54,124,599
Distribution costs: 0 0
Administrative expenses: ( 38,808,963 ) ( 49,602,081 )
Other operating income: 0 0
Operating profit(or loss): 3,335,171 4,522,518
Interest receivable and similar income: 0 0
Interest payable and similar charges: 0 ( 64,727 )
Profit(or loss) before tax: 3,335,171 4,457,791
Tax: ( 298,809 ) 0
Profit(or loss) for the financial year: 3,036,362 4,457,791

UIPATH UK LIMITED

Balance sheet

As at 31 January 2023

Notes 2023 2022


£

£
Called up share capital not paid: 0 0
Fixed assets
Intangible assets: 3 7,496,636 0
Tangible assets: 4 204,196 85,888
Investments:   0 0
Total fixed assets: 7,700,832 85,888
Current assets
Stocks:   0 0
Debtors: 5 24,395,040 32,764,841
Cash at bank and in hand: 4,210,339 8,976,819
Investments:   0 0
Total current assets: 28,605,379 41,741,660
Prepayments and accrued income: 0 0
Creditors: amounts falling due within one year:   0 0
Net current assets (liabilities): 28,605,379 41,741,660
Total assets less current liabilities: 36,306,211 41,827,548
Creditors: amounts falling due after more than one year: 6 ( 53,991,963 ) ( 31,637,849 )
Provision for liabilities: 0 0
Accruals and deferred income: 0 0
Total net assets (liabilities): (17,685,752) 10,189,699
Capital and reserves
Called up share capital: 10,000 10,000
Share premium account: 0 0
Other reserves: (30,911,813) 0
Profit and loss account: 13,216,061 10,179,699
Total Shareholders' funds: ( 17,685,752 ) 10,189,699

The notes form part of these financial statements

UIPATH UK LIMITED

Balance sheet statements

For the year ending 31 January 2023 the company was entitled to exemption under section 477 of the Companies Act 2006 relating to small companies.

The members have not required the company to obtain an audit in accordance with section 476 of the Companies Act 2006.

The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of accounts.

These accounts have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

This report was approved by the board of directors on 25 March 2024
and signed on behalf of the board by:

Name: Ionut-Valentin Sas
Status: Director

The notes form part of these financial statements

UIPATH UK LIMITED

Notes to the Financial Statements

for the Period Ended 31 January 2023

  • 1. Accounting policies

    Basis of measurement and preparation

    These financial statements have been prepared in accordance with the provisions of Section 1A (Small Entities) of Financial Reporting Standard 102

UIPATH UK LIMITED

Notes to the Financial Statements

for the Period Ended 31 January 2023

  • 2. Employees

    2023 2022
    Average number of employees during the period 136 115

UIPATH UK LIMITED

Notes to the Financial Statements

for the Period Ended 31 January 2023

3. Intangible assets

Goodwill Other Total
Cost £ £ £
At 1 February 2022 0 0 0
Additions 0 8,329,596 8,329,596
Disposals 0 0 0
Revaluations 0 0 0
Transfers 0 0 0
At 31 January 2023 0 8,329,596 8,329,596
Amortisation
At 1 February 2022 0 0 0
Charge for year 0 277,653 277,653
On disposals 0 0 0
Other adjustments 0 555,307 555,307
At 31 January 2023 0 832,960 832,960
Net book value
At 31 January 2023 0 7,496,636 7,496,636
At 31 January 2022 0 0 0

UIPATH UK LIMITED

Notes to the Financial Statements

for the Period Ended 31 January 2023

4. Tangible assets

Land & buildings Plant & machinery Fixtures & fittings Office equipment Motor vehicles Total
Cost £ £ £ £ £ £
At 1 February 2022 19,376 0 36,021 378,440 0 433,837
Additions 0 0 0 184,922 0 184,922
Disposals 0 0 0 ( 3,522 ) 0 ( 3,522 )
Revaluations 0 0 0 0 0 0
Transfers 0 0 0 129,990 0 129,990
At 31 January 2023 19,376 0 36,021 689,830 0 745,227
Depreciation
At 1 February 2022 19,376 0 15,348 313,225 0 347,949
Charge for year 0 0 5,571 99,158 0 104,729
On disposals 0 0 0 ( 3,338 ) 0 ( 3,338 )
Other adjustments 0 0 0 91,691 0 91,691
At 31 January 2023 19,376 0 20,919 500,736 0 541,031
Net book value
At 31 January 2023 0 0 15,102 189,094 0 204,196
At 31 January 2022 0 0 20,673 65,215 0 85,888

UIPATH UK LIMITED

Notes to the Financial Statements

for the Period Ended 31 January 2023

5. Debtors

2023 2022
£ £
Trade debtors 23,083,841 31,447,051
Prepayments and accrued income 597,789 300,345
Other debtors 713,410 1,017,445
Total 24,395,040 32,764,841
Debtors due after more than one year: 0 0

UIPATH UK LIMITED

Notes to the Financial Statements

for the Period Ended 31 January 2023

6. Creditors: amounts falling due after more than one year note

2023 2022
£ £
Bank loans and overdrafts 0 0
Amounts due under finance leases and hire purchase contracts 0 0
Other creditors 53,991,963 31,637,849
Total 53,991,963 31,637,849

UIPATH UK LIMITED

Notes to the Financial Statements

for the Period Ended 31 January 2023

7. Financial Commitments

Pension commitmentsThe company operates a defined contributions pension scheme. The assets of the scheme are held separatelyfrom those of the company in an independently administered fund. The pension cost charge representscontributions payable by the company to the fund and amounted to £866,679 (2022: £685,291). An amountof £88,757 (2022: £65,304) was included in accruals as at 31 January 2023.