Company registration number 08536866 (England and Wales)
SUPERDIELECTRICS LIMITED
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
SUPERDIELECTRICS LIMITED
COMPANY INFORMATION
Directors
Mr F J Heathcote
Mr Marcus Scott
Secretary
Mr Marcus Scott
Company number
08536866
Registered office
The Mansion
Chesterford Park
Little Chesterford
Saffron Walden
CB10 1XL
Auditor
Ensors Accountants LLP
Saxon House
Moseley's Farm Business Centre
Fornham All Saints
Bury St Edmunds
IP28 6JY
Business address
The Mansion
Chesterford Park
Little Chesterford
Saffron Walden
CB10 1XL
Bankers
Lloyds Bank Plc
49 Howardgate
Welwyn Garden City
AL8 6BA
SUPERDIELECTRICS LIMITED
CONTENTS
Page
Directors' report
1 - 2
Independent auditor's report
3 - 5
Income statement
6
Statement of financial position
7 - 8
Statement of changes in equity
9
Statement of cash flows
10
Notes to the financial statements
11 - 33
SUPERDIELECTRICS LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 MARCH 2024
- 1 -

The directors present their annual report and financial statements for the year ended 31 March 2024.

Principal activities

The principal activity of the company continued to be that of research and experimental development of natural sciences and engineering.

Results and dividends

The results for the year are set out on page 6.

No ordinary dividends were paid. The directors do not recommend payment of a final dividend.

No preference dividends were paid. The directors do not recommend payment of a final dividend.

Directors

The directors who held office during the year and up to the date of signature of the financial statements were as follows:

Mr F J Heathcote
Mr Marcus Scott
Statement of directors' responsibilities

The directors are responsible for preparing the annual report and the financial statements in accordance with applicable law and regulations.

 

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with International Financial Reporting Standards (IFRSs) as adopted by the United Kingdom. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, International Accounting Standard 1 requires that directors:

 

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company’s transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Statement of disclosure to auditor

Each director in office at the date of approval of this annual report confirms that:

 

This confirmation is given and should be interpreted in accordance with the provisions of section 418 of the Companies Act 2006.

SUPERDIELECTRICS LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 2 -
Small companies exemption

This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies exemption.

On behalf of the board
Mr Marcus Scott
Director
26 July 2024
2024-07-26
SUPERDIELECTRICS LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF SUPERDIELECTRICS LIMITED
- 3 -
Opinion

We have audited the financial statements of Superdielectrics Limited (the 'company') for the year ended 31 March 2024 which comprise the income statement, the statement of financial position, the statement of changes in equity, the statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and UK adopted international accounting standards.

In our opinion the financial statements:

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

 

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

 

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The directors are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

 

We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of our audit:

SUPERDIELECTRICS LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF SUPERDIELECTRICS LIMITED
- 4 -
Matters on which we are required to report by exception

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the directors' report.

 

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

Responsibilities of directors

As explained more fully in the directors' responsibilities statement, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Auditor's responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.

Our audit was designed to include tests of detail together with an assessment of the control environment to enable us to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement due to fraud. This included work on areas where we consider there is a higher risk of fraud including revenue recognition, management override of systems and control, transactions with related parties, commitments and contingencies and accounting estimates.

 

We also obtained an understanding of the legal and regulatory framework that the company operates in, through discussions with the directors and other management, and from our own knowledge and experience of the sector.

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud, the audit engagement team:

SUPERDIELECTRICS LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF SUPERDIELECTRICS LIMITED
- 5 -

However, it is the primary responsibility of management, with the oversight of those charged with governance, to ensure that the entity's operations are conducted in accordance with the provisions of laws and regulations and for the prevention and detection of fraud.

 

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

Use of our report

This report is made solely to the company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company’s members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

Malcolm McGready (Senior Statutory Auditor)
For and on behalf of Ensors Accountants LLP
30 July 2024
Chartered Accountants
Statutory Auditor
Saxon House
Moseley's Farm Business Centre
Fornham All Saints
Bury St Edmunds
IP28 6JY
SUPERDIELECTRICS LIMITED
INCOME STATEMENT
FOR THE YEAR ENDED 31 MARCH 2024
- 6 -
2024
2023
as restated
Notes
£
£
Administrative expenses
(4,303,843)
(4,180,015)
Operating loss
4
(4,303,843)
(4,180,015)
Investment revenues
7
143,636
49,696
Finance costs
8
(21,510)
(27,247)
Loss before taxation
(4,181,717)
(4,157,566)
Income tax income
9
243,433
348,463
Loss and total comprehensive income for the year
26
(3,938,284)
(3,809,103)

The income statement has been prepared on the basis that all operations are continuing operations.

SUPERDIELECTRICS LIMITED
STATEMENT OF FINANCIAL POSITION
AS AT
31 MARCH 2024
31 March 2024
- 7 -
2024
2023
as restated
Notes
£
£
Non-current assets
Property, plant and equipment
10
1,814,489
2,151,562
Investments
11
16
16
1,814,505
2,151,578
Current assets
Trade and other receivables
13
568,365
619,897
Current tax recoverable
243,433
666,304
Cash and cash equivalents
4,845,155
7,478,013
5,656,953
8,764,214
Current liabilities
Trade and other payables
18
2,278,857
1,982,742
Lease liabilities
19
111,202
104,865
2,390,059
2,087,607
Net current assets
3,266,894
6,676,607
Non-current liabilities
Provisions
15
48,163
45,429
Lease liabilities
19
148,433
259,636
196,596
305,065
Net assets
4,884,803
8,523,120
Equity
Called up share capital
23
603
603
Share premium account
24
17,085,073
17,085,073
Equity reserve
25
889,932
711,701
Retained earnings
26
(13,090,805)
(9,274,257)
Total equity
4,884,803
8,523,120

The notes on pages 11 to 33 form part of these financial statements.

These financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.

SUPERDIELECTRICS LIMITED
STATEMENT OF FINANCIAL POSITION (CONTINUED)
AS AT
31 MARCH 2024
31 March 2024
- 8 -
The financial statements were approved by the board of directors and authorised for issue on 26 July 2024 and are signed on its behalf by:
Mr Marcus Scott
Director
Company registration number 08536866 (England and Wales)
SUPERDIELECTRICS LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MARCH 2024
- 9 -
Share capital
Share premium account
Equity reserve
Retained earnings
Total
Notes
£
£
£
£
£
Balance at 1 April 2022
603
17,085,073
185,602
(5,665,448)
11,605,830
Prior period correction
-
-
-
200,294
200,294
Restated Balance at 1 April 2022
603
17,085,073
185,602
(5,465,154)
11,806,124
Year ended 31 March 2023:
Loss and total comprehensive income for the year
-
-
-
(3,809,103)
(3,809,103)
Transactions with owners in their capacity as owners:
Share options granted
-
-
526,099
-
526,099
Balance at 31 March 2023
603
17,085,073
711,701
(9,274,257)
8,523,120
Year ended 31 March 2024:
Loss and total comprehensive income for the year
-
-
-
(3,938,284)
(3,938,284)
Transactions with owners in their capacity as owners:
Lapsing of warrants
22
-
0
-
0
(121,736)
121,736
-
Forfeiting of share options
22
-
-
(10,920)
-
0
(10,920)
Share options granted
22
-
-
310,887
-
310,887
Balance at 31 March 2024
603
17,085,073
889,932
(13,090,805)
4,884,803
SUPERDIELECTRICS LIMITED
STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 MARCH 2024
- 10 -
2024
2023
as restated
Notes
£
£
£
£
Cash flows from operating activities
Cash absorbed by operations
33
(3,069,377)
(1,932,161)
Income taxes refunded
666,304
20,859
Net cash outflow from operating activities
(2,403,073)
(1,911,302)
Investing activities
Purchase of property, plant and equipment
10
(249,781)
(123,260)
Interest received
7
143,636
49,696
Net cash used in investing activities
(106,145)
(73,564)
Financing activities
Payment of lease liabilities
19
(123,640)
(124,434)
Net cash used in financing activities
(123,640)
(124,434)
Net decrease in cash and cash equivalents
(2,632,858)
(2,109,300)
Cash and cash equivalents at beginning of year
7,478,013
9,587,313
Cash and cash equivalents at end of year
4,845,155
7,478,013
SUPERDIELECTRICS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
- 11 -
1
Accounting policies
Company information

Superdielectrics Limited is a private company limited by shares incorporated in England and Wales. The registered office is The Mansion, Chesterford Park, Little Chesterford, Saffron Walden, CB10 1XL. The company's principal activities and nature of its operations are disclosed in the directors' report.

1.1
Accounting convention

The financial statements have been prepared in accordance with International Financial Reporting Standards (IFRS) as adopted for use in the United Kingdom and with those parts of the Companies Act 2006 applicable to companies reporting under IFRS, except as otherwise stated.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principle accounting policies adopted are set out below.

The company has taken advantage of the exemption under section 399 of the Companies Act 2006 not to prepare consolidated accounts. The financial statements present information about the company as an individual entity and not about its group.

 

1.2
Going concern

The going concern assumption of the company is based upon the success of the research programme currently being undertaken.

 

The Directors believe that there is no reason to suggest that the company is not a going concern as it will continue in operational existence for the foreseeable future, this being 12 months from the date of sign off of these financial statements.

 

1.3
Property, plant and equipment

Property, plant and equipment are initially measured at cost and subsequently measured at cost, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost of assets less their residual values over their useful lives on the following bases:

Leasehold property
straight line over the term of the lease
Fixtures and fittings
25% reducing balance and 39m straight line
Plant and machinery
10 year straight line
Computer equipment
3 year straight line
Motor vehicles
25% reducing balance

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the income statement.

1.4
Impairment of tangible assets

At each reporting end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

SUPERDIELECTRICS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 12 -

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

1.5
Cash and cash equivalents

Cash and cash equivalents include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts.

1.6
Financial assets

IFRS 9 requires an entity to address the classification, measurement and recognition of financial assets.

 

Financial assets are recognised in the company's statement of financial position when the company becomes party to the contractual provisions of the instrument. Financial assets are classified into specified categories, depending on the nature and purpose of the financial assets.

 

At initial recognition, financial assets classified as fair value through profit and loss are measured at fair value and any transaction costs are recognised in profit or loss. Financial assets not classified as fair value through profit and loss are initially measured at fair value plus transaction costs.

Financial assets held at amortised cost

Financial instruments are classified as financial assets measured at amortised cost where the objective is to hold these assets in order to collect contractual cash flows, and the contractual cash flows are solely payments of principal and interest. They arise principally from the provision of goods and services to customers (eg trade receivables). They are initially recognised at fair value plus transaction costs directly attributable to their acquisition or issue, and are subsequently carried at amortised cost using the effective interest rate method, less provision for impairment where necessary.

1.7
Financial liabilities

IFRS 9 requires an entity to address the classification, measurement and recognition of financial assets and liabilities.

 

The company recognises financial debt when the company becomes a party to the contractual provisions of the instruments. Financial liabilities are classified as either 'financial liabilities at fair value through profit or loss' or 'other financial liabilities'.

Other financial liabilities

Other financial liabilities, including borrowings, trade payables and other short-term monetary liabilities, are initially measured at fair value net of transaction costs directly attributable to the issuance of the financial liability. They are subsequently measured at amortised cost using the effective interest method. For the purposes of each financial liability, interest expense includes initial transaction costs and any premium payable on redemption, as well as any interest or coupon payable while the liability is outstanding.

Derecognition of financial liabilities

The Company derecognises a financial liability when its contractual obligations are discharged or cancelled or expire. The Company also derecognise a financial liability when its terms are modified and the cash flows of the modified liability are substantially different, in which case a new financial liability based on the modified terms is recognised at fair value.

 

On derecognition of a financial liability, the difference between the carrying amount extinguished and the consideration paid (including any non-cash assets transferred, or liabilities assumed) is recognised in profit or loss.

SUPERDIELECTRICS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 13 -
1.8
Equity instruments

Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

 

Changes in the fair value of derivatives that are designated and qualify as fair value hedges are recognised in profit or loss immediately, together with any changes in the fair value of the hedged asset or liability that are attributable to the hedged risk.

1.9
Taxation

The tax income represents the sum of the tax currently receivable.

Current tax

Taxable profit differs from net profit as reported in the income statement because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

Deferred tax

Deferred tax is the tax expected to be payable or recoverable on differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit, and is accounted for using the balance sheet liability method. Deferred tax liabilities are generally recognised for all taxable temporary differences and deferred tax assets are recognised to the extent that it is probable that taxable profits will be available against which deductible temporary differences can be utilised. Such assets and liabilities are not recognised if the temporary difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

 

The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the income statement, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.

1.10
Employee benefits

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of inventories or non-current assets.

 

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

 

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.11
Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

SUPERDIELECTRICS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 14 -
1.12
Share-based payments

Equity-settled share-based payments are measured at fair value at the date of grant by reference to the fair value of the equity instruments granted using the Black scholes model. The fair value determined at the grant date is expensed on a graded vesting basis over the vesting period, based on the estimate of shares that will eventually vest. Share options are issued by the parent Company Superdielectrics Group Plc and are exercisable within the parent entity, the options issued are in relation to services provided by employees of Superdielectrics Ltd and are credited to the equity reserve.

When the terms and conditions of equity-settled share-based payments at the time they were granted are subsequently modified, the fair value of the share-based payment under the original terms and conditions and under the modified terms and conditions are both determined at the date of the modification. Any excess of the modified fair value over the original fair value is recognised over the remaining vesting period in addition to the grant date fair value of the original share-based payment. The share-based payment expense is not adjusted if the modified fair value is less than the original fair value.

 

Cancellations or settlements (including those resulting from employee redundancies) are treated as an acceleration of vesting and the amount that would have been recognised over the remaining vesting period is recognised immediately.

1.13
Leases

All leases are accounted for by recognising a right-of-asset and a lease liability except for:

 

 

At inception, the company assesses whether a contract is, or contains, a lease within the scope of IFRS 16. A contract is, or contains, a lease if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration. Where a tangible asset is acquired through a lease, the company recognises a right-of-use asset and a lease liability at the lease commencement date. Right-of-use assets are included within property, plant and equipment.

The right-of-use asset is initially measured at cost, which comprises the initial amount of the lease liability adjusted for any lease payments made at or before the commencement date plus any initial direct costs and an estimate of the cost of obligations to dismantle, remove, refurbish or restore the underlying asset and the site on which it is located, less any lease incentives received.

 

The right-of-use asset is subsequently depreciated using the straight-line method from the commencement date to the earlier of the end of the useful life of the right-of-use asset or the end of the lease term. The estimated useful lives of right-of-use assets are determined on the same basis as those of other property, plant and equipment. The right-of-use asset is periodically reduced by impairment losses, if any, and adjusted for certain remeasurements of the lease liability.

The lease liability is initially measured at the present value of the lease payments that are unpaid at the commencement date, discounted using the interest rate implicit in the lease or, if that rate cannot be readily determined, the company's incremental borrowing rate. Lease payments included in the measurement of the lease liability comprise fixed payments, variable lease payments that depend on an index or a rate, amounts expected to be payable under a residual value guarantee, and the cost of any options that the company is reasonably certain to exercise, such as the exercise price under a purchase option, lease payments in an optional renewal period, or penalties for early termination of a lease.

SUPERDIELECTRICS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 15 -

The lease liability is measured at amortised cost using the effective interest method. It is remeasured when there is a change in: future lease payments arising from a change in an index or rate; the company's estimate of the amount expected to be payable under a residual value guarantee; or the company's assessment of whether it will exercise a purchase, extension or termination option. When the lease liability is remeasured in this way, a corresponding adjustment is made to the carrying amount of the right-of-use asset, or is recorded in profit or loss if the carrying amount of the right-of-use asset has been reduced to zero.

The company has elected not to recognise right-of-use assets and lease liabilities for short-term leases of machinery that have a lease term of 12 months or less, or for leases of low-value assets including IT equipment. The payments associated with these leases are recognised in profit or loss on a straight-line basis over the lease term.

1.14

Research and development expenditure

Research and development expenditure is capitalised only if the expenditure can be measured reliably, the product or process is technically and commercially feasible, future economic benefits are probable, and the Company intends to and has sufficient resources to complete development and to use or sell the asset. Otherwise, it is recognised within administrative expenses in the statement of comprehensive income as incurred. Subsequent to initial recognition, development expenditure is measured at cost less accumulated amortisation and any accumulated impairment losses.

SUPERDIELECTRICS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 16 -
2
Adoption of new and revised standards and changes in accounting policies
Standards which are in issue but not yet effective

At the date of authorisation of these financial statements, the following Standards and Interpretations, which have not yet been applied in these financial statements, were in issue but not yet effective:

IAS 1 (amendments)
Presentation of Financial Statements - Classification of Liabilities as Current or Non-Current (effective for periods beginning on or after 1 January 2024)
IAS 16 (amendments)
Leases on sale and leaseback (effective for periods beginning on or after 1 January 2024)
IAS 1 (amendments)
Presentation of Financial Statements - Non-current Liabilities with Covenants (effective for periods beginning on or after 1 January 2024)
IAS 7 (amendments)
Statement of Cash Flows and Financial Instruments - Supplier Finance Arranagements (effective for periods beginning on or after 1 January 2024)

The company is currently assessing the impact of these new accounting amendments but does not expect that their adoption will have a material impact on the financial statements in future periods.

3
Critical accounting estimates and judgements

In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

 

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised, if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

 

The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are outlined below.

Critical judgements
Classification of costs between development costs to capitalise and research costs to expense

The Company reviews expenditures, including wages and benefits for employees, incurred on development activities and based on their judgement of the costs incurred assesses whether the expenditure meets the capitilisation criteria set out in IAS 38. The Company specifically considers if additional expenditure on projects relates to maintenance or new development projects. No development costs have been capitalised to date due to the Company determining they are in the research phase and have not met the capitalisation criteria as set out in IAS 38.

SUPERDIELECTRICS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
3
Critical accounting estimates and judgements
(Continued)
- 17 -
Key sources of estimation uncertainty
Share payment obligation

During the year ended 31st March 2024, Superdielectrics Group Plc granted 5,040,000 share options to employees of Superdielectrics Ltd. The options have an exercise price of 0.25pence per option. The options are exercisable within Superdielectrics Group Plc, however, as the holders are employees of Superdielectrics Ltd and the services are being rendered within this Company, consequently the share based payment expense charge of £299,967 (2023: £526,099) is recognised through the income statement of Superdielectrics Ltd with a corresponding value to equity.

 

The fair value of the warrants and options was determined based on the Black-Scholes option pricing model taking into account the following assumptions:

 

Fair value of shares of Parent entity

0.25pence per share

 

 

Volatility of shares

20%

 

 

 

Further explanations of the key assumptions above are as follows:

 

Share price: As the Parent Company’s shares are not publicly traded as of 31 March 2024, the Company must estimate the fair value of the shares. The fair value of the shares has been determined by using the value of the most recent round of Ordinary shares issued.

 

Volatility: Since there is no trading history for the company’s shares as of 31 March 2024, the expected price volatility for the shares was estimated using a standard deviation technique based on movements in share price in addition to considering volatility of Companies within the AIM listing.

4
Operating loss
2024
2023
Operating loss for the year is stated after charging/(crediting):
£
£
Research and development costs
356,502
566,607
Fees payable to the company's auditor for the audit of the company's financial statements
32,800
28,770
Depreciation of property, plant and equipment
586,853
560,265
Share-based payments
299,967
526,099
SUPERDIELECTRICS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 18 -
5
Employees

The average monthly number of persons (including directors) employed by the company during the year was:

2024
2023
Number
Number
Management
7
6
Other
20
18
Total
27
24

Their aggregate remuneration comprised:

2024
2023
£
£
Wages and salaries
1,905,026
1,743,461
Social security costs
176,507
140,496
Pension costs
146,323
79,499
2,227,856
1,963,456
6
Directors' remuneration
2024
2023
as restated
£
£
Remuneration for qualifying services
428,800
322,500
Company pension contributions to defined contribution schemes
15,400
29,167
Share based payment charge
17,111
406,780
461,311
758,447

The number of directors for whom retirement benefits are accruing under defined contribution schemes amounted to 1 (2023 - 1).

 

The number of directors who are entitled to receive shares under long term incentive schemes during the year was 1 (2023 - 1).

Remuneration disclosed above include the following amounts paid to the highest paid director:
2024
2023
£
£
Remuneration for qualifying services
270,000
200,000
SUPERDIELECTRICS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
(Continued)
- 19 -
7
Investment income
2024
2023
£
£
Interest income
Financial instruments measured at amortised cost:
Bank interest received
141,353
49,696
Other interest income
2,283
-
0
Total interest revenue
143,636
49,696
Income above relates to assets held at amortised cost, unless stated otherwise.
8
Finance costs
2024
2023
as restated
Ref
£
£
Interest on lease liabilities
19
18,775
24,676
Unwinding of dilapidations provision
15
2,735
2,571
Total interest expense
21,510
27,247
SUPERDIELECTRICS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 20 -
9
Income tax credit
2024
2023
£
£
Current tax
UK corporation tax on profits for the current period
(243,433)
(348,463)

The charge for the year can be reconciled to the loss per the income statement as follows:

2024
2023
£
£
Loss before taxation
(4,181,717)
(4,157,566)
Expected tax credit based on a corporation tax rate of 25.00% (2023: 19.00%)
(1,045,429)
(789,938)
Effect of expenses not deductible in determining taxable profit
78,061
101,690
Change in unrecognised deferred tax assets
644,225
656,711
Adjustment in respect of prior years
(8,812)
-
0
Permanent capital allowances in excess of depreciation
4,760
(9,376)
Research and development tax credit
(243,433)
(348,463)
Additional deduction for R&D expenditure
(281,387)
(258,082)
Remeasurement of deferred tax for changes in tax rates
-
0
(157,611)
Surrender of tax losses for R&D tax credit refund
608,582
456,606
Taxation credit for the year
(243,433)
(348,463)

Corporation tax rates in the UK have changed from 01 April 2023, the main rate of corporation tax increased to 25% (from 19%). The main rate will apply to companies with taxable profits in excess of £250,000. For companies with taxable profits below £50,000 the corporation tax rate will continue to be 19%, with marginal rate relief applying for companies with profits between £50,000 and £250,000.

 

Estimates tax losses of £10,310,789 (2023: £7,551,783) are available for relief against future profits. No deferred tax asset has been provided for in the accounts based on the estimated tax losses.

10
Property, plant and equipment
Leasehold property
Plant and machinery
Fixtures and fittings
Computer equipment
Motor vehicles
Total
£
£
£
£
£
£
Cost
At 1 April 2022
2,531,350
300,605
27,014
3,478
95,734
2,958,181
Additions
16,309
118,619
2,725
-
0
-
0
137,653
At 31 March 2023
2,547,659
419,224
29,739
3,478
95,734
3,095,834
Additions
-
0
192,739
52,391
4,650
-
0
249,780
At 31 March 2024
2,547,659
611,963
82,130
8,128
95,734
3,345,614
SUPERDIELECTRICS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
10
Property, plant and equipment
Leasehold property
Plant and machinery
Fixtures and fittings
Computer equipment
Motor vehicles
Total
£
£
£
£
£
£
(Continued)
- 21 -
Accumulated depreciation and impairment
At 1 April 2022
333,408
23,698
5,406
1,258
20,237
384,007
Charge for the year
496,439
38,106
5,687
1,159
18,874
560,265
At 31 March 2023
829,847
61,804
11,093
2,417
39,111
944,272
Charge for the year
497,798
55,413
17,264
2,223
14,155
586,853
At 31 March 2024
1,327,645
117,217
28,357
4,640
53,266
1,531,125
Carrying amount
At 31 March 2024
1,220,014
494,746
53,773
3,488
42,468
1,814,489
At 31 March 2023
1,717,812
357,420
18,646
1,061
56,623
2,151,562
Leasehold properties comprise solely of Right of Use Assets.
11
Investments
Current
Non-current
2024
2023
2024
2023
£
£
£
£
Investments in subsidiaries
-
0
-
0
16
16
Fair value of financial assets carried at amortised cost

Except as detailed below the directors believe that the carrying amounts of financial assets carried at amortised cost in the financial statements approximate to their fair values.

SUPERDIELECTRICS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 22 -
12
Subsidiaries

Details of the company's subsidiaries at 31 March 2024 are as follows:

Name of undertaking
Principal activities
Class of
% Held
shares held
Direct
Supercapacitor Materials Ltd
Dormant
Ordinary
100.00
Superdielectrics Electric Industrial Products Ltd
Dormant
Ordinary
100.00
Superdielectrics Vertical Farming Ltd
Dormant
Ordinary
100.00
Superdielectrics Electric Ships Ltd
Dormant
Ordinary
100.00
Superdielectrics Mobile Electronics Ltd
Dormant
Ordinary
100.00
Superdielectrics Motorsport Ltd
Dormant
Ordinary
100.00
Superdielectrics Electric Trains Ltd
Dormant
Ordinary
100.00
Superdielectrics Grid Power Management Ltd
Dormant
Ordinary
100.00
Superdielectrics Autonomous Flying Vehicles Ltd
Dormant
Ordinary
100.00
Superdielectrics Automotive Ltd
Dormant
Ordinary
100.00
Superdielectrics Electric Household Products Ltd
Dormant
Ordinary
100.00
Superdielectrics Electric Aircraft Ltd
Dormant
Ordinary
100.00
Superdielectrics Rapid Refuelling Ltd
Dormant
Ordinary
100.00
Superdielectrics Renewable Energy Storage Ltd
Dormant
Ordinary
100.00
Augmented Optics Ltd
Dormant
Ordinary
100.00
Superdielectrics Electric Bicycles Ltd
Dormant
Ordinary
100.00

All of the above subsidiaries have the following registered office: The Mansion, Chesterford Park, Little Chesterford, Saffron Walden, England CB10 1XL.

13
Trade and other receivables
2024
2023
£
£
VAT recoverable
79,178
46,211
Amounts owed by subsidiary undertakings
1,800
1,800
Other receivables
94,369
89,455
Prepayments
393,018
482,431
568,365
619,897
SUPERDIELECTRICS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 23 -
14
Trade receivables - credit risk

The directors consider that the carrying amount of trade and other receivables is approximately equal to their fair value.

The Company's operations expose it to degrees of financial risk, including credit risk. Credit risk is primarily attributable to the Company's cash and cash equivalents and other receivable balances.
The Company's cash and cash equivalents are held with banks with credit ratings of the following:-
Rating agency
Fitch
Moody's
Standard & Poor's
Rating
A+
A1
A+
Due to the Company being in it's research and development phase there are no associated trade receivables, as a result there are no expected credit losses. Other receivables mainly comprise of rental deposits, these are considered fully recoverable and are not significant in assessing expected credit losses.
Responsibility for credit risk management rests with the board of directors. The Company manage credit risk by maintaining adequate reserves and by continuously monitoring forecasts and actual actual cash flows.
15
Provisions
2024
2023
as restated
£
£
At 1 April
45,429
-
Additions
-
42,751
Unwinding of discount
2,734
2,678
48,163
45,429
At 31 March
Provisions are classified based on the amounts that are expected to be settled within the next 12 months and after more than 12 months from the reporting date, as follows:
Maturity analysis:
2024
2023
as restated
£
£
Current liabilities
-
-
Non-current liabilities
48,163
45,429
48,163
45,429
Provisions are included in relation to dilapidation costs due under IFRS 16 leases for restoration of the site to its original condition upon termination of the lease which is currently expected in 2026.
SUPERDIELECTRICS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 24 -
16
Financial Instruments
Financial Assets
The Company holds financial assets measured at amortised cost. At the year-end these financial assets, totalled £4,938,218 (2023: £7,574,750).
Financial Liabilities
The Company holds financial liabilities measured at amortised cost. At the year-end the carrying amount of these financial liabilities totalled £2,469,859 (2023 as restated: £2,301,803). The directors consider that the carrying amounts of financial liabilities carried at amortised cost in the financial statements approximate to their fair values.
17
Liquidity risk

The following table details the remaining contractual maturity for the company's financial liabilities with agreed repayment periods. The contractual maturity is based on the earliest date on which the company may be required to pay.

Less than 1 month
1 – 3 months
3 months to 1 year
1 – 5 years
Total
£
£
£
£
£
At 31 March 2023
Trade payables
208,663
-
-
-
208,663
Accruals
95,624
-
-
-
95,624
Lease liabilities
-
31,703
92,731
333,762
458,196
Amount due to parent
1,633,000
-
-
-
1,633,000
1,937,287
31,703
92,731
333,762
2,395,483
At 31 March 2024
Trade payables
317,021
-
-
-
317,021
Accruals
92,887
-
-
-
92,887
Lease liabilities
-
30,910
92,731
154,355
277,996
Amount due to parent
1,800,000
-
-
-
1,800,000
2,209,908
30,910
92,731
154,355
2,487,904
SUPERDIELECTRICS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
17
Liquidity risk
(Continued)
- 25 -
Liquidity risk management

 

The Company is exposed to liquidity risk across the financial liability balances identified above, which arises during the normal course of trade and can affect the Company's ability to effectively manage its cash flow and ensure it can meet its obligations as and when they fall due.

 

Responsibility for liquidity risk management rests with the board of directors, which has established an appropriate risk management framework for the management of the Company's funding and liquidity management requirements. The Company manages liquidity risk by maintaining adequate reserves, by continuously monitoring forecast and actual cash flows, and by matching the maturity profiles of financial assets and liabilities.

 

Capital risk management

 

The Company's capital management objectives are:

 

 

The Company defines and monitors capital based on the carrying amount of equity less cash and cash equivalents as presented on the face of financial position. In 2024, this totalled (£39,648) (2023: £1,045,107).

 

The Board of Directors monitors the level of capital as compared to the Company's commitments and adjusts the level of capital as is determined to be necessary by issuing new shares. The Company is not subject to any externally imposed capital requirements.

18
Trade and other payables
2024
2023
£
£
Trade payables
317,021
208,663
Amount owed to parent undertaking
1,800,300
1,633,000
Accruals
92,731
95,624
Social security and other taxation
68,790
45,440
Other payables
15
15
2,278,857
1,982,742

The amounts owed to the parent undertaking Superdielectrics Group Plc are unsecured, with no interest payable, and are repayable on demand.

SUPERDIELECTRICS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 26 -
19
Lease liabilities
2024
2023
as restated
£
£
As at 1 April
364,501
449,865
Additions
-
14,394
Interest
18,775
24,676
Lease Payments
(123,641)
(124,434)
259,635
364,501
2024
2023
as restated
Maturity analysis
£
£
Within one year
123,641
123,641
In two to five years
154,355
278,193
Total undiscounted liabilities
277,996
458,197
Future finance charges and other adjustments
(18,361)
(37,333)
Lease liabilities in the financial statements
259,635
364,501

Lease liabilities are classified based on the amounts that are expected to be settled within the next 12 months and after more than 12 months from the reporting date, as follows:

2024
2023
as restated
£
£
Current liabilities
111,202
104,865
Non-current liabilities
148,433
259,636
259,635
364,501
2024
2023
Amounts recognised in profit or loss include the following:
£
£
Interest on lease liabilities
18,775
24,676

The fair value of the company's lease obligations is approximately equal to their carrying amount.

Other leasing information
The company holds several leases which are accounted for under the provisions of IFRS 16. For these leases, right-of-use assets and lease liabilities are included in the respective statement of financial position line item. These leases relate to several premises.
SUPERDIELECTRICS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 27 -
20
Deferred taxation
The following are the major deferred tax liabilities and assets recognised by the company and movements thereon during the current and prior reporting period. Deferred tax is calculated in full on temporary differences using a tax rate of 25% (2023: 25%)
Deferred tax has not been recognised in respect of the following:
2024
2023
£
£
Asset
Asset
Fixed asset temporary differences
(138,395)
(92,802)
Short-term provisions
3,846
3,778
Available losses
2,577,697
1,887,946
Net deferred tax asset
Amount recognised within statement of financial position
2,443,148
1,798,922
Unrecognised deferred tax asset
2,443,148
1,798,922
Short term temporary differences such as fixed asset temporary differences and other temporary differences have arised from accelerated capital allowances and disallowable provisions. The deferred tax liability on the fixed asset temporary differences has been offset, as permitted by IAS , with the deferred tax assets arising from unused losses and share based payments. Losses are available to carry forward indefinitely.
21
Retirement benefit schemes
2024
2023
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
146,323
79,499

The company operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the company in an independently administered fund.

22
Share-based payments
Number of share options
Average exercise price
2024
2023
2024
2023
Number
Number
£
£
Outstanding at 1 April 2023
10,964,840
6,136,940
0.23
0.23
Granted in the period
5,040,000
6,852,000
0.25
0.23
Forfeited in the period
(1,020,000)
(2,024,100)
0.23
0.23
Outstanding at 31 March 2024
14,984,840
10,964,840
0.24
0.23
Exercisable at 31 March 2024
6,440,187
5,555,533
0.23
0.23
SUPERDIELECTRICS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
22
Share-based payments
(Continued)
- 28 -
Options granted during the year

Options granted to employees in the year are set out below. Fair value was measured using the indirect method valuing the equity instruments themselves. The the Black-Scholes model was used as the option pricing model.

 

The Black-Scholes model is considered to apply the most appropriate valuation method due to the relatively short contractual lives of the options and the requirements to exercise within a short period after the employee becomes entitled to the shares (the "vesting date").

 

The expected life used in the model has been adjusted, based on management's best estimate, for the effect of non-transferability, exercise restrictions, and behavioural considerations.

 

Non-vesting conditions and market conditions are taken into account when estimating the fair value of the option at grant date. Service conditions and non-market performance conditions are taken into account by adjusting the number of options expected to vest at each reporting date.

2024
Weighted average fair value
0.0943pence per option
Inputs for model:
- Weighted average share price
0.25pence
- Weighted average exercise price
0.23pence
- Expected volatility
20%
- Expected life
10 years
- Risk free rate
1.30%-5.22%

Volatility was calculated based on the share price volatility over a similar period preceding the grant date in addition to considering volatility within listed companies.

SUPERDIELECTRICS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
22
Share-based payments
(Continued)
- 29 -

During the March 2022 year end there was a group reconstruction whereby Superdielectrics Group Plc undertook a share for share exchange acquiring the entire issued share capital of Superdielectrics limited becoming the company's ultimate parent. As a result the option scheme within Superdielectrics Ltd was terminated and replaced within Superdielectrics Group Plc. All of the terms per the original scheme were kept the same including original grant date and vesting periods. Subsequently this has not led to any increase in benefit by the option holders and there is no increase in fair value of the options resulting in no uplift of the fair value originally calculated on the grant date.

 

The options will be equity settled and exercisable within the parent company, however, as the services are received within Superdielectrics Ltd this is ultimately where the expense is incurred and recognised. Any further vesting of the options will result in an expense to the income statement with a corresponding increase in equity as a capital contribution.

 

The outstanding options at the year end were granted at various dates. This being:-

- 888,880 options were granted in November 2020 which vested immediately.

- 1,999,960 options were granted in July 2021, the vesting period is based upon a service condition with the options vesting over 3 years from the date of grant.

- 1,224,000 options were granted in August 2021, the vesting period is based upon a service condition with the options vesting over 6 years from the date of grant in 3 equal tranches. The first tranche being upon the 4th year of service from the date of grant and the remaining tranches on each subsequent year.

- 1,836,000 options were granted throughout the 2023 financial year end, the vesting periods are based upon service conditions with the options vesting over 6 years from the date of grant in 3 equal tranches. The first tranche being upon the 4th year of service from the date of grant and the remaining tranches on each subsequent year.

- 4,000,000 options were granted in June 2022, which vested immediately.

- 200,000 options were granted to a company, defined as an employee under IFRS, these options vest from July 2025 over 3 years.

- 3,040,000 options were granted throughout the 2024 financial year end, the vesting periods are based upon service conditions with the options vesting over 4 years from the date of grant in 3 equal tranches. The first tranche being upon the 2nd year of service from the date of grant and the remaining tranches on each subsequent year. 204,000 of these options were subsequently forfeited due to an employee leaving the company.

- 2,000,000 options were granted in the 2024 financial year end, the options vested immediately and have an expected life of 10 years.

 

All share options issued have a life of 10 years.

Equity instruments other than share options

During 2020 3,035,820 of equity instruments other than share options were granted. The weighted average fair value of those instruments at the measurement date was £121,736. The equity instruments were issued to a holder other than an employee and vested immediately upon grant date with a life of 3 years. The equity instruments were therefore fully exercisable as at 31st March 2023. These were not exercised as at 31st March 2024 and therefore have lapsed with the value being transferred to retained earnings. The fair value was determined using the indirect method due to the fair value of the services not being able to be determined. The Black Scholes model was used to value the equity instruments.

Expenses
Related to equity settled share based payments
299,967
526,099
SUPERDIELECTRICS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 30 -
23
Share capital
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and fully paid
of 0.1p each
60,255,000
60,255,000
603
603
24
Share premium account
2024
2023
£
£
At the beginning and end of the year
17,085,073
17,085,073
25
Equity reserve
2024
2023
£
£
At the beginning of the year
711,701
185,602
Lapsing of share warrants
(121,736)
-
0
Other movements
299,967
526,099
At the end of the year
889,932
711,701

The Equity reserve relates to the share options reserve, the movement in the year relates to those options which were granted, net of those which have been forfeited (2023: granted). This is broken down of share options granted of £310,887 and the forfeiting of share options of (£10,920). The balance outstanding at the year end relates to the options whereby the services have rendered and options have or are expected to vest.

26
Retained earnings
2024
2023
£
£
At the beginning of the year
(9,274,257)
(5,465,154)
Lapsing of warrants
121,736
-
Adjusted balance
(9,152,521)
(5,465,154)
Loss for the year
(3,938,284)
(3,809,103)
At the end of the year
(13,090,805)
(9,274,257)
27
Financial Commitments

On the 1 October 2014 the company entered into an agreement with the University of Surrey to commence a research project and provide funding to the University. Further extensions have been added to this lease during the prior financial year. At the year end the Company are committed to pay £nil (2023: £175,570). In addition, on the 20 December 2023 the company entered into an agreement with the University of Bristol to commence a research project. At the year end the company are committed to pay £150,000 (2023:nil).

SUPERDIELECTRICS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 31 -
28
Other leasing information
Lessee

Amounts recognised in profit or loss as an expense during the period in respect of lease arrangements are as follows:

2024
2023
£
£
Expense relating to short-term leases
-
92,198
Information relating to lease liabilities is included in note 19.
29
Capital commitments
2024
2023
£
£

At 31 March 2024 the company had capital commitments as follows:

Contracted for but not provided in the financial statements:
Acquisition of property, plant and equipment
-
0
28,019
30
Capital risk management

The company is not subject to any externally imposed capital requirements.

31
Related party transactions
Remuneration of key management personnel

The remuneration of key management personnel, including directors, is included here since it relates to the Board members of Superdielectrics Group Plc and is set out below in aggregate for each of the categories specified in IAS 24 Related Party Disclosures.

2024
2023
£
£
Short-term employee benefits
659,734
618,895
Post-employment benefits
15,400
29,167
Share-based payments
17,311
406,780
692,445
648,062

The following amounts were outstanding at the reporting end date:

2024
2023
Amounts due to related parties
£
£
Parent company
1,800,300
1,633,000
SUPERDIELECTRICS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
31
Related party transactions
(Continued)
- 32 -

Amounts owed to the parent company is comprised of an intercompany loan of £1,800,300. It is repayable on demand with no interest being accrued on this balance.

The following amounts were outstanding at the reporting end date:

2024
2023
Amounts due from related parties
£
£
Parent company
1,000
1,000
Subsidiaries
800
800
1,800
1,800
32
Controlling party

The Company's immediate and ultimate parent undertaking is Superdielectrics Group Plc. The registered office is the same as of Superdielectrics Ltd.

33
Cash absorbed by operations
2024
2023
Notes
£
£
Loss for the year before income tax
(4,181,717)
(4,157,566)
Adjustments for:
Finance costs
21,510
27,247
Investment income
(143,636)
(49,696)
Depreciation and impairment of property, plant and equipment
10
586,853
560,265
Net equity settled share based payment expense
22
299,967
526,099
Movements in working capital:
Decrease in trade and other receivables
13
51,533
190,098
Increase in trade and other payables
18
296,115
971,392
Cash absorbed by operations
(3,069,375)
(1,932,161)
34
Analysis of changes in net funds
1 April 2023
Cash flows
31 March 2024
£
£
£
Cash at bank and in hand
7,478,013
(2,632,858)
4,845,155
Provisions
(45,429)
(2,734)
(48,163)
Obligations under finance leases
(364,501)
104,866
(259,635)
7,068,083
(2,530,726)
4,537,357
SUPERDIELECTRICS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
34
Analysis of changes in net funds
(Continued)
- 33 -
1 April 2022
Cash flows
31 March 2023
Prior year:
£
£
£
Cash at bank and in hand
9,587,313
(2,109,300)
7,478,013
Provisions
-
(45,429)
(45,429)
Obligations under finance leases
(492,724)
128,223
(364,501)
9,094,589
(2,026,506)
7,068,083
35
Prior period adjustment

During the year ended 31st March 2024, it was identified that dilapidation costs were incorrectly included within lease liabilities instead of disclosed separate as a provision. A prior year restatement has been posted to correctly disclose the dilapidation provision as a separate item on the statement of financial position. This is a reclassification journal only and has increased provisions and decreased lease liabilities due after one year.

Changes to the statement of financial position
At 31 March 2023
Previously reported
Adjustment
As restated
£
£
£
Creditors due after one year
Provisions
-
(45,429)
(45,429)
Finance leases
(305,065)
45,429
(259,636)
Net assets
8,523,120
-
8,523,120
Capital and reserves
Total equity
8,523,120
-
8,523,120
2024-03-312023-04-01falseCCH SoftwareCCH Accounts Production 2024.100Mr F J HeathcoteMr Marcus ScottMr Marcus ScottShare optiuons 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