Caseware UK (AP4) 2023.0.135 2023.0.135 2023-12-31We 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. We have audited the financial statements of JFrog UK Limited (the ‘Company’) for the year ended 31 December 2023 which comprise the Statement of Comprehensive Income, the Statement of Financial Position, the Statement of Changes in Equity and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (United Kingdom Generally Accepted Accounting Practice). In our opinion, the financial statements: give a true and fair view of the state of the Company’s affairs as at 31 December 2023 and of its profit for the year then ended; have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and have been prepared in accordance with the requirements of the Companies Act 2006.2023-12-31Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management. The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date. Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in the Statement of Comprehensive Income. The depreciation expense is charged to administrative expenses within the Statement of Comprehensive Income.88falsetrue2023-01-01false 13317983 2023-01-01 2023-12-31 13317983 2022-01-01 2022-12-31 13317983 2023-12-31 13317983 2022-12-31 13317983 2022-01-01 13317983 c:Director1 2023-01-01 2023-12-31 13317983 c:RegisteredOffice 2023-01-01 2023-12-31 13317983 d:ComputerEquipment 2023-01-01 2023-12-31 13317983 d:ComputerEquipment 2023-12-31 13317983 d:ComputerEquipment 2022-12-31 13317983 d:ComputerEquipment d:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 13317983 d:CurrentFinancialInstruments 2023-12-31 13317983 d:CurrentFinancialInstruments 2022-12-31 13317983 d:CurrentFinancialInstruments d:WithinOneYear 2023-12-31 13317983 d:CurrentFinancialInstruments d:WithinOneYear 2022-12-31 13317983 d:UKTax 2023-01-01 2023-12-31 13317983 d:UKTax 2022-01-01 2022-12-31 13317983 d:ShareCapital 2023-01-01 2023-12-31 13317983 d:ShareCapital 2023-12-31 13317983 d:ShareCapital 2022-01-01 2022-12-31 13317983 d:ShareCapital 2022-12-31 13317983 d:ShareCapital 2022-01-01 13317983 d:SharePremium 2023-01-01 2023-12-31 13317983 d:OtherMiscellaneousReserve 2023-01-01 2023-12-31 13317983 d:OtherMiscellaneousReserve 2023-12-31 13317983 d:OtherMiscellaneousReserve 2022-01-01 2022-12-31 13317983 d:OtherMiscellaneousReserve 2022-12-31 13317983 d:OtherMiscellaneousReserve 2022-01-01 13317983 d:RetainedEarningsAccumulatedLosses 2023-01-01 2023-12-31 13317983 d:RetainedEarningsAccumulatedLosses 2023-12-31 13317983 d:RetainedEarningsAccumulatedLosses 2022-01-01 2022-12-31 13317983 d:RetainedEarningsAccumulatedLosses 2022-12-31 13317983 d:RetainedEarningsAccumulatedLosses 2022-01-01 13317983 d:OtherDeferredTax 2023-12-31 13317983 d:OtherDeferredTax 2022-12-31 13317983 c:OrdinaryShareClass1 2023-01-01 2023-12-31 13317983 c:OrdinaryShareClass1 2023-12-31 13317983 c:OrdinaryShareClass1 2022-12-31 13317983 c:FRS102 2023-01-01 2023-12-31 13317983 c:Audited 2023-01-01 2023-12-31 13317983 c:FullAccounts 2023-01-01 2023-12-31 13317983 c:PrivateLimitedCompanyLtd 2023-01-01 2023-12-31 13317983 2 2023-01-01 2023-12-31 xbrli:shares iso4217:GBP xbrli:pure

Registered number: 13317983









JFROG UK LIMITED









DIRECTOR'S REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2023

 
JFROG UK LIMITED
 
 
COMPANY INFORMATION


Director
Orit Goren 




Registered number
13317983



Registered office
30 Old Bailey

London

EC4M 7AU




Independent auditor
Forvis Mazars LLP
Chartered Accountants & Statutory Auditor

90 Victoria Street

Bristol

BS1 6DP





 
JFROG UK LIMITED
 

CONTENTS



Page
Director's Report
 
1 - 2
Independent Auditor's Report
 
3 - 6
Statement of Comprehensive Income
 
7
Statement of Financial Position
 
8
Statement of Changes in Equity
 
9
Notes to the Financial Statements
 
10 - 18


 
JFROG UK LIMITED
 
 
 
DIRECTOR'S REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023

The Director presents her report and the financial statements for the year ended 31 December 2023.

Director's responsibilities statement

The Director is responsible for preparing the Director's Report and the financial statements in accordance with applicable law and regulations.
 
Company law requires the Director to prepare financial statements for each financial year. Under that law the Director has elected to prepare the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under Company law the Director must not approve the financial statements unless she is satisfied that they give a true and fair view of the state of affairs of the Company and of the Statement of Comprehensive Income of the Company for that period.

 In preparing these financial statements, the Director is required to:


select suitable accounting policies for the Company's financial statements and then apply them consistently;

make judgements and accounting estimates that are reasonable and prudent; and

prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Company will continue in business.

The Director is 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 to enable him to ensure that the financial statements comply with the Companies Act 2006She is 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.

Principal activity

The Company's principal activity is that of marketing and consulting services.  

Results and dividends

The profit for the year, after taxation, amounted to £47,088 (2022 - £66,655).

Director

The Director who served during the year was:

Orit Goren 

Page 1

 
JFROG UK LIMITED
 
 
 
DIRECTOR'S REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023

Economic impact of global events

UK businesses are currently facing many uncertainties such as the consequences of Brexit, COVID-19, environmental sustainability and geopolitical events such as the Russian invasion of Ukraine. These uncertainties has contributed to an environment where there exists a range of issues and risks, including inflation, rising interest rates, labour shortages, disrupted supply chains and new ways of working. 
The Director has carried out an assessment of the potential impact of these uncertainties on the business, including the impact of mitigation measures, and has concluded that these are non-adjusting events with the greatest impact on the business expected to be from the economic ripple effect on the global economy. The Director has taken account of these potential impacts in their going concern assessment.
JFrog UK Limited, continues to work with its partners to minimise any impacts of these events and maximise the realisation of any opportunities they may provide to the business.
 
Disclosure of information to auditor

The Director at the time when this Director's Report is approved has confirmed that:

so far as the Director is aware, there is no relevant audit information of which the Company's auditor is unaware, and
the Director has taken all the steps that ought to have been taken as a Director in order to be aware of relevant audit information and to establish that the Company's auditor is aware of that information.

Auditor

The auditor, Forvis Mazars LLPwill be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

Small companies note

In preparing this report, the Director has taken advantage of the small companies exemptions provided by section 415A of the Companies Act 2006.

This report was approved by the board and signed on its behalf.
 





Orit Goren
Director

Date: 19 August 2024

Page 2

 
JFROG UK LIMITED
 
 
 
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF JFROG UK LIMITED
 

Opinion

We have audited the financial statements of JFrog UK Limited (the ‘Company’) for the year ended 31 December 2023 which comprise the Statement of Comprehensive Income, the Statement of Financial Position, the Statement of Changes in Equity and notes to the financial statements, including a summary of significant accounting policies.
The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (United Kingdom Generally Accepted Accounting Practice).
 
In our opinion, the financial statements:

give a true and fair view of the state of the Company’s affairs as at 31 December 2023 and of its profit for the year then ended;
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
have been prepared in accordance with the requirements of the Companies Act 2006.

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 Director 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 Director with respect to going concern are described in the relevant sections of this report.
 
Page 3

 
JFROG UK LIMITED
 
 
 
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF JFROG UK LIMITED
 

Other information

The Directors are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. 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 the audit:
 
the information given in the Director's Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the Director's Report have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In 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 Director's 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:

adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
the financial statements are not in agreement with the accounting records and returns; or
certain disclosures of Director remuneration specified by law are not made; or
we have not received all the information and explanations we require for our audit; or
the Director was not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies’ exemption in preparing the Director's Report and from the requirement to prepare a Strategic Report.
 
Responsibilities of Director

As explained more fully in the Director's Responsibilities Statement set out on page 1, the Director is 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 Director determines 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 Director is 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 Director intends either to liquidate the Company or to cease operations, or has no realistic alternative but to do so.
 
Page 4

 
JFROG UK LIMITED
 
 
 
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF JFROG UK LIMITED
 

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 the 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. Based on our understanding of the Company and its industry, we identified that the principal risks of non-compliance with laws and regulations related to the UK tax legislation and employment regulation, and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements, such as the Companies Act 2006.

To help us identify instances of non-compliance with these laws and regulations, and in identifying and assessing the risks of material misstatement in respect to non-compliance, our procedures included, but were not limited to:
Inquiring of management and, where appropriate, those charged with governance, as to whether the Company is in compliance with laws and regulations, and discussing their policies and procedures regarding compliance with laws and regulations;
Inspecting correspondence, if any, with relevant licensing or regulatory authorities;
Communicating identified laws and regulations to the engagement team and remaining alert to any indications of non-compliance throughout our audit; and
Considering the risk of acts by the Company which were contrary to applicable laws and regulations, including fraud.  

We also considered those laws and regulations that have a direct effect on the preparation of the financial statements, such as tax legislation, pension legislation, the Companies Act 2006. 

In addition, we evaluated the Director and management’s incentives and opportunities for fraudulent manipulation of the financial statements, including the risk of management override of controls, and determined that the principal risks related to posting manual journal entries to manipulate financial performance, management bias through judgements and assumptions in significant accounting estimates, in particular in relation to, revenue recognition (which we pinpointed to the cut-off assertion) and significant one-off or unusual transactions. 

Our audit procedures in relation to fraud included but were not limited to:
Making enquiries of the Directors and management on whether they had knowledge of any actual, suspected or alleged fraud;
Gaining an understanding of the internal controls established to mitigate risks related to fraud;
Discussing amongst the engagement team the risks of fraud; and
Addressing the risks of fraud through management override of controls by performing journal entry testing.

There are inherent limitations in the audit procedures described above and the primary responsibility for the prevention and detection of irregularities including fraud rests with management. As with any audit, there remained a risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations or the override of internal controls.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council’s website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Page 5

 
JFROG UK LIMITED
 
 
 
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF JFROG UK LIMITED
 

Use of the audit 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.




Jonathan Marchant (Senior statutory auditor)

  
for and on behalf of



Forvis Mazars LLP
Chartered Accountants and Statutory Auditor 
90 Victoria Street
Bristol
BS1 6DP

20 August 2024
Page 6

 
JFROG UK LIMITED
 
 
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2023

2023
2022
Note
£
£

  

Turnover
  
1,945,578
1,705,627

Gross profit
  
1,945,578
1,705,627

Administrative expenses
  
(1,869,230)
(1,637,776)

Other operating income
  
103
108

Operating profit
 3 
76,451
67,959

Interest receivable and similar income
  
388
-

Interest payable and similar expenses
  
(2,138)
(1,952)

Profit before tax
  
74,701
66,007

Tax (charge) /credit on profit
 6 
(27,613)
648

Profit for the financial year
  
47,088
66,655

There was no other comprehensive income for 2023 (2022:£NIL).

The notes on pages 10 to 18 form part of these financial statements.

Page 7

 
JFROG UK LIMITED
REGISTERED NUMBER: 13317983

STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2023

2023
2022
Note
£
£

Fixed assets
  

Tangible assets
 7 
1,864
-

  
1,864
-

Current assets
  

Debtors: amounts falling due within one year
 8 
518,283
275,147

Cash at bank and in hand
 9 
22,538
39,449

  
540,821
314,596

Creditors: amounts falling due within one year
 10 
(218,387)
(182,746)

Net current assets
  
 
 
322,434
 
 
131,850

Total assets less current liabilities
  
324,298
131,850

  

Net assets
  
324,298
131,850


Capital and reserves
  

Called up share capital 
 12 
100
100

Share-based compensation reserve
 13 
249,292
103,932

Profit and loss account
 13 
74,906
27,818

  
324,298
131,850


The financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime and in accordance with the provisions of FRS 102 Section 1A - small entities.

The financial statements were approved and authorised for issue by the board and were signed on its behalf by: 




Orit Goren
Director

Date: 19 August 2024

The notes on pages 10 to 18 form part of these financial statements.

Page 8

 
JFROG UK LIMITED
 

STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023


Called up share capital
Share-based compensation reserve
Profit and loss account
Total equity

£
£
£
£

At 1 January 2023
100
103,932
27,818
131,850


Comprehensive income for the year

Profit for the year
-
-
47,088
47,088
Total comprehensive income for the year
-
-
47,088
47,088

Share based payments
-
145,360
-
145,360


Total transactions with owners
-
145,360
-
145,360


At 31 December 2023
100
249,292
74,906
324,298



STATEMENT OF CHANGES IN EQUITY
FOR THE PERIOD ENDED 31 DECEMBER 2022


Called up share capital
Share-based compensation reserve
Profit and loss account
Total equity

£
£
£
£

At 1 January 2022
100
19,500
(38,837)
(19,237)


Comprehensive income for the year

Profit for the year
-
-
66,655
66,655
Total comprehensive income for the year
-
-
66,655
66,655

Share based payments
-
84,432
-
84,432


Total transactions with owners
-
84,432
-
84,432


At 31 December 2022
100
103,932
27,818
131,850


The notes on pages 10 to 18 form part of these financial statements.

Page 9

 
JFROG UK LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

1.


General information

JFrog UK Limited (the 'Company') a private company limited by shares registered in England and Wales. The address of the Company's registered office is 30 Old Bailey, London, EC4M 7AU. The Company's registered number is 13317983.
The Company's principal activity is that of marketing and consulting services.  

2.Accounting policies

 
2.1

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 FRS 102 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland' and the requirements of the Companies Act 2006. The disclosure requirements of Section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.

The following principal accounting policies have been applied:

 
2.2

Going concern

The Director considers the going concern basis of accounting to be appropriate. The Company operates as the UK operation for the JFrog group and is dependent on the support of its parent in order to operate. The Director has received confirmation that the group will continue to support the Company as necessary for the forseeable future and therefore has not identified any material uncertainties that would cast significant doubt on the ability of the Company to continue as a going concern. 

 
2.3

Foreign currency translation

Functional and presentation currency

The Company's functional and presentational currency is GBP.

Transactions and balances

Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.

At each period end foreign currency monetary items are translated using the closing rate. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined.

Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in the Statement of Comprehensive Income except when deferred in other comprehensive income as qualifying cash flow hedges.

Page 10

 
JFROG UK LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)


2.3
Foreign currency translation (continued)

Foreign exchange gains and losses that relate to borrowings and cash and cash equivalents are presented in the Statement of Comprehensive Income within 'finance income or costs'. All other foreign exchange gains and losses are presented in the Statement of Comprehensive Income within 'other operating income'.

 
2.4

Turnover

Turnover is recognised to the extent that it is probable that the economic benefits will flow to the Company and the turnover can be reliably measured. Turnover 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 turnover is recognised:

Rendering of services

Turnover from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:
the amount of turnover can be measured reliably;
it is probable that the Company will receive the consideration due under the contract;
the stage of completion of the contract at the end of the reporting period can be measured reliably; and
the costs incurred and the costs to complete the contract can be measured reliably.

 
2.5

Interest income

Interest income is recognised in the Statement of Comprehensive Income using the effective interest method.

 
2.6

Finance costs

Finance costs are charged to the Statement of Comprehensive Income over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

 
2.7

Pensions

Defined contribution pension plan

The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations.

The contributions are recognised as an expense in the Statement of Comprehensive Income when they fall due. Amounts not paid are shown in accruals as a liability in the Statement of Financial Position. The assets of the plan are held separately from the Company in independently administered funds.

Page 11

 
JFROG UK LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

  
2.8

Share based payments

The Company reflects the economic cost of awarding shares to employees by recording a expense in the statement of comprehensive income equal to the fair value of the benefit awarded. Fair value being determined by reference to a suitable valuation model. The expense is recognised in the Statement of Comprehensive Income as employment costs over the vesting period. 

 
2.9

Current and deferred taxation

The tax expense for the year comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income 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 reporting date in the countries where the Company operates and generates income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the reporting date, except that:
The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.

 
2.10

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Computer equipment
-
33%
straight line

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date. Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in the Statement of Comprehensive Income.
The depreciation expense is charged to administrative expenses within the Statement of Comprehensive Income.
Page 12

 
JFROG UK LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.11

Debtors

       Short-term debtors are measured at transaction price, less any impairment.

 
2.12

Cash and cash equivalents

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.

 
2.13

Creditors

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

 
2.14

Provisions for liabilities

Provisions are made where an event has taken place that gives the Company a legal or constructive obligation that probably requires settlement by a transfer of economic benefit, and a reliable estimate can be made of the amount of the obligation.
Provisions are charged as an expense to the Statement of Comprehensive Income in the year that the Company becomes aware of the obligation, and are measured at the best estimate at the reporting date of the expenditure required to settle the obligation, taking into account relevant risks and uncertainties.
When payments are eventually made, they are charged to the provision carried in the Statement of Financial Position.

Page 13

 
JFROG UK LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

3.


Operating profit

The operating profit is stated after charging:

2023
2022
£
£

Exchange differences
33,626
19,071


4.


Auditor's remuneration

During the year, the Company obtained the following services from the Company's auditor:


2023
2022
£
£



Fees payable to the Company's auditor for the audit of the Company's 
financial statements
13,000
11,750


5.


Employees

The average monthly number of employees, including Director, during the year was 8 (2022 Restated - 9).


6.


Taxation


2023
2022
£
£

Corporation tax


Current tax on profits for the year
17,000
22,538


Total current tax
17,000
22,538

Deferred tax


Origination and reversal of timing differences
10,613
(23,186)

Total deferred tax
10,613
(23,186)


Tax charge for the year
27,613
(648)
Page 14

 
JFROG UK LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
 
6.Taxation (continued)


Factors affecting tax charge for the year

The tax assessed for the year is higher than (2022 - lower than) the standard rate of corporation tax in the UK of 23.52% (2022 - 19%). The differences are explained below:

2023
2022
£
£


Profit before tax
74,701
66,005


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 23.52% (2022 - 19%)
17,570
12,541

Effects of:


Expenses not deductible for tax purposes
34,190
16,061

Adjustments to tax charge in respect of prior periods
-
(16,306)

Other permanent differences
(34,785)
(2,777)

Timing not recognised in the computation
-
2,777

Remeasurement of deferred tax for changes in tax rates
628
(3,235)

Movement in deferred tax not recognised
-
(9,709)

Adjustments to brought forward values
10,010
-

Total tax charge for the year
27,613
(648)


Factors that may affect future tax charges

The UK Government announced in the 2021 budget that from 1 April 2023, the rate of corporation tax in the United Kingdom would increase from 19% to 25%. Companies with profits of £50,000 or less will continue to be taxed at 19%, which is a new small profits rate. Where taxable profits are between £50,000 and £250,000, the higher 25% rate will apply but with a marginal relief applying as profits increase.

Page 15

 
JFROG UK LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

7.


Tangible fixed assets





Computer equipment

£



Cost or valuation


At 1 January 2023
-


Additions
2,031



At 31 December 2023

2,031



Depreciation


At 1 January 2023
-


Charge for the year
167



At 31 December 2023

167



Net book value



At 31 December 2023
1,864



At 31 December 2022
-


8.


Debtors

2023
2022
£
£


Amounts owed by group undertakings (note 15)
355,399
221,953

Other debtors
58,377
8,539

Prepayments and accrued income
91,934
21,469

Deferred taxation (note 11)
12,573
23,186

518,283
275,147


Amounts owed by group undertakings are unsecured, interest free and repayable on demand.


9.


Cash and cash equivalents

2023
2022
£
£

Cash at bank and in hand
22,538
39,449


Page 16

 
JFROG UK LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

10.


Creditors: Amounts falling due within one year

2023
2022
£
£

Trade creditors
56,441
32,720

Amounts owed to group undertakings (note 15)
-
31,315

Corporation tax
17,000
22,538

Other tax and social security
94,294
55,752

Accruals and deferred income
50,652
32,021

Other creditors
-
8,400

218,387
182,746


Amounts owed to group undertakings are unsecured, interest free and repayable on demand.


11.


Deferred taxation




2023


£






At beginning of year
23,186


Charged to profit or loss
(10,613)



At end of year
12,573

The deferred tax asset is made up as follows:

2023
2022
£
£


Short term timing differences
12,573
23,186

12,573
23,186

Page 17

 
JFROG UK LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

12.


Share capital

2023
2022
£
£
Allotted, called up and fully paid



100 (2022 - 100) Ordinary shares of £1.00 each
100
100

The Company has one class of ordinary shares which carry voting rights but no right to fixed income.


13.


Reserves

Profit and loss account

This reserve includes all current period retained profits and losses.

Share-based compensation reserve

The Company participates in a group share option scheme. The balance in the reserve relates to the share option expenses recognised and therefore are non-distributable reserves.


14.


Pension commitments

The Company operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the Company in an independently administered fund. The pension cost charge represents contributions payable by the Company to the fund and amounted to £28,227 (2022 - £44,220). Contributions totalling £4,011 (2022 - £2,040) were payable to the fund at the reporting date and are included in creditors.


15.


Related party transactions

The Company has taken advantage of the exemption offered in FRS 102, not to disclose transactions entered into between two or more members of a group, provided that any subsidiary undertaking which is a party to the transaction is wholly owned by the same parent undertaking. 


16.


Controlling party

The Company is wholly owned by Jfrog Ltd., a company incorporated in Israel, which is the Company's immediate and ultimate parent company. The registered address of Jfrog Ltd. is 4250465, 3 Hamachshev Street, Netanya, Israel. 
The smallest and largest group of undertakings, for which group accounts for the year end 31 December 2023 have been drawn up, is that headed by Jfrog Limited. Copies of the group accounts can be obtained from registered office: 3 Hamachshev Street, Netanya, Israel.

Page 18