Caseware UK (AP4) 2023.0.135 2023.0.135 2023-12-312024-05-302024-05-302024-05-302024-05-302024-05-302024-05-302023-12-314truetruetruetruetrue2023-01-01false4truefalse 11028839 2023-01-01 2023-12-31 11028839 2022-01-01 2022-12-31 11028839 2023-12-31 11028839 2022-12-31 11028839 c:Exceptional 2023-01-01 2023-12-31 11028839 c:Exceptional 2022-01-01 2022-12-31 11028839 d:Director1 2023-01-01 2023-12-31 11028839 d:Director2 2023-01-01 2023-12-31 11028839 d:Director3 2023-01-01 2023-12-31 11028839 d:Director3 2023-12-31 11028839 d:Director4 2023-01-01 2023-12-31 11028839 d:Director4 2023-12-31 11028839 d:Director5 2023-01-01 2023-12-31 11028839 d:Director5 2023-12-31 11028839 d:Director6 2023-01-01 2023-12-31 11028839 d:Director6 2023-12-31 11028839 d:RegisteredOffice 2023-01-01 2023-12-31 11028839 c:CurrentFinancialInstruments 2023-12-31 11028839 c:CurrentFinancialInstruments 2022-12-31 11028839 c:CurrentFinancialInstruments c:WithinOneYear 2023-12-31 11028839 c:CurrentFinancialInstruments c:WithinOneYear 2022-12-31 11028839 c:ShareCapital 2023-12-31 11028839 c:ShareCapital 2022-12-31 11028839 c:RetainedEarningsAccumulatedLosses 2023-01-01 2023-12-31 11028839 c:RetainedEarningsAccumulatedLosses 2023-12-31 11028839 c:RetainedEarningsAccumulatedLosses 2022-01-01 2022-12-31 11028839 c:RetainedEarningsAccumulatedLosses 2022-12-31 11028839 c:RetainedEarningsAccumulatedLosses 2022-01-01 11028839 d:OrdinaryShareClass1 2023-01-01 2023-12-31 11028839 d:OrdinaryShareClass1 2023-12-31 11028839 d:OrdinaryShareClass1 2022-12-31 11028839 d:FRS102 2023-01-01 2023-12-31 11028839 d:Audited 2023-01-01 2023-12-31 11028839 d:FullAccounts 2023-01-01 2023-12-31 11028839 d:PrivateLimitedCompanyLtd 2023-01-01 2023-12-31 11028839 c:Subsidiary1 2023-01-01 2023-12-31 11028839 c:Subsidiary1 1 2023-01-01 2023-12-31 11028839 4 2023-01-01 2023-12-31 11028839 6 2023-01-01 2023-12-31 xbrli:shares iso4217:GBP xbrli:pure

Registered number: 11028839









JAPAN CENTRE GROUP HOLDINGS LTD









ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2023

 
JAPAN CENTRE GROUP HOLDINGS LTD
 
 
COMPANY INFORMATION


Directors
M Asai 
S Higaki 
M Morishita (appointed 30 May 2024)
N Takeshi (appointed 30 May 2024)
H Tokumine (resigned 30 May 2024)
K Tokumine (resigned 30 May 2024)




Registered number
11028839



Registered office
Unit B, Premier Park, Premier Park Road,

London,

NW10 7NZ




Independent auditors
BKL Audit LLP
Chartered Accountants & Statutory Auditor

35 Ballards Lane

London

N3 1XW





 
JAPAN CENTRE GROUP HOLDINGS LTD
 

CONTENTS



Page
Strategic Report
 
 
1
Directors' Report
 
 
2 - 3
Independent Auditors' Report
 
 
4 - 7
Statement of Income and Retained Earnings
 
 
8
Statement of Financial Position
 
 
9
Notes to the Financial Statements
 
 
10 - 16


 
JAPAN CENTRE GROUP HOLDINGS LTD
 
 
STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023

Introduction
 
The Directors present the strategic report for the year ended 31 December 2023.

Business review
 
The Company does not trade. During the year an impairment of £1.083m has been recognised in the Statement of Income and Retained Earnings. The directors' were of the opinion that the recoverable value for the investment was lower than the carrying value of the investment in subsidiary and therefore it was necessary to provide for an impairment.

Principal risks and uncertainties
 
The principal asset held by the Company is an investment in its subsidiary, Ichiba UK Limited a company incorporated in England and Wales and which operates a store in Westfield London with trading activities in the retail and hospitality sectors. The Company is reliant on its subsidiary’s and immediate parent company's trading performance. The directors recognise that within the immediate parent company and subsidiary there are a number of risks which may affect the performance. These risks include industrial disruptions caused by the pandemic followed by various post pandemic events which include the energy crisis, rising inflationary pressures, economic instability and the war in Ukraine. These risks are subject to regular review and where appropriate processes have been established to minimise the level of exposure.

Material uncertainty relating to going concern

The Company depends to a significant extent on support from its intermediary parent company, Japan Centre Group Limited to continue its financing.
A review of the forecasts for Japan Centre Group Limited has been carried out. Given the associated uncertainties within the forecasts, a material uncertainty exists within the group that may cast a significant doubt on the Company's ability to continue as a going concern. The financial statements do not include the adjustments that would result if the Company were unable to continue as a going concern.
Accordingly, the directors continue to adopt the going concern basis in preparing the financial statements.

Financial key performance indicators
 
The board of directors reviews the business performance on a monthly basis and on an annual basis compares the Group results to similar business' witin the same industry.

Other key performance indicators
 
The Company is a holding company with its principal asset being its subsidiary Ichiba UK Limited. There are no other key performance indicators.


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



M Morishita
Director

Date: 24 September 2024

Page 1

 
JAPAN CENTRE GROUP HOLDINGS LTD
 
 
 
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023

The directors present their report and the financial statements for the year ended 31 December 2023.

Directors' responsibilities statement

The directors are responsible for preparing the Strategic Report, the Directors' 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 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 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, the directors are required to:


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

make judgments and accounting estimates that are reasonable and prudent;

state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;

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

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 to enable them to ensure that the financial statements comply with the Companies Act 2006They 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.

Principal activity

The principal activities of the Company is that of a non-trading company.

Results and dividends

The loss for the year, after taxation, amounted to £1,088,007 (2022 - loss £267,478).

During the year, no dividends were declared or paid (2022 - £Nil).

Directors

The directors who served during the year were:

M Asai 
S Higaki 
H Tokumine (resigned 30 May 2024)
K Tokumine (resigned 30 May 2024)

Page 2

 
JAPAN CENTRE GROUP HOLDINGS LTD
 
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023

Future developments

The Directors continue to closely monitor the business risks and management information and have adopted caution in their business decisions. However, the Directors are confident in the future and intend to continue operations as normal.

Disclosure of information to auditors

Each of the persons who are directors at the time when this Directors' Report is approved has confirmed that:
 
so far as the director is aware, there is no relevant audit information of which the Company's auditors are unaware, and

the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company's auditors are aware of that information.

Post balance sheet events

There have been no significant events affecting the Company since the year end.

Auditors

During the year, Sobell Rhodes Audit Limited resigned as auditors and BKL Audit LLP were appointed in their stead.
Under section 487(2) of the Companies Act 2006BKL Audit LLP will be deemed to have been reappointed as auditors 28 days after these financial statements were sent to members or 28 days after the latest date prescribed for filing the accounts with the registrar, whichever is earlier.

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





M Morishita
Director

Date: 24 September 2024

Page 3

 
JAPAN CENTRE GROUP HOLDINGS LTD
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF JAPAN CENTRE GROUP HOLDINGS LTD
 

Opinion


We have audited the financial statements of Japan Centre Group Holdings Ltd (the 'Company') for the year ended 31 December 2023, which comprise the Statement of Income and Retained Earnings, the Statement of Financial Position and the related notes, including a summary of significant accounting policiesThe financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 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 loss 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 Auditors' 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 United Kingdom, including the Financial Reporting Council'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.


Material uncertainty related to going concern


We draw attention to note 2.4 in the financial statements, which indicates that continuing losses may cast significant doubt on the Company's ability to continue as a going concern. Our opinion is not modified in respect of this matter.


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.


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


Page 4

 
JAPAN CENTRE GROUP HOLDINGS LTD
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF JAPAN CENTRE GROUP HOLDINGS LTD (CONTINUED)


Other information


The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' Report thereon. The directors are responsible for the other information contained within the Annual ReportOur 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.


Opinion 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 Strategic Report and the Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the Strategic Report and the Directors' Report have been prepared in accordance with applicable legal requirements.


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 Strategic Report or 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:


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 directors' remuneration specified by law are not made; or
we have not received all the information and explanations we require for our audit.


Responsibilities of directors
 

As explained more fully in the Directors' Responsibilities Statement set out on page 2, 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.


Page 5

 
JAPAN CENTRE GROUP HOLDINGS LTD
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF JAPAN CENTRE GROUP HOLDINGS LTD (CONTINUED)


Auditors' 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 Auditors' 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:

Enquiring of management around actual and potential litigation and claims;
Reviewing financial statement disclosures and testing to supporting documentation with applicable laws          and regulations;
Performing audit work over the risks of management override of controls, including testing of journal                  entries and other adjustments for appropriateness, evaluating business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for bias.


Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.


As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also:


Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion of the effectiveness of the Company's internal control.
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors.
Conclude on the appropriateness of the directors' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our Auditors' Report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our Auditors' Report. However, future events or conditions may cause the Company to cease to continue as a going concern.
Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
Page 6

 
JAPAN CENTRE GROUP HOLDINGS LTD
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF JAPAN CENTRE GROUP HOLDINGS LTD (CONTINUED)




We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.


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 2006Our 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 Auditors' 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.





Geeta Morgan FCA (Senior Statutory Auditor)
  
for and on behalf of
BKL Audit LLP
 
Chartered Accountants
Statutory Auditor
  
London

24 September 2024
Page 7

 
JAPAN CENTRE GROUP HOLDINGS LTD
 
 
STATEMENT OF INCOME AND RETAINED EARNINGS
FOR THE YEAR ENDED 31 DECEMBER 2023

2023
2022
£
£

  

Administrative expenses
  
(4,561)
(550)

Impairment of investment
 6 
(1,083,446)
(266,928)

Operating loss
  
(1,088,007)
(267,478)

Loss after tax
  
(1,088,007)
(267,478)

  

  

Retained earnings at the beginning of the year
  
(1,299,401)
(1,031,923)

  
(1,299,401)
(1,031,923)

Loss for the year
  
(1,088,007)
(267,478)

Retained earnings at the end of the year
  
(2,387,408)
(1,299,401)

There were no recognised gains and losses for 2023 or 2022 other than those included in the statement of income and retained earnings.

The notes on pages 10 to 16 form part of these financial statements.

Page 8

 
JAPAN CENTRE GROUP HOLDINGS LTD
REGISTERED NUMBER: 11028839

STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2023

2023
2022
Note
£
£

Fixed assets
  

Investments
 7 
655,987
1,739,433

  
655,987
1,739,433

Current assets
  

Cash at bank and in hand
 8 
5,870
7,221

  
5,870
7,221

Creditors: amounts falling due within one year
 9 
(3,265)
(55)

Net current assets
  
 
 
2,605
 
 
7,166

Total assets less current liabilities
  
658,592
1,746,599

  

Net assets
  
658,592
1,746,599


Capital and reserves
  

Called up share capital 
 10 
3,046,000
3,046,000

Profit and loss account
 11 
(2,387,408)
(1,299,401)

  
658,592
1,746,599


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




M Morishita
Director

Date: 24 September 2024

The notes on pages 10 to 16 form part of these financial statements.

Page 9

 
JAPAN CENTRE GROUP HOLDINGS LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

1.


General information

The principal activity of Japan Centre Group Holdings is that of a non-trading company.
The Company is a private company limited by shares and is incorporated in England and Wales.
The registered office is Unit B, Premier Park, Premier Park Road, London, United Kingdom, NW10 7NZ.

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 Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the Company's accounting policies (see note 3).

The following principal accounting policies have been applied:

 
2.2

Financial Reporting Standard 102 - reduced disclosure exemptions

The Company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":
the requirements of Section 7 Statement of Cash Flows;
the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d);
the requirements of Section 11 Financial Instruments paragraphs 11.42, 11.44 to 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c);
the requirements of Section 12 Other Financial Instruments paragraphs 12.26 to 12.27, 12.29(a), 12.29(b) and 12.29A;
the requirements of Section 33 Related Party Disclosures paragraph 33.7.

This information is included in the consolidated financial statements of Japan Centre Group Limited as at 31 December 2023 and these financial statements may be obtained from its registered office: Unit B, Premier Park Road, London, United Kingdom, NW10 7NZ..

 
2.3

Exemption from preparing consolidated financial statements

The Company is a parent company that is also a subsidiary included in the consolidated financial statements of a larger group by a parent undertaking established under the law of any part of the United Kingdom and is therefore exempt from the requirement to prepare consolidated financial statements under section 400 of the Companies Act 2006.

Page 10

 
JAPAN CENTRE GROUP HOLDINGS LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.4

Going concern

These financial statements are prepared on the going concern basis which assumes that financial support will be available from Japan Centre Group Limited (the intermedairy parent company). The directors have a reasonable expectation that the Company will continue in operational existence for the foreseeable future. However, the directors are aware of certain material uncertainties which may cause doubt on the intermediary parent company's and therefore the Company's ability to continue as a going concern. 
The group has prepared cash flow forecast until December 2025, under the current economic conditions and based on the key assumption that the restaurants across the group will remain open for the foreseeable future. The forecasts incorporate profit improvement measures including controlling energy costs and securing favourable fixed prices, general cost efficiencies and marketing campaigns to drive footfall.
As a result of these projections, and continued support from group companies, the directors are confident that the Company's access to working capital and future profit generation will be sufficient to support the business in the foreseeable future, and accordingly, consider it appropriate to prepare the financial statements on a going concern basis.
The directors are confident regarding the Company's and group's long-term prospects and profitability. It is however difficult to assess the impact of any other unexpected disruptions. Given the associated uncertainty above and therefore within the group's forecast, a material uncertainty exists that may cast a significant doubt on the group's and therefore the Company's ability to continue as a going concern.
Given the associated uncertainty above and therefore within the group's forecast, a material uncertainty exists that may cast a significant doubt on the group's and therefore the Company's ability to continue as a going concern.
The financial statements do not include the adjustments that would result if the Company or group were unable to continue as a going concern.

 
2.5

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.

Page 11

 
JAPAN CENTRE GROUP HOLDINGS LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.6

Exceptional items

Exceptional items are transactions that fall within the ordinary activities of the Company but are presented separately due to their size or incidence.

 
2.7

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment.

 
2.8

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.

 
2.9

Financial instruments

The Company only enters into basic financial instruments and transactions that result in the recognition of financial assets and liabilities like other debtors.
(i) Financial assets
Basic financial assets, including other debtors, are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.
Such assets are subsequently carried at amortised cost using the effective interest method. At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in the Statement of Income and Retained Earnings.
Financial assets are derecognised when (a) the contractual rights to the cash flows from the asset expire or are settled, or (b) substantially all the risks and rewards of the ownership of the asset are transferred to another party or (c) control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions.
(ii) Financial liabilities
Basic financial liabilities, including other creditors, are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Trade creditors are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires.
 
Page 12

 
JAPAN CENTRE GROUP HOLDINGS LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)


2.9
Financial instruments (continued)

(iii) Offsetting
Financial assets and liabilities are offset and the net amounts presented in the financial statements when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.


3.


Judgments in applying accounting policies and key sources of estimation uncertainty

The preparation of the financial statements requires management to make judgments, estimates and assumptions that affect the amounts reported for assets and liabilities as at the Statement of Financial Position date and the amounts reported for revenues and expenses during the year. However, the nature of estimation means that actual outcomes could differ from these estimates.
Estimates and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.
Going concern assumption
As outlined in note 2.4 the directors believe that the Company will continue to be a going concern however due to previous losses and post-pandemic economic conditions, material uncertainty does exist relating to the going concern assumption.
As a result, the accounts have been prepared on such a basis so assets and liabilities have been accounted for with the Company's continued trading operation in mind. 
If the Company was to no longer be a going concern, assets and liabilities would need to be re-evaluated to reflect this position.
Critical judgements
The following judgements (apart from involving estimates) have had the most significant effect on amounts recognised in the financial statements.
Assessing indicators of impairment
The directors' have determined whether there are indicators of the Company's investment in its subsidiary.
Factors taken into consideration in reaching such a decision include economic viability and expected future financial performance of the subsidiary’s retail cash generating unit (CGU). Where there are indicators of impairment, the subsidiary estimates the value of the CGU using discounted cash flows to calculate the CGU's value in use. Due to the repercussions of the macro-economic post pandemic events there is significant uncertainty in estimating the subsidiary’s future cash flows and a change in the outcome of this estimation could have an impact on impairment adjustments required. Further details on impairment have been disclosed in note 6.

Page 13

 
JAPAN CENTRE GROUP HOLDINGS LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

4.


Auditors' remuneration

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


2023
2022
£
£

Fees payable to the Company's auditors for the audit of the Company's financial statements
3,000
7,000

The Company has taken advantage of the exemption not to disclose amounts paid for non-audit services as these are disclosed in the consolidated accounts of the parent Company.


5.


Employees




The average monthly number of employees, including the directors, during the year was as follows:


        2023
        2022
            No.
            No.







Directors
4
4


6.


Exceptional items

2023
2022
£
£


Impairment of subsidiary
1,083,446
266,928

Page 14

 
JAPAN CENTRE GROUP HOLDINGS LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

7.


Fixed asset investments





Investments in subsidiary companies

£



Cost or valuation


At 1 January 2023
1,739,433



At 31 December 2023

1,739,433



Impairment


Charge for the period
1,083,446



At 31 December 2023

1,083,446



Net book value



At 31 December 2023
655,987



At 31 December 2022
1,739,433


Subsidiary undertaking


The following was a subsidiary undertaking of the Company:

Name

Registered office

Class of shares

Holding

Ichiba UK Limited
England and Wales
Ordinary
51%


8.


Cash and cash equivalents

2023
2022
£
£

Cash at bank and in hand
5,870
7,221


Page 15

 
JAPAN CENTRE GROUP HOLDINGS LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

9.


Creditors: Amounts falling due within one year

2023
2022
£
£

Amounts owed to group undertakings
3,265
55


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


10.


Share capital

2023
2022
£
£
Allotted, called up and fully paid



3,046,000 (2022 - 3,046,000) Ordinary shares of £1.00 each
3,046,000
3,046,000



11.


Reserves

Profit and loss account

The profit and loss account represents the accumulated profits and losses.


12.


Related party transactions

At the year end 31st December 2023, a balance of £3,265 (2022 - £55) was owed to the parent company Japan Centre Group Limited.


13.


Controlling party

The ultimate parent is Tokumine Holdings Limited, incorporated in United Kingdom.
The ultimate controlling party is Mr K Tokumine.
The parent of the smallest group and largest group in which these financial statements are consolidated is Japan Centre Group Limited and Alindene Limited, incorporated in United Kingdom.
The largest and smallest group in which these financial statements are consolidated are Alindene Limited and Japan Centre Group Limited respectively, incorporated in United Kingdom and the consolidated financial statements can be available from Companies House using the company registration number 01793134 and 01240558 respectively.

 
Page 16