Caseware UK (AP4) 2023.0.135 2023.0.135 2024-06-30The principal activity of the Company is as a group service company to undertake research and development in the technology platform that supports its fellow subsidiary's delivery of fully digital administration solutions in the financial services sector. OPAL Information Systems Limited (the "Company") is a private company limited by shares, registered in England and Wales. The registered office address of the Company is Centrium 1 Griffiths Way, St. Albans, England, AL1 2RD. The Company's registered number is 02947474. The principal activity of the Company is as a group service company to undertake research and development in the technology platform that supports its fellow subsidiary's delivery of fully digital administration solutions in the financial services sector.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. The Directors believe that preparing the financial statements on the going concern basis is appropriate due to the continuing financial support of the Parent Company OPAL (UK) Holdings Limited. The Directors have received confirmation that OPAL (UK) Holdings Limited intends to support the Company for at least one year from the date those financial statements are signed. From 2021, the Company has started generating license revenue and returned to profit in 2023.2024-06-30Turnover wholly relates to the UK market, Turnover is recognised to the extent that the Company has rendered services under an agreement provided the amount of revenue can be measured reliably and it is probable that economic benefits associated with the transaction will flow to the Company. Turnover is measured at the fair value of the consideration received or receivable for services rendered, net of discount and Value Added Tax. Turnover (excluding value added tax) represents licencing fees receivable from the associates Outsourced Professional Administration Limited in respect of the provision of software and core solutions to its customers in life assurance and pension industry.The Company operates a defined contribution 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 £4k (2023 - £4k). 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 profit or loss 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.truetruetruetruetrue32023-07-01false2truefalse 02947474 2023-07-01 2024-06-30 02947474 2022-07-01 2023-06-30 02947474 2024-06-30 02947474 2023-06-30 02947474 2022-07-01 02947474 1 2023-07-01 2024-06-30 02947474 d:CompanySecretary1 2023-07-01 2024-06-30 02947474 d:Director1 2023-07-01 2024-06-30 02947474 d:Director2 2023-07-01 2024-06-30 02947474 d:Director2 2024-06-30 02947474 d:Director3 2023-07-01 2024-06-30 02947474 d:Director4 2023-07-01 2024-06-30 02947474 d:RegisteredOffice 2023-07-01 2024-06-30 02947474 c:CurrentFinancialInstruments 2024-06-30 02947474 c:CurrentFinancialInstruments 2023-06-30 02947474 c:CurrentFinancialInstruments c:WithinOneYear 2024-06-30 02947474 c:CurrentFinancialInstruments c:WithinOneYear 2023-06-30 02947474 c:ShareCapital 2023-07-01 2024-06-30 02947474 c:ShareCapital 2024-06-30 02947474 c:ShareCapital 2022-07-01 2023-06-30 02947474 c:ShareCapital 2023-06-30 02947474 c:ShareCapital 2022-07-01 02947474 c:RetainedEarningsAccumulatedLosses 2023-07-01 2024-06-30 02947474 c:RetainedEarningsAccumulatedLosses 2024-06-30 02947474 c:RetainedEarningsAccumulatedLosses 2022-07-01 2023-06-30 02947474 c:RetainedEarningsAccumulatedLosses 2023-06-30 02947474 c:RetainedEarningsAccumulatedLosses 2022-07-01 02947474 d:OrdinaryShareClass1 2023-07-01 2024-06-30 02947474 d:OrdinaryShareClass1 2024-06-30 02947474 d:OrdinaryShareClass1 2023-06-30 02947474 d:FRS102 2023-07-01 2024-06-30 02947474 d:Audited 2023-07-01 2024-06-30 02947474 d:FullAccounts 2023-07-01 2024-06-30 02947474 d:PrivateLimitedCompanyLtd 2023-07-01 2024-06-30 02947474 2 2023-07-01 2024-06-30 02947474 e:PoundSterling 2023-07-01 2024-06-30 xbrli:shares iso4217:GBP xbrli:pure

Registered number: 02947474









OPAL INFORMATION SYSTEMS LIMITED









ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 JUNE 2024

 
OPAL INFORMATION SYSTEMS LIMITED
 
 
COMPANY INFORMATION


Directors
R Arya 
H C Elliott 
N H Elliott 




Company secretary
A Karmacharya



Registered number
02947474



Registered office
Centrium 1 Griffiths Way
St. Albans

AL1 2RD




Independent auditor
Forvis Mazars LLP
Chartered Accountants & Statutory Auditor

30 Old Bailey

London

EC4M 7AU





 
OPAL INFORMATION SYSTEMS LIMITED
 

CONTENTS



Pages
Strategic Report
1 - 3
Directors' Report
4 - 5
Independent Auditor's Report
6 - 9
Statement of Comprehensive Income
10
Statement of Financial Position
11
Statement of Changes in Equity
12
Notes to the Financial Statements
13 - 21


 
OPAL INFORMATION SYSTEMS LIMITED
 
 
STRATEGIC REPORT
FOR THE YEAR ENDED 30 JUNE 2024

Introduction
 
The Directors present their Strategic Report on the Company for the year ended 30 June 2024.

Business review
 
Turnover for the year was £200k (2023 - £200k). The result is a profit on ordinary activities before tax of £7k (2023 - £23k).
 
In the current financial year to 30 June 2024 OPAL Information Systems Limited (OPAL IS) has continued to develop in the technology platform that supports the solutions provided by Outsourced Professional Administration Limited. The Directors have an agreed strategy to innovate products and services in order to meet the changing need of the product providers we support, the advisors and the customers. The Directors are satisfied with the results for the year, as the Directors feel confident that the Group will continue to gain new contracts and to service its existing client base. The development of revenue sourced from licensing technology and hosting digital schemes is expected to accelerate in the short term and OPAL IS will benefit from this activity.
 
Financial key performance indicators

30 June 2024
30 June 2023
30 June 2022
Turnover £'000

200

200

100
 
 
Operating profit/(loss) £'000

7

23

(105)
 
 
Operating profit(loss)/turnover%

3.5%

11.5%

(105%)
 
 

Principal risks and uncertainties
 
The Company operates in a rapidly changing and competitive market place where continued growth is dependent on maintaining existing customer relationships and winning new clients. The Company handles system enhancements for clients of its sister Company, Outsourced Professional Administration Limited, who performs third party administration for financial institutions where customer services is paramount. The Company is confident that it can achieve its objectives and minimise the risk of falling short of its target by providing a high quality service to its customers and regularly reviewing its processes and procedures.
The Company's risk management objectives and policies aim to mitigate specific financial risks where there is a possibility that any financial risk may lead to material changes in the Company's financial performance, position or cash flow. The Company has limited exposure to financial risk through its financial assets and financial liabilities. Cash is held in major UK banks in an attempt to mitigate liquidity and credit risk, regular reviews of the bank ratings are conducted by management. At the balance sheet date the maximum exposure to credit risk is limited to the carrying amount of each financial asset in the balance sheet. The Company is not exposed to currency risk. The Company has no contractually determined cash flows and so interest rate risk is minimal. No hedging techniques are employed.
 
Page 1

 
OPAL INFORMATION SYSTEMS LIMITED
 

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024

Statement by the Director relating to their statutory duties under section 172(1) of the Companies Act 2006
The Director, in line with their duties under s172 of the Companies Act 2006, act in the way they consider, in good faith, would be most likely to promote the success of the Company for the benefit of its member, and in doing so have regard, amongst other matters, to the:

Likely consequences of any decision in the long term;
Interest of the Company's employees
Need to foster the Company's business relationships with suppliers, customers and others;
Impact of the Company's operations on the community and the environment;
Desirability of the Company maintaining a reputation for high standards of business conduct;
Need to act fairly as between members of the Company

Stakeholders
The Board understands the importance of engagement with all of its stakeholders and gives appropriate weighting to the outcome of its decisions for the relevant stakeholder in weighing up how best to promote the success of the Company. The Board regularly discusses issues concerning customers, suppliers, employees, community and environment, regulators and its shareholder, which it takes into account in its discussions and in its decision-making process. In addition to this, the Board seeks to understand the interests and views of the Company's stakeholders by engaging with them directly when required. The below summarises the key stakeholders and how we engage with each:
Customers
The Company is an unregulated company and currently doesn't have clients other than its sister Company.
Suppliers
We work with a range of suppliers and remain committed to being fair and transparent in our dealings with all of our suppliers. Suppliers are generally relevant to the whole company and the Company has, where relevant, procedures in place requiring due diligence of suppliers as to their internal governance, including for example, their anti-bribery and corruption practices, data protection policies and modern slavery matters. The Company has systems and processes in place to ensure suppliers are paid in a timely manner.

Employees
The Company has a well-established management reporting structure which encourages employee engagement in an open working environment. The Board is responsible for ensuring that this structure enables effective communication and feedback between employees and management.
Community and environment
The Board is aware of the impact its activities can have on the environment, and is committed to minimising our environmental footprint.
Shareholder
The Board also seeks to behave in a responsible manner towards our shareholders. The Board frequently communicates information relevant to the shareholders, such as its financial reporting and updates on commercial activity. 
 
Page 2

 
OPAL INFORMATION SYSTEMS LIMITED
 

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024

Directors' statement of compliance with duty to promote the success of the Company
 
The Directors of the Company through considering the views of its employees, customers and suppliers, acting in good faith, have taken informed decisions during the year ending 30 June 2024 to ensure that they have promoted the success of the Company for the benefit of its participants and stakeholders. The Company continues to follow its value strategy, which has long term beneficial impacts including a fulfilling working environment.


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



R Arya
Director

Date: 31 October 2024

Page 3

 
OPAL INFORMATION SYSTEMS LIMITED
 
 
 
DIRECTORS' REPORT
FOR THE YEAR ENDED 30 JUNE 2024

The Directors present their report and the financial statements for the year ended 30 June 2024.

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 judgements 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; and

prepare the financial statements on the going concern basis unless they either intend to liquidate the Company or to cease operations, or have no realistic alternative but to do so.

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 activity of the Company is as a group service company to undertake research and development in the technology platform that supports its fellow subsidiary's delivery of fully digital administration solutions in the financial services sector.

Results and dividends

The profit for the year, after taxation, amounted to £7k (2023 - £23k).

Directors

The Directors who served during the year were:

R Arya (appointed 1 July 2024)
H C Elliott (appointed 31 January 2024)
N H Elliott 
E Lyons (resigned 26 June 2024)
 
Page 4

 
OPAL INFORMATION SYSTEMS LIMITED
 
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024

Statement on matters covered in the Strategic Report

As permitted by Paragraph 1A of Schedule 7 to the Large and Medium sized Companies and Groups (Accounts and Reports) Regulations 2008 certain matters which are required to be disclosed in the directors' report have been omitted as they are included in the Strategic Report instead. These matters relate to Business Review, Principal risks and uncertainties and Financial key performance indicators.

Disclosure of information to auditor

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

the Directors have 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 auditor is aware of that information.

Economic impact of global events
UK businesses are currently facing many uncertainties such as the consequences of environmental sustainability and geopolitical events. These uncertainties have 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 Directors have carried out an assessment of the potential impact of these uncertainties on the business, including the impact of mitigation measures, and have 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 Directors have taken account of these potential impacts in their going concern assessment. 
The Company 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.
 
Post balance sheet events

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

Auditor

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

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





R Arya
Director

Date: 31 October 2024

Page 5

 
OPAL INFORMATION SYSTEMS LIMITED
 
 
 
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF OPAL INFORMATION SYSTEMS LIMITED
 

Opinion

We have audited the financial statements of OPAL Information Systems Limited (the ‘Company’) for the year ended 30 June 2024 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 30 June 2024 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 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.
Page 6

 
OPAL INFORMATION SYSTEMS LIMITED
 
 
 
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF OPAL INFORMATION SYSTEMS LIMITED
 

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 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 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.

Page 7

 
OPAL INFORMATION SYSTEMS LIMITED
 
 
 
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF OPAL INFORMATION SYSTEMS LIMITED
 

Responsibilities of Directors

As explained more fully in the Directors' Responsibilities Statement set out on page 4, 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.
 
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below.
 
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 considered that non-compliance with the following laws and regulations might have a material effect on the financial statements: employment regulation, health and safety regulation and anti-money laundering regulation.

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 and the Companies Act 2006.
Page 8

 
OPAL INFORMATION SYSTEMS LIMITED
 
 
 
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF OPAL INFORMATION SYSTEMS LIMITED
 

In addition, we evaluated the Directors' 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 were related to: i) posting manual journal entries to manipulate financial performance, management bias through judgements and assumptions in significant accounting estimates, and ii) 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.

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.




Diego Fernandez (Senior Statutory Auditor)

  
for and on behalf of

Forvis Mazars LLP
Chartered Accountants and Statutory Auditor 
30 Old Bailey
LondonLondon
EC4M 7AU
EC4M 7AU

31 October 2024
Page 9

 
OPAL INFORMATION SYSTEMS LIMITED
 
 
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 30 JUNE 2024

2024
2023
Note
£000
£000

  

Turnover
 4 
200
200

Gross profit
  
200
200

Administrative expenses
  
(193)
(177)

Operating profit
 5 
7
23

Tax on profit
 9 
-
-

Profit for the financial year
  
7
23

There was no other comprehensive income for 2024 (2023 - £Nil).

The notes on pages 13 to 21 form part of these financial statements.

All results arise from continuing activities.

Page 10

 
OPAL INFORMATION SYSTEMS LIMITED
REGISTERED NUMBER: 02947474

STATEMENT OF FINANCIAL POSITION
AS AT 30 JUNE 2024

2024
2023
Note
£000
£000

  

Current assets
  

Debtors: amounts falling due within one year
 10 
17
17

Cash and cash equivalents
 11 
6
1

  
23
18

Creditors: amounts falling due within one year
 12 
(2,167)
(2,169)

Net current liabilities
  
 
 
(2,144)
 
 
(2,151)

Total assets less current liabilities
  
(2,144)
(2,151)

  

Net liabilities
  
(2,144)
(2,151)


Capital and reserves
  

Called up share capital 
 13 
1
1

Profit and loss account
 14 
(2,145)
(2,152)

  
(2,144)
(2,151)


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




R Arya
Director

Date: 31 October 2024

The notes on pages 13 to 21 form part of these financial statements.

Page 11

 
OPAL INFORMATION SYSTEMS LIMITED
 

STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 JUNE 2024


Called up share capital
Profit and loss account
Total equity

£000
£000
£000

At 1 July 2023
1
(2,152)
(2,151)


Comprehensive income for the year

Profit for the year
-
7
7
Total comprehensive income for the year
-
7
7


At 30 June 2024
1
(2,145)
(2,144)



STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 JUNE 2023


Called up share capital
Profit and loss account
Total equity

£000
£000
£000

At 1 July 2022
1
(2,175)
(2,174)


Comprehensive income for the year

Profit for the year
-
23
23
Total comprehensive income for the year
-
23
23


At 30 June 2023
1
(2,152)
(2,151)


The notes on pages 13 to 21 form part of these financial statements.

Page 12

 
OPAL INFORMATION SYSTEMS LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024

1.


General information

OPAL Information Systems Limited (the "Company") is a private company limited by shares, registered in England and Wales. The registered office address of the Company is Centrium 1 Griffiths Way, St. Albans, England, AL1 2RD. The Company's registered number is 02947474.
The principal activity of the Company is as a group service company to undertake research and development in the technology platform that supports its fellow subsidiary's delivery of fully digital administration solutions in the financial services sector.

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 judgement 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 OPAL (UK) Holdings Limited as at 30 June 2024 and these financial statements may be obtained from Companies House.

 
2.3

Going concern

The Directors believe that preparing the financial statements on the going concern basis is appropriate due to the continuing financial support of the Parent Company OPAL (UK) Holdings Limited. The Directors have received confirmation that OPAL (UK) Holdings Limited intends to support the Company for at least one year from the date those financial statements are signed. From 2021, the Company has started generating license revenue and returned to profit in 2023.

Page 13

 
OPAL INFORMATION SYSTEMS LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024

2.Accounting policies (continued)

  
2.4

Turnover

Turnover wholly relates to the UK market, Turnover is recognised to the extent that the Company has rendered services under an agreement provided the amount of revenue can be measured reliably and it is probable that economic benefits associated with the transaction will flow to the Company. Turnover is measured at the fair value of the consideration received or receivable for services rendered, net of discount and Value Added Tax.

 
2.5

Operating leases: the Company as lessee

Rentals paid under operating leases are charged to the Statement of Comprehensive Income on a straight-line basis over the lease term.

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight-line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.

 
2.6

Interest income

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

 
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 profit or loss 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.

 
2.8

Debtors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

 
2.9

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.

 
2.10

Creditors

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

Page 14

 
OPAL INFORMATION SYSTEMS LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024

2.Accounting policies (continued)

 
2.11

Financial instruments

The Company has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the Company's Statement of Financial Position when the Company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with 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.

Basic financial assets

Basic financial assets, which include trade and other receivables, cash and bank balances, are initially measured at their transaction price including transaction costs and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, 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.

Discounting is omitted where the effect of discounting is immaterial. The Company's cash and cash equivalents, trade and most other receivables due with the operating cycle fall into this category of financial instruments.

Impairment of financial assets

Financial assets are assessed for indicators of impairment at each reporting date. 

Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial asset(s) have been adversely impacted. The impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate.

If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the Statement of Comprehensive Income.

Page 15

 
OPAL INFORMATION SYSTEMS LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024

2.Accounting policies (continued)


2.11
Financial instruments (continued)

Financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the Company after the deduction of all its liabilities.

Basic financial liabilities, which include trade and other payables, bank loans and other loans are initially measured at their transaction price after transaction costs. When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Discounting is omitted where the effect of discounting is immaterial.

Debt instruments are subsequently carried at their amortised cost using the effective interest rate method.

Trade payables are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade payables are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade payables are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.

Derecognition of financial instruments

Derecognition of financial assets

Financial assets are derecognised when their contractual right to future cash flow expire, or are settled, or when the Company transfers the asset and substantially all the risks and rewards of ownership to another party. If significant risks and rewards of ownership are retained after the transfer to another party, then the Company will continue to recognise the value of the portion of the risks and rewards retained.

Derecognition of financial liabilities

Financial liabilities are derecognised when the Company's contractual obligations expire or are discharged or cancelled.


3.


Judgements in applying accounting policies and key sources of estimation uncertainty

Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are belived to be reasonable under the circumstances.

i.material judgements
ii.key accounting estimates and assumptions

There have been no material judgements, key accounting estimates, or assumptions reported for assets and liabilities at the balance sheet date and the amounts reported for revenues and expenses during the year ended 30 June 2024.

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OPAL INFORMATION SYSTEMS LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024

4.


Turnover

Turnover (excluding value added tax) represents licencing fees receivable from the associates Outsourced Professional Administration Limited in respect of the provision of software and core solutions to its customers in life assurance and pension industry.


5.


Operating profit

The operating profit is stated after charging:

2024
2023
£000
£000

Operating lease rentals
35
41


6.


Auditor's remuneration

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


2024
2023
£000
£000


Fees payable to the Company's auditor for the audit of the Company's financial statements
10
13

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.

Page 17

 
OPAL INFORMATION SYSTEMS LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024

7.


Employees

Staff costs, including Directors' remuneration, were as follows:


2024
2023
£000
£000

Wages and salaries
82
77

Social security costs
12
11

Cost of defined contribution pension scheme
4
4

98
92


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


        2024
        2023
            No.
            No.







Administration
2
1



Information technology
1
1

3
2


8.


Directors' remuneration

2024
2023
£000
£000

Directors' emoluments
30
28

Company contributions to defined contribution pension schemes
2
4

32
32


Page 18

 
OPAL INFORMATION SYSTEMS LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024

9.


Taxation


2024
2023
£000
£000


Total current tax
-
-


Tax on profit
-
-

Factors affecting tax charge for the year

The tax assessed for the year is lower than (2023 - lower than) the standard rate of corporation tax in the UK of 25% (2023 - 20.5%). The differences are explained below:

2024
2023
£000
£000


Profit on ordinary activities before tax
7
23


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2023 - 20.5%)
2
5

Effects of:


Movement in deferred tax not recognised
(88)
(145)

Remeasurement of deferred tax for changes in tax rates
-
26

Group relief surrendered
86
114

Total tax charge for the year
-
-

A deferred tax asset of £136k (2023 - £225k) in respect of tax losses was not recognised in these accounts as there was insufficient certainty at that time as to the availability of future taxable profits arising.
Deferred tax is calculated at a rate of 25% (2023 - 20.5%) in line with the substantively enacted tax rate.


Factors that may affect future tax charges

Aside from the availability of group relief, there are no other factors affecting future tax charges.

Page 19

 
OPAL INFORMATION SYSTEMS LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024

10.


Debtors

2024
2023
£000
£000

Amounts owed by group undertakings
17
17


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


11.


Cash and cash equivalents

2024
2023
£000
£000

Cash at bank and in hand
6
1



12.


Creditors: Amounts falling due within one year

2024
2023
£000
£000

Trade creditors
2
-

Amounts owed to group undertakings
2,151
2,155

Other taxation and social security
2
2

Accruals and deferred income
12
12

2,167
2,169


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


13.


Share capital

2024
2023
£000
£000
Allotted, called up and fully paid



1,000 (2023 - 1,000) Ordinary shares of £1.00 each
1
1

Each Ordinary share carries voting rights, but no right to fixed income.



14.


Reserves

Profit and loss account

This reserve represents cumulative profits or losses net of dividends and other adjustments.

Page 20

 
OPAL INFORMATION SYSTEMS LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024

15.


Pension commitments

The Company operates a defined contribution 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 £4k (2023 - £4k). 


16.


Related party transactions

The Company has taken advantage of the exemption within FRS 102 not to disclose transactions entered into by two or more members of the Group, provided that any subsidiary which is party to the transactions is wholly owned by such a member.
At the year end the Company was owed £188 (2023 - £Nil) by Synergy Financial Products Limited, a related party through common key management and the same ultimate controlling parties.


17.


Controlling party

The immediate and ultimate parent undertaking is OPAL (UK) Holdings Limited, a Company incorporated in England and Wales, which is the parent undertaking of the smallest and largest group to consolidate these financial statements. The consolidated financial statements of the group are available to the public and may be obtained from Companies House, Crown Way, Cardiff CF14 3UZ.
The ultimate controlling party of the Company is N H Elliot through virtue of their shareholding.

Page 21