Company registration number 02074149 (England and Wales)
STRUMIS LTD
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2024
PAGES FOR FILING WITH REGISTRAR
STRUMIS LTD
CONTENTS
Page
Balance sheet
1
Notes to the financial statements
2 - 7
Detailed trading and profit and loss account
STRUMIS LTD
BALANCE SHEET
AS AT
30 APRIL 2024
30 April 2024
- 1 -
2024
2023
Notes
£
£
£
£
Fixed assets
Tangible assets
5
38,707
35,130
Current assets
Stocks
308,184
194,626
Debtors
6
2,225,806
1,144,648
Cash at bank and in hand
3,101,730
2,782,422
5,635,720
4,121,696
Creditors: amounts falling due within one year
7
(6,283,495)
(5,336,960)
Net current liabilities
(647,775)
(1,215,264)
Net liabilities
(609,068)
(1,180,134)
Capital and reserves
Called up share capital
8
100
100
Profit and loss reserves
(609,168)
(1,180,234)
Total equity
(609,068)
(1,180,134)
The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
The financial statements were approved by the board of directors and authorised for issue on 15 January 2025 and are signed on its behalf by:
Mr S H Thompson
Director
Company registration number 02074149 (England and Wales)
STRUMIS LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2024
- 2 -
1
Accounting policies
Company information
Strumis Ltd is a private company limited by shares incorporated in England and Wales. The registered office is Truro House, Stephensons Way, Chaddesden, Derby, England, DE21 6LY.
1.1
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. 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 financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
1.2
Going concern
The financial statements are prepared on a going concern basis, which places reliance on the continued support of the company’s directors and other group undertakings.
The parent undertaking and fellow subsidiary undertakings continue to provide support to the company in the form of amounts advanced to meet day to day trading expenses and operating costs. These amounts are repayable on demand. However, the directors have received assurance from the parent undertaking and its fellow group undertakings, that they will not seek such repayment until the company can do so without detriment to its cash flow or payment of other creditors.
Therefore, the Directors believe that the company has adequate resources to continue its current operations and that it remains appropriate to prepare the company's financial statements on a going concern basis and the financial statements do not include the adjustments that would result if the company was unable to continue as a going concern.
1.3
Turnover
Turnover represents the amount derived from the provision of hardware, software, software maintenance and training services during the year net of value added tax.
The revenue on hardware and software sales and training is recognised on delivery at which point the risks and rewards have passed to the customer. The Company has adopted a policy of deferring maintenance contract revenues over the life of the contract.
1.4
Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Fixtures and fittings
25% on cost
Computers
25% on cost
Motor vehicles
25% on cost
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.
STRUMIS LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2024
1
Accounting policies
(Continued)
- 3 -
1.5
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition.
At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.
1.6
Cash and cash equivalents
Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.7
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
Deferred tax
Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.
The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.
1.8
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.9
Foreign exchange
Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.
1.10
Operating lease commitments
Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.
STRUMIS LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2024
1
Accounting policies
(Continued)
- 4 -
1.11
Research expenditure is written off against profits in the year in which it is incurred. Identifiable development expenditure is capitalised to the extent that the technical, commercial and financial feasibility can be demonstrated.
2
Judgements and key sources of estimation uncertainty
In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
3
Employees
The average number of persons employed by the company during the year was:
2024
2023
Number
Number
Total
40
33
4
Taxation
2024
2023
£
£
Current tax
Adjustments in respect of prior periods
3,455
Deferred tax
Write down or reversal of write down of deferred tax asset
110,000
(132,000)
Total tax charge/(credit)
113,455
(132,000)
STRUMIS LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2024
- 5 -
5
Tangible fixed assets
Fixtures and fittings
Computers
Motor vehicles
Total
£
£
£
£
Cost
At 1 May 2023
11,592
118,285
11,104
140,981
Additions
7,711
13,988
21,699
Disposals
(11,104)
(11,104)
At 30 April 2024
19,303
132,273
151,576
Depreciation and impairment
At 1 May 2023
8,845
85,902
11,104
105,851
Depreciation charged in the year
2,295
15,827
18,122
Eliminated in respect of disposals
(11,104)
(11,104)
At 30 April 2024
11,140
101,729
112,869
Carrying amount
At 30 April 2024
8,163
30,544
38,707
At 30 April 2023
2,747
32,383
35,130
6
Debtors
2024
2023
Amounts falling due within one year:
£
£
Trade debtors
1,258,238
151,552
Amounts owed by group undertakings
310,572
82,322
Other debtors
118,996
262,774
1,687,806
496,648
Deferred tax asset
135,000
135,000
1,822,806
631,648
2024
2023
Amounts falling due after more than one year:
£
£
Deferred tax asset
403,000
513,000
Total debtors
2,225,806
1,144,648
STRUMIS LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2024
- 6 -
7
Creditors: amounts falling due within one year
2024
2023
£
£
Trade creditors
318,614
93,149
Amounts owed to group undertakings
3,884,426
3,988,751
Taxation and social security
62,719
82,315
Other creditors
2,017,736
1,172,745
6,283,495
5,336,960
8
Called up share capital
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary of £1 each
75
75
75
75
"A" Ordinary of £1 each
25
25
25
25
100
100
100
100
9
Audit report information
As the income statement has been omitted from the filing copy of the financial statements, the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006:
The auditor's report was unqualified.
Senior Statutory Auditor:
Peter Whitehead FCA
Statutory Auditor:
Malcolm Piper & Company Limited
Date of audit report:
15 January 2025
10
Operating lease commitments
The company leased certain office equipment under operating leases.
At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows:
2024
2023
£
£
12,294
17,450
11
Related party transactions
Transactions with related parties
The company entered into the following transactions with related parties:
STRUMIS LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 APRIL 2024
11
Related party transactions
(Continued)
- 7 -
During the year the Company recharged overheads of £7,948 (2023: £nil) and was charged £120,000 (2023: £120,000) for management fees and £65,000 (2023: £65,000) for rent by RDS Group Limited, a subsidiary of the ultimate parent company. At the year end an amount of £104,325 was written off as an impairment gain. At the year end, the amount due from RDS Group Limited was £9,537 (2023: £104,325) due to RDS Group Limited).
During the year, the Company made sales of £921,018 (2023: £1,004,170) to Strumis LLC, a fellow subsidiary. At the year end Strumis LLC owed Strumis Ltd £277,158 (2023: £74,771).
During the year, the Company incurred consultancy fees of £361,063 (2023: £187,032) with Strumis Software, a company incorporated in UAE which is related by virtue of common directorship through Mr S H Thompson. At the year end, Strumis Software owed £144,333 (2023: £39,705) to Strumis Limited.
During the year, Strumis Ltd charged £18,000 (2023: £18,000) in management fees, £7,048 (2023: £nil) in hardware sales and £557 (2023: £nil) in overhead recharges to i2i Services Limited, a fellow subsidiary. At the year end i2i Services Limited owed Strumis Ltd £23,877(2023: £7,551).
At the year end, Strumis Ltd owed RDS Software Group Limited, the immediate parent company, £3,822,369 (2023: £3,822,369).
At the year end, Strumis Ltd owned RD Services (UK) Limited, a fellow subsidiary, £62,057 (2023: £62,057).
12
Directors' transactions
During the year, a director made loan repayments of £177,370 (2023: £nil). This was the maximum amount of the loan that was outstanding during the year. At the 30 April 2024, £nil (2023: £177,370) was owed to the Company.
13
Parent company
The immediate parent company is RDS Software Group Limited, a company incorporated in England and Wales. Its registered office address is Truro House, Stephensons Way, Chaddesden, Derby, England DE21 6LY.
The ultimate parent company is RDS Group (Bermuda) Limited, a company incorporated in Bermuda. Its registered office address is P.O. Box HM 2257, Hamilton HM JX, Bermuda.