Company registration number 05850534 (England and Wales)
WALEWSKI LIMITED
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
WALEWSKI LIMITED
COMPANY INFORMATION
Director
Mr N Walewski
Company number
05850534
Registered office
29/30 Fitzroy Square
London
W1T 6LQ
Auditor
Henton & Co LLP
Stag House
Old London Road
Hertford
Hertfordshire
SG13 7LA
WALEWSKI LIMITED
CONTENTS
Page
Strategic report
1 - 3
Director's report
4 - 5
Independent auditor's report
6 - 8
Profit and loss account
9
Group statement of comprehensive income
10
Group balance sheet
11
Company balance sheet
12
Group statement of changes in equity
13
Company statement of changes in equity
14
Group statement of cash flows
15
Notes to the financial statements
16 - 30
WALEWSKI LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 31 MARCH 2024
The director presents the strategic report for the year ended 31 March 2024.
Fair review of the business
2024
2023
2022
Turnover increase/(decrease)
(£4.4m)
£7.0m
(£2.6m)
Net profit/(loss) before tax
£5.4m
£5.7m
£4.1m
Net profit/(loss) %
48%
36%
47%
Liquidity ratio
5:1
4:1
4:1
Increase/(Decrease) in net assets
£2.4m
£1.8m
(£0.3m)
Turnover has decreased by 28% compared with the previous year and cost of sales has decreased by 57%. This has resulted in the gross profit margin increasing from 70.4% to 82.4% but the amount of gross profit generated has fallen by 15%.
Admin expenses have increased by 9% resulting in reduced operating profits of £0.9m compared with £3.3m last year. Investment revaluation gains of £4.5m are the main factor in the group reporting a profit before tax of £5.4m.
The director is satisfied that the group's year end Balance Sheet continues to show a financially strong and stable position with a high liquidity ratio.
The director measures staff retention as a non-financial key performance indicator and is satisfied that this was in line with his expectations.
Future developments
The group will continue to provide management of funds through investment in European equities. The consequences of the United Kingdom's withdrawal from the European Union will be considered by the group and the director will assess the impact and implement any changes required as may be appropriate.
- 1 -
WALEWSKI LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
Principal risks and uncertainties
The risk implications of business decisions affecting the group are considered on a group level by the director of the parent company. Key operational management are closely involved on a day-to-day basis in all of the group’s investment activities. The director assesses risks on a regular basis to ensure that any risks arising from changes in the group’s operations or the external environment are identified, assessed and appropriately managed. The detailed principal individual risks have been categorised into the following areas:
- strategic risk;
- financial market risk;
- taxation;
- management;
- financing.
In order to provide relevant and timely information to the key operational managers and parent company board, the group has the following information systems which generate reports as follows:
- preparation of quarterly management accounts including analysis of material variances;
- regular reporting to the parent company board on financial and treasury matters;
- preparation of annual budgets, profit forecasts and cash flow projections for the subsidiaries.
The nature of the specific risk areas and related controls are as follows:
Strategic risk
Strategic risk is the risk that management’s strategy is inappropriate for the operating environment or the available resources. These risks are addressed through regular reconsideration of the execution of management’s strategy. While mitigating actions are possible, often these risks cannot be avoided and are an integral part of doing business.
Financial market risk
Financial market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices, thereby affecting the group’s results. Equity risk in particular reflects changes in the market value of share and other equity instruments. Future revenues consist largely of fees on assets under management. These fees, which are based on fund values, are affected by the development of these fund values.
Taxation risk
The group is exposed to financial risks from increases in tax rates and changes to the basis of taxation including corporation tax and VAT. The impact of changes are mitigated by regular monitoring of legislative proposals and the engagement of experienced executives and the use of experienced sector-specific professional advisers.
Management and operational risk
The group is reliant on its small high calibre team of investment managers and the members of the subsidiary LLP. Operational risks arise from the failure of people, processes and systems and from external events in areas such as complaints, standards of service, brand management, product pricing, improper handling of confidential information, containment of costs and accounting systems and controls. The group recruits and develops high-calibre employees. In addition, management identify areas of critical risk and the effectiveness of existing controls. Action plans are developed and reviewed on a regular basis.
Financing risk
The group's principal financial instruments comprise bank balances and trade creditors and there is no external funding. The group manages its cash and borrowing requirements in order to maximise interest income and minimise interest expense, whilst ensuring that sufficient liquid resources are available to meet the operating needs of the business.
- 2 -
WALEWSKI LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
Section 172(1) Statement
The director has the following comments regarding the performance of his duties to promote the success of the group:
Interests of members of the parent company
The parent company was privately owned during the period under review. In common with many private companies the interests of the board and the shareholders are broadly aligned in that the company should create value by generating strong and sustainable group results, providing a return to shareholders through either dividend income or capital growth.
The interests of employees
The group focuses on training and supporting its employees in the understanding that a well informed and trained workforce is essential for the group’s ongoing success. Regular staff meetings are held, attended by the director, and annual appraisals of staff performance are carried out. Feedback is encouraged from staff and where possible and practical suggestions are implemented to improve procedures and the working environment. The average number of staff for the period was 21, excluding the director.
The interests of our customers
It is imperative that customers are provided with an excellent level of customer service and the group’s ethos is that the work performed must be of the highest quality to ensure this.
The interests of our suppliers
Due to the nature of the group’s activities it is not reliant on suppliers in order to generate revenue as this is achieved through the staff base. Suppliers are used to provide auxiliary services to the offices and for ad hoc services.
The impact of the Group's operations on the community and the environment
The nature of the group's business means its activities are largely undertaken electronically and therefore direct impact on the environment is minimal. The group endeavours to use its technological resources wherever possible to reduce unnecessary travel by staff.
Maintaining a reputation for high standards of business conduct
The group is committed to maintaining a reputation of the high standards of business associated with FCA regulated firms. The group has a number of policies for all employees to follow and externally prepared compliance reviews are undertaken in respect of any regulated activities.
..............................
Mr N Walewski
Director
Date: .............................................
- 3 -
WALEWSKI LIMITED
DIRECTOR'S REPORT
FOR THE YEAR ENDED 31 MARCH 2024
The director presents his annual report and financial statements for the year ended 31 March 2024.
Principal activities
The principal activity of the company and group continued to be that of the management of funds through investment in European equities.
Results and dividends
The results for the year are set out on page 9.
No ordinary dividends will be distributed for the year ended 31 March 2024.
Director
The director who held office during the year and up to the date of signature of the financial statements was as follows:
Mr N Walewski
Auditor
In accordance with the company's articles, a resolution proposing that Henton & Co LLP be reappointed as auditor of the group will be put at a General Meeting.
Statement of director's responsibilities
The director is responsible for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.
Company law requires the director to prepare financial statements for each financial year. Under that law the director has elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the director must not approve the financial statements unless he is satisfied that they give a true and fair view of the state of affairs of the group and company, and of the profit or loss of the group for that period. In preparing these financial statements, the director is required to:
select suitable accounting policies 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 ;
prepare the on the going concern basis unless it is inappropriate to presume that the group and company will continue in business.
The director is responsible for keeping adequate accounting records that are sufficient to show and explain the group’s and company’s transactions and disclose with reasonable accuracy at any time the financial position of the group and company and enable them to ensure that the financial statements comply with the Companies Act 2006. He is also responsible for safeguarding the assets of the group and company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Strategic report
The truegroup has chosen in accordance with Companies Act 2006, s. 414C(2) and (11) to set out in the group's strategic report information required by Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008, Sch. 7 to be contained in the directors' report. It has done so in respect of the business review, future developments, principal risks and uncertainties and S.172 statement.
- 4 -
WALEWSKI LIMITED
DIRECTOR'S REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
Statement of disclosure to auditor
So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the auditor of the company is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the auditor of the company is aware of that information.
On behalf of the board
..............................
Mr N Walewski
Director
Date:
31 January 2025
2025-01-31
- 5 -
WALEWSKI LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF WALEWSKI LIMITED
Opinion
We have audited the financial statements of Walewski Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 March 2024 which comprise the group profit and loss account, the group statement of comprehensive income, the group balance sheet, the company balance sheet, the group statement of changes in equity, the company statement of changes in equity, the group statement of cash flows and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and 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 group's and the parent company's affairs as at 31 March 2024 and of the group's 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.
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 group and parent company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the director's 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 group's and parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the director with respect to going concern are described in the relevant sections of this report.
The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The director is responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of our audit:
The information given in the strategic report and the director's report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
The strategic report and the director's report have been prepared in accordance with applicable legal requirements.
- 6 -
WALEWSKI LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF WALEWSKI LIMITED
Matters on which we are required to report by exception
In the light of the knowledge and understanding of the group and the parent company and their environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the director's report.
We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:
adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or
the parent company 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 director
- 7 -
As explained more fully in the director's responsibilities statement, the director is responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the director determines is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the director is responsible for assessing the parent company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the director either intends to liquidate the parent company or to cease operations, or has no realistic alternative but to do so.
Auditor's responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
We identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and then design and perform audit procedures responsive to those risks, including obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion.
In identifying and assessing risks of material misstatement in respect of irregularities, including fraud, and non-compliance with laws and regulations, our procedures included the following: enquiring of management concerning the group's and the company's policies with regards identifying, evaluating and complying with laws and regulations and whether they were aware of any instances of non-compliance; enquiring of management concerning the group's and the company's policies detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or alleged fraud; enquiring of management concerning the group's and the company's policies in relation to the internal controls established to mitigate risks related to fraud or non- compliance with laws and regulations; discussing among the engagement team where fraud might occur in the financial statements and any potential indicators of fraud; and obtaining an understanding of the legal and regulatory framework that the group and the company operate in and focusing on those laws and regulations that had a direct effect on the financial statements or that had a fundamental effect on the operations of the group and the company.
WALEWSKI LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF WALEWSKI LIMITED
As a result of these procedures we consider the most significant laws and regulations that have a direct impact on the financial statements are FRS 102, the Companies Act 2006 and tax compliance regulations. We performed audit procedures to detect non-compliances which may have a material impact on the financial statements which included reviewing financial statement disclosures and inspecting correspondence with tax authorities. The most significant laws and regulations that have an indirect impact on the financial statements are the rules and principles set by the Financial Conduct Authority (FCA) as regulator for the financial services industry in the UK and this was an area of focus in the audits of the group's regulated subsidiaries.
Audit procedures undertaken in response to the potential risks relating to irregularities (which include fraud and non-compliance with laws and regulations) comprised of: enquiries of management and those charged with governance concerning compliance with such laws and regulations and any actual or potential litigation or claims; inspection of relevant legal correspondence; testing the appropriateness of journal entries; and the performance of analytical review to identify unexpected movements in account balances which may be indicative of fraud.
No instances of material non-compliance were identified. However, the likelihood of detecting irregularities, including fraud, is limited by the inherent difficulty in detecting irregularities, the effectiveness of the entity's controls, and the nature, timing and extent of the audit procedures performed. Irregularities that result from fraud might be inherently more difficult to detect than irregularities that result from error. As explained above, there is an unavoidable risk that material misstatements may not be detected, even though the audit has been planned and performed in accordance with ISAs (UK). We are not responsible for preventing non compliance and cannot be expected to detect non-compliance with all laws and regulations.
A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.
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.
Stuart Heaney (Senior Statutory Auditor)
For and on behalf of Henton & Co LLP
Chartered Accountants
Statutory Auditor
Stag House
Old London Road
Hertford
Hertfordshire
SG13 7LA
Date: 31 January 2025
2025-01-31
- 8 -
WALEWSKI LIMITED
GROUP PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31 MARCH 2024
2024
2023
Notes
£
£
Turnover
3
11,335,722
15,728,807
Cost of sales
(1,996,763)
(4,658,087)
Gross profit
9,338,959
11,070,720
Administrative expenses
(8,754,096)
(8,029,605)
Other operating income
300,982
209,955
Operating profit
4
885,845
3,251,070
Interest receivable and similar income
8
60,872
33,680
Interest payable and similar expenses
9
(613,004)
(288,800)
Other gains and losses
10
5,112,760
2,656,808
Profit before taxation
5,446,473
5,652,758
Tax on profit
11
(47,222)
(437,589)
Profit for the financial year
5,399,251
5,215,169
Profit for the financial year is attributable to:
- Owners of the parent company
2,652,454
2,039,345
- Non-controlling interests
2,746,797
3,175,824
5,399,251
5,215,169
The notes on pages 16 to 30 form part of these financial statements.
- 9 -
WALEWSKI LIMITED
GROUP STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 MARCH 2024
2024
2023
£
£
Profit for the year
5,399,251
5,215,169
Other comprehensive income
Currency translation (loss)/gain on overseas subsidiary
(45,202)
23,461
Total comprehensive income for the year
5,354,049
5,238,630
Total comprehensive income for the year is attributable to:
- Owners of the parent company
2,607,252
2,062,806
- Non-controlling interests
2,746,797
3,175,824
5,354,049
5,238,630
The notes on pages 16 to 30 form part of these financial statements.
- 10 -
WALEWSKI LIMITED
GROUP BALANCE SHEET
AS AT
31 MARCH 2024
31 March 2024
2024
2023
Notes
£
£
£
£
Fixed assets
Tangible assets
12
261,228
322,829
Investments
13
1
261,229
322,829
Current assets
Debtors
15
3,868,131
4,091,860
Investments
16
63,381,605
59,804,229
Cash at bank and in hand
8,275,715
10,903,125
75,525,451
74,799,214
Creditors: amounts falling due within one year
17
(15,036,090)
(16,709,719)
Net current assets
60,489,361
58,089,495
Net assets
60,750,590
58,412,324
Capital and reserves
Called up share capital
20
1
1
Other reserves
(22,366)
22,836
Profit and loss reserves
58,582,057
56,104,540
Equity attributable to owners of the parent company
58,559,692
56,127,377
Non-controlling interests
2,190,898
2,284,947
Total equity
60,750,590
58,412,324
The notes on pages 16 to 30 form part of these financial statements.
The financial statements were approved and signed by the director and authorised for issue on
31 January 2025
2025-01-31
..............................................
Mr N Walewski
Director
Company registration number 05850534 (England and Wales)
- 11 -
WALEWSKI LIMITED
COMPANY BALANCE SHEET
AS AT 31 MARCH 2024
31 March 2024
2024
2023
Notes
£
£
£
£
Fixed assets
Investments
13
3,434,380
3,434,380
Current assets
Debtors
15
7,813,201
7,380,441
Investments
16
52,058,332
47,698,372
Cash at bank and in hand
2,421,604
3,847,481
62,293,137
58,926,294
Creditors: amounts falling due within one year
17
(17,674,943)
(18,373,510)
Net current assets
44,618,194
40,552,784
Net assets
48,052,574
43,987,164
Capital and reserves
Called up share capital
20
1
1
Profit and loss reserves
48,052,573
43,987,163
Total equity
48,052,574
43,987,164
The notes on pages 16 to 30 form part of these financial statements.
As permitted by s408 Companies Act 2006, the company has not presented its own profit and loss account and related notes. The company’s profit for the year was £4,065,411 (2023 - £1,738,469 profit).
The financial statements were approved and signed by the director and authorised for issue on
31 January 2025
2025-01-31
..............................................
Mr N Walewski
Director
Company registration number 05850534 (England and Wales)
- 12 -
WALEWSKI LIMITED
GROUP STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MARCH 2024
Share capital
Foreign exchange reserve
Profit and loss reserves
Total controlling interest
Non-controlling interest
Total
Notes
£
£
£
£
£
£
Balance at 1 April 2022
1
(625)
54,065,195
54,064,571
2,519,608
56,584,179
Year ended 31 March 2023:
Profit for the year
-
-
2,039,345
2,039,345
3,175,824
5,215,169
Other comprehensive income:
Exchange movement on overseas subsidiary
-
-
23,461
23,461
-
23,461
Total comprehensive income for the year
-
-
2,062,806
2,062,806
3,175,824
5,238,630
Dividends
-
-
-
-
(76,768)
(76,768)
Transfers
-
23,461
(23,461)
-
-
-
Drawings from subsidiary
-
-
-
-
(3,333,717)
(3,333,717)
Balance at 31 March 2023
1
22,836
56,104,540
56,127,377
2,284,947
58,412,324
Year ended 31 March 2024:
Profit for the year
-
-
2,652,454
2,652,454
2,746,797
5,399,251
Other comprehensive income:
Exchange movement on overseas subsidiary
-
-
(45,202)
(45,202)
-
(45,202)
Total comprehensive income for the year
-
-
2,607,252
2,607,252
2,746,797
5,354,049
Dividends paid
-
-
(174,937)
(174,937)
-
(174,937)
Transfers
-
(45,202)
45,202
-
-
-
Drawings from subsidiary
-
-
-
-
(2,840,846)
(2,840,846)
Balance at 31 March 2024
1
(22,366)
58,582,057
58,559,692
2,190,898
60,750,590
The notes on pages 16 to 30 form part of these financial statements.
- 13 -
WALEWSKI LIMITED
COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MARCH 2024
Share capital
Profit and loss reserves
Total
£
£
£
Balance at 1 April 2022
1
42,248,694
42,248,695
Year ended 31 March 2023:
Profit and total comprehensive income for the year
-
1,738,469
1,738,469
Balance at 31 March 2023
1
43,987,163
43,987,164
Year ended 31 March 2024:
Profit and total comprehensive income
-
4,065,410
4,065,410
Balance at 31 March 2024
1
48,052,573
48,052,574
The notes on pages 16 to 30 form part of these financial statements.
- 14 -
WALEWSKI LIMITED
GROUP STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 MARCH 2024
2024
2023
Notes
£
£
£
£
Cash flows from operating activities
Cash generated from operations
24
518,737
3,065,217
Interest paid
(613,004)
(288,800)
Income taxes paid
(414,997)
(109,290)
Net cash (outflow)/inflow from operating activities
(509,264)
2,667,127
Investing activities
Purchase of tangible fixed assets
(8,723)
(1,513)
Purchase of subsidiaries, net of cash acquired
(1)
-
Proceeds from disposal of subsidiaries, net of cash disposed
-
895
Purchase of investments
-
(2,550,690)
Proceeds from disposal of investments
1,535,384
1,875,338
Interest received
60,872
31,981
Dividends received
1,699
Net cash generated from/(used in) investing activities
1,587,532
(642,290)
Financing activities
Unpaid dividends due to equity shareholders
(185,096)
2,710
Dividends paid to non-controlling interests
(76,768)
Amounts paid to non-controlling interest
(2,840,846)
(3,333,717)
Net cash used in financing activities
(3,025,942)
(3,407,775)
Net decrease in cash and cash equivalents
(1,947,674)
(1,382,938)
Cash and cash equivalents at beginning of year
(2,365,760)
(982,822)
Cash and cash equivalents at end of year
(4,313,434)
(2,365,760)
Relating to:
Cash at bank and in hand
8,275,715
10,903,125
Bank overdrafts included in creditors payable within one year
(12,589,149)
(13,268,885)
The notes on pages 16 to 30 form part of these financial statements.
- 15 -
WALEWSKI LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
Company information
Walewski Limited (“the company”) is a private limited company domiciled and incorporated in England and Wales. The registered office is 29/30 Fitzroy Square, London, W1T 6LQ.
The group consists of Walewski Limited and all of its subsidiaries as disclosed in note 15.
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.
The financial statements are prepared in sterling, which is the functional currency of the parent company and the group, with the exception of Energy Level SAS and SBL Capital SARL who both have the Euro as their functional currency. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention, modified to include the revaluation of certain financial instruments at fair value. The principal accounting policies adopted are set out below.
The company is a qualifying entity for the purposes of FRS 102, being a member of a group where the parent of that group prepares publicly available consolidated financial statements, including this company, which are intended to give a true and fair view of the assets, liabilities, financial position and profit or loss of the group. The company has therefore taken advantage of exemptions from the following disclosure requirements for parent company information presented within the consolidated financial statements:
Section 7 ‘Statement of Cash Flows’: Presentation of a statement of cash flow and related notes and disclosures;
Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instrument Issues: Interest income/expense and net gains/losses for financial instruments not measured at fair value; basis of determining fair values; details of collateral, loan defaults or breaches, details of hedges, hedging fair value changes recognised in profit or loss and in other comprehensive income;
Section 26 ‘Share based Payment’: Share-based payment expense charged to profit or loss, reconciliation of opening and closing number and weighted average exercise price of share options, how the fair value of options granted was measured, measurement and carrying amount of liabilities for cash-settled share-based payments, explanation of modifications to arrangements;
Section 33 ‘Related Party Disclosures’: Compensation for key management personnel.
1.2
Business combinations
In the parent company financial statements, the cost of a business combination is the fair value at the acquisition date of the assets given, equity instruments issued and liabilities incurred or assumed, plus costs directly attributable to the business combination. The excess of the cost of a business combination over the fair value of the identifiable assets, liabilities and contingent liabilities acquired is recognised as goodwill. The cost of the combination includes the estimated amount of contingent consideration that is probable and can be measured reliably, and is adjusted for changes in contingent consideration after the acquisition date. Provisional fair values recognised for business combinations in previous periods are adjusted retrospectively for final fair values determined in the 12 months following the acquisition date. Investments in subsidiaries, joint ventures and associates are accounted for at cost less impairment.
Deferred tax is recognised on differences between the value of assets (other than goodwill) and liabilities recognised in a business combination accounted for using the purchase method and the amounts that can be deducted or assessed for tax, considering the manner in which the carrying amount of the asset or liability is expected to be recovered or settled. The deferred tax recognised is adjusted against goodwill or negative goodwill.
- 16 -
WALEWSKI LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
1.3
Basis of consolidation
The consolidated group financial statements consist of the financial statements of the parent company Walewski Limited together with all entities controlled by the parent company (its subsidiaries) and the group’s share of its interests in joint ventures and associates, with the exception of subsidiaries that are not material.
All financial statements are made up to 31 March 2024. Where necessary, adjustments are made to the financial statements of subsidiaries to bring the accounting policies used into line with those used by other members of the group.
All intra-group transactions, balances and unrealised gains on transactions between group companies are eliminated on consolidation. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred.
Subsidiaries are consolidated in the group’s financial statements from the date that control commences until the date that control ceases.
The group has taken advantage of the exemptions under FRS 102.33.1A, and has not disclosed transactions with entities that are part of the group, where 100% of the voting rights of these entities are controlled within the group.
Allocation of subsidiary LLP profits
The consolidated financial statements include all subsidiary profits which have been allocated to the parent company for tax purposes but not yet been formally allocated by the LLP, as this is considered by the director to be the most appropriate method.
1.4
Going concern
The director has prepared forecasts and projections taking account of reasonable possible changes in trading performance for the group for a period of at least twelve months from the expected date of signing of the financial statements. These forecasts and projections show that the group has sufficient financial resources to continue meeting its liabilities as they fall due for the foreseeable future. Additionally, companies within the group can provide financial support to each other if required.
Accordingly, at the time of approving the financial statements, the director is confident that the group has adequate resources to continue in operational existence for the foreseeable future and there is no material uncertainty in adopting a going concern basis for preparing the financial statements.
1.5
Turnover
Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.
Revenue from contracts for the provision of professional services is recognised by reference to the stage of completion when the stage of completion, costs incurred and costs to complete can be estimated reliably. The stage of completion is calculated by comparing costs incurred, mainly in relation to contractual hourly staff rates and materials, as a proportion of total costs. Where the outcome cannot be estimated reliably, revenue is recognised only to the extent of the expenses recognised that it is probable will be recovered.
1.6
Research and development expenditure
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.
- 17 -
WALEWSKI LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
1.7
Intangible fixed assets - goodwill
Negative goodwill arising on the acquisition of a subsidiary undertaking represents the excess of the aggregate of the fair values of the identifiable assets and liabilities of the acquired entity over the cost paid for the entity. Negative goodwill is included in the balance sheet and is written off to the profit and loss account over the periods in which the acquired non-monetary assets are recovered through depreciation or sale. Negative goodwill in excess of the fair values of the non monetary assets acquired is written off to the profit and loss account in the periods expected to benefit.
1.8
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:
Leasehold land and buildings
Straight line over the life of the lease
Plant and equipment
25% on cost
Fixtures and fittings
15% 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 recognised in the profit and loss account.
1.9
Fixed asset investments
Equity investments are measured at fair value through profit or loss, except for those equity investments that are not publicly traded and whose fair value cannot otherwise be measured reliably, which are recognised at cost less impairment until a reliable measure of fair value becomes available.
In the parent company financial statements, investments in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses.
A subsidiary is an entity controlled by the group. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.
1.10
Impairment of fixed assets
At each reporting period end date, the group reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.
The carrying amount of the investments accounted for using the equity method is tested for impairment as a single asset. Any goodwill included in the carrying amount of the investment is not tested separately for impairment.
1.11
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.
- 18 -
WALEWSKI LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
1.12
Financial instruments
The group has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the group's balance sheet when the group becomes party to the contractual provisions of the instrument.
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.
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method 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. Financial assets classified as receivable within one year are not amortised.
Other financial assets
Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.
Impairment of financial assets
Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.
Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. 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 profit or loss.
If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.
Derecognition of financial assets
Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the group transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.
Classification of 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 group after deducting all of its liabilities.
- 19 -
WALEWSKI LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
Basic financial liabilities
Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, 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 payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable 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.
Other financial liabilities
Derivatives, including interest rate swaps and forward foreign exchange contracts, are not basic financial instruments. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss in finance costs or finance income as appropriate, unless hedge accounting is applied and the hedge is a cash flow hedge.
Debt instruments that do not meet the conditions in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. Debt instruments may be designated as being measured at fair value through profit or loss to eliminate or reduce an accounting mismatch or if the instruments are measured and their performance evaluated on a fair value basis in accordance with a documented risk management or investment strategy.
Derecognition of financial liabilities
Financial liabilities are derecognised when the group's contractual obligations expire or are discharged or cancelled.
1.13
Equity instruments
Equity instruments issued by the group are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the group.
1.14
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 group’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.
- 20 -
WALEWSKI LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
1.15
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
1.16
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.17
Leases
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 leased asset are consumed.
Rental income from operating leases is recognised on a straight line basis over the term of the relevant lease. Initial direct costs incurred in negotiating and arranging an operating lease are added to the carrying amount of the leased asset and recognised on a straight line basis over the lease term.
1.18
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.
2
Judgements and key sources of estimation uncertainty
In the application of the group’s accounting policies, the director is 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.
There are no areas where management judgements have had a significant effect on the amounts recognised in the financial statements.
3
Turnover and other revenue
2024
2023
£
£
Turnover analysed by geographical market
Europe
8,164,837
12,393,954
Rest of World
3,170,885
3,334,853
11,335,722
15,728,807
- 21 -
WALEWSKI LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
3
Turnover and other revenue
(Continued)
2024
2023
£
£
Other revenue
Interest income
60,872
31,981
Dividends received
-
1,699
4
Operating profit
2024
2023
£
£
Operating profit for the year is stated after charging/(crediting):
Exchange (gains)/losses
(238,181)
258,748
Depreciation of owned tangible fixed assets
70,324
82,851
Profit on disposal of intangible assets
-
(895)
Operating lease charges
599,847
571,226
5
Auditor's remuneration
2024
2023
Fees payable to the company's auditor and associates:
£
£
For audit services
Audit of the financial statements of the group and company
27,750
26,750
Audit of the financial statements of the company's subsidiaries
63,000
49,000
90,750
75,750
6
Employees
The average monthly number of persons (including directors and excluding members) employed by the group and company during the year was:
Group
Company
2024
2023
2024
2023
Number
Number
Number
Number
Directors
3
1
1
1
Operations
13
10
-
-
Other
6
5
-
-
Total
22
16
1
1
- 22 -
WALEWSKI LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
6
Employees
(Continued)
Their aggregate remuneration comprised:
Group
Company
2024
2023
2024
2023
£
£
£
£
Wages and salaries
3,765,258
3,450,076
Social security costs
549,783
525,759
-
-
Pension costs
235,274
162,067
4,550,315
4,137,902
7
Director's remuneration
2024
2023
£
£
Remuneration for qualifying services
272,586
592,146
The number of directors for whom retirement benefits are accruing under defined contribution schemes amounted to 1 (2023 - 1).
Remuneration disclosed above includes the following amounts paid to the highest paid director:
2024
2023
£
£
Remuneration for qualifying services
272,586
592,146
The director received remuneration in the year via a profit share from the subsidiary LLP of £272,586 (2023: £592,146).
8
Interest receivable and similar income
2024
2023
£
£
Interest income
Interest on bank deposits
60,790
29,897
Other interest income
82
2,084
Total interest revenue
60,872
31,981
Other income from investments
Dividends received
1,699
Total income
60,872
33,680
- 23 -
WALEWSKI LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
9
Interest payable and similar expenses
2024
2023
£
£
Interest on bank overdrafts and loans
613,004
288,311
Other interest
-
489
Total finance costs
613,004
288,800
10
Other gains and losses
2024
2023
£
£
Fair value gains/(losses) on financial instruments
Amounts written back to fair value through profit or loss
291,448
Gain on financial assets held at fair value through profit or loss
4,523,284
2,586,783
4,814,732
2,586,783
Other gains/(losses)
Gain on disposal of current asset investments
298,028
70,025
5,112,760
2,656,808
11
Taxation
2024
2023
£
£
Current tax
UK corporation tax on profits for the current period
47,222
437,589
- 24 -
WALEWSKI LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
11
Taxation
(Continued)
The actual charge for the year can be reconciled to the expected charge for the year based on the profit or loss and the standard rate of tax as follows:
2024
2023
£
£
Profit before taxation
5,446,473
5,652,758
Expected tax charge based on the standard rate of corporation tax in the UK of 25.00% (2023: 19.00%)
1,361,618
1,074,024
Tax effect of expenses that are not deductible in determining taxable profit
29,423
13,419
Tax effect of utilisation of tax losses not previously recognised
(44,772)
Unutilised tax losses carried forward
583,806
534,373
Permanent capital allowances in excess of depreciation
2,484
Research and development tax credit
(190,000)
Effect of revaluations of investments
(1,203,683)
(491,489)
Effect of overseas tax rates
(17,502)
73,691
Other tax adjustments
13,198
2,452
Tax attributable to non-controlling interest
(647,864)
(536,593)
Income not taxable
(71,774)
Taxation charge
47,222
437,589
The group has unrelieved trading losses of £19,300,000 (2023: £16,900,000) available to be offset against future trading profits. No recognition was made in the financial statements in respect of the deferred tax asset arising on those losses due to the uncertainty of future taxable profits.
The group has unrelieved capital losses of £86,800,000 (2023: £86,800,000) available to be offset against future chargeable gains. No recognition was made in the financial statements in respect of the deferred tax asset arising on those losses due to the uncertainty of future chargeable gains.
The effect of revaluation adjustments of £1,203,683 (2023: £491,489) is in respect of the increase in fair value of current asset investments. No recognition was made in the financial statements in respect of the deferred tax liability arising on those revaluations due to previously recognised impairment losses being in excess of those revaluations. No recognition was made in the financial statements in respect of the deferred tax asset arising on those impairment losses due to the uncertainty of future revaluation gains.
- 25 -
WALEWSKI LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
12
Tangible fixed assets
Group
Leasehold land and buildings
Plant and equipment
Fixtures and fittings
Total
£
£
£
£
Cost
At 1 April 2023
482,196
185,769
103,274
771,239
Additions
5,141
3,582
8,723
At 31 March 2024
482,196
190,910
106,856
779,962
Depreciation and impairment
At 1 April 2023
203,763
144,745
99,902
448,410
Depreciation charged in the year
48,393
16,974
4,957
70,324
At 31 March 2024
252,156
161,719
104,859
518,734
Carrying amount
At 31 March 2024
230,040
29,191
1,997
261,228
At 31 March 2023
278,260
37,613
6,956
322,829
The company had no tangible fixed assets at 31 March 2024 or 31 March 2023.
13
Fixed asset investments
Group
Company
2024
2023
2024
2023
Notes
£
£
£
£
Investments in subsidiaries
14
1
3,434,380
3,434,380
Movements in fixed asset investments
Group
Shares in subsidiaries
£
Cost or valuation
At 1 April 2023
-
Additions
1
At 31 March 2024
1
Carrying amount
At 31 March 2024
1
At 31 March 2023
-
- 26 -
WALEWSKI LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
13
Fixed asset investments
(Continued)
Movements in fixed asset investments
Company
Shares in subsidiaries
£
Cost or valuation
At 1 April 2023 and 31 March 2024
3,434,380
Carrying amount
At 31 March 2024
3,434,380
At 31 March 2023
3,434,380
14
Subsidiaries
Details of the company's subsidiaries at 31 March 2024 are as follows:
Name of undertaking
Registered office
Nature of business
Class of
% Held
shares held
Direct
Indirect
Alken Asset Management Ltd
25 Savile Row, London, United Kingdom, W1S2ER
Investment fund manager
Ordinary
100.00
-
Alken Finance LLP
As above
Provider of market informations services
Member's share
95.00
-
Cabestan Quant Research Limited
As above
Provider of market research services
Ordinary
100.00
-
Energy Levels SAS
1 Boulevard Pershing, 75017 Paris 17
Energy analysts
Ordinary
0
80.00
Alken IM LLP
25 Savile Row, London, United Kingdom, W1S2ER
Dormant
Member's share
100.00
-
SBL Capital SARL
1a, Heinehaff, L-1736 Senningerberg, Luxembourg
Management services
Ordinary
0
100.00
European Secured Bridge Financing 1
1a, Heinehaff, L-1736 Senningerberg, Luxembourg
Dormant
Ordinary
0
100.00
The aggregate capital and reserves and the result for the year of the subsidiaries noted above was as follows:
Name of undertaking
Capital and Reserves
Profit/(Loss)
£
£
Alken Asset Management Ltd
20,386,472
142,362
Alken Finance LLP
3,290,680
2,591,455
Cabestan Quant Research Limited
(7,930,658)
(1,585,418)
Energy Levels SAS
1,507,814
141,234
SBL Capital SARL
79,954
70,440
European Secured Bridge Financing 1
1
At 31 March 2024, Alken Finance LLP had unallocated reserves amounting to £2,835,950 (2023: £3,082,747), of which £1,173,761 (2023: £1,173,761) has been recognised in the group results.
- 27 -
WALEWSKI LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
15
Debtors
Group
Company
2024
2023
2024
2023
Amounts falling due within one year:
£
£
£
£
Trade debtors
28,247
150,755
5,116
5,116
Amounts owed by group undertakings
-
-
7,800,610
7,373,039
Other debtors
387,356
488,648
7,475
2,286
Prepayments and accrued income
3,452,528
3,452,457
3,868,131
4,091,860
7,813,201
7,380,441
16
Current asset investments
Group
Company
2024
2023
2024
2023
£
£
£
£
Unlisted investments
63,381,605
59,804,229
52,058,332
47,698,372
Current asset investments are basic financial instruments measured at fair value through profit and loss.
17
Creditors: amounts falling due within one year
Group
Company
2024
2023
2024
2023
Notes
£
£
£
£
Bank loans and overdrafts
18
12,589,149
13,268,885
12,589,149
13,268,885
Trade creditors
645,024
337,198
43,500
Amounts owed to group undertakings
4,982,543
4,976,004
Corporation tax payable
28,982
396,757
Other taxation and social security
164,796
226,819
-
-
Distributions payable
10,159
Other creditors
1,105,780
1,161,669
26,251
26,251
Accruals and deferred income
502,359
1,308,232
33,500
102,370
15,036,090
16,709,719
17,674,943
18,373,510
18
Loans and overdrafts
Group
Company
2024
2023
2024
2023
£
£
£
£
Bank overdrafts
12,589,149
13,268,885
12,589,149
13,268,885
Payable within one year
12,589,149
13,268,885
12,589,149
13,268,885
- 28 -
WALEWSKI LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
18
Loans and overdrafts
(Continued)
The overdraft is secured by the investment portfolio given as a guarantee to the Bank by the company. The overdraft is repayable on demand and interest is charged at 1.35% above ESTR (Euro Short Term Rate).
19
Retirement benefit schemes
2024
2023
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
235,274
162,067
A defined contribution pension scheme is operated for all qualifying employees. The assets of the scheme are held separately from those of the group in an independently administered fund.
20
Share capital
Group and company
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
1
1
1
1
21
Operating lease commitments
Lessee
At the reporting end date the group had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:
Group
Company
2024
2023
2024
2023
£
£
£
£
Within one year
468,698
351,524
-
-
Between two and five years
2,638,112
2,548,547
-
-
In over five years
-
542,212
-
-
3,106,810
3,442,283
-
-
22
Related party transactions
The group has taken advantage of the exemptions under FRS 102.33.1A, and has not disclosed transactions with entities that are part of the group, where 100% of the voting rights of these entities are controlled within the group.
The director is a member of a subsidiary LLP. At the year end the director's capital and current account balances totalled £13,582 (2023: £345,143). These amounts are included in the consolidated balance sheet as amounts owed to minority interests.
- 29 -
WALEWSKI LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
23
Controlling party
The immediate and ultimate parent company is Molinos Capital Limited, a company registered in the British Virgin Islands. No single party has had ultimate control of the company during the current or the previous year.
24
Cash generated from group operations
2024
2023
£
£
Profit for the year after tax
5,399,251
5,215,169
Adjustments for:
Taxation charged
47,222
437,589
Finance costs
613,004
288,800
Investment income
(60,872)
(33,680)
Gain on disposal of intangible assets
-
(895)
Depreciation and impairment of tangible fixed assets
70,324
82,851
Foreign exchange gains on cash equivalents
(39,383)
23,461
Gain on sale of investments
(298,028)
(70,025)
Other gains and losses
(4,814,732)
(2,586,783)
Movements in working capital:
Decrease/(increase) in debtors
217,910
(359,807)
(Decrease)/increase in creditors
(615,959)
68,537
Cash generated from operations
518,737
3,065,217
25
Analysis of changes in net debt - group
1 April 2023
Cash flows
31 March 2024
£
£
£
Cash at bank and in hand
10,903,125
(2,627,410)
8,275,715
Bank overdrafts
(13,268,885)
679,736
(12,589,149)
(2,365,760)
(1,947,674)
(4,313,434)
- 30 -
WALEWSKI LIMITED
MANAGEMENT INFORMATION
FOR THE YEAR ENDED 31 MARCH 2024
WALEWSKI LIMITED
PARENT COMPANY PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31 MARCH 2024
2024
2023
£
£
Administrative expenses
139,765
(589,465)
Other operating income
746
-
Operating profit/(loss)
140,511
(589,465)
Interest receivable and similar income
2,800
11,289
Interest payable and similar expenses
(601,185)
(275,767)
Other gains and losses
4,523,284
2,592,412
Profit before taxation
4,065,410
1,738,469
Tax on profit
Profit for the financial year
4,065,410
1,738,469
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