Company Registration No. 15354413 (England and Wales)
Genco Topco Limited
Annual report and
group financial statements
for the period ended 30 June 2024
Genco Topco Limited
Company information
Directors
James Orr
(Appointed 12 January 2024)
Gurinder Sunner
(Appointed 15 December 2023)
Max Slattery
(Appointed 15 December 2023)
Tom Sirett
(Appointed 5 February 2024)
David Milner
(Appointed 12 January 2024)
Company number
15354413
Registered office
189 Stonhouse Street
London
SW4 6BB
Independent auditor
Saffery LLP
71 Queen Victoria Street
London
EC4V 4BE
Genco Topco Limited
Contents
Page
Strategic report
1 - 2
Directors' report
3 - 4
Independent auditor's report
5 - 8
Income statement
9
Group statement of comprehensive income
10
Group statement of financial position
11
Company statement of financial position
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 - 35
Genco Topco Limited
Strategic report
For the period ended 30 June 2024
1

The directors present the strategic report for the period ended 30 June 2024.

Principal activities

The Company was incorporated on 15 December 2023 for the purposes of enabling the acquisition of Crosta & Mollica Limited and its subsidiaries on 12 January 2024.

The principal activity of the Group is delivering modern, authentic, quality Italian food products to consumers in the UK and across Europe under the Crosta & Mollica brand. The principal activity of the Company is that of an investment holding company.

Review of the business

The Group made an operating loss for the financial period ended 30 June 2024 of £2,275,631 (as the business was incorporated at the start of this period, there is no prior period comparable).

This operating loss is calculated after having deducted a charge of £3,612,166 as an amortisation charge for goodwill (based on a straight-line amortisation over 10 years). The Directors are satisfied that there is no impairment of goodwill based on their assessment of strong momentum and therefore considerable value growth in the Group.

The operating loss is also calculated after having deducted expenses of £1,638,016 in relation to one-time costs associated with effecting the acquisition (legal costs, due diligence costs, etc).

The Group balance sheet at 30 June 2024 shows a Net Liability position of £7,009,771. This is due to the accounting presentation of £65,121,365 of investors’ Preference Shares as a current liability. This is technically correct under FRS102. However, the Investors are committed to the long-term growth journey of the Group and have no plans to seek repayment of these funds. These funds constitute a core equity investment of our shareholders.

The subsidiaries of the group had significant growth when comparing the figures to the results of the year to 30 June 2023. Gross sales were up in Crosta & Mollica Limited by +41%. This strong growth was reflected both in the UK (+40%) and in International markets (+292%). It was also reflected in our core category of pizza (+46%) and across our other categories (+25%). This year’s gross sales performance maintains our compound annual growth rate over the last 3 financial years (since 30 June 2020) of +36%.

There are some challenges in the macroeconomic environment, particularly with inflationary pressures. However, the business responded successfully to these, again reflecting its resilience to adverse external events.

During the period, the group increased the scale of its management team, to allow it to sustain its rapid growth trajectory. This has allowed investment in people, product, marketing and systems, to provide a strong foundation for continued expansion.

The directors have not proposed a dividend in respect of the current financial period.

 

Principal risks and uncertainties

The directors consider the principal risk to the Group to be in respect of macroeconomic changes including consumer confidence and foreign exchange rates.

The directors consider the principal risk to the Company to be in respect of the recoverability of its investment in its subsidiaries. The directors monitor this closely and are confident that its investments are recoverable and therefore no impairment is deemed necessary.

 

Genco Topco Limited
Strategic report (continued)
For the period ended 30 June 2024
2
Key performance indicators

The business targets further strong growth in both revenue and EBITDA. In the UK, the amount of remaining white space in grocery retail represents a significant revenue and EBITDA growth opportunity. Equally, our rate of sale per store continues to rise steadily. In international markets, building on our strong growth in European markets is a major business KPI, whilst new opportunities outside of Europe are presenting themselves.

Product quality and taste differentiates Crosta and Mollica and also remains a critical KPI.

The business is committed to maintaining sensible, healthy margins whilst delivering premium products, ensuring product quality is not sacrificed for the sake of growth or improved margin.

Corporate social responsibility

Maintaining and improving on our BCorp accreditation is important and demonstrates the pride and a recognition of the business’s approach to ESG.

We continue to work closely with our fantastic friends at Emergency UK – the British arm of an Italian-based charity that provides high quality healthcare to victims of war, poverty and landmines, alongside building hospitals and training local medical staff. Our Italian colleagues and suppliers have a distinctly warm connection with this well respected Italian charity, and it is a relationship we will continue to build upon over the coming years.

The environmental impact of our operation is of increasing importance. Measures continue to be taken to reduce the footprint and improve the sustainability of the business.

Going concern

While the group shows an operating loss of £2,481,446 for the period ending 30 June 2024, this is largely due to several one-off costs during the period relating to the acquisition of several entities in the group. These costs are not expected to be repeated in future years. The underlying profitability of the Group is strong and growing.

The next few years will see further rapid expansion of the Group in terms of distribution, geography and product range whilst building on our current strong foundations. We are confident of significant gains on all fronts in the next financial year.

The group net liability position of £7,009,771 has been explained above, and as a result combined with the projected growth the Directors consider the group and company to be a going concern.

 

On behalf of the board

David Milner
Director
13 January 2025
Genco Topco Limited
Directors' report
For the period ended 30 June 2024
3

The directors present their annual report and financial statements for the period ended 30 June 2024.

Results and dividends

The results for the period are set out on page 9.

No ordinary dividends were paid. The directors do not recommend payment of a further dividend.

Directors

The directors who held office during the period and up to the date of signature of the financial statements were as follows:

James Orr
(Appointed 12 January 2024)
Nicholas Jenner
(Appointed 12 January 2024 and resigned 6 December 2024)
Gurinder Sunner
(Appointed 15 December 2023)
Max Slattery
(Appointed 15 December 2023)
Tom Sirett
(Appointed 5 February 2024)
David Milner
(Appointed 12 January 2024)
Financial instruments

The Group manages its cash flows in order to maximise interest income and minimise interest expense, whilst ensuring the Group has enough liquid resources to meet the operating needs of the business.

Interest rate risk

The Group manages its cash and borrowings in the most effective way possible to minimise any increase in actual or potential interest rate cost.

Foreign currency risk

The Group manages its foreign currency risk by entering into forward contracts or options.

Price risk

This is continually evaluated by the Board and management of the Group's companies.

Genco Topco Limited
Directors' report (continued)
For the period ended 30 June 2024
4
Statement of directors' responsibilities

The directors are responsible for preparing the Annual 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 United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law).

 

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 group and company, and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:

 

 

The directors are 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. They are 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.

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.

Medium-sized companies exemption

This report has been prepared in accordance with the provisions applicable to companies entitled to the medium-sized companies exemption.

On behalf of the board
David Milner
Director
13 January 2025
Genco Topco Limited
Independent auditor's report
To the members of Genco Topco Limited
5
Opinion

We have audited the financial statements of Genco Topco Limited (the 'parent company') and its subsidiaries (the 'group') for the period ended 30 June 2024 which comprise the group income statement, the group statement of comprehensive income, the group statement of financial position, the company statement of financial position, 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:

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

Other information

The directors are responsible for the other information. The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

 

Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.

 

We have nothing to report in this regard.

Genco Topco Limited
Independent auditor's report (continued)
To the members of Genco Topco Limited
6

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

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 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:

 

Responsibilities of directors

As explained more fully in the directors' responsibilities statement, 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 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 directors either intend to liquidate the parent 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.

Genco Topco Limited
Independent auditor's report (continued)
To the members of Genco Topco Limited
7

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 specific procedures for this engagement and the extent to which these are capable of detecting irregularities, including fraud are detailed below.

 

Identifying and assessing risks related to irregularities:

We assessed the susceptibility of the group and parent company’s financial statements to material misstatement and how fraud might occur, including through discussions with the directors, discussions within our audit team planning meeting, updating our record of internal controls and ensuring these controls operated as intended. We evaluated possible incentives and opportunities for fraudulent manipulation of the financial statements. We identified laws and regulations that are of significance in the context of the group and parent company by discussions with directors and by updating our understanding of the sector in which the group and parent company operates.

 

Laws and regulations of direct significance in the context of the group and parent company include The Companies Act 2006 and UK Tax legislation.

 

Audit response to risks identified

We considered the extent of compliance with these laws and regulations as part of our audit procedures on the related financial statement items including a review of group and parent company financial statement disclosures. We reviewed the parent company's records of breaches of laws and regulations, minutes of meetings and correspondence with relevant authorities to identify potential material misstatements arising. We discussed the parent company's policies and procedures for compliance with laws and regulations with members of management responsible for compliance.

During the planning meeting with the audit team, the engagement partner drew attention to the key areas which might involve non-compliance with laws and regulations or fraud. We enquired of management whether they were aware of any instances of non-compliance with laws and regulations or knowledge of any actual, suspected or alleged fraud. We addressed the risk of fraud through management override of controls by testing the appropriateness of journal entries and identifying any significant transactions that were unusual or outside the normal course of business. We assessed whether judgements made in making accounting estimates gave rise to a possible indication of management bias. At the completion stage of the audit, the engagement partner’s review included ensuring that the team had approached their work with appropriate professional scepticism and thus the capacity to identify non-compliance with laws and regulations and fraud.

As group auditors, our assessment of matters relating to non-compliance with laws or regulations and fraud differed at group and component level according to their particular circumstances. Our communications included a request to identify instances of non-compliance with laws and regulations and fraud that could give rise to a material misstatement of the group financial statements in addition to our risk assessment.

 

There are inherent limitations in the audit procedures described above and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.

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.

Genco Topco Limited
Independent auditor's report (continued)
To the members of Genco Topco Limited
8

Use of our report

This report is made solely to the parent 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 parent company's members those matters we are required to state to them in an auditors report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the parent company and the parent company's members as a body, for our audit work, for this report, or for the opinions we have formed.

 

Lucy Brennan (Senior Statutory Auditor)
For and on behalf of Saffery LLP
21 January 2025
Statutory Auditors
71 Queen Victoria Street
London
EC4V 4BE
Genco Topco Limited
Group income statement
For the period ended 30 June 2024
9
Period
ended
30 June
2024
Notes
£
Turnover
3
30,281,457
Cost of sales
(22,711,771)
Gross profit
7,569,686
Administrative expenses
(9,845,317)
Operating loss
4
(2,275,631)
Interest receivable and similar income
9
6,677
Interest payable and similar expenses
10
(4,563,112)
Loss before taxation
(6,832,066)
Tax on loss
11
(647,708)
Loss for the financial period
25
(7,479,774)
(Loss)/profit for the financial period is all attributable to the owners of the parent company.
Genco Topco Limited
Group statement of comprehensive income
For the period ended 30 June 2024
10
Period
ended
30 June
2024
£
Loss for the period
(7,479,774)
Other comprehensive income
-
Total comprehensive income for the period
(7,479,774)
Total comprehensive income for the period is all attributable to the owners of the parent company.
Genco Topco Limited
Group statement of financial position
As at 30 June 2024
11
2024
Notes
£
£
Fixed assets
Goodwill
12
73,586,899
Other intangible assets
12
21,597
Total intangible assets
73,608,496
Tangible assets
13
467,669
74,076,165
Current assets
Stocks
17
3,273,121
Debtors
18
12,269,344
Cash at bank and in hand
3,424,293
18,966,758
Creditors: amounts falling due within one year
19
(82,308,425)
Net current liabilities
(63,341,667)
Total assets less current liabilities
10,734,498
Creditors: amounts falling due after more than one year
20
(17,636,849)
Provisions for liabilities
Deferred tax liability
22
107,420
(107,420)
Net liabilities
(7,009,771)
Capital and reserves
Called up share capital
24
47,003
Share premium account
25
423,000
Profit and loss reserves
25
(7,479,774)
Total equity
(7,009,771)

These financial statements have been prepared in accordance with the provisions relating to medium-sized groups.

The financial statements were approved by the board of directors and authorised for issue on 13 January 2025 and are signed on its behalf by:
13 January 2025
David Milner
Director
Company registration number 15354413 (England and Wales)
Genco Topco Limited
Company statement of financial position
As at 30 June 2024
30 June 2024
12
2024
Notes
£
£
Fixed assets
Investments
14
2
Current assets
Debtors
18
68,951,800
Creditors: amounts falling due within one year
19
(68,789,661)
Net current assets
162,139
Net assets
162,141
Capital and reserves
Called up share capital
24
47,003
Share premium account
25
423,000
Profit and loss reserves
25
(307,862)
Total equity
162,141

As permitted by s408 Companies Act 2006, the company has not presented its own profit and loss account and related notes. The company’s loss for the period was £307,862.

These financial statements have been prepared 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 13 January 2025 and are signed on its behalf by:
13 January 2025
David Milner
Director
Company registration number 15354413 (England and Wales)
Genco Topco Limited
Group statement of changes in equity
For the period ended 30 June 2024
13
Share capital
Share premium account
Profit and loss reserves
Total
Notes
£
£
£
£
Balance at 15 December 2023
-
-
-
-
Period ended 30 June 2024:
Loss and total comprehensive income
-
-
(7,479,774)
(7,479,774)
Issue of share capital
24
47,003
423,000
-
470,003
Balance at 30 June 2024
47,003
423,000
(7,479,774)
(7,009,771)
Genco Topco Limited
Company statement of changes in equity
For the period ended 30 June 2024
14
Share capital
Share premium account
Profit and loss reserves
Total
Notes
£
£
£
£
Balance at 15 December 2023
-
-
-
-
Period ended 30 June 2024:
Profit and total comprehensive income
-
-
(307,862)
(307,862)
Issue of share capital
24
47,003
423,000
-
470,003
Balance at 30 June 2024
47,003
423,000
(307,862)
162,141
Genco Topco Limited
Group statement of cash flows
For the period ended 30 June 2024
15
2024
Notes
£
£
Cash flows from operating activities
Cash generated from/(absorbed by) operations
30
4,758,014
Interest paid
(894,816)
Income taxes paid
(646,647)
Net cash inflow/(outflow) from operating activities
3,216,551
Investing activities
Purchase of business
(83,589,798)
Purchase of intangible assets
(3,645)
Purchase of tangible fixed assets
(426,479)
Interest received
6,676
Net cash used in investing activities
(84,013,246)
Financing activities
Issue of preference shares
65,114,139
Proceeds from issue of shares
470,000
Proceeds from new bank loans
18,636,849
Net cash generated from/(used in) financing activities
84,220,988
Net increase in cash and cash equivalents
3,424,293
Cash and cash equivalents at beginning of period
-
Cash and cash equivalents at end of period
3,424,293
Genco Topco Limited
Notes to the group financial statements
For the period ended 30 June 2024
16
1
Accounting policies
Company information

Genco Topco Limited (“the company”) is a private company limited by shares incorporated in England and Wales. The registered office is 189 Stonhouse Street, London, SW4 6BB.

 

The group consists of Genco Topco Limited and all of its subsidiaries.

1.1
Reporting period

The reporting period for these financial statements was shortened from 31 December 2024 to 30 June 2024, in order to align the accounting reference date with that of other entities within the group.

1.2
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 company. 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 certain financial instruments at fair value. The principal accounting policies adopted are set out below.

1.3
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.

1.4
Basis of consolidation

The consolidated group financial statements consist of the financial statements of the parent company Genco Topco 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.

 

All financial statements are made up to 30 June 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.

Genco Topco Limited
Notes to the group financial statements (continued)
For the period ended 30 June 2024
1
Accounting policies (continued)
17

Subsidiaries are consolidated in the group’s financial statements from the date that control commences until the date that control ceases.

Entities in which the group holds an interest and which are jointly controlled by the group and one or more other venturers under a contractual arrangement are treated as joint ventures. Entities other than subsidiary undertakings or joint ventures, in which the group has a participating interest and over whose operating and financial policies the group exercises a significant influence, are treated as associates.

Investments in joint ventures and associates are carried in the group statement of financial position at cost plus post-acquisition changes in the group’s share of the net assets of the entity, less any impairment in value. The carrying values of investments in joint ventures and associates include acquired goodwill.

 

If the group’s share of losses in a joint venture or associate equals or exceeds its investment in the joint venture or associate, the group does not recognise further losses unless it has incurred obligations to do so or has made payments on behalf of the joint venture or associate.

 

Unrealised gains arising from transactions with joint ventures and associates are eliminated to the extent of the group’s interest in the entity.

1.5
Going concern

At the time of approving the financial statements, the directors have a reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

1.6
Turnover

Turnover is recognised at the fair value of the consideration received or receivable for goods 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.

 

When cash inflows are deferred and represent a financing arrangement, the fair value of the consideration is the present value of the future receipts. The difference between the fair value of the consideration and the nominal amount received is recognised as interest income.

Revenue from the sale of Italian food is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.

1.7
Intangible fixed assets - goodwill

Goodwill arising on the acquisition of subsidiary undertakings represents the excess of the fair value of the consideration over the fair value of the identifiable assets and liabilities acquired. It is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is considered to have a finite useful life and is amortised on a systematic basis over its expected life, which is 10 years.

 

For the purposes of impairment testing, goodwill is allocated to the cash-generating units expected to benefit from the acquisition. Cash-generating units to which goodwill has been allocated are tested for impairment at least annually, or more frequently when there is an indication that the unit may be impaired. If the recoverable amount of the cash-generating unit is less than the carrying amount of the unit, the impairment loss is allocated first to reduce the carrying amount of any goodwill allocated to the unit and then to the other assets of the unit pro-rata on the basis of the carrying amount of each asset in the unit.

Genco Topco Limited
Notes to the group financial statements (continued)
For the period ended 30 June 2024
1
Accounting policies (continued)
18
1.8
Intangible fixed assets other than goodwill

Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.

 

Intangible assets acquired on business combinations are recognised separately from goodwill at the acquisition date where it is probable that the expected future economic benefits that are attributable to the asset will flow to the entity and the fair value of the asset can be measured reliably; the intangible asset arises from contractual or other legal rights; and the intangible asset is separable from the entity.

Amortisation 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:

Trademarks
10% Straight line
1.9
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:

Plant and equipment
25% Straight line
Fixtures and fittings
25% Straight line
Computers
25% Straight line
Motor vehicles
25% Straight line

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 income statement.

1.10
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.

Genco Topco Limited
Notes to the group financial statements (continued)
For the period ended 30 June 2024
1
Accounting policies (continued)
19

An associate is an entity, being neither a subsidiary nor a joint venture, in which the company holds a long-term interest and where the company has significant influence. The group considers that it has significant influence where it has the power to participate in the financial and operating decisions of the associate.

 

Investments in associates are initially recognised at the transaction price (including transaction costs) and are subsequently adjusted to reflect the group’s share of the profit or loss, other comprehensive income and equity of the associate using the equity method. Any difference between the cost of acquisition and the share of the fair value of the net identifiable assets of the associate on acquisition is recognised as goodwill. Any unamortised balance of goodwill is included in the carrying value of the investment in associates.

 

Losses in excess of the carrying amount of an investment in an associate are recorded as a provision only when the company has incurred legal or constructive obligations or has made payments on behalf of the associate.

 

In the parent company financial statements, investments in associates are accounted for at cost less impairment.

Entities in which the group has a long term interest and shares control under a contractual arrangement are classified as jointly controlled entities.

1.11
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.

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

 

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

1.12
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.

Genco Topco Limited
Notes to the group financial statements (continued)
For the period ended 30 June 2024
1
Accounting policies (continued)
20

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.

1.13
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.

1.14
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 statement of financial position 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, 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.

Genco Topco Limited
Notes to the group financial statements (continued)
For the period ended 30 June 2024
1
Accounting policies (continued)
21
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.

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 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.

1.15
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.

1.16
Taxation

The tax expense represents the sum of the tax currently payable and deferred tax.

Genco Topco Limited
Notes to the group financial statements (continued)
For the period ended 30 June 2024
1
Accounting policies (continued)
22
Current tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the income statement 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.

 

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. Where items recognised in other comprehensive income or equity are chargeable to or deductible for tax purposes, the resulting current or deferred tax expense or income is presented in the same component of comprehensive income or equity as the transaction or other event that resulted in the tax expense or income. 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.

1.17
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.

 

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.18
Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

1.19
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.

Genco Topco Limited
Notes to the group financial statements (continued)
For the period ended 30 June 2024
23
2
Critical accounting judgements and key sources of estimation uncertainty

In the application of the group’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.

Critical judgements

The following judgements (apart from those involving estimates) have had the most significant effect on amounts recognised in the financial statements.

Bad debt is recognised for trade debtors that are deemed unable to pay either the full amount or a proportion of the debt they owe to the company. Therefore, at each year end there is judgement surrounding the recoverability of trade debtors. Genco Topco Group expect all debtors to be recoverable at year end.

Stock provisions relate to the need to account for slow moving or obsolete stock at year end which requires judgement in valuation of the stock. The group directors confirmed stock is dispatched to complete an order on a FIFO basis and that the 'best before date' is internally managed by Crosta & Mollica to minimize any stock provisioning required.

 

After initial recognition of goodwill, the group shall measure goodwill acquired in a business combination at cost less accumulated amortisation and accumulated impairment losses. Therefore, at each year end there is a judgement surrounding the impairment of goodwill. The directors have considered cash flow forecasts and expect no impairment to goodwill. The directors have also considered the useful economic life of goodwill to be 10 years as a reliable estimate of this cannot be made.

3
Turnover and other revenue
2024
£
Turnover analysed by class of business
Sales of goods
30,281,457
2024
£
Turnover analysed by geographical market
UK
26,234,435
France
1,195,699
Benelux
2,380,128
Iceland
290,411
Other
180,784
30,281,457
Genco Topco Limited
Notes to the group financial statements (continued)
For the period ended 30 June 2024
3
Turnover and other revenue (continued)
24
2024
£
Other revenue
Interest income
6,677
4
Operating loss
2024
£
Operating loss for the period is stated after charging/(crediting):
Exchange gains
(324)
Depreciation of owned tangible fixed assets
87,959
Amortisation of intangible assets
3,612,166
5
Auditor's remuneration
2024
Fees payable to the company's auditor and associates:
£
For audit services
Audit of the financial statements of the group and company
6,500
Audit of the financial statements of the company's subsidiaries
45,800
52,300
For other services
Taxation compliance services
13,750
All other non-audit services
13,450
27,200
Genco Topco Limited
Notes to the group financial statements (continued)
For the period ended 30 June 2024
25
6
Employees

The average monthly number of persons (including directors) employed by the group and company during the period was:

Group
Company
2024
2024
Number
Number
Management
5
5
Finance
4
-
Marketing
5
-
Commerical
10
-
Supply Chain
6
-
Procurement & Technical
4
1
Total
34
6

Their aggregate remuneration comprised:

Group
Company
2024
2024
£
£
Wages and salaries
1,416,421
-
0
Social security costs
198,354
-
Pension costs
142,411
-
0
1,757,186
-
0
7
Directors' remuneration
2024
£
Remuneration for qualifying services
563,658
Company pension contributions to defined contribution schemes
16,667
580,325
Remuneration disclosed above includes the following amounts paid to the highest paid director:
2024
£
Remuneration for qualifying services
157,181
Company pension contributions to defined contribution schemes
16,667
Genco Topco Limited
Notes to the group financial statements (continued)
For the period ended 30 June 2024
26
9
Interest receivable and similar income
2024
£
Interest income
Interest on bank deposits
6,677
2024
Investment income includes the following:
£
Interest on financial assets not measured at fair value through profit or loss
6,677
10
Interest payable and similar expenses
2024
£
Interest on financial liabilities measured at amortised cost:
Interest on bank overdrafts and loans
891,908
Dividends on redeemable preference shares not classified as equity
3,668,296
4,560,204
Other finance costs:
Other interest
2,908
Total finance costs
4,563,112
11
Taxation
2024
£
Current tax
UK corporation tax on profits for the current period
628,046
Adjustments in respect of prior periods
(20,583)
Total current tax
607,463
Deferred tax
Origination and reversal of timing differences
40,245
Total tax charge
647,708
Genco Topco Limited
Notes to the group financial statements (continued)
For the period ended 30 June 2024
11
Taxation (continued)
27

The actual charge for the period can be reconciled to the expected credit for the period based on the profit or loss and the standard rate of tax as follows:

2024
£
Loss before taxation
(6,832,066)
Expected tax credit based on the standard rate of corporation tax in the UK of 25.00%
(1,708,017)
Tax effect of expenses that are not deductible in determining taxable profit
2,376,308
Adjustments in respect of prior years
(20,583)
Overseas tax suffered
101,842
Double tax relief
(101,842)
Taxation charge
647,708
12
Intangible fixed assets
Group
Goodwill
Trademarks
Total
£
£
£
Cost
At 15 December 2023
-
0
-
0
-
0
Additions - separately acquired
77,197,762
3,645
77,201,407
Additions - business combinations
-
0
19,255
19,255
At 30 June 2024
77,197,762
22,900
77,220,662
Amortisation and impairment
At 15 December 2023
-
0
-
0
-
0
Amortisation charged for the period
3,610,863
1,303
3,612,166
At 30 June 2024
3,610,863
1,303
3,612,166
Carrying amount
At 30 June 2024
73,586,899
21,597
73,608,496
Genco Topco Limited
Notes to the group financial statements (continued)
For the period ended 30 June 2024
28
13
Tangible fixed assets
Group
Plant and equipment
Fixtures and fittings
Computers
Motor vehicles
Total
£
£
£
£
£
Cost
At 15 December 2023
-
0
-
0
-
0
-
0
-
0
Additions
-
0
346,998
15,235
41,235
403,468
Business combinations
73,960
43,825
34,375
-
0
152,160
At 30 June 2024
73,960
390,823
49,610
41,235
555,628
Depreciation and impairment
At 15 December 2023
-
0
-
0
-
0
-
0
-
0
Depreciation charged in the period
73,960
10,838
3,161
-
0
87,959
At 30 June 2024
73,960
10,838
3,161
-
0
87,959
Carrying amount
At 30 June 2024
-
0
379,985
46,449
41,235
467,669
14
Fixed asset investments
Group
Company
2024
2024
Notes
£
£
Investments in subsidiaries
15
-
0
2
Movements in fixed asset investments
Company
Shares in subsidiaries
£
Cost or valuation
At 15 December 2023
-
Additions
2
At 30 June 2024
2
Carrying amount
At 30 June 2024
2
Genco Topco Limited
Notes to the group financial statements (continued)
For the period ended 30 June 2024
29
15
Subsidiaries

Details of the company's subsidiaries at 30 June 2024 are as follows:

Name of undertaking
Address
Class of
% Held
shares held
Direct
Indirect
Genco Bidco Limited
1
Ordinary
100.00
-
Crosta & Mollica Limited
1
Ordinary
-
100.00
Stonhouse Foods Limited
1
Ordinary
-
100.00
Crosta & Mollica Italia srl
2
Ordinary
-
100.00

Registered office addresses (all UK unless otherwise indicated):

1
189 Stonhouse Street, London, SW4 6BB
2
Via Santa Moria alla Porta 9, 20123 Milano, Italy
16
Financial instruments
Group
Company
2024
2024
£
£
Carrying amount of financial assets
Instruments measured at fair value through profit or loss
33,729
-
17
Stocks
Group
Company
2024
2024
£
£
Finished goods and goods for resale
3,273,121
-
0
18
Debtors
Group
Company
2024
2024
Amounts falling due within one year:
£
£
Trade debtors
10,818,666
-
0
Corporation tax recoverable
103,804
-
0
Amounts owed by group undertakings
-
68,951,800
Derivative financial instruments
33,729
-
Other debtors
765,701
-
0
Prepayments and accrued income
547,444
-
0
12,269,344
68,951,800
Genco Topco Limited
Notes to the group financial statements (continued)
For the period ended 30 June 2024
30
19
Creditors: amounts falling due within one year
Group
Company
2024
2024
Notes
£
£
Bank loans
21
1,000,000
-
0
Other borrowings
21
65,121,365
65,121,365
Trade creditors
8,929,337
-
0
Corporation tax payable
405,696
-
0
Other taxation and social security
102,249
-
Preference dividends payable
3,668,296
3,668,296
Other creditors
20,577
-
0
Accruals and deferred income
3,060,905
-
0
82,308,425
68,789,661

 

20
Creditors: amounts falling due after more than one year
Group
Company
2024
2024
Notes
£
£
Bank loans and overdrafts
21
17,636,849
-
0
Amounts included above which fall due after five years are as follows:
Payable other than by instalments
14,186,849
-
21
Loans and overdrafts
Group
Company
2024
2024
£
£
Bank loans
18,636,849
-
0
Preference shares
65,121,365
65,121,365
83,758,214
65,121,365
Payable within one year
66,121,365
65,121,365
Payable after one year
17,636,849
-
0

 

Genco Topco Limited
Notes to the group financial statements (continued)
For the period ended 30 June 2024
21
Loans and overdrafts (continued)
31

The bank loans have a fixed and floating charge over all the property, assets and rights in Genco Bidco Limited.

 

The bank loan balance above is made up from three different loans. Loan A bears interest at a rate of 7.42% and is repayable over 5 years. Loan B bears interest at a rate of 7.25% and is repayable over 6 years. Loan C bears interest at a rate of 6.75% and is repayable over 5 years.

 

The preference shares, which were issued at par for £65,121,365, are redeemable immediately on occurrence of certain events as defined in the preference share agreement. The preference shareholders are also entitled to a preferred dividend at the annual rate of 12% of the compounded issue price per preference share.

 

22
Deferred taxation

The following are the major deferred tax liabilities and assets recognised by the group and company, and movements thereon:

Liabilities
2024
Group
£
Accelerated capital allowances
107,420
The company has no deferred tax assets or liabilities.
Group
Company
2024
2024
Movements in the period:
£
£
Asset at 15 December 2023
-
-
Charge b/fwd per business combination
67,175
-
Charge to the profit and loss
40,245
-
Liability at 30 June 2024
107,420
-

The deferred tax liability set out above is expected to reverse within 12 months and relates to accelerated capital allowances that are expected to mature within the same period.

23
Retirement benefit schemes
2024
Defined contribution schemes
£
Charge to profit or loss in respect of defined contribution schemes
142,411
Genco Topco Limited
Notes to the group financial statements (continued)
For the period ended 30 June 2024
23
Retirement benefit schemes (continued)
32

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.

24
Share capital
Group and company
2024
2024
Ordinary share capital
Number
£
Issued and fully paid
A Ordinary of 10p each
290,010
29,001
B Ordinary of 10p each
110,020
11,002
C Ordinary of 10p each
70,000
7,000
470,030
47,003

On incorporation, 2 A Ordinary shares of £0.10 each were issued. During the period, the remaining 47,001 shares at £0.10 each share were issued.

 

Each ordinary share is entitled to one vote, dividends, and to participate in any other distribution. Each ordinary share is entitled to participate in distribution arising from a winding up of the company. The shares are not be be redeemed and are not liable to be redeemed at the option of the company or shareholder.

On 30 October 2024, the company issued 100,000 C ordinary shares at a nominal value of £0.10 per share.

25
Reserves
Profit and loss reserves

Retained earnings is made up current and historic accumulated profits and loss, less any dividends distributed to shareholders.

Genco Topco Limited
Notes to the group financial statements (continued)
For the period ended 30 June 2024
33
26
Acquisition of a business

On 12 January 2024 the group acquired 100 percent of the issued capital of Crosta and Mollica Ltd. The company purchased also had two subsidiaries in which the parent owns, Crosta and Mollica Italia and Stonhouse Ltd.

Book Value
Adjustments
Fair Value
Net assets acquired
£
£
£
Intangible assets
19,255
-
19,255
Property, plant and equipment
152,160
-
152,160
Inventories
4,628,964
-
4,628,964
Trade and other receivables
11,624,602
-
11,624,602
Cash and cash equivalents
5,055,088
-
5,055,088
Trade and other payables
(9,831,968)
-
(9,831,968)
Tax liabilities
(201,151)
-
(201,151)
Total identifiable net assets
11,446,950
-
11,446,950
Goodwill
77,197,762
Total consideration
88,644,712
The consideration was satisfied by:
£
Cash
88,644,712
Contribution by the acquired business for the reporting period included in the group statement of comprehensive income since acquisition:
£
Turnover
30,281,452
Profit after tax
1,544,897
27
Operating lease commitments

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
2024
£
£
Within one year
46,250
-
46,250
-
Genco Topco Limited
Notes to the group financial statements (continued)
For the period ended 30 June 2024
34
28
Related party transactions

The company has taken advantage of the exemption in FRS102 from the requirement to disclose transactions with group companies.

 

During the period, a monitoring fee of £108,602 was recognised in the group profit and loss statement. This payment was made to PW Genco Limited, a shareholder in Genco Topco Limited.

29
Controlling party
Genco Topco Limited group does not have a controlling party.
30
Cash generated from/(absorbed by) group operations
2024
£
Loss for the period after tax
(7,479,774)
Adjustments for:
Taxation charged
647,708
Finance costs
(2,465,618)
Investment income
7,022,053
Amortisation and impairment of intangible assets
3,612,166
Depreciation and impairment of tangible fixed assets
110,970
Other gains and losses
(120,045)
Movements in working capital:
Decrease in stocks
1,355,843
Increase in debtors
(540,759)
Increase in creditors
2,701,216
Cash generated from/(absorbed by) operations
4,843,760
31
Analysis of changes in net debt - group
15 December 2023
Cash flows
30 June 2024
£
£
£
Cash at bank and in hand
-
3,424,293
3,424,293
Borrowings excluding overdrafts
-
(83,758,214)
(83,758,214)
-
(80,333,921)
(80,333,921)
Genco Topco Limited
Notes to the group financial statements (continued)
For the period ended 30 June 2024
35
32
Analysis of changes in net debt - company
15 December 2023
Cash flows
30 June 2024
£
£
£
Borrowings excluding overdrafts
-
(65,121,365)
(65,121,365)
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