Company registration number 04178109 (England and Wales)
GUILDHAWK LIMITED
UNAUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
PAGES FOR FILING WITH REGISTRAR
GUILDHAWK LIMITED
CONTENTS
Page
Directors' report
1 - 2
Balance sheet
3 - 4
Statement of changes in equity
5
Notes to the financial statements
6 - 12
GUILDHAWK LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 MARCH 2024
- 1 -

The directors present their annual report and financial statements for the year ended 31 March 2024.

Directors

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

J Zilinskiene MBE
I K Miller MBE
D M Clarke
M J Brooks-Wadham

Principal Activities

Following the successful acquisition of investment capital, Guildhawk has expedited its strategic evolution from a provider of conventional translation and interpreting services to a comprehensive purveyor of multilingual media solutions. This transition has been characterised by the sophisticated localisation of digital assets for international clients, leveraging an integrated approach that combines cutting-edge technological advancements with the nuanced expertise of our creative and language experts. This deliberate shift aligns with our commitment to meet the expanding needs of global enterprises in an increasingly interconnected marketplace.

Strategic Business Repositioning

Guildhawk has successfully navigated a strategic transformation, evolving from a traditional translation entity into a preeminent global multilingual, communications leader. This year has been pivotal in redefining our core competencies, now encompassing the creation and localisation of both video, digital human avatars and written content.

Financial Performance and Innovation

The fiscal year under review has witnessed a commendable increase in turnover, coupled with a reduction in the cost of sales, thereby amplifying our gross profit margin. This trajectory is not only a testament to our operational excellence but also indicative of the potential for sustained financial growth.

Guildhawk's commitment to Research and Development (R&D) has been the cornerstone of our technological prowess. Our investment in AI and automation has catalysed the formation of strategic partnerships and the procurement of high-value contracts. The introduction of Guildhawk Voice™, our trailblasing multilingual avatars, has disrupted traditional client engagement models, underscoring our innovative capabilities.

The company’s pursuit of groundbreaking advancements often necessitates navigating uncharted territories, where the potential for both breakthroughs and setbacks reside. This year, while our R&D initiatives have significantly improved machine translation and the enhancement of privacy protocols, we have also encountered the need to recalibrate our trajectory. Certain exploratory projects, despite their initial promise, were met with unforeseen structural shifts in technology, rendering them commercially nonviable. These instances led to strategic write-offs, which, while impactful, were anticipated risks inherent to the pursuit of innovation. Such course corrections were expected and are indicative of our agile approach to R&D—a necessary component of staying at the vanguard of technological progress and maintaining our leadership position.

Market Position and Client Relationships

Our diversified service portfolio has yielded increased revenue streams from both our longstanding global clients and an array of new, high-profile contracts. A remarkable 97% client retention rate underscores the enduring trust and satisfaction our partners place in Guildhawk.

Our enhanced visibility and strategic collaborations with prestigious entities, including Innovate UK, Sheffield Hallam University and various global Chambers of Commerce, have fortified our industry standing. These alliances, alongside our engagement with academic and governmental institutions, have expanded our knowledge base and cemented our reputation as an innovator.

GUILDHAWK LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 2 -

Key Highlights:

  1. Guildhawk’s utilisation of the latest AI capabilities has positioned us at the cutting edge of technological innovation.

  2. We boast an international blue-chip client base, reflective of our global reach and expertise.

  3. We maintain industry-leading margins, a clear indicator of our operational efficiency and financial health.

  4. Our proprietary Data Lake, curated with vertical-specific data, underpins our AI and machine learning capabilities.

  5. The average tenure of our top 25 clients is an impressive 8 years, demonstrating the strength and longevity of our partnerships.

  6. Our client satisfaction rate stands at an exceptional 97%, a metric that speaks volumes about our commitment to excellence.

  7. We command an international pool of over 3,000 vertical-specific linguistic and creative experts, ensuring unparalleled service delivery.

  8. Secured our 2nd Knowledge Transfer Partnership grant from Innovate UK to advance multilingual machine learning.

In conclusion, the year 2023-2024 has been marked by strategic investments and innovations that have positioned Guildhawk for future growth and success. The directors are confident that the company's focus on R&D and the adoption of cutting-edge technologies will continue to drive profitability and enhance shareholder value in the years to come.

Small companies exemption

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

On behalf of the board
J Zilinskiene MBE
Director
18 March 2025
GUILDHAWK LIMITED
BALANCE SHEET
AS AT
31 MARCH 2024
31 March 2024
- 3 -
2024
2023
Notes
£
£
£
£
Fixed assets
Intangible assets
4
611,683
606,116
Tangible assets
5
4,001
4,304
615,684
610,420
Current assets
Debtors
6
614,824
400,853
Cash at bank and in hand
644,610
362,414
1,259,434
763,267
Creditors: amounts falling due within one year
7
(576,787)
(500,317)
Net current assets
682,647
262,950
Total assets less current liabilities
1,298,331
873,370
Creditors: amounts falling due after more than one year
8
(525,682)
(120,227)
Provisions for liabilities
(781)
(809)
Net assets
771,868
752,334
Capital and reserves
Called up share capital
9
2
2
Share premium account
583,335
250,000
Profit and loss reserves
188,531
502,332
Total equity
771,868
752,334

The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true

For the financial year ended 31 March 2024 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.

The member has not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.

These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

GUILDHAWK LIMITED
BALANCE SHEET (CONTINUED)
AS AT
31 MARCH 2024
31 March 2024
- 4 -
The financial statements were approved by the board of directors and authorised for issue on 18 March 2025 and are signed on its behalf by:
J Zilinskiene MBE
Director
Company Registration No. 04178109
GUILDHAWK LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MARCH 2024
- 5 -
Share capital
Share premium account
Profit and loss reserves
Total
Notes
£
£
£
£
Balance at 1 April 2022
2
-
0
592,375
592,377
Year ended 31 March 2023:
Loss and total comprehensive income for the year
-
-
(30,043)
(30,043)
Issue of share capital
9
-
0
250,000
-
250,000
Dividends
-
-
(60,000)
(60,000)
Balance at 31 March 2023
2
250,000
502,332
752,334
Year ended 31 March 2024:
Loss and total comprehensive income for the year
-
-
(283,801)
(283,801)
Issue of share capital
9
-
0
333,335
-
333,335
Dividends
-
-
(30,000)
(30,000)
Balance at 31 March 2024
2
583,335
188,531
771,868
GUILDHAWK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
- 6 -
1
Accounting policies
Company information

Guildhawk Limited is a private company limited by shares incorporated in England and Wales. The registered office is 18th & 19th Floors, 100 Bishopsgate, London, United Kingdom, EC2M 1GT.

1.1
Accounting convention

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

1.2
Turnover

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.

1.3
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.

 

Development costs are recognised as an intangible asset when all of the following criteria are demonstrated:

 

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:

Website
Straight line basis over 5 years
Other Intangibles
Straight line basis over 5 years
1.4
Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

GUILDHAWK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 7 -

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Fixtures and fittings
Straight line basis over 5 years

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.

1.5
Impairment of fixed assets

At each reporting period end date, the company 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.

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.

1.6
Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.7
Financial instruments

The company 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 company's balance sheet when the company becomes party to the contractual provisions of the instrument.

 

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

GUILDHAWK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 8 -
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.

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 company 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.

1.8
Equity instruments

Equity instruments issued by the company 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 company.

 

Changes in the fair value of derivatives that are designated and qualify as fair value hedges are recognised in profit or loss immediately, together with any changes in the fair value of the hedged asset or liability that are attributable to the hedged risk.

1.9
Taxation

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

Current tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

GUILDHAWK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 9 -
Deferred tax

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

 

The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.

1.10
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.

1.11
Retirement benefits

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

1.12
Government grants

Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.

 

A grant that specifies performance conditions is recognised in income when the performance conditions are met. Where a grant does not specify performance conditions it is recognised in income when the proceeds are received or receivable. A grant received before the recognition criteria are satisfied is recognised as a liability.

1.13
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.

GUILDHAWK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 10 -
2
Judgements and key sources of estimation uncertainty

In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

 

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

3
Employees

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

2024
2023
Number
Number
Total
22
20
4
Intangible fixed assets
Website
Other Intangibles
Total
£
£
£
Cost
At 1 April 2023
95,233
665,260
760,493
Additions
-
0
437,387
437,387
Disposals
-
0
(438,890)
(438,890)
At 31 March 2024
95,233
663,757
758,990
Amortisation and impairment
At 1 April 2023
60,712
93,665
154,377
Amortisation charged for the year
19,047
143,058
162,105
Disposals
-
0
(169,175)
(169,175)
At 31 March 2024
79,759
67,548
147,307
Carrying amount
At 31 March 2024
15,474
596,209
611,683
At 31 March 2023
34,521
571,595
606,116
GUILDHAWK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 11 -
5
Tangible fixed assets
Plant and machinery etc
£
Cost
At 1 April 2023
6,735
Additions
828
At 31 March 2024
7,563
Depreciation and impairment
At 1 April 2023
2,431
Depreciation charged in the year
1,131
At 31 March 2024
3,562
Carrying amount
At 31 March 2024
4,001
At 31 March 2023
4,304
6
Debtors
2024
2023
Amounts falling due within one year:
£
£
Trade debtors
271,155
268,907
Corporation tax recoverable
266,478
104,483
Other debtors
77,191
27,463
614,824
400,853
7
Creditors: amounts falling due within one year
2024
2023
£
£
Bank loans
49,091
124,823
Trade creditors
187,652
215,542
Taxation and social security
95,764
73,873
Other creditors
244,280
86,079
576,787
500,317
8
Creditors: amounts falling due after more than one year
2024
2023
£
£
Bank loans and overdrafts
525,682
120,227
GUILDHAWK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
8
Creditors: amounts falling due after more than one year
(Continued)
- 12 -

The bank loans are secured by Barclays Bank UK plc holding a fixed and floating charge over the assets of the company and a personal guarantee given by one of the directors, J Zilinskiene.

9
Called up share capital
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £0.000001 each
2,424,241
2,162,162
2
2

On 12 September 2023, the company issued a further 262,079 £0.000001 shares.

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