Company registration number 09346984 (England and Wales)
SILVERRAIL LINKON UK LTD
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
SILVERRAIL LINKON UK LTD
COMPANY INFORMATION
Directors
Mr. A Gowell
Miss C R Thompson
Secretary
Ms S Chalmers
Company number
09346984
Registered office
2 Minton Place
Victoria Road
Bicester
Oxfordshire
OX26 6QB
Auditor
Benee Consulting Limited
48 Durrell Drive
Rugby
Warwickshire
CV22 7GW
SILVERRAIL LINKON UK LTD
CONTENTS
Page
Strategic report
1 - 2
Directors' report
3 - 4
Directors' responsibilities statement
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
Company statement of cash flows
16
Notes to the financial statements
17 - 33
SILVERRAIL LINKON UK LTD
STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023
- 1 -

The directors present the strategic report for the year ended 31 December 2023.

Fair review of the business

Until 1st January 2023, SilverRail Linkon UK Ltd was a holding company for the Swedish operating businesses within the SilverRail Group.

 

SilverRail Linkon UK Ltd is the parent company of the wholly owned Swedish subsidiary SilverRail Linkon AB, which owned the Swedish operating company Silverrail Technologies AB until its disposal on 1st January 2023.

 

On 1st January 2023 the group transferred its interest in its subsidiary SilverRail Technologies AB to a fellow group company in exchange for a loan note amounting to the original purchase consideration incurred, on the 1st January 2023 this resulted in a loan debtor of £14,546,085. This was later revalued to £14,299,316, and this amount along with accrued interest on this debt totalling £714,966, has been impaired to £0 on the basis that it is no longer considered recoverable. This also meant that the debtor and investment balance in the Company balance sheet have been impaired to £0 on the same basis.

 

From 1st January 2023, SilverRail Linkon UK Ltd continues to be a non-trading holding company with a non-trading subsidiary. The directors are currently reviewing the future strategy of the group following the divestment of SilverRail Technologies AB.

 

SilverRail Linkon UK Ltd has no dedicated staff or operations in the UK.

 

The Board aim to present a balanced and comprehensive review of the development and performance of the business during the period and its position at the reporting date. The review is consistent with the size and nature of the business and is written in the context of the risks and uncertainties faced.

Principal risks and uncertainties

The principal risks to the group are foreign currency risk, interest rate risk, credit risk and liquidity risk, all of these are discussed in the Directors’ Report. 

Key performance indicators

As the group is non trading the directors do not consider that there are any relevant key financial performance indicators to discuss.

 

In the prior year, key financial indicators were those that communicate the financial performance and strength of the group as a whole, these being turnover, gross profit, net profit before tax and net assets.

 

The group's key financial and other performance indicators during the prior year was as follows:

 

 

 

 

 

2023

 

2022

 

 

 

 

£

 

£

Turnover

 

 

 

0

 

20,765,576

Gross profit

 

 

0

 

18,378,060

Net profit before tax

 

 

(12,644,350)

 

8,867,092

Net assets

 

 

 

(1,514,246)

 

10,812,135

 

SILVERRAIL LINKON UK LTD
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 2 -
Going Concern

With the disposal of SilverRail Technologies AB on 1 January 2023, the group ceased trading as of this date.  Consequently, the financial statements have been prepared on a basis other than going concern.  The directors intend to dissolve the company.

On behalf of the Board

Mr. A Gowell
Director
25 March 2025
SILVERRAIL LINKON UK LTD
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023
- 3 -

The directors present their annual report and financial statements for the year ended 31 December 2023.

Principal activities

The group's principal activity during the year was that of a holding company of a non-trading group.

 

The group's principal activity in prior years was that of acting as an agent selling bespoke rail ticketing systems to the corporate sector.

Results and dividends

The results for the year 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 year and up to the date of signature of the financial statements were as follows:

Mr. A Gowell
Miss C R Thompson
Financial instruments
Treasury operations and Financial instruments

The group operates a treasury function which is responsible for managing the liquidity, interest and foreign currency risks associated with the group’s activities.

 

The group has various financial assets and liabilities such as intercompany debt arising from its investment and funding activities.

Financial instruments - Liquidity risk

The group manages its cash and borrowing requirements in order to maximise interest income and minimise interest expense, whilst ensuring the group has sufficient liquid resources to meet the needs of the business.

Interest rate risk

The group has no external borrowings and is therefore not subject to interest rate risk.

Foreign currency risk

The group’s principal foreign currency exposures arise from intercompany transactions with overseas companies, and from different functional currencies within the group. Group policy permits but does not demand that these exposures may be hedged in order to fix the cost in sterling.

Credit risk

Investments of cash surpluses, borrowings and derivative instruments are made through banks and companies which must fulfil credit rating criteria approved by the Board.

Auditor

The auditor, Benee Consulting Limited, is deemed to be reappointed under section 487(2) of the Companies Act 2006.

SILVERRAIL LINKON UK LTD
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 4 -
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.

 

The company has chosen in accordance with Companies Act 2006, s. 414C(11) to set out the company'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 future developments.

Exceptional items

On 1st January 2023 the group transferred its interest in its subsidiary SilverRail Technologies AB to a fellow group company for a loan note totalling £14,546,085, this was the value of the initial purchase price paid for the entity and resulted in the recognition of a gain totalling £1,812,141.

 

There have been no other significant events.

On behalf of the Board
Mr. A Gowell
Director
25 March 2025
SILVERRAIL LINKON UK LTD
DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2023
- 5 -

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.

SILVERRAIL LINKON UK LTD
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF SILVERRAIL LINKON UK LTD
- 6 -
Opinion

We have audited the financial statements of SilverRail Linkon UK Ltd (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2023 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, the company 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.

Preparation on a basis other than going concern

We draw attention to note 1.2 to the financial statements which explains that the directors do not expect the group to be able to meet its liabilities as they fall due and intend to liquidate the group and therefore do not consider it to be appropriate to adopt the going concern basis of accounting in preparing the financial statements. Accordingly the financial statements have been prepared on a basis other than going concern as described in note 1.2.

 

Our opinion is not modified in this respect of this matter

Other information

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

SILVERRAIL LINKON UK LTD
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF SILVERRAIL LINKON UK LTD
- 7 -
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.

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.

SILVERRAIL LINKON UK LTD
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF SILVERRAIL LINKON UK LTD
- 8 -

Extent to which the audit was considered capable of detecting irregularities, including fraud

Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above and on the Financial Reporting Council’s website, to detect material misstatements in respect of irregularities, including fraud.

 

We obtain and update our understanding of the entity, its activities, its control environment, and likely future developments, including in relation to the legal and regulatory framework applicable and how the entity is complying with that framework.  Based on this understanding, we identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion.  This includes consideration of the risk of acts by the entity that were contrary to applicable laws and regulations, including fraud.

 

In response to the risk of irregularities and non-compliance with laws and regulations, including fraud, we designed procedures which included:

 

 

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation.  This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance.  The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

Use of our 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.

Sarah Flint BSc FCA (Senior Statutory Auditor)
For and on behalf of Benee Consulting Limited
25 March 2025
Chartered Accountants
Statutory Auditor
48 Durrell Drive
Rugby
Warwickshire
CV22 7GW
SILVERRAIL LINKON UK LTD
GROUP PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31 DECEMBER 2023
- 9 -
2023
2022
Notes
£
£
Turnover
3
-
20,765,576
Cost of sales
-
0
(2,387,516)
Gross profit
-
18,378,060
Administrative expenses
(15,081,516)
(9,512,262)
Other operating expenses
(384)
(22,747)
Operating (loss)/profit
4
(15,081,900)
8,843,051
Interest receivable and similar income
8
714,972
156,387
Interest payable and similar expenses
9
(89,563)
(132,346)
Gain on disposal of a subsidiary
10
1,812,141
-
(Loss)/profit before taxation
(12,644,350)
8,867,092
Tax on (loss)/profit
11
466,001
(1,849,611)
(Loss)/profit for the financial year
28
(12,178,349)
7,017,481
(Loss)/profit for the financial year is all attributable to the owner of the parent company.

 

SILVERRAIL LINKON UK LTD
GROUP STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2023
- 10 -
2023
2022
£
£
(Loss)/profit for the year
(12,178,349)
7,017,481
Other comprehensive income
Currency translation (loss)/gain taken to retained earnings
(148,032)
50,251
Total comprehensive income for the year
(12,326,381)
7,067,732
Total comprehensive income for the year is all attributable to the owners of the parent company.
SILVERRAIL LINKON UK LTD
GROUP BALANCE SHEET
AS AT
31 DECEMBER 2023
31 December 2023
- 11 -
2023
2022
Notes
£
£
£
£
Fixed assets
Intangible assets
14
-
0
625,054
Current assets
Debtors
19
452,682
16,324,194
Cash at bank and in hand
122
10,878,226
452,804
27,202,420
Creditors: amounts falling due within one year
20
(1,967,050)
(16,887,355)
Net current (liabilities)/assets
(1,514,246)
10,315,065
Total assets less current liabilities
(1,514,246)
10,940,119
Creditors: amounts falling due after more than one year
21
-
(127,984)
Net (liabilities)/assets
(1,514,246)
10,812,135
Capital and reserves
Called up share capital
25
100
100
Share premium account
26
4,262,188
4,262,188
Other reserves
26
9,791,948
9,791,948
Profit and loss reserves
28
(15,568,482)
(3,242,101)
Total equity
(1,514,246)
10,812,135
The financial statements were approved by the board of directors and authorised for issue on 25 March 2025 and are signed on its behalf by:
25 March 2025
Mr. A Gowell
Director
SILVERRAIL LINKON UK LTD
COMPANY BALANCE SHEET
AS AT 31 DECEMBER 2023
31 December 2023
- 12 -
2023
2022
Notes
£
£
£
£
Fixed assets
Investments
16
-
0
9,453,864
Current assets
Debtors
19
-
0
6,546,391
Creditors: amounts falling due within one year
20
(1,939,242)
(1,887,181)
Net current (liabilities)/assets
(1,939,242)
4,659,210
Net (liabilities)/assets
(1,939,242)
14,113,074
Capital and reserves
Called up share capital
25
100
100
Share premium account
26
4,262,188
4,262,188
Other reserves
26
8,798,127
8,798,127
Profit and loss reserves
28
(14,999,657)
1,052,659
Total equity
(1,939,242)
14,113,074

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 year was £16,052,316 (2022 - £2,140,476 profit).

The financial statements were approved by the board of directors and authorised for issue on 25 March 2025 and are signed on its behalf by:
25 March 2025
Mr. A Gowell
Director
Company Registration No. 09346984
SILVERRAIL LINKON UK LTD
GROUP STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023
- 13 -
Share capital
Share premium account
Other reserves
Profit and loss reserves
Total
Notes
£
£
£
£
£
Balance at 1 January 2022
100
4,262,188
9,791,948
(7,979,333)
6,074,903
Year ended 31 December 2022:
Profit for the year
-
-
-
7,017,481
7,017,481
Other comprehensive income:
Currency translation differences
-
-
-
50,251
50,251
Total comprehensive income for the year
-
-
-
7,067,732
7,067,732
Dividends
12
-
-
-
(2,330,500)
(2,330,500)
Balance at 31 December 2022
100
4,262,188
9,791,948
(3,242,101)
10,812,135
Year ended 31 December 2023:
Loss for the year
-
-
-
(12,178,349)
(12,178,349)
Other comprehensive income:
Currency translation differences
-
-
-
(148,032)
(148,032)
Total comprehensive income for the year
-
-
-
(12,326,381)
(12,326,381)
Balance at 31 December 2023
100
4,262,188
9,791,948
(15,568,482)
(1,514,246)
SILVERRAIL LINKON UK LTD
COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023
- 14 -
Share capital
Share premium account
Other reserves
Profit and loss reserves
Total
Notes
£
£
£
£
£
Balance at 1 January 2022
100
4,262,188
8,798,127
1,242,683
14,303,098
Year ended 31 December 2022:
Profit and total comprehensive income for the year
-
-
-
2,140,476
2,140,476
Dividends
12
-
-
-
(2,330,500)
(2,330,500)
Balance at 31 December 2022
100
4,262,188
8,798,127
1,052,659
14,113,074
Year ended 31 December 2023:
Profit and total comprehensive income
-
-
-
(16,052,316)
(16,052,316)
Balance at 31 December 2023
100
4,262,188
8,798,127
(14,999,657)
(1,939,242)
SILVERRAIL LINKON UK LTD
GROUP STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2023
- 15 -
2023
2022
Notes
£
£
£
£
Cash flows from operating activities
Cash (absorbed by)/generated from operations
33
(15,024,027)
9,520,242
Interest paid
(89,563)
(132,346)
Income taxes paid
-
(1,137,058)
Net cash (outflow)/inflow from operating activities
(15,113,590)
8,250,838
Investing activities
Proceeds of disposal of business
14,546,085
-
Interest received
714,972
156,387
Net cash generated from investing activities
15,261,057
156,387
Financing activities
Dividends paid
-
(2,330,500)
Net cash used in financing activities
-
(2,330,500)
Net increase in cash and cash equivalents
147,467
6,076,725
Cash and cash equivalents at beginning of year
10,878,226
4,726,059
Cash disposed off on disposal of subsidiary
(10,877,543)
Effect of foreign exchange rates
(148,028)
75,442
Cash and cash equivalents at end of year
122
10,878,226
SILVERRAIL LINKON UK LTD
COMPANY STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2023
- 16 -
2023
2022
Notes
£
£
£
£
Cash flows from operating activities
Cash absorbed by operations
34
(245,363)
(236,365)
Interest paid
(89,563)
(132,303)
Net cash outflow from operating activities
(334,926)
(368,668)
Investing activities
Interest received
334,926
368,668
Dividends received
-
0
2,330,500
Net cash generated from investing activities
334,926
2,699,168
Financing activities
Dividends paid to equity shareholders
-
(2,330,500)
Net cash used in financing activities
-
(2,330,500)
Net increase in cash and cash equivalents
-
-
Cash and cash equivalents at beginning of year
-
0
-
0
Cash and cash equivalents at end of year
-
0
-
0
SILVERRAIL LINKON UK LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
- 17 -
1
Accounting policies
Company information

SilverRail Linkon UK Ltd (“the company”) is a private limited company domiciled and incorporated in England and Wales. The registered office is 2 Minton Pace, Victoria Road, Bicester, Oxfordshire, OX26 6QB. The trading premises of the business is Second Floor Offices, 27 Maiden Lane, London WC2E 7JS.

 

The group consists of SilverRail Linkon UK Ltd and all of its subsidiaries.

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 company. Monetary amounts in these financial statements are rounded to the nearest £.

 

The functional currency of the subsidiaries is the Swedish Kroner. All balances have been translated into Sterling for the purposes of consolidation.

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

The parent company is Silverrail Technologies, Inc. a company registered in the United States of America. The registered office is 4th Floor, 90 Canal Street, Boston, Massachussetts, 02114, USA.

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.

1.3
Basis of consolidation

The consolidated group financial statements consist of the financial statements of the parent company SilverRail Linkon UK Ltd 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 31 December 2023. 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.

SILVERRAIL LINKON UK LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 18 -

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

1.4
Going concern

With the disposal of SilverRail Technologies AB on 1 January 2023, the group ceased trading as of this date.  Consequently, the financial statements have been prepared on a basis other than going concern.  The directors intend to dissolve the company.

1.5
Turnover

In prior years, the group recognised turnover from the sale of rail ticketing and related services.  Turnover was recognised when control of the services was transferred to the customer at an amount that reflects the consideration to which the group expected to be entitled in exchange for those services.

Turnover was measured at the fair value of the contractual consideration received or receivable and represents amounts receivable for services in the normal course of business during the accounting period. 

Turnover was recognised net of discounts, value added tax, and other sales related taxes and is measured as the aggregate amount earned from rail ticketing and related services.

Other income

 

Dividend income from investments is recognised when the shareholder's right to receive payment has been established.

 

Interest income is recognised when it is probable that the economic benefits will flow to the company and the amount of revenue can be measured reliably. Interest income is accrued on a time basis, by reference to the principal outstanding and the effective interest rate applicable.

1.6
Intangible fixed assets - goodwill

Goodwill represents the excess of the cost of acquisition of a business over the fair value of net assets 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 5 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.

1.7
Fixed asset investments

Fixed asset investments are stated at cost less provision for diminution in value.

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.

SILVERRAIL LINKON UK LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
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.

1.8
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.

1.9
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.

SILVERRAIL LINKON UK LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 20 -
1.10
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.

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.

SILVERRAIL LINKON UK LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 21 -
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.

Derecognition of financial liabilities

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

1.11
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.

1.12
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.

 

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 if, and only if, there is 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.

1.13
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.

SILVERRAIL LINKON UK LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 22 -
2
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.

Capitalisation of development expenditure

Impairment of investments has been assessed based on the recoverable amounts in the company's non-trading and only subsidiary.

3
Turnover and other revenue
2023
2022
£
£
Turnover analysed by class of business
Hosting and licenses
-
11,245,797
Maintenance
-
1,042,502
Ticketing
-
2,685,471
Commission
-
2,194,912
Ancillary revenue
-
3,596,894
-
20,765,576
2023
2022
£
£
Turnover analysed by geographical market
Sweden
-
18,258,690
Rest of Europe
-
1,004,813
Rest of World
-
1,502,073
-
20,765,576
2023
2022
£
£
Other revenue
Interest income
714,972
156,387
Gain on disposal of a subsidiary
1,812,141
-
Grants received
-
(22,747)
SILVERRAIL LINKON UK LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 23 -
4
Operating (loss)/profit
2023
2022
£
£
Operating (loss)/profit for the year is stated after charging/(crediting):
Exchange (gains)/losses
(13,496)
546,196
Government grants
-
22,747
Depreciation of owned tangible fixed assets
-
3,182
Amortisation of intangible assets
-
166,669
Operating lease charges
-
911,657
5
Auditor's remuneration
2023
2022
Fees payable to the company's auditor and associates:
£
£
For audit services
Audit of the financial statements of the group and company
22,723
25,065
Audit of the financial statements of the company's subsidiaries
22,230
61,666
44,953
86,731
6
Employees

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

Group
Company
2023
2022
2023
2022
Number
Number
Number
Number
Product
-
10
-
-
Commercial
-
10
-
-
Finance
-
6
-
-
Technology
-
10
-
-
Human Resources / administration
-
1
-
-
Development / projects
-
23
-
-
Marketing
-
1
-
-
Total
-
61
-
0
-
0
SILVERRAIL LINKON UK LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
6
Employees
(Continued)
- 24 -

Their aggregate remuneration comprised:

Group
Company
2023
2022
2023
2022
£
£
£
£
Wages and salaries
-
0
3,195,205
-
0
-
0
Social security costs
-
969,349
-
-
Pension costs
-
0
663,284
-
0
-
0
-
0
4,827,838
-
0
-
0

As a result of the disposal of the company's manufacturing operations, there were no staff or related costs in the year.

7
Directors' remuneration

The directors of Silverrail Linkon UK Ltd who served during the year, were also the directors or officers of a number of other group companies. As such, directors' services to the Silverrail Linkon UK Ltd group are incidental to duties as directors and officers of those other group companies. Therefore, there is no remuneration to be disclosed for the directors for the current or prior year.

8
Interest receivable and similar income
2023
2022
£
£
Interest income
Interest on bank deposits
6
54,641
Interest receivable from group companies
714,966
101,746
Total income
714,972
156,387
2023
2022
Investment income includes the following:
£
£
Interest on financial assets not measured at fair value through profit or loss
714,972
156,387

In the prior year, interest receivable from group undertakings was charged at 5% per annum.

9
Interest payable and similar expenses
2023
2022
£
£
Interest on financial liabilities measured at amortised cost:
Interest payable to group undertakings
89,563
132,303
Other finance costs:
Other interest
-
43
Total finance costs
89,563
132,346
SILVERRAIL LINKON UK LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
9
Interest payable and similar expenses
(Continued)
- 25 -

Interest payable to group undertakings is charged at 5% per annum.

10
Amounts written off investments
2023
2022
£
£
Gain on disposal of a subsidiary
1,812,141
-
11
Taxation
2023
2022
£
£
Current tax
Adjustments in respect of prior periods
(466,001)
-
0
Foreign current tax on profits for the current period
-
0
1,849,611
Total current tax
(466,001)
1,849,611

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

2023
2022
£
£
(Loss)/profit before taxation
(12,644,350)
8,867,092
Expected tax (credit)/charge based on the standard rate of corporation tax in the UK of 23.52% (2022: 19.00%)
(2,973,951)
1,684,747
Tax effect of expenses that are not deductible in determining taxable profit
3,531,359
5,387
Tax effect of income not taxable in determining taxable profit
(427,495)
-
Tax effect of utilisation of tax losses not previously recognised
(108,077)
-
0
Unutilised tax losses carried forward
-
36,149
Group relief
(487,837)
-
0
Effect of overseas tax rates
-
0
145,367
Foreign exchange differences
-
0
(22,039)
Taxation (credit)/charge
(466,001)
1,849,611

The main rate of corporation tax in the UK increased from 19% to 25% which became effective from the 1st April 2023.

 

Deferred tax has been measured using the tax rates that are enacted and expected to apply to the reversal of the timing difference.

 

At the reporting date the company had an unrecognised deferred tax asset totalling £0, (2022: £47,506).

SILVERRAIL LINKON UK LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 26 -
12
Dividends
2023
2022
Recognised as distributions to equity holders:
£
£
Final paid
-
2,330,500
13
Impairments

Impairment tests have been carried out where appropriate and the following impairment losses have been recognised in profit or loss:

2023
2022
Notes
£
£
In respect of:
Debtors - amounts due from group companies
19
15,014,283
-
Recognised in:
Administrative expenses
15,014,283
-
14
Intangible fixed assets
Group
Goodwill
Assets under construction
Development costs
Total
£
£
£
£
Cost
At 1 January 2023
2,074,959
120,566
25,904,046
28,099,571
Disposals - business restructure
-
0
(120,566)
(25,904,046)
(26,024,612)
At 31 December 2023
2,074,959
-
0
-
0
2,074,959
Amortisation and impairment
At 1 January 2023
2,074,959
-
0
25,399,558
27,474,517
Disposals - business restructure
-
0
-
0
(25,399,558)
(25,399,558)
At 31 December 2023
2,074,959
-
0
-
0
2,074,959
Carrying amount
At 31 December 2023
-
0
-
0
-
0
-
0
At 31 December 2022
-
0
120,566
504,488
625,054
The company had no intangible fixed assets at 31 December 2023 or 31 December 2022.
SILVERRAIL LINKON UK LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 27 -
15
Tangible fixed assets
Group
£
Cost
At 1 January 2023
273,353
Disposals - business restructure
(273,353)
At 31 December 2023
-
0
Depreciation and impairment
At 1 January 2023
(273,353)
Disposals - business restructure
273,353
At 31 December 2023
-
0
Carrying amount
At 31 December 2023
-
0
The company had no tangible fixed assets at 31 December 2023 or 31 December 2022.
16
Fixed asset investments
Group
Company
2023
2022
2023
2022
Notes
£
£
£
£
Investments in subsidiaries
17
-
0
-
0
-
0
9,453,864
Movements in fixed asset investments
Company
Shares in subsidiaries
£
Cost or valuation
At 1 January 2023 and 31 December 2023
9,453,864
Impairment
At 1 January 2023
-
Impairment losses
9,453,864
At 31 December 2023
9,453,864
Carrying amount
At 31 December 2023
-
At 31 December 2022
9,453,864
17
Subsidiaries

Details of the company's subsidiaries at 31 December 2023 are as follows:

SILVERRAIL LINKON UK LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
17
Subsidiaries
(Continued)
- 28 -
Name of undertaking
Registered office
Nature of business
Class of
% Held
shares held
Direct
Silverrail Linkon AB
2 Minton Place, Victoria Road, Bicester. OX26 6QB
Holding company
Ordinary
100.00

In the company balance sheet the investments in subsidiaries are all stated at cost less impairment.

18
Financial instruments
Group
Company
2023
2022
2023
2022
£
£
£
£
Carrying amount of financial assets
Debt instruments measured at amortised cost
452,682
16,313,605
-
6,546,391
Carrying amount of financial liabilities
Measured at amortised cost
1,967,050
16,515,776
1,939,242
1,887,181
19
Debtors
Group
Company
2023
2022
2023
2022
Amounts falling due within one year:
£
£
£
£
Trade debtors
-
0
1,829,313
-
0
-
0
Amounts owed by group undertakings
452,682
4,059,794
-
-
Other debtors
-
10,248,699
-
0
-
0
Prepayments and accrued income
-
0
186,388
-
0
-
0
452,682
16,324,194
-
-
Amounts falling due after more than one year:
Amounts owed by group undertakings
-
-
-
6,546,391
Total debtors
452,682
16,324,194
-
6,546,391

Amounts due from group undertakings are unsecured and repayable on demand.

 

Group:

At the balance sheet date £15,014,283 resulting from amounts due from group undertakings was impaired on the basis that it was considered irrecoverable.

 

Company:

At the balance sheet date £9,453,864 resulting from amounts due from group undertakings was impaired on the basis that it was considered irrecoverable.

SILVERRAIL LINKON UK LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 29 -
20
Creditors: amounts falling due within one year
Group
Company
2023
2022
2023
2022
£
£
£
£
Trade creditors
-
0
12,629,862
-
0
2,580
Amounts owed to group undertakings
1,912,187
1,861,894
1,890,223
1,839,957
Corporation tax payable
-
0
499,563
-
0
-
0
Other creditors
-
0
1,111,734
-
0
-
0
Accruals
54,863
784,302
49,019
44,644
1,967,050
16,887,355
1,939,242
1,887,181

Amounts due to group undertakings are unsecured and repayable on demand.

21
Creditors: amounts falling due after more than one year
Group
Company
2023
2022
2023
2022
£
£
£
£
Other creditors
-
0
127,984
-
0
-
0
22
Deferred taxation
The group and company have no recognised deferred tax assets or liabilities.
23
Retirement benefit schemes
2023
2022
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
-
663,284

In prior periods, a defined contribution pension scheme was operated for all qualifying employees. The assets of the scheme are held separately from those of the group in an independently administered fund.

At the reporting date the group had accrued pension liabilities totalling £nil (2022: £127,756).

SILVERRAIL LINKON UK LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 30 -
24
Share-based payment transactions

In prior periods, the company's immediate controlling party SilverRail Technologies, Inc. offered a stock option plan to the employees of SilverRail Linkon UK Limited and its subsidiaries.

 

Following the disposal of the company's only operating subsidiary on 1st January 2023, there are no longer any employees and therefore there is no share based payment expense recognised in Profit and Loss, (2022: £0).

 

During the prior year no options were granted. The total options outstanding at the prior reporting date was 2,170,000, of which 2,170,000 had vested.

 

These financial statements depart from the requirements of the FRS in that the company has not disclosed information relating to Section 26 'Share Based Payments', paragraphs 26.18(b), 26.19-26.21 and 26.23. Management have concluded that the financial statements prepared provide a true and fair view of the business.

 

25
Share capital
Group and company
2023
2022
2023
2022
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
100
100
100
100
26
Share premium account
Group
Company
2023
2022
2023
2022
£
£
£
£
At the beginning and end of the year
4,262,188
4,262,188
4,262,188
4,262,188

Share premium represents the premium arising on issue of equity shares, net of issue costs.

27
Equity reserve
Group
Company
2023
2022
2023
2022
£
£
£
£
At the beginning and end of the year
9,791,948
9,791,948
8,798,127
8,798,127

The equity reserve represents contributions awarded to the company from its parent and former ultimate parent.

SILVERRAIL LINKON UK LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 31 -
28
Profit and loss reserves
Group
Company
2023
2022
2023
2022
£
£
£
£
At the beginning of the year
(3,242,101)
(7,979,333)
1,052,659
1,242,683
Profit/(loss) for the year
(12,178,349)
7,017,481
(16,052,316)
2,140,476
Dividends
-
(2,330,500)
-
(2,330,500)
Currency translation differences
(148,032)
50,251
-
0
-
0
At the end of the year
(15,568,482)
(3,242,101)
(14,999,657)
1,052,659
29
Disposals

On 1 January 2023 the group disposed of its 100% holding in SilverRail Technologies AB.

Net assets disposed of
£
Cash and cash equivalents
10,877,543
Intangible assets
625,054
Trade and other receivables
16,324,194
Trade and other payables
(14,593,283)
Tax liabilities
(499,563)
12,733,945
Gain on disposal
1,812,140
Total consideration
14,546,085
The consideration was satisfied by:
£
Loan notes
14,546,085
30
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
2023
2022
2023
2022
£
£
£
£
Within one year
-
332,661
-
-
Between two and five years
-
1,032,058
-
-
-
1,364,719
-
-
SILVERRAIL LINKON UK LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 32 -
31
Related party transactions

The group has taken advantage of the exemption available per paragraph 33.1A of FRS 102 whereby it has not disclosed transactions with the parent company or any wholly owned subsidiary undertaking of the group.

32
Controlling party

The parent company is SilverRail Technologies, Inc. a company incorporated in the U.S.A, by virtue of their 100% shareholding.

 

The ultimate controlling party is A Gowell and C Jones, by virtue of their majority ownership of SilverRail Technologies, Inc.

33
Cash (absorbed by)/generated from group operations
2023
2022
£
£
(Loss)/profit for the year after tax
(12,178,349)
7,017,481
Adjustments for:
Taxation (credited)/charged
(466,001)
1,849,611
Finance costs
89,563
132,346
Investment income
(714,972)
(156,387)
Gain on disposal of subsidiary
(1,812,141)
-
Amortisation and impairment of intangible assets
-
166,669
Depreciation and impairment of tangible fixed assets
-
3,182
Other adjustments to intangible assets
-
2,474
Transfer of tax losses to group companies
466,001
-
Movements in working capital:
Increase in debtors
(452,685)
(2,675,634)
Increase in creditors
44,557
3,202,602
Decrease in deferred income
-
(19,628)
Cash (absorbed by)/generated from operations
(15,024,027)
9,522,716
SILVERRAIL LINKON UK LTD
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 33 -
34
Cash absorbed by operations - company
2023
2022
£
£
(Loss)/profit for the year after tax
(16,052,316)
2,140,476
Adjustments for:
Finance costs
89,563
132,303
Investment income
(334,926)
(2,699,168)
Impairment of investments
9,453,864
-
Movements in working capital:
Decrease in debtors
6,546,391
1,160,913
Increase/(decrease) in creditors
52,061
(970,889)
Cash absorbed by operations
(245,363)
(236,365)
35
Analysis of changes in net funds - group
1 January 2023
Cash flows
31 December 2023
£
£
£
Cash at bank and in hand
10,878,226
(10,878,104)
122
36
Analysis of changes in net funds - company
1 January 2023
31 December 2023
£
£
Cash at bank and in hand
-
-
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