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Registered number: 10238654












BLICK ROTHENBERG LIMITED
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024

 

BLICK ROTHENBERG LIMITED

CONTENTS



Page
Company information
 
1
Directors' report
 
2 - 3
Directors' responsibilities statement
 
4
Strategic report
 
5 - 11
Independent auditor's report
 
12 - 15
Profit and loss account
 
16
Balance sheet
 
17
Statement of changes in equity
 
18
Notes to the financial statements
 
19 - 39


 

BLICK ROTHENBERG LIMITED
 
COMPANY INFORMATION


Directors
J Brown 
J Filley 
M Pandya (resigned 31 August 2023)
N Shah 
T Hunter (resigned 2 September 2024)




Registered number
10238654



Registered office
16 Great Queen Street
Covent Garden

London

WC2B 5AH




Independent auditor
Ernst & Young LLP

City Gate

St James' Blvd

Newcastle upon Tyne

NE1 4JD




Page 1

 

BLICK ROTHENBERG LIMITED

DIRECTORS' REPORT
FOR THE YEAR ENDED 30 JUNE 2024

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

Results and dividends

The profit for the year, after taxation, amounted to £20.3m (2023 - £14.8m).

These figures exclude our associated audit practice revenues which are recorded in Blick Rothenberg Audit LLP and equate to £30.1m (2023: £22.4m). Combined revenues of Blick Rothenberg Limited and Blick Rothenberg Audit LLP are £106.9m (2023: £96.3m).
Dividend declared and paid for the year ended 30 June 2024 is £8.5m (2023: £nil).

Directors

J Brown 
J Filley 
M Pandya (resigned 31 August 2023) 
N Shah 
T Hunter 

Post year-end T Hunter resigned as a director on 2 September 2024.

Employee Consultation and communications

Consultation with our people or their representatives has continued at all levels, with the aim of ensuring that their views are taken into account when decisions are made that are likely to affect their interests and that all employees are aware of the financial and economic performance of their business units and of the Company as a whole. Communication continues through regular briefing of all our people at all levels, publications of articles on the Company’s intranet and holding of site-based update meetings.
During the year, we have implemented a Shadow Board comprised of colleagues across Blick Rothenberg to provide a sounding board for the Leadership Team (LT) on strategic issues, and to challenge and support the development of the firm’s strategy.

Disabled persons

Consultation with our people or their representatives has continued at all levels, with the aim of ensuring that their views are taken into account when decisions are made that are likely to affect their interests and that all employees are aware of the financial and economic performance of their business units and of the Company as a whole. Communication continues through regular briefing of all our people at all levels, publications of articles on the Company’s intranet and holding of site-based update meetings. There is a specific employee network, BRidge Network, whose key objectives include working with other networks to ensure the Company becomes fully inclusive.

Matters covered in the Strategic report

As permitted by Section 414c(11) of the Companies Act 2006, the directors have elected to disclose information, required to be in the director’s report by Schedule 7 of the “Large and Medium Sized Companies and Groups (Accounts and Reports) Regulations 2008”, in the strategic report.

Page 2

 

BLICK ROTHENBERG LIMITED

DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024

Disclosure of information to auditor

Each of the persons who are directors at the time when this directors' report is approved has confirmed that:
 
so far as the director is aware, there is no relevant audit information of which the Company's auditor is unaware, and

the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company's auditor is aware of that information.

Going concern

The financial statements have been prepared on a going concern basis.
In making their assessment of going concern, the Directors have considered the Company's current and future prospects taking into consideration the current trading environment. The ongoing impact of the cost of living crisis within the UK has been considered and the impact of which is considered to be limited in terms of client failure on non-payment.
As set out in note 2, the results of the base case scenario considered by the Directors in their assessment of going concern supports that the Company can continue to pay its liabilities as they fall due for the period ending 31 March 2026. Further in doing so, the Directors have obtained written confirmation from Azets Opco Limited that it will provide financial support to the Company for a period of 12 months from the approval of the financial statements to assist in meeting the Company's liabilities as and when they fall due to the extent that it is not available from its existing resources.

The auditor, Ernst & Young LLPwill be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

This report was approved by the board and signed on its behalf.
 





N Shah
Director

Date: 27 March 2025

Page 3

 

BLICK ROTHENBERG LIMITED
 
DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 30 JUNE 2024

The directors are responsible for preparing the strategic report, the directors' 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. 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 Company and of the profit or loss of the Company for that period.

 In preparing these financial statements, the directors are required to:

select suitable accounting policies for the Company's financial statements and then apply them consistently;

make judgements  and accounting estimates that are reasonable and prudent;

state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;

prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the Company's transactions and disclose with reasonable accuracy at any time the financial position of the Company and to enable them to ensure that the financial statements comply with the Companies Act 2006They are also responsible for safeguarding the assets of the Company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Page 4

 

BLICK ROTHENBERG LIMITED
 
STRATEGIC REPORT
FOR THE YEAR ENDED 30 JUNE 2024

Introduction
 
The directors present their strategic report for the year ended 30 June 2024.

Principal activities
 
Blick Rothenberg Limited provides accounting, taxation and advisory services. It has a diverse UK corporate practice with a strong reputation for advising entrepreneurs, owner managed businesses and large international businesses along with a market leading inward investment practice supporting overseas businesses seeking to grow in the UK and beyond. The technically outstanding and client focussed private client practice delivers tailored proactive advice and solutions. Through its International Outsourcing division, it also delivers a leading multi-lingual financial outsourcing solution to UK businesses and those expanding internationally. Blick Rothenberg Audit LLP, an affiliated group company, provides audit and other regulated services to clients. Blick Rothenberg Limited provides infrastructure and staffing to Blick Rothenberg Audit LLP.

Business review and financial key performance indicators

During the year to 30 June 2024 Blick Rothenberg Limited recorded turnover of £76.7m and an operating profit of £16.1m compared to £73.8m and £13.6m during the prior year.  The key indicator of overall profitability is considered to be earnings before interest, tax, depreciation and amortisation margin (EBITDA margin %) which at 29.7% (2023: 27.5%) for the year under review was in line with the directors’ expectations. 
Other key performance indicators focus on utilisation of our people and the recovery of chargeable time which are monitored and internally reported regularly. In addition, the directors monitor liquidity at least monthly by reviewing budgets and rolling cash flow forecasts. Working capital management is another key focus for management. Lockup, a measure of the days of sales in debtors and activity in work in progress, is reviewed monthly. Many of the key performance indicators monitored also include the audit business reflected in the financial statements of Blick Rothenberg Audit LLP. 
  
Future outlook

The Company has performed well financially throughout the year. Including Blick Rothenberg LLP, we have seen strong growth in our revenues of 11% in the year and have invested heavily in our people to set us up for future growth in the coming year. Progress continues within our five pathway pillars being Ambitious growth, Talented Smart People, Personalised Client Service, Operational Excellence and Effective Technology.
  
Blick Rothenberg and its parent group, Azets, will continue to invest in both its people and technology to provide high quality, high value services to clients.
On 31 October 2023, the Group announced that PAI Partners a pre-eminent private equity firm, has joined the business as a new investor of Azets. PAI hold a stake in Azets alongside Hg, a leading investor in European and transatlantic software and services businesses.
                                                                                                                                                                             
 
Page 5

 

BLICK ROTHENBERG LIMITED

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024

Principal risks and uncertainties

Financial risks
 
The Company has a broad and diversified client base. The Company’s credit risk is primarily attributable to its trade receivables. There is no significant concentration of credit risk, with exposure spread over many customers and market segments. The Company’s clients are invoiced in sterling and most of the Company’s suppliers are based in the UK so there is no significant foreign currency exposure in the Company. Lockup and liquidity are monitored and closely managed.

Recruitment and Retention of key people

The Company aims to retain its existing people whilst also attracting new hires through school leaver and graduate recruitment and strategic senior hires. The number of school leavers recruited in 2024 was 9 (2023: 9), and the number of graduates recruited in 2024 was 76 (2023: 42).  Staff retention is actively managed through training, development and reward. Considerable senior management time is devoted to attracting new hires to help deliver growth and service new clients. Regular feedback is collected from colleagues at Blick Rothenberg through regular surveys and action plans are established by management.
 
Reputational risk

The directors place upmost emphasis on protecting the reputation of the business. Procedures are in place in relation to accepting new clients and engagements, review of professional standards in service delivery and compliance with relevant regulations including areas such as anti-money laundering and client money. Ongoing reviews of the engagement processes are undertaken to ensure that the business continues to mitigate reputational risks around new clients.  


Data Capability and Management risk
 
The Company continues to focus on data as an asset and an enabler for growth. There is a newly created Data Governance Board at group level that the business engages with to monitor risks, opportunities and actions (including data cleansing activities). 

Information / Cyber Security:
The Company is committed to maintaining security of its internal and client data. Information security risk and the risk of a cyber-attack (for example, malware, phishing, ransomware, denial of service) continues to feature as a key risk for the business. All of our people are required to complete a programme of mandatory cyber security training and will be trained as part of their induction. This training, along with ongoing communication and testing, supports awareness and their need to report potential issues; for example, phishing attacks have been spotted, reported and dealt with appropriately.

Macro Environment / Geo Political:

With macro-economic changes (high interest rates and inflation) and geo-political instability, the Company continues to monitor direct and indirect impacts and risk exposure. The Company continues to immediately disengage from any sanctioned individuals or businesses. 
 At the date of signing these statements, the Directors of the firm continue to monitor the client base for risk and take appropriate action to mitigate that risk.
 
Page 6

 

BLICK ROTHENBERG LIMITED

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024

Section 172
The following describes how we have engaged with and considered the interests of our key stakeholders when exercising our duty to promote the success of the Company under section 172(1) of the Companies Act 2006.

These principles are driven by the leadership team and are embedded throughout the Blick Rothenberg business. 

Our key stakeholders
The Directors and leadership team are responsible for managing the business and the strategic success of the company. The Directors adopts the behavioural standards and values of the company in relation to all of its stakeholders.

The following section sets out the key stakeholder groups that we have and the ways that we engage with them to ensure we have a good understanding of their needs, their views and to ensure that the consequences of leadership decisions are thoroughly considered.
Our People
 
The Directors recognise that our people have a major part to play in the success of the company and is keen to ensure high levels of our people engagement. Regular and open feedback is obtained from all of our people through the “Your Voice” employee survey. Topics include wellbeing, job satisfaction, connection to the company, peer relationships and workload. The surveys are open throughout the company, but the results are filtered and made available to the managers of the company. People managers and senior leaders are actively encouraged to review scores and comments made in the survey, and then make positive changes. Generally we have continued to see improvement for people satisfaction since introducing Your Voice.

Consultation with our people or their representatives has continued at all levels, with the aim of ensuring that their views are taken into account when decisions are made that are likely to affect their interests and that all employees are aware of the financial and economic performance of their business units and of the Company as a whole. 

Communication with all of our people continues through regular briefing at all levels (BRief), publications of articles on the Company’s intranet, holding of site-based update meetings and formal arrangements with recognised professional bodies.

The Directors recognise that it is important people feel able to raise concerns about conduct or ethical practices in a manner which they feel is safe and secure, a process which is aligned to the ICAEW regulated status of the company. We have encouraged a culture of openness and people are aware that they will be supported on any such issues.  This is demonstrated through the various Employee Resource Groups in place such as our Women’s Network, our emBRace Network (Blick Rothenberg Acknowledges and Values Ethnicity), our Rainbow Network (LGBT+) and BRidge Network (inclusive Disability Group).
During the year, the Company has extended its two-way communication with its people with the formation of the Shadow Board. The Shadow Board is made of cross service representatives who work with the Leadership Team on certain people and other business matters.
Group Stakeholders
 
As part of a group, the Directors consider the views of its parent and the interests of the group as part of any major decisions made by the company. There is an ongoing dialogue with the stakeholders on a range of subjects and regular meetings are held with relevant group individuals.
 
Page 7

 

BLICK ROTHENBERG LIMITED

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024

External & Community impacts
 
The company inevitably impacts the areas in which it works, both economically, bringing work to the region, and environmentally. Within this report is a separate Energy and Carbon report in relation to the environmental impact. 

Charity initiatives are particularly popular across the company, with local, regional and national events regularly happening through the year with much engagement from people.
Our chosen charity of the year, The Connection at St Martins, received donations of circa £18,000 from our People and the Company during the period ending 30th June 2024.  These donations were raised via numerous fundraising initiatives arranged by the firm's Charity Group.
Clients
 
The company is committed to ensuring that all clients are treated fairly and that any conflicts of interest are highlighted and mitigated.

Our clients are obviously essential to our future and we strive to ensure that we maintain a high level of service to our clients and always strive to do the right thing. Any conflicts between staff and clients are managed via an internal self-reporting process that all staff are informed of. We ensure that our staff have adequate training and support to ensure that they are best placed to serve our clients.

Suppliers
 
The company carries out regular due diligence with new suppliers and existing ones, checking that slavery and human trafficking is not taking place in any of its supply chains or any part of its business. Suppliers are required to comply with the Modern Slavery Act. A centralised procurement function was established during the prior year as part of the group transformation. However, we also continue to use local businesses to supply goods and services. Local suppliers, where appropriate, are preferred and further work has been taken in the year to ensure we are working with ethically minded suppliers and those that hold similar principles to us.

We strive to ensure that our suppliers are also treated with respect and fairly to encourage a strong relationship.

Regulators
 
We seek to maintain a constructive and co-operative relationship with the bodies that authorise and regulate our business activities. This ensures that we strive to maintain a reputation for high standards of business conduct.

We always look to comply with all applicable laws and regulations and have put in place the right level of resource, controls and checks to ensure that we remain compliant. Any known breaches are, where appropriate, reported and dealt with in a timely manner. 
Page 8

 

BLICK ROTHENBERG LIMITED

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024

Streamlined Energy and Carbon Reporting (SECR)
Company Information
 
Blick Rothenberg, is a large enterprise, qualifying for SECR reporting with the number of employees in excess of 250, and a turnover in excess of £36m.
The Company is incorporated in the UK under the name Blick Rothenberg Ltd, having Company number 10238654, with a registered address at 16 Great Queen Street, London, WC2B 5AH.
The organisational boundary for the purposes of SECR reporting is the extent of financial control of the Company across the mandatory scope 1, 2 and 3 emissions.
Environmental Intentions

The company recognises the global challenges presented by climate change and is driven to continuously develop operations to reduce our impact on the environment.

Environmental Approach

During the last year, Blick Rothenberg has continued to probe opportunities to reduce emissions at the central office. This has included adjusting air conditioning to core hours rather than 24 hours, reducing screen saver timings, adding sensor taps in all kitchens and the introduction of more efficient photocopiers. The impact of these changes has meant that despite a 10% increase in staff numbers, office emissions are broadly the same as last year. In addition to our emission reductions, we have ensured that all electricity purchased is 100% renewable which will reduce our market based emissions for electricity down to zero. Finally, we have continued to invest in better data, installing water meters to monitor consumption and enhancing separation of our office waste to help recycling opportunities. We continue to work with an eco companion business, Pawprint, with the aim of continually identifying opportunities to become a more sustainable business.  

 
Page 9

 

BLICK ROTHENBERG LIMITED

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024

Our Commitments:

In the year ahead, Blick Rothenberg will seek to drive the projects that have been successfully implemented over the last 12 months and continue to review operations and practices to identify further opportunities to minimise our impact on the environment.
 
Environmental Impact Reporting


The company’s greenhouse gas emissions and energy consumption is reported in tonnes of carbon dioxide equivalent (tCO2e) and is broken down as follows:
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Page 10

 

BLICK ROTHENBERG LIMITED

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024

Assessment parameters
The methodology used to calculate the GHG emissions is in accordance with the requirements of the following standards:
• World Resources Institute (WRI) Greenhouse Gas (GHG) Protocol (revised version).
• Defra’s Environmental Reporting Guidelines: Streamlined Energy and Carbon Reporting Requirements (March 2019).
• UK emissions have been calculated using the 2024 UK Government GHG Conversion Factors for Company Reporting.
The organisational boundary covers all emissions where Blick Rothenberg have operational control. This SECR includes the statutory areas required under legislation and is location-based reporting.
The reporting period is 1st July 2023 – 30th June 2024.







.


N Shah
Director

Date: 27 March 2025

Page 11

 

BLICK ROTHENBERG LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BLICK ROTHENBERG LIMITED
 FOR THE YEAR ENDED 30 JUNE 2024

Opinion


We have audited the financial statements of Blick Rothenberg Limited (the 'Company') for the year ended 30 June 2024, which comprise the profit and loss account, the balance sheet, the statement of changes in equity and the related notes 1 to 28, including a summary of significant accounting policiesThe financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).


In our opinion the financial statements:


give a true and fair view of the state of the Company's affairs as at 30 June 2024 and of its profit for the year then ended;
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
have been prepared in accordance with the requirements of the Companies Act 2006.


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 Company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council'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 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.


Page 12

 

BLICK ROTHENBERG LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BLICK ROTHENBERG LIMITED (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024

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 reportOur opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in this 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 the audit:


the information given in the strategic report and the directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the strategic report and the directors' report have been prepared in accordance with applicable legal requirements.


Matters on which we are required to report by exception
 

In the light of the knowledge and understanding of the Company and its 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:


adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
the financial statements are not in agreement with the accounting records and returns; or
certain disclosures of directors' remuneration specified by law are not made; or
we have not received all the information and explanations we require for our audit.


Responsibilities of directors
 

As explained more fully in the directors' responsibilities statement set out on page 4, 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 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 Company or to cease operations, or have no realistic alternative but to do so.


Page 13

 

BLICK ROTHENBERG LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BLICK ROTHENBERG LIMITED (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024

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.


Explanation as to what extent 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, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
 
We obtained an understanding of the legal and regulatory frameworks that are applicable to the Company and determined that the most significant are those that relate to the reporting framework, FRS 102, the Companies Act 2006, ICAEW regulations, Anti-money laundering legislation and the relevant tax laws and regulations in the UK. In addition, we concluded that there are certain significant laws and regulations which may have an effect on the determination of the amounts and disclosures in the financial statements relating to health and safety, employee matters and data protection.

We understood how the Company is complying with those frameworks by making enquiries of management and those charged with governance. We corroborated our enquiries through our review of board minutes and consideration of the results of our audit procedures across the Company.

We assessed the susceptibility of the company’s financial statements to material misstatement, including how fraud might occur by considering the risk of management override and by assuming revenue to be a fraud risk. We identified the value ascribed to the recognition and valuation of work-in-progress (WIP) which directly impacts revenue as a specific revenue recognition risk. As the most likely source of fraud, to address this risk we tested, on a sample basis, specific transactions impacting WIP to source documentation, performed procedures to validate the reasonableness of adjustments made to reflect the expected recovery of standard charge out rates, and performed procedures to validate the outcome of management’s review process to identify WIP in need of provision. This included discussions with a sample of non-finance personnel responsible for client engagements.

Based on this understanding we designed our audit procedures to identify noncompliance with such laws and regulations. Our procedures involved journal entry testing, with a focus on manual journals and journals indicating large or unusual transactions; enquiries of Company management; and challenging the assumptions and judgements made by management by reviewing third party evidence wherever possible. We also leveraged our data analytics platform in performing our work to assist in identifying higher risk transactions for testing. Compliance with other operational laws and regulations was covered through our inquiry with no indication of non-compliance identified. 

 

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.


Page 14

 

BLICK ROTHENBERG LIMITED

INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF BLICK ROTHENBERG LIMITED (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2024

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 2006Our 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.





Chris Robson (Senior statutory auditor)
  
for and on behalf of
Ernst & Young LLP, Statutory auditor
 

27 March 2025
Page 15

 

BLICK ROTHENBERG LIMITED
 
PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 30 JUNE 2024

2024
2023
Note
£
£

  

Turnover
 4 
76,715,263
73,819,945

Gross profit
  
76,715,263
73,819,945

Administrative expenses
  
(60,572,806)
(60,194,768)

Operating profit
 5 
16,142,457
13,625,177

Interest receivable and similar income
 9 
773,634
12,240

Interest payable and similar expenses
 10 
(226,224)
(645,729)

Profit before tax
  
16,689,867
12,991,688

Tax on profit
 11 
3,612,010
1,845,143

Profit for the financial year
  
20,301,877
14,836,831



2024
2023
£
£



Adjusted EBITDA*
22,792,414
20,265,731

Depreciation and amortisation (Notes 13 and 14)
(6,649,957)
(6,640,554)

Operating profit
16,142,457
13,625,177



2024
2023
£
£

Adjusted EBITDA is calculated as follows:


Operating profit
16,142,457
13,625,177

Add back:
Depreciation (note 14)
595,422
594,365

  Depreciation of leased assets (note 14)
390,346
393,002

  Amortisation of other intangible assets (note 13)
5,664,189
5,653,187

Adjusted EBITDA
22,792,414
20,265,731

*Adjusted EBITDA is earnings before interest, tax, depreciation and amortisation.

There are no items of other comprehensive income for either the current or prior year other than the profit for the year as noted above. Accordingly, no statement of other comprehensive income has been presented.

Page 16


 
REGISTERED NUMBER:10238654
BLICK ROTHENBERG LIMITED

BALANCE SHEET
AS AT 30 JUNE 2024

2024
2023
Note
£
£

Fixed assets
  

Intangible assets
 13 
26,565,429
32,229,618

Tangible assets
 14 
1,924,363
2,524,442

Investments
 15 
208
208

  
28,490,000
34,754,268

Current assets
  

Debtors: amounts falling due within one year
 16 
41,434,988
77,333,302

Cash at bank and in hand
 17 
18,597,000
14,956,795

  
60,031,988
92,290,097

Creditors: amounts falling due within one year
 18 
(24,543,437)
(66,572,993)

Net current assets
  
 
 
35,488,551
 
 
25,717,104

Total assets less current liabilities
  
63,978,551
60,471,372

Creditors: amounts falling due after more than one year
 19 
-
(7,601,648)

Provisions for liabilities
  

Deferred tax
 20 
(4,683,808)
(5,618,669)

Other provisions
 21 
(535,760)
(732,400)

  
 
 
(5,219,568)
 
 
(6,351,069)

Net assets
  
58,758,983
46,518,655


Capital and reserves
  

Called up share capital 
 22 
100
100

Profit and loss account
 23 
58,758,883
46,518,555

Total equity
  
58,758,983
46,518,655


The financial statements were approved and authorised for issue by the board and were signed on its behalf by: 




N Shah
Director

Date: 27 March 2025

The notes on pages 19 to 39 form part of these financial statements.

Page 17

 

BLICK ROTHENBERG LIMITED

STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 JUNE 2024


Called up share capital
Profit and loss account
Total equity

£
£
£


At 1 July 2022
100
31,612,724
31,612,824



Profit for the year
-
14,836,831
14,836,831

Share Based Payment Accounting
-
69,000
69,000



At 1 July 2023
100
46,518,555
46,518,655



Profit for the year
-
20,301,877
20,301,877

Dividends: Equity capital
-
(8,472,227)
(8,472,227)

Share Based Payment Accounting
-
410,678
410,678


At 30 June 2024
100
58,758,883
58,758,983


The notes on pages 19 to 39 form part of these financial statements.

Page 18

 

BLICK ROTHENBERG LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024

1.


General information

Blick Rothenberg Limited is a private Company limited by shares incorporated in England. The address of its registered office and principal place of business is 16 Great Queen Street, London, WC2B 5AH.
The financial statements are presented in Sterling (£).

2.Accounting policies

 
2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the United Kingdom and the Republic of Ireland ('FRS 102') and the Companies Act 2006.
The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the Company's accounting policies (see note 3).
The Company was, at the end of the period, a wholly-owned subsidiary of Lynx Topco, a Company incorporated in Jersey, whose registered address is 44 Esplanade, St Helier, Jersey, JE4 9WG. In accordance with the exemption given in Section 401 of the Companies Act 2006, the Company is not required to produce, and has not published, consolidated accounts.
The Company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102: 
• Section 3 Financial Statement Presentation paragraph 3.17(d) (inclusion of statement of cash     flows);
• Section 7 Statement of Cash Flows (inclusion of statement of cash flows); 
• Section 11 Financial Instruments paragraph 11.39 to 11.48A (disclosure relating to financial instruments);
• Section 33 Related Party Disclosures paragraph 33.7 (disclosures of key management personnel  compensation).
The Company is included in the consolidated financial statements of Lynx Topco for the year ended 30 June 2024 and these financial statements may be obtained from Companies House, Crown Way, Cardiff, CF14 3UZ.
The following principal accounting policies have been applied:

Page 19

 

BLICK ROTHENBERG LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024

2.Accounting policies (continued)

 
2.2

Going concern

The financial statements have been prepared on a going concern basis which the directors consider to be appropriate.
During the current financial year, the Company has continued to trade profitably with cash conversion in line with expectations. The Company has amounts owed to group undertakings of £7.2m which are repayable on demand. Subsequent to the balance sheet date, the directors of the counterparty companies have confirmed that they will not seek repayment of these loans prior to March 2026.  As a result, the forecasts used by the Directors in their assessment of going concern do not include any repayment of principal or interest related to these loans.
In assessing the going concern position of the Company for the year ended 30 June 2024, the Directors have considered the Company’s cash flows, liquidity and business activities over the period to 31 March 2026.
In making their assessment, the Directors have considered impacts of the ongoing global conflicts and the cost of living crisis and general inflationary pressures on overheads on the cash flows and liquidity of the Company.  
The Company has a broad and diversified client base including corporate and individual clients, with no concentration of risk in any one particular sector and historically low client churn. The Directors consider that Blick Rothenberg will continue to grow during the review period. As a result of this, the base case scenario applied by the Directors in their assessment of going concern shows that the Company will have adequate resources to continue in operational existence for the period to 31 March 2026.
The directors have also applied a downside scenario which assumes a 10% reduction in billings from the base case as well as a 10% reduction in cash collection rate.  Further, in light of recent inflationary pressures on costs an additional 6% growth in overhead costs beyond increases in the base case has been applied. In this scenario, the Company would be able to meet its obligations.  This scenario would mean a contraction from the current financial year and therefore considered a prudent position.
In making their going concern assessment, the Directors have also obtained written confirmation from Azets Opco Limited that it will provide financial support to the Company for a period of at least 12 months from the approval of the financial statements to assist in meeting the Company’s liabilities as and when they fall due to the extent that it is not available from its existing resources.
In making their assessment of going concern of the Group, the Directors of Azets Opco Limited ("the Group directors") have reviewed both the liquidity of the Group and its ability to comply with the financial covenant in both a base case and a downside scenario. The base case scenario applied by the Group Directors in their assessment of going concern shows that the Group will have adequate resources to continue in operational existence for the period under review and will meet its financial covenant during that period. The Group Directors have also considered what they believe to be a severe but plausible downside scenario being a 10% reduction in pro-forma EBITDA compared to pro forma EBTIDA generated in the year ended 30 June 2024. This scenario shows that the Group would continue to meet its financial covenant and meet its liabilities as they fall due for the period to 31 March 2026. 
For these reasons, the Directors continue to believe that it is appropriate to adopt a going concern basis for the preparation of the financial statements.

Page 20

 

BLICK ROTHENBERG LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024

2.Accounting policies (continued)

 
2.3

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

Rendering of services

Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:
the amount of revenue can be measured reliably;
it is probable that the Company will receive the consideration due under the contract;
the stage of completion of the contract at the end of the reporting period can be measured reliably; and
the costs incurred and the costs to complete the contract can be measured reliably.

 
2.4

Intangible assets

Goodwill

Goodwill represents the difference between amounts paid on the cost of a business combination and the acquirer’s interest in the fair value of its identifiable assets and liabilities of the acquiree at the date of acquisition. Subsequent to initial recognition, goodwill is measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is amortised on a straight-line basis to the profit and loss account over its useful economic life.

Other intangible assets

Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.

 The estimated useful lives range as follows:

Brand names
-
2
years
Goodwill
-
10
years
Customer relationships
-
10
years

Page 21

 

BLICK ROTHENBERG LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024

2.Accounting policies (continued)

 
2.5

Tangible fixed assets

Tangible fixed assets are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.
At each reporting date the Company assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined which is the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, on the following bases:

Leasehold improvements
-
Lease term
Fixtures and fittings
-
10% to 20% straight line
Computer equipment
-
20% to 33% straight line

The assets' residual values, useful lives and depreciation methods are reviewed and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting period.
Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in the profit and loss account.

 
2.6

Impairment of fixed assets and goodwill

Assets that are subject to depreciation or amortisation are assessed at each balance sheet date to determine whether there is any indication that the assets are impaired. Where there is any indication that an asset may be impaired, the carrying value of the asset (or cash-generating unit to which the asset has been allocated) is tested for impairment. An impairment loss is recognised for the amount by which the asset's carrying amount exceeds its recoverable amount. The recoverable amount is the higher of an asset's (or CGU's) fair value less costs to sell and value in use. For the purposes of assessing impairment, assets are grouped at the lowest levels for which there are separately identifiable cash flows (CGUs). Non-financial assets that have been previously impaired are reviewed at each balance sheet date to assess whether there is any indication that the impairment losses recognised in prior periods may no longer exist or may have decreased.

 
2.7

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment.

 
2.8

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

Page 22

 

BLICK ROTHENBERG LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024

2.Accounting policies (continued)

 
2.9

Financial instruments

The Company has elected to apply Sections 11 and 12 of FRS 102 in respect of financial instruments.
Financial assets and financial liabilities are recognised when the Company becomes party to the contractual provisions of the instrument.
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.
The Company’s policies for its major classes of financial assets and financial liabilities are set out below.
Financial assets
Basic financial assets, including trade and other debtors, cash and bank balances and balances with fellow group entities are initially recognised at transaction price, 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 for a similar debt instrument. Financing transactions are those in which payment is deferred beyond normal business terms or is financed at a rate of interest that is not a market rate.
Such assets are subsequently carried at amortised cost using the effective interest method, less any impairment.
Financial liabilities
Basic financial liabilities, including trade and other creditors and balances with fellow group companies 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 for a similar debt instrument. Financing transactions are those in which payment is deferred beyond normal business terms or is financed at a rate of interest that is not a market rate.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
 
Page 23

 

BLICK ROTHENBERG LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024

2.Accounting policies (continued)


2.9
Financial instruments (continued)

Impairment of financial assets
Financial assets measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the profit and loss account.
For financial assets measured at cost less impairment, the impairment loss is measured as the difference between the asset's carrying amount and the best estimate of the amount the Company would receive for the asset if it were to be sold at the reporting date.
For financial assets measured at amortised cost, the impairment loss is measured as the difference between the asset's carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate. If the financial asset has a variable interest rate, the discount rate for measuring any impairment loss is the current effective interest rate determined under the contract.
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 and financial liabilities
Financial assets are derecognised when (a) the contractual rights to the cash flows from the asset expire or are settled, or (b) substantially all the risks and rewards of the ownership of the asset are transferred to another party or (c) despite having retained some significant risks and rewards of ownership, control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions. Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires.
Offsetting of financial assets and financial liabilities 
Financial assets and liabilities are offset and the net amount reported in the balance sheet when there is an 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.

  
2.10

Share capital

Ordinary shares are classified as equity. Incremental costs directly attributable to the issue of new ordinary shares or options are shown in equity as a deduction, net of tax, from the proceeds.

Page 24

 

BLICK ROTHENBERG LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024

2.Accounting policies (continued)

 
2.11

Foreign currency translation

Functional and presentation currency

The Company's functional and presentational currency is Sterling (£).

Transactions and balances

Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.

At each period end foreign currency monetary items are translated using the closing rate. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined.

Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in the profit and loss account.
Foreign exchange gains and losses that relate to borrowings and cash and cash equivalents are presented in the profit and loss account within 'interest receivable and similar income or interest payable and similar expenses'. All other foreign exchange gains and losses are presented in the profit and loss account within 'administrative expenses'.

 
2.12

Finance costs

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

 
2.13

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

Page 25

 

BLICK ROTHENBERG LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024

2.Accounting policies (continued)

 
2.14

Share-based payments

Where share options are awarded to employees, the fair value of the options at the date of grant is charged to profit or loss over the vesting period. Non-market vesting conditions are taken into account by adjusting the number of equity instruments expected to vest at each balance sheet date so that, ultimately, the cumulative amount recognised over the vesting period is based on the number of options that eventually vest. Market vesting conditions are factored into the fair value of the options granted. The cumulative expense is not adjusted for failure to achieve a market vesting condition.
The fair value of the award also takes into account non-vesting conditions. These are either factors beyond the control of either party (such as a target based on an index) or factors which are within the control of one or other of the parties (such as the Company keeping the scheme open or the employee maintaining any contributions required by the scheme).
Where the terms and conditions of options are modified before they vest, the increase in the fair value of the options, measured immediately before and after the modification, is also charged to profit or loss over the remaining vesting period.
Where equity instruments are granted to persons other than employees, profit or loss is charged with fair value of goods and services received.

 
2.15

Operating leases: the Company as lessor

Rental income from operating leases is credited to profit or loss on a straight-line basis over the lease term.

Amounts paid and payable as an incentive to sign an operating lease are recognised as a reduction to income over the lease term on a straight-line basis, unless another systematic basis is representative of the time pattern over which the lessor's benefit from the leased asset is diminished.

 
2.16

Operating leases: the Company as lessee

Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term.

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight-line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.

 
2.17

Finance leases

Assets obtained under hire purchase contracts and finance leases are capitalised as tangible fixed assets. Assets acquired by finance lease are depreciated over the shorter of the lease term and their useful lives. Assets acquired by hire purchase are depreciated over their useful lives. Finance leases are those where substantially all of the benefits and risks of ownership are assumed by the Company. Obligations under such agreements are included in creditors net of the finance charge allocated to future periods. The finance element of the rental payment is charged to profit or loss so as to produce a constant periodic rate of charge on the net obligation outstanding in each period.

Page 26

 

BLICK ROTHENBERG LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024

2.Accounting policies (continued)

 
2.18

Pensions

Defined contribution pension plan

The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the balance sheet. The assets of the plan are held separately from the Company in independently administered funds.

 
2.19

Holiday pay accrual

A liability is recognised to the extent of any unused holiday pay entitlement which is accrued at the balance sheet date and carried forward to future periods. This is measured at the undiscounted salary cost of the future holiday entitlement so accrued at the balance sheet date.

 
2.20

Interest income

Interest income is recognised in profit or loss using the effective interest method.

 
2.21

Provisions for liabilities

Provisions are recognised when an event has taken place that gives rise to a legal or constructive obligation, a transfer of economic benefits is probable and a reliable estimate can be made.
Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.
 
Increases in provisions are generally charged as an expense to profit or loss.

Page 27

 

BLICK ROTHENBERG LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024

2.Accounting policies (continued)

 
2.22

Current and deferred taxation

The tax expense for the period comprises current and deferred tax. Tax is recognised in the profit and loss account, except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.
Current tax is the amount of income tax payable in respect of taxable profit for the period.
The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the balance sheet date in the countries where the Company operates and generates income.
Deferred tax arises from timing differences that are differences between taxable profits and total comprehensive income as stated in the financial statements. These timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in the financial statements.
Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the balance sheet date, except that:  
• The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of the deferred tax liabilities or other future taxable profits; and
• Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.
Deferred tax is not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date. 
 


3.


Judgements in applying accounting policies and key sources of estimation uncertainty

In the application of the Company’s accounting policies, which are described in note 2, the following judgements and key estimates have been made by the directors:
Revenue recognition
Other than for assignments undertaken on a contingent fee basis, revenue on client assignments is recognised over time. This requires management to determine the measurement method that best depicts the Company's performance in transferring services to its clients. Management has concluded that the input method of measuring progress is appropriate based on the time and external costs incurred to date as a percentage of total expected time and external costs.
This requires an estimate to be made of the stage of completion of those assignments. Management estimates the remaining time and external costs to be incurred in completing the assignments and the client's willingness and ability to pay for the services provided. A different assessment of the outturn on an assignment may result in a different value being determined for revenue and a different carrying value being determined for unbilled revenue for client work. Unbilled revenue as at 30 June 2024 was £9.3 million (2023: £10 million), given that this has not yet been billed with the clients, there remains a risk that elements of this balance are not billable and so will not be recovered in cash.

Page 28

 

BLICK ROTHENBERG LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024

4.


Turnover

The whole of the turnover is attributable to the Company's principal activity.

Analysis of turnover by country of destination:

2024
2023
£
£

United Kingdom
60,417,172
57,649,717

Rest of Europe
4,970,341
5,233,972

Rest of the world
11,327,750
10,936,256

76,715,263
73,819,945



5.


Operating profit

The operating profit is stated after charging:

2024
2023
£
£

Exchange differences
25,617
84,161

Other operating lease rentals
1,684,361
2,008,321


6.


Auditor's remuneration

During the year, the Company obtained the following services from the Company's auditor and its associates:


2024
2023
£
£

Fees payable to the Company's auditor and its associates in respect of:

The auditing of the Company's financial statements
105,109
106,064

Page 29

 

BLICK ROTHENBERG LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024

7.


Employees

Staff costs, including directors' remuneration, were as follows:


2024
2023
£
£

Wages and salaries
52,764,026
47,316,965

Social security costs
5,659,629
4,946,931

Cost of defined contribution scheme
2,953,624
2,472,055

61,377,279
54,735,951


The average monthly number of employees, including the directors, during the year was as follows:


        2024
        2023
            No.
            No.







Fee earners
663
575



Practice management
116
116

779
691


8.


Directors' remuneration

2024
2023
£
£

Directors' emoluments
2,672,116
2,584,400


The highest paid director received remuneration of £844,238 (2023 - £810,410).

During the year 4 directors received shares under the long-term incentive schemes (2023 -1)


9.


Interest receivable

2024
2023
£
£


Other interest receivable
773,634
12,240

Page 30

 

BLICK ROTHENBERG LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024

10.


Interest payable and similar expenses

2024
2023
£
£


Loans from group undertakings
226,126
645,729

Other interest payable
98
-

226,224
645,729


11.


Taxation


2024
2023
£
£

Corporation tax


Current tax on profits for the year
-
2,677,149

Adjustments in respect of previous periods
(2,677,149)
(3,446,511)


(2,677,149)
(769,362)


Total current tax
(2,677,149)
(769,362)

Deferred tax


Origination and reversal of timing differences
(1,119,205)
(748,051)

Changes to tax rates
-
(164,389)

Adjustments in respect of prior period
184,344
(163,341)

Total deferred tax
(934,861)
(1,075,781)


Tax on profit
(3,612,010)
(1,845,143)
Page 31

 

BLICK ROTHENBERG LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024
 
11.Taxation (continued)


Factors affecting tax charge for the year

The tax assessed for the year is lower than (2023 - lower than) the standard rate of corporation tax in the UK of 25% (2023 - 20.5%). The differences are explained below:

2024
2023
£
£


Profit on ordinary activities before tax
16,689,867
12,991,688


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2023 - 20.5%)
4,172,467
2,662,762

Effects of:


Non-tax deductible amortisation of goodwill and impairment
407,934
335,640

Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
47,811
55,224

Capital allowances for year in excess of depreciation
14,249
100,563

Adjustments to tax charge in respect of prior periods
(2,677,149)
(3,446,511)

Adjustments to tax charge in respect of prior periods - deferred tax
184,344
(163,341)

Remeasurement of deferred tax for changes in tax rates
-
(164,389)

Group relief
(5,761,664)
(1,225,091)

Rounding difference
(2)
-

Total tax charge/(credit) for the year
(3,612,010)
(1,845,143)


12.


Dividends

2024
2023
£
£


Dividends declared and paid
8,472,227
-

Page 32

 

BLICK ROTHENBERG LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024

13.


Intangible assets




Goodwill
Customer relationships
Brand names
Total

£
£
£
£



Cost


At 1 July 2023
16,055,670
40,225,273
195,000
56,475,943



At 30 June 2024

16,055,670
40,225,273
195,000
56,475,943



Amortisation


At 1 July 2023
6,588,258
17,463,067
195,000
24,246,325


Charge for the year on owned assets
1,637,595
4,026,594
-
5,664,189



At 30 June 2024

8,225,853
21,489,661
195,000
29,910,514



Net book value



At 30 June 2024
7,829,817
18,735,612
-
26,565,429



At 30 June 2023
9,467,412
22,762,206
-
32,229,618



Page 33

 

BLICK ROTHENBERG LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024

14.


Tangible fixed assets





Leasehold property
Fixtures & fittings
Computer equipment
Total

£
£
£
£



Cost


At 1 July 2023
4,533,914
1,000,017
2,036,682
7,570,613


Additions
27,520
18,627
366,538
412,685


Disposals
(161,768)
(5,769)
(275,674)
(443,211)



At 30 June 2024

4,399,666
1,012,875
2,127,546
7,540,087



Depreciation


At 1 July 2023
2,983,125
376,919
1,686,127
5,046,171


Charge for the year on owned assets
390,346
245,841
349,580
985,767


Disposals
(134,771)
(5,769)
(275,674)
(416,214)



At 30 June 2024

3,238,700
616,991
1,760,033
5,615,724



Net book value



At 30 June 2024
1,160,966
395,884
367,513
1,924,363



At 30 June 2023
1,550,789
623,098
350,555
2,524,442

Page 34

 

BLICK ROTHENBERG LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024

15.


Fixed asset investments





Investments in subsidiary Companies

£



Cost or valuation


At 1 July 2023
208



At 30 June 2024
208





Subsidiary undertakings


The following were subsidiary undertakings of the Company:

Name

Principal activity

Class of shares

Holding

Blick Rothenberg Global Business Services Limited
Dormant
Ordinary
100
TaxFax Limited
Dormant
Ordinary
100
NBB Associates Limited
Dormant
Ordinary
100

The registered address of the subsidiaries is 16 Great Queen Street, Covent Garden, London, WC2B 5AH.

Page 35

 

BLICK ROTHENBERG LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024

16.


Debtors

2024
2023
£
£


Trade debtors
19,701,928
18,943,650

Amounts owed by group undertakings
881,100
4,428,122

Other debtors
7,518,109
39,404,531

Prepayments and accrued income
4,026,114
4,150,483

Amounts recoverable on long term contracts
9,307,737
10,406,516

41,434,988
77,333,302


In the prior year amounts owned by group undertakings primarily related to a reimbursement right from a parent undertaking (see note 18).
In the prior year other debtors primarily related to amounts receivable under the company’s insurance policies, and also included amounts due from the associated audit practice, rent deposits, and corporation tax receivable (see note 18).


17.


Cash and cash equivalents

2024
2023
£
£

Cash at bank and in hand
18,597,000
14,956,795



18.


Creditors: Amounts falling due within one year

2024
2023
£
£

Trade creditors
2,590,352
3,625,138

Amounts owed to group undertakings
7,242,134
7,149,926

Other taxation and social security
5,282,373
4,010,125

Other creditors
499,783
498,774

Accruals and deferred income
8,928,795
51,289,030

24,543,437
66,572,993


Included within other creditors is a balance of £440,739 (2023: £371,209) in relation to pension contributions payable.
In the prior year, accruals and deferred income primarily related to claims and also includes property costs including dilapidations, accrued insurance premiums bonuses, holiday pay and other staff related costs.

Page 36

 

BLICK ROTHENBERG LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024

19.


Creditors: amounts falling due after more than one year

2024
2023
£
£

Amounts owed to group undertakings
-
7,601,648



20.


Deferred taxation




2024


£






At beginning of year
(5,618,669)


Charged to profit or loss
934,861



At end of year
(4,683,808)

The provision for deferred taxation is made up as follows:

2024
2023
£
£


Depreciation of property, plant and equipment
(92,707)
(110,750)

Amortisation of intangible assets
(4,683,903)
(5,690,552)

Short term provisions
92,802
182,633

(4,683,808)
(5,618,669)

Page 37

 

BLICK ROTHENBERG LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024

21.


Provisions




Insurance claims

£





At 1 July 2023
732,400


Charged to profit or loss
(196,640)



At 30 June 2024
535,760

From time to time, the Company will provide business advisory services on a number of matters which exposes the Company to risks of future investigation and potential claims. Provisions have been recognised for certain known or reasonably likely legal claims or actions against the Company, these are expected to settle withing the next 12 months. The Directors do not expect known and reasonably likely legal claims or actions for which a provision has not been established to have a material impact on the Company's financial position, results of operations or cash flows.
In many cases, the known claims are covered by the Company's professional indemnity insurance. Once the insurer has accepted liability and panel solicitors have been appointed, an insurance receivable is recognised and reported within other debtors in the balance sheet.
 



22.


Share capital

2024
2023
£
£
Allotted, called up and fully paid



100 (2023 - 100) ordinary shares of £1.00 each
100
100



23.


Reserves

Profit and loss account

The profit and loss account reserve includes all current and prior year retained profits and losses.


24.


Related party transactions

The Company has taken advantage of the exemption contained in FRS 102 section 33 "Related Party Disclosures" from disclosing transactions with entities which are a wholly owned part of the group.
During the year, costs of £27.7m (2023: £21.5m) were recharged to Blick Rothenberg Audit LLP, an associated group entity, and at the year-end £1.4m (2023: £0.6m) was due from Blick Rothenberg Audit LLP, which is unsecured, bears no interest and is repayable on demand.

Page 38

 

BLICK ROTHENBERG LIMITED

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024

25.


Contingent liabilities

On 1 September 2023 a related company, Azets Ireland Holdings Limited, entered into a lease with a third party, and BR Limited is named as guarantor for this transaction. The maximum liability that could arise to the company, in the event of a default on the lease payments, is £3.1m, though it is not anticipated that the guarantee will actually be exercised.
Post year end, a related Group company entered into a 2 year Utility Contract, and BR Limited is named as guarantor of this transaction. The maximum liability that could arise to the company, in the event of default on the Utility payments, is £1.1m, though it is not anticipated that the guarantee will actually be exercised.


26.


Commitments under operating leases

At 30 June 2024 the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:

2024
2023
£
£


Not later than 1 year
1,844,008
1,844,008

Later than 1 year and not later than 5 years
3,995,352
5,839,360

5,839,360
7,683,368




27.


Post balance sheet event

Subsequent to the year-end, Blick Rothenberg Limited has exchanged contracts to acquire the trade and assets of Greenback Alan LLP, with completion expected on 31st March 2025. This transaction will be reflected in the financial statements for the year ending 30th June 2025.


28.


Controlling party

The immediate parent Company is Azets BR Bidco Limited, a Company registered in Jersey.
The parent Company of the largest group of undertakings for which consolidated financial statements are drawn up and of which the Company is a member is Lynx Topco Limited, a Company incorporated in Jersey, whose registered address is 44 Esplanade, St Helier, Jersey, JE4 9WG. Copies of the group financial statements are available from Companies House, Crown Way, Cardiff, CF14 3UZ.
In the opinion of the directors the immediate controlling party is Azets BR Bidco Limited. There is no ultimate controlling party.

 
Page 39