Registered number
06971087
(England and Wales)
PONDICHERRY DESIGNS LIMITED
AUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED
30 September 2024
PONDICHERRY DESIGNS LIMITED
AUDITED FINANCIAL STATEMENTS
FOR THE YEAR ENDED
30 September 2024
Contents Page
Company information 1
Statement of Financial Position 2
Notes to the Financial Statements 3 to 10
PONDICHERRY DESIGNS LIMITED
COMPANY INFORMATION
FOR THE YEAR ENDED
30 September 2024
Directors
S Lodha
D Chandris
E Guerrand
Auditors
Cooper Parry Group Limited
Statutory Auditor
New Derwent House
69-73 Theobalds Road
London
WC1X 8TA
Registered office
3rd Floor
1-5 Clerkenwell Road
London
EC1M 5PA
Registered number
06971087
PONDICHERRY DESIGNS LIMITED Registered number:
Statement of Financial Position 06971087
as at 30 September 2024
Notes 2024 2023
£ £ £ £
Fixed assets
Intangible assets 5 48,489 40,191
Tangible assets 6 212,514 100,494
261,003 140,685
Current assets
Stocks 8 776,665 1,221,176
Debtors 9 1,394,396 1,933,147
Cash at bank and in hand 502,819 872,726
2,673,880 4,027,049
Creditors: amounts falling due within one year 10 (1,456,731) (1,979,423)
Net current assets 1,217,149 2,047,626
Total assets less current liabilities 1,478,152 2,188,311
Creditors: amounts falling due after more than one year 11 (61,561) -
Provisions for liabilities 12 (4,757) (25,123)
Net assets 1,411,834 2,163,188
Capital and reserves
Called up share capital 13 143 143
Share premium 1,200,997 1,200,997
Profit and loss account 210,694 962,048
Shareholders' funds 1,411,834 2,163,188
The directors acknowledge their responsibilities for complying with the requirements of the Companies Act 2006 relating to small companies with respect to accounting records and the preparation of financial statements.
The financial statements have been prepared and delivered in accordance with the special provisions applicable to companies subject to the small companies regime.
The financial statements were approved by the Board of Directors on 8 April 2025 and were
signed on its behalf by:
S Lodha
Director
PONDICHERRY DESIGNS LIMITED
Notes to the Financial Statements
for the Year Ended 30 September 2024
1 Statutory information
PONDICHERRY DESIGNS LIMITED is a private company limited by shares and incorporated in England. Its registered office is:
3rd Floor
1-5 Clerkenwell Road
London
EC1M 5PA
The presentation currency of the financial statements is Pound Sterling (£).
2 Accounting policies
Basis of preparation
The financial statements have been prepared under the historical cost convention and in accordance with FRS 102, The Financial Reporting Standard applicable in the UK and Republic of Ireland (as applied to small entities by section 1A of the standard) and Companies Act 2006.
Preparation of consolidated financial statements
The financial statements contain information about Pondicherry Designs Limited as an individual Company and do not contain consolidated financial information as the parent of a group. The Company is exempt under Section 399(2A) of the Companies Act 2006 from the requirements to prepare consolidated financial statements.
Going Concern
The directors have considered the outlook for the company. Global inflationary pressures are affecting supply chains and the US tariffs on China will impact logistic costs. A company-wide review of operating costs resulted in substantial cost savings and an ongoing day-to-day close monitoring of the operations allows the company to react swiftly to changes in the market. The company has also further improved its selling channels in order to diversify its' customer base and the directors are satisfied with their performance against set budgets.

The directors have reviewed detailed forecasts prepared by the management beyond a period of 12 months. The forecasts are based on a positive year on year sales performance and incorporate the external risk factors detailed above. The directors are confident that the company has access to sufficient working capital through its own cash reserves and trade finance agreements to enable it to continue as a Going Concern.
Revenue Recognition
Turnover is measured at the fair value of the consideration received or receivable, net of discounts and value added taxes. Turnover includes revenue earned from the sale of goods. Turnover from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have transferred to the buyer.
Significant judgements and estimates
Preparation of the financial statements requires management to make significant judgements and estimates in determining the carrying amounts of certain assets and liabilities. Management makes assumptions of the effects of uncertain future events on those assets and liabilities at the balance sheet date. The management's estimates and assumptions are based on historical experience and expectation of future events and are reviewed periodically.
Stock Provision
Management judgement is required to estimate the provision for the devaluation of stock for older seasons of £334,195 (2023: £299,526). The provision calculation is based on the ageing and commerciality of stock on hand.
Returns accrual
At the year end, the management have concluded that, although there is no contractual requirement to accept returns of inventory in relation to its wholesale revenue, there is a commercial long term benefit to support its major partners. Therefore, the management have provided a credit note provision in the statement of financial position based on the amount of inventory returns the company considers it can absorb in a given year and can sell through its Offprice channels without impacting its full price sales channels. In addition, the company has a contractual obligation to accept returns in relation to its online sales and has booked a provision in the financial statements of the actual inventory that has been returned post year end in line with its 28 day returns policy (30 days from the shipping date).
Tangible and intangible fixed assets
Tangible and intangible fixed assets are measured at cost less accumulative depreciation or amortisation and any accumulative impairment losses. Depreciation and amortisation are provided on all tangible and intangible fixed assets, other than freehold land, at rates calculated to write off the cost, less estimated residual value, of each asset evenly over its expected useful life, as follows:
Improvements to leasehold property over the lease term
Fixtures, fittings, equipment and selling platform straight line over 5 years
Trademarks straight line over 10 years
Investments
Investments in subsidiaries are measured at cost.
Stocks
Stocks are measured at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the average cost method. The carrying amount of stock sold is recognised as an expense in the period in which the related revenue is recognised. Provision is made for obsolete, slow moving or defective items where appropriate.
Debtors
Short term debtors are measured at transaction price (which is usually the invoice price), less any impairment losses for bad and doubtful debts. Loans and other financial assets are initially recognised at transaction price including any transaction costs and subsequently measured at amortised cost determined using the effective interest method, less any impairment losses for bad and doubtful debts.

Direct costs that relate to fashion collections to be delivered in future periods are deferred until such collections are delivered. Selling and administration costs associated with such collections are written off as incurred.
Creditors
Short term creditors are measured at transaction price (which is usually the invoice price). Loans and other financial liabilities are initially recognised at transaction price net of any transaction costs and subsequently measured at amortised cost determined using the effective interest method.
Taxation
Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Income and Retained Earnings, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. Current or deferred taxation assets and liabilities are not discounted. Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.
Deferred tax
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.
Foreign currency translation
Transactions in foreign currencies are initially recognised at the rate of exchange ruling at the date of the transaction. At the end of each reporting period foreign currency monetary items are translated at the closing rate of exchange. Non-monetary items that are measured at historical cost are translated at the rate ruling at the date of the transaction. All differences are charged to profit or loss.
Pensions
Contributions to defined contribution plans are expensed in the period to which they relate.
Financial instruments
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Other financial assets
Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments Whose fair values cannot be measured reliably are measured at cost less impairment.
Impairment of financial assets
Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at the balance sheet 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 estimate 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 the profit or loss.
Classification of financial liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the group after deducting all of its liabilities.

Basic financial liabilities, including trade and other payables, bank loans. loans from fellow group companies 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 receipts discounted at a market rate of interest.

Debt instrument are subsequently carried at amortised cost, using the effective interest rate method.

Trade payables are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts 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 payables are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
Hire purchase and leasing commitments
Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter. The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability.
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease.
Short term benefits and holiday pay
The costs of short-term employee benefits, including holiday pay, are recognised as a liability and an expense. The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
3 Employees and directors 2024 2023
Number Number
Average number of persons including directors employed by the Company 29 27
4 Disclosure under Section 444(5B) of the Companies Act 2006
The Auditors' Report was unqualified.
Nicola Pearson (Senior Statutory Auditor)
for and on behalf of Cooper Parry Group Limited Statutory Auditors
The audit report in the full accounts makes reference to the accounting policy on going concern.
24/04/2025
…...................................................
Date
5 Intangible fixed assets Trademarks
£
Cost
At 1 October 2023 52,059
Additions 15,790
At 30 September 2024 67,849
Amortisation
At 1 October 2023 11,868
Provided during the year 7,492
At 30 September 2024 19,360
Net book value
At 30 September 2024 48,489
At 30 September 2023 40,191
6 Tangible fixed assets
Improvements to leasehold property Fixtures, fittings, equipment and selling platform Total
£ £ £
Cost
At 1 October 2023 81,395 496,263 577,658
Additions - 169,371 169,371
Disposals - (151,913) (151,913)
At 30 September 2024 81,395 513,721 595,116
Depreciation and impairment
At 1 October 2023 81,395 395,769 477,164
Depreciation charge for the year - 57,351 57,351
On disposals - (151,913) (151,913)
At 30 September 2024 81,395 301,207 382,602
Net book value
At 30 September 2024 - 212,514 212,514
At 30 September 2023 - 100,494 100,494
7 Investments in subsidiary undertakings
During year ended 30 September 2017 the Company invested in a subsidiary undertaking. The cost of the investment was £0.11 and remains unchanged at the balance sheet date.
8 Stocks 2024 2023
£ £
Finished goods 776,665 1,221,176
9 Debtors: amounts falling due within one year 2024 2023
£ £
Factored debts outstanding 854,391 1,209,798
Trade debtors not factored 143,317 310,829
Other debtors 396,688 412,520
1,394,396 1,933,147
10 Creditors: amounts falling due within one year 2024 2023
£ £
Trade creditors 867,255 1,196,074
Amounts owed to group undertakings and undertakings in which the company has a participating interest 103,795 85,024
Taxation and social security costs 87,340 260,703
Other creditors 398,341 437,622
1,456,731 1,979,423
All amounts owing to the bank are secured by first fixed and floating charge over all the company assets.

As at the year end (and the previous year end) no payments were drawn on account from the factoring company. Such payments are secured by charge over certain company assets.
11 Creditors: amounts falling due after one year 2024 2023
£ £
3 year fixed-term loans 61,561 -
Interest accrued annually at 5.25%.
12 Provisions for liabilities 2024 2023
£ £
Deferred tax 4,757 25,123
13 Called up share capital Nominal 2024 2023
value Number £ £
Allotted, issued and fully paid:
Ordinary shares £0.001 each 142,617 143 143
14 Pension commitments
The Company is operating a defined contribution pension scheme. During the year the Company contributed £22,177 (2023: £21,104).
15 Other financial commitments 2024 2023
£ £
Total future minimum payments under non-cancellable operating leases:
- less than one year 144,748 42,998
- between 1 and 5 years 325,981 -
470,729 42,998
16 Loans to directors
Description and conditions B/fwd Advanced Repaid C/fwd
£ £ £ £
S Lodha 2,513 19,338 (11,603) 10,248
2,513 19,338 (11,603) 10,248
17 Related Party Transactions
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.
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