Company registration number 14911183 (England and Wales)
DAPHNE TECHNOLOGIES LTD
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
PAGES FOR FILING WITH REGISTRAR
DAPHNE TECHNOLOGIES LTD
CONTENTS
Page
Statement of financial position
1
Notes to the financial statements
2 - 6
DAPHNE TECHNOLOGIES LTD
STATEMENT OF FINANCIAL POSITION
AS AT
31 DECEMBER 2024
31 December 2024
- 1 -
2024
2023
as restated
Notes
£
£
£
£
Non-current assets
Property, plant and equipment
4
12,453
19,769
Current assets
Trade and other receivables
5
208,843
53,107
Cash and cash equivalents
36,872
43,149
245,715
96,256
Current liabilities
6
(72,780)
(92,650)
Net current assets
172,935
3,606
Total assets less current liabilities
185,388
23,375
Provisions for liabilities
(2,500)
Net assets
182,888
23,375
Equity
Called up share capital
100
100
Retained earnings
182,788
23,275
Total equity
182,888
23,375
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
The directors of the company have elected not to include a copy of the income statement within the financial statements.true
The financial statements were approved by the board of directors and authorised for issue on 2 June 2025 and are signed on its behalf by:
Mr A Gairola
Director
Company registration number 14911183 (England and Wales)
DAPHNE TECHNOLOGIES LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
- 2 -
1
Accounting policies
Company information
Daphne Technologies Ltd is a private company limited by shares incorporated in England and Wales. The registered office is 71 Central Street, London, England, EC1V 8AB.
1.1
Reporting period
The prior period financial statements represent a seven month period from incorporation to 31 December 2023 to run in line with the accounting period of the parent company, Daphne Tech Holdings LLC. As such, the comparative amounts included in these financial statements are not entirely comparable.
1.2
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £1.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
1.3
Going concern
These financial statements are prepared on the going concern basis. The directors have a reasonable expectation that the company will continue in operational existence for the foreseeable future. The directors have considered relevant information, including the annual budget, cash flow forecasts, and the impact of subsequent events in making their assessment. However, the directors are aware of certain material uncertainties which may cause doubt on the company's ability to continue as a going concern.
The company continues to rely on financial support from its wider group and existing investors, who have provided the entity with initial funding since inception. The directors have been assured that any additional future funding needs of the company will be provided by existing investors should it be required to ensure the business remains a going concern for a period of at least 12 months from the date of approval of the accounts. Based on these assessments and having regard to the resources available to the entity, the directors have concluded that it is appropriate to continue to adopt the going concern basis in preparing the annual report and accounts.
1.4
Revenue
Revenue is recognised at the fair value of the consideration received or receivable for services provided in the normal course of business, and is shown net of VAT and other sales related taxes.
1.5
Property, plant and equipment
Property, plant and equipment are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Computers
33% straight line per annum
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.
DAPHNE TECHNOLOGIES LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
1
Accounting policies
(Continued)
- 3 -
1.6
Cash and cash equivalents
Cash and cash equivalents are basic financial assets and include deposits held at call with banks.
1.7
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the company's statement of financial position when the company becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
The company enters into basic financial instruments transactions that result in the recognition of financial assets and liabilities like other accounts receivable and payable and loans from related parties.
Debt instruments like loans and other accounts receivable and payable are initially measured at present value of the future payments and subsequently at amortised cost using the effective interest method; Debt instruments that are payable or receivable within one year are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration expected to be paid or received.
Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire, or when it transfers the financial asset and substantially all the risks and rewards of ownership to another entity. Financial liabilities are derecognised when, and only when, the company’s obligations are discharged, cancelled, or they expire.
1.8
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
1.9
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
The tax currently payable is based on taxable profit for the year.
Deferred tax
Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.
1.10
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense.
1.11
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
DAPHNE TECHNOLOGIES LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
1
Accounting policies
(Continued)
- 4 -
1.12
Leases
Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.
2
Judgements and key sources of estimation uncertainty
In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
3
Employees
The average monthly number of persons (including directors) employed by the company during the year was 13 (2023 - 5).
4
Property, plant and equipment
Computers
£
Cost
At 1 January 2024
20,925
Disposals
(513)
At 31 December 2024
20,412
Depreciation and impairment
At 1 January 2024
1,156
Depreciation charged in the year
6,803
At 31 December 2024
7,959
Carrying amount
At 31 December 2024
12,453
At 31 December 2023
19,769
DAPHNE TECHNOLOGIES LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
- 5 -
5
Trade and other receivables
2024
2023
Amounts falling due within one year:
£
£
Amounts owed by group undertakings
187,275
Other receivables
21,568
53,107
208,843
53,107
Amounts owed by the parent company have no terms and are therefore repayable on demand. Whilst the classification as current debtors reflects the contractual nature of the loans, the company does not seek repayment of these loans until the parent is financially able to do so.
6
Current liabilities
2024
2023
as restated
£
£
Amounts owed to group undertakings
66,197
Corporation tax
54,390
Other payables
18,390
26,453
72,780
92,650
7
Prior period adjustments
In preparing the financial statements it was identified that revenue generated from services provided to the parent company had not been included in the period to 31 December 2023. A prior period adjustment has therefore been made which increased revenue and reduced amounts owed to group undertakings by £628,677. The net effect on retained earnings as at 31 December 2023 is an increase of £628,677.
8
Audit report information
As the income statement has been omitted from the filing copy of the financial statements, the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006.
The auditor's report was unqualified.
We draw attention to note 1.3 in the financial statements, which indicates that the company is, and will continue to be, reliant on financial support from its wider group and existing investors to be able to continue to operate. The directors have been assured that future funding needs of the company will be provided by existing investors.
Whilst these assurances have been obtained, these conditions indicate that a material uncertainty exists that may cast significant doubt on the company’s ability to continue as a going concern. Our opinion is not modified in respect of this matter.
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.
DAPHNE TECHNOLOGIES LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
8
Audit report information
(Continued)
- 6 -
Opinion
In our opinion the financial statements:
give a true and fair view of the state of the company's affairs as at 31 December 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.
Senior Statutory Auditor:
Kristina Perry FCCA
Statutory Auditor:
Sumer Audit
Date of audit report:
2 June 2025
9
Operating lease commitments
As lessee
At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows:
2024
2023
£
£
Total commitments
77,400
77,400
10
Parent company
The immediate parent company is Daphne Tech Holdings LLC whose registered address is 142 West 57th Street, New York, United States, 10019.