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REGISTERED NUMBER: 10666902 (England and Wales)















GROUP STRATEGIC REPORT,

REPORT OF THE DIRECTORS AND

AUDITED CONSOLIDATED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 JUNE 2024

FOR

DAFFODIL ENERGY SUPPLY LIMITED

DAFFODIL ENERGY SUPPLY LIMITED (REGISTERED NUMBER: 10666902)

CONTENTS OF THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2024










Page

Company Information 1

Group Strategic Report 2

Report of the Directors 5

Report of the Independent Auditors 7

Consolidated Income Statement 11

Consolidated Other Comprehensive Income 12

Consolidated Balance Sheet 13

Company Balance Sheet 14

Consolidated Statement of Changes in Equity 15

Company Statement of Changes in Equity 16

Consolidated Cash Flow Statement 17

Notes to the Consolidated Cash Flow Statement 18

Notes to the Consolidated Financial Statements 19


DAFFODIL ENERGY SUPPLY LIMITED

COMPANY INFORMATION
FOR THE YEAR ENDED 30 JUNE 2024







DIRECTORS: D Cohen
P J Brewer





REGISTERED OFFICE: Gable House
239 Regents Park Road
London
N3 3LF





REGISTERED NUMBER: 10666902 (England and Wales)





AUDITORS: MGR Weston Kay LLP
Statutory Auditors
55 Loudoun Road
St John's Wood
London
NW8 0DL

DAFFODIL ENERGY SUPPLY LIMITED (REGISTERED NUMBER: 10666902)

GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 30 JUNE 2024


The directors present their strategic report of the company and the group for the year ended 30 June 2024.

REVIEW OF BUSINESS
The Income Statement on Page 11 outlines the group's financial performance for the year.

For the year ended 30 June 2024, revenue decreased slightly by 1% to £44.2 million (2023: £44.5 million). However, profit before tax increased to £3.7 million (2023: £3.2 million), reflecting strong financial management and the group's ability to adapt to market conditions.

The group maintains a robust financial position with effective cash flow management, ensuring continued liquidity.

PRINCIPAL RISKS AND UNCERTAINTIES
Operating in the energy sector, the group faces several key risks that could impact its financial and operational performance. A primary challenge is the regulatory environment, particularly the Ofgem Price Cap, which limits the selling price of energy while input costs can fluctuate. This creates difficulties, especially for the provision of Standard Variable Tariff (SVT) customers, where thin margins and challenges collecting payments due to the current affordability crisis may lead to lower profits.

The volatility of wholesale energy prices affects cash flow, with market uncertainty and potential mark-to-market payments requiring careful management. The group closely monitors pricing trends and employs proactive measures to manage these specific risks.

The group follows a strict commodity hedging policy, ensuring all fixed-term contracts are always fully hedged and variable contracts are hedged in line with Ofgem price cap methodology. Extreme weather events, such as harsh winters, could still present a challenge, but proactive risk management means the size of that risk is constantly modelled and well understood.

Market dynamics remain impacted by items like the Russia / Ukraine conflict, the Cost-of-Living crisis and sustainability policies. Financial risks, including price fluctuations, credit risks, and liquidity concerns, are key focus areas. The group actively manages these through:

- Commodity Hedging: A forward purchasing strategy ensures price stability and mitigates market fluctuations.

- Credit Risk Management: Enhanced credit assessments and proactive debt collection minimise bad debt.

- Liquidity Management: Cash flow forecasting ensures sufficient liquidity for operational and investment needs.

The directors have assessed these risks as non-adjusting, with significant impacts expected from broader economic conditions. These factors have been incorporated into the group's going concern assessment.


DAFFODIL ENERGY SUPPLY LIMITED (REGISTERED NUMBER: 10666902)

GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 30 JUNE 2024

DEVELOPMENT AND PERFORMANCE
In the year under review, the group made significant progress in strengthening its position as a leading energy supplier. The group successfully expanded its customer base, introduced new ideas, and enhanced service offerings, reinforcing its market presence. The directors are optimistic about the group's continued growth and the opportunities ahead.

A key element of the Group's growth strategy is its commitment to technological innovation, particularly through the expansion of smart metering. This technology improves the customer experience with transparent billing and energy usage insights, while also enhancing operational efficiency. Significant progress has been made in deploying smart meters, empowering customers to better control their energy consumption and reduce costs.

The group remains focused on investing in technology and systems to enhance its competitiveness and sustain a strong market position.

The group recognises that our employees are crucial to our success. We focus on hiring skilled individuals and supporting their growth. Open communication ensures employees understand their roles and how they contribute to group goals. Regular feedback helps refine strategies and improve service delivery. We maintain a fair, respectful work environment where every employee is valued.

Our customers and suppliers are central to the Group's success. By building strong, transparent relationships, we offer tailored solutions, exceptional service, and competitive pricing. Collaborative partnerships with our suppliers ensure a reliable energy supply, reinforcing our commitment to quality and fairness.

KEY PERFORMANCE INDICATORS
The group consistently monitors key business metrics to drive sustainable growth. For the year ended 30th of June 2024, the following KPIs highlight the group's achievements:

- A 32% increase in electricity volume and a 37% increase in gas volume

- 39% growth in electricity customer numbers and 35% growth in gas customer numbers, demonstrating the effectiveness of customer acquisition strategies.

- 26% reduction in the cost per kWh of electricity and 43% reduction in the cost per kWh of gas, reflecting lower wholesale market prices.

- 26% increase in gross profit, underscoring the success of cost control and pricing strategies.PIS)


DAFFODIL ENERGY SUPPLY LIMITED (REGISTERED NUMBER: 10666902)

GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 30 JUNE 2024

FUTURE OUTLOOK
The group is well-positioned to navigate industry challenges and capitalise on market opportunities. With a strong commitment to innovation, operational efficiency, and strategic risk management, the group will remain competitive in an evolving energy landscape.

The group will continue to invest in technology, maintain regulatory compliance, and monitor market conditions and competitor activities to secure and develop its market position. In addition, the group will continue to focus on its customers, reinforcing these relationships as key pillars of its future success. By working closely with customers, the group aims to deliver innovative solutions and improve service delivery while addressing financial challenges faced by vulnerable customers. Smart meter deployment will remain a priority, increasing accessibility and control for customers over their energy usage. The group is committed to sustaining its growth and leading the way in the UK energy market.

ON BEHALF OF THE BOARD:





D Cohen - Director


27 June 2025

DAFFODIL ENERGY SUPPLY LIMITED (REGISTERED NUMBER: 10666902)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 30 JUNE 2024


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

PRINCIPAL ACTIVITY
The principal activity of the group in the year under review was that of the supply of electricity and gas.

DIVIDENDS
No dividends will be distributed for the year ended 30 June 2024.

RESEARCH AND DEVELOPMENT
The group continues to develop its internal CRM system.

FUTURE DEVELOPMENTS
Details concerning the group's future developments can be found in the Strategic Report on page 4.

DIRECTORS
The directors during the year under review were:

D Cohen
P J Brewer

STATEMENT OF DIRECTORS' RESPONSIBILITIES
The directors are responsible for preparing the Group Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:

- select suitable accounting policies and then apply them consistently;
- make judgements and accounting estimates that are reasonable and prudent;
- 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 and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the group's auditors are aware of that information.

DAFFODIL ENERGY SUPPLY LIMITED (REGISTERED NUMBER: 10666902)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 30 JUNE 2024


AUDITORS
The auditors, MGR Weston Kay LLP, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:





D Cohen - Director


27 June 2025

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
DAFFODIL ENERGY SUPPLY LIMITED


Opinion
We have audited the financial statements of Daffodil Energy Supply Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 30 June 2024 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:
-give a true and fair view of the state of the group's and of the parent company affairs as at 30 June 2024 and of the group's 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 Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

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 group's and the parent 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.

Other information
The directors are responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, 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 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.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
DAFFODIL ENERGY SUPPLY LIMITED


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 Group Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the Group Strategic Report and the Report of the Directors 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 group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Directors.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
- adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or
- the parent company 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 Statement of Directors' Responsibilities set out on page five, 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 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 group's and the parent company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the group or the parent company or to cease operations, or have no realistic alternative but to do so.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
DAFFODIL ENERGY SUPPLY LIMITED


Auditors' 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 a Report of the Auditors 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:

As part of our planning of the audit work required, we obtained an understanding of the legal and regulatory frameworks that are applicable to the entity via enquiries of the company's management, carrying out analytical procedures, holding discussions amongst the engagement team and using our knowledge of the sector. We determined that the most significant laws and regulations were relating to:

- Ofgem regulations;
- Employment law; and
- UK Tax legislation.

We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as FRS102 and the Companies Act 2006.

Based on the results of our risk assessment we designed our audit procedures to identify instances of non-compliance with the laws and regulations and the fraud risks identified. This included enquiries of management to understand their policies and procedures for compliance with those regulations and we completed the following tests:

- Obtained an understanding of relevant controls;
- Reviewed the company's risks assessments, procedures, health and safety policies and communications with employees;
- Checked a sample of documentation;
- Reviewed records for evidence of complaints or litigation; and
- Reviewed correspondence with HMRC.

We also assessed the risk of material misstatement in relation to fraud in respect of the following:

- Revenue fraud;
- Unauthorised expenditure and/or payments;
- Management override of controls; and
- Related party fraud.

Based on the results of our risk assessment we designed audit procedures to identify and address material misstatements in relation to fraud. This included the risk of management bias and the risk of making inappropriate accounting entries.

No significant issues were identified during our testing.

There are inherent limitations in the audit procedures described above and the primary responsibility for the prevention and detection of irregularities, including fraud, rests with management. As with any audit, there remained a risk of non-detection of irregularities, as these may involve collusions, forgery, intentional omissions, misrepresentations or the override of internal controls.


REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
DAFFODIL ENERGY SUPPLY LIMITED

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 Report of the Auditors.

Other matters which we are required to address
We draw your attention to the fact that the comparative figures in the accounts are unaudited. We have obtained sufficient appropriate audit evidence that the opening balances do not contain misstatements that materially affect the current period’s financial statements.

Use of our report
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.




Sarah Yardley ACA (Senior Statutory Auditor)
for and on behalf of MGR Weston Kay LLP
Statutory Auditors
55 Loudoun Road
St John's Wood
London
NW8 0DL

27 June 2025

DAFFODIL ENERGY SUPPLY LIMITED (REGISTERED NUMBER: 10666902)

CONSOLIDATED INCOME STATEMENT
FOR THE YEAR ENDED 30 JUNE 2024

30.6.24 30.6.23
Notes £    £   

TURNOVER 4 44,245,950 44,569,859

Cost of sales (37,714,395 ) (39,405,585 )
GROSS PROFIT 6,531,555 5,164,274

Administrative expenses (1,735,556 ) (1,152,491 )
4,795,999 4,011,783

Other operating income 5 185,213 31,916
OPERATING PROFIT 7 4,981,212 4,043,699

Interest receivable and similar income 9 34,778 34,989
5,015,990 4,078,688

Interest payable and similar expenses 10 (65,999 ) -
PROFIT BEFORE TAXATION 4,949,991 4,078,688

Tax on profit 11 (1,231,123 ) (804,033 )
PROFIT FOR THE FINANCIAL YEAR 3,718,868 3,274,655
Profit attributable to:
Owners of the parent 3,718,868 3,274,655

DAFFODIL ENERGY SUPPLY LIMITED (REGISTERED NUMBER: 10666902)

CONSOLIDATED OTHER COMPREHENSIVE INCOME
FOR THE YEAR ENDED 30 JUNE 2024

30.6.24 30.6.23
Notes £    £   

PROFIT FOR THE YEAR 3,718,868 3,274,655


OTHER COMPREHENSIVE INCOME - -
TOTAL COMPREHENSIVE INCOME FOR THE
YEAR

3,718,868

3,274,655

Total comprehensive income attributable to:
Owners of the parent 3,718,868 3,274,655

DAFFODIL ENERGY SUPPLY LIMITED (REGISTERED NUMBER: 10666902)

CONSOLIDATED BALANCE SHEET
30 JUNE 2024

30.6.24 30.6.23
Notes £    £   
FIXED ASSETS
Intangible assets 13 233,473 199,079
Tangible assets 14 6,070 9,271
Investments 15 - -
239,543 208,350

CURRENT ASSETS
Debtors 16 7,957,113 7,743,655
Cash at bank 5,267,933 1,462,279
13,225,046 9,205,934
CREDITORS
Amounts falling due within one year 17 (5,894,540 ) (5,563,103 )
NET CURRENT ASSETS 7,330,506 3,642,831
TOTAL ASSETS LESS CURRENT LIABILITIES 7,570,049 3,851,181

PROVISIONS FOR LIABILITIES 18 (26,165 ) (26,165 )
NET ASSETS 7,543,884 3,825,016

CAPITAL AND RESERVES
Called up share capital 19 100 100
Retained earnings 7,543,784 3,824,916
SHAREHOLDERS' FUNDS 7,543,884 3,825,016

The financial statements were approved by the Board of Directors and authorised for issue on 27 June 2025 and were signed on its behalf by:





D Cohen - Director


DAFFODIL ENERGY SUPPLY LIMITED (REGISTERED NUMBER: 10666902)

COMPANY BALANCE SHEET
30 JUNE 2024

30.6.24 30.6.23
Notes £    £   
FIXED ASSETS
Intangible assets 13 - -
Tangible assets 14 - -
Investments 15 1 1
1 1

CURRENT ASSETS
Debtors 16 99 99
TOTAL ASSETS LESS CURRENT LIABILITIES 100 100

CAPITAL AND RESERVES
Called up share capital 19 100 100
SHAREHOLDERS' FUNDS 100 100

Company's profit for the financial year - -

The financial statements were approved by the Board of Directors and authorised for issue on 27 June 2025 and were signed on its behalf by:





D Cohen - Director


DAFFODIL ENERGY SUPPLY LIMITED (REGISTERED NUMBER: 10666902)

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

Called up
share Retained Total
capital earnings equity
£    £    £   
Balance at 1 July 2022 100 550,261 550,361

Changes in equity
Total comprehensive income - 3,274,655 3,274,655
Balance at 30 June 2023 100 3,824,916 3,825,016

Changes in equity
Total comprehensive income - 3,718,868 3,718,868
Balance at 30 June 2024 100 7,543,784 7,543,884

DAFFODIL ENERGY SUPPLY LIMITED (REGISTERED NUMBER: 10666902)

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

Called up
share Retained Total
capital earnings equity
£    £    £   
Balance at 1 July 2022 100 - 100

Changes in equity
Balance at 30 June 2023 100 - 100

Changes in equity
Balance at 30 June 2024 100 - 100

DAFFODIL ENERGY SUPPLY LIMITED (REGISTERED NUMBER: 10666902)

CONSOLIDATED CASH FLOW STATEMENT
FOR THE YEAR ENDED 30 JUNE 2024

30.6.24 30.6.23
Notes £    £   
Cash flows from operating activities
Cash generated from operations 1 5,179,009 1,850,493
Interest paid (65,999 ) -
Tax paid (1,278,185 ) 9,841
Net cash from operating activities 3,834,825 1,860,334

Cash flows from investing activities
Purchase of intangible fixed assets (143,748 ) (112,899 )
Purchase of tangible fixed assets (567 ) (8,066 )
Interest received 34,778 34,989
Net cash from investing activities (109,537 ) (85,976 )

Cash flows from financing activities
Loan proceeds in year 80,366 (400,000 )
Net cash from financing activities 80,366 (400,000 )

Increase in cash and cash equivalents 3,805,654 1,374,358
Cash and cash equivalents at beginning of
year

2

1,462,279

87,921

Cash and cash equivalents at end of year 2 5,267,933 1,462,279

DAFFODIL ENERGY SUPPLY LIMITED (REGISTERED NUMBER: 10666902)

NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT
FOR THE YEAR ENDED 30 JUNE 2024


1. RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

30.6.24 30.6.23
£    £   
Profit before taxation 4,949,991 4,078,688
Depreciation charges 113,123 86,172
Finance costs 65,999 -
Finance income (34,778 ) (34,989 )
5,094,335 4,129,871
Decrease/(increase) in trade and other debtors 207,354 (4,557,996 )
(Decrease)/increase in trade and other creditors (122,680 ) 2,278,618
Cash generated from operations 5,179,009 1,850,493

2. CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 30 June 2024
30.6.24 1.7.23
£    £   
Cash and cash equivalents 5,267,933 1,462,279
Year ended 30 June 2023
30.6.23 1.7.22
£    £   
Cash and cash equivalents 1,462,279 87,921


3. ANALYSIS OF CHANGES IN NET FUNDS

At 1.7.23 Cash flow At 30.6.24
£    £    £   
Net cash
Cash at bank 1,462,279 3,805,654 5,267,933
1,462,279 3,805,654 5,267,933
Total 1,462,279 3,805,654 5,267,933

DAFFODIL ENERGY SUPPLY LIMITED (REGISTERED NUMBER: 10666902)

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


1. STATUTORY INFORMATION

Daffodil Energy Supply Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the General Information page.

The presentation currency of the financial statements is the Pound Sterling (£).


2. ACCOUNTING POLICIES

Basis of preparing the financial statements
These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Going concern
At the time of approving, the directors have a reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

Turnover
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Intangible assets
Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.

Intangible assets acquired on business combinations are recognised separately from goodwill at the acquisition date where it is probable that the expected future economic benefits that are attributable to the asset will flow to the entity and the fair value of the asset can be measured reliably; the intangible asset arises from contractual or other legal rights; and the intangible asset is separable from the entity.

Patents and Licences - No amorisation
Development costs - 3 year straight line

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

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:

Computer equipment - 25% straight line
Motor Vehicles - 25% straight line

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.


DAFFODIL ENERGY SUPPLY LIMITED (REGISTERED NUMBER: 10666902)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 JUNE 2024


2. ACCOUNTING POLICIES - continued
Taxation
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Income Statement, 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.

Research and development
Research and development costs are incurred in the development and enhancement of the company's CRM software. The software has an ongoing benefit to the company's business and these costs are amortised over 3 years to reflect this. The costs captalised represent only the development costs incurred. Costs that represent purely the research element have been reflected in the income statement in the periods they have been incurred.

Pension costs and other post-retirement benefits
The group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme are charged to profit or loss in the period to which they relate.

Cash and cash equivalents
Cash and cash equivalents include cash in hand, deposits held at call with banks, other short term liquid investments with original maturities of three months or less.

Debtors and creditors receivable / payable within one year
Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the profit and loss account in other administrative expenses.

DAFFODIL ENERGY SUPPLY LIMITED (REGISTERED NUMBER: 10666902)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 JUNE 2024


2. ACCOUNTING POLICIES - continued

Basic financial assets
Basic financial assets, which include trade and other debtors and cash and bank balances, are initially measured at transaction price including transaction and where material are subsequently measured at amortised cost using the effective interest method, less any impairment.

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 where material the changes in fair value are recognised in the Statement of Total Comprehensive Income, except that investments in equity instruments that are not publicly traded and whose fair value cannot be measured reliably are measured at cost less impairment

Interest is recognised by applying the effective interest rate, except for short-term receivables when the recognition of interest would be immaterial. The effective interest method is a method of calculating the amortised cost of a debt instrument and of allocating the interest income over the relevant period. The effective interest rate is the rate that exactly discounts estimated future cash receipts through the life of the debt instrument to the net carrying amount on initial recognition

Impairment of financial assets
Financial assets, other than those held at fair value are assessed for indicators of impairment at each reporting end date.
Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. The impairment loss is recognised in the Statement of Total Comprehensive Income

Derecognition of financial assets
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

Basic financial liabilities
Basic financial liabilities, including trade and other payables and loans from company undertakings that are classified as debt are initially measured 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 the market rate of interest .

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payables are classified as current liabilities if a payment is due within one year or less. If not, they are present as non current liabilities. Short term creditors are initially recognised at transaction price and where material are subsequently measured at amortised cost using the effective interest method

Derecognition of financial liabilities
Financial liabilities are derecognised when, and only when, the company's obligations are discharged, cancelled, or they expire.

DAFFODIL ENERGY SUPPLY LIMITED (REGISTERED NUMBER: 10666902)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 JUNE 2024


3. CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY

In the application of the company’s accounting policies, 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.

Key sources of estimation uncertainty
The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.

Amortisation of development costs
Determining the amortisation rate involves judgement as to the useful life of assets, particularly where development is ongoing as is the case with the development costs. The carrying value of the development costs as at the year end is £133,473 (2023: £99,079).

Recoverability of loans due to the group
Loan balances are reviewed and estimates are made as to whether the balances are deemed recoverable based on directors knowledge and the information available.

4. TURNOVER

The turnover and profit before taxation are attributable to the one principal activity of the group.

5. OTHER OPERATING INCOME
30.6.24 30.6.23
£    £   
Sundry receipts 185,213 31,916

6. EMPLOYEES AND DIRECTORS
30.6.24 30.6.23
£    £   
Wages and salaries 1,065,090 787,668
Social security costs 127,289 79,367
Other pension costs 11,575 9,163
1,203,954 876,198

The average number of employees during the year was as follows:
30.6.24 30.6.23

Administrative employees 14 25

The average number of employees by undertakings that were proportionately consolidated during the year was 14 (2023 - 25 ) .

DAFFODIL ENERGY SUPPLY LIMITED (REGISTERED NUMBER: 10666902)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 JUNE 2024


6. EMPLOYEES AND DIRECTORS - continued

30.6.24 30.6.23
£    £   
Directors' remuneration 243,000 148,000

Information regarding the highest paid director for the year ended 30 June 2024 is as follows:
30.6.24
£   
Emoluments etc 243,000

7. OPERATING PROFIT

The operating profit is stated after charging:

30.6.24 30.6.23
£    £   
Other operating leases 50,400 45,000
Depreciation - owned assets 3,768 3,678
Development costs amortisation 109,354 82,495

8. AUDITORS' REMUNERATION
30.6.24 30.6.23
£    £   
Fees payable to the company's auditors for the audit of the company's
financial statements

38,000

-
Auditors' remuneration for non audit work 6,000 -

9. INTEREST RECEIVABLE AND SIMILAR INCOME
30.6.24 30.6.23
£    £   
Bank account interest 34,778 34,989

10. INTEREST PAYABLE AND SIMILAR EXPENSES
30.6.24 30.6.23
£    £   
Loan interest 65,999 -

DAFFODIL ENERGY SUPPLY LIMITED (REGISTERED NUMBER: 10666902)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 JUNE 2024


11. TAXATION

Analysis of the tax charge
The tax charge on the profit for the year was as follows:
30.6.24 30.6.23
£    £   
Current tax:
UK corporation tax 1,231,123 831,834
Tax credits - (39,990 )
Total current tax 1,231,123 791,844

Deferred tax - 12,189
Tax on profit 1,231,123 804,033

Reconciliation of total tax charge included in profit and loss
The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below:

30.6.24 30.6.23
£    £   
Profit before tax 4,949,991 4,078,688
Profit multiplied by the standard rate of corporation tax in the UK of 25 %
(2023 - 20.500 %)

1,237,498

836,131

Effects of:
Expenses not deductible for tax purposes 1,423 2,088
Capital allowances in excess of depreciation (7,798 ) (6,385 )
Tax credits - (39,990 )
Deferred tax - 12,189
Total tax charge 1,231,123 804,033

12. INDIVIDUAL INCOME STATEMENT

As permitted by Section 408 of the Companies Act 2006, the Income Statement of the parent company is not presented as part of these financial statements.


DAFFODIL ENERGY SUPPLY LIMITED (REGISTERED NUMBER: 10666902)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 JUNE 2024


13. INTANGIBLE FIXED ASSETS

Group
Patents
and Development
licences costs Totals
£    £    £   
COST
At 1 July 2023 100,000 482,008 582,008
Additions - 143,748 143,748
At 30 June 2024 100,000 625,756 725,756
AMORTISATION
At 1 July 2023 - 382,929 382,929
Amortisation for year - 109,354 109,354
At 30 June 2024 - 492,283 492,283
NET BOOK VALUE
At 30 June 2024 100,000 133,473 233,473
At 30 June 2023 100,000 99,079 199,079

14. TANGIBLE FIXED ASSETS

Group
Motor Computer
vehicles equipment Totals
£    £    £   
COST
At 1 July 2023 4,922 44,143 49,065
Additions - 567 567
At 30 June 2024 4,922 44,710 49,632
DEPRECIATION
At 1 July 2023 1,230 38,564 39,794
Charge for year 1,231 2,537 3,768
At 30 June 2024 2,461 41,101 43,562
NET BOOK VALUE
At 30 June 2024 2,461 3,609 6,070
At 30 June 2023 3,692 5,579 9,271

DAFFODIL ENERGY SUPPLY LIMITED (REGISTERED NUMBER: 10666902)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 JUNE 2024


15. FIXED ASSET INVESTMENTS

Company
Shares in
group
undertakings
£   
COST
At 1 July 2023
and 30 June 2024 1
NET BOOK VALUE
At 30 June 2024 1
At 30 June 2023 1


16. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Group Company
30.6.24 30.6.23 30.6.24 30.6.23
£    £    £    £   
Trade debtors 6,068,950 5,743,010 - -
Other debtors 240,675 99 99 99
Deposits 515,389 409,004 - -
Wages debtor 576 - - -
VAT 407,397 263,463 - -
Accruals & Prepayments 724,126 1,328,079 - -
7,957,113 7,743,655 99 99

17. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Group
30.6.24 30.6.23
£    £   
Trade creditors 3,126,453 3,832,540
Amounts owed to participating interests 268,440 188,074
Taxation 810,308 857,372
Social security and other taxes 45,191 32,500
Other creditors - 160,772
Pension control 9,206 15,748
Accrued expenses 1,634,942 476,097
5,894,540 5,563,103

DAFFODIL ENERGY SUPPLY LIMITED (REGISTERED NUMBER: 10666902)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 JUNE 2024


18. PROVISIONS FOR LIABILITIES

Group
30.6.24 30.6.23
£    £   
Deferred tax 26,165 26,165

Group
Deferred
tax
£   
Balance at 1 July 2023 26,165
Balance at 30 June 2024 26,165

19. CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:
Number: Class: Nominal 30.6.24 30.6.23
value: £    £   
100 Ordinary 1 100 100

20. PENSION COMMITMENTS

The charge to the profit or loss in respect of defined contribution schemes was £11,575 (2023: £9,163).

The group operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the group in an independently administered fund.

21. FINANCIAL COMMITMENTS

During the year the group had entered into various agreements to forward purchase energy at a fixed price as of 30 June 2024. The total agreed price for these agreements was £14,603,801, (2023 - £16,100,000). The group also entered into various agreements to forward sell energy at a fixed price as at 30 June 2024. The total agreed price for these agreements was £995.380. A connected company who is also a participating shareholder has provided guarantees in respect of these agreements. The energy was purchased on behalf of customers, who have entered into agreements to purchase the energy at an agreed price.

DAFFODIL ENERGY SUPPLY LIMITED (REGISTERED NUMBER: 10666902)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 JUNE 2024


22. RELATED PARTY DISCLOSURES

During the year, the group entered into the following transactions with related parties:

During the year revenue of £19,403,748 (2023: £17,922,671) was charged to an entity with the same directors as the group. Expenses of £5,136,589 (2023: £3,564,899) were charged from the same entity. Included in trade debtors is the balance with the entity of £2,254,745 (2023: £1,322,216) which is unsecured and interest free. In the the prior year there was a balance of £456,599 due to the entity included in trade creditors. This year the respective trade creditor balance has been netted off and included in the trade debtor balance due to the fact that the entity receives payment for sales net of
the expenses due.

At the year end there was a balance due from an associated entity of £268,431 (2023: £188,074). The current year balance is interest free and repayable on demand.

23. ULTIMATE CONTROLLING PARTY

There is no ultimate controlling party of Daffodil Energy Supply Limited.

The smallest and largest group for which consolidated accounts are drawn up, of which this company is a member, is Daffodil Energy Supply Limited. The registered office for Daffodil Energy Supply Limited is Gable House, 239 Regents Park Road, London, United Kingdom, N3 3LF.