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REGISTERED NUMBER: 04548568 (England and Wales)















Financial Statements for the Year Ended 31 December 2024

for

Smartchemistry Group Limited

Smartchemistry Group Limited (Registered number: 04548568)






Contents of the Financial Statements
for the year ended 31 December 2024




Page

Company Information 1

Statement of Financial Position 2

Notes to the Financial Statements 3


Smartchemistry Group Limited

Company Information
for the year ended 31 December 2024







DIRECTOR: Dr M R Warne





REGISTERED OFFICE: West Hill House
Allerton Hill
Chapel Allerton
Leeds
LS7 3QB





REGISTERED NUMBER: 04548568 (England and Wales)





ACCOUNTANTS: Atraxa Consulting Limited
Brooke's Mill
Armitage Bridge
Huddersfield
West Yorkshire
HD4 7NR

Smartchemistry Group Limited (Registered number: 04548568)

Statement of Financial Position
31 December 2024

2024 2023
Notes £    £    £    £   
FIXED ASSETS
Intangible assets 4 3,398 6,482

CURRENT ASSETS
Debtors 5 816 547
Cash at bank 9,904 9,904
10,720 10,451
CREDITORS
Amounts falling due within one year 6 230,144 229,274
NET CURRENT LIABILITIES (219,424 ) (218,823 )
TOTAL ASSETS LESS CURRENT
LIABILITIES

(216,026

)

(212,341

)

CAPITAL AND RESERVES
Called up share capital 13,263 13,263
Share premium 3,795,516 3,795,516
Retained earnings (4,024,805 ) (4,021,120 )
SHAREHOLDERS' FUNDS (216,026 ) (212,341 )

The company is entitled to exemption from audit under Section 477 of the Companies Act 2006 for the year ended 31 December 2024.

The members have not required the company to obtain an audit of its financial statements for the year ended 31 December 2024 in accordance with Section 476 of the Companies Act 2006.

The director acknowledges his responsibilities for:
(a)ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and
(b)preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company.

The financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

In accordance with Section 444 of the Companies Act 2006, the Income Statement has not been delivered.

The financial statements were approved by the director and authorised for issue on 4 August 2025 and were signed by:





Dr M R Warne - Director


Smartchemistry Group Limited (Registered number: 04548568)

Notes to the Financial Statements
for the year ended 31 December 2024

1. STATUTORY INFORMATION

Smartchemistry Group 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 Company 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" including the provisions of Section 1A "Small Entities" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Related party exemption
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.

Smartchemistry Group Limited (Registered number: 04548568)

Notes to the Financial Statements - continued
for the year ended 31 December 2024

2. ACCOUNTING POLICIES - continued

Changes in accounting policies
New Standards and interpretations

(a) New and amended Standards and Interpretations adopted by the Company

Amendments have been made to IAS 1 Presentation of Financial Statements and IAS 8 Accounting Policies, Changes in Accounting Estimates and Errors in relation to the definition of material. The amendments clarify the definition of what is material to the financial statements and how to apply the definition, but are not expected to have a material impact on the entity in the current or future reporting periods.

(b) New and amended Standards and Interpretations issued but not effective for the financial year beginning 1 January 2024.

Certain new accounting standards and interpretations have been published that are not mandatory for 31 December 2024 reporting periods and have not been early adopted by the company. These standards are not expected to have a material impact on the entity in the current or future reporting periods and on foreseeable future transactions.

Going concern
Notwithstanding the loss for the year of £3,685, the financial statements of Smartchemistry Group Limited have been prepared on a going concern basis which the directors consider to be appropriate for the following reasons:

The Company is a wholly owned subsidiary of ChemAI Limited, which is the ultimate UK parent of a number of subsidiaries (here on referred to as the 'Group'). The Company's cash flows are dependent on the performance of this Group as a whole.

The Company meets its day to day working capital requirements through operational cash flows along with intercompany funding from its parent company.

The directors have performed a going concern assessment which indicates that, in both the base and reasonably possible downsides, the Company will require additional funds, through funding from its parent company, to meet its liabilities as they fall due during the going concern assessment period.

ChemAI Limited has indicated its intention to continue to make available such funds as are needed by the Company, and that it does not intend to seek repayment of the amounts currently due to the parent company which at 31 December 2024 amounted to £225,000, during the going concern assessment period, along with any additional balances that will accrue in the year. As with any company placing reliance on other group entities for financial support, the directors acknowledge that there can be no certainty that this support will continue although, at the date of approval of these financial statements, they have no reason to believe that it will not do so.

Consequently, the directors are confident that the Company will have sufficient funds to continue to meet its liabilities as they fall due for at least 12 months from the date of approval of the financial statements and therefore have prepared the financial statements on a going concern basis.

Intangible assets
Intangible assets are initially recognised at cost or deemed cost less provisions for 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 five years.

Patent costs and licensing rights are amortised over their estimated useful economic life of 20 years. Amortisation is included within administrative expenses.

Smartchemistry Group Limited (Registered number: 04548568)

Notes to the Financial Statements - continued
for the year ended 31 December 2024

2. ACCOUNTING POLICIES - continued

Financial instruments
Financial assets and financial liabilities are recognised in the statement of financial position when the company becomes party to the contractual provisions of the instrument. Financial assets are de-recognised when the contractual rights to the cash flows from the financial asset expire or when the contractual rights to those assets are transferred. Financial liabilities are de-recognised when the obligation specified in the contract is discharged, cancelled or expired.

(i) Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and demand deposits.

(ii) Equity instruments
An equity instrument is any contract that evidences a residual interest in the assets of an entity after deducting all of its liabilities. Equity instruments issued by the company are recorded as the proceeds received, net of direct issue costs.

(iii) Trade creditors
Trade creditors are initially measured at their fair value and are subsequently measured at their amortised cost using the effective interest rate method; this method allocates interest expense over the relevant period by applying the "effective interest rate" to the carrying amount of the liability. The effective interest rate is the rate that exactly discounts the estimated future cash flows through the expected life of the financial liability.

(iv) Classification of financial instruments
Following the adoption of IAS 32, financial instruments issued by the Company are treated as equity only to the extent that they meet the following two conditions:

a) they include no contractual obligations upon the company to deliver cash or other financial assets or to exchange financial assets or financial liabilities with another party under conditions that are potentially unfavourable to the company; and

b) where the instrument will or may be settled in the company's own equity instruments, it is either a non-derivative that includes no obligation to deliver a variable number of the company's own equity instruments or is a derivative that will be settled by the company's exchanging a fixed amount of cash or other financial assets for a fixed number of its own equity instruments.

To the extent that this definition is not met, the proceeds of issue are classified as a financial liability. Where the instrument so classified takes the legal form of the company's own shares, the amounts presented in these financial statements for called up share capital and share premium account exclude amounts in relation to those shares.

Where a financial instrument that contains both equity and financial liability components exists these components are separated and accounted for individually under the above policy.

Taxation
Taxation for the year comprises current and deferred tax. Tax is recognised in the 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 statement of financial position date.


Smartchemistry Group Limited (Registered number: 04548568)

Notes to the Financial Statements - continued
for the year ended 31 December 2024

2. ACCOUNTING POLICIES - continued
Deferred tax
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position 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.

Hire purchase and leasing commitments
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease.

3. EMPLOYEES AND DIRECTORS

The average number of employees during the year was NIL (2023 - NIL).

4. INTANGIBLE FIXED ASSETS
Other
intangible
assets
£   
COST
At 1 January 2024
and 31 December 2024 124,454
AMORTISATION
At 1 January 2024 117,972
Charge for year 3,084
At 31 December 2024 121,056
NET BOOK VALUE
At 31 December 2024 3,398
At 31 December 2023 6,482

5. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2024 2023
£    £   
Other debtors 816 547

6. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2024 2023
£    £   
Trade creditors 1,361 1,401
Amounts owed to group undertakings 227,940 226,284
Other creditors 843 1,589
230,144 229,274

Smartchemistry Group Limited (Registered number: 04548568)

Notes to the Financial Statements - continued
for the year ended 31 December 2024

6. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR - continued

Trade creditors are non-interest bearing and are normally settled on 30 day terms. Other creditors and accruals are non-interest bearing. Amounts owed to group undertakings consists of trading balances on which interest is not payable. These are repayable on demand.

7. FINANCIAL INSTRUMENTS

Non-derivative financial assets
At the reporting date, the company held the following non-derivative financial assets:

2024 2023
£    £   
Due within 3 months
Cash and cash equivalents 9,904 9,904
Trade and other receivables 816 547
10,720 10,451

Non-derivative financial liabilities
At the reporting date, the company held the following financial liabilities, all of which were classified as other non-derivative financial liabilities.


2024 2023
£    £   
Due within 3 months
Trade payables 1,361 1,401
Amounts due to group undertakings 227,940 226,284
Accruals 780 1,526
Other payables 63 63
230,144 229,274

8. RELATED PARTY DISCLOSURES

During the year the company entered into transactions, in the ordinary course of business, with other related parties. The company has taken advantage of the exemption in FRS 102 not to disclose transactions with other group companies (being the parent undertaking, ChemAI Ltd (formerly DeepMatter Group Limited) and fellow subsidiary, DeepMatter Ltd).

Terms and conditions of transactions with related parties:
Purchases between related parties are made on an arm's length basis. Outstanding balances with entities other than subsidiaries are unsecured, interest free and cash settlement is expected within 60 days of invoice. Terms and conditions with other group companies are the same, with the exception that balances are placed on intercompany accounts with no specified credit period.

9. POST BALANCE SHEET EVENTS

The Directors are unaware of any events after the reporting period.

10. ULTIMATE CONTROLLING PARTY

The ultimate parent company and ultimate controlling party is ChemAI Limited (formerly DeepMatter Group Limited) which is registered in England and Wales. ChemAI Limited's registered office is West Hill House, Allerton Hill, Chapel Allerton, Leeds, LS7 3QB.