Caseware UK (AP4) 2024.0.164 2024.0.164 2024-12-312024-12-3119false212024-01-01falseNo description of principal activityfalsefalse 03514174 2024-01-01 2024-12-31 03514174 2023-01-01 2023-12-31 03514174 2024-12-31 03514174 2023-12-31 03514174 2023-01-01 03514174 1 2024-01-01 2024-12-31 03514174 1 2023-01-01 2023-12-31 03514174 3 2024-01-01 2024-12-31 03514174 3 2023-01-01 2023-12-31 03514174 5 2024-01-01 2024-12-31 03514174 5 2023-01-01 2023-12-31 03514174 d:Director2 2024-01-01 2024-12-31 03514174 d:RegisteredOffice 2024-01-01 2024-12-31 03514174 e:OfficeEquipment 2024-01-01 2024-12-31 03514174 e:OfficeEquipment 2024-12-31 03514174 e:OfficeEquipment 2023-12-31 03514174 e:OfficeEquipment e:OwnedOrFreeholdAssets 2024-01-01 2024-12-31 03514174 e:ComputerSoftware 2024-12-31 03514174 e:ComputerSoftware 2023-12-31 03514174 e:CurrentFinancialInstruments 2024-12-31 03514174 e:CurrentFinancialInstruments 2023-12-31 03514174 e:Non-currentFinancialInstruments 2024-12-31 03514174 e:Non-currentFinancialInstruments 2023-12-31 03514174 e:CurrentFinancialInstruments e:WithinOneYear 2024-12-31 03514174 e:CurrentFinancialInstruments e:WithinOneYear 2023-12-31 03514174 e:Non-currentFinancialInstruments e:AfterOneYear 2024-12-31 03514174 e:Non-currentFinancialInstruments e:AfterOneYear 2023-12-31 03514174 e:ReportableOperatingSegment1 2024-01-01 2024-12-31 03514174 e:ReportableOperatingSegment1 2023-01-01 2023-12-31 03514174 e:ReportableOperatingSegment2 2024-01-01 2024-12-31 03514174 e:ReportableOperatingSegment2 2023-01-01 2023-12-31 03514174 e:ReportableOperatingSegment3 2024-01-01 2024-12-31 03514174 e:ReportableOperatingSegment3 2023-01-01 2023-12-31 03514174 e:ReportableOperatingSegment5 2024-01-01 2024-12-31 03514174 e:ReportableOperatingSegment5 2023-01-01 2023-12-31 03514174 f:UnitedKingdom 2024-01-01 2024-12-31 03514174 f:UnitedKingdom 2023-01-01 2023-12-31 03514174 f:RestEuropeOutsideUK 2024-01-01 2024-12-31 03514174 f:RestEuropeOutsideUK 2023-01-01 2023-12-31 03514174 f:RestWorldOutsideUK 2024-01-01 2024-12-31 03514174 f:RestWorldOutsideUK 2023-01-01 2023-12-31 03514174 e:UKTax 2024-01-01 2024-12-31 03514174 e:UKTax 2023-01-01 2023-12-31 03514174 e:ShareCapital 2024-01-01 2024-12-31 03514174 e:ShareCapital 2024-12-31 03514174 e:ShareCapital 2023-01-01 2023-12-31 03514174 e:ShareCapital 2023-12-31 03514174 e:ShareCapital 2023-01-01 03514174 e:OtherMiscellaneousReserve 2024-01-01 2024-12-31 03514174 e:OtherMiscellaneousReserve 2024-12-31 03514174 e:OtherMiscellaneousReserve 2023-01-01 2023-12-31 03514174 e:OtherMiscellaneousReserve 2023-12-31 03514174 e:OtherMiscellaneousReserve 2023-01-01 03514174 e:RetainedEarningsAccumulatedLosses 2024-01-01 2024-12-31 03514174 e:RetainedEarningsAccumulatedLosses 2024-12-31 03514174 e:RetainedEarningsAccumulatedLosses 2023-01-01 2023-12-31 03514174 e:RetainedEarningsAccumulatedLosses 2023-12-31 03514174 e:RetainedEarningsAccumulatedLosses 2023-01-01 03514174 d:OrdinaryShareClass1 2024-01-01 2024-12-31 03514174 d:OrdinaryShareClass1 2024-12-31 03514174 d:OrdinaryShareClass1 2023-12-31 03514174 d:FRS102 2024-01-01 2024-12-31 03514174 d:Audited 2024-01-01 2024-12-31 03514174 d:FullAccounts 2024-01-01 2024-12-31 03514174 d:PrivateLimitedCompanyLtd 2024-01-01 2024-12-31 03514174 e:WithinOneYear 2024-12-31 03514174 e:WithinOneYear 2023-12-31 03514174 e:BetweenOneFiveYears 2024-12-31 03514174 e:BetweenOneFiveYears 2023-12-31 03514174 e:AcceleratedTaxDepreciationDeferredTax 2024-12-31 03514174 e:AcceleratedTaxDepreciationDeferredTax 2023-12-31 03514174 e:ComputerSoftware e:OwnedIntangibleAssets 2024-01-01 2024-12-31 03514174 g:PoundSterling 2024-01-01 2024-12-31 xbrli:shares iso4217:GBP xbrli:pure

Registered number: 03514174










SB TELECOM EUROPE LTD.









DIRECTOR'S REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

 
SB TELECOM EUROPE LTD.
 
 
COMPANY INFORMATION


Director
Tatsuya Kaneto 




Registered number
03514174



Registered office
16 Great Queen Street
Covent Garden

London

WC2B 5AH




Independent auditor
Blick Rothenberg Audit LLP
Chartered Accountants & Statutory Auditor

16 Great Queen Street

Covent Garden

London

WC2B 5AH





 
SB TELECOM EUROPE LTD.
 

CONTENTS



Page
Director's Report
1 - 3
Independent Auditor's Report
4 - 7
Statement of Comprehensive Income
8
Balance Sheet
9
Statement of Changes in Equity
10
Statement of Cash Flows
11
Analysis of Net Debt
12
Notes to the Financial Statements
13 - 26


 
SB TELECOM EUROPE LTD.
 
 
 
DIRECTOR'S REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024
DIRECTOR'S REPORT


The Director presents his report and the financial statements for the year ended 31 December 2024.

The Director is responsible for preparing the Director's Report and the financial statements in accordance with applicable law and regulations.
 
Company law requires the Director to prepare financial statements for each financial year. Under that law the Director has 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 Director must not approve the financial statements unless he is 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 Director is required to:


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

make judgments 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 Director is 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 him to ensure that the financial statements comply with the Companies Act 2006He is 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.

The Director is responsible for the maintenance and integrity of the corporate and financial information included on the Company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements and other information included in Director's Reports may differ from legislation in other jurisdictions.



Results for the year

The profit for the year, after taxation, amounted to £481,236 (2023 - £399,291).

Director

The Director who served during the year was:

Tatsuya Kaneto 

Future developments

The director is not aware, at the date of the "Director's report and financial statements", of any likely changes in the Company's activities in the next year. The Company continues to provide IT and digital marketing services  and these activities are the main sources of income and expenditure for the Company.

Page 1

 
SB TELECOM EUROPE LTD.
 
 
 
DIRECTOR'S REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024

Financial instruments

Credit Risk
The Company defines credit risk as the risk that a customer will not meet its obligations under a sale of services contract leading to a financial loss. The company has a policy in place regarding to trade debtors collection as well as due diligence on 3rd party customers. The director considers that the Company has successfully reduced its credit risk as much as economically viable, and it continues to monitor its credit risk position very closely.
Liquidity risk
Liquidity risk is the risk that cash may not be available, or the assets cannot be liquidated at a reasonable cost, to pay obligations when they fall due. To guard against this risk, assets are managed with liquidity in mind maintaining a healthy balance of cash and cash equivalents. The maturity profile is monitored to ensure adequate liquidity is maintained. Therefore the liquidity risk is low.
Exchange rate risk
The company is exposed to foreign exchange risk from most of its trading balances due to its parent company (amounts owed to group companies and receivable from group companies). The principal transaction exposures are JPY. There are fluctuations because of converting year end balances at the closing rate. In the current year, there were large exchange losses incurred from the exchange rate fluctuation between the JPY and GBP. The company manages foreign currency exchange risk by mainly issuing invoices in its functional currency (GBP) and by receiving supplier invoices in various foreign currencies, including Japanese Yen. Overall, this mitigates against the exchange risk.

Qualifying third party indemnity provisions

The Company has granted an indemnity to its director against liability in respect of proceedings brought by third parties in the execution of his duties of office. The indemnity is a qualifying third party indemnity provision under section 234 of the Companies Act 2006. This qualifying third party indemnity provision remains in force at the date of approving the director’s report. 

Disclosure of information to auditor

The Director at the time when this Director's Report is approved has confirmed that:
 
so far as he is aware, there is no relevant audit information of which the Company's auditor is unaware, and

he 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.

Auditor

The company’s auditor, Greenback Alan LLP, ceased to operate as a registered auditor on 31 March 2025 and its business was transferred to Blick Rothenberg. Accordingly the company appointed Blick Rothenberg Audit LLP as its auditor in accordance with section 485 of the Companies Act 2006.

Strategic Report
The company is a member of an ineligible group so is not permitted to prepare accounts under the small companies regime but has taken advantage of the exemption available under section 414B of the Companies Act 2006 from the requirement to prepare a strategic report or business review within the director's report.
This director's report has been preprared in accordance with the provisions applicable to companies entitled to the small companies exemption under Section 415A of the Companies Act 2006.

Page 2

 
SB TELECOM EUROPE LTD.
 
 
 
DIRECTOR'S REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024

This report was approved by the board on 2 September 2025 and signed on its behalf.
 





Tatsuya Kaneto
Director

Page 3

 
SB TELECOM EUROPE LTD.
 
 
 
INDEPENDENT AUDITOR'S REPORT TO THE DIRECTOR OF SB TELECOM EUROPE LTD.
 

Opinion


We have audited the financial statements of SB Telecom Europe Ltd. (the 'Company') for the year ended 31 December 2024, which comprise the Statement of Comprehensive Income, the Balance Sheet, the Statement of Cash Flows, the Statement of Changes in Equity and the related notes, 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 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.


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 Director's 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 Director with respect to going concern are described in the relevant sections of this report.


Page 4

 
SB TELECOM EUROPE LTD.
 
 
 
INDEPENDENT AUDITOR'S REPORT TO THE DIRECTOR OF SB TELECOM EUROPE LTD. (CONTINUED)


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 Director is 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 our 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.


Opinion 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 Director's Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the Director's Report has 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 Director's 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 director
 

As explained more fully in the Director's Responsibilities Statement set out on page 1, the Director is 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 Director determines 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 Director is 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 Director either intends to liquidate the Company or to cease operations, or have no realistic alternative but to do so.


Page 5

 
SB TELECOM EUROPE LTD.
 
 
 
INDEPENDENT AUDITOR'S REPORT TO THE DIRECTOR OF SB TELECOM EUROPE LTD. (CONTINUED)


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.


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:

the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations
we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge and experience of the company's indusry;
we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006, taxation legislation, anti-bribery and employment law;
we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and
identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.

We assessed the susceptibility of the company’s financial statements to material misstatement, including
obtaining an understanding of how fraud might occur, by:

making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and
considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.

To address the risk of fraud through management bias and override of controls, we:

performed analytical procedures to identify any unusual or unexpected relationships;
tested a sample of journal entries to identify unusual transactions; and
investigated the rationale behind significant or unusual transactions.
 
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:

agreeing financial statement disclosures to underlying supporting documentation;
reading the minutes of meetings of those charged with governance;
enquiring of management as to actual and potential litigation and claims; and
reviewing correspondence with HM Revenue and Customs, and the company’s legal advisors.

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance.
Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations
to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if
any.
Page 6

 
SB TELECOM EUROPE LTD.
 
 
 
INDEPENDENT AUDITOR'S REPORT TO THE DIRECTOR OF SB TELECOM EUROPE LTD. (CONTINUED)



Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they
may involve deliberate concealment or collusion. 


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.


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.





Yusuke Takanishi (Senior Statutory Auditor)
  
for and on behalf of
Blick Rothenberg Audit LLP
 
Chartered Accountants
Statutory Auditor
  
16 Great Queen Street
Covent Garden
London
WC2B 5AH

2 September 2025
Page 7

 
SB TELECOM EUROPE LTD.
 
 
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2024

2024
2023
Note
£
£

  

Turnover
 4 
3,702,407
3,370,792

Cost of sales
  
(723,547)
(471,288)

Gross profit
  
2,978,860
2,899,504

Administrative expenses
  
(2,331,204)
(2,402,130)

Operating profit
 5 
647,656
497,374

Gain on write-down of Investment
  
-
23,429

Interest payable and similar expenses
 9 
(1,300)
(900)

Profit before tax
  
646,356
519,903

Tax on profit
 10 
(165,120)
(120,612)

Profit for the financial year
  
481,236
399,291

There was no other comprehensive income for 2024 (2023:£NIL).

The notes on pages 13 to 26 form part of these financial statements.

Page 8

 
SB TELECOM EUROPE LTD.
REGISTERED NUMBER: 03514174

BALANCE SHEET
AS AT 31 DECEMBER 2024

2024
2023
Note
£
£

Fixed assets
  

Intangible assets
 11 
4,195
8,390

Tangible assets
 12 
1,433
5,329

  
5,628
13,719

Current assets
  

Debtors: amounts falling due after more than one year
 13 
-
2,617

Debtors: amounts falling due within one year
 13 
1,146,325
583,471

Cash at bank and in hand
  
3,113,532
3,095,714

  
4,259,857
3,681,802

Creditors: amounts falling due within one year
 14 
(532,885)
(441,540)

Net current assets
  
 
 
3,726,972
 
 
3,240,262

Total assets less current liabilities
  
3,732,600
3,253,981

Creditors: amounts falling due after more than one year
 15 
-
(2,617)

  

Net assets
  
3,732,600
3,251,364


Capital and reserves
  

Called up share capital 
 17 
1,200,000
1,200,000

Other reserves
 18 
4,452
4,452

Profit and loss account
 18 
2,528,148
2,046,912

  
3,732,600
3,251,364


The  financial statements were approved and authorised for issue by the board and were signed on its behalf on 2 September 2025.




Tatsuya Kaneto
Director

The notes on pages 13 to 26 form part of these financial statements.

Page 9
 

 
SB TELECOM EUROPE LTD.


 

STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2024



Called up share capital
Other reserves
Profit and loss account
Total equity


£
£
£
£



At 1 January 2023
1,200,000
4,452
1,647,621
2,852,073



Comprehensive income for the year


Profit for the year
-
-
399,291
399,291

Total comprehensive income for the year
-
-
399,291
399,291





At 1 January 2024
1,200,000
4,452
2,046,912
3,251,364



Comprehensive income for the year


Profit for the year
-
-
481,236
481,236

Total comprehensive income for the year
-
-
481,236
481,236



At 31 December 2024
1,200,000
4,452
2,528,148
3,732,600



The notes on pages 13 to 26 form part of these financial statements.

Page 10
 
SB TELECOM EUROPE LTD.
 

STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2024

2024
2023
£
£

Cash flows from operating activities

Profit for the financial year
481,236
399,291

Adjustments for:

Amortisation of intangible assets
4,195
4,195

Depreciation of tangible assets
3,896
5,236

Interest paid
1,300
900

Taxation charge
165,120
120,612

Decrease in debtors
83,749
16,558

(Increase) in amounts owed by groups
(642,590)
(25,141)

(Decrease)/increase in creditors
(49,348)
25,176

Increase in amounts owed to groups
105,774
17,558

Corporation tax (paid)
(134,214)
(109,290)

Net cash generated from operating activities

19,118
455,095


Cash flows from investing activities

Purchase of tangible fixed assets
-
(1,233)

Sale of fixed asset investments
-
415,474

Net cash from investing activities

-
414,241

Cash flows from financing activities

Interest paid
(1,300)
(900)

Net cash used in financing activities
(1,300)
(900)

Net increase in cash and cash equivalents
17,818
868,436

Cash and cash equivalents at beginning of year
3,095,714
2,227,278

Cash and cash equivalents at the end of year
3,113,532
3,095,714


Cash and cash equivalents at the end of year comprise:

Cash at bank and in hand
3,113,532
3,095,714

3,113,532
3,095,714


The notes on pages 13 to 26 form part of these financial statements.

Page 11

 
SB TELECOM EUROPE LTD.
 

ANALYSIS OF NET DEBT
FOR THE YEAR ENDED 31 DECEMBER 2024




At 1 January 2024
Cash flows
At 31 December 2024
£

£

£

Cash at bank and in hand

3,095,714

17,818

3,113,532


3,095,714
17,818
3,113,532

The notes on pages 13 to 26 form part of these financial statements.

Page 12

 
SB TELECOM EUROPE LTD.
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

1.


General information

SB Telecom Europe Ltd. is a private company limited by shares incorporated in England and Wales. Its principal place of business is WeWork 184 Shepherds Bush Road, London, W6 7NL. Its principal activities are the provision of online marketing solutions and digital transformation support.

2.Accounting policies

 
2.1

Basis of preparation of financial statements

The  financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland 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 following principal accounting policies have been applied:

 
2.2

Exemption from preparing consolidated financial statements

The Company is exempt from the requirement to prepare consolidated financial statements as all of its subsidiaries are qualified to be excluded from consolidation by section 405 of the Companies Act 2006. These financial statements are the company's separate financial statements. 

 
2.3

Going concern

After making enquiries, the director has a reasonable expectation that the company has adequate
resources to continue in operational existence and meet its liabilities as they fall due for the
foreseeable future, being a period of at least twelve months from the date these financial statements
were approved. Accordingly, it continues to adopt the going concern basis in preparing the financial
statements.

Page 13

 
SB TELECOM EUROPE LTD.
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

 
2.4

Foreign currency translation

Functional and presentation currency

The Company's functional and presentational currency is GBP.

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 profit or loss except when deferred in other comprehensive income as qualifying cash flow hedges.

Foreign exchange gains and losses that relate to borrowings and cash and cash equivalents are presented in the Statement of Comprehensive Income within 'finance income or costs'. All other foreign exchange gains and losses are presented in profit or loss within 'other operating income'.

 
2.5

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.

Page 14

 
SB TELECOM EUROPE LTD.
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

 
2.6

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.

 
2.7

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.

 
2.8

Current and deferred taxation

The tax expense for the year comprises current and deferred tax. Tax is recognised in profit or loss 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.

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 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 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 balances are 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.


Page 15

 
SB TELECOM EUROPE LTD.
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

 
2.9

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.

Amortisation is included in ‘administrative expenses’ in the profit and loss account.

 
2.10

Tangible fixed assets

Tangible fixed assets under the cost model 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.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Office equipment
-
33%

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 date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

 
2.11

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.

In the Statement of Cash Flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the Company's cash management.

 
2.12

Financial instruments

The company has elected to apply Sections 11 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.
 
Page 16

 
SB TELECOM EUROPE LTD.
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)


2.12
Financial instruments (continued)

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 and cash and bank balances, 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.
Discounting is omitted where the effect of discounting is immaterial. The Company's cash and cash
equivalents, trade and most other receivables due with the operating cycle fall into this category of
financial instruments. 
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, 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.
Discounting is omitted where the effect of discounting is immaterial. 
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
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.


  
2.13

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 17

 
SB TELECOM EUROPE LTD.
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

3.


Judgements in applying accounting policies and key sources of estimation uncertainty

The presentation of the financial statements in conformity with FRS102 requires management to make judgements, estimates and assumptions that affect the application of policies and reported amounts of assets and liabilities, income and expenses. The estimates and associated assumptions are based on historical experience and various other factors that are believed to be reasonable under the circumstances, the results of which form the basis of making the judgements about carrying values of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates.
The key judgements and estimates made by management in preparing these financial statements relate to depreciation of fixed assets, valuation of investments and deferred taxation, and are explained more fully in the respective accounting policy notes. 


4.


Turnover

An analysis of turnover by class of business is as follows:


2024
2023
£
£

Digital Transformation
159,750
181,720

Service Fee
795,142
862,858

Digital Marketing
2,746,374
2,325,019

Other income
1,141
1,195

3,702,407
3,370,792


Analysis of turnover by country of destination:

2024
2023
£
£

United Kingdom
245,429
209,892

Japan
3,359,020
3,054,509

Rest of the world
97,958
106,391

3,702,407
3,370,792



5.


Operating profit

The operating profit is stated after charging:

2024
2023
£
£

Exchange differences
76,020
96,761

Other operating lease rentals
154,667
127,403

Page 18

 
SB TELECOM EUROPE LTD.
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

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 for the audit of the Company's financial statements
26,000
27,000

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

Taxation compliance services
20,290
21,720

All taxation advisory services not included above
2,157
2,130

All non-audit services not included above
97,624
84,014


7.


Employees

Staff costs, including Director's remuneration, were as follows:


2024
2023
£
£

Wages and salaries
1,604,491
1,602,979

Social security costs
88,338
84,441

Cost of defined contribution scheme
56,159
51,778

1,748,988
1,739,198


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


        2024
        2023
            No.
            No.







Sales
17
15



Administration
4
4

21
19

Page 19

 
SB TELECOM EUROPE LTD.
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

8.


Director's remuneration

2024
2023
£
£

Director's emoluments
269,946
320,901

Gains made on exercise of share options
-
19,511

Company contributions to defined contribution pension schemes
1,553
1,877

271,499
342,289


During the year retirement benefits were accruing to 1 Directors (2023 - 2) in respect of defined contribution pension schemes.

The highest paid Director received remuneration of £271,499 (2023 - £173,571).

The value of the Company's contributions paid to a defined contribution pension scheme in respect of the highest paid Director amounted to £1,553 (2023 - £967).

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

No director (2023: One) exercised share options in the parent company's shares during the year.


9.


Interest payable and similar expenses

2024
2023
£
£


Corporation Tax interest Charges
1,300
900

1,300
900


10.


Taxation


2024
2023
£
£

Corporation tax


Current tax on profits for the year
166,516
121,896


Total current tax
166,516
121,896

Deferred tax


Origination and reversal of timing differences
(1,396)
(1,284)

Total deferred tax
(1,396)
(1,284)


Taxation on profit on ordinary activities
165,120
120,612
Page 20

 
SB TELECOM EUROPE LTD.
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
 
10.Taxation (continued)


Factors affecting tax charge for the year

There were no factors that affected the tax charge for the year which has been calculated on the profits on ordinary activities before tax at the standard rate of corporation tax in the UK of  25 % (2023 - 25 %).



Factors that may affect future tax charges

There were no factors that may affect future tax charges.

Page 21

 
SB TELECOM EUROPE LTD.
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

11.


Intangible assets




Computer software

£



Cost


At 1 January 2024
13,872



At 31 December 2024

13,872



Amortisation


At 1 January 2024
5,482


Charge for the year on owned assets
4,195



At 31 December 2024

9,677



Net book value



At 31 December 2024
4,195



At 31 December 2023
8,390



Page 22

 
SB TELECOM EUROPE LTD.
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

12.


Tangible fixed assets





Office equipment

£



Cost or valuation


At 1 January 2024
37,568



At 31 December 2024

37,568



Depreciation


At 1 January 2024
32,239


Charge for the year on owned assets
3,896



At 31 December 2024

36,135



Net book value



At 31 December 2024
1,433



At 31 December 2023
5,329

Page 23

 
SB TELECOM EUROPE LTD.
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

13.


Debtors

2024
2023
£
£

Due after more than one year

Prepayments and accrued income
-
2,617

-
2,617


2024
2023
£
£

Due within one year

Trade debtors
23,230
57,977

Amounts owed by group undertakings
1,025,250
382,660

Other debtors
32,578
34,377

Prepayments and accrued income
63,819
108,405

Deferred taxation
1,448
52

1,146,325
583,471


A change in classification of Debtors in the prior year has been made to Trade debtors £57,977 (2023 - £65,940 and Amounts owed by group undertakings £382,660 (2023 - 374,697).


14.


Creditors: Amounts falling due within one year

2024
2023
£
£

Trade creditors
-
7,486

Amounts owed to group undertakings
253,981
148,207

Corporation tax
59,558
27,256

Other taxation and social security
121,587
134,095

Accruals and deferred income
97,759
124,496

532,885
441,540



15.


Creditors: Amounts falling due after more than one year

2024
2023
£
£

Accruals and deferred income
-
2,617

-
2,617


Page 24

 
SB TELECOM EUROPE LTD.
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

16.


Deferred taxation




2024


£






At beginning of year
52


Charged to the profit or loss
1,396



At end of year
1,448

The deferred tax asset is made up as follows:

2024
2023
£
£


Accelerated capital allowances
1,448
52

1,448
52


The net deferred tax liability reversed in 2024 is £Nil (2023: £1,232). This primarily relates to the reversal of timing differences on acquired tangible assets and capital allowances through depreciation, offset by expected tax deductions when payments are made to utilise provisions.


17.


Share capital

2024
2023
£
£
Allotted, called up and fully paid



1,200,000 (2023 - 1,200,000) Ordinary shares of £1.00 each
1,200,000
1,200,000

There is a single class of ordinary shares. There are no restrictions on the distribution of dividends and the repayment of capital. 



18.


Reserves

Other reserves

Other reserves arose on the repurchase of the Company's own shares in 2001. 

Profit and loss account

The profit and loss reserve account consists of cumulative total of all current and prior period profit and losses.

Page 25

 
SB TELECOM EUROPE LTD.
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024

19.


Pension commitments

The Company operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the Company in an independently administered fund. The pension cost charge represents contributions payable by the company to the fund and amounted to £56,159 (2023- £51,778). Contributions totalling £NIL (2023 £NIL) were payable to the fund at the balance sheet date and are included in creditors.


20.


Commitments under operating leases

At 31 December 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
115,398
60,823

Later than 1 year and not later than 5 years
20,787
16,915

136,185
77,738


21.


Related party transactions


2024 Transactions in the year
2024 Balances outstanding
2023 Transactions in the year
2023 Balances oustanding
£
£
£
£

Sales to associate companies with same ultimate parent
2,543,674
869,138
2,149,299
162,405
Purchases from associate companies with same ultimate parent
110,058
846
159,400
13,617
2,653,732
869,984
2,308,699
176,022

The amounts owed by and from associate companies with the same ultimate parent are unsecured, interest free and payable on demand. 
The amounts in Purchases from associate companies with same ultimate parent for prior year is restated to £159,400 (2023 - 159,700)


22.


Controlling party

The immediate parent company is SoftBank Corp., a company incorporated in Japan. It holds 100% of the company shares. 
The director regards SoftBank Group Corp., a company incorporated in Japan, to be the ultimate parent company and controlling party.

Page 26