Company registration number 03169754 (England and Wales)
HKS EUROPE LTD
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2025
PAGES FOR FILING WITH REGISTRAR
HKS EUROPE LTD
CONTENTS
Page
Balance sheet
1
Notes to the financial statements
2 - 9
HKS EUROPE LTD
BALANCE SHEET
AS AT 30 JUNE 2025
30 June 2025
- 1 -
2025
2024
Notes
£
£
£
£
Fixed assets
Tangible assets
4
632
1,375
Current assets
Stocks
6
613,023
629,542
Debtors
7
215,824
168,316
Cash at bank and in hand
550,720
541,293
1,379,567
1,339,151
Creditors: amounts falling due within one year
8
(48,935)
(25,925)
Net current assets
1,330,632
1,313,226
Total assets less current liabilities
1,331,264
1,314,601
Provisions for liabilities
157
35
Net assets
1,331,421
1,314,636
Capital and reserves
Called up share capital
11
573,000
573,000
Profit and loss reserves
12
758,421
741,636
Total equity
1,331,421
1,314,636

The notes on pages 2 to 9 form part of these financial statements.

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

The directors of the company have elected not to include a copy of the profit and loss account within the financial statements.true

The financial statements were approved by the board of directors and authorised for issue on 3 September 2025 and are signed on its behalf by:
Mr M Yumeda
Director
Company registration number 03169754 (England and Wales)
HKS EUROPE LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2025
- 2 -
1
Accounting policies
Company information

HKS Europe Ltd is a private company limited by shares incorporated in England and Wales. The registered office is Units 4-5 Sawfield House, Alconbury Hill, Alconbury Weston, Huntingdon, Cambridgeshire, PE28 4JL.

1.1
Accounting convention

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary a mounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.

1.2
Turnover

Revenue comprises sales of goods or services provided to customers net of value added tax and other sales taxes, less an appropriate deduction for actual and expected returns and discounts. Revenue is recognised when performance obligations are satisfied and the control of goods or services is transferred to the buyer. Where the performance obligation is satisfied over time, revenue is recognised in accordance with its progress towards complete satisfaction of that performance obligation.

When cash inflows are deferred and represent a financing arrangement, the promised consideration is adjusted for the effects of the time value of money, which is recognised as interest income.

The nature, timing of satisfaction of performance obligations and significant payment terms of the company's major sources of revenue are as follows:

Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.

1.3
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:

Leasehold land and buildings
Term of leases
Plant and equipment
10% Straight Line
Fixtures and fittings
25% Straight Line
Motor vehicles
25% Reducing Balance
HKS EUROPE LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2025
1
Accounting policies
(Continued)
- 3 -

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.

1.4
Impairment of fixed assets

At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

1.5
Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition.

Stocks held for distribution at no or nominal consideration are measured at the lower of cost and replacement cost, adjusted where applicable for any loss of service potential.

At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.

1.6
Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

HKS EUROPE LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2025
1
Accounting policies
(Continued)
- 4 -
1.7
Financial instruments

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Classification of financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

Basic financial liabilities

Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future paymen ts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

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

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. A m ounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

1.8
Equity instruments

Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

1.9
Taxation

The tax expense represents the sum of the tax currently payable and deferred tax.

Current tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

HKS EUROPE LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2025
1
Accounting policies
(Continued)
- 5 -
Deferred tax

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.

1.10
Employee benefits

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.11
Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

1.12
Leases
As lessee

Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the lease s asset are consumed.

1.13

Holiday pay accrual

A liability is recognised to the extent of any unused holiday pay entitlement which is accrued at the balance sheet date and carried forward to future periods. This is measured at the undiscounted salary cost of the future holiday entitlement so accrued at the balance sheet date.

2
Judgements and key sources of estimation uncertainty

In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

HKS EUROPE LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2025
2
Judgements and key sources of estimation uncertainty
(Continued)
- 6 -
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.

Obsolete Stock

Stock is held at the lower of cost and net realisable value, stock lines are regularly assessed and are written down where management deem these items to be slow moving.

Depreciation

The annual depreciation charge for tangible assets is estimated based on their useful economic lives.

3
Employees

The average monthly number of persons (including directors) employed by the company during the year was:

2025
2024
Number
Number
Total
7
7
4
Tangible fixed assets
Land and buildings
Plant and machinery etc
Total
£
£
£
Cost
At 1 July 2024 and 30 June 2025
179,291
71,205
250,496
Depreciation and impairment
At 1 July 2024
179,291
69,830
249,121
Depreciation charged in the year
-
0
743
743
At 30 June 2025
179,291
70,573
249,864
Carrying amount
At 30 June 2025
-
0
632
632
At 30 June 2024
-
0
1,375
1,375
5
Financial instruments
2025
2024
£
£
Carrying amount of financial assets include:
Instruments measured at fair value through profit or loss
550,720
541,293
HKS EUROPE LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2025
- 7 -
6
Stocks
2025
2024
£
£
Stocks
613,023
629,542

Stock recognised in cost of sales during the year as an expense was £865,147 (2024 ‑ £906,078). An impairment loss of £11,759 (2024 ‑ £19,827) was recognised in cost of sales against stock during the year due to slow‑moving and obsolete stock.

7
Debtors
2025
2024
Amounts falling due within one year:
£
£
Trade debtors
210,899
154,325
Other debtors
-
0
8,082
Prepayments and accrued income
4,925
5,909
215,824
168,316

An impairment loss of £Nil (2024 ‑ £116) was provided against trade debtors.

8
Creditors: amounts falling due within one year
2025
2024
£
£
Trade creditors
8,406
4,812
Amounts owed to group undertakings
2,228
-
0
Corporation tax
5,535
1,553
Other taxation and social security
13,176
2,480
Other creditors
3,863
1,198
Accruals and deferred income
15,727
15,882
48,935
25,925
9
Deferred taxation

The following are the major deferred tax liabilities and assets recognised by the company and movements thereon:

Liabilities
Liabilities
2025
2024
Balances:
£
£
Accelerated capital allowances
(132)
(35)
Tax losses
(25)
-
(157)
(35)
HKS EUROPE LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2025
9
Deferred taxation
(Continued)
- 8 -
2025
Movements in the year:
£
Asset at 1 July 2024
(35)
Credit to profit or loss
(122)
Asset at 30 June 2025
(157)
10
Retirement benefit schemes
2025
2024
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
1,796
2,637

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

Contributions totalling £318 (2024 ‑ £577) were payable to the fund at the balance sheet date and are included in creditors.

11
Called up share capital
2025
2024
2025
2024
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
573,000
573,000
573,000
573,000

Each share has full rights in the company with respect to voting, dividends and distributions.

12
Profit and loss reserves

Includes all current and prior period profits and losses of the company, less dividends paid.

13
Audit report information

As the income statement has been omitted from the filing copy of the financial statements, the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006.

The auditor's report is unqualified and includes the following:

HKS EUROPE LTD
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2025
13
Audit report information
(Continued)
- 9 -
Opinion

In our opinion the financial statements:

- give a true and fair view of the state of the company's affairs as at 30 June 2025 and of its profit for the year then ended;

- have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

- have been prepared in accordance with the requirements of the Companies Act 2006.

Senior Statutory Auditor:
Ben Beech ACA
Statutory Auditor:
Whitings LLP
Date of audit report:
3 September 2025
14
Operating lease commitments
As lessee

At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows:

2025
2024
£
£
Total commitments
189,000
56,000
15
Related party transactions

The company are wholly owned by HKS Co. Limited, a company incorporated in Japan.
The company is taking advantage of the exemptions under FRS 102 allowing it not to disclose related party transactions conducted at commercial rates between the company and the parent, due to the company being wholly owned.

16
Parent company

The company's ultimate parent company is HKS Co. Limited, a company incorporated in Japan. The registered office being 7181 Kitayama, Fujinomiya, Shizuoka, 418‑0192 Japan.
The company is exempt from producing consolidated accounts on the basis that its results are included in the non‑EEA group accounts of a larger group (s.401). The largest and smallest group in which the results of the company are consolidated are prepared by HKS Co. Limited, a company incorporated in Japan located at 2266 Kamiide, Fujinomiya, Shizuoka Japan.

2025-06-30 2024-07-01 false false false 03 September 2025 CCH Software CCH Accounts Production 2025.200 No description of principal activity Mr M Yumeda Mr D Mizuguchi Mr T Sakazume Mr N Miyatsuka 03169754 2024-07-01 2025-06-30 03169754 2025-06-30 03169754 2024-06-30 03169754 core:LandBuildings 2025-06-30 03169754 core:OtherPropertyPlantEquipment 2025-06-30 03169754 core:LandBuildings 2024-06-30 03169754 core:OtherPropertyPlantEquipment 2024-06-30 03169754 core:ShareCapital 2025-06-30 03169754 core:ShareCapital 2024-06-30 03169754 core:RetainedEarningsAccumulatedLosses 2025-06-30 03169754 core:RetainedEarningsAccumulatedLosses 2024-06-30 03169754 core:ShareCapitalOrdinaryShareClass1 2025-06-30 03169754 core:ShareCapitalOrdinaryShareClass1 2024-06-30 03169754 bus:Director1 2024-07-01 2025-06-30 03169754 core:LandBuildings core:LongLeaseholdAssets 2024-07-01 2025-06-30 03169754 core:PlantMachinery 2024-07-01 2025-06-30 03169754 core:FurnitureFittings 2024-07-01 2025-06-30 03169754 core:MotorVehicles 2024-07-01 2025-06-30 03169754 2023-07-01 2024-06-30 03169754 core:LandBuildings 2024-06-30 03169754 core:OtherPropertyPlantEquipment 2024-06-30 03169754 2024-06-30 03169754 core:LandBuildings 2024-07-01 2025-06-30 03169754 core:OtherPropertyPlantEquipment 2024-07-01 2025-06-30 03169754 core:CurrentFinancialInstruments 2025-06-30 03169754 core:CurrentFinancialInstruments 2024-06-30 03169754 bus:OrdinaryShareClass1 2024-07-01 2025-06-30 03169754 bus:OrdinaryShareClass1 2025-06-30 03169754 bus:OrdinaryShareClass1 2024-06-30 03169754 bus:PrivateLimitedCompanyLtd 2024-07-01 2025-06-30 03169754 bus:SmallCompaniesRegimeForAccounts 2024-07-01 2025-06-30 03169754 bus:FRS102 2024-07-01 2025-06-30 03169754 bus:Audited 2024-07-01 2025-06-30 03169754 bus:Director2 2024-07-01 2025-06-30 03169754 bus:Director3 2024-07-01 2025-06-30 03169754 bus:Director4 2024-07-01 2025-06-30 03169754 bus:FullAccounts 2024-07-01 2025-06-30 xbrli:pure xbrli:shares iso4217:GBP