REGISTERED NUMBER: 04608401 (England and Wales)

Financial Statements for the Year Ended 31 December 2024

for

CITIC Telecom (UK) Limited

Page

Company Information

1

Statement of Financial Position

2

Notes to the Financial Statements

3

DIRECTORS:

Ching Wa Wong

Jun Wu

REGISTERED OFFICE:

5 New Street Square

London

EC4A 3TW

REGISTERED NUMBER:

04608401 (England and Wales)

AUDITORS:

Shinewing Wilson Accountancy Limited

Chartered Certified Accountants

and Statutory Auditors

9 St Clare Street

London

EC3N 1LQ

FIXED ASSETS

Tangible assets

4

2,408

3,304

CURRENT ASSETS

Debtors

5

633,077

488,713

Cash at bank

75,469

120,924

708,546

609,637

CREDITORS

Amounts falling due within one year

6

1,733,842

1,713,232

NET CURRENT LIABILITIES

(1,025,296

)

(1,103,595

)

TOTAL ASSETS LESS CURRENT LIABILITIES

(1,022,888

)

(1,100,291

)

CAPITAL AND RESERVES

Called up share capital

2

2

Retained earnings

(1,022,890

)

(1,100,293

)

(1,022,888

)

(1,100,291

)

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 Board of Directors and authorised for issue on 15 September 2025 and were signed on its behalf by:

Ching Wa Wong - Director

1.	STATUTORY INFORMATION

CITIC Telecom (UK) 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.

Going Concern

The company had net current liabilities of £1,025,296 and net liabilities of £1,022,888 as at 31 December 2024, primarily resulting from cumulative losses incurred prior to that date. While a large portion of the liabilities comprises, amounts owed to group undertakings, these group balances will not be demanded for repayment unless the company has sufficient working capital.

Furthermore, the intermediate holding company, CITIC Telecom International Holdings Limited ("CITIC Telecom"), has confirmed in writing that it will continue to support the company for at least 12 months from the date of signing the financial statements. Based on this, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. The company therefore continues to adopt the going concern basis 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.

a) Agency commission, the company acts as an agent for a fellow group entity, CITIC Telecom International Limited ("CITIC HK"). The company facilitates sales and manages customer relationships on behalf of CITIC HK earning a 5% commission. It does not deliver the service, set the price, or bear performance, inventory or credit risks. Only the commission is recognised as revenue.

b) Colocation services, the company coordinates directly with domestic suppliers, receives invoices, and recharges CITIC HK with a 2% markup.

Tangible fixed assets

Fixed assets 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.

Telecom equipment - 12.5% - 33.3% straight line

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 the Income Statement.

Financial instruments

The company has elected to apply the provisions of Section 11 'Basic Financial Instruments' of FRS 102 to all of its financial instruments.

Financial instruments are recognised 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 at bank, 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 financial asset is measured at the present value of the future receipts discounted at a market rate of interest.

Classification of financial liabilities

Financial liabilities are classified according to the substance of the contractual arrangements entered into.

Basic financial liabilities

Basic financial liabilities, including trade and other payables, and amount owed to group undertakings, are initially recognised at transaction price.

Share capital

Financial instruments issued by the company are classified as equity only to the extent that they do not meet the definition of a financial liability or financial asset.

The company's ordinary shares are classified as equity instruments.

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.

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.

Foreign currencies

Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the statement of financial position date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.

Operating leases: the company as lessee

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

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the year was 2 (2023 - 2 ) .

4.	TANGIBLE FIXED ASSETS

Fixtures

Telecom

and

equipment

fittings

Totals

£

£

£

COST

At 1 January 2024

276,492

24,881

301,373

Disposals

(65,720

)

(24,881

)

(90,601

)

At 31 December 2024

210,772

-

210,772

DEPRECIATION

At 1 January 2024

273,188

24,881

298,069

Charge for year

895

-

895

Eliminated on disposal

(65,719

)

(24,881

)

(90,600

)

At 31 December 2024

208,364

-

208,364

NET BOOK VALUE

At 31 December 2024

2,408

-

2,408

At 31 December 2023

3,304

-

3,304

5.

DEBTORS

31.12.24

31.12.23

£

£

Amounts falling due within one year:

Trade debtors - Related Party

288,839

108,739

Other debtors

20,613

30,548

309,452

139,287

Amounts falling due after more than one year:

Other debtors

323,625

349,426

Aggregate amounts

633,077

488,713

Debtors falling due after more than one year represent the deferred tax assets recognised on the timing differences.

6.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

31.12.24

31.12.23

£

£

Trade creditors

3,339

9,156

Amounts owed to group undertakings

1,693,504

1,663,747

Other creditors

36,999

40,329

1,733,842

1,713,232

Amounts owed to group undertakings are unsecured, interest free, have no fixed date of repayment and are repayable on demand.

7.	LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:

31.12.24

31.12.23

£

£

Within one year

17,012

15,708

Between one and five years

27,493

9,124

44,505

24,832

8.	DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006

The Report of the Auditors was unqualified.

Nijendra Dhungana FCCA (Senior Statutory Auditor)

for and on behalf of Shinewing Wilson Accountancy Limited

9.	RELATED PARTY DISCLOSURES

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.

10.	ULTIMATE CONTROLLING PARTY

The immediate parent company is ComNet International Holdings Limited, which is incorporated in British Virgin Islands.

The smallest group to consolidate these financial statements is CITIC Telecom, a company registered in Hong Kong and copies of the consolidated financial statements can be obtained from its company website https://www.citictel.com.

The ultimate controlling party is CITIC Group Corporation, which is a wholly stated-owned company in the People's Republic of China.