REGISTERED NUMBER: 05036315 (England and Wales)

Group Strategic Report, Report of the Directors and

Consolidated Financial Statements

for the Year Ended 31 March 2025

for

Sema Lease UK Limited

Page

Company Information

1

Group Strategic Report

2

Report of the Directors

4

Report of the Independent Auditors

6

Consolidated Statement of Comprehensive Income

10

Consolidated Balance Sheet

11

Company Balance Sheet

12

Consolidated Statement of Changes in Equity

13

Company Statement of Changes in Equity

14

Consolidated Cash Flow Statement

15

Notes to the Consolidated Cash Flow Statement

16

Notes to the Consolidated Financial Statements

17

DIRECTORS:

G J Balaam

R C Ames

Mrs T Ames

SECRETARY:

G J Balaam

REGISTERED OFFICE:

2 Fison Way

Thetford

Norfolk

IP24 1HT

REGISTERED NUMBER:

05036315 (England and Wales)

AUDITORS:

Knights Lowe Limited

Eldo House

Kempson Way

Suffolk Business Park

Bury St Edmunds

Suffolk

IP32 7AR

The directors present their strategic report of the company and the group for the year ended 31 March 2025.

REVIEW OF BUSINESS

The company has continued with the replacement of the fleet and now looking to increase this as supply constraints ease. It has also been successful in securing the renewal of existing funding lines and raising additional new funding which will hopefully be reflected in an increase in the number of vehicles available to the company for leasing.

The company has maintained strong relationships with a number of the smaller rental companies that are now termed as long term partners and in addition increased its focus on corporate and individual clients.

KEY PERFORMANCE INDICATORS

The directors consider that the key financial performance indicators for the business are turnover, gross profit and pre-tax profit, as outlined below:

2025

2024

£

£

Turnover

17,430,364

22,510,775

Gross Profit

1,537,617

3,139,705

Net profit/(loss) before tax

(576,277

)

666,873

Overall turnover decreased by just over 20% with rental turnover down by 25% due to a reduced fleet following the ongoing limited supply of new cars.

As such disposal volumes also fell reducing that turnover by just over 30% and with used car values having levelled off post pandemic and the micro chip shortage overall profit margins were considerably lower than prior years resulting in substantial decline in GP.

The market for new vehicle supply remained challenging as manufacturers continued their attempts to supply vehicles for the retail sector thus once again limiting supply of large fleet volumes but post year end this situation has eased somewhat as we continue to pursue additional leasing stock to increase our overall fleet volumes.

Our customer base remains steady and loyal with long term customers still replacing their fleets on a rolling annual basis. Our aim now is target some new blue chip larger entities, smaller corporate as well as individuals.

We will also continue to source additional funding lines at competitive rates in an attempt to reduce our interest costs.

PRINCIPAL RISKS AND UNCERTAINTIES

The directors have assessed the major risks facing the company. They are considered to be the normal commercial and operational risks associated with a vehicle leasing business including the funding of future vehicle leases and residual value predictions.

Funding for the business is provided from a variety of sources and these are all reviewed as they fall due. Additional funding is also being secured and these facilities will provide sufficient funding to enable the company to grow its vehicle fleet size.

Disposal proceeds continue to be in excess of residual values, which are always under constant review with each and every batch of vehicles funded. The business relies very much on its own disposal experience as well as industry standard data to predict future values.

Interest Rate Risk

The business considers the level of risk exposure on all debt transactions and takes necessary steps to reduce risk to an acceptable level. For significant obligations the company seeks to arrange fixed rate finance where possible in order to mitigate interest rate risk.

Credit Rate and Liquidity Risk

The company has policies in place to ensure transactions are entered into only with parties that are of acceptable credit quality. The company ensures that there are adequate funds available through credit facilities to meet operational requirements of the business.

FINANCIAL INSTRUMENTS

The financial instruments used by the company arise wholly and directly from its activities. The financial instruments comprise trade debtors, cash at bank, trade creditors and a loan note programme for financing the vehicle fleet. The company has put in place the following measures in order to manage financial risks arising from these financial instruments:

1. The company regularly monitors the level of debtors to ensure that they are kept at reasonable levels and within a predetermined strict credit limit.

2. The company carefully manages its cash position by regularly monitoring its cash flow and with the use of deposit accounts.

3. The company regularly monitors the trade balance and credit terms for all suppliers.

FUTURE DEVELOPMENTS

The directors' plan for the forthcoming year are to continue to source additional funding lines in order to increase the fleet size and continue improving the quality of customer and the retained margins of each unit on lease.

ON BEHALF OF THE BOARD:

G J Balaam - Director

15 September 2025

The directors present their report with the financial statements of the company and the group for the year ended 31 March 2025.

PRINCIPAL ACTIVITY

The principal activity of the group in the year under review was that of short to medium leasing of cars and light vans. This also encompasses the disposal of vehicles at the end of their lease term. The principal activity of the subsidiary continued to be the sale of new and used motor vehicles, servicing and maintenance of vehicles and the supply of parts and accessories.

DIVIDENDS

No final dividend has been declared.

DIRECTORS

The directors shown below have held office during the whole of the period from 1 April 2024 to the date of this report.

G J Balaam

R C Ames

Other changes in directors holding office are as follows:

Mrs T Ames - appointed 4 November 2024

POLITICAL DONATIONS AND EXPENDITURE

Donations for the year amounted to £4,368 (2023: £3,333). These relate to donations to local and national charities. There were no political donations.

STATEMENT OF DIRECTORS' RESPONSIBILITIES

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

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

-	select suitable accounting policies and then apply them consistently;

-	make judgements and accounting estimates that are reasonable and prudent;

-	prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS

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

AUDITORS

The auditors, Knights Lowe Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:

G J Balaam - Director

15 September 2025

Opinion

We have audited the financial statements of Sema Lease UK Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 March 2025 which comprise the Consolidated Statement of Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

-	give a true and fair view of the state of the group's and of the parent company affairs as at 31 March 2025 and of the group's loss for the year then ended;

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

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

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern

In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's and the parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information

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

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

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of the audit:

-	the information given in the Group Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and

-	the Group Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Directors.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:

-	adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or

-	the parent company financial statements are not in agreement with the accounting records and returns; or

-	certain disclosures of directors' remuneration specified by law are not made; or

-	we have not received all the information and explanations we require for our audit.

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities set out on page four, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the group's and the parent company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the group or the parent company or to cease operations, or have no realistic alternative but to do so.

Auditors' responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

- 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 companies operating sector;

- 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, data protection, anti-bribery, employment, environmental and health and safety legislation;

- 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;

- 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 journal entries to identify unusual transactions;

- assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias;

- investigated the rationale behind significant or unusual transactions; and

- specifically tested the used stock valuation including the used stock write-down provision, maintenance contracts, and the buy-back provision. These are areas requiring some level of management judgement and so could be susceptible to management bias.

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;

- reviewing correspondence with HMRC, relevant regulators [Scania for franchise purposes] 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.

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 Report of the Auditors.

Use of our report

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

James Knights BSc ACA (Senior Statutory Auditor)

for and on behalf of Knights Lowe Limited

Eldo House

Kempson Way

Suffolk Business Park

Bury St Edmunds

Suffolk

IP32 7AR

15 September 2025

TURNOVER

4

17,430,364

22,510,775

Cost of sales

15,892,747

19,371,070

GROSS PROFIT

1,537,617

3,139,705

Administrative expenses

989,104

1,137,264

548,513

2,002,441

Other operating income

2,710

1,850

OPERATING PROFIT

6

551,223

2,004,291

Interest receivable and similar income

8

67,561

45,522

618,784

2,049,813

Interest payable and similar expenses

9

1,195,061

1,382,940

(LOSS)/PROFIT BEFORE TAXATION

(576,277

)

666,873

Tax on (loss)/profit

10

246,366

315,122

(LOSS)/PROFIT FOR THE FINANCIAL YEAR

(822,643

)

351,751

OTHER COMPREHENSIVE INCOME

-

-

TOTAL COMPREHENSIVE INCOME FOR THE YEAR

(822,643

)

351,751

(Loss)/profit attributable to:

Owners of the parent

(822,643

)

351,751

Total comprehensive income attributable to:

Owners of the parent

(822,643

)

351,751

FIXED ASSETS

Intangible assets

12

-

-

Tangible assets

13

14,957,574

17,745,432

Investments

14

-

-

14,957,574

17,745,432

CURRENT ASSETS

Stocks

15

272,144

299,944

Debtors

16

5,503,387

6,167,107

Cash at bank and in hand

1,774,345

2,397,115

7,549,876

8,864,166

CREDITORS

Amounts falling due within one year

17

13,929,245

13,916,305

NET CURRENT LIABILITIES

(6,379,369

)

(5,052,139

)

TOTAL ASSETS LESS CURRENT LIABILITIES

8,578,205

12,693,293

CREDITORS

Amounts falling due after more than one year

18

(871,444

)

(3,998,266

)

PROVISIONS FOR LIABILITIES

22

(1,199,368

)

(1,014,991

)

NET ASSETS

6,507,393

7,680,036

CAPITAL AND RESERVES

Called up share capital

23

950

1,000

Capital redemption reserve

50

-

Retained earnings

6,506,393

7,679,036

SHAREHOLDERS' FUNDS

6,507,393

7,680,036

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:

G J Balaam - Director

FIXED ASSETS

Intangible assets

12

-

-

Tangible assets

13

14,786,954

17,571,578

Investments

14

-

-

14,786,954

17,571,578

CURRENT ASSETS

Stocks

15

77,120

56,416

Debtors

16

6,621,564

7,262,796

Cash at bank and in hand

1,853,967

2,416,928

8,552,651

9,736,140

CREDITORS

Amounts falling due within one year

17

13,748,926

13,688,333

NET CURRENT LIABILITIES

(5,196,275

)

(3,952,193

)

TOTAL ASSETS LESS CURRENT LIABILITIES

9,590,679

13,619,385

CREDITORS

Amounts falling due after more than one year

18

(871,444

)

(3,998,266

)

PROVISIONS FOR LIABILITIES

22

(1,199,368

)

(1,014,991

)

NET ASSETS

7,519,867

8,606,128

CAPITAL AND RESERVES

Called up share capital

23

950

1,000

Capital redemption reserve

50

-

Retained earnings

7,518,867

8,605,128

SHAREHOLDERS' FUNDS

7,519,867

8,606,128

Company's (loss)/profit for the financial year

(736,261

)

347,025

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:

G J Balaam - Director

Called up

Capital

share

Retained

redemption

Total

capital

earnings

reserve

equity

£

£

£

£

Balance at 1 April 2023

1,000

7,327,285

-

7,328,285

Changes in equity

Total comprehensive income

-

351,751

-

351,751

Balance at 31 March 2024

1,000

7,679,036

-

7,680,036

Changes in equity

Purchase of own shares

(50

)

(350,000

)

50

(350,000

)

Total comprehensive income

-

(822,643

)

-

(822,643

)

Balance at 31 March 2025

950

6,506,393

50

6,507,393

Called up

Capital

share

Retained

redemption

Total

capital

earnings

reserve

equity

£

£

£

£

Balance at 1 April 2023

1,000

8,258,103

-

8,259,103

Changes in equity

Profit for the year

-

347,025

-

347,025

Total comprehensive income

-

347,025

-

347,025

Balance at 31 March 2024

1,000

8,605,128

-

8,606,128

Changes in equity

Deficit for the year

-

(736,261

)

-

(736,261

)

Total comprehensive income

-

(736,261

)

-

(736,261

)

Purchase of own shares

(50

)

(350,000

)

50

(350,000

)

Balance at 31 March 2025

950

7,518,867

50

7,519,867

Cash flows from operating activities

Cash generated from operations

1

2,997,541

4,632,650

Interest paid

(598,923

)

(701,217

)

Interest element of hire purchase payments paid

(596,138

)

(690,448

)

Tax paid

(96,478

)

(234,926

)

Net cash from operating activities

1,706,002

3,006,059

Cash flows from investing activities

Purchase of tangible fixed assets

(10,776,010

)

(14,730,640

)

Sale of tangible fixed assets

11,658,106

13,045,393

Interest received

67,561

45,522

Net cash from investing activities

949,657

(1,639,725

)

Cash flows from financing activities

New loans in year

470,000

1,055,000

Loan repayments in year

(1,975,000

)

(1,271,880

)

Repayment of overdrafts in year

-

(23,939

)

Bank loan capital repayments

(446,394

)

3,139,614

Capital repayments in year

(2,212,385

)

(4,194,184

)

Amount introduced by directors

(207,894

)

(315,933

)

Share buyback

(350,000

)

-

New hire purchase and finance leases

1,443,244

-

Net cash from financing activities

(3,278,429

)

(1,611,322

)

Decrease in cash and cash equivalents

(622,770

)

(244,988

)

Cash and cash equivalents at beginning of year

2

2,397,115

2,642,103

Cash and cash equivalents at end of year

2

1,774,345

2,397,115

1.	RECONCILIATION OF (LOSS)/PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

2025

2024

£

£

(Loss)/profit before taxation

(576,277

)

666,873

Depreciation charges

1,905,333

2,281,345

Loss on disposal of fixed assets

429

-

Finance costs

1,195,061

1,382,940

Finance income

(67,561

)

(45,522

)

2,456,985

4,285,636

Decrease in stocks

27,800

173,687

Decrease in trade and other debtors

963,920

197,047

Decrease in trade and other creditors

(451,164

)

(23,720

)

Cash generated from operations

2,997,541

4,632,650

2.	CASH AND CASH EQUIVALENTS

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

Year ended 31 March 2025

31.3.25

1.4.24

£

£

Cash and cash equivalents

1,774,345

2,397,115

Year ended 31 March 2024

31.3.24

1.4.23

£

£

Cash and cash equivalents

2,397,115

2,642,103

3.	ANALYSIS OF CHANGES IN NET DEBT

At 1.4.24

Cash flow

At 31.3.25

£

£

£

Net cash

Cash at bank and in hand

2,397,115

(622,770

)

1,774,345

2,397,115

(622,770

)

1,774,345

Debt

Finance leases

(9,194,736

)

769,141

(8,425,595

)

Debts falling due within 1 year

(6,210,000

)

751,372

(5,458,628

)

Debts falling due after 1 year

(1,200,022

)

1,200,022

-

(16,604,758

)

2,720,535

(13,884,223

)

Total

(14,207,643

)

2,097,765

(12,109,878

)

1.	STATUTORY INFORMATION

Sema Lease 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 General Information page.

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

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

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

Basis of consolidation

The financial statements consolidate the financial statements of the Group and all of its subsidiary undertakings.

The parent company has applied the exemption contained in section 408 of the Companies Act 2006 and has not included its individual statement of comprehensive income.

Turnover

Turnover represents sales of vehicles during the year, including ex-rental vehicles where the operating leases have expired during the year and the provision of servicing and repair work done during the year, excluding value added tax. Rentals receivable under operating leases are also included in turnover on a straight line basis over the lease term.

Revenue from the rendering of services is measured by reference to the stage of completion of the service transaction at the end of the reporting period provided that the outcome can be reliably estimated. When the outcome cannot be reliably estimated, revenue is recognised only to the extent that expenses recognised are recoverable.

Contract Hire Rentals

Turnover represents sales of ex-rental vehicles where the operating leases have expired during the year,

excluding value added tax, and rentals receivable under operating leases recognised on a straight line basis over the lease term.

Sale of Used and New Motor Vehicles

Revenue from the sale of vehicles is recognised when all of the following conditions are satisfied

- the Company has transferred the significant risks and rewards of ownership to the buyer;

- the Company retains neither continuing managerial involvement to the degree usually

associated with ownership nor effective control over the goods sold;

- the amount of revenue can be measured reliably;

- it is probable that the Company will receive the consideration due under the transaction; and

- the costs incurred or to be incurred in respect of the transaction can be measured reliably

- The sale of the motor vehicle is recognised on delivery

New car sales are predominantly made up of sales to Sema Lease Ireland Limited, these are purchased and sold at breakeven.

Goodwill

Goodwill related to the purchase of Ames Nissan Limited into the Group. This is been written-off over its estimated useful life of five years.

Goodwill arises on business acquisitions and represents the excess of the cost of the acquisition over the company's interest in the net amount of the identifiable assets, liabilities and contingent liabilities of the acquired business.

Goodwill is measured at cost less accumulated amortisation and accumulated impairment losses. It is amortised on a straight-line basis over its useful life which is considered to be five years.

Intangible assets

Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.