REGISTERED NUMBER: 11611431 (England and Wales)

Unaudited Financial Statements

for the Year Ended 31 December 2024

for

REELABLES EUROPE, LTD.

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

4

Directors:

B Krejcarek

D Stanton

Registered office:

9th Floor 107 Cheapside

London

EC2V 6DN

Registered number:

11611431 (England and Wales)

Accountants:

Cooper Parry Advisory Limited

New Derwent House

69-73 Theobalds Road

London

WC1X 8TA

Fixed assets

Tangible assets

4

403,608

178,673

Current assets

Stocks

5

438,335

75,000

Debtors

6

347,472

767,918

Cash at bank

355,878

56,871

1,141,685

899,789

Creditors

Amounts falling due within one year

7

332,585

874,571

Net current assets

809,100

25,218

Total assets less current liabilities

1,212,708

203,891

Creditors

Amounts falling due after more than one year

8

5,353,383

3,194,279

Net liabilities

(4,140,675

)

(2,990,388

)

Capital and reserves

Called up share capital

10

100

100

Retained earnings

(4,140,775

)

(2,990,488

)

Shareholders' funds

(4,140,675

)

(2,990,388

)

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

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

The directors acknowledge their responsibilities for:

(a)	ensuring that the company keeps accounting records which comply with Sections 386 and 387 of the Companies Act 2006 and

(b)

preparing financial statements which give a true and fair view of the state of affairs of the company as at the end of each financial year and of its profit or loss for each financial year in accordance with the requirements of Sections 394 and 395 and which otherwise comply with the requirements of the Companies Act 2006 relating to financial statements, so far as applicable to the company.

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

In accordance with Section 444 of the Companies Act 2006, the Profit and Loss Account has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 22 September 2025 and were signed on its behalf by:

D Stanton - Director

1.	Statutory information

Reelables Europe, LTD. 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 financial statements have been prepared on a going concern basis. The company incurred losses during the year however, the parent company, Reelable Inc, has agreed to provide sufficient cash resources to meet Reelables Europe, Ltd.'s obligations, if and when, they become due. On this basis the directors are of the opinion that they should continue to adopt the going concern basis in preparing the annual financial statements.

Key source of estimation, uncertainty and judgement

The preparation of financial statements in conformity with generally accepted accounting practice requires management to make estimates and judgement that affect the reported amounts of assets and liabilities as well as the disclosure of contingent assets and liabilities at the balance sheet date and the reported amounts of revenues and expenses during the reporting period.

There is estimation uncertainty in calculating depreciation. A full line by line review of fixed assets is carried out by management regularly. Whilst every attempt is made to ensure that the depreciation policy is as accurate as possible, there remains a risk that the policy does not match the useful life of the assets.

There is estimation uncertainty in calculating bad debt provisions. A full line by line review of trade debtors is carried out at the end of each month. Whilst every attempt is made to ensure that the bad debt provisions are as accurate as possible, there remains a risk that the provisions do not match the level of debts which ultimately prove to be uncollectable.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Tangible fixed assets

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.

Plant and machinery

-

Straight line over 3 years

Fixtures and fittings

-

Straight line over 3 years

Office equipment

-

Straight line over 3 years

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Financial instruments

Financial assets and financial liabilities are recognised in the balance sheet when the company becomes a party to the contractual provisions of the instrument.

Trade and other debtors and creditors are classified as basic financial instruments and measured at initial recognition at transaction price. Debtors and creditors are subsequently measured at amortised cost using the effective interest rate method. A provision is established when there is objective evidence that the company will not be able to collect all amounts due.

Cash and cash equivalents are classified as basic financial instruments and comprise cash in hand and at bank and bank overdrafts.

Financial liabilities and equity instruments issued by the company are classified in accordance with the substance of the contractual arrangements entered into and the definitions of a financial liability and an equity instrument. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities. Equity instruments issued by the company are recorded at the proceeds received, net of direct issue costs.

Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Profit and Loss Account, 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 balance sheet date.

Research and development

The company qualifies to make claims under both the SME R&D tax relief scheme and the Research and Development Expenditure Credit scheme. Tax credits arising from successful claims under the SME R&D tax relief scheme are reflected 'below the line' as a reduction in the Corporation Tax charge or, if loss making, as a Corporation Tax credit. Tax credits arising from successful claims under the RDEC scheme are subject to Corporation Tax. Gross tax credits are therefore reflected 'above the line' in Other income with the corresponding charge to Corporation Tax reflected in the Corporation Tax charge, or credit (if loss making). Tax credits receivable from R&D claims are recognised in the reporting period in which the qualifying expenditure is incurred.

Foreign currency translation

Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions. At each reporting 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 the period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in the profit and loss account.

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.

Share-based payments

The parent company operates an equity-settled compensation plan. The fair value of the services received from Reelables, Europe, Ltd. employees, in exchange for the grant of the options, is recognised as an expense in the income statement of Reelables, Europe, Ltd. The total amount to be expensed over the vesting period is determined by reference to the fair value of the options granted, excluding the impact of any non-market vesting conditions (for example, profitability and sales growth targets). Non - market vesting conditions are included in assumptions about the number of options that are expected to vest. At each statement of position date, the entity revises its estimates of the number of options that are expected to vest. It recognises the impact of the revision to original estimates, if any, in the income statement. The credit entry is taken to the intercompany account because the share options are equity- settled by the parent.

3.	Employees and directors

The average number of employees during the year was 8 (2023 - 7 ) .

4.	Tangible fixed assets

Fixtures

Plant and

and

Office

machinery

fittings

equipment

Totals

£

£

£

£

Cost

At 1 January 2024

340,668

15,375

26,375

382,418

Additions

329,200

4,200

3,960

337,360

At 31 December 2024

669,868

19,575

30,335

719,778

Depreciation

At 1 January 2024

175,238

8,217

20,290

203,745

Charge for year

104,385

4,233

3,807

112,425

At 31 December 2024

279,623

12,450

24,097

316,170

Net book value

At 31 December 2024

390,245

7,125

6,238

403,608

At 31 December 2023

165,430

7,158

6,085

178,673

5.

Stocks

2024

2023

£

£

Other stocks

438,335

75,000

6.

Debtors: amounts falling due within one year

2024

2023

£

£

Trade debtors

133,611

598,358

Other debtors

213,861

169,560

347,472

767,918

7.

Creditors: amounts falling due within one year

2024

2023

£

£

Trade creditors

20,282

46,928

Taxation and social security

2,145

26,498

Other creditors

310,158

801,145

332,585

874,571

8.

Creditors: amounts falling due after more than one year

2024

2023

£

£

Amounts owed to group undertakings

5,353,383

3,194,279

9.	Leasing agreements

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

2024

2023

£

£

Within one year

168,700

168,700

Between one and five years

75,500

75,500

244,200

244,200

10.	Called up share capital

Allotted, issued and fully paid:

Number:

Class:

Nominal

2024

2023

value:

£

£

100

Ordinary

£1

100

100

11.	Pension commitments

The company operates a defined contribution 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 £7,161 (2023 - £5,974). Contributions totalling £1,716 (2023 - £1,661) were payable to the fund at the reporting date and are included in creditors.

12.	Related party disclosures

The company has taken advantage of the exemption provisions under FRS 102 s33 from disclosing transactions with its parent company’

During the year the company advanced loans to the directors of £9,000. As at the balance sheet date, the amount due to the company from the directors is £8,265 (2023 - £735 owed to the directors). The loan bears no fixed rate of interest and is repayable on demand.

13.	Share based payments

The parent company operates an EMI qualifying share option scheme and at the statement of financial position date had granted 864,710 EMI qualifying share options to employees of Reelables Europe, Ltd. at a weighted average exercise price of £0.000000073 per share. At the statement of financial position date; 864,710 options had vested (2023: 864,710), Nil share options had yet to vest (2023: Nil). Of the vested options, 134,293 options had been exercised (2023: 134,293) and 101,537 share options had lapsed (2023: 101,537).

The share options vest over varying periods of up to 4 years from the date of grant with a cliff ranging up to 12 months. An amount of £Nil (2023: £3,628) has been charged to the income statement in respect of the employee share options.