The directors present the strategic report for the year ended 31 December 2023.

The business of Glint Pay Services Ltd continued unchanged throughout the year under review.

The company made a profit for the year of £548,056 (2022: loss of £1,041,969) and at the year-end had net current assets of £700,728 (2022: £897,328 net current liabilities) and net assets of £700,728 (2022: £897,328 net liabilities).

Glint is committed to building a secure, global, gold-based payment and financial services ecosystem. Proprietary Glint technology powers the issuing of electronic money (e-money) and the provision of payment services, enabling account holders to buy, save, sell, send, and spend real, allocated gold and major currencies (currently including USD, GBP, and EUR) via the Glint smartphone app and Glint Mastercard®.

Physical gold bullion can be bought and securely stored as allocated gold at Brinks vaults, insured by Lloyds of London. It can then be converted to e-money in multiple currencies or spent directly using real-time exchange prices almost anywhere Mastercard is accepted (currently 190+ countries), giving gold bullion direct liquidity.

Glint also enables peer-to-peer (“P2P”) transfers, including gold, between Glint customers, and supports buying, storing, and selling real, allocated silver.

Glint accounts are open to applicants from 137 countries via the app, operated in the UK by Glint Pay Services Ltd. The Glint Mastercard Debit Card is issued directly by Glint in the UK and in the USA by Sutton Bank, Member FDIC, under license from Mastercard International.

In 2023, Glint launched version 3 of the Glint retail app on both IOS and Android which has delivered increased customer engagement. The new version has enabled the development of new revenue generating features, including the Gains and Losses reports as well as Gold Accumulation Plans which allow customers to buy gold regularly.

As is typical with early growth-stage FinTech companies, Glint continues to rely on equity funding. As of the balance sheet date, Glint has raised to c.£37m to fund the development and rollout of its first-of-a-kind global gold payments platform. During 2024 and H1 2025, Glint raised a further c.6m.

The company is funded by its parent company, Glint Pay Limited, through a mixture of intercompany loans and equity share capital. The loan is capitalised through the issue of equity instruments to provide the company with sufficient capital to operate. Subsequent to the balance sheet date, additional capital has been injected by Glint Pay Limited to ensure the company has sufficient capital to meet its ongoing capital requirements.

Business risk

The directors consider the company’s principal business risk to be failing to generate sufficient funding required to grow the Business to profitability.

Operational risk

The company’s operations are overseen by management with decades of financial markets experience, specifically in running payments, foreign exchange, and gold transactions. The risks to the company in client transactions are minimised by its proprietary Glint Payments Execution System (PES). This, combined with transaction monitoring, ensures accurate completion of all transactions on a 24 hour basis including weekends. In the event of a system failure, the Payments team immediately puts into effect telephone dealing to complete transactions. In relation to infrastructure risks, the Technology team is in place to immediately rectify any system faults.

The company’s operational risks are underpinned by the Electronic Money Regulations ongoing capital (own funds) requirements. Authorised EMIs must hold at least €420,000. The FCA have also stipulated that the company maintains both solvent and insolvent wind down plans.

Card Liquidity risk

To ensure timely execution of client transactions and that client transactions do not fail for reasons of liquidity shortage, the company maintains an appropriate level of liquidity float with Mastercard at all times in the relevant currencies. The company does not foresee that there might be a sudden surge in demand within 24 hours to render the float inadequate; however it maintains at all times a line of credit to avoid such emergencies.

Foreign Exchange risk

The company actively manages its Treasury to ensure that there is at all times available liquidity in Pounds Sterling, US Dollars, and Euros appropriate to minimise risks to the company from market fluctuations in foreign exchange. The company reports in Pounds Sterling. Revenues earned in other currencies are translated into Sterling at the prevailing exchange rate.

Gold bullion execution and settlement risk

The company is not exposed to execution and settlement risk for client transactions in physical gold bullion per se. Gold transactions are at spot rate and must be prefunded by the client, Glint does not operate on margin. The gold liquidity provider, an LBMA full member, makes available at all times a float of a physical gold bar within an ombudsman account in the Brinks vault specifically for Glint client transactions. Therefore the logistics of Clients’ purchases and sales of gold take place within the vault. All purchases and sales are at the liquidity provider's real-time market quote fed through the Glint PES for 24 hour settlement. Client transactions in gold bullion are by definition outside the banking sector.

Market risk

The company has limited treasury risk exposure. However, it could be exposed to risk in times of unusual extreme fluctuations in foreign exchange markets or the physical gold bullion spot market. Most of these risks are mitigated as described above.

The company does not deploy nor have positions in derivative instruments.

Counterparty risk

The company is exposed to failures of its counterparties in foreign exchange and gold bullion.

Funds from clients resident in the UK, SEPA region and other countries excluding the USA are held by the company in segregated and safeguarded accounts at Lloyds Bank PLC, and are separate from the bank’s capital and from Glint’s own corporate accounts.

Funds from US clients are held by Sutton Bank in segregated accounts where they are protected up to $250,000 per client with Federal Deposit Insurance Corporation (FDIC) insurance.

The pace of client acquisition and activity on the platform gained further momentum in 2023 with fee income growth 67% compared to previous year. Spending in previous years on marketing and introduction of additional revenue streams has resulted in an improved fee income margin along with higher overall Gross Revenue and Gold on Platform, both of which are the highest in the Group’s history.

Since the successful launch of the v3 later in 2023, the company successfully streamlined operations and enhanced efficiency, reducing overheads by 32% while maintaining high standards and service quality.

The Business continues to innovate and new functionality on the Glint technology platform including Peer-to-Peer (P2P) transfers, a Gold Portal that enables Wealth Managers to buy allocated gold whilst giving their clients unprecedented liquidity on their portfolio.

Decision Making and Governance

The activities of the company are overseen by the Board of Directors, the majority of whom are independent as defined in the UK corporate governance code. Its philosophy and that of the company is to operate in a transparent culture with positive debate and practical challenge, including those of the Board Observers who represent significant capital commitment to the company.

The Board reviews the culture and manner in which management operates, as well as the group and company’s performance, at its regular meetings. All significant management decisions are discussed by the directors for their likely consequences in the long term for the performance of the group and company, and for their impact on the group and company’s long term strategic aims. The Board endeavours to ensure that activities of the group and company stay within the agreed strategy to build the business of the group, and to remain at all times in compliance with our regulatory permissions and obligations as an electronic money institution authorised and supervised by the Financial Conduct Authority. The impact that any corporate decision might have on all stakeholders - employees, suppliers and customers - are fully discussed at each meeting. The Board also considers the firm’s responsibilities under the FCA’s Principles for Businesses, including the fair treatment of customers, safeguarding of client funds, operational resilience, and prevention of financial crime.

The group and company aims to meet the highest standards of business conduct. This is demonstrated by the Board being informed and monitoring on-going compliance with relevant standards and regulatory requirements to ensure that management operates and makes informed decisions, acting in ways what promote high standards of business conduct. After weighing up all relevant factors, the Directors consider which course of action best enables delivery of the group and company’s strategy in the long term, taking into consideration the impact on stakeholders and acting fairly between the members of the company.

In addition to the principal risks discussed in the sections above, the Board and the management are very conscious of the risks emanating from increased environmental, social and governance challenges and address any impact that may arise from the company’s operations.

Customers

The company engages with customers through twice-weekly e-mail newsletters and review platforms, providing the forum for suggestions and complaints and customer service is operational six days a week.

Suppliers

The Board seeks to ensure that there is a constructive working relationship with suppliers and service providers and that any contractual arrangements are in line with best practice and that their performance meets the expectation of the Board, the management, the employees and other stakeholders.

Our People

Positive workplace culture attracts talent, drives engagement, impacts happiness and satisfaction, and affects performance. Management is committed to an open culture with weekly staff meetings, while ensuring that a high standard of business conduct is embedded throughout the company. Management has also implemented best practices such as employee surveys and one-on-one meetings in order to measure the pulse of the company culture.

On behalf of the board

The directors present their annual report and financial statements for the year ended 31 December 2023.

Glint Pay Services Ltd (“GPS”) is a 100% subsidiary of Glint Pay Ltd and an Authorised Electronic Money Institution under licence from the Financial Conduct Authority (FCA) since March 2018.

GPS issues electronic money (e-money) and provides payment services with group support, making it possible for account holders to use physical gold bullion in everyday payments via its smartphone app and Glint Mastercard. Using its proprietary Glint technology, account holders can buy, save, sell, send, and spend real, allocated gold - securely stored at Brinks vaults - as well as USD, GBP, and EUR. Gold can be converted into e-money in multiple currencies or spent directly at real-time prices anywhere Mastercard is accepted, giving it direct liquidity. Account holders can also make peer-to-peer transfers and buy, store, and sell real, allocated silver.

The results for the year are set out on page 7. The profit for the year, after taxation, amounted to £548,056 (2022 - £1,041,969 loss).

No ordinary dividends were paid. The directors do not recommend payment of a final dividend.

The directors who held office during the year and up to the date of signature of the financial statements were as follows:

At 31 December 2023, third party indemnity provision for the benefit of the Company’s directors was in force.

In accordance with the company's articles, a resolution proposing that Moore Kingston Smith LLP be reappointed as auditor of the company will be put at a General Meeting.

As the company has not consumed more than 40,000 kWh of energy in this reporting period, it qualifies as a low energy user under these regulations and is not required to report on its emissions, energy consumption or energy efficiency activities.

The group has chosen in accordance with Companies Act 2006, s. 414C(11) to set out in the group's strategic report information required by Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008, Sch. 7 to be contained in the directors' report. It has done so in respect of relationships with employees, customers and suppliers, and also post balance sheet events.

So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the company’s auditor is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the company’s auditor is aware of that information.

The company made a profit for the year of £548,056 (2022: £1,041,969 loss) and at the year-end had net current assets of £700,728 (2022: £897,328 net current liabilities) and net assets of £700,728 (2022: £897,328 net liabilities).

The financial statements have been prepared on a going concern basis, which assumes that the company will continue as a going concern for the foreseeable future, and specifically, as a minimum for a period of at least twelve months from the date of approval of these financial statements. In making this assessment, management have considered, and the directors have approved, the following;

• The company and group's current cash position, financial performance and planned growth;

• The company and group’s cashflow forecasts for a period of at least 12 months from the date of approval of these financial statements, as well as a base case cash flow forecast; and,

• The group’s track record of successful fundraising from shareholders and other investors, as evidenced in previous periods and the period subsequent to the reporting date.

The directors believe that the company and group, headed by Glint Pay Ltd (“the group”), is well placed to manage their business risks, raise sufficient additional funding and achieve its growth potential. The legal and physical structures in place ensure that the gold is at all times protected and remains the property of customers even in the event of the group ceasing operations. The gold is not included in the group's balance sheet, ensuring that it is segregated and safeguarded from any claims that might be made by the group's creditors. The combination of secure storage, full insurance and legal allocation provides robust protection for client gold holdings.

Following the successful launch of version 3 of the Glint Pay app in 2023, the group has streamlined its operations and enhanced efficiency, reducing fixed costs whilst maintaining high standards and service quality. In addition, Glint is in the process of launching new revenue streams, which are expected to have a significant positive impact on the group’s gross margin.

In line with other businesses at a similar stage of development, the group intends to continue raising funds from existing and/or new shareholders, or from other sources of finance. This funding will support the execution of the group’s growth strategy and enable it to capitalise on the significant commercial opportunities available. Whilst the directors, having considered all known factors, are comfortable that the base case forecast supports the going concern assumption, the directors recognise the potential impact of a lack of funding and additional capital to achieve these, represent a material uncertainty that may cast significant doubt upon the group and company’s ability to continue to operate as a going concern.

Based on the group’s history of strong investor support and ongoing discussions with interested investors, the directors have a reasonable expectation that the company will be able to continue to meet its commitments and liabilities as they fall due and to execute its business plan. For these reasons, the directors adopt a going concern basis in preparing the financial statements. The financial statements do not include the adjustments that would result if the company was unable to continue as a going concern.

During the year the company did a review of the contractual agreement with Sutton Bank in the US and deemed more appropriate to reflect the legal form of the arrangement, resulting in a change in its accounting policy for US client money held by Sutton Bank. Previously this was reported as an asset (debtor) and a corresponding liability (other creditors) on the balance sheet.

Based on the terms of the agreement, legal title to these client funds resides with Sutton Bank, the company has no control on these client funds and ultimate liability sits with Sutton Bank.

Effect of the change in accounting policy:

There is no effect on profit of loss or net assets in the current or prior periods as the asset and liability were of equal value and offsetting in nature. The opening balances at 1 January 2023 have been restated to reflect this change.

The directors are responsible for preparing the annual report 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 of the profit or loss of the company 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;

• 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 directors are 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 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 hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

We have audited the financial statements of Glint Pay Services Ltd (the 'company') for the year ended 31 December 2023 which comprise the Statement of Comprehensive Income, the Balance Sheet, the Statement of Changes in Equity and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 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 2023 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 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.

Material uncertainty relating to going concern

We draw attention to note 1.2 to the financial statements, which indicates that a reasonably plausible downside scenario could result in the Group, of which the company is a member, running out of liquid resources unless the parent company raises additional funding. As stated in note 1.2, these events or conditions indicate that a material uncertainty exists that may cast significant doubt on the company's ability to continue as a going concern. Our opinion is not modified in respect of this matter.

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.

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 other information comprises the information included in the annual report, other than the financial statements and our auditor's report thereon. The directors are responsible for the other information contained within the annual report. 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.

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.

Opinions on other matters prescribed by the Companies Act 2006

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

• the information given in the Strategic Report and the Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

• the Strategic Report and the Directors' Report have been prepared in accordance with applicable legal requirements.

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 Strategic Report or the Directors' 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.

As explained more fully in the Directors' Responsibilities Statement, 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 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 directors are 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 directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

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.

As part of an audit in accordance with ISAs (UK) we exercise professional judgement and maintain professional scepticism throughout the audit. We also:

• Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

• Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purposes of expressing an opinion on the effectiveness of the company’s internal control.

• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors.

• Conclude on the appropriateness of the directors’ use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the company’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the company to cease to continue as a going concern.

• Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

Explanation as to what extent the audit was considered capable of detecting irregularities, including fraud

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 objectives of our audit in respect of fraud, are; to identify and assess the risks of material misstatement of the financial statements due to fraud; to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud, through designing and implementing appropriate responses to those assessed risks; and to respond appropriately to instances of fraud or suspected fraud identified during the audit. However, the primary responsibility for the prevention and detection of fraud rests with both management and those charged with governance of the company.

Our approach was as follows:

• We obtained an understanding of the legal and regulatory requirements applicable to the company and considered that the most significant are the Companies Act 2006, UK financial reporting standards as issued by the Financial Reporting Council, and UK taxation legislation.

• We obtained an understanding of how the company complies with these requirements by discussions with management and those charged with governance.

• We assessed the risk of material misstatement of the financial statements, including the risk of material misstatement due to fraud and how it might occur, by holding discussions with management and those charged with governance.

• We inquired of management and those charged with governance as to any known instances of non-compliance or suspected non-compliance with laws and regulations.

• Based on this understanding, we designed specific appropriate audit procedures to identify instances of non-compliance with laws and regulations. This included making enquiries of management and those charged with governance and obtaining additional corroborative evidence as required.

There are inherent limitations in the audit procedures described above. We are less likely to become aware of instances of non-compliance with laws and regulations that are not closely related to events and transactions reflected in the financial statements. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.

Use of our report

This report is made solely to the company's member 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 member those matters we are required to state to the member 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 member, for our audit work, for this report, or for the opinions we have formed.

The statement of comprehensive income has been prepared on the basis that all operations are continuing operations.

The notes on pages 17 to 24 form part of these financial statements.

The notes on pages 17 to 24 form part of these financial statements.

The notes on pages 17 to 24 form part of these financial statements.

Glint Pay Services Ltd is a private company limited by shares incorporated in England and Wales. The registered office is 167-169 Great Portland Street, 5th Floor, London, England, W1W 5PF.

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.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts 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.

This company is a qualifying entity for the purposes of FRS 102, being a member of a group where the parent of that group prepares publicly available consolidated financial statements, including this company, which are intended to give a true and fair view of the assets, liabilities, financial position and profit or loss of the group. The company has therefore taken advantage of exemptions from the following disclosure requirements:

• Section 7 ‘Statement of Cash Flows’: Presentation of a statement of cash flow and related notes and disclosures;

• Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instrument Issues: Interest income/expense and net gains/losses for financial instruments not measured at fair value; basis of determining fair values; details of collateral, loan defaults or breaches, details of hedges, hedging fair value changes recognised in profit or loss and in other comprehensive income.

The financial statements of the company are consolidated in the financial statements of Glint Pay Ltd. These consolidated financial statements are available from its registered office, 167-169 Great Portland Street, 5th Floor, London W1W 5PF.

The company made a profit for the year of £548,056 (2022: £1,041,969 loss) and at the year-end had net current assets of £700,728 (2022: £897,328 net current liabilities) and net assets of £700,728 (2022: £897,328 net liabilities).true

The financial statements have been prepared on a going concern basis, which assumes that the company will continue as a going concern for the foreseeable future, and specifically, as a minimum for a period of at least twelve months from the date of approval of these financial statements. In making this assessment, management have considered, and the directors have approved, the following;

• The company and group's current cash position, financial performance and planned growth;

• The company and group’s cashflow forecasts for a period of at least 12 months from the date of approval of these financial statements, as well as a base case cash flow forecast; and,

• The group’s track record of successful fundraising from shareholders and other investors, as evidenced in previous periods and the period subsequent to the reporting date.

The directors believe that the company and group, headed by Glint Pay Ltd (“the group”), is well placed to manage their business risks, raise sufficient additional funding and achieve its growth potential. The legal and physical structures in place ensure that the gold is at all times protected and remains the property of customers even in the event of the group ceasing operations. The gold is not included in the group's balance sheet, ensuring that it is segregated and safeguarded from any claims that might be made by the group's creditors. The combination of secure storage, full insurance and legal allocation provides robust protection for client gold holdings.

Following the successful launch of version 3 of the Glint Pay app in 2023, the group has streamlined its operations and enhanced efficiency, reducing fixed costs whilst maintaining high standards and service quality. In addition, Glint is in the process of launching new revenue streams, which are expected to have a significant positive impact on the group’s gross margin.

In line with other businesses at a similar stage of development, the group intends to continue raising funds from existing and/or new shareholders, or from other sources of finance. This funding will support the execution of the group’s growth strategy and enable it to capitalise on the significant commercial opportunities available. Whilst the directors, having considered all known factors, are comfortable that the base case forecast supports the going concern assumption, the directors recognise the potential impact of a lack of funding and additional capital to achieve these, represent a material uncertainty that may cast significant doubt upon the group and company’s ability to continue to operate as a going concern.

Based on the group’s history of strong investor support and ongoing discussions with interested investors, the directors have a reasonable expectation that the company will be able to continue to meet its commitments and liabilities as they fall due and to execute its business plan. For these reasons, the directors adopt a going concern basis in preparing the financial statements. The financial statements do not include the adjustments that would result if the company was unable to continue as a going concern.

Turnover consists of fees charged to clients on transactions made during the year and the value of gold sold to clients and our liquidity provider. Turnover is recognised at the time a transaction takes place.

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.

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, 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.

Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.

Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.

Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.

If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

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, including creditors, bank loans, and loans from fellow group companies 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 payments 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. Amounts 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.

Derivatives, including interest rate swaps and forward foreign exchange contracts, are not basic financial instruments. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss in finance costs or finance income as appropriate, unless hedge accounting is applied and the hedge is a cash flow hedge.

Debt instruments that do not meet the conditions in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. Debt instruments may be designated as being measured at fair value through profit or loss to eliminate or reduce an accounting mismatch or if the instruments are measured and their performance evaluated on a fair value basis in accordance with a documented risk management or investment strategy.

Financial liabilities are derecognised when the company’s contractual obligations expire or are discharged or cancelled.

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.

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

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. 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.

Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the date 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 are included in the profit and loss account for the period.

Change in accounting policy

During the year the company did a review of the contractual agreement with Sutton Bank in the US and deemed more appropriate to reflect the legal form of the arrangement, resulting in a change in its accounting policy for US client money held by Sutton Bank. Previously this was reported as an asset (debtor) and a corresponding liability (other creditors) on the balance sheet. Based on the terms of the agreement, legal title to these client funds resides with Sutton Bank, the company has no control on these client funds and ultimate liability sits with Sutton Bank.

Effect of the change in accounting policy:

2023         2022

£         £

Decrease in debtors    (4,182,749) (3,126,299)

Decrease in creditors     4,182,749     3,126,299

Net effect on net assets         nil         nil

There is no effect on profit of loss or net assets in the current or prior periods as the asset and liability were of equal value and offsetting in nature. The opening balances at 1 January 2023 have been restated to reflect this change.

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.

There are no material judgements or estimates used in the preparation of these financial statements.

The average monthly number of persons (including directors) employed by the company during the year was 0 (2022: 0). Staff working on this company are employed by Glint Pay UK Ltd.

The actual charge for the year can be reconciled to the expected charge/(credit) for the year based on the profit or loss and the standard rate of tax as follows:

Cash at bank and in hand of £3,751,311 (2022: £3,712,984) includes £3,063,865 (2022: £3,261,599) held in respect of customer balances in segregated bank accounts; the corresponding liability for which is held within creditors.

There are no restrictions on the distribution of dividends and repayment of capital.

During the year 1,050,000 Ordinary shares of £1 each were issued at par for cash.

The Company has taken advantage of the exemption provided in FRS102 from disclosing transactions with members of the same group that are wholly owned.

The company's assets are subject to a fixed and floating charge in favour of Stockford Limited, a minor shareholder in the company's parent, as security against a loan to Glint Pay Ltd for £2,500,000.

The Company is a subsidiary undertaking of Glint Pay Ltd. There is no single ultimate controlling party.

The largest and smallest group in which these accounts are consolidated is that headed by Glint Pay Ltd whose registered office address is 167-169 Great Portland Street, 5th Floor, London W1W 5PF. The consolidated financial statements of this group are available to the public on the Companies House website.