Registered number: 09010620
FOR THE YEAR ENDED 31 JANUARY 2025
NETSKOPE UK LTD
COMPANY INFORMATION
NETSKOPE UK LTD
CONTENTS
NETSKOPE UK LTD
STRATEGIC REPORT
FOR THE YEAR ENDED 31 JANUARY 2025
The directors present their strategic report for the Company for the year ended 31 January 2025.
Netskope, Inc. (“We, Us, The Company”), parent of the Netskope UK which operates operates as a cost-plus entity, was incorporated in Delaware in October 2012. The Company is headquartered in Santa Clara, California, and conducts business worldwide, including North America, South America, Europe, and Asia.
We are a provider of cloud security services that help accelerate the digital transformation journeys of businesses with a proven security platform that is data-centric, cloud-smart, and fast. Through our proprietary Netskope Cloud Security Platform, we offer cloud-native solutions to businesses for data protection and defence against threats in cloud applications, cloud infrastructure, and the web and provide context-aware governance of all cloud usage in the enterprise in real-time, regardless of location. In addition, Netskope’s Security Cloud platform enables secure, fast access to applications and data to wherever the user is located.
We deliver our solutions using a software-as-a-service (SaaS) business model and sell subscriptions to customers to access our cloud platform, together with related support services. Our customer base includes financial services and insurance, government, healthcare, life sciences, high-technology, manufacturing, retail, and hospitality. As of January 31, 2025, we have more than 3,058 employees worldwide.
The Company has raised approximately $1.0 billion through the issuance of Series A, B, C, D, E, F, G, and H preferred shares. The Company has a current valuation of $7 billion in business enterprise value at the consolidated level as of January 31, 2025.
Our customer base continues to grow. We currently have about 4000+ customers worldwide as of January 31, 2025, from about 3,300 customers as of January 31, 2024.
Netskope UK Overview and Plans
We are a provider of cloud security services that help accelerate the digital transformation journeys of businesses with a proven security platform that is data-centric, cloud-smart, and fast. Through our proprietary Netskope Cloud Security Platform, we offer cloud-native solutions to businesses for data protection and defence against threats in cloud applications, cloud infrastructure, and the web and provide context-aware governance of all cloud usage in the enterprise in real-time, regardless of location. In addition, Netskope’s Security Cloud platform enables secure, fast access to applications and data to wherever the user is located.
We deliver our solutions using a software-as-a-service (SaaS) business model and sell subscriptions to customers to access our cloud platform, together with related support services. Our customer base includes financial services and insurance, government, healthcare, life sciences, high-technology, manufacturing, retail, and hospitality. As of January 31, 2025, we have more than 3,058 employees worldwide.
The Company has raised approximately $1.0 billion through the issuance of Series A, B, C, D, E, F, G, and H preferred shares. The Company has a current valuation of $7 billion in business enterprise value at the consolidated level as of January 31, 2025.
Our customer base continues to grow. We currently have about 4000+ customers worldwide as of January 31, 2025, from about 3,300 customers as of January 31, 2024.
Netskope UK Overview and Plans
As noted above, Netskope UK operates as a cost-plus model with Netskope, Inc. Netskope Inc. will continue to fund all of Netskope UK’s operations. Netskope Inc. has sufficient cash and liquidity resources to support the growth of the UK entity. Netskope, Inc. will provide all operational funding, including loans and any financing arrangements, making Netskope UK a truly operating entity (cost-plus).
Our sales activities in EMEA have sharply increased. Our sales in EMEA are growing at 30%+ YoY while maintaining our operating expenses and headcount hire. This strategy ensures that our revenue at 30%+ YoY outpaces the operating spend to be cash flow positive at the consolidated level.
The most significant operating expenses for Netskope, UK, are employee salary and benefits. We will continue to monitor and tighten our hiring needs, mainly sales-related hires, which is further evidence that we continue to invest in our growth in the EMEA region. Over the last three years, employee salary and benefits expenses have remained relatively flat at approximately $10M from FY23-YTD 25 annually.
We do not anticipate liquidity and credit risks with our Netskope UK entity as described in the above reasons.
We currently do not anticipate any recording of customers' revenue in the UK entity, therefore reducing any customer’s credit risks.
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NETSKOPE UK LTD
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2025
Cybersecurity Industry Outlook
The global cloud security market is expected to grow from $40.8 billion in 2021 to $77.5 billion by 2026, at a compound annual growth rate (“CAGR”) of 13.7 percent from 2021 to 2026.
According to Forbes, it is estimated that 83% of enterprise workloads would be stored on the cloud by 2020. The demand for cloud-based services has soared due to the outbreak of COVID-19. In addition, the outbreak of COVID-19 forced enterprises to adopt cloud services due to remote working worldwide. The major factors fuelling the cloud security market include the growing number of cybercrimes, new generations, and sophisticated cyberattacks.
According to a comprehensive research report by Market Research Future (“MRFR”), the global secure access services edge market is growing rapidly. Rising demand for secure access services edge (“SASE”) solutions to address growing data security needs and networking drives the market growth.
Future Developments
We continue to significantly grow our ARR (Annual Recurring Revenue) by 30% YoY and revenue by 30%. In addition, our GRR (Gross Retention Rate) and Net Retention Rate (NRR) continue to grow by 90%+ and 115%+, respectively, through continuously improving quality and up-selling expanded portfolio over the last eight quarters.
We continue to invest in building platforms organically and inorganically aggressively. We have expanded our GTM (Go-to-Market) plans, including increasing our sales presence in EMEA, LTAM, and APAC. As a result, we continue to achieve all the Company’s key financial metrics.
As noted above, the Company has raised approximately $1.0 billion and has a solid financial cash and investments position to execute on the Company’s future growth.
Financial Position
Our financial position at year-end is solid.
We continue to significantly grow our ARR (Annual Recurring Revenue) by 30% YoY and revenue by 30%. In addition, our GRR (Gross Retention Rate) and Net Retention Rate (NRR) continue to grow by 90%+ and 115%+, respectively, through continuously improving quality and up-selling expanded portfolio over the last eight quarters.
We continue to invest in building platforms organically and inorganically aggressively. We have expanded our GTM (Go-to-Market) plans, including increasing our sales presence in EMEA, LTAM, and APAC. As a result, we continue to achieve all the Company’s key financial metrics.
As noted above, the Company has raised approximately $1.0 billion and has a solid financial cash and investments position to execute on the Company’s future growth.
Financial Position
Our financial position at year-end is solid.
∙As of January 31, 2025, the Company’s primary source of liquidity consists of $165 million cash and cash equivalents and $81 million marketable securities, which are held for working capital purposes.
∙Revenue north of $538 Million for the fiscal year 2025
∙Total consolidated assets of $858 million
∙Our cash position is solid to sustain the operations in the next 12 months
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NETSKOPE UK LTD
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2025
The directors consider there are minimal risks and uncertainties with the Company's activities as they relate to services provided to the group.
Liquidity Risk
The Company monitors and retains sufficient cash levels to ensure it has funds available for its operations. All cash investments are reviewed to ensure liquidity is maintained.
Currency Risk
The Company has transaction currency exposures which arise from purchases in currencies other than its functional currency. Management monitors foreign currency balances and ensure the balances are cleared down regularly to minimise the risk over time.
Credit risk
Credit risk in respect of trade receivables is limited because a significant proportion of debt due to the Company relates to amounts owed by group undertakings.
Liquidity Risk
The Company monitors and retains sufficient cash levels to ensure it has funds available for its operations. All cash investments are reviewed to ensure liquidity is maintained.
Currency Risk
The Company has transaction currency exposures which arise from purchases in currencies other than its functional currency. Management monitors foreign currency balances and ensure the balances are cleared down regularly to minimise the risk over time.
Credit risk
Credit risk in respect of trade receivables is limited because a significant proportion of debt due to the Company relates to amounts owed by group undertakings.
The directors and officers of Netskope, Inc. oversee the operations of the group on a business sector basis. The directors of the Company do not believe the use of KPI’s are appropriate for assessing the performance or position of the Company.
The directors have acted in a way they considered, in good faith, to be the most likely to promote the success of the Company for the benefit of its stakeholders. Section 172 requires the directors to have regard amongst other matter to the:
a) Likely consequences of any decisions in the long-term
b) Interests of the Company's employees
c) Need to foster the Company's business relationships with suppliers, customers, and others
d) Impact of the Company's operations on the community and the environment
e) Desirability of the Company maintaining a reputation for high standards of business conduct, and
f) Need to act fairly as between members of the Company
Similar to many large organisations much of the group strategy is set at Corporate level. The Company delegates authority for day-to-day management to the Company executives. Management are responsible for overseeing the execution of the group strategy and adhering to policies set by the group.
Senior executives hold meetings with the regional management team regularly to ensure feedback from employees, customers and our suppliers base are heard and reported back in a timely manner.
Netskope’s commitment to ensuring the company's success is outlined in the Company's key policies: the Business Code of Conduct, Employee Handbook, Supplier Code of Conduct, and Labor Policy.
Netskope requires every employee to adhere to these policies and are designed maintain the highest standards of ethical conduct. These policies apply to all directors, officers and employees (who, unless otherwise specified, will be referred to jointly as “employees”) of Netskope, Inc. (together with any subsidiaries, collectively the “Company”), as well as Company contractors, consultants and agents. This Code serves as a guide, and the Company expects employees to use good judgment and adhere to the high ethical standards to which the Company is committed.
a) Likely consequences of any decisions in the long-term
b) Interests of the Company's employees
c) Need to foster the Company's business relationships with suppliers, customers, and others
d) Impact of the Company's operations on the community and the environment
e) Desirability of the Company maintaining a reputation for high standards of business conduct, and
f) Need to act fairly as between members of the Company
Similar to many large organisations much of the group strategy is set at Corporate level. The Company delegates authority for day-to-day management to the Company executives. Management are responsible for overseeing the execution of the group strategy and adhering to policies set by the group.
Senior executives hold meetings with the regional management team regularly to ensure feedback from employees, customers and our suppliers base are heard and reported back in a timely manner.
Netskope’s commitment to ensuring the company's success is outlined in the Company's key policies: the Business Code of Conduct, Employee Handbook, Supplier Code of Conduct, and Labor Policy.
Netskope requires every employee to adhere to these policies and are designed maintain the highest standards of ethical conduct. These policies apply to all directors, officers and employees (who, unless otherwise specified, will be referred to jointly as “employees”) of Netskope, Inc. (together with any subsidiaries, collectively the “Company”), as well as Company contractors, consultants and agents. This Code serves as a guide, and the Company expects employees to use good judgment and adhere to the high ethical standards to which the Company is committed.
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NETSKOPE UK LTD
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2025
This report was approved by the board and signed on its behalf.
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NETSKOPE UK LTD
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 JANUARY 2025
The directors present their report and the financial statements for the year ended 31 January 2025.
The directors are responsible for preparing the Strategic Report, the Directors' Report and the financial statements in accordance with applicable law and regulations.
In preparing these financial statements, the directors are required to:
∙select suitable accounting policies for the Company's financial statements and then apply them consistently;
∙make judgments 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 transactions and disclose with reasonable accuracy at any time the financial position of the Company and to 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.
The profit for the year, after taxation, amounted to £1,359,279 (2024 - £1,279,541).
No dividends have been paid in the current or prior year.
The directors who served during the year were:
As permitted by Section 414c(11) of the Companies Act 2006, the directors have elected to disclose information required to be disclosed in the director's report by Schedule 7 of the 'Large and Medium sized Companies and Groups (Accounts and Reports) Regulations 2008', in the strategic report.
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NETSKOPE UK LTD
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 JANUARY 2025
There have been no significant events affecting the Company since the year end.
The auditor, Nortons Assurance Limited, will be proposed for reappointment in accordance with section 485 of the Companies Act 2006.
This report was approved by the board and signed on its behalf.
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NETSKOPE UK LTD
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF NETSKOPE UK LTD
We have audited the financial statements of Netskope UK Ltd (the 'Company') for the year ended 31 January 2025, which comprise the Profit and Loss Account, the Balance Sheet, the Statement of Cash Flows, the Statement of Changes in Equity and the related notes, 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).
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 United Kingdom, including the Financial Reporting Council'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.
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 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.
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NETSKOPE UK LTD
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF NETSKOPE UK LTD (CONTINUED)
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.
In our opinion, based on the work undertaken in the course of the 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.
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NETSKOPE UK LTD
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF NETSKOPE UK LTD (CONTINUED)
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.
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:
We obtained an understanding of the legal and regulatory frameworks that are applicable to the Company and determined that the most significant frameworks which are directly relevant to specific assertions in the financial statements are those that relate to the reporting framework including the Companies Act 2006 and the relevant tax compliance regulations in the UK.
We understood how the Company is complying with those frameworks by making enquiries of management and those responsible for legal and compliance procedures.
We evaluated the director's and management’s incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls) and determined that the principal risks were related to posting manual journal entries to manipulate financial performance, management bias through judgments and assumptions in significant accounting estimates and significant one-off or unusual transactions.
We considered the controls that the Company has established to address risks identified, or that otherwise prevent, deter and detect fraud; and how senior management monitors those programmes and controls. Where the risk was considered to be higher, we performed audit procedures to address each identified fraud risk.
Based on this understanding we designed our audit procedures to identify non-compliance with such laws and regulations identified in the paragraphs above. Our procedures involved journal entry testing, with a focus on journals indicating large or unusual transactions based on our understanding of the business, enquiries of Company management and focused testing. In addition, we completed procedures to conclude on the compliance of the disclosures in the Annual Report and Accounts with the requirements of the relevant accounting standards and UK legislation.
There are inherent limitations in the audit procedures described above and the primary responsibility for the prevention and detection of irregularities including fraud rests with management. As with any audit, there remained a risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations or the override of internal controls.
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 Auditor's Report.
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NETSKOPE UK LTD
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF NETSKOPE UK LTD (CONTINUED)
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 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 members, as a body, for our audit work, for this report, or for the opinions we have formed.
for and on behalf of
Statutory Auditor
Second Floor
NOW Building
Thames Valley Park
Berkshire
RG6 1RB
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NETSKOPE UK LTD
PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31 JANUARY 2025
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NETSKOPE UK LTD
REGISTERED NUMBER: 09010620
BALANCE SHEET
AS AT 31 JANUARY 2025
The financial statements were approved and authorised for issue by the board and were signed on its behalf by:
The notes on pages 16 to 31 form part of these financial statements.
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NETSKOPE UK LTD
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 JANUARY 2025
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NETSKOPE UK LTD
STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 JANUARY 2025
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NETSKOPE UK LTD
ANALYSIS OF NET DEBT
FOR THE YEAR ENDED 31 JANUARY 2025
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NETSKOPE UK LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2025
Netskope UK Limited (The Company) is incorporated in the United Kingdom under the Companies Act.
The Company is a private company limited by shares and is registered in England and Wales. The address of the Company's registered office is Suite 4, 7th Floor, 50 Broadway, London, SW1H 0DB.
The principal activity of the Company in the period under review was that of providing sales, marketing and R&D services for its parent company.
The Company is a private company limited by shares and is registered in England and Wales. The address of the Company's registered office is Suite 4, 7th Floor, 50 Broadway, London, SW1H 0DB.
The principal activity of the Company in the period under review was that of providing sales, marketing and R&D services for its parent company.
2.Accounting policies
The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.
The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the Company's accounting policies (see note 3).
The following principal accounting policies have been applied:
The directors have received a guarantee of continued financial support from the Company's ultimate parent company, Netskope, Inc., thus the directors have a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future and continue to adopt the going concern basis of accounting in preparing the annual financial statements.
Functional and presentation currency
Transactions and balances
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NETSKOPE UK LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2025
2.Accounting policies (continued)
The fair value of the award also takes into account non-vesting conditions. These are either factors beyond the control of either party (such as a target based on an index) or factors which are within the control of one or other of the parties (such as the Company keeping the scheme open or the employee maintaining any contributions required by the scheme).
Where the terms and conditions of options are modified before they vest, the increase in the fair value of the options, measured immediately before and after the modification, is also charged to profit or loss over the remaining vesting period.
Where equity instruments are granted to persons other than employees, profit or loss is charged with fair value of goods and services received.
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NETSKOPE UK LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2025
2.Accounting policies (continued)
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.
The estimated useful lives range as follows:
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 profit or loss.
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NETSKOPE UK LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2025
2.Accounting policies (continued)
Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.
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 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.
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NETSKOPE UK LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2025
2.Accounting policies (continued)
Basic financial assets
Basic financial assets, which include trade and other debtors, cash and bank balances, are initially measured at their transaction price (adjusted for transaction costs except in the initial measurement of financial assets that are subsequently measured at fair value through profit and loss) and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, 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.
Discounting is omitted where the effect of discounting is immaterial. The Company's cash and cash equivalents, trade and most other debtors due with the operating cycle fall into this category of financial instruments.
Other financial assets
Other financial assets, which includes investments in equity instruments which are not classified as subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the recognised transaction price. Such assets are subsequently measured at fair value with the changes in fair value being recognised in the profit or loss. Where other financial assets are not publicly traded, hence their fair value cannot be measured reliably, they are measured at cost less impairment.
Basic financial liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the Company after the deduction of all its liabilities.
Basic financial liabilities, which include trade and other creditors, bank loans and other loans are initially measured at their transaction price (adjusting for transaction costs except in the initial measurement of financial liabilities that are subsequently measured at fair value through profit and loss). When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future payments discounted at a market rate of interest, discounting is omitted where the effect of discounting is immaterial.
Debt instruments are subsequently carried at their amortised cost using the effective interest rate method.
Trade creditors are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade creditors are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade creditors are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.
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NETSKOPE UK LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2025
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 if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.
Management makes estimates in respect of share based payments. The expense relating to share based payments is estimated at the grant date based on the fair value of the equity and based on awards that are ultimately expected to vest.
The whole of the turnover is attributable to sales, marketing and R&D services for the parent company in the USA.
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NETSKOPE UK LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2025
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NETSKOPE UK LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2025
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NETSKOPE UK LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2025
10.Taxation (continued)
In the Spring budget 2021, the UK Government announced that from 1 April 2023 the corporation tax rate would increase to 25% from the 19% rate that was previously enacted. This new law was enacted on 24 May 2021. For the financial year neded 31 January 2025, the current weighted average tax rate was 25% (2024: 24%).
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NETSKOPE UK LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2025
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NETSKOPE UK LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2025
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NETSKOPE UK LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2025
Profit and loss account
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NETSKOPE UK LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2025
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NETSKOPE UK LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2025
19.Share-based payments (continued)
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NETSKOPE UK LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2025
In the current year the directors have re-assessed the categorisation of certain expenses and have determined that these were misstated in the prior year financial statements. As a result of this re-assessment the prior year cost of sales balance has been re-stated and increased by £2,269,330 and admin expenditure has also been re-stated and decreased by £2,269,330. There is no impact on prior year retained earnings.
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 £1,082,897 (2024 - £578,804). Contributions totalling £93,784 (2024 - £99,250) were payable to the fund at the balance sheet date and are included in creditors.
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NETSKOPE UK LTD
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 JANUARY 2025
The Company is a wholly owned subsidiary of Netskope, Inc. , a company incorporated in the United States of America. The group headed up by Netskope, Inc. is the smallest and largest group for which consolidated financial statements are drawn up, which include the Company. The registered address of the parent company is 2445 Augustine Drive, 3rd Floor, Santa Clara CA 95054, United States of America.
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