Lousin Holdings Limited

Consolidated Statement of Cash Flows for the Year Ended 31 December 2024

Lousin Holdings Limited

Notes to the Financial Statements for the Year Ended 31 December 2024

The company is a private company limited by share capital, incorporated in England and Wales.

The address of its registered office is:
10 Queen Street Place
London
EC4R 1AG
United Kingdom

Statement of compliance

Basis of preparation

Basis of consolidation

The consolidated financial statements present the results of the Company and its own subsidiaries ("the Group") as if they form a single entity. Intercompany transactions and balances between group companies are therefore eliminated in full.

Going concern

In assessing the Group's ability to continue as a going concern, the directors have considered the liquidity position and reviewed cash flow forecasts for the foreseeable future. The Group has adequate financial resources and as a consequence, the directors believe that the group is well placed to manage its business risks successfully and meet its liabilities as they fall due. For this reason, the directors continue to adopt the going concern basis in preparing accounts.

Lousin Holdings Limited

Notes to the Financial Statements for the Year Ended 31 December 2024

Foreign currency transactions and balances

The Company's functional and presentational currency is GBP.

Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.

At each 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 settlement of transactions and from translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in profit or loss, except when deferred in other comprehensive income as qualifying cash flow hedges.

Foreign exchange gains and losses that relate to borrowings and cash equivalents are presented in the Consolidated Profit and Loss Account within 'finance income or costs'. All other foreign exchange gains and losses are presented in profit or loss within 'other operating income'.

On consolidation, results of overseas operations are translated into Sterling at rates approximating to those ruling when transactions took place. All assets and liabilities of overseas operations are translated at the rate ruling at the reporting date. Exchange differences arising on translating opening net assets at opening rate and results of overseas operations at actual rate are recognised in other comprehensive income.

Revenue recognition

Rendering of services
Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:

• The amount of revenue can be measured reliably;
• It is probable that the Group will receive consideration due under the contract;
• The stage of completion of the contract at end of reporting period can be measured reliably; and
• The costs incurred and costs to complete the contract can be measured reliably.

Interest income

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

Defined contribution pension obligation

Tax

Lousin Holdings Limited

Notes to the Financial Statements for the Year Ended 31 December 2024

• The recognition of deferred tax assets is limited to when it is probable they will be recovered against reversal of deferred tax liabilities or future taxable profits;

• Any deferred tax balances are reversed if and when all conditions for retaining associated allowances have been met; and

• Where they relate to timing differences concerning interests in subsidiaries, associates, branches, and joint ventures, and the Group can control the reversal of timing differences, such differences are not considered probable in the foreseeable future.

Deferred tax balances are not recognised in respect of permanent differences except in business combinations when deferred tax is recognised between the fair values of assets acquired and future deductions available for those assets. Fair values of liabilities acquired are assessed for deferred tax. Deferred tax is calculated using rates and laws enacted or substantively enacted by the balance sheet date and expected to apply when the temporary differences reverse.

Tangible assets

Depreciation

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.

Investments

Cash and cash equivalents

Trade debtors

Trade creditors

Lousin Holdings Limited

Notes to the Financial Statements for the Year Ended 31 December 2024

Financial instruments

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

The Group has elected to apply the recognition and measurement provisions of IFRS 9 Financial Instruments (as adopted by the UK Endorsement Board) with the disclosure requirements of Sections 11 and 12 and the other presentation requirements of FRS 102.

Financial instruments are recognised in the Group's Balance Sheet when the Group becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic Financial Assets
Basic financial assets, which include trade and other receivables, cash and bank balances, are initially measured at their transaction price including transaction costs 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, in which case the transaction is measured at the present value of future receipts discounted at a market rate of interest.

Discounting is omitted where the effect of discounting is immaterial. The Group's cash equivalents and most trade and other receivables due within the operating cycle fall into this category of financial instruments.

Other Financial Assets
Other financial assets, which include investments in equity instruments not classified as subsidiaries, associates, or joint ventures, are initially measured at fair value-normally recognised at transaction price. Such assets are subsequently measured at fair value, with changes in fair value being recognised in profit or loss. Where other financial assets are not publicly traded and their fair value cannot be measured reliably, they are measured at cost less impairment.

Impairment of Financial Assets
Financial assets are assessed for indicators of impairment at each reporting date.

Financial assets are impaired when events subsequent to initial recognition indicate that the estimated future cash flows derived from the asset(s) have been adversely impacted. The impairment loss is the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate.

If there is a favourable change in relation to the events surrounding the impairment loss, then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the profit or loss.

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 Group after the deduction of all its liabilities.

Basic financial liabilities, which include trade and other payables, bank loans, other loans, and loans due to fellow group companies, are initially measured at their transaction price after transaction costs. When this constitutes a financing transaction, the debt instrument is measured at the present value of future receipts 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 payables are obligations to pay for goods and services acquired in the ordinary course of business from suppliers. Trade payables are classified as current liabilities if payment is due within one year. If not, they represent non-current liabilities. Trade payables are initially recognised at their transaction price and subsequently measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.



Other Financial Instruments
Derivatives, including forward exchange contracts, futures contracts, and interest rate swaps, are not classified as basic financial instruments. These are initially recognised at fair value on the date the derivative contract is entered into, with costs being charged to profit or loss. They are subsequently measured at fair value, with changes recognised in profit or loss.

Debt instruments that do not meet the conditions set out in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. This recognition and measurement also apply to financial instruments where performance is evaluated on a fair value basis, as with documented risk management or investment strategy.

Derecognition of Financial Assets
Financial assets are derecognised when their contractual rights to future cash flows expire, are settled, or the Group transfers the asset and substantially all the risks and rewards of ownership to another party.

Derecognition of Financial Liabilities
Financial liabilities are derecognised when the Group's contractual obligations expire, or are discharged or cancelled.

Lousin Holdings Limited

Notes to the Financial Statements for the Year Ended 31 December 2024

Financial instruments

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

The Group has elected to apply the recognition and measurement provisions of IFRS 9 Financial Instruments (as adopted by the UK Endorsement Board) with the disclosure requirements of Sections 11 and 12 and the other presentation requirements of FRS 102.

Financial instruments are recognised in the Group's Balance Sheet when the Group becomes party to the contractual provisions of the instrument.

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic Financial Assets
Basic financial assets, which include trade and other receivables, cash and bank balances, are initially measured at their transaction price including transaction costs 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, in which case the transaction is measured at the present value of future receipts discounted at a market rate of interest.

Discounting is omitted where the effect of discounting is immaterial. The Group's cash equivalents and most trade and other receivables due within the operating cycle fall into this category of financial instruments.

Other Financial Assets
Other financial assets, which include investments in equity instruments not classified as subsidiaries, associates, or joint ventures, are initially measured at fair value-normally recognised at transaction price. Such assets are subsequently measured at fair value, with changes in fair value being recognised in profit or loss. Where other financial assets are not publicly traded and their fair value cannot be measured reliably, they are measured at cost less impairment.

Impairment of Financial Assets
Financial assets are assessed for indicators of impairment at each reporting date.

Financial assets are impaired when events subsequent to initial recognition indicate that the estimated future cash flows derived from the asset(s) have been adversely impacted. The impairment loss is the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate.

If there is a favourable change in relation to the events surrounding the impairment loss, then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the profit or loss.

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 Group after the deduction of all its liabilities.

Basic financial liabilities, which include trade and other payables, bank loans, other loans, and loans due to fellow group companies, are initially measured at their transaction price after transaction costs. When this constitutes a financing transaction, the debt instrument is measured at the present value of future receipts 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 payables are obligations to pay for goods and services acquired in the ordinary course of business from suppliers. Trade payables are classified as current liabilities if payment is due within one year. If not, they represent non-current liabilities. Trade payables are initially recognised at their transaction price and subsequently measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.



Other Financial Instruments
Derivatives, including forward exchange contracts, futures contracts, and interest rate swaps, are not classified as basic financial instruments. These are initially recognised at fair value on the date the derivative contract is entered into, with costs being charged to profit or loss. They are subsequently measured at fair value, with changes recognised in profit or loss.

Debt instruments that do not meet the conditions set out in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. This recognition and measurement also apply to financial instruments where performance is evaluated on a fair value basis, as with documented risk management or investment strategy.

Derecognition of Financial Assets
Financial assets are derecognised when their contractual rights to future cash flows expire, are settled, or the Group transfers the asset and substantially all the risks and rewards of ownership to another party.

Derecognition of Financial Liabilities
Financial liabilities are derecognised when the Group's contractual obligations expire, or are discharged or cancelled.

Dividends

No material judgements or key sources of estimation uncertainty have been identified in the preparation of these consolidated financial statements.

The analysis of the group's Turnover for the year from continuing operations is as follows: