Registered number: 07567429
FOR THE YEAR ENDED 31 DECEMBER 2024
SHORYU RAMEN LIMITED
COMPANY INFORMATION
SHORYU RAMEN LIMITED
CONTENTS
SHORYU RAMEN LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024
The directors present the Strategic Report for the year ended 31 December 2024.
During the year ended 31 December 2024 the Company recorded a net loss of £1,203,048 (2023 - £75,384) on a turnover of £9,749,367 (2023 - £10,581,945).
The directors are pleased to report that overall, the Company traded satisfactorily during 2024.
Whilst the UK economy began the year exiting a technical recession (Q3 and Q4 2023) and saw better-than-expected growth in the first half of 2024, it faced continued challenges. Inflation fell back to the Bank of England’s 2% target by mid-year, but domestic price pressures, particularly in the services sector, led to the Bank Rate remaining elevated for most of the year, only starting a slow reduction towards the year-end. Globally, geopolitical uncertainties continued to exert pressure on supply chains and energy costs, adding to the cost of living crisis, which resulted in cautious consumer spending on discretionary items. Despite these headwinds, the hospitality sector continued its trajectory of recovery, with customer demand for out-of-home dining experiences showing resilience by the end of 2024.
In the year under review, company’s like for like sales declined 7.9% reflecting the challenging macro-economic and market conditions impacting the business. Whilst 2025 sales are forecasting to be break even with 2019 level, like for like sales are on course to surpass pre-pandemic baseline sales in 2026.
At the time of approval of these financial statements all Shoryu restaurants operated by Shoryu Ramen Limited are open and trading.
The directors have taken into consideration post pandemic changes such as flexible working, trade union strike action, any impact on change in government policy following 2024 elections, warmer than usual summer weather which has footfall patterns. With the successful opening of Shoryu World site in Stratford City Shopping Mall (July 2024), Shoryu plans to expand both owned and franchising sites in the coming years bringing high quality ramen, creating unique and engaging experiences to its’ growing customer base.
The directors are pleased to report that overall, the Company traded satisfactorily during 2024.
Whilst the UK economy began the year exiting a technical recession (Q3 and Q4 2023) and saw better-than-expected growth in the first half of 2024, it faced continued challenges. Inflation fell back to the Bank of England’s 2% target by mid-year, but domestic price pressures, particularly in the services sector, led to the Bank Rate remaining elevated for most of the year, only starting a slow reduction towards the year-end. Globally, geopolitical uncertainties continued to exert pressure on supply chains and energy costs, adding to the cost of living crisis, which resulted in cautious consumer spending on discretionary items. Despite these headwinds, the hospitality sector continued its trajectory of recovery, with customer demand for out-of-home dining experiences showing resilience by the end of 2024.
In the year under review, company’s like for like sales declined 7.9% reflecting the challenging macro-economic and market conditions impacting the business. Whilst 2025 sales are forecasting to be break even with 2019 level, like for like sales are on course to surpass pre-pandemic baseline sales in 2026.
At the time of approval of these financial statements all Shoryu restaurants operated by Shoryu Ramen Limited are open and trading.
The directors have taken into consideration post pandemic changes such as flexible working, trade union strike action, any impact on change in government policy following 2024 elections, warmer than usual summer weather which has footfall patterns. With the successful opening of Shoryu World site in Stratford City Shopping Mall (July 2024), Shoryu plans to expand both owned and franchising sites in the coming years bringing high quality ramen, creating unique and engaging experiences to its’ growing customer base.
The Directors recognise that within the businesses there is a number of risks which may affect the performance of the Company. These risks are subject to regular review and where appropriate, contingency measures have been established to minimise the level of exposure.
As applicable to the hospitality sector, the company is exposed to the effects of both Brexit, post pandemic and macro-economic challenges facing the business. The primary risks for 2024 continued to be high operational costs, driven by elevated wage bills (due to National Living Wage increases) and persistent service inflation (impacting food, utility, and labour costs), alongside a potentially fragile consumer environment despite cooling headline inflation. The Directors are confident that the group is able to trade through any future downturn in the economy by regularly monitoring performance and continuous contingency planning on the back of its strong customer loyalty, reputation of the brand, the strategic locations of the trading outlets, and shareholders’ commitment.
These financial statements are prepared on a going concern basis. The directors have reasonable expectation that the company will continue in operational existence for the foreseeable future. The directors are aware of certain uncertainties that exist as a result of mitigating action taken during the pandemic i.e borrowings under government backed CIBILS and RLS loans. The company is pleased to note that the CIBILS loan has been fully paid in 2025 and the RLS loan is due to end in July 2026. However the risk of such borrowings and contingency measures has been considered by the directors in assessing its appropriateness to prepare the financial statements on a going concern basis.
As applicable to the hospitality sector, the company is exposed to the effects of both Brexit, post pandemic and macro-economic challenges facing the business. The primary risks for 2024 continued to be high operational costs, driven by elevated wage bills (due to National Living Wage increases) and persistent service inflation (impacting food, utility, and labour costs), alongside a potentially fragile consumer environment despite cooling headline inflation. The Directors are confident that the group is able to trade through any future downturn in the economy by regularly monitoring performance and continuous contingency planning on the back of its strong customer loyalty, reputation of the brand, the strategic locations of the trading outlets, and shareholders’ commitment.
These financial statements are prepared on a going concern basis. The directors have reasonable expectation that the company will continue in operational existence for the foreseeable future. The directors are aware of certain uncertainties that exist as a result of mitigating action taken during the pandemic i.e borrowings under government backed CIBILS and RLS loans. The company is pleased to note that the CIBILS loan has been fully paid in 2025 and the RLS loan is due to end in July 2026. However the risk of such borrowings and contingency measures has been considered by the directors in assessing its appropriateness to prepare the financial statements on a going concern basis.
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SHORYU RAMEN LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
The Group has prepared cash flow forecast until December 2026, under the current economic conditions and based on the key assumption that the restaurants will continue to rebound for the foreseeable future. The forecasts incorporate profit improvement measures including controlling energy costs and securing favourable fixed prices, general cost efficiencies, and marketing campaigns to drive footfall.
The long-term survival of the company is broadly dependent upon factors such success of Bank of England monetary policy in controlling inflation, lowering interest rates and driving economic growth as well as the effectiveness of the containment measures of future global health emergencies etc. The directors are of the opinion that the group has a strong sales recovery in 2025 and the commitment from the shareholders for growth. Given the performance trajectory of the respective locations and general stability in the economic environment, the directors are confident of Shoryu’s future prospects.
In the event the restaurants were to severely be disrupted in the future, the UK economy falls into a recession, financial support from the government becomes unavailable, then the group would seek financial support from its shareholder, Toridoll Holdings Limited, and whilst there are no binding agreements, the directors of Toridoll Holdings Limited have historically been very supportive of the company.
The financial statements do not include the adjustments that would result if the group and the company were unable to continue as a going concern.
The Group's key financial and other performance indicators during the year were as follows:
With the strong growth and popularity UK ramen market the group has successfully benefited from its competitive edge maintaining its focus on ingredients and ability to cater to a diverse customer profile. This has enabled maintaining a balanced sales spread during the day and week. The majority of sales continue to be dominated by dine-in customers.
This report was approved by the board and signed on its behalf.
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SHORYU RAMEN LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2024
The directors present their report and the financial statements for the year ended 31 December 2024.
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 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 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 loss for the year, after taxation, amounted to £1,203,048 (2023 - loss £75,384).
No dividends were declared or paid in the year (2023 - £Nil).
The directors who served during the year were:
The Company continues to offer an excellent dining experience providing authentic Japanese cuisine to customers.
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SHORYU RAMEN LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2024
There have been no significant events affecting the Company since the year end.
Under section 487(2) of the Companies Act 2006, BKL Audit LLP will be deemed to have been reappointed as auditors 28 days after these financial statements were sent to members or 28 days after the latest date prescribed for filing the accounts with the registrar, whichever is earlier.
This report was approved by the board and signed on its behalf.
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SHORYU RAMEN LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SHORYU RAMEN LIMITED
We have audited the financial statements of Shoryu Ramen Limited (the 'Company') for the year ended 31 December 2024, which comprise the Statement of Income and Retained Earnings, the Statement of Financial Position 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 Auditors' 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.
We draw attention to note 2.3 in the financial statements, which indicates that continuing losses 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.
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.
The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' 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.
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SHORYU RAMEN LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SHORYU RAMEN LIMITED (CONTINUED)
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.
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 Auditors' 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.
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SHORYU RAMEN LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SHORYU RAMEN LIMITED (CONTINUED)
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:
∙Enquiring of management and those charged with governance around actual and potential litigation and claims;
∙Reviewing the general ledger in detail for all transactions with related parties;
∙Reviewing meetings of minutes with those charged with governance;
∙Performing walkthrough testing to ensure systems and controls are operating as recorded where appropriate;
∙Performing audit work over the risk of management override of controls, including testing of journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for bias.
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.
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SHORYU RAMEN LIMITED
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF SHORYU RAMEN LIMITED (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 Auditors' 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
Chartered Accountants
Statutory Auditor
35 Ballards Lane
N3 1XW
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SHORYU RAMEN LIMITED
STATEMENT OF INCOME AND RETAINED EARNINGS
FOR THE YEAR ENDED 31 DECEMBER 2024
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SHORYU RAMEN LIMITED
REGISTERED NUMBER: 07567429
STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2024
The financial statements were approved and authorised for issue by the board and were signed on its behalf by:
The notes on pages 11 to 25 form part of these financial statements.
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SHORYU RAMEN LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
The principal activity of Shoryu Ramen Limited ("the company") is that of providing authentic Japanese cuisine to customers via both restaurants and delivery agents.
Shoryu Ramen Limited is a private company limited by shares incorporated in England and Wales.
The registered office is 3 Denman Street, London, United Kingdom, W1D 7HB.
Shoryu Ramen Limited operates from six restaurant locations:
Shoryu Ramen Limited is a private company limited by shares incorporated in England and Wales.
The registered office is 3 Denman Street, London, United Kingdom, W1D 7HB.
Shoryu Ramen Limited operates from six restaurant locations:
∙1 Piccadilly Gardens, Manchester, M1 1RG
∙9 Regent Street, London, SW1Y 4LR
∙45 Great Eastern Street, London, EC2A 3HP
∙134 The Westgate, Queens Street, Oxford, OX1 1PB
∙35 Great Queen Street, London, WC2B 5AA
∙3 Denman Street, London, W1D 7HA
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 judgement in applying the Company's accounting policies (see note 3).
The Company's functional and presentational currency is GBP.
The Company's functional and presentational currency is GBP.
The following principal accounting policies have been applied:
The Company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":
∙the requirements of Section 7 Statement of Cash Flows;
∙the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d);
∙the requirements of Section 33 Related Party Disclosures paragraph 33.7.
This information is included in the consolidated financial statements of Shoryu Holdings Limited as at 31 December 2024 and these financial statements may be obtained from Companies House searching for their registration number 08251749.
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SHORYU RAMEN LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
2.Accounting policies (continued)
The financial statements have been prepared on the going concern basis, which assumes that the Company will continue to trade for the foreseeable future, being a period of at least twelve months from the date of approval of these financial statements, and will be able to meet its debts as they fall due. However, the directors are aware of certain material uncertainties which may cause doubt on the Company’s ability to continue as a going concern.
The financial statements show a loss for the year after tax of £1,203,048 and net liabilities of £1,758,333.
Included in creditors amounts falling due within one year is £3,154,481 due to fellow related companies. The related companies have provided assurance that they will not seek repayment of the amounts owed at least on or after 12 months from the audit report date or when the company is in a position to repay the liabilities as this is in the best interest of the group as a whole.
In common with similar businesses in the hospitality sector, challenging trading environment presented by unforeseen post pandemic events such as the energy crisis, interest rate crisis, change in city working patterns, have significant impact on footfall and customer spend levels, which in turn has an impact on overall group results. Whilst it is difficult to predict the longevity and future such occurrences, the directors have implemented measures for the business to mitigate their impact, adopt and sustain profitability and growth in the medium to long term.
The Company and Group have prepared cash flow forecasts until December 2026, under the current economic conditions and based on the key assumptions that the restaurant will remain open for the foreseeable future and general footfall is expected to increase. The forecasts incorporate profit improvement measures including controlling energy costs and securing favourable fixed prices, general cost efficiencies, and marketing campaigns to drive footfall.
As a result of these projections, and continued support from group companies, the directors are confident that the Company’s access to working capital and future profit generation will be sufficient to support the business in the foreseeable future, and accordingly, consider it appropriate to prepare the financial statements on a going concern basis.
The financial statements show a loss for the year after tax of £1,203,048 and net liabilities of £1,758,333.
Included in creditors amounts falling due within one year is £3,154,481 due to fellow related companies. The related companies have provided assurance that they will not seek repayment of the amounts owed at least on or after 12 months from the audit report date or when the company is in a position to repay the liabilities as this is in the best interest of the group as a whole.
In common with similar businesses in the hospitality sector, challenging trading environment presented by unforeseen post pandemic events such as the energy crisis, interest rate crisis, change in city working patterns, have significant impact on footfall and customer spend levels, which in turn has an impact on overall group results. Whilst it is difficult to predict the longevity and future such occurrences, the directors have implemented measures for the business to mitigate their impact, adopt and sustain profitability and growth in the medium to long term.
The Company and Group have prepared cash flow forecasts until December 2026, under the current economic conditions and based on the key assumptions that the restaurant will remain open for the foreseeable future and general footfall is expected to increase. The forecasts incorporate profit improvement measures including controlling energy costs and securing favourable fixed prices, general cost efficiencies, and marketing campaigns to drive footfall.
As a result of these projections, and continued support from group companies, the directors are confident that the Company’s access to working capital and future profit generation will be sufficient to support the business in the foreseeable future, and accordingly, consider it appropriate to prepare the financial statements on a going concern basis.
Revenue is recognised when food and drink is provided to the customer.
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SHORYU RAMEN LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
2.Accounting policies (continued)
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SHORYU RAMEN LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
2.Accounting policies (continued)
At each reporting date the Company assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined which is the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.
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SHORYU RAMEN LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
2.Accounting policies (continued)
Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives.
Depreciation is provided on the following basis:
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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SHORYU RAMEN LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
2.Accounting policies (continued)
The Company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, loans to related parties and investments in ordinary shares.
(i) Financial assets
Basic financial assets, including trade and other debtors, cash and bank balances are initially recognised at transaction price, 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.
Such assets are subsequently carried at amortised cost using the effective interest method. At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. 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 the Statement of Income and Retained Earnings.
Financial assets are derecognised when (a) the contractual rights to the cash flows from the asset expire or are settled, or (b) substantially all the risks and rewards of the ownership of the asset are transferred to another party or (c) control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions.
(ii) Financial liabilities
Basic financial liabilities, including trade and other creditors and accruals, 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 receipts discounted at a market rate of interest.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Trade creditors 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.
Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires.
(iii) Offsetting
Financial assets and liabilities are offset and 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.
(i) Financial assets
Basic financial assets, including trade and other debtors, cash and bank balances are initially recognised at transaction price, 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.
Such assets are subsequently carried at amortised cost using the effective interest method. At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. 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 the Statement of Income and Retained Earnings.
Financial assets are derecognised when (a) the contractual rights to the cash flows from the asset expire or are settled, or (b) substantially all the risks and rewards of the ownership of the asset are transferred to another party or (c) control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions.
(ii) Financial liabilities
Basic financial liabilities, including trade and other creditors and accruals, 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 receipts discounted at a market rate of interest.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Trade creditors 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.
Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires.
(iii) Offsetting
Financial assets and liabilities are offset and 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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SHORYU RAMEN LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.
Going concern assumption
As outlined in note 2.3 the directors believe that the company will continue to be a going concern however due to previous losses and post-pandemic economic conditions, material uncertainty does exist relating to the going concern assumption.
As a result, the accounts have been prepared on such a basis so assets and liabilities have been accounted for with the company's continued trading operation in mind.
If the Company was to no longer be a going concern, assets and liabilities would need to be re-evaluated to reflect this position.
Useful economic lives of property, plant and equipment
The annual depreciation charge for tangible assets is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are re-assessed annually. They are amended when necessary to reflect current estimates, based on technological advancement, future investments, economic utilisation and the physical condition of the assets.
Valuation of trade debtors
Management recognise trade debtors net of provisions for any irrecoverable amounts. The recoverable amounts are considered to be those debts recovered post year-end and provisions are recognised for all debts outstanding at the date of the financial statements, that are past their due date.
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SHORYU RAMEN LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
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SHORYU RAMEN LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
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SHORYU RAMEN LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
There were no factors that may affect future tax charges.
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SHORYU RAMEN LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
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SHORYU RAMEN LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
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SHORYU RAMEN LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
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SHORYU RAMEN LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
Share premium account
Profit and loss account
The comparative information in the financial statements has been restated from the figures previously reported in the prior year financial statements as follows:
A prior year restatement was necessary to eliminate interbranch transactions.This adjustment resulted in a decrease in turnover previously reported of £751,781 and a decrease in cost of sales of the same amount.
A second prior year restatement was necessary to reclassify intercompany recharges of £558,640 which were previously included within administrative expenses and turnover. This adjustment resulted in an increase in administrative expenses previously reported of £265,684, a decrease in turnover of £292,956 and an increase in other operating income of £557,640.
A third prior year restatement was necessary to reclassify rent deposits between debtors due within one year and due after more than one year. This adjustment resulted in a decrease in debtors due within one year by £470,790 and an increase in debtors due after more than one year by the same amount.
These adjustments had no impact on net assets or profit for the prior year.
A prior year restatement was necessary to eliminate interbranch transactions.This adjustment resulted in a decrease in turnover previously reported of £751,781 and a decrease in cost of sales of the same amount.
A second prior year restatement was necessary to reclassify intercompany recharges of £558,640 which were previously included within administrative expenses and turnover. This adjustment resulted in an increase in administrative expenses previously reported of £265,684, a decrease in turnover of £292,956 and an increase in other operating income of £557,640.
A third prior year restatement was necessary to reclassify rent deposits between debtors due within one year and due after more than one year. This adjustment resulted in a decrease in debtors due within one year by £470,790 and an increase in debtors due after more than one year by the same amount.
These adjustments had no impact on net assets or profit for the prior year.
At the reporting date, the Company had banking and financing facilities which were secured by fixed and floating charges over certain assets of the Company.
The floating charge covers all the assets and undertakings of the Company not otherwise subject to a fixed charge.
The fixed charges relate primarily to tangible fixed assets and other specific items of plant and equipment used in the Company’s operations.
The facilities provided by Barclays Bank PLC are cross-guaranteed by group companies within the Shoryu Group.
The floating charge covers all the assets and undertakings of the Company not otherwise subject to a fixed charge.
The fixed charges relate primarily to tangible fixed assets and other specific items of plant and equipment used in the Company’s operations.
The facilities provided by Barclays Bank PLC are cross-guaranteed by group companies within the Shoryu Group.
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SHORYU RAMEN LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2024
The Company operates a defined contributions 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 £52,198 (2023 - £55,793). Contributions totalling £4,211 (2023 - £5,812) were payable to the fund at the reporting date and are included in creditors.
The Company's parent and ultimate parent is Shoryu Holdings Ltd, incorporated in the United Kingdom.
The parent of the largest group in which these financial statements are consolidated is Shoryu Holdings Ltd, a company incorporated in England and Wales. A copy of the consolidated financial statements can be obtained from Companies House using the company's registration number 08251749.
The parent of the largest group in which these financial statements are consolidated is Shoryu Holdings Ltd, a company incorporated in England and Wales. A copy of the consolidated financial statements can be obtained from Companies House using the company's registration number 08251749.
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