ACCOUNTS - Final Accounts

Operating loss

The operating loss is stated after charging:

Registered number: 12101512

ENREACH HOLDINGS LIMITED

ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

ENREACH HOLDINGS LIMITED

COMPANY INFORMATION

Directors	S Nijhuis
	CL Smith (appointed 1 January 2025)
	Enreach Holding B.V


Registered number	12101512


Registered office	Communications House
	Hadley Park
	Telford
	Shropshire
	TF1 6QJ


Independent auditors	WR Partners
	Chartered Accountants & Statutory Auditors
	Belmont House
	Shrewsbury Business Park
	Shrewsbury
	Shropshire
	SY2 6LG

ENREACH HOLDINGS LIMITED

CONTENTS

	Page
Group strategic report	1 - 2
Directors' report	3 - 4
Independent auditors' report	5 - 8
Consolidated statement of comprehensive income	9
Consolidated balance sheet	10 - 11
Company balance sheet	12
Consolidated statement of changes in equity	13
Company statement of changes in equity	14
Consolidated statement of cash flows	15 - 16
Notes to the financial statements	17 - 40

ENREACH HOLDINGS LIMITED

GROUP STRATEGIC REPORT

FOR THE YEAR ENDED 31 DECEMBER 2024

Introduction

The Directors present their strategic report for the year ended 31 December 2024.

Business review

Enreach Holdings Limited is a holding company and the parent of a group of companies operating in the United Kingdom. The principal activity of the Group is the provision of telecommunications and related services.

The Company is a wholly owned subsidiary of Enreach Holding B.V., a company incorporated in the Netherlands.

The Group’s performance for the year is reflected in the financial statements. The results for the year are considered by the Directors to be consistent with expectations, considering prevailing market conditions.

Principal risks and uncertainties

The Directors have considered the principal risks and uncertainties facing the Group. These risks are subject to ongoing review and are managed through the Group’s governance and internal control processes.

People risk

Employees are the Group’s key asset. The Group’s success relies on recruiting, retaining and motivating key employees. The Group has staff engagement policies to mitigate this risk.

Business environment and market risks

The Group’s revenues are in the telecommunications industry which is highly competitive and undergoing change. Significant changes in the industry or customer requirements, or the emergence of competitive products with new capabilities or technologies could adversely affect the Group’s operations. Being part of the wider Enreach group, mitigates product risk by benefiting from new products meeting customer demands.

The Group is managing and mitigating the impact of the following operational risks:

Information Systems

The Group is reliant upon several business systems which, if disrupted for any length of time due to damage or interruption of service could have an adverse effect on the efficient running of the Group’s business. Management regularly assesses the business support systems and has in place several contingency plans to mitigate the impact of such failures.

Page 1

ENREACH HOLDINGS LIMITED

GROUP STRATEGIC REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2024

Supply Chain

The Group is not solely reliant on one manufacturer and has contingency plans for alternative suppliers.

Regulatory Compliance

The Group is subject to regulatory compliance risk which could arise from failure to comply with relevant law, regulation or codes of practice. Failure to comply could result in fines, cessation of some business activities or a public reprimand. The Group manages risk through close monitoring of regulatory compliance and seeking the latest professional guidance.

Financial key performance indicators

The Directors use financial performance indicators, including revenue, operating results and cash flows, to monitor the performance of the Group. These measures are derived directly from the financial statements.

Other key performance indicators

The Group uses a suite of non-financial KPIs to monitor and measure success monthly which covers the whole business operating spectrum reflecting the changing needs of the business.

This report was approved by the board and signed on its behalf.

C L Smith

Director

Date: 29 December 2025

Page 2

ENREACH HOLDINGS 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.

Directors' responsibilities statement

The directors are responsible for preparing the Group strategic report, the Directors' report and the consolidated financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Company and the Group and of the profit or loss of the Group for that period.

In preparing these financial statements, the directors are required to:

∙select suitable accounting policies for the Group's financial statements and then apply them consistently;

∙make judgements 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 Group 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 the Group 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 the Group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Results and dividends

The loss for the year, after taxation, amounted to £6,839,849 (2023 - loss £7,075,614).

The Group paid no dividends during the year (2023 - £nil).

Directors

The directors who served during the year were:

S Nijhuis

Enreach Holding B.V

Future developments

There are no post balance sheet events or future developments considered material to the understanding of the
financial statements.

Page 3

ENREACH HOLDINGS LIMITED

DIRECTORS' REPORT (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2024

Qualifying third party indemnity provisions

During the period, the Company maintained liability insurance and third-party indemnification provisions for its Directors, under which the Company has agreed to indemnify the Directors to the extent permitted by law in respect of all liabilities to third parties arising out of, or in connection with, the execution of their powers, duties and responsibilities as directors of the Company and any of its associated companies.

Matters covered in the Group Strategic Report

Business review, principal risks and uncertainties, financial key performance indicators and other key performance indicators are disclosed in the Strategic Report.

Disclosure of information to auditors

Each of the persons who are directors at the time when this Directors' report is approved has confirmed that:

∙so far as the director is aware, there is no relevant audit information of which the Company and the Group's auditors are unaware, and

∙the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company and the Group's auditors are aware of that information.

Post balance sheet events

There have been no significant events affecting the Group since the year end.

Auditors

The auditors, WR Partners, 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.

C L Smith

Director

Date: 29 December 2025

Page 4

ENREACH HOLDINGS LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF ENREACH HOLDINGS LIMITED

Opinion

We have audited the financial statements of Enreach Holdings Limited (the 'parent Company') and its subsidiaries (the 'Group') for the year ended 31 December 2024, which comprise the Consolidated statement of comprehensive income, the Consolidated Balance Sheet, the Company Balance Sheet, the Consolidated Statement of Cash Flows, the Consolidated Statement of Changes in Equity, the Company 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).

In our opinion the financial statements:

∙give a true and fair view of the state of the Group's and of the parent Company's affairs as at 31 December 2024 and of the Group's loss for the year then ended;

∙have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

∙have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the Group 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.

Material uncertainty related to going concern

We draw attention to note 2.3 of the financial statements, which indicates that Enreach Holdings Limited are preparing the financial statements on a going concern basis with the support of its immediate parent company, Enreach B.V.

As stated in note 2.3, the Directors note that the latest published financial information of the VOIP BV group, of which Enreach B.V is a subsidiary, includes a material uncertainty in relation to going concern which may limit the ability of Enreach B.V to fulfil its commitment to the Group. These events or conditions indicate that a material uncertainty exists that may cast significant doubt on the Group’s ability to continue as a going concern. Our opinion is not modified in respect of this matter.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Page 5

ENREACH HOLDINGS LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF ENREACH HOLDINGS LIMITED (CONTINUED)

Other information

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.

We have nothing to report in this regard.

Opinion on other matters prescribed by the Companies Act 2006

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

∙the information given in the Group 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 Group strategic report and the Directors' report have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of the knowledge and understanding of the Group and the parent Company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group strategic report or the Directors' report.

We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:

∙adequate accounting records have not been kept by the parent Company, or returns adequate for our audit have not been received from branches not visited by us; or

∙the parent Company financial statements are not in agreement with the accounting records and returns; or

∙certain disclosures of directors' remuneration specified by law are not made; or

∙we have not received all the information and explanations we require for our audit.

Page 6

ENREACH HOLDINGS LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF ENREACH HOLDINGS LIMITED (CONTINUED)

Responsibilities of directors

As explained more fully in the Directors' responsibilities statement set out on page 3, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the Group's and the parent Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the Group or the parent Company or to cease operations, or have no realistic alternative but to do so.

Auditors' responsibilities for the audit of the financial statements

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 Group 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:

The audit team obtained an understanding of the legal and regulatory frameworks that are applicable to the Group and determined that the most significant are those that relate to the reporting framework (FRS102 and the Companies Act 2006), the relevant tax compliance regulations, employment law, Health and Safety Regulations and the EU General Data Protection Regulation (GDPR).

We understood how the Group is complying with these frameworks by making enquiries of management and those responsible for legal and compliance procedures. We also reviewed board minutes to identify any recorded instances of irregularity or non compliance that might have a material impact on the financial statements.

We assessed the susceptibility of the Group's financial statements to material misstatement, including how fraud might occur by meeting with key management to understand where they considered there was susceptibility to fraud. Based on our understanding our procedures involved enquiries of management and those charged with governance, manual journal entry testing, cashbook reviews for large and unusual items and the challenge of significant accounting estimates used in preparing the financial statements.

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.

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 Auditors' report.

Page 7

ENREACH HOLDINGS LIMITED

INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF ENREACH HOLDINGS LIMITED (CONTINUED)

Use of our report

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.

John Fletcher BA (Hons) FCA (Senior statutory auditor)

for and on behalf of

WR Partners

Chartered Accountants

Statutory Auditors

Belmont House

Shrewsbury Business Park

Shrewsbury

Shropshire

SY2 6LG

Date: 29 December 2025

Page 8

ENREACH HOLDINGS LIMITED

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME

FOR THE YEAR ENDED 31 DECEMBER 2024

	2024	2023
Note	£	£


Turnover	4	12,628,660	13,564,574
Cost of sales		(4,717,407)	(6,202,437)
Gross profit		7,911,253	7,362,137
Administrative expenses		(10,237,732)	(10,205,165)
Other operating income	5	2,796	-
Operating loss	6	(2,323,683)	(2,843,028)
Interest receivable and similar income	10	414,072	399,207
Interest payable and similar expenses	11	(5,302,956)	(4,816,845)
Loss before tax		(7,212,567)	(7,260,666)
Tax on loss	12	372,718	185,052
Loss for the financial year		(6,839,849)	(7,075,614)

Profit for the year attributable to:
Owners of the parent company	6,839,849	7,075,614
	6,839,849	7,075,614

There were no recognised gains and losses for 2024 or 2023 other than those included in the consolidated statement of comprehensive income.

There was no other comprehensive income for 2024 (2023:£NIL).

The notes on pages 17 to 40 form part of these financial statements.

Page 9

ENREACH HOLDINGS LIMITED

REGISTERED NUMBER: 12101512

CONSOLIDATED BALANCE SHEET

AS AT 31 DECEMBER 2024

		2024		2023
Note		£		£

Fixed assets
Intangible assets	13		15,006,292		18,976,368
Tangible assets	14		223,473		207,775
			15,229,765		19,184,143
Current assets
Stocks	16	46,671		90,916
Debtors: amounts falling due after more than one year	17	3,535,340		3,897,051
Debtors: amounts falling due within one year	17	2,438,522		2,953,038
Cash at bank and in hand	18	751,555		763,773
		6,772,088		7,704,778
Creditors: amounts falling due within one year	19	(53,872,169)		(11,720,204)
Net current liabilities			(47,100,081)		(4,015,426)
Total assets less current liabilities			(31,870,316)		15,168,717
Creditors: amounts falling due after more than one year	20		-		(39,897,203)
Provisions for liabilities
Deferred tax	21	(342,847)		(644,828)
			(342,847)		(644,828)
Net liabilities			(32,213,163)		(25,373,314)

Page 10

ENREACH HOLDINGS LIMITED

REGISTERED NUMBER: 12101512

CONSOLIDATED BALANCE SHEET (CONTINUED)

AS AT 31 DECEMBER 2024

		2024		2023
Note		£		£

Capital and reserves
Called up share capital	22	100	100
Profit and loss account	23	(32,213,263)	(25,373,414)
		(32,213,163)	(25,373,314)

The financial statements were approved and authorised for issue by the board and were signed on its behalf by:

C L Smith

Director

Date: 29 December 2025

The notes on pages 17 to 40 form part of these financial statements.

Page 11

ENREACH HOLDINGS LIMITED

REGISTERED NUMBER: 12101512

COMPANY BALANCE SHEET

AS AT 31 DECEMBER 2024

		2024		2023
Note		£		£

Fixed assets
Investments	15		19,062,000		31,575,194
			19,062,000		31,575,194

Creditors: amounts falling due within one year	19	(64,171,743)		(19,040,604)
Net current liabilities			(64,171,743)		(19,040,604)
Total assets less current liabilities			(45,109,743)		12,534,590

Creditors: amounts falling due after more than one year	20		-		(39,897,173)

Net liabilities			(45,109,743)		(27,362,583)

Capital and reserves
Called up share capital	22	100	100
Profit and loss account	23	(45,109,843)	(27,362,683)
		(45,109,743)	(27,362,583)

The financial statements were approved and authorised for issue by the board and were signed on its behalf by:

C L Smith

Director

Date: 29 December 2025

The notes on pages 17 to 40 form part of these financial statements.

Page 12

ENREACH HOLDINGS LIMITED

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 31 DECEMBER 2024

	Called up share capital	Profit and loss account	Total equity
	£	£	£
At 1 January 2023	100	(18,297,800)	(18,297,700)
Comprehensive income for the year
Loss for the year	-	(7,075,614)	(7,075,614)
Total comprehensive income for the year	-	(7,075,614)	(7,075,614)

At 1 January 2024	100	(25,373,414)	(25,373,314)
Comprehensive income for the year
Loss for the year	-	(6,839,849)	(6,839,849)
Total comprehensive income for the year	-	(6,839,849)	(6,839,849)
At 31 December 2024	100	(32,213,263)	(32,213,163)

The notes on pages 17 to 40 form part of these financial statements.

Page 13

ENREACH HOLDINGS LIMITED

COMPANY STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 31 DECEMBER 2024

	Called up share capital	Profit and loss account	Total equity
	£	£	£
At 1 January 2023	100	(22,738,376)	(22,738,276)
Comprehensive income for the year
Loss for the year	-	(4,624,307)	(4,624,307)
Total comprehensive income for the year	-	(4,624,307)	(4,624,307)

At 1 January 2024	100	(27,362,683)	(27,362,583)
Comprehensive income for the year
Loss for the year	-	(17,747,160)	(17,747,160)
Total comprehensive income for the year	-	(17,747,160)	(17,747,160)
At 31 December 2024	100	(45,109,843)	(45,109,743)

The notes on pages 17 to 40 form part of these financial statements.

Page 14

ENREACH HOLDINGS LIMITED

CONSOLIDATED STATEMENT OF CASH FLOWS

FOR THE YEAR ENDED 31 DECEMBER 2024

			2024	2023
			£	£

Cash flows from operating activities
Loss for the financial year	(6,839,849)	(7,075,614)
Adjustments for:
Amortisation of intangible assets	3,970,076	4,049,287
Depreciation of tangible assets	87,480	189,378
Loss on disposal of tangible assets	97,399	-
Government grants	(2,796)	-
Interest paid	5,302,956	4,816,845
Interest received	(414,072)	(399,207)
Taxation charge	(372,718)	(185,052)
Decrease in stocks	44,245	170,092
Decrease in debtors	822,108	331,401
Decrease in amounts owed by groups	306,144	-
(Decrease) in creditors	(390,125)	(1,347,157)
Increase/(decrease)) in amounts owed to groups	2,644,886	(418,713)
Corporation tax (paid)	(181,287)	(153,496)
Increase in amounts owed to groups	-	4,671,880
Net cash generated from operating activities	5,074,447	4,649,644

Cash flows from investing activities
Purchase of tangible fixed assets	(219,053)	(17,398)
Sale of tangible fixed assets	18,476	-
Government grants received	2,796	-
Interest received	414,072	399,207
Net cash from investing activities	216,291	381,809

Page 15

ENREACH HOLDINGS LIMITED

CONSOLIDATED STATEMENT OF CASH FLOWS (CONTINUED)

FOR THE YEAR ENDED 31 DECEMBER 2024

		2024	2023
		£	£


Cash flows from financing activities
Interest paid	(5,302,956)	(4,816,845)
Net cash used in financing activities	(5,302,956)	(4,816,845)
Net (decrease)/increase in cash and cash equivalents	(12,218)	214,608
Cash and cash equivalents at beginning of year	763,773	549,165
Cash and cash equivalents at the end of year	751,555	763,773

Cash and cash equivalents at the end of year comprise:
Cash at bank and in hand	751,555	763,773
	751,555	763,773

Page 16

ENREACH HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

1.	General information

Enreach Holdings Limited is a private company, limited by shares, domiciled in the UK and incorporated in England and Wales. The registered office and principal place of business is Communication House, Hadley Park, Telford, Shropshire, TF1 6QJ. The principal activities of the business are the provision of telecommunications services.

2.Accounting policies

2.1

Basis of preparation of financial statements

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 Group management to exercise judgement in applying the Group's accounting policies (see note 3).

The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of comprehensive income in these financial statements.

The following principal accounting policies have been applied:

2.2

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.

The consolidated financial statements incorporate the results of business combinations using the purchase method. In the Balance Sheet, the acquiree's identifiable assets, liabilities and contingent liabilities are initially recognised at their fair values at the acquisition date. The results of acquired operations are included in the Consolidated Statement of Comprehensive Income from the date on which control is obtained. They are deconsolidated from the date control ceases.

Page 17

ENREACH HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.3

Going concern

The Directors assess whether the use of going concern is appropriate i.e, whether there are any material uncertainties related to events or conditions that may cast significant doubt on the ability of the group to continue as a going concern. The directors make this assessment in respect of a period of at least one year from the date of authorisation for issue of the financial statements.

The Directors of the Company’s intermediate holding company, Enreach Holding B.V., have confirmed that Enreach Holding B.V. will continue to provide financial support to the Company as may be required to enable the Company to continue as a going concern for at least the next 12 months from the date of this report.

The Group's and Company's forecasts and projections, taking account of reasonably possible changes in trading performance, show that the Group and Company should be able to operate within the level of its current facilities.

The Directors have a reasonable expectation that the Group has adequate resources to continue in operational existence for the foreseeable future. The Group and Company therefore has adopted the going concern basis in preparing its financial statements.

When making the above assessment the Directors have taken into account the financial commitment made by its parent company and have also considered the ultimate parent company of the group, Voip B.V., of which Enreach Holding B.V. is a subsidiary company.

Page 18

ENREACH HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.4

Foreign currency translation

Functional and presentation currency

The Company's functional and presentational currency is GBP.

Transactions and balances

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 the settlement of transactions and from the 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 and cash equivalents are presented in the Consolidated statement of comprehensive income within 'finance income or costs'. All other foreign exchange gains and losses are presented in profit or loss within 'other operating income'.

On consolidation, the results of overseas operations are translated into Sterling at rates approximating to those ruling when the 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 the opening net assets at opening rate and the results of overseas operations at actual rate are recognised in other comprehensive income.

Page 19

ENREACH HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.5

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Group and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

Sale of goods

Revenue from the sale of goods is recognised when all of the following conditions are satisfied:

∙the Group has transferred the significant risks and rewards of ownership to the buyer;

∙the Group retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;

∙the amount of revenue can be measured reliably;

∙it is probable that the Group will receive the consideration due under the transaction; and

∙the costs incurred or to be incurred in respect of the transaction can be measured reliably.

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 the consideration due under the contract;

∙the stage of completion of the contract at the end of the reporting period can be measured reliably; and

∙the costs incurred and the costs to complete the contract can be measured reliably.

2.6

Operating leases: the Group as lessee

Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term.

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight-line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.

The Group has taken advantage of the optional exemption available on transition to FRS 102 which allows lease incentives on leases entered into before the date of transition to the standard to continue to be charged over the period to the first market rent review rather than the term of the lease.

Page 20

ENREACH HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.7

Research and development

In the research phase of an internal project it is not possible to demonstrate that the project will generate future economic benefits and hence all expenditure on research shall be recognised as an expense when it is incurred. Intangible assets are recognised from the development phase of a project if and only if certain specific criteria are met in order to demonstrate the asset will generate probable future economic benefits and that its cost can be reliably measured. The capitalised development costs are subsequently amortised on a straight-line basis over their useful economic lives, which range from 3 to 6 years.

If it is not possible to distinguish between the research phase and the development phase of an internal project, the expenditure is treated as if it were all incurred in the research phase only.

2.8

Government grants

Grants are accounted under the accruals model as permitted by FRS 102. Grants relating to expenditure on tangible fixed assets are credited to profit or loss at the same rate as the depreciation on the assets to which the grant relates. The deferred element of grants is included in creditors as deferred income.

Grants of a revenue nature are recognised in the Consolidated statement of comprehensive income in the same period as the related expenditure.

2.9

Interest income

Interest income is recognised in profit or loss using the effective interest method.

2.10

Finance costs

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.

Page 21

ENREACH HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.11

Pensions

Defined contribution pension plan

The Group operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Group pays fixed contributions into a separate entity. Once the contributions have been paid the Group has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Balance sheet. The assets of the plan are held separately from the Group in independently administered funds.

2.12

Current and deferred taxation

The tax expense for the year comprises current and deferred tax. Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the balance sheet date in the countries where the Company and the Group operate and generate income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the balance sheet date, except that:

∙The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits;

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

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

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Page 22

ENREACH HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.13

Intangible assets

Goodwill

Goodwill represents the difference between amounts paid on the cost of a business combination and the acquirer’s interest in the fair value of the Group's share of its identifiable assets and liabilities of the acquiree at the date of acquisition. Subsequent to initial recognition, goodwill is measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is amortised on a straight-line basis to the Consolidated statement of comprehensive income over its useful economic life.

Other intangible assets

Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.

Amortisation is provided on the following bases:

Brand Name	-	10%
Maintenance Contracts	-	11%
Goodwill	-	10%
Other intangible assets	-	17%	- 20%

2.14

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

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.

Depreciation is provided on the following basis:

Plant and machinery	-	20%
Motor vehicles	-	20%
Fixtures and fittings	-	15%
Computer equipment	-	33%

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.

Page 23

ENREACH HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.15

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment.

2.16

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis. Work in progress and finished goods include labour and attributable overheads.

At each balance sheet date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in profit or loss.

2.17

Debtors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

2.18

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

In the Consolidated statement of cash flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the Group's cash management.

2.19

Creditors

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

Page 24

ENREACH HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.20

Provisions for liabilities

Provisions are recognised when an event has taken place that gives rise to a legal or constructive obligation, a transfer of economic benefits is probable and a reliable estimate can be made.

Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.

Increases in provisions are generally charged as an expense to profit or loss.

2.21

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 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 Group'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.

Page 25

ENREACH HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.21

Financial instruments (continued)

Impairment of financial assets

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 profit or loss.

Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial asset(s) have been adversely impacted. The impairment loss will be 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 creditors, bank loans, other loans and loans due to fellow group companies 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.

Page 26

ENREACH HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

2.Accounting policies (continued)

2.21

Financial instruments (continued)

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 the profit or loss. They are subsequently measured at fair value with changes in the profit or loss.

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

3.	Judgements in applying accounting policies and key sources of estimation uncertainty

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.

The Group makes estimates and assumptions concerning the future. The resulting accounting estimates will, by definition, seldom equal the related actual results. In the opinion of the Directors the estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are disclosed below:

Investment Carrying Value:

Investments in subsidiary undertakings are carried at cost less accumulated impairment with annual impairment reviews performed.

During the year, management performed an investment impairment review based on the higher of the fair value of the subsidiaries and value in use based on a 5 year forecast which included projected performance as at the date of signing the financial statements. The fair value was based on an EBITDA Multiple while forecasts were discounted to their present value using a discount rate set by management. An impairment has been recognised in respect of the current year of £12.5m. The impairment reviews performed in the prior year identified impairment totalling £131,595 to be recognised within the prior year balance sheet. The carrying values of investments in the Company are £19,062,000 (2023: £31,575,194).

Intangible Fixed Assets Carrying value:

Intangible fixed assets including goodwill which arise on acquisition of subsidiary entities are carried at cost less accumulated amortisation. Annual impairment reviews are performed for each identified cash generating unit (CGU).

During the year, management performed an investment impairment review based on the higher of the fair value of the CGU and a 5 year forecasts which included projected performance as at the date of signing the financial statements. The fair value was based on an EBITDA Multiple while forecasts were discounted to their present value using a discount rate set by management. The impairment reviews performed have not identified any impairment to be recognised as at the balance sheet date in respect of both the current year and comparative figures. The carrying values of intangible fixed assets including goodwill are £15,006,292 (2023: £18,976,368).

Page 27

ENREACH HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

Turnover

The whole of the turnover is attributable to the Group's principal activity of the provision of telecommunications services.

All turnover arose within the United Kingdom.

5.	Other operating income
		2024	2023
		£	£

Government grants receivable	2,796	-
	2,796	-

	Exchange differences	(61,416)	(76,538)
	Other operating lease rentals	157,459	-

Fees payable to the Company's auditors for the audit of the consolidated and parent Company's financial statements

37,025

35,700

Page 28

ENREACH HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

8.	Employees
	Staff costs were as follows:

		Group	Group
		2024	2023
		£	£


Wages and salaries	3,118,303	3,387,378
Social security costs	357,518	360,797
Cost of defined contribution scheme	67,358	53,724
	3,543,179	3,801,899

The Key Management Personnel of the Group received remuneration totalling £660,742 (2023: £541,926) during the year.

The average monthly number of employees, including the directors, during the year was as follows:

	2024	2023
	No.	No.

Employees	71	75

The Company has no employees other than the directors, who did not receive any remuneration (2023 - £NIL)

9.	Directors' remuneration

No directors received remuneration from the Company or Group during the year (2023: £nil).

10.	Interest receivable
		2024	2023
		£	£

	Other interest receivable	414,072	399,207
		414,072	399,207

Page 29

ENREACH HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

11.	Interest payable and similar expenses
		2024	2023
		£	£

Other loan interest payable	5,283,734	4,643,744
Loans from group undertakings	19,222	173,101
	5,302,956	4,816,845

Corporation tax
Current tax on profits for the year	164,287	-
Adjustments in respect of previous periods	(235,024)	45,677
	(70,737)	45,677

Total current tax	(70,737)	45,677

Deferred tax
Origination and reversal of timing differences	(301,981)	(230,729)
Total deferred tax	(301,981)	(230,729)


	Taxation on loss on ordinary activities	(372,718)	(185,052)

Page 30

ENREACH HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

12.Taxation (continued)

Loss on ordinary activities before tax

(7,212,567)

(7,260,666)

Loss on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2023 - 23.5%)	(1,803,142)	(1,706,257)
Effects of:
Non-tax deductible amortisation of goodwill and impairment	959,434	947,283
Expenses not deductible for tax purposes	1,084,585	1,115,428
Capital allowances for year in excess of depreciation	2,385	36,753
Utilisation of tax losses	(228,466)	(394,389)
Adjustments to tax charge in respect of prior periods	(235,024)	45,677
Other timing differences leading to an increase (decrease) in taxation	(137,694)	(229,547)
Book profit on chargeable assets	(2,296)	-
Group relief	(12,500)	-
Total tax charge for the year	(372,718)	(185,052)

Factors that may affect future tax charges

There were no factors that may affect future tax charges.

Page 31

ENREACH HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

13.	Intangible assets
	Group

	Brand name	Maintenance contracts	Other intangible assets	Goodwill	Total
	£	£	£	£	£
Cost
At 1 January 2024	1,035,644	5,952,000	728,703	27,464,138	35,180,485
At 31 December 2024	1,035,644	5,952,000	728,703	27,464,138	35,180,485
Amortisation
At 1 January 2024	387,783	4,074,900	672,916	11,068,518	16,204,117
Charge for the year on owned assets	103,564	1,065,804	39,994	2,760,714	3,970,076
At 31 December 2024	491,347	5,140,704	712,910	13,829,232	20,174,193
Net book value
At 31 December 2024	544,297	811,296	15,793	13,634,906	15,006,292
At 31 December 2023	647,861	1,877,100	55,787	16,395,620	18,976,368

Page 32

ENREACH HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

14.	Tangible fixed assets
	Group

	Plant and machinery	Motor vehicles	Fixtures and fittings	Computer equipment	Total
	£	£	£	£	£
Cost
At 1 January 2024	40,784	21,819	655,244	918,794	1,636,641
Additions	-	-	134,451	84,602	219,053
Disposals	(40,784)	(21,819)	(499,003)	(867,369)	(1,428,975)
At 31 December 2024	-	-	290,692	136,027	426,719
Depreciation
At 1 January 2024	15,002	21,819	605,139	786,906	1,428,866
Charge for the year on owned assets	7,307	-	36,637	43,536	87,480
Disposals	(22,309)	(21,819)	(499,003)	(769,969)	(1,313,100)
At 31 December 2024	-	-	142,773	60,473	203,246
Net book value
At 31 December 2024	-	-	147,919	75,554	223,473
At 31 December 2023	25,782	-	50,105	131,888	207,775

Page 33

ENREACH HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

15.	Fixed asset investments

	Company

		Investments in subsidiary companies
		£
	Cost
	At 1 January 2024	31,575,194
	At 31 December 2024	31,575,194
	Impairment
	Charge for the period	12,513,194
	At 31 December 2024	12,513,194
	Net book value
	At 31 December 2024	19,062,000
	At 31 December 2023	31,575,194

Page 34

ENREACH HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024


Direct subsidiary undertakings
The following were direct subsidiary undertakings of the Company:
Name	Registered office	Class of shares	Holding

	NT Technology Group Limited	Communications House, Hadley Park, Telford, TF1 6QJ	Ordinary	100%
	Pace Telecom (Holdings) Limited	Communications House, Hadley Park, Telford, TF1 6QJ	Ordinary	100%

Indirect subsidiary undertakings
The following were indirect subsidiary undertakings of the Company:
Name	Registered office	Class of shares	Holding

	Enreach UK Limited	Communications House, Hadley Park, Telford, TF1 6QJ	Ordinary	100%
	Pace Telecom Limited	Communications House, Hadley Park, Telford, TF1 6QJ	Ordinary	100%

16.	Stocks
		Group	Group
		2024	2023
		£	£

Finished goods and goods for resale	46,671	90,916
	46,671	90,916

Page 35

ENREACH HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

17.	Debtors
		Group	Group	Company	Company
		2024	2023	2024	2023
		£	£	£	£

Due after more than one year
Amounts owed by group undertakings	3,535,340	3,897,051	-	-
	3,535,340	3,897,051	-	-

Group	Group	Company	Company
2024	2023	2024	2023
£	£	£	£

Due within one year
Trade debtors	1,523,060	2,090,194	-	-
Amounts owed by group undertakings	115,278	59,711	-	-
Other debtors	295,811	43,786	-	-
Prepayments and accrued income	504,373	759,347	-	-
	2,438,522	2,953,038	-	-

18.	Cash and cash equivalents
		Group	Group
		2024	2023
		£	£

Cash at bank and in hand	751,555	763,773
	751,555	763,773

Page 36

ENREACH HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

19.	Creditors: Amounts falling due within one year
		Group	Group	Company	Company
		2024	2023	2024	2023
		£	£	£	£

Trade creditors	327,052	317,007	-	-
Amounts owed to group undertakings	52,691,745	10,149,686	64,171,743	19,040,602
Corporation tax	1	-	-	-
Other taxation and social security	461,060	586,969	-	-
Other creditors	13,849	17,818	-	2
Accruals and deferred income	378,462	648,724	-	-
	53,872,169	11,720,204	64,171,743	19,040,604

Included within amounts due to group undertakings is a loan from Enreach Holding B.V. with a carrying value of £51,965,554 which accrues interest at 7.5% and is repayable on 31 December 2025. The company is in receipt of a letter of support dated 24 September 2024 from Enreach Holding B.V. confirming that it will not call on any capital or interest payments which may cause a detrimental impact to the company's ability to continue as a going concern until at least 31 December 2026.

20.	Creditors: Amounts falling due after more than one year
		Group	Group	Company	Company
		2024	2023	2024	2023
		£	£	£	£

Amounts owed to group undertakings	-	39,897,173	-	39,897,173
Other creditors	-	30	-	-
	-	39,897,203	-	39,897,173

Page 37

ENREACH HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

21.	Deferred taxation
	Group

		2024
		£

	At beginning of year	(644,828)
	Charged to profit or loss	301,981
	At end of year	(342,847)

		Group	Group
		2024	2023
		£	£

Accelerated capital allowances	(4,140)	(4,590)
Timing differences of intangible fixed assets recognised upon business combination	(338,707)	(640,688)
Other short term timing differences	-	450
	(342,847)	(644,828)

22.	Share capital
		2024	2023
		£	£

Allotted, called up and fully paid

100 (2023 - 100) Ordinary shares of £1.00 each	100	100

Page 38

ENREACH HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

23.

Reserves

Profit and loss account

The profit and loss account represents cumulative undistributed profits and losses since incorporation.

24.	Analysis of net debt

		At 1 January 2024	Cash flows	At 31 December 2024
		£	£	£

Cash at bank and in hand	763,773	(12,218)	751,555
Debt due after 1 year	(39,897,173)	(5,229,187)	(45,126,360)
Debt due within 1 year	(6,845,110)	(7,930)	(6,853,040)
	(45,978,510)	(5,249,335)	(51,227,845)

25.	Pension commitments

The Group operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the Group in an independently administered fund. The pension cost charge represents contributions payable by the Group to the fund and amounted to £67,358 (2023: £53,724). Contributions totalling £13,846 (2023: £10,697) were payable to the fund at the balance sheet date and included within creditors.

Page 39

ENREACH HOLDINGS LIMITED

NOTES TO THE FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2024

26.	Commitments under operating leases
	At 31 December 2024 the Group and the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:
		Group	Group
		2024	2023
		£	£


Not later than 1 year	110,000	95,000
Later than 1 year and not later than 5 years	407,753	356,250
	517,753	451,250

		Group	Group
		2024	2023
		£	£


Not later than 1 year	34,019	43,021
Later than 1 year and not later than 5 years	21,032	41,951
	55,051	84,972

27.

Related party transactions

The Company has taken advantage of the exemption within FRS102 to not disclose transactions with other wholly owned group entities. All such transactions are included in the consolidated accounts of Waterland Private Equity Investments B.V., the ultimate parent company and controlling party. The consolidated accounts of Waterland Private Equity Investments B.V. can be obtained from its registered office detailed below.

28.	Controlling party

The Group and Company are under the control of Waterland Private Equity Investments B.V., which does not have any single controlling party. The registered office of the ultimate parent is Brediusweg 16, 1401 AG Bussum, The Netherlands.

Page 40