Earthmere Ltd Filleted accounts for Companies House (small and micro)

COMPANY REGISTRATION NUMBER: 02776278

Earthmere Ltd

Filleted Unaudited Financial Statements

31 December 2024

Earthmere Ltd

Statement of Financial Position

31 December 2024

	2024	2023
Note	£	£

Fixed assets

Tangible assets	5	1,074,898	1,084,796

Current assets

Debtors	6	300,000	300,000
Cash at bank and in hand		10,947	30,641
		---------	---------
		310,947	330,641

Creditors: amounts falling due within one year	7	966,536	1,012,485
		---------	------------
Net current liabilities		655,589	681,844
		------------	------------
Total assets less current liabilities		419,309	402,952

Provisions	51,631	54,106
	---------	---------
Net assets	367,678	348,846
	---------	---------

Capital and reserves

Called up share capital	9	12,502	12,502
Revaluation reserve		147,469	147,469
Capital redemption reserve		37,500	37,500
Profit and loss account		170,207	151,375
		---------	---------
Shareholder funds		367,678	348,846
		---------	---------

These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies' regime and in accordance with Section 1A of FRS 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.

In accordance with section 444 of the Companies Act 2006, the statement of comprehensive income has not been delivered.

For the year ending 31 December 2024 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

Directors' responsibilities:

- The member has not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476 ;

- The directors acknowledge their responsibilities for complying with the requirements of the Act with respect to accounting records and the preparation of financial statements .

Earthmere Ltd

Statement of Financial Position (continued)

31 December 2024

These financial statements were approved by the board of directors and authorised for issue on 3 December 2025 , and are signed on behalf of the board by:

N. Valamootoo

Director

Company registration number: 02776278

Earthmere Ltd

Notes to the Financial Statements

Year ended 31 December 2024

1. General information

Earthmere Limited, is a private company limited by shares, registration number 02776278 , incorporated in England and Wales. Its registered office is 99 Kenton Road, Harrow, HA3 0AN. Its principal place of business is Elmsdale House, 31 The Green, Money Lane, West Drayton, UB7 7PN.

2. Statement of compliance

These financial statements have been prepared in compliance with Section 1A of FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland'.

3. Accounting policies

Basis of preparation

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with FRS 102 'The Financial Reporting Standard applicable in the UK' and the requirements of the Companies Act 2006. The disclosure requirements of Section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view. The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the Company's accounting policies. The financial statements are prepared in sterling, which is the functional currency of the entity.

Going concern

The company meets its day to day working capital requirements with the support of its parent company and other group companies. The directors are therefore satisfied that the company can meet its obligations as they fall due for a period of at least 12 months from the date of signing of these financial statements. As such, the directors believe it is appropriate to prepare the financial statements on a going concern basis which assumes that the company will continue in operational existence in the future with the continued support of the parent company and other group companies. These financial statements do not include any adjustments that would result from the withdrawal of the support of the parent company and other group companies.

Revenue recognition

Turnover is recognised to the extent that it is probable that the economic benefits will flow to the Company and the turnover can be reliably measured. Turnover is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. Sale of goods Turnover from the sale of goods is recognised when all of the following conditions are satisfied: - The Company has transferred the significant risks and rewards of ownership to the buyer; - The Company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold; - The amount of turnover can be measured reliably; - It is probable that the Company 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.

Income 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 operates and generates 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; and - Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met. Where they relate to timing differences in respect of interests in subsidiaries, associates, branches and joint ventures and the Company 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.

Tangible 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

Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:

	Motor vehicles	-	20% straight line

Investment property

Investment properties are carried at fair value determined annually by the directors and derived from the current market rents and investment property yields for comparable real estate, adjusted if necessary for any difference in the nature, location or condition of the specific asset. No depreciation is provided. Changes in fair value are recognised in the statement of Comprehensive Income. Any surplus on fair valuation is transferred to the revaluation reserve net of deferred tax.

Impairment of fixed assets

A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date. For the purposes of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that largely independent of the cash inflows from other assets or groups of assets.

Debtors

Short term debtors are measured at transaction price, less any impairment. Long term debtors 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.

Cash and cash equivalents

Cash and cash equivalents includes cash in hand, deposits held at call with banks, other short-term highly liquid investments with original maturities of three months or less and bank overdrafts. Bank overdrafts, when applicable, are shown within borrowings in current liabilities.

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.

Provisions

Provisions are recognised when the entity has an obligation at the reporting date as a result of a past event, it is probable that the entity will be required to transfer economic benefits in settlement and the amount of the obligation can be estimated reliably. Provisions are recognised as a liability in the statement of financial position and the amount of the provision as an expense. Provisions are initially measured at the best estimate of the amount required to settle the obligation at the reporting date and subsequently reviewed at each reporting date and adjusted to reflect the current best estimate of the amount that would be required to settle the obligation. Any adjustments to the amounts previously recognised are recognised in profit or loss unless the provision was originally recognised as part of the cost of an asset. When a provision is measured at the present value of the amount expected to be required to settle the obligation, the unwinding of the discount is recognised as a finance cost in profit or loss in the period it arises.

Financial instruments

A financial asset or a financial liability is recognised only when the entity becomes a party to the contractual provisions of the instrument. Basic financial instruments are initially recognised at the transaction price, unless the arrangement constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. Debt instruments are subsequently measured at amortised cost. Financial assets that are measured at cost or amortised cost are reviewed for objective evidence of impairment at the end of each reporting date. If there is objective evidence of impairment, an impairment loss is recognised in profit or loss immediately. For all equity instruments regardless of significance, and other financial assets that are individually significant, these are assessed individually for impairment. Other financial assets are either assessed individually or grouped on the basis of similar credit risk characteristics.

4. Employee numbers

The average number of persons employed by the company during the year amounted to 2 (2023: 2 ).

5. Tangible assets

	Freehold property	Motor vehicles	Total
	£	£	£
Cost
At 1 January 2024 and 31 December 2024	1,065,000	49,490	1,114,490
	------------	--------	------------
Depreciation
At 1 January 2024	–	29,694	29,694
Charge for the year	–	9,898	9,898
	------------	--------	------------
At 31 December 2024	–	39,592	39,592
	------------	--------	------------
Carrying amount
At 31 December 2024	1,065,000	9,898	1,074,898
	------------	--------	------------
At 31 December 2023	1,065,000	19,796	1,084,796
	------------	--------	------------

The fair value of the Company's investment property has been determined on the basis of valuation carried out at the year end date by a director having recent experience in the location and category of the property being valued. The fair value was determined based on the market comparable approach that reflects recent yield.

6. Debtors

	2024	2023
	£	£
Trade debtors	300,000	300,000
	---------	---------

7. Creditors: amounts falling due within one year

	2024	2023
	£	£
Trade creditors	150	–
Amounts owed to group undertakings	957,846	593,219
Accruals and deferred income	1,803	3,300
Corporation tax	6,737	1,283
Other creditors	–	414,683
	---------	------------
	966,536	1,012,485
	---------	------------

8. Deferred tax

The deferred tax included in the statement of financial position is as follows:

	2024	2023
	£	£
Included in provisions	51,631	54,106
	--------	--------

The deferred tax account consists of the tax effect of timing differences in respect of:

	2024	2023
	£	£
Revaluation of tangible assets	51,631	54,106
	--------	--------

9. Called up share capital

Issued, called up and fully paid

	2024		2023
	No.	£	No.	£
Ordinary shares of £ 1 each	12,502	12,502	12,502	12,502
	--------	--------	--------	--------

10. Controlling party

The ultimate parent company is Raptor Capital Limited, a company incorporated in the United Kingdom. There is not considered to be a single controlling party.