PsyT Ltd

	Page
Statement of Financial Position	1—2
Notes to the Financial Statements	3—6

1. Accounting Policies

1.1. Basis of Preparation of Financial Statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" including the provisions of Section 1A "Small Entities" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

1.2. Going Concern Disclosure

The directors have not identified any material uncertainties related to events or conditions that may cast significant doubt on the company’s ability to continue as a going concern.

Notwithstanding the net loss for the year of £598,911 and net current liabilities of £2,037,961 at the balance sheet date, the directors consider that the company has taken appropriate steps to manage liquidity and reduce its cost base. Since the balance sheet date, the company has received additional equity investment of £71,246.

In addition, the directors expect that the cumulative Future Fund debt, which totalled £2,096,141 at 31 March 2025, will convert into equity in accordance with the terms of the relevant agreements.

The directors are satisfied that the company has access to adequate financial resources to support its ongoing operations and strategic objectives for the foreseeable future. This assessment is supported by financial forecasts and cash flow projections which are reviewed regularly by the directors. Accordingly, the financial statements have been prepared on the going concern basis.

1.3. Significant judgements and estimations

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

In preparing these financial statements the directors have made the following judgements:

- Determined whether there are indicators of impairment of the company's tangible assets and intangible assets. Factors taken into consideration in reaching such a decision include the financial viability and expected future financial performance of the asset.

- Assessed which costs qualify for capitalisation as software development intangible fixed asset additions.

- Determined that the accounting policies in place in respect of turnover recognition and measurement are reasonable.

1.4. Turnover

Turnover is recognised the the extent that is it probable the economic benefits will flow to the company and the revenue can be reliably measured. Turnover is measured as the fair value of consideration received or receivable, excluding discounts, rebates, valued added tax and other sales taxes.

Turnover 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 the turnover can be reliably measured;

- it is probable that the company 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 reliably measured.

1.5. Intangible Fixed Assets and Amortisation - Other Intangible

Software development costs are recognised as an intangible asset when all of the following criteria are demonstrated:

- The technical feasibility of completing the software so that it will be available for use or sale.

- The intention to complete the software and use or sell it.

- The ability to use the software or to sell it.

- How the software will generate probable future economic benefits.

- The availability of adequate technical, financial and other resources to complete the development and to use or sell the software.

- The ability to measure reliably the expenditure attributable to the software during its development.

Following initial recognition of the development expenditure as an asset the cost model is applied, requiring the asset to be carried at cost less any accumulated amortisation and accumulated impairment losses. Amortisation of the asset begins when development is complete and the asset is available for use. It is amortised evenly over the period of expected future benefit of 5 years. During the period of development the asset is tested for impairment annually.

Research expenditure is written off as incurred.

Page 3

Page 4

PsyT Ltd

Notes to the Financial Statements (continued)

For The Year Ended 31 March 2025

1.6. Tangible Fixed Assets and Depreciation

Tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. Depreciation is provided at rates calculated to write off the cost of the fixed assets, less their estimated residual value, over their expected useful lives on the following bases:

Computer Equipment

3 years straight line

1.7. Financial Instruments

The company has elected to apply the provisions of Section 11 'Basic Financial Instruments' and Section 12 'Other Financial Instruments Issues' of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the company's statement of financial position when the company becomes party to the contractual provisions of the instrument.

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

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method 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. Financial assets classified as receivable within one year are not amortised.

Derecognition of financial assets

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

Classification of financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

Basic financial liabilities

Basic financial liabilities, including creditors, 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 payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

1.8. Foreign Currencies

Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the statement of financial position date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.

1.9. Taxation

Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the statement of financial position date.

Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

1.10. Pensions

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

Page 4

Page 5

PsyT Ltd

Notes to the Financial Statements (continued)

For The Year Ended 31 March 2025

2. Average Number of Employees

Average number of employees, including directors, during the year was: 3 (2024: 3)

3. Intangible Assets

	Other Intangible Assets
	£
Cost
As at 1 April 2024	1,008,257

As at 31 March 2025	1,008,257

Amortisation
As at 1 April 2024	762,495
Provided during the period	201,652

As at 31 March 2025	964,147

Net Book Value
As at 31 March 2025	44,110

As at 1 April 2024	245,762

4. Tangible Assets

	Plant & Machinery etc.
	£
Cost
As at 1 April 2024	2,166
Additions	1,127

As at 31 March 2025	3,293

Depreciation
As at 1 April 2024	1,444
Provided during the period	816

As at 31 March 2025	2,260

Net Book Value
As at 31 March 2025	1,033

As at 1 April 2024	722

5. Debtors

	2025	2024
	£	£
Due within one year
Trade debtors	13,262	2,220
Other debtors	3,400	26,337

	16,662	28,557

Page 5

Page 6

PsyT Ltd

Notes to the Financial Statements (continued)

For The Year Ended 31 March 2025

6. Creditors: Amounts Falling Due Within One Year

	2025	2024
	£	£
Trade creditors	9,985	14,741
Bank loans and overdrafts	5,000	5,000
Other loans	2,096,141	-
Other creditors	16,568	213,921
Taxation and social security	2,002	1,534

	2,129,696	235,196

Future Fund

Other loans falling due within one year include a Future Fund convertible note of £1,550,000 (2024: £1,550,000). This loan note is accounted for as a financial liability on the basis the conversion feature is not into a fixed number of shares, meaning there is no equity component to split out. The loan is measured at fair value, with gains and losses recognised in the income statement.

Interest is charged on the Future Fund loan at a rate of 8% per annum and the amount accrued to 31 March 2025 totals £546,141 (2024: £422,141). The interest does not compound.

7. Creditors: Amounts Falling Due After More Than One Year

	2025	2024
	£	£
Bank loans	834	5,833
Other loans - 2-5 years	-	1,972,141

	834	1,977,974

Bounce Bank Loan

Bank loans refer to an unsecured bounce back loan of £25,000 with a 72 month repayment period. There are no repayment due for the first 12 months. The loan is interest free for the first 12 months, after which interest is charged at a rate of 2.5% per annum.

8. Share Capital

	2025	2024
	£	£
Allotted, Called up and fully paid	165	159

During the year the company issued 65,064 ordinary shares of £0.0001 each for total cash consideration of £325,000.

Page 6

		2025		2024
	Notes	£	£	£	£
FIXED ASSETS
Intangible Assets	3		44,110		245,762
Tangible Assets	4		1,033		722

			45,143		246,484
CURRENT ASSETS
Debtors	5	16,662		28,557
Cash at bank and in hand		75,073		218,388

		91,735		246,945
Creditors: Amounts Falling Due Within One Year	6	(2,129,696 )		(235,196 )

NET CURRENT ASSETS (LIABILITIES)			(2,037,961 )		11,749

TOTAL ASSETS LESS CURRENT LIABILITIES			(1,992,818 )		258,233

Creditors: Amounts Falling Due After More Than One Year	7		(834 )		(1,977,974 )

NET LIABILITIES			(1,993,652 )		(1,719,741 )

CAPITAL AND RESERVES
Called up share capital	8		165		159
Share premium account			1,939,174		1,614,180
Income Statement			(3,932,991 )		(3,334,080 )

SHAREHOLDERS' FUNDS			(1,993,652)		(1,719,741)