Company No: 13814340 (England and Wales)

Contents

• Statement of Financial Position
• Notes to the Financial Statements

	Note	2024		2023
		£		£
Fixed assets
Intangible assets	3	1,412,109		1,715,483
Tangible assets	4	3,270		1,792
		1,415,379		1,717,275
Current assets
Stocks	5	0		22,168
Debtors	6	133,290		157,225
Cash at bank and in hand		65,170		124,774
		198,460		304,167
Creditors: amounts falling due within one year	7	( 325,622)		( 236,409)
Net current (liabilities)/assets		(127,162)		67,758
Total assets less current liabilities		1,288,217		1,785,033
Net assets		1,288,217		1,785,033
Capital and reserves
Called-up share capital	9	107		107
Share premium account		484,285		484,285
Revaluation reserve		317,352		312,034
Profit and loss account		486,473		988,607
Total shareholder's funds		1,288,217		1,785,033

For the financial 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.

Director's responsibilities:

• The member has not required the company to obtain an audit of its financial statements for the financial year in accordance with section 476;
• The director acknowledges their responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements; and
• These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime and a copy of the Statement of Income and Retained Earnings has not been delivered.

The financial statements of Novel Labs Ltd (registered number: 13814340) were approved and authorised for issue by the Director. They were signed on its behalf by:

C Morrison Director

31 December 2025

1. Accounting policies

The principal accounting policies are summarised below. They have all been applied consistently throughout the financial year and to the preceding financial year, unless otherwise stated.

General information and basis of accounting

Novel Labs Ltd (the Company) is a private company, limited by shares, incorporated in the United Kingdom under the Companies Act 2006 and is registered in England and Wales. The address of the company's registered office is 35 Ballards Lane, London, N3 1XW, England, United Kingdom.

The financial statements have been prepared under the historical cost convention, modified to include certain items at fair value, and in accordance with Section 1A of Financial Reporting Standard 102 (FRS 102) ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland’ issued by the Financial Reporting Council and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime.

The principal activity of the company during the financial year was the development of NFTs.

The financial statements are presented in pounds sterling which is the functional currency of the Company and rounded to the nearest £.

Foreign currency

Transactions in foreign currencies are recorded at the rate of exchange at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies at the Statement of Financial Position date are reported at the rates of exchange prevailing at that date.

Exchange differences are recognised in the Statement of Income and Retained Earnings in the period in which they arise except for exchange differences arising on gains or losses on non-monetary items which are recognised in the Statement of Comprehensive Income.

Turnover

Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.

Turnover is recognised when the significant risks and rewards are considered to have been transferred to the customer.

Taxation

Current tax
Current tax is provided at amounts expected to be paid (or recoverable) using the tax rates and laws that have been enacted or substantively enacted at the Statement of Financial Position date.

Intangible assets

Intangible assets are originally recognised at cost stated at cost or valuation. After recognition, under the revaluation model, intangible assets shall be carried at a revalued amount, being its fair value at the date of revaluation less any subsequent accumulated amortisation and subsequent impairment losses - provided that the fair value can be determined by reference to an active market.

Revaluations are made with sufficient regularity to ensure that the carrying amount does not differ materially from that which would be determined using fair value at the end of the reporting date.

Other intangible assets

3 years straight line

Tangible fixed assets

Tangible fixed assets are stated at cost or valuation, net of depreciation and any provision for impairment. Depreciation is provided on all tangible fixed assets, other than investment property and freehold land, at rates calculated to write off the cost or valuation, less estimated residual value, of each asset on a straight-line or reducing balance basis over its expected useful life, as follows:

Plant and machinery etc.

3 years straight line

Residual value represents the estimated amount which would currently be obtained from disposal of an asset, after deducting estimated costs of disposal, if the asset were already of the age and in the condition expected at the end of its useful life.

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to sell, which is equivalent to the net realisable value. Cost includes materials, direct labour and an attributable proportion of manufacturing overheads based on normal levels of activity. Cost is calculated using the FIFO (first-in, first-out) method. Provision is made for obsolete, slow-moving or defective items where appropriate.

At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.

Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in creditors: amounts falling due within one year.

Financial instruments

The Company only enters into basic financial instruments and 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 and from related parties and investments in non-puttable ordinary shares.

Financial assets
Basic financial assets, including trade and other debtors, and amounts due from related companies, 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/Statement of Comprehensive Income.

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.

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.

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.

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

2. Employees

	2024		2023
	Number		Number
Monthly average number of persons employed by the company during the year, including the director	2		2

3. Intangible assets

	Other intangible assets		Total
	£		£
Cost
At 01 January 2024	1,753,337		1,753,337
Additions	7,181,271		7,181,271
Revaluations	( 21,271)		( 21,271)
Disposals	( 7,441,333)		( 7,441,333)
At 31 December 2024	1,472,004		1,472,004
Accumulated amortisation
At 01 January 2024	37,854		37,854
Charge for the financial year	22,041		22,041
At 31 December 2024	59,895		59,895
Net book value
At 31 December 2024	1,412,109		1,412,109
At 31 December 2023	1,715,483		1,715,483

4. Tangible assets

	Plant and machinery etc.		Total
	£		£
Cost
At 01 January 2024	2,351		2,351
Additions	3,048		3,048
At 31 December 2024	5,399		5,399
Accumulated depreciation
At 01 January 2024	559		559
Charge for the financial year	1,570		1,570
At 31 December 2024	2,129		2,129
Net book value
At 31 December 2024	3,270		3,270
At 31 December 2023	1,792		1,792

5. Stocks

	2024		2023
	£		£
Stocks	0		22,168

6. Debtors

	2024		2023
	£		£
Trade debtors	2,250		0
Amounts owed by group undertakings	62,088		0
Other debtors	68,952		157,225
	133,290		157,225

7. Creditors: amounts falling due within one year

	2024		2023
	£		£
Trade creditors	13,627		21,604
Amounts owed to connected companies	20,836		19,482
Taxation and social security	175,167		79,468
Other creditors	115,992		115,855
	325,622		236,409

8. Deferred tax

	2024		2023
	£		£
At the beginning of financial year	( 104,012)		0
Credited/(charged) to the Statement of Comprehensive Income	5,318		( 104,012)
At the end of financial year	( 98,694)		( 104,012)

9. Called-up share capital

	2024		2023
	£		£
Allotted, called-up and fully-paid
85,714,406 Ordinary A shares of £ 0.000001 each	86		86
5,357,150 Ordinary B shares of £ 0.000001 each	5		5
16,071,452 Ordinary C shares of £ 0.000001 each	16		16
	107		107