For the financial year ended 31 July 2025 the company was entitled to exemption from audit under section 477 of the Companies Act 2006 relating to small companies.

The members have not required the company to obtain an audit of its financial statements for the year in question in accordance with section 476.

The director acknowledges his responsibilities for complying with the requirements of the Companies Act 2006 with respect to accounting records and the preparation of financial statements.

These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

The director of the company has elected not to include a copy of the profit and loss account within the financial statements.true

Newcastle Eagles (Basketball) Limited is a private company limited by shares incorporated in England and Wales. The registered office is Eagles Community Area, Clumber Street, Scotswood Road, Newcastle upon Tyne, NE4 7AF. The company number is 03041174.

These financial statements have been prepared under the historical cost convention in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. 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 financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

The principal accounting policies adopted are set out below.

Despite the deficit on the balance sheet, at the time of approving the financial statements, the director has a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus the director continues to adopt the going concern basis of accounting in preparing the financial statements.

Revenue comprises sales of goods or services provided to customers net of value added tax and other sales taxes, less an appropriate deduction for actual and expected returns and discounts. Revenue is recognised when performance obligations are satisfied and the control of goods or services is transferred to the buyer.

Intangible assets are initially measured at cost. After initial recognition, intangible assets are either measured at cost less any accumulated amortisation or at valuation.

Tangible fixed assets are measured at cost, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost of assets less their residual values over their useful lives on the following bases:

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.

Investments in the ordinary shares of unlisted entities which are not subsidiaries, associates or joint ventures are measured at cost less impairment, on the basis that the shares are not publicly traded and their fair value cannot be measured reliably. Impairment is assessed at each reporting date and any impairment loss is recognised in the profit or loss.

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell.

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 are basic financial assets and include cash in hand, deposits held at call with banks and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.

Basic financial assets, which include debtors and cash and bank balances, are measured at transaction price including transaction costs. Financial assets classified as receivable within one year are not amortised.

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, including creditors, bank loans and other loans that are classified as debt, 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.

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable 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.

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.

A grant that specifies performance conditions is recognised in income when the performance conditions are met. Where a grant does not specify performance conditions it is recognised in income when the proceeds are received or receivable. A grant received before the recognition criteria are satisfied is recognised as a liability.

In the application of the company’s accounting policies, the director is required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

The average monthly number of persons (including directors) employed by the company during the year was:

Newcastle Eagles (Basketball) Limited owns the exclusive rights to operate a professional basketball franchise, and all associated intellectual property, in Newcastle. The licence was awarded by The Basketball League Limited which has the exclusive right to operate a professional basketball league in England, Scotland and Wales.

Investments in the ordinary shares of unlisted entities which are not subsidiaries, associates or joint ventures are measured at cost less impairment, on the basis that the shares are not publicly traded and their fair value cannot be measured reliably. Impairment is assessed at each reporting date and any impairment loss is recognised in the profit or loss.

At 31 July 2025 the company owed Eagles Community Foundation £35,500 (2024: £69,000) a company in which Mr P Blake is a Trustee. The balance is interest free and repayable on demand.

The company holds a nominal shareholding representing 10% of the ordinary share capital of The British Basketball League Limited, an unconnected entity. In prior periods the investment was carried at a directors' valuation, giving a carrying amount of £777,760 in excess of cost, with the uplift credited to a revaluation reserve in equity.

The shares are not publicly traded and there is no observable market price or other basis on which fair value can be measured reliably. Measurement at fair value is therefore not permitted and the investment is required to be measured at cost less any accumulated impairment losses.

The directors consider the previous treatment to constitute a material error. In accordance with Section 10 of FRS 102, the error has been corrected by restating the comparative amounts and the opening balances of reserves. No deferred tax was provided on the uplift and accordingly no tax effect arises on its reversal.