Registration number:
Nirva Energy Ltd
for the Year Ended 31 December 2025
Nirva Energy Ltd
Contents
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Company Information |
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Strategic Report |
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Director's Report |
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Statement of Director's Responsibilities |
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Independent Auditor's Report |
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Profit and Loss Account |
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Statement of Comprehensive Income - Prior Year Unaudited |
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Balance Sheet - Prior Year Unaudited |
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Statement of Changes in Equity |
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Statement of Cash Flows - Prior Year Unaudited |
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Notes to the Financial Statements |
Nirva Energy Ltd
Company Information
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Director |
Mr Varun Shyam Chhabria |
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Company secretary |
Mr Varun Shyam Chhabria |
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Registered office |
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Accountants |
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Auditors |
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Nirva Energy Ltd
Strategic Report for the Year Ended 31 December 2025
The director presents his strategic report for the year ended 31 December 2025.
Principal activity
The principal activity of Nirva Energy Ltd during the year continued to be the wholesale supply and distribution of fuels and related products.
Fair review of the business
The year ended 31 December 2025 represented a further period of growth and development for Nirva Energy Ltd. The business continued to expand its trading activities while strengthening the operational infrastructure required to support increased volumes and a broader customer base.
During the year, the Company further developed its bulk fuel import and supply model. This strategy has progressively reduced reliance on traditional purchasing channels and provided the business with greater control over product sourcing, availability and supply continuity.
The ability to procure fuel in larger volumes and manage supply through the Company's storage and distribution infrastructure has become an increasingly important part of the business model. This has provided greater flexibility in responding to changing market conditions and customer requirements while supporting the Company's longer-term growth objectives.
The fuel market continued to experience volatility during the year, influenced by fluctuations in commodity prices, foreign exchange movements, international supply conditions and wider geopolitical and economic factors. Against this background, the Company maintained its focus on disciplined purchasing, effective stock management, appropriate hedging strategies and strong credit control.
The Directors consider the Company's performance during 2025 to demonstrate the resilience of the underlying business model and its ability to adapt to changing market conditions.
Operational Development and Investment
Investment continued throughout 2025 to ensure that the Company's infrastructure and operational capabilities developed in line with the growth of the business.
The Company invested in its fleet, depot and storage infrastructure, technology and operational systems, as well as the continued development of its workforce. These investments are intended to improve operational efficiency, strengthen internal controls and provide sufficient capacity to support higher trading volumes.
Particular emphasis continued to be placed on health and safety, regulatory compliance and staff training. Given the nature of the Company's activities, the Directors regard maintaining high operational and safety standards as fundamental to the long-term success of the business.
Technology and systems also remain an important area of investment. The Company continues to develop its internal processes and management information to provide greater visibility across purchasing, stock, logistics, credit control and financial performance.
Nirva Energy Ltd
Strategic Report for the Year Ended 31 December 2025
Future Developments
The Company's strategy remains focused on sustainable and controlled growth while maintaining high levels of customer service and operational efficiency.
The Directors intend to continue developing the Company's bulk import capabilities and storage infrastructure while strengthening the distribution network required to support increased volumes. The business will also continue to explore opportunities to expand into additional customer segments and markets where these complement its existing operations.
Further investment in systems, infrastructure and people is expected as the Company develops. The Directors believe that maintaining appropriate operational capacity and robust internal controls will be essential to supporting future growth.
The Company also continues to assess opportunities arising from the transition towards lower-carbon and renewable fuels. This includes ongoing research and evaluation of products and markets that may complement the Company's existing fuel activities and provide opportunities for future diversification.
Nirva Energy Ltd
Strategic Report for the Year Ended 31 December 2025
Principal risks and uncertainties
The Directors regularly review the principal risks affecting the Company and the measures in place to manage them. The key areas considered during the year included the following:
Market and commodity price risk: The Company operates within a market that is exposed to fluctuations in global commodity prices. Significant price movements can affect purchasing costs, stock values and customer pricing. The Company seeks to manage this exposure through active market monitoring, disciplined purchasing, appropriate pricing mechanisms and hedging arrangements where considered necessary.
Foreign exchange risk: A proportion of the Company's fuel purchases and associated transactions are denominated in foreign currencies, principally US dollars. Movements in exchange rates can therefore affect product costs and trading margins. The Company uses appropriate foreign exchange arrangements and hedging strategies to reduce its exposure to material currency movements.
Supply chain risk: International supply disruption, transportation constraints and supplier performance can affect product availability and delivery schedules. The Company seeks to mitigate these risks by maintaining relationships with multiple suppliers, developing its bulk import capabilities and maintaining appropriate levels of stock and storage capacity.
Liquidity and funding risk: Continued growth requires appropriate levels of working capital and access to funding facilities. The Directors closely monitor cash flow, working capital requirements and available banking and finance facilities. The Company maintains relationships with its finance partners to ensure that suitable funding arrangements are available to support its operations and planned growth.
Credit risk: The Company is exposed to the risk of customers failing to settle amounts when due. Credit exposure is managed through established credit control procedures, customer credit assessments, appropriate credit limits and credit insurance where available. Debtor positions are regularly reviewed and appropriate action is taken where accounts fall outside agreed payment terms.
Competitive risk: The fuel distribution market remains highly competitive. The Company seeks to differentiate itself through reliability of supply, competitive procurement, responsive customer service and long-term customer relationships. A diversified customer portfolio across different sectors also assists in reducing dependence on individual customers or market segments.
Health, safety and environmental risk: The storage, handling and distribution of fuel carries inherent health, safety and environmental risks. The Company maintains policies, procedures and training programmes designed to manage these risks and comply with applicable regulatory requirements. Health, safety and environmental performance continues to receive significant attention from management and the Directors.
Nirva Energy Ltd
Strategic Report for the Year Ended 31 December 2025
Key Performance Indicators (KPIs)
The Directors monitor a combination of financial and non-financial performance indicators throughout the year to assess the Company's performance against its operational and strategic objectives.
Financial KPIs:
• Turnover – Revenue increased by approximately 170%, from £19.59 million in 2024 to £53.01 million in 2025, reflecting increased trading activity and volumes during the year.
• Gross profit and margin – Gross profit increased from £2.83 million to £4.7 million. The Directors continue to monitor gross margin closely given volatility in commodity prices, foreign exchange rates and competitive market conditions.
• Operating costs – Operating expenditure increased during the year, reflecting the increased scale of the business and continued investment in infrastructure, people, systems and operational capacity.
• Working capital and debt – The Directors continue to monitor working capital and borrowing requirements closely. Appropriate banking and • finance facilities remain an important part of supporting the Company's increased trading volumes and future growth.
Stock levels – The expansion of storage capacity and increased use of bulk purchasing has resulted in the Company maintaining higher stock levels as part of its normal operating model. Stock levels and exposures are monitored closely to balance security of supply with effective working capital management.
Non-Financial KPIs:
The Directors also monitor a number of operational indicators, including:
• customer service levels and customer retention;
• operational and delivery performance;
• health and safety compliance;
• stock and supply availability;
• employee development and training; and
• environmental and sustainability performance.
Management information is reviewed regularly, and corrective action is taken where performance falls outside the Company's expectations or agreed targets.
Outlook
During 2025, Nirva Energy Ltd continued to develop from a traditional fuel wholesaler into a more integrated fuel supply and distribution business, supported by bulk purchasing, storage infrastructure and an expanding operational platform.
The investments made in infrastructure, fleet, technology and people have increased the Company's capacity and strengthened the operational foundations required to support future growth.
While the Directors remain mindful of commodity price volatility, geopolitical uncertainty, foreign exchange movements and the wider economic environment, the Company will continue to manage these risks through disciplined procurement, appropriate financial controls and diversification of its supply and customer base.
Nirva Energy Ltd
Strategic Report for the Year Ended 31 December 2025
The Directors' priorities for the coming year are to consolidate the growth achieved to date, further improve operational efficiency, strengthen the Company's infrastructure and continue developing opportunities within both conventional and lower-carbon fuel markets.
The Directors believe that the Company's established customer relationships, strengthened supply capabilities and continued investment in its operational platform provide a sound basis for its future development.
Approved and authorised by the
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Nirva Energy Ltd
Director's Report for the Year Ended 31 December 2025
The director presents his report and the financial statements for the year ended 31 December 2025.
Director of the company
The director who held office during the year was as follows:
Principal activity
The principal activity of the company is wholesale supply and distribution of fuels and related products..
Results and Dividends
The results for the year are set out on page 13. There were £55,000 of dividends (2024 - £0) paid in the year.
Financial Instruments
The company is exposed to credit risk primarily through trade receivables. Credit risk arises where a customer or counterparty fail to meet its contractual obligations, resulting in financial loss to the company. The director actively monitors the credit quality of customers and sets credit limits based on internal assessments and external credit ratings where available. Trade receivables are subject to review, and a provision is made for expected credit losses where necessary, in line with the company’s accounting policies. The directors consider the company’s exposure to credit risk to be moderate, and no risks are present on the balance sheet.
Auditor
Onyx Audit Ltd were appointed as auditor to the company and in accordance with section 485 of the Companies Act 2006, a resolution proposing that they be re-appointed will be put at a General Meeting.
Director's liabilities
The company maintains insurance policies on behalf of the directors against liability arising from negligence, breach of duty and breach of trust in relation to the company.
Nirva Energy Ltd
Director's Report for the Year Ended 31 December 2025
Disclosure of information to the auditors
The director has taken steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information. The director confirms that there is no relevant information that he knows of and of which he knows the auditors are unaware.
Medium-Sized Companies Exemption
This report has been prepared in accordance with the provisions applicable to companies entitled to the medium-Sized Companies exemption.
Future developments
Details of the future developments can be found in the “conclusion” section of the Strategic Report.
Research and development
The company does carry out a number or R&D projects and will be looking to make an R&D Tax claim during 2025 and beyond.
Approved and authorised by the
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Nirva Energy Ltd
Statement of Director's Responsibilities
The director acknowledges his responsibilities for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.
Company law requires the director to prepare financial statements for each financial year. Under that law the director has elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the director must not approve the financial statements unless he is satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the director is required to:
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select suitable accounting policies and apply them consistently; |
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make judgements and accounting estimates that are reasonable and prudent; |
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state whether applicable United Kingdom Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and |
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The director is 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 enable him to ensure that the financial statements comply with the Companies Act 2006. He is also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Nirva Energy Ltd
Independent Auditor's Report to the Members of Nirva Energy Ltd
Opinion
We have audited the financial statements of Nirva Energy Ltd (the 'company') for the year ended 31 December 2025, which comprise the Profit and Loss Account, Statement of Changes in Equity, Statement of Cash Flows - Prior Year Unaudited, and Notes to the Financial Statements, 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 company's affairs as at 31 December 2025 and of its profit 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 auditor responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’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
As disclosed in the financial statements which explains the exposure the company has under its finance facility.
The company’s reliance on external finance facility gives rise to material uncertainty that may affect the company’s ability to continue as a going concern. The financial statements have been prepared on a going concern basis for the reasons set out in notes to the accounts.
Our opinion is not modified in respect of this matter.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the director's use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Except for the matter described in the Material Uncertainty Related to Going Concern section above, we have not identified any other material uncertainties relating to events or conditions that may cast significant doubt on the
company's ability to continue as a going concern for at least twelve months from the date of approval of the financial statements.
Our responsibilities and the responsibilities of the director with respect to going concern are described in the relevant sections of this report.
Other information
The director are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. 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.
Nirva Energy Ltd
Independent Auditor's Report to the Members of Nirva Energy Ltd
In connection with our audit of the financial statements, 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 audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. 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 matter prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
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the information given in the Strategic Report and Director's Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
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the Strategic Report and Director's Report have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception
In the light of our knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report and the Director's Report.
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
• | adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or |
• | the financial statements are not in agreement with the accounting records and returns; or |
• | certain disclosures of director's remuneration specified by law are not made; or |
• | we have not received all the information and explanations we require for our audit. |
Responsibilities of the director
As explained more fully in the Statement of Director's Responsibilities [set out on page 9], the director is 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 director determines 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 director is responsible for assessing the 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 director either intends to liquidate the company or to cease operations, or have no realistic alternative but to do so.
Auditor 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 auditor’s 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 financial statements.
Nirva Energy Ltd
Independent Auditor's Report to the Members of Nirva Energy Ltd
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.
From the preliminary stages of the audit, we ensure our understanding of the entity is up to date. This includes, but is not limited to, current knowledge of their activities, the business and control environments, and their compliance with the applicable legal and regulatory frameworks. This information supports our risk identification and the subsequent design of audit procedures to mitigate those risk; ensuring that the audit evidence obtained is sufficient and appropriate to support our opinion.
In response to the risks identified, specific to this entity, we designed procedures which included, but were not limited to:
• Enquiry of management and those charged with governance around actual and potential litigation and claims;
• Reviewing minutes of meetings of those charged with governance, where available;
• Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations;
• Auditing the risk of management override of controls, including through testing journal entries and other adjustments for appropriateness, and evaluating the business rationale of significant transactions outside the normal course of business.
A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.
For and on behalf of
12 Phoenix Business Park
Avenue Close
Birmingham
West Midlands
B7 4NU
Nirva Energy Ltd
Profit and Loss Account for the Year Ended 31 December 2025
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Note |
2025 |
2024 |
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Turnover |
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Cost of sales |
( |
( |
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Gross profit |
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Administrative expenses |
( |
( |
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Operating profit |
1,757,516 |
961,478 |
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Other interest receivable and similar income |
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Interest payable and similar expenses |
( |
( |
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(1,128,357) |
(626,605) |
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Profit before tax |
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Tax on profit |
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( |
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Profit for the financial year |
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The above results were derived from continuing operations.
The company has no recognised gains or losses for the year other than the results above.
Nirva Energy Ltd
Statement of Comprehensive Income - Prior Year Unaudited for the Year Ended 31 December 2025
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2025 |
2024 |
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Profit for the year |
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Total comprehensive income for the year |
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Nirva Energy Ltd
(Registration number: 13869934)
Balance Sheet as at 31 December 2025
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Note |
2025 |
2024 |
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Fixed assets |
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Tangible assets |
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Current assets |
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Stocks |
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Debtors |
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Cash at bank and in hand |
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Creditors: Amounts falling due within one year |
( |
( |
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Net current assets |
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Total assets less current liabilities |
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Creditors: Amounts falling due after more than one year |
( |
( |
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Provisions for liabilities |
- |
( |
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Net assets |
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Capital and reserves |
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Called up share capital |
380,200 |
380,200 |
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Retained earnings |
1,277,856 |
651,702 |
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Shareholders' funds |
1,658,056 |
1,031,902 |
These financial statements have been prepared in accordance with the provisions relating to medium-sized companies.
Approved and authorised by the
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Nirva Energy Ltd
Statement of Changes in Equity for the Year Ended 31 December 2025
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Share capital |
Retained earnings |
Total |
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At 1 January 2025 |
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Profit for the year |
- |
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Dividends |
- |
( |
( |
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At 31 December 2025 |
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Share capital |
Retained earnings |
Total |
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At 1 January 2024 |
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Profit for the year |
- |
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At 31 December 2024 |
380,200 |
651,702 |
1,031,902 |
Nirva Energy Ltd
Statement of Cash Flows - Prior Year Unaudited for the Year Ended 31 December 2025
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Note |
2025 |
2024 |
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Cash flows from operating activities |
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Profit for the year |
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Adjustments to cash flows from non-cash items |
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Depreciation and amortisation |
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Profit on disposal of tangible assets |
( |
( |
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Finance income |
( |
( |
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Finance costs |
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Income tax expense |
( |
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Working capital adjustments |
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Decrease/(increase) in stocks |
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( |
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Increase in trade debtors |
( |
( |
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Increase in trade creditors |
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Net cash flow from operating activities |
( |
( |
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Cash flows from investing activities |
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Interest received |
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Acquisitions of tangible assets |
( |
( |
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Proceeds from sale of tangible assets |
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Net cash flows from investing activities |
( |
( |
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Cash flows from financing activities |
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Interest paid |
( |
( |
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Proceeds from bank borrowing draw downs |
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Payments to finance lease creditors |
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Dividends paid |
( |
- |
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Net cash flows from financing activities |
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Net increase in cash and cash equivalents |
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Cash and cash equivalents at 1 January |
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Cash and cash equivalents at 31 December |
3,638,570 |
720,111 |
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Nirva Energy Ltd
Notes to the Financial Statements for the Year Ended 31 December 2025
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General information |
The company is a private company limited by share capital, incorporated in England.
The address of its registered office is:
England
These financial statements were authorised for issue by the
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Accounting policies |
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
These financial statements were prepared in accordance with Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland and the Companies Act 2006'.
Basis of preparation
These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.
Going concern
The financial statements have been prepared on the going concern basis. As the company has high levels of year-on-year growth, the directors review the company’s financial position, cash flow forecasts and banking arrangements on a monthly basis for the company’s working capital funding, its longer-term loan facility requirement and its general ability to maintain funding interest cover. This may lead to the covenant position being at risk from time to time and this position is to be reviewed on an ongoing basis.
The directors prepare forecasts and projections for a rolling period twelve-month period and, having considered the company’s available facilities, expected trading performance and mitigating actions, believe that the company has adequate resources to continue in operational existence for the foreseeable future.
Nirva Energy Ltd
Notes to the Financial Statements for the Year Ended 31 December 2025
Judgements
In the application of the company's accounting policies, the directors are 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 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 directors consider there to be no key estimates.
The 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 estimate and underlying assumptions are reviewed on an on-going basis, these include accruals based on fuel purchases, the inventory calculation based on the weighted average costs of stock items.
Revenue recognition
Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts.
The company recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the company's activities.
Tax
The tax expense for the period comprises deferred tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.
Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the financial statements.
Unrelieved tax losses and other deferred tax assets are recognised when it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.
Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference.
Tangible assets
Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.
Depreciation
Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:
Nirva Energy Ltd
Notes to the Financial Statements for the Year Ended 31 December 2025
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Asset class |
Depreciation method and rate |
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Motor vehicles |
10 Year straight line |
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Office equipment |
8 Year straight line |
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Plant and Machinery |
6.67 Year straight line |
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Leasehold Property |
5 Year straight line |
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Furniture & Fixtures |
10 Year straight line |
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call deposits, and other short-term highly liquid investments that are readily convertible to a known amount of cash and are subject to an insignificant risk of change in value.
Debtors
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.
Stocks
The estimate and underlying assumptions are reviewed on an on-going basis, these include accruals based on Fuel Duty, the inventory calculation based on the weighted average costs of stock items.
Creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.
Borrowings
Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the profit and loss account over the period of the relevant borrowing.
Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.
Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.
Nirva Energy Ltd
Notes to the Financial Statements for the Year Ended 31 December 2025
Leases
Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee.
Assets held under finance leases are recognised at the lower of their fair value at inception of the lease and the present value of the minimum lease payments. These assets are depreciated on a straight-line basis over the shorter of the useful life of the asset and the lease term. The corresponding liability to the lessor is included in the balance sheet as a finance lease obligation.
Lease payments are apportioned between finance costs in the profit and loss account and reduction of the lease obligation so as to achieve a constant periodic rate of interest on the remaining balance of the liability.
Share capital
Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.
Dividends
Dividend distribution to the company’s shareholders is recognised as a liability in the financial statements in the reporting period in which the dividends are declared.
Defined contribution pension obligation
A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
Equity Instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
Employee Benefits
The costs of short-term employee benefits are recognised as a liability and an expense. The cost of unused holiday entitlement is recognised in the period in which the employee’s services are receives along with any termination benefits.
Nirva Energy Ltd
Notes to the Financial Statements for the Year Ended 31 December 2025
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Turnover |
The analysis of the company's turnover for the year from continuing operations is as follows:
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2025 |
2024 |
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Sale of Fuel |
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The analysis of the company's turnover for the year by market is as follows:
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2025 |
2024 |
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UK |
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Operating profit |
Arrived at after charging/(crediting)
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2025 |
2024 |
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Depreciation expense |
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Operating lease expense - plant and machinery |
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|
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Profit on disposal of property, plant and equipment |
( |
( |
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Auditors remuneration |
15,450 |
12,500 |
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Other interest receivable and similar income |
|
2025 |
2024 |
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Interest income on bank deposits |
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Interest payable and similar expenses |
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2025 |
2024 |
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Interest on bank overdrafts and borrowings |
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Interest on obligations under finance leases and hire purchase contracts |
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Nirva Energy Ltd
Notes to the Financial Statements for the Year Ended 31 December 2025
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Staff costs |
The aggregate payroll costs (including director's remuneration) were as follows:
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2025 |
2024 |
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Wages and salaries |
|
|
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Social security costs |
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Pension costs, defined contribution scheme |
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|
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Other employee expense |
1,397 |
2,127 |
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Other short-term employee benefits |
9,533 |
8,271 |
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|
The average number of persons employed by the company (including the director) during the year, analysed by category was as follows:
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2025 |
2024 |
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Production |
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Administration and support |
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Director's remuneration |
The director's remuneration for the year was as follows:
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2025 |
2024 |
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Remuneration |
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Taxation |
Tax charged/(credited) in the profit and loss account
|
2025 |
2024 |
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Deferred taxation |
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Arising from origination and reversal of timing differences |
( |
|
The tax on profit before tax for the year is the same as the standard rate of corporation tax in the UK (2024 - the same as the standard rate of corporation tax in the UK) of
The differences are reconciled below:
Nirva Energy Ltd
Notes to the Financial Statements for the Year Ended 31 December 2025
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2025 |
2024 |
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|
Profit before tax |
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|
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Corporation tax at standard rate |
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Further item of tax decrease |
( |
( |
|
Total tax (credit)/charge |
( |
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Tangible assets |
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Long leasehold land and buildings |
Fixtures and fittings |
Plant and machinery |
Office equipment |
Motor vehicles |
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Cost or valuation |
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At 1 January 2025 |
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Additions |
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- |
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Disposals |
- |
- |
- |
- |
( |
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At 31 December 2025 |
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Depreciation |
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At 1 January 2025 |
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Charge for the year |
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Eliminated on disposal |
- |
- |
- |
- |
( |
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At 31 December 2025 |
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Carrying amount |
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At 31 December 2025 |
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At 31 December 2024 |
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Nirva Energy Ltd
Notes to the Financial Statements for the Year Ended 31 December 2025
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Total |
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Cost or valuation |
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At 1 January 2025 |
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Additions |
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Disposals |
( |
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At 31 December 2025 |
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Depreciation |
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At 1 January 2025 |
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Charge for the year |
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Eliminated on disposal |
( |
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At 31 December 2025 |
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Carrying amount |
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At 31 December 2025 |
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At 31 December 2024 |
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Included within the net book value of land and buildings above is £31,410 (2024 - £48,425) in respect of long leasehold land and buildings.
Assets held under finance leases and hire purchase contracts
The net carrying amount of tangible assets includes the following amounts in respect of assets held under finance leases and hire purchase contracts:
|
2025 |
2024 |
|
|
Motor Vehicles |
1,283,052 |
1,015,826 |
The figures shown for 2023 were unaudited.
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Stocks |
|
2025 |
2024 |
|
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Other inventories |
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Nirva Energy Ltd
Notes to the Financial Statements for the Year Ended 31 December 2025
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Debtors |
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Current |
Note |
2025 |
2024 |
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Trade debtors |
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Other debtors |
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Prepayments |
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Deferred tax assets |
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- |
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Cash and cash equivalents |
|
2025 |
2024 |
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Cash at bank |
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Creditors |
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Note |
2025 |
2024 |
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Due within one year |
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Loans and borrowings |
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Trade creditors |
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Amounts due to related parties |
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Social security and other taxes |
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Outstanding defined contribution pension costs |
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Other payables |
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Accruals |
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Due after one year |
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Loans and borrowings |
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Loans and borrowings of £7,827,179 includes a factoring balance of £7,464,438. Other creditors includes credit card liabilities of £41,741 and wages owing of £5,442 (2024 - £37,764). The factoring balance is secured against company’s assets.
Nirva Energy Ltd
Notes to the Financial Statements for the Year Ended 31 December 2025
|
Provisions for liabilities |
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Deferred tax |
Total |
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At 1 January 2025 |
|
|
|
Increase (decrease) in existing provisions |
( |
( |
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At 31 December 2025 |
( |
( |
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Pension and other schemes |
Defined contribution pension scheme
The company operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the company to the scheme and amounted to £
Contributions totalling £
|
Share capital |
Allotted, called up and fully paid shares
|
2025 |
2024 |
|||
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No. |
£ |
No. |
£ |
|
|
|
|
200 |
|
200 |
|
|
|
380,000 |
|
380,000 |
|
|
|
|
|
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Loans and borrowings |
Non-current loans and borrowings
|
2025 |
2024 |
|
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Borrowings |
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Hire purchase contracts |
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The borrowings above are secured against the assets to which they relate.
Nirva Energy Ltd
Notes to the Financial Statements for the Year Ended 31 December 2025
Current loans and borrowings
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2025 |
2024 |
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Bank borrowings |
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Hire purchase contracts |
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Included in the loans and borrowings are the following amounts due after more than five years:
|
2025 |
2024 |
|
|
- |
- |
|
Obligations under leases and hire purchase contracts |
Operating leases
The total of future minimum lease payments is as follows:
|
2025 |
2024 |
|
|
Not later than one year |
|
|
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Later than one year and not later than five years |
- |
|
|
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The amount of non-cancellable operating lease payments recognised as an expense during the year was £
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Contingent liabilities |
In the normal course of business, management is in ongoing discussions with HMRC to determine and agree the final fuel duty position for the period. The director has fully provided for the expected liability within these financial statements based on the best information available at the reporting date and management does not currently expect any additional liability to arise beyond the amount provided.
Nirva Energy Ltd
Notes to the Financial Statements for the Year Ended 31 December 2025
|
Analysis of changes in net debt |
|
At 1 January 2025 |
Changes in market value |
At 31 December 2025 |
|
|
Cash and cash equivalents |
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|
Cash |
720,111 |
2,918,458 |
3,638,569 |
|
Borrowings |
|||
|
Long term borrowings |
1,415,763 |
322,028 |
1,737,791 |
|
Short term borrowings |
2,669,457 |
5,301,775 |
7,971,232 |
|
4,085,220 |
5,623,803 |
9,709,023 |
|
|
|
8,542,261 |
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|
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Related party transactions |
As at the year end 31st December 2025 (2024 - £0) SCV Holdings owed Nirva Energy £50,000.
Nirva Energy invoiced Nirva UK for £1,007,135 and Nirva UK invoiced Nirva Energy for £9,307,002 in the year 2025 (2024 - £0). The Director confirms that the transactions were undertaken on an arm’s length basis and balances were settled by March 2026.
Nirva Energy invoiced Nirva Resources for £29,217 in the year 2025 (2024 - Nirva Energy invoiced Nirva Resources for £26,440 and Nirva Resources invoiced Nirva Energy for £1,000). The Director confirms that the transactions were undertaken on an arm’s length basis and balances were settled by March 2026.
23 Directors Transactions
As at the year end 31st December 2025 (2024 - £6,822) the director was owed £2,510.
24 Ultimate Controlling Party
The ultimate controlling party is the director and sole shareholder, Mr Varun Shyam Chhabria.
Nirva Energy Ltd
Notes to the Financial Statements for the Year Ended 31 December 2025
25 Going Concern
During the year, the company has traded in excess of its total debt to equity financial metric which is consistent with is continual high growth and the current geopolitical tensions which have led to the increases in pricing of fuel and with it the funding requirements. There remains excess head room within the finance facility and it is understood that the working capital facilities that are in place are renewed every 12 months and such renewal has been reviewed and is in place from July 2026 for a further 12 months. Accordingly, the amounts due are disclosed as less than one year. As at the date of approval of these financial statements the directors report that the working capital facilities in place remain sustainable.
The directors have considered the implications of the covenants on the company’s financial position and liquidity and have prepared cash flow forecasts and projections covering a period of at least twelve months from the date of approval of the financial statements. These forecasts reflect expected trading performance, available facilities, and the actions that the directors can take to manage the company’s cost base and working capital.
Based on these forecasts, the directors believe that the company has adequate resources to continue in operational existence for the foreseeable future and have therefore prepared the financial statements on a going concern basis.