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Easternmed Real Estate Capital PLC

Interim / Quarterly Report Dec 30, 2024

2506_ir_2024-12-30_9e6426fa-898a-41f2-8e1e-6853cabfd49a.pdf

Interim / Quarterly Report

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REPORT AND INTERIM UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS For the period from 1 April 2024 to 30 September 2024

REPORT AND INTERIM UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS For the period from 1 April 2024 to 30 September 2024

CONTENTS PAGE

Board of Directors and other officers 1
Consolidated Management Report 2 - 4
Unaudited consolidated statement of profit or loss and other comprehensive income 5
Unaudited consolidated statement of financial position 6
Unaudited consolidated statement of changes in equity 7
Unaudited consolidated cash flow statement 8
Notes to the unaudited consolidated financial statements 9 - 27
Additional information to the unaudited consolidated statement of profit or loss and
other comprehensive income
28 - 31

BOARD OF DIRECTORS AND OTHER OFFICERS

Board of Directors: Ioannis Papaioannou
Ellie Kioupi
Marcos Panteleimon Klerides
Athanasios Martinos
Marina Martinou
Costas Neocleous
Dionysios Psallidas
Petros Kotsikis
Company Secretary: K and K Secretarial Limited
Independent Auditors: Markos Drakos & Co Ltd
Chartered Accountants
86 Ifigenias Street
2003 Nicosia
Cyprus
Registered office: Kyriakou Matsi 11, 8th floor,
Nicosia
1082
Cyprus
Bankers: Bank of Cyprus Public Company Ltd
HSBC Plc
Credit Suisse AG
Natwest Bank Plc
Registration number: ΗΕ394500

CONSOLIDATED MANAGEMENT REPORT

The Board of Directors presents its report and unaudited consolidated financial statements of the Company and its subsidiaries (together with the Company, the ''Group'') for the period from 1 April 2024 to 30 September 2024.

Principal activity and nature of operations of the Group

The principal activity of the Group is the holding of investment properties (commercial real estate assets primarily in the office sector in the United Kingdom and Switzerland) for long-term rental yields and for capital appreciation.

Review of current position, and performance of the Group's business

The Group's development to date, financial results and position as presented in the unaudited consolidated financial statements are considered satisfactory.

Principal risks and uncertainties

The principal risks and uncertainties faced by the Group are disclosed in notes 6 and 27 of the consolidated financial statements.

The invation of Russia in the Ukraine and the extensive financial and other sanctions imposed to Russia and the United Kindom's withdrawal from the European Union may potentially have a wide impact on the economies and especially on the immovable property markets of the UK and Switzerland, the countries that the Group is operating in, which is difficult to predict.

The Israel-Gaza conflict has escalated significantly after Hamas launched a major attack on 7 October 2023. Companies with material subsidiaries, operations, investments, contractual arrangements or joint ventures in the War area might be significantly exposed. Entities that do not have direct exposure to Israel and Gaza Strip are likely to be affected by the overall economic uncertainty and negative impacts on the global economy and major financial markets arising from the war. This is a volatile period and situation, however, the Group is not directly exposed. Management will continue to monitor the situation closely and take appropriate actions when and if needed.

Furthermore, the increasing energy prices, fluctuations in foreign exchange rates, unease in stock market trading, rises in interest rates, supply chain disruptions and intensified inflationary pressures may indirectly impact the operations of the Group. The indirect implications will depend on the extent and duration of the crisis and remain uncertain. Also, the reduction in demand for office space in the UK and Switzerland may also have a negative impact on the Immovable property market in these countries.

This operating environment may have a significant impact on the Group's operations and financial position. Management is taking necessary measures to ensure sustainability of the Group's operations. However, the future effects of the current economic situation are difficult to predict and Management's current expectations and estimates could differ from actual results.

Future developments of the Group

The Board of Directors does not expect any significant changes or developments in the operations, financial position and performance of the Group in the foreseeable future.

Use of financial instruments by the Group

The Group is exposed to interest rate risk, credit risk and liquidity risk from the financial instruments it holds.

Interest rate risk

Interest rate risk is the risk that the value of financial instruments will fluctuate due to changes in market interest rates. The Group's income and operating cash flows are substantially independent of changes in market interest rates as the Group has no significant interest-bearing assets. The Group is exposed to interest rate risk in relation to its borrowings. Borrowings issued at variable rates expose the Group to cash flow interest rate risk. Borrowings issued at fixed rates expose the Group to fair value interest rate risk. The Company's Management monitors the interest rate fluctuations on a continuous basis and acts accordingly.

CONSOLIDATED MANAGEMENT REPORT

Credit risk

Credit risk is the risk that one party to a financial instrument will cause a financial loss for the other party by failing to meet an obligation. Credit risk arises from contractual cash flows of debt investments carried at fair value through profit or loss (FVTPL) and deposits with banks and financial institutions, as well as credit exposures to tenants.

Credit risk is managed on a group basis. For banks and financial institutions, the Group has established policies whereby the majority of bank balances are held with independently rated parties with a minimum rating of 'C'.

If tenants are independently rated, these ratings are used. Otherwise, if there is no independent rating, Management assesses the credit quality of the tenant, taking into account its financial position, past experience and other factors. Individual credit limits and credit terms are set based on the credit quality of the tenant in accordance with limits set by the Board of Directors. The utilisation of credit limits is regularly monitored.

Liquidity risk

Liquidity risk is the risk that arises when the maturity of assets and liabilities does not match. An unmatched position potentially enhances profitability, but can also increase the risk of losses. The Group has procedures with the object of minimising such losses such as maintaining sufficient cash and other highly liquid current assets and by having available an adequate amount of committed credit facilities.

Share capital

On 16 May 2023 the Company issued 76.521.902 new ordinary shares of €1 at the price of €1,0739 each (share premium €0,0739).

Board of Directors

The members of the Group's Board of Directors as at 30 September 2024 and at the date of this report are presented on page 1. All of them were members of the Board of Directors throughout the period from 1 April 2024 to 30 September 2024.

In accordance with the Company's Articles of Association all Directors presently members of the Board continue in office.

There were no significant changes in the assignment of responsibilities and remuneration of the Board of Directors.

Related party transactions

Disclosed in note 28 of the consolidated financial statements.

On 16 May 2023, the company through a shareholders' contribution, proceeded with the acquisition of the Cyprus company Medprestige Limited and the subsequent capitalisation of the non-refundable advances through the simultaneous issue and allotment of new shares to the shareholders, as per the relevant announcement issued by the company. It was observed however, after the issuance and allotment of the new shares, that the value of the new shares allotted to the shareholders was by UK Sterling 12.049.403 higher than intended. This fact created temporarily a debit balance in the shareholders' current account with the company of the same amount as at the date of these financial statements. On 30 November 2023, the shareholders deposited in the company's bank account an amount of Swiss Franc 29.750.000 and the debit balance in the shareholders' current account with the company was eliminated.

CONSOLIDATED MANAGEMENT REPORT

Independent Auditors

The Independent Auditors, Markos Drakos & Co Ltd, have expressed their willingness to continue in office and a resolution giving authority to the Board of Directors to fix their remuneration will be proposed at the Annual General Meeting.

By order of the Board of Directors,

K and K Secretarial Limited Secretary

Nicosia, 19 December 2024

UNAUDITED CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME For the period from 1 April 2024 to 30 September 2024

Note 1/04/2024-
30/09/2024
UΚ£
1/04/2023-
30/09/2023
UΚ£
Revenue
Rental expenses
7
8
12.684.530
(5.621.419)
10.203.633
(5.205.393)
Gross profit 7.063.111 4.998.240
Other operating income
Selling and distribution expenses
Administration expenses
Net impairment profit on financial and contract assets
9
10
955.411
(204.532)
(217.312)
167.021
1.109.406
(1.025)
(204.918)
3.995
Operating profit 7.763.699 5.905.698
Finance income
Finance costs
Net finance income
Profit before tax
12 224.090
(128.662)
95.428
7.859.127
810.873
(134.197)
676.676
6.582.374
Tax
Net profit for the period
13 (2.106.796)
5.752.331
(1.683.055)
4.899.319
Exchange difference arising on the translation and consolidation of
subsidiary companies' financial statements denominated in other
currency
Other comprehensive income for the period
1.987.614
1.987.614
2.145.327
2.145.327
Total comprehensive income for the period 7.739.945 7.044.646

UNAUDITED CONSOLIDATED STATEMENT OF FINANCIAL POSITION 30 September 2024

Note 30/09/2024
UΚ£
30/09/2023
UΚ£
ASSETS
Non-current assets
Plant and equipment
2.937 1.766
Right-of-use assets 14 5.294.706 5.359.211
Investment properties
Intangible assets
15
16
774.795.313
3.179.899
610.149.866
3.149.872
783.272.855 618.660.715
Current assets
Trade and other receivables
Cash at bank
18
19
13.663.486
29.535.010
18.186.805
28.062.460
43.198.496 46.249.265
Total assets 826.471.351 664.909.980
EQUITY AND LIABILITIES
Equity
Share capital 20 613.921.281 613.921.281
Share premium 20
21
5.479.440 5.479.440
Other reserves
Retained earnings
160.419.444
18.583.187
13.746.578
9.218.467
Total equity 798.403.352 642.365.766
Non-current liabilities
Borrowings 22 8.461.067 8.561.128
Lease liabilities 23 5.761.362 5.737.168
14.222.429 14.298.296
Current liabilities
Trade and other payables 24 9.489.304 4.026.486
Deferred income 25 1.781.611 1.817.876
Borrowings 22 144 93
Lease liabilities 23 21.463 76.471
Current tax liabilities 26 2.553.048 2.324.992
13.845.570 8.245.918
Total liabilities 28.067.999 22.544.214
Total equity and liabilities 826.471.351 664.909.980

On 19 December 2024 the Board of Directors of Easternmed Real Estate Capital plc authorised these consolidated financial statements for issue.

Athanasios Martinos Dionysios Psallidas Director Director

.................................... ....................................

UNAUDITED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

For the period from 1 April 2024 to 30 September 2024

Non
Share refundable Translation Retained
Share capital premium advances reserve earnings Total
Note UΚ£ UΚ£ UΚ£ UΚ£ UΚ£ UΚ£
Balance at 1 April 2023 547.394.670 563.124 38.295.998 11.601.251 4.319.148 602.174.191
Net profit for the period - - - - 4.899.319 4.899.319
Other comprehensive income for the period - - - 2.145.327 - -
Issue of share capital 20 66.526.611 4.916.316 - - - 71.442.927
Utilization of advances from shareholders for increase in share capital - - (38.295.998) - - (38.295.998)
Balance at 30 September 2023 613.921.281 5.479.440 - 13.746.578 9.218.467 642.365.766
Balance at 1 April 2024 613.921.281 5.479.440 17.015.539 10.372.599 12.830.856 659.619.715
Net profit for the period - - - - 5.752.331 5.752.331
Other comprehensive income for the period - - - 1.987.614 - -
Non-refundable advances from shareholders - - 131.043.692 - - 131.043.692
Balance at 30 September 2024 613.921.281 5.479.440 148.059.231 12.360.213 18.583.187 798.403.352

Share premium and translation reserve are not available for distribution.

The non-refundable advances from shareholders are made available to the Board of Directors for future increases of the share capital of the Company.

UNAUDITED CONSOLIDATED CASH FLOW STATEMENT For the period from 1 April 2024 to 30 September 2024

Note 1/04/2024-
30/09/2024
UΚ£
1/04/2023-
30/09/2023
UΚ£
CASH FLOWS FROM OPERATING ACTIVITIES
Profit before tax
Adjustments for:
7.859.127 6.582.374
Depreciation of property, plant and equipment 325 206
Depreciation of right-of-use assets 14 31.802 31.970
Exchange difference arising on the translation of non-current assets
in foreign currencies (2.191.094) (961.480)
Exchange difference arising on the translation and consolidation of
foreign companies' financial statements
Unrealised exchange profit
1.957.587
(84.388)
2.145.327
(4.794)
Excess of Group's interest in the net fair value of the subsidiaries'
assets and liabilities over cost on acquisition - (508.228)
Reversal of impairment of trade receivables 18 (167.021) (3.995)
Interest income 12 (139.436) (50.095)
Interest expense 12 120.790 121.770
7.387.692 7.353.055
Changes in working capital:
Decrease/(increase) in trade and other receivables 5.275.268 (14.112.649)
Decrease/(increase) in bank deposits 8.808.688 (16.798.714)
Increase in trade and other payables 5.462.818 193.556
(Decrease)/increase in deferred income (36.265) 368.274
Cash generated from/(used in) operations 26.898.201 (22.996.478)
Tax paid (1.878.740) (1.693.413)
Net cash generated from/(used in) operating activities 25.019.461 (24.689.891)
CASH FLOWS FROM INVESTING ACTIVITIES
Payment for purchase of intangible assets 16 (30.027) -
Payment for purchase of property, plant and equipment (1.735) (1.815)
Payment for purchase of investment property 15 (162.653.514) (22.564.016)
Acquisition of subsidiaries, net cash outflow on acquisition - (43)
Interest received 139.436 50.095
Net cash used in investing activities (162.545.840) (22.515.779)
CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from issue of share capital and share premium - 71.442.927
Utilization of advances from shareholders for increase in share capital 148.059.231 (38.295.998)
Repayments of borrowings (100.061) -
Payments of leases liabilities (30.814) (28.385)
Interest paid (120.790) (121.770)
Net cash generated from financing activities 147.807.566 32.996.774
Net increase/(decrease) in cash and cash equivalents 10.281.187 (14.208.896)
Cash and cash equivalents at beginning of the period 10.867.527 25.076.423
Cash and cash equivalents at end of the period 19 21.148.714 10.867.527

NOTES TO THE CONSOLIDATED UNAUDITED FINANCIAL STATEMENTS For the period from 1 April 2024 to 30 September 2024

1. Incorporation and principal activities

Country of incorporation

The Company Easternmed Real Estate Capital plc (the ''Company'') was incorporated in Cyprus on 14 February 2019 as a private limited liability company under the provisions of the Cyprus Companies Law, Cap. 113. Its registered office is at Kyriakou Matsi 11, 8th floor, Nicosia, 1082, Cyprus.

Unaudited financial statements

The consolidated financial statements for the six months ended on 30 September 2024 and 30 September 2023 respectively, have not been audited by the external auditors of the Company.

2. Basis of preparation

The consolidated financial statements of the Group have been prepared in accordance with International Financial Reporting Standards (IFRSs), as adopted by the European Union (EU), and the requirements of the Cyprus Companies Law, Cap. 113.

As of the date of the authorisation of the financial statements, all International Financial Reporting Standards issued by the International Accounting Standards Board (IASB) that are effective as of 1 January 2024 and relevant to the Company have been adopted by the EU through the endorsement procedure established by the European Commission.

These consolidated financial statements have been prepared under the historical cost convention as modified by the revaluation of and investment property.

The preparation of financial statements in conformity with IFRSs requires the use of certain critical accounting estimates and requires Management to exercise its judgment in the process of applying the Group's accounting policies. The areas involving a higher degree of judgment or complexity, or areas where assumptions and estimates are significant to the financial statements are disclosed in Note 6.

3. Adoption of new or revised standards and interpretations

During the current period the Group adopted all the new and revised International Financial Reporting Standards (IFRSs) that are relevant to its operations and are effective for accounting periods beginning on 1 April 2024. This adoption did not have a material effect on the accounting policies of the Group.

4. Material accounting policy information

The consolidated financial statements, which are presented in United Kingdom Pounds, have been prepared in accordance with international Financial Reporting Standards, including IAS 34 ''Interim Financial Reporting''

The accounting policies used in the preparation of the consolidated financial statements are in accordance with those used in the annual financial statements for the year ended 31 December 2023.

Costs that are incurred during the financial year are anticipated or deferred for interim reporting purposes if, and only if, it is also appropriate to anticipate or defer that type of cost at the end of the financial year.

Corporation tax is calculated based on the expected tax rates for the whole financial year.

These consolidated financial statements must be read in conjunction with the annual financial statements for the year ended 31 December 2023.

NOTES TO THE CONSOLIDATED UNAUDITED FINANCIAL STATEMENTS For the period from 1 April 2024 to 30 September 2024

5. New accounting pronouncements

At the date of approval of these consolidated financial statements, standards and interpretations were issued by the International Accounting Standards Board which were not yet effective. Some of them were adopted by the European Union and others not yet. The Board of Directors expects that the adoption of these accounting standards in future periods will not have a material effect on the consolidated financial statements of the Group.

6. Critical accounting estimates, judgments and assumptions

Estimates and judgments are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Critical accounting estimates and assumptions

The Group makes estimates and assumptions concerning the future. The resulting accounting estimates will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below.

Calculation of loss allowance

When measuring expected credit losses the Group uses reasonable and supportable forward looking information, which is based on assumptions for the future movement of different economic drivers and how these drivers will affect each other.

Loss given default is an estimate of the loss arising on default. It is based on the difference between the contractual cash flows due and those that the lender would expect to receive, taking into account cash flows from collateral and integral credit enhancements.

Probability of default constitutes a key input in measuring ECL. Probability of default is an estimate of the likelihood of default over a given time horizon, the calculation of which includes historical data, assumptions and expectations of future conditions.

Income taxes

Significant judgment is required in determining the provision for income taxes. There are transactions and calculations for which the ultimate tax determination is uncertain during the ordinary course of business. The Group recognises liabilities for anticipated tax audit issues based on estimates of whether additional taxes will be due. Where the final tax outcome of these matters is different from the amounts that were initially recorded, such differences will impact the income tax and deferred tax provisions in the period in which such determination is made.

Critical judgements in applying the Group's accounting policies

Fair value of investment property

The fair value of investment property is determined by using valuation techniques. The Group uses its judgment to select a variety of methods and make assumptions that are mainly based on market conditions existing at each reporting date. The fair value of the investment property has been estimated based on the fair value of their individual assets.

NOTES TO THE CONSOLIDATED UNAUDITED FINANCIAL STATEMENTS For the period from 1 April 2024 to 30 September 2024

6. Critical accounting estimates, judgments and assumptions (continued)

Impairment of non-financial assets

The impairment test is performed using the discounted cash flows expected to be generated through the use of non-financial assets, using a discount rate that reflects the current market estimations and the risks associated with the asset. When it is impractical to estimate the recoverable amount of an asset, the Group estimates the recoverable amount of the cash generating unit in which the asset belongs to.

Impairment of goodwill

Determining whether goodwill is impaired requires an estimation of the value in use of the cash generating units of the Group on which the goodwill has been allocated. The value in use calculation requires the Group to estimate the future cash flows expected to arise from the cashgenerating units using a suitable discount rate in order to calculate present value.

Useful live of depreciable assets

The Board of Directors assesses the useful lives of depreciable assets at each reporting date, and revises them if necessary so that the useful lives represent the expected utility of the assets to the Group. Actual results, however, may vary due to technological obsolescence, mis-usage and other factors that are not easily predictable.

7. Revenue

The Group derives its revenue mainly from rental contracts with tenants.

Disaggregation of revenue 1/04/2024- 1/04/2023-
30/09/2024 30/09/2023
UΚ£ UΚ£
Rent receivable 12.635.592 10.126.134
Other income from property 48.938 77.499
12.684.530 10.203.633

8. Rental expenses

1/04/2024- 1/04/2023-
30/09/2024 30/09/2023
UΚ£ UΚ£
Property rates and taxes 160.192 92.748
Energy expenses 97.902 46.574
Repairs and maintenance 3.608.176 3.853.458
Electricity 182.436 379.166
Insurance 41.245 43.904
Sundry expenses 134.306 142.109
Other professional fees 767.775 317.106
Management fees 529.772 294.493
Salaries and wages abroad 99.615 35.835
5.621.419 5.205.393

NOTES TO THE CONSOLIDATED UNAUDITED FINANCIAL STATEMENTS For the period from 1 April 2024 to 30 September 2024

9. Other operating income

955.411
1.109.406
10. Administration expenses
1/04/2024-
1/04/2023-
30/09/2024
30/09/2023
UΚ£
UΚ£
Staff costs
3.847
-
Net effect relating to variable lease payments
(2.650)
(1.131)
Common expenses
410
495
Annual levy
-
442
Electricity
1.125
2.812
Water supply and cleaning
84
909
-
Repairs and maintenance
254
Sundry expenses
(74)
8.243
Telephone and postage
-
45
Stationery and printing
296
-
Auditors' remuneration - current period
9.320
-
Auditors' remuneration for other non-audit services
370
20.631
Auditors' remuneration - prior years
(53)
(870)
Accounting fees
(6.250)
1.801
Legal fees
2.151
6.804
150.744
Other professional fees
101.855
Management and performance fees
(1.096)
-
Overseas travelling
12.914
30.452
Travelling
14.047
-
Depreciation of right-of-use assets
31.802
31.970
Depreciation
325
206
217.312
204.918
Excess of Group's interest in the net fair value of the subsidiaries' assets and
liabilities over cost on acquisition
Other operating income
-
955.411
508.228
601.178

11. Staff costs

1/04/2024- 1/04/2023-
30/09/2024 30/09/2023
UΚ£ UΚ£
Salaries 3.847 -
3.847 -

NOTES TO THE CONSOLIDATED UNAUDITED FINANCIAL STATEMENTS For the period from 1 April 2024 to 30 September 2024

12. Finance income/(costs)

1/04/2024-
30/09/2024
UΚ£
1/04/2023-
30/09/2023
UΚ£
Finance income
Bank interest
Realised foreign exchange profit
Unrealised foreign exchange profit
Other finance income
139.436
266
84.388
-
50.095
755.087
4.794
897
Bank and other loans interest 224.090 810.873
Finance costs
Interest expense
Loan interest
Interest on obligations under finance leases
(62.831)
(57.959)
(63.426)
(58.344)
Sundry finance expenses
Bank charges
(7.772) (12.427)
Net foreign exchange losses
Realised foreign exchange loss
(100) -
(128.662) (134.197)
Net finance income 95.428 676.676
Interest income is analysed as follows:
30/09/2024
UΚ£
30/09/2023
UΚ£
13. Tax
1/04/2024-
30/09/2024
UΚ£
1/04/2023-
30/09/2023
UΚ£
Corporation tax
Overseas tax
Defence contribution
-
2.106.796
-
16.500
1.666.432
123
Charge for the period 2.106.796 1.683.055

NOTES TO THE CONSOLIDATED UNAUDITED FINANCIAL STATEMENTS For the period from 1 April 2024 to 30 September 2024

13. Tax (continued)

The tax on the Group's profit before tax differs from theoretical amount that would arise using the applicable tax rates as follows:

1/04/2024- 1/04/2023-
30/09/2024 30/09/2023
UΚ£ UΚ£
Profit before tax 7.859.127 6.582.374
Tax calculated at the applicable tax rates 982.391 822.797
Tax effect of expenses not deductible for tax purposes 31.778 15.171
Tax effect of allowances and income not subject to tax (1.081.488) (846.082)
10% additional charge 67.319 24.614
Defence contribution current period - 123
Overseas tax in excess of credit claim used during the period 2.106.796 1.666.432
Tax charge 2.106.796 1.683.055

The corporation tax rate in Cyprus is 12,5%. In addition, 75% of the gross rents receivable are subject to defence contribution at the rate of 3%.

Under certain conditions interest income may be subject to defence contribution at the rate of 17%. In such cases this interest will be exempt from corporation tax. In certain cases, dividends received from abroad may be subject to defence contribution at the rate of 17%.

The Group's rental and other income derives from permanent establishments outside of the Republic and is not taxed in the Republic.

The corporation tax rate in Switzerland can reach up to 30% as companies are taxed on their net profits, the amount of their share capital and the amount of receivable rental income and in the United Kingdom the corporation tax rate is 19%.

NOTES TO THE CONSOLIDATED UNAUDITED FINANCIAL STATEMENTS For the period from 1 April 2024 to 30 September 2024

14. Right-of-use assets

Land and
buildings
UΚ£
Cost
Balance at 1 April 2023
Additions
5.879.562
878
Balance at 30 September 2023 5.880.440
Balance at 1 April 2024 5.880.440
Exchange differences (839)
Balance at 30 September 2024 5.879.601
Depreciation
Balance at 1 April 2023
Charge for the period
457.218
95.875
Balance at 30 September 2023 553.093
Balance at 1 April 2024 553.093
Charge for the period 31.802
Balance at 30 September 2024 584.895
Net book amount
Balance at 30 September 2024 5.294.706
Balance at 1 April 2024 5.359.211

The Group through one of its subsidiary purchased a leasehold property in London in 2014. The leasehold period is 109 years and expires on 7 June 2123 and the leasehold agreement provides for a yearly payment of ground rent.

The parent company entered into an agreement in 2020 with a third party for the lease of its office in Nicosia. The lease period is 5 years and expires on 30 June 2025, with the option for the company to extend it by 2 years with the same terms.

Amounts recognised in profit and loss:

1/04/2024- 1/04/2023-
30/09/2024 30/09/2023
UΚ£ UΚ£
Depreciation of right-of-use assets (31.802) (31.970)
Income relating to variable lease payments 2.650 1.131
Interest on obligations under finance leases (57.959) (58.344)

NOTES TO THE CONSOLIDATED UNAUDITED FINANCIAL STATEMENTS For the period from 1 April 2024 to 30 September 2024

15. Investment properties

31/09/2024 30/09/2023
UΚ£ UΚ£
Balance at 1 April 634.856.812 586.624.370
Additions 137.746.568 22.564.016
Exchange differences 2.191.933 961.480
Balance at 30 September 774.795.313 610.149.866

Fair value hierarchy

The fair value of investment properties owned by the Group as at 30 September 2023 was determined by the Board of Directors of each of the Group companies at GBP610.149.866 (30/09/2022:GBP615.979.648) on the basis of information available to the Boards of the companies for the properties and general information on current conditions of the immovable property market in the UK and Switzerland. Company has no valuation of the investment properties as at this date from an external, independent property valuer. The Company obtains valuation of its investment properties from external, independent property valuers who have appropriate, recognised and professional qualifications and recent experience in the location and category of the properties periodically.

Valuation technique and significant unobservable inputs

The following table shows the valuation technique used in measuring the fair value of investment properties, as well as the significant unobservable inputs used.

Description Fair value at
Valuation
30 September
technique
2024
UΚ£
Unobservable
input
Range
(weighted
average)
Relationship of
unobservable inputs
to fair values
Commercial in
London
108.450.000 Income
approach
Assessment of
the location of
the property
Market value
of the building
UK£ 854 per
square foot.
The fair value will
increase/(decrease)
if the rental income
increases/(decreases)
and the
corresponding return
increases/(decreases)
Commercial in
London
30.303.930 Income
approach
Assessment of
the location of
the property
Market value
of the building
UK£ 468 per
square foot.
The fair value will
increase/(decrease)
if the rental income
increases/(decreases)
and the
corresponding return
increases/(decreases)
Commercial (office
and shops) building
in London
32.000.000 Income
approach
Assessment of
the location of
the property
Market value
of the building
UK£ 663 per
square foot.
The fair value will
increase/(decrease)
if the rental income
increases/(decreases)
and the
corresponding return
increases/(decreases)

NOTES TO THE CONSOLIDATED UNAUDITED FINANCIAL STATEMENTS For the period from 1 April 2024 to 30 September 2024

15. Investment properties (continued)

Description Fair value at
30 September
2024
UΚ£
Valuation
technique
Unobservable
input
Range
(weighted
average)
Relationship of
unobservable inputs
to fair values
Commercial in
London
15.150.000 Income approach Assessment of
the location of
the property
Market value
of the building
UK£ 901 per
square foot.
The fair value will
increase/(decrease)
if the rental income
increases/(decreases)
and the
corresponding return
increases/(decreases)
Commercial (office
and shops) building
in London
28.500.000 Income approach Assessment of
the location of
the property
Market value
of the building
UK£ 647 per
square foot.
The fair value will
increase/(decrease)
if the rental income
increases/(decreases)
and the
corresponding return
increases/(decreases)
Commercial in
London
22.000.000 Income approach Assessment of
the location of
the property
Market value
of the building
UK£ 593 per
square foot.
The fair value will
increase/(decrease)
if the rental income
increases/(decreases)
and the
corresponding return
increases/(decreases)
Commercial in
London
7.013.195 Income approach Assessment of
the location of
the property
Market value
of the building
UK£ 704 per
square foot.
The fair value will
increase/(decrease)
if the rental income
increases/(decreases)
and the
corresponding return
increases/(decreases)
Commercial (office
and shops) building
in Geneva
98.637.581 Income approach Assessment of
the location of
the property
Market value
of the building
UK£ 690 per
square foot.
The fair value will
increase/(decrease)
if the rental income
increases/(decreases)
and the
corresponding return
increases/(decreases)
Commercial (office
and shops) building
in Geneva
55.722.797 Income approach Assessment of
the location of
the property
Market value
of the building
UK£ 2.173 per
square foot.
The fair value will
increase/(decrease)
if the rental income
increases/(decreases)
and the
corresponding return
increases/(decreases)

NOTES TO THE CONSOLIDATED UNAUDITED FINANCIAL STATEMENTS For the period from 1 April 2024 to 30 September 2024

15. Investment properties (continued)

Description Fair value at
30 September
2024
UΚ£
Valuation
technique
Unobservable
input
Range
(weighted
average)
Relationship of
unobservable inputs
to fair values
Commercial in
London
189.000.000 Income approach Assessment of
the location of
the property
Market value
of the building
UK£ 840 per
square foot.
The fair value will
increase/(decrease)
if the rental income
increases/(decreases)
and the
corresponding return
increases/(decreases)
Commercial (office
and shops) building
in Geneva
23.013.047 Income approach Assessment of
the location of
the property
Market value
of the building
UK£ 850 per
square foot.
The fair value will
increase/(decrease)
if the rental income
increases/(decreases)
and the
corresponding return
increases/(decreases)
Commersial offices
building in London
64.611.496 Income approach Assessment of
the location of
the property
Market value
of the building
UK£ 1.409 per
square foot.
The fair value will
increase/(decrease)
if the rental income
increases/(decreases)
and the
corresponding return
increases/(decreases)
Commersial offices
building in London
27.275.289 Income approach Assessment of
the location of
the property
Market value
of the building
UK£ 890 per
square foot.
The fair value will
increase/(decrease)
if the rental income
increases/(decreases)
and the
corresponding return
increases/(decreases)
Commercial (office
and shops) building
in Geneva
35.596.002 Income approach Assessment of
the location of
the property
Market value
of the building
UK£ 665 per
square foot.
The fair value will
increase/(decrease)
if the rental income
increases/(decreases)
and the
corresponding return
increases/(decreases)
Commercial (office
and shops) building
in Geneva
37.521.975 Income approach Assessment of
the location of
the property
Market value
of the building
UK£ 3,658 per
square foot.
The fair value will
increase/(decrease)
if the rental income
increases/(decreases)
and the
corresponding return
increases/(decreases)

NOTES TO THE CONSOLIDATED UNAUDITED FINANCIAL STATEMENTS For the period from 1 April 2024 to 30 September 2024

15. Investment properties (continued)

Details of investment properties are as follows:

30/09/2024
UΚ£
30/09/2023
UΚ£
Type
Commercial buildings in London
Commercial buildings in Geneva
528.548.350
246.247.163
431.537.615
178.612.251
774.795.513 610.149.866

During the period, the Group received rental income amounting to UΚ£12.635.592.

16. Intangible assets

Goodwill
UΚ£
Cost
Balance at 1 April 2023 3.149.872
Balance at 30 September 2023 3.149.872
Balance at 1 April 2024 3.149.872
Additions 30.027
Balance at 30 September 2024 3.179.899
Net book amount
Balance at 30 September 2024 3.179.899
Balance at 1 April 2024 3.149.872

Goodwill represents the premium paid to acquire the below noted companies during prior years.

Goodwill has been allocated for impairment testing purposes to the following cash-generating units:

  • Alphafocus Ltd
  • IHC Immobilien Limited
  • Alphaprecious Limited
  • Medspectrum Limited
  • Primespectrum Ltd
  • Medastra Ltd

NOTES TO THE CONSOLIDATED UNAUDITED FINANCIAL STATEMENTS For the period from 1 April 2024 to 30 September 2024

17. Investments in subsidiaries

The details of the subsidiaries are as follows:

Name Country of Principal Holding
incorporation activities %
Medholdings Company Limited Cyprus Investments in 100
properties
Classpremium Ltd Cyprus Investments in 100
properties
Interclass Company Limited Cyprus Investments in 100
properties
Alphaforum Ltd Cyprus Investments in 100
properties
Forumprime Ltd Cyprus Investments in 100
properties
Alphafocus Ltd Cyprus Investments in 100
properties
Alphaspectrum Ltd Cyprus Investments in 100
properties
IHC Immobilien Limited Cyprus Investments in 100
properties
Medcenter Holdings Ltd Cyprus Investments in 100
Cyprus properties
Investments in
Alphaprecious Ltd 100
Cyprus properties
Investments in
Medspectrum Limited properties 100
Medprestige Limited Cyprus Investments in 100
properties
Alphalegend Ltd Cyprus Investments in 100
properties
Primespectrum Ltd Cyprus Investments in 100
properties
Medastra Ltd Cyprus Investments in 100
properties
Interprize Ltd Cyprus Investments in 100
properties

18. Trade and other receivables

30/09/2024 30/09/2023
UΚ£ UΚ£
Trade receivables 2.955.551 3.070.234
Agents 1.307.801 1.582.533
Less: credit loss on trade receivables (61.547) (96.980)
Trade receivables - net 4.201.805 4.555.787
Shareholders' current accounts - debit balances (Note 28.3) 101.762 12.127.017
Receivables from other related parties (Note 28.1) 7.388 -
Deposits and prepayments 9.077.635 1.480.159
Deferred expenses - 11.000
Other receivables 274.896 12.842
13.663.486 18.186.805

NOTES TO THE CONSOLIDATED UNAUDITED FINANCIAL STATEMENTS For the period from 1 April 2024 to 30 September 2024

18. Trade and other receivables (continued)

The Group has recognised a loss of UΚ£203.944 (2023: UΚ£ - ) for the impairment of its trade receivables during the period from 1 April 2024 to 30 September 2025. The loss has been included in selling and distribution costs in profit or loss.

The Group does not hold any collateral over the trading balances.

Movement in provision for Credit loss on trade receivables:

30/09/2024 30/09/2023
UΚ£ UΚ£
Balance at 1 April 96.980 84.163
Increase in provision on expected credit loss recognised on trade
receivables (35.433) 12.817
Balance at 30 September 61.547 96.980

The fair values of trade and other receivables due within one year approximate to their carrying amounts as presented above.

19. Cash at bank

30/09/2024 30/09/2023
UΚ£ UΚ£
Cash at bank 21.148.858 10.867.620
Bank deposits 8.386.152 17.194.840
29.535.010 28.062.460

For the purposes of the consolidated cash flow statement, the cash and cash equivalents include the following:

30/09/2024 30/09/2023
UΚ£ UΚ£
Cash at bank 21.148.858 10.867.620
Bank overdrafts (Note 22) (144) (93)
21.148.714 10.867.527

20. Share capital and share premium

30/09/2024
Number of
30/09/2024 30/09/2024 30/09/2023
Number of
30/09/2023 30/09/2023
shares UΚ£ UΚ£ shares UΚ£ UΚ£
Authorised
Ordinary
shares of €1
each 1.000.000.000 1.100.771.930 - 675.735.610 743.830.792 743.830.792
Shares issued - - - 324.264.390 356.941.138 356.941.138
Balance at 30
September
2021
1.000.000.000 1.100.771.930 - 1.000.000.000 1.100.771.930 1.100.771.930

NOTES TO THE CONSOLIDATED UNAUDITED FINANCIAL STATEMENTS For the period from 1 April 2024 to 30 September 2024

20. Share capital and share premium (continued)

Issued and fully paid Number of
shares
UΚ£ Share capital Share premium
UΚ£
Total
UΚ£
Balance at 1 April 2023
Issue of additional shares
639.426.528
76.521.902
547.394.670
66.526.611
563.124
4.916.316
547.957.794
71.442.927
Balance at 30 September 2023 715.948.430 613.921.281 5.479.440 619.400.721
Balance at 1 April 2024 715.948.430 613.921.281 5.479.440 619.400.721
Balance at 30 September 2024 715.948.430 613.921.281 5.479.440 619.400.721

Authorised capital

During the period the Company's authorised capital was increased from 675.735.610 ordinary shares of nominal value of €1 each to 1.000.000.000 ordinary shares of nominal value of €1 each by creating 324.264.390 new ordinary shares of nominal value of €1 each.

Upon incorporation on 14 February 2019 the Company issued to the subscribers of its Memorandum of Association 25.630 ordinary shares of UΚ£1 each at par.

21. Other reserves

Balance at 1 April 2023 Non
refundable
advances
UΚ£
38.295.998
Translation
reserve
UΚ£
11.601.251
Total
UΚ£
49.897.249
Exchange difference arising on the translation and
consolidation of foreign companies' financial statements
Utilization of advances from shareholders for increase in share
capital
-
(38.295.998)
2.145.327
-
2.145.327
(38.295.998)
Balance at 30 September 2023 - 13.746.578 13.746.578
Balance at 1 April 2024
Exchange difference arising on the translation and
consolidation of foreign companies' financial statements
Non-refundable advances from shareholders
17.015.539
-
131.043.692
10.372.599
1.987.614
-
27.388.138
1.987.614
131.043.692
Balance at 30 September 2024 148.059.231 12.360.213 160.419.444

The non-refundable advances from shareholders are made available to the Board of Directors for future increases of the share capital of the Company.

Exchange differences relating to the translation of the net assets of the Group's foreign operations from their functional currencies to the Group's presentation currency (i.e. Swiss franc) are recognised directly in other comprehensive income and accumulated in the foreign currency translation reserve. Gains and losses on hedging instruments that are designated as hedges of net investments in foreign operations are included in the foreign currency translation reserve. Exchange differences previously accumulated in the foreign currency translation reserve are reclassified to profit or loss on the disposal or partial disposal of the foreign operation.

NOTES TO THE CONSOLIDATED UNAUDITED FINANCIAL STATEMENTS For the period from 1 April 2024 to 30 September 2024

22. Borrowings

30/09/2024
UΚ£
30/09/2023
UΚ£
Current borrowings
Bank overdrafts (Note 19) 144 93
Non-current borrowings
Other loans 8.461.067 8.561.128
Total 8.461.211 8.561.221

The Group through one of its subsidiaries was granted 2 loans from Nike Shipholder Corporation on 28 December 2016 and 7 May 2018 respectively classified under other loans. The first loan bears interest of 1.5% per annum and is repayable with 10 annual installments of CHF 1.162.500 each, on December 29 of each year. The second loan bears interest of 1.5% per annum and is repayable with 6 annual installments of CHF 500.000 each on December 29 of each year.

On 3 January 2022, the Company entered into supplement agreements to the other loan agreements, where a grace period of 2 years was agreed by the parties of the loan agreements for the repayment of the principal and interest instalments.

The Group through two of its subsidiaries was granted two bank loans. The bank loan 1 was repayable by quarterly installments of CHF 500.000 for each year and bears interest of Libor plus an agreed margin and a minimum of 0,71%, payable quarterly. The bank loan 2 was a Lombart credit facility repayable on demand which bears interest of 0,40% payable quarterly. Both bank loans were fully repaid during the period.

Maturity of non-current borrowings:

30/09/2024 30/09/2023
UΚ£ UΚ£
Between one to two years 6.035.800 6.035.800
Between two and five years 2.425.267 2.525.328
8.461.067 8.561.128

The weighted average effective interest rates at the reporting date were as follows:

30/09/2024 30/09/2023
% %
Bank loan 1 - -
Bank loan 2 - -
Other loans 1,5 1,5

NOTES TO THE CONSOLIDATED UNAUDITED FINANCIAL STATEMENTS For the period from 1 April 2024 to 30 September 2024

23. Lease liabilities

30/09/2023 30/09/2022
UΚ£ UΚ£
5.813.639 5.841.146
(88.773) (85.851)
57.959 58.344
5.782.825 5.813.639
Minimum
lease
Minimum
lease
payments Interest Principal payments Interest Principal
30/09/2024 30/09/2024 30/09/2024 30/09/2023 30/09/2023 30/09/2023
UΚ£ UΚ£ UΚ£ UΚ£ UΚ£ UΚ£
Within one year 137.035 115.572 21.463 145.471 69.000 76.471
Between one and five
years 682.668 572.009 110.659 78.187 - 78.187
After five years 13.279.321 7.628.618 5.650.703 5.658.981 - 5.658.981
14.099.024 8.316.199 5.782.825 5.882.639 69.000 5.813.639

During 2014 the Group through one of its newly acquired subsidiary acquired leasehold property in London. The leasehold period is 109 years and expires on 17 June 2123 and the leasehold agreement provides for a yearly payment of ground rent. entered into a lease rental agreement for a property in London.

The fair values of lease obligations approximate to their carrying amounts as presented above.

The Group's obligations under leases are secured by the lessors' title to the leased assets.

24. Trade and other payables

30/09/2024 30/09/2023
UΚ£ UΚ£
Trade payables 465.719 435.679
Prepayments from tenants 2.718.776 586.436
VAT 1.048.858 219.686
Shareholders' current accounts - credit balances (Note 28.4) 45.178 45.178
Payables to parent (Note 28.2) 1.272 1.753
Accruals 581.738 723.241
Other creditors 39.085 149
Deferred income 4.585.447 2.009.990
Payables to other related parties (Note 28.2) 3.231 4.374
9.489.304 4.026.486

The fair values of trade and other payables due within one year approximate to their carrying amounts as presented above.

25. Deferred income

30/09/2024 30/09/2023
UΚ£ UΚ£
Client advances 1.781.611 1.817.876
1.781.611 1.817.876

NOTES TO THE CONSOLIDATED UNAUDITED FINANCIAL STATEMENTS For the period from 1 April 2024 to 30 September 2024

26. Current tax liabilities

30/09/2024 30/09/2023
UΚ£ UΚ£
Corporation tax (17.539) 7.607
Special contribution for defence (16.433) 330
Overseas tax 2.587.020 2.317.055
2.553.048 2.324.992

27. Operating Environment of the Group

The geopolitical situation in Eastern Europe intensified on 24 February 2022 with the commencement of the conflict between Russia and Ukraine. As at the date of authorising these consolidated financial statements for issue, the conflict continues to evolve as military activity proceeds. In addition to the impact of the events on entities that have operations in Russia, Ukraine, or Belarus or that conduct business with their counterparties, the conflict is increasingly affecting economies and financial markets globally and exacerbating ongoing economic challenges.

The European Union as well as United States of America, Switzerland, United Kingdom and other countries imposed a series of restrictive measures (sanctions) against the Russian and Belarussian government, various companies, and certain individuals. The sanctions imposed include an asset freeze and a prohibition from making funds available to the sanctioned individuals and entities. In addition, travel bans applicable to the sanctioned individuals prevents them from entering or transiting through the relevant territories. The Republic of Cyprus, Switzerland and the UK have adopted the United Nations and European Union measures. The rapid deterioration of the conflict in Ukraine may as well lead to the possibility of further sanctions in the future.

Emerging uncertainty regarding global supply of commodities due to the conflict between Russia and Ukraine conflict may also disrupt certain global trade flows and place significant upwards pressure on commodity prices and input costs as seen through early March 2022. Challenges for companies may include availability of funding to ensure access to raw materials, ability to finance margin payments and heightened risk of contractual non-performance.

The Israel-Gaza conflict has escalated significantly after Hamas launched a major attack on 7 October 2023. Companies with material subsidiaries, operations, investments, contractual arrangements or joint ventures in the War area might be significantly exposed. Entities that do not have direct exposure to Israel and Gaza Strip are likely to be affected by the overall economic uncertainty and negative impacts on the global economy and major financial markets arising from the war. This is a volatile period and situation, however, the Group is not directly exposed. Management will continue to monitor the situation closely and take appropriate actions when and if needed.

The impact on the Group largely depends on the nature and duration of uncertain and unpredictable events, such as further military action, additional sanctions, and reactions to ongoing developments by global financial markets.

The financial effect of the current crisis on the global economy and overall business activities cannot be estimated with reasonable certainty at this stage, due to the pace at which the conflict prevails and the high level of uncertainties arising from the inability to reliably predict the outcome.

The Group has no direct exposure to Russia, Ukraine and Belarus as the group owns no properties in these countries and none of its properties are rendered out to tenants from these countries. However, the company has invested in debentures issued by two Russian Banks which are, since the war started, not traded in the Moscow Stock Exchange and are in default for payment of interest to the debenture holders. The specific investments have already been fully impaired in the financial statements and have reduced the Group's profitability.

NOTES TO THE CONSOLIDATED UNAUDITED FINANCIAL STATEMENTS For the period from 1 April 2024 to 30 September 2024

27. Operating Environment of the Group (continued)

Furthermore, the increasing energy prices, fluctuations in foreign exchange rates, unease in stock market trading, rises in interest rates, supply chain disruptions and intensified inflationary pressures may indirectly impact the operations of the Group. The indirect implications will depend on the extent and duration of the crisis and remain uncertain.

Management has considered the unique circumstances and the risk exposures of the Group and has concluded that there will be no further significant impact in the Group's profitability position. The event is not expected to have an immediate material impact on the business trading operations. Management will continue to monitor the situation closely and will assess the possible impact on the Group's activities in case the crisis becomes prolonged.

28. Related party transactions

As of 16 May 2023, the Company's share capital is held by the Cyprus companies Kosmima Holdings Limited, Oceanroutes Shipping and Trading Limited, Seas of Levante Shipping and Financing Limited, Medventure Shipping Corporation Limited and Medvanguard Shipping Corporation Limited which own 10,82407%, 7,19629%, 7,19629%, 7,19629% and 7,19629% (before 16 May 2023 they owned 10,82407%, 7,19629%, 7,19629%, 7,19629% and 7,19629% respectively) and by the non-Cyprus tax resident individuals Mr. Athanasios Martinos, Mrs Marina Martinou, Mrs Marina Mathilde Martinou, Mrs Georgia Chatzi and Mrs Elli Ioannou Chatzi who own 21,95930%, 21,777267%, 21,88950%, 0,00140% and 0,00140% respectively (before 16 May 2023 they owned 20,43396%, 20,22501%, 19,72866%, 0,00157% and 0,00157% respectively)

The following transactions were carried out with related parties:

28.1 Receivables from related parties (Note 18)

30/09/2024 30/09/2023
Name Nature of transactions UΚ£ UΚ£
Primescope Holdings Ltd Finance 3.694 -
Intertime Holdings Ltd Finance 3.694 -
7.388 -

The receivables from related parties were provided interest free and there was no specified repayment date.

28.2 Payables to related parties (Note 24)

30/09/2024 30/09/2023
Name Nature of transactions UΚ£ UΚ£
Easternmed Real Estate ManagementLtd Finance 4.503 6.127
4.503 6.127

The payables to related parties were provided interest free and there was no specified repayment date.

NOTES TO THE CONSOLIDATED UNAUDITED FINANCIAL STATEMENTS For the period from 1 April 2024 to 30 September 2024

28. Related party transactions (continued)

28.3 Shareholders' current accounts - debit balances (Note 18)

30/09/2024 30/09/2023
UΚ£ UΚ£
Seas of Levante Shipping and Financing Limited 25.441 19.404
Medvanguard Shipping corporation Limited 25.441 19.404
Medventure Shipping Corporation Limited 25.440 19.403
Oceanroutes Shipping and Trading Limited 25.440 19.403
Marina Martinou, Marina Martinou and Marina Mathilde Martinou - 12.049.403
101.762 12.127.017

On 16 May 2023, the company through a shareholders' contribution, proceeded with the acquisition of the Cyprus company Medprestige Limited and the subsequent capitalisation of the non-refundable advances through the simultaneous issue and allotment of new shares to the shareholders, as per the relevant announcement issued by the company. It was observed however, after the issuance and allotment of the new shares, that the value of the new shares allotted to the shareholders was by UK Sterling 12.049.403 higher than intended. This fact created temporarily a debit balance in the shareholders' current account with the company of the same amount as at the date of these financial statements. On 30 November 2023, the shareholders deposited in the company's bank account an amount of Swiss Franc 29.750.000 and the debit balance in the shareholders' current account with the company was eliminated.

The shareholders' current accounts are interest free, and have no specified repayment date.

28.4 Shareholders' current accounts - credit balances (Note 24)

30/09/2024 30/09/2023
UΚ£ UΚ£
Shareholders' current accounts 45.178 45.178

The shareholders' current accounts are interest free, and have no specified repayment date.

29. Contingent liabilities

The Group had no contingent liabilities as at 30 September 2024.

30. Commitments

The Group had no capital or other commitments as at 30 September 2024.

31. Events after the reporting period

As explained in note 27 the geopolitical situation in Eastern Europe intensified on 24 February 2022, with the commencement of the conflict between Russia and Ukraine. As at the date of authorising these financial statements for issue, the conflict continues to evolve as military activity proceeds and additional sanctions are imposed.

Depending on the duration of the conflict between Russia and Ukraine, and continued negative impact on economic activity, the Group might experience negative results, and liquidity restraints and incur impairments on its assets on 1 October 2023 onwards which relate to new developments that occurred after the reporting period.

The exact impact on the Group's activities from 1 October 2023 and thereafter cannot be predicted.

DETAILED UNAUDITED CONSOLIDATED INCOME STATEMENT For the period from 1 April 2024 to 30 September 2024

Page 1/04/2024-
30/09/2024
UΚ£
1/04/2023-
30/09/2023
UΚ£
Revenue
Net rent receivable
29 7.063.111 4.998.240
Gross profit 7.063.111 4.998.240
Other operating income
Compensation for early termination of rental contracts
Excess of Group's interest in the net fair value of the subsidiaries'
955.411 601.178
assets and liabilities over cost on acquisition
Reversal of impairment - trade receivables
-
167.021
508.228
-
8.185.543 6.107.646
Operating expenses
Administration expenses
Selling and distribution expenses
30
30
(217.312)
(204.532)
(204.918)
(1.025)
7.763.699 5.901.703
Other operating expenses
Impairment charge - trade receivables - 3.995
Operating profit 7.763.699 5.905.698
Finance income
Finance costs
31
31
224.090
(128.662)
810.873
(134.197)
Net profit for the period before tax 7.859.127 6.582.374

RENTAL INCOME

For the period from 1 April 2024 to 30 September 2024

1/04/2024-
30/09/2024
UΚ£
1/04/2023-
30/09/2023
UΚ£
Rental income
Rent receivable
Other income from properties
12.635.592
48.938
10.126.134
77.499
12.684.530 10.203.633
Rental expenses
Property rates and taxes 160.192 92.748
Energy expenses 97.902 46.574
Repairs and maintenance 3.608.176 3.853.458
Electricity 182.436 379.166
Insurance 41.245 43.904
Sundry expenses 134.306 142.109
Other professional fees 767.775 317.106
Management fees 529.772 294.493
Salaries and wages abroad 99.615 35.835
5.621.419 5.205.393
Net rent receivable 7.063.111 4.998.240

ADMINISTRATION EXPENSES

For the period from 1 April 2024 to 30 September 2024

1/04/2024-
30/09/2024
UΚ£
1/04/2023-
30/09/2023
UΚ£
Administration expenses
Staff salaries 3.847 -
Expense relating to variable lease payments (2.650) (1.131)
Common expenses 410 495
Annual levy - 442
Electricity 1.125 2.812
Water supply and cleaning 84 909
Repairs and maintenance - 254
Sundry expenses (74) 8.243
Telephone and postage - 45
Stationery and printing 296 -
Auditors' remuneration - current period 9.320 -
Auditors' remuneration for other non-audit services 370 20.631
Auditors' remuneration - prior years (53) (870)
Accounting fees (6.250) 1.801
Legal fees 2.151 6.804
Other professional fees 150.744 101.855
Management and performance fees (1.096) -
Overseas travelling 12.914 30.452
Travelling 14.047 -
Depreciation of right-of-use assets 31.802 31.970
Depreciation 325 206
217.312 204.918
1/04/2024- 1/04/2023-
30/09/2024 30/09/2023
UΚ£ UΚ£
Selling and distribution expenses
Advertising 588 1.025
Bad debts written off 203.944 -
204.532 1.025

FINANCE INCOME/COSTS

For the period from 1 April 2024 to 30 September 2024

1/04/2024-
30/09/2024
UΚ£
1/04/2023-
30/09/2023
UΚ£
Finance income
Bank interest
Realised foreign exchange profit
Unrealised foreign exchange profit
Other finance income
139.436
266
84.388
-
50.095
755.087
4.794
897
224.090 810.873
Finance costs
Interest expense
Loan interest
Interest expense on lease liabilities
62.831
57.959
63.426
58.344
Sundry finance expenses
Bank charges
7.772 12.427
Net foreign exchange losses
Realised foreign exchange loss
100 -
128.662 134.197

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