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REGISTERED NUMBER:
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STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
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FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST DECEMBER 2016 |
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FOR |
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PALANTIR UK LIMITED |
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REGISTERED NUMBER:
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STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
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FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST DECEMBER 2016 |
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FOR |
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PALANTIR UK LIMITED |
PALANTIR UK LIMITED (REGISTERED NUMBER: 04612415) |
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CONTENTS OF THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31ST DECEMBER 2016 |
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Page |
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Company Information | 1 |
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Strategic Report | 2 |
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Report of the Directors | 3 |
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Report of the Independent Auditors | 5 |
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Statement of Comprehensive Income | 7 |
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Balance Sheet | 8 |
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Statement of Changes in Equity | 9 |
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Cash Flow Statement | 10 |
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Notes to the Financial Statements | 11 |
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PALANTIR UK LIMITED |
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COMPANY INFORMATION |
FOR THE YEAR ENDED 31ST DECEMBER 2016 |
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DIRECTORS: |
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SECRETARY: |
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REGISTERED OFFICE: |
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REGISTERED NUMBER: |
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AUDITORS: |
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Registered Auditors |
10 Town Quay Wharf |
Abbey Road |
Barking |
Essex |
IG11 7BZ |
PALANTIR UK LIMITED (REGISTERED NUMBER: 04612415) |
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STRATEGIC REPORT |
FOR THE YEAR ENDED 31ST DECEMBER 2016 |
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The directors present their strategic report for the year ended 31st December 2016. |
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PRINCIPAL ACTIVITIES AND REVIEW OF BUSINESS |
The principal activity of the company during the year was the supply of software and consultancy. |
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RESULTS AND DIVIDENDS |
The loss for the year, after taxation, amounted to £1,223,648. The directors have not recommended a |
dividend. |
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FINANCIAL RISK MANAGEMENT |
The principal current assets of the business are cash or assets that are converted into cash within a short |
period of time and the directors ensure that the business maintains surplus cash reserves to minimise |
liquidity risk. The company's income stream is based on pre-agreed contractual arrangements with clients |
thereby reducing price risk and credit risk. Conversion of current assets into cash in accordance with the |
contractual arrangements is closely monitored. The company is financed by its parent company which has |
subordinated the debt owed to it to claims by third parties. |
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The company continually monitors its current and future capital requirements through its risk management |
framework and financial projections. |
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KEY PERFORMANCE INDICATORS |
Given the nature of the business, the company's directors are of the opinion that analysis using Key |
Performance Indicators (KPIs) is not necessary for an understanding of the development, performance or |
position of the business. |
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ON BEHALF OF THE BOARD: |
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PALANTIR UK LIMITED (REGISTERED NUMBER: 04612415) |
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REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31ST DECEMBER 2016 |
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The directors present their report with the financial statements of the company for the year ended 31st December 2016. |
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PRINCIPAL ACTIVITY |
The principal activity of the company during the year was software supply and consultancy. |
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DIVIDENDS |
No dividends will be distributed for the year ended 31st December 2016. |
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DIRECTORS |
The directors shown below have held office during the whole of the period from 1st January 2016 to the date |
of this report. |
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STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial |
statements in accordance with applicable law and regulations. |
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Company law requires the directors to prepare financial statements for each financial year. Under that law |
the directors have 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 directors must not approve the financial statements unless they are 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 directors are required to: |
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- | select suitable accounting policies and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
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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. |
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The directors are 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 them to ensure that the financial statements comply with the Companies Act 2006. They |
are 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. |
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STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the |
Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the 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. |
PALANTIR UK LIMITED (REGISTERED NUMBER: 04612415) |
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REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31ST DECEMBER 2016 |
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AUDITORS |
The auditors were appointed on 3rd September 2014. |
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The auditors, Garrod Beckett & Co. Ltd., will be proposed for re-appointment at the forthcoming Annual |
General Meeting. |
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ON BEHALF OF THE BOARD: |
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REPORT OF THE INDEPENDENT AUDITORS TO THE SHAREHOLDERS OF |
PALANTIR UK LIMITED |
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We have audited the financial statements of Palantir UK Limited for the year ended 31st December 2016 on |
pages seven to sixteen. The financial reporting framework that has been applied in their preparation is |
applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted |
Accounting Practice), including Financial Reporting Standard 102 'The Financial Reporting Standard |
applicable in the UK and Republic of Ireland'. |
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This report is made solely to the company's shareholders, as a body, in accordance with Chapter 3 of Part 16 |
of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's |
shareholders those matters we are required to state to them in a Report of the Auditors and for no other |
purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other |
than the company and the company's shareholders as a body, for our audit work, for this report, or for the |
opinions we have formed. |
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Respective responsibilities of directors and auditors |
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Scope of the audit of the financial statements |
An audit involves obtaining evidence about the amounts and disclosures in the financial statements sufficient |
to give reasonable assurance that the financial statements are free from material misstatement, whether |
caused by fraud or error. This includes an assessment of: whether the accounting policies are appropriate to |
the company's circumstances and have been consistently applied and adequately disclosed; the |
reasonableness of significant accounting estimates made by the directors; and the overall presentation of the |
financial statements. In addition, we read all the financial and non-financial information in the Strategic |
Report and the Report of the Directors to identify material inconsistencies with the audited financial |
statements and to identify any information that is apparently materially incorrect based on, or materially |
inconsistent with, the knowledge acquired by us in the course of performing the audit. If we become aware |
of any apparent material misstatements or inconsistencies we consider the implications for our report. |
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Opinion on financial statements |
In our opinion the financial statements: |
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give a true and fair view of the state of the company's affairs as at 31st December 2016 and of its loss for
the year then ended; |
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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. |
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Opinion on other matter prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of our audit, the information given in the |
Strategic Report and the Report of the Directors for the financial year for which the financial statements are |
prepared is consistent with the financial statements, and has been prepared in accordance with applicable |
legal requirements. In the light of the knowledge and understanding of the company and its environment, we |
have not identified any material misstatements in the Strategic Report or the Report of the Directors. |
REPORT OF THE INDEPENDENT AUDITORS TO THE SHAREHOLDERS OF |
PALANTIR UK LIMITED |
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Matters on which we are required to report by exception |
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: |
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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 directors' remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
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for and on behalf of
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Registered Auditors |
10 Town Quay Wharf |
Abbey Road |
Barking |
Essex |
IG11 7BZ |
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PALANTIR UK LIMITED (REGISTERED NUMBER: 04612415) |
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STATEMENT OF COMPREHENSIVE INCOME |
FOR THE YEAR ENDED 31ST DECEMBER 2016 |
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2016 | 2015 |
Notes | £ | £ |
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TURNOVER | 3 |
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Cost of sales |
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GROSS PROFIT |
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Administrative expenses |
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OPERATING LOSS | 6 | ( |
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Interest receivable and similar income |
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LOSS BEFORE TAXATION | ( |
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Tax on loss | 8 |
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LOSS FOR THE FINANCIAL YEAR | ( |
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OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE
INCOME FOR THE YEAR |
( |
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( |
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PALANTIR UK LIMITED (REGISTERED NUMBER: 04612415) |
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BALANCE SHEET |
31ST DECEMBER 2016 |
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2016 | 2015 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 10 |
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CURRENT ASSETS |
Debtors | 11 |
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Cash at bank |
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CREDITORS |
Amounts falling due within one year | 12 |
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NET CURRENT LIABILITIES | ( |
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TOTAL ASSETS LESS CURRENT
LIABILITIES |
( |
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CAPITAL AND RESERVES |
Called up share capital | 13 |
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Retained earnings | 14 | ( |
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SHAREHOLDERS' FUNDS | ( |
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The financial statements were approved by the Board of Directors on
on its behalf by: |
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PALANTIR UK LIMITED (REGISTERED NUMBER: 04612415) |
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STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 31ST DECEMBER 2016 |
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Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
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Balance at 1st January 2015 |
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( |
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Changes in equity |
Total comprehensive income | - | ( |
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Balance at 31st December 2015 |
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( |
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Changes in equity |
Total comprehensive income | - | ( |
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Balance at 31st December 2016 |
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( |
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PALANTIR UK LIMITED (REGISTERED NUMBER: 04612415) |
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CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31ST DECEMBER 2016 |
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2016 | 2015 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 17 | ( |
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Tax paid | ( |
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Net cash from operating activities | ( |
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Cash flows from investing activities |
Purchase of tangible fixed assets | ( |
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Interest received |
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Net cash from investing activities | ( |
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(Decrease)/increase in cash and cash equivalents | ( |
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Cash and cash equivalents at
beginning of year |
18 |
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1,523,802 |
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Cash and cash equivalents at end of
year |
18 |
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2,348,887 |
PALANTIR UK LIMITED (REGISTERED NUMBER: 04612415) |
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NOTES TO THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31ST DECEMBER 2016 |
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1. | STATUTORY INFORMATION |
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Palantir UK Limited is a
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company's registered number and registered office address can be found on the Company Information |
page. |
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2. | ACCOUNTING POLICIES |
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Basis of preparing the financial statements |
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Turnover |
1.1 The company provides consultancy which is charged on the time incurred and is billed in the |
months following. |
1.2 The company enters into licence contracts with clients for a minimum of one year. The income for |
these contracts is taken to the revenue on a month by month basis from the date of sale. |
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Intangible assets |
Intangible assets are initially measured at cost. After initial recognition, intangible assets are |
measured at cost less any accumulated amortisation and any accumulated impairment losses. |
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Trademarks and patents were amortised evenly over their estimated useful life of four years. |
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Software Licences |
The company purchases licences which are the basis of the licence sales (see 1.2 above). The |
expenditure on the licence is written off on a month by month basis as a cost of sale. |
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Tangible fixed assets and depreciation |
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Leasehold | - |
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Equipment | - |
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Fixtures and fittings | - |
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Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of |
Comprehensive Income, except to the extent that it relates to items recognised in other comprehensive |
income or directly in equity. |
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Current or deferred taxation assets and liabilities are not discounted. |
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Current tax is recognised at the amount of tax payable using the tax rates and laws that have been |
enacted or substantively enacted by the balance sheet date. |
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PALANTIR UK LIMITED (REGISTERED NUMBER: 04612415) |
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NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31ST DECEMBER 2016 |
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2. | ACCOUNTING POLICIES - continued |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at |
the balance sheet date. |
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Timing differences arise from the inclusion of income and expenses in tax assessments in periods |
different from those in which they are recognised in financial statements. Deferred tax is measured |
using tax rates and laws that have been enacted or substantively enacted by the year end and that are |
expected to apply to the reversal of the timing difference. |
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Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable |
that they will be recovered against the reversal of deferred tax liabilities or other future taxable |
profits. |
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Foreign currencies |
Monetary assets and liabilities denominated in foreign currencies are translated into sterling at the |
rates of exchange prevailing at the balance sheet date. Transactions in foreign currencies are recorded |
at the rate prevailing of the date of transactions. All exchange differences are taken to the Profit and |
Loss account. |
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Pensions |
The pension costs charged in the financial statements represent the contribution payable by the |
company during the year. |
The regular cost of providing retirement pensions and related benefits is charged to the profit and loss |
account over the employees' service lives on the basis of a constant percentage of earnings. |
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3. | TURNOVER |
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Turnover attributable to geographical markets outside the United Kingdom amounted to 87% for the |
year (2015: 61%). |
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4. | EMPLOYEES AND DIRECTORS |
2016 | 2015 |
£ | £ |
Wages and salaries |
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Social security costs |
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Other pension costs |
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The average monthly number of employees during the year was as follows: |
2016 | 2015 |
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Consultancy staff |
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Administration staff |
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PALANTIR UK LIMITED (REGISTERED NUMBER: 04612415) |
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NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31ST DECEMBER 2016 |
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5. | DIRECTORS' EMOLUMENTS |
2016 | 2015 |
£ | £ |
Directors' remuneration |
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Two of the directors' salaries amounting to £250,000 (2015: £250,000) were paid directly by the |
parent company. |
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6. | OPERATING LOSS |
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The operating loss is stated after charging/(crediting): |
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2016 | 2015 |
£ | £ |
Depreciation - owned assets |
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Foreign exchange differences | ( |
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7. | AUDITORS' REMUNERATION |
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The provision for Auditor's remuneration for auditing 2016 financial statements is £25,000 (2015: |
£20,000), the Auditor's fees for taxation and other non-audit services amount to £40,272 (2015: |
£36,658). |
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8. | TAXATION |
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Analysis of the tax charge |
The tax charge on the loss for the year was as follows: |
2016 | 2015 |
£ | £ |
Current tax: |
Unrecoverable withholding tax |
from overseas operations |
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Tax - Prior year adjustment | ( |
) |
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Tax on loss |
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9. | PENSION COSTS |
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The company operates a defined contribution pension scheme. The assets of the scheme are held |
separately from those of the company in an independently administered fund. |
The pension charge represents contributions due from the company and amounted to £177,398 (2015: |
£180,057). |
PALANTIR UK LIMITED (REGISTERED NUMBER: 04612415) |
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NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31ST DECEMBER 2016 |
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10. | TANGIBLE FIXED ASSETS |
Fixtures |
and |
Leasehold | Equipment | fittings | Website | Totals |
£ | £ | £ | £ | £ |
COST |
At 1st January 2016 |
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Additions |
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Disposals |
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At 31st December 2016 |
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DEPRECIATION |
At 1st January 2016 |
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Charge for year |
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Eliminated on disposal |
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( |
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( |
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At 31st December 2016 |
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NET BOOK VALUE |
At 31st December 2016 |
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At 31st December 2015 |
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11. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2016 | 2015 |
£ | £ |
Trade debtors |
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Other debtors |
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VAT |
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Prepayments |
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Prepayments (deferred costs) |
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Accrued income |
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12. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2016 | 2015 |
£ | £ |
Trade creditors |
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Amounts owed to group undertakings |
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Social security and other taxes |
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VAT |
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Other creditors |
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Accruals |
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Deferred income |
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PALANTIR UK LIMITED (REGISTERED NUMBER: 04612415) |
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NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31ST DECEMBER 2016 |
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13. | CALLED UP SHARE CAPITAL |
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Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2016 | 2015 |
value: | £ | £ |
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Ordinary | £1 |
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14. | RESERVES |
Retained |
earnings |
£ |
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At 1st January 2016 | ( |
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Deficit for the year | ( |
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At 31st December 2016 | ( |
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15. | ULTIMATE PARENT COMPANY |
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On the 12th June 2017 the ultimate parent company changed from Palantir Economic Solutions |
Limited, a company incorporated in The Commonwealth of The Bahamas to Palantir Solutions |
Incorporated, a company incorporated in Delaware, United States of America. |
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16. | RELATED PARTY DISCLOSURES |
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PALANTIR UK LIMITED (REGISTERED NUMBER: 04612415) |
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NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31ST DECEMBER 2016 |
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17. |
RECONCILIATION OF LOSS BEFORE TAXATION TO CASH GENERATED FROM
OPERATIONS |
2016 | 2015 |
£ | £ |
Loss before taxation | ( |
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Depreciation charges |
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Increase/(decrease) in group undertaking |
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Finance income | ( |
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(674,811 | ) | (569,744 | ) |
(Increase)/decrease in trade and other debtors | ( |
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(Decrease)/increase in trade and other creditors | ( |
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Cash generated from operations | ( |
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18. | CASH AND CASH EQUIVALENTS |
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The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in |
respect of these Balance Sheet amounts: |
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Year ended 31st December 2016 |
31/12/16 | 1/1/16 |
£ | £ |
Cash and cash equivalents | 1,178,202 | 2,348,887 |
Year ended 31st December 2015 |
31/12/15 | 1/1/15 |
£ | £ |
Cash and cash equivalents | 2,348,887 | 1,523,802 |
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19. | GOING CONCERN |
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Palantir Economic Solutions Limited, the parent company as at 31st December 2016 subordinated its |
debt to the claims of the third party creditors of Palantir UK Limited. These undertakings result in the |
directors' confidence that the company will meet its liabilities and will continue in operational |
existence for the foreseeable future and have therefore used the going concern basis in preparing the |
financial statements. |
The ultimate parent company changed to Palantir Solutions Incorporated on 12th June 2017. Palantir |
Solutions Incorporated has confirmed the continued subordination of the debt from the 12th June |
2017. |