REGISTERED NUMBER: |
STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
FOR |
OZONE PROJECT LIMITED |
REGISTERED NUMBER: |
STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
FOR |
OZONE PROJECT LIMITED |
OZONE PROJECT LIMITED (REGISTERED NUMBER: 11471303) |
CONTENTS OF THE FINANCIAL STATEMENTS |
for the year ended 31 December 2022 |
Page |
Company Information | 1 |
Strategic Report | 2 |
Report of the Directors | 7 |
Report of the Independent Auditors | 8 |
Income Statement | 10 |
Other Comprehensive Income | 11 |
Balance Sheet | 12 |
Statement of Changes in Equity | 13 |
Cash Flow Statement | 14 |
Notes to the Cash Flow Statement | 15 |
Notes to the Financial Statements | 16 |
OZONE PROJECT LIMITED |
COMPANY INFORMATION |
for the year ended 31 December 2022 |
DIRECTORS: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Chartered Accountants |
Statutory Auditor |
88 Crawford Street |
London |
W1H 2EJ |
OZONE PROJECT LIMITED (REGISTERED NUMBER: 11471303) |
STRATEGIC REPORT |
for the year ended 31 December 2022 |
REVIEW OF BUSINESS |
Ozone was founded in 2018 as a joint venture between four of the largest UK news publishers (News UK, Reach plc, Guardian News and Media and Telegraph Media Group) as a tech and data-led advertising platform, built for brands by publishers. |
Ozone has since grown its publisher portfolio and is now one of the UK's biggest advertising platforms, reaching 42.3m adults every month (Ipsos Iris, September 2022), across 250+ leading online publisher domains, with highly engaging display, video and rich media formats. Focussing primarily on premium, editorially-led advertising environments, the publishers within Ozone's portfolio generate significant reader attention for both their content and advertisers. Built on an unrivalled wealth of first-party, privacy-compliant publisher data, Ozone's unique cross-publisher view of user reading patterns powers the platform's advertising solutions. |
Ozone's mission is to create a more sustainable future for ad-funded journalism and editorial content. Having reached advertiser-desired scale, Ozone's focus is now on audience depth and diversity. Working with a broader set of publishers including Asian Media Group, and Pink News, Ozone is delivering technology-led partnerships that create long-term impact for publishers who cater for the underrepresented and often marginalised communities. |
Launched following the introduction of GDPR, Ozone was created with a 'privacy by design' approach, prioritising the protection of consumers' personal data. While regulation sets a baseline, how Ozone applies data ethics defines what it does, and more importantly doesn't do. Ozone's publishers spend a huge amount of resources and effort building trusted relationships with their readers, and Ozone is focused on ensuring the underlying data is not leaked from the publisher ecosystem. |
Ozone uses AI-powered analytics and purpose-built technology to optimise returns in programmatic advertising auctions. In 2022, Ozone saw advertising revenue increase by 61%, outpacing the 7.4% AA WARC forecast for online display advertising by more than eight-fold. |
On the advertising side of Ozone's business, brand count increased by 20% year on year, with retained brands spending 43% more on average, per campaign. The introduction of new display and video formats - such as Ozone Stories and Premium Only Video pre-roll - has helped Ozone further diversify trading partnerships across network agency groups and independents alike. |
Strong growth was also seen on the publisher side with the likes of BuzzFeed UK, HuffPost UK, Mumsnet, Autovia and Asian Media Group joining the UK alliance, and numerous technology partnerships signed with publishers across the world. Ozone also launched its Biddable Management Service to help small and medium sized publishers, or UK arms of international publishers, increase their total programmatic revenues. |
In the past year Ozone has won many industry accolades including Media Week's Sales Team of the Year and Media Brand of the Year, The Media Leader's Technology Company of the Year, The Marketing Society's Best Scale-Up Business and Digiday's Best Publisher Platform. |
The great year of business performance has now been underpinned by additional investment from Ozone's existing shareholders, enabling the business to fast-track development of its product and service offering for advertisers and tools and analytics for publishers. |
OZONE PROJECT LIMITED (REGISTERED NUMBER: 11471303) |
STRATEGIC REPORT |
for the year ended 31 December 2022 |
KEY FINANCIAL METRICS |
2022 | 2021 | Variance |
Turnover | £31.6m | £24.2m | £7.4m |
Gross Profit margin | 14.4% | 18.9% | (4.5%) |
EBITDA | (£0.3m) | £0.7m | (£1m) |
EBITDA margin | (1%) | 3% | (4%) |
Operating Profit/(Loss) | (£1.5m) | £0.1m | (£1.6m) |
Operating Profit/(Loss) margin | (5%) | 1% | (6%) |
In 2022, Ozone grew turnover by 31% year on year, achieved through the introduction of new products and services, new formats and by optimising AI-based technology. |
Ozone has made significant investments in staff, technology and signing publisher partners during 2022 in order to establish the business and drive future revenues. This has had an impact on profitability during the year, however management expects Ozone to be profitable from 2023 onwards. |
Investment in products and data capabilities |
Ozone will continue its investment in new products and data capabilities throughout 2023, notably in the following areas of the business: |
* Ozone Audience Manager (OAM): |
OAM insights provides planners, both from within Ozone and its agency and advertisers' customers, with a range of data views to understand where audiences can be targeted on both a contextual and behavioural basis. In 2022, Ozone launched the capability for advertisers and agencies to activate deal campaigns directly from within the OAM interface. |
* Smart Bidstream: |
Smart Bidstream is a unique technology built by Ozone that can be easily integrated into its publisher's ecosystem. It aims to maximise revenue in programmatic ad auctions with reduced data leakage, while also reducing bid wastage and environmental impact as a result. This technology includes Identify, Ozone's product that is not reliant on third-party cookies and has proven to increase total audience addressability to c.75%. Combined with Demand Path Optimisation and Optimisation features, Ozone Smart Bidstream has been proven to increase total publisher revenues by 15%. |
* BI/Data: |
Ozone continues to invest in data architecture. In 2022, Ozone expanded its data team by hiring three new employees, including a director of data operations. The remit of the team is company-wide data management and architecture, with a focus on maintaining data quality, efficiency and ensuring full privacy compliance. |
* New formats: |
Ozone will continue to invest in new advertising formats that capture more reader attention through both their creative execution and deployment in premium publisher environments. Recent launches included Ozone Stories (Ozone's take on the popular social-media led swipeable format), pre-roll as part of the Premium Only Video offering, and the capability to deliver high impact skins programmatically. |
Analysis using Key Performance Indicators |
Ozone's key financial metrics are to grow both top line turnover, gross profit and EBITDA. This will be achieved by increasing and nurturing relationships with both publishers and advertisers, offering new products for both, whilst maintaining strong cost control. Ozone also aims to improve its cashflow through strong working capital processes. |
Future developments & strategy |
Ozone is confident that its continued investment in product development and growth of both publisher and advertiser range will set it up well for future growth. |
Events since the balance sheet date |
None to report. |
OZONE PROJECT LIMITED (REGISTERED NUMBER: 11471303) |
STRATEGIC REPORT |
for the year ended 31 December 2022 |
PRINCIPAL RISKS AND UNCERTAINTIES FACING THE COMPANY |
Ozone faces a number of operational and financial risks, the most important of which are summarised below. Management reviews and agrees policies to manage risks on a regular basis. |
Strategic risk |
Ozone operates in a dynamic and fast-paced environment with customer and supplier relationships evolving rapidly. New technologies can quickly enter the market, so Ozone continues to invest in product development and adoption. Ozone also focuses on diversifying supply of media inventory and audiences by adding new publishers to the portfolio, which enhances Ozone's offering. |
Reputational risk |
Customer confidence in the brand is important and Ozone strives to continue to deliver outstanding campaign performance to advertisers, as well as offering brand-safe environments. |
Regulatory risk |
Ozone's business model relies on the collection of large volumes of online data. There are regulations in place in the regions it operates in regarding the collection, storage and usage of data. GDPR were implemented in 2018 across the European Economic Area (EEA). Ozone has invested resources to ensure it is compliant with these regulations and have contracted a Data Protection Officer (DPO) and ensure a strong compliance culture throughout the company, with mandatory training for all new joiners. |
Operational risk |
Main operational risks relate to Ozone's relationships with customers and suppliers. Ozone manages risks with customers by providing excellent customer service and has invested in the Client Services team in 2022. Ozone continues to diversify its customer base, and has increased its brand portfolio across a wider range of industries, while also deepening relationships with current customers. |
IT & Information security |
Information security continues to be an important issue for the business. Ozone performs annual audits to ensure processes and procedures are robust. Ozone's new product developments are tested in a secure environment and have strict approval processes before being released on the platform. |
Credit risk |
Ozone mainly operates with large agency groups and DSPs. Ozone has a control system in place to vet any new agency with a credit check, and in the case of new smaller agencies, request a pre-payment prior to their first campaign. Ozone also maintains strong relationships with customers and can identify any credit risk in a timely manner. |
Liquidity risk |
Liquidity risk would arise if Ozone had insufficient funds to meet its day-to-day obligations as they fall due. At the end of the year, Ozone agreed additional funding from its shareholders. |
Risks relating to International affairs |
The directors believe that the main risks associated with the Covid-19 pandemic have decreased and it does not have a material impact on Ozone's performance. The vast majority of restrictions have now been lifted and Ozone has returned to pre-Covid conditions. |
Whilst the invasion of Ukraine by Russia at the beginning of 2022 has had minimal direct impact on Ozone's performance in the year, it has resulted in tougher global economic conditions and high inflation. The directors will continue to monitor how the situation is impacting markets. |
OZONE PROJECT LIMITED (REGISTERED NUMBER: 11471303) |
STRATEGIC REPORT |
for the year ended 31 December 2022 |
SECTION 172(1) STATEMENT |
* Under the Companies Act 2006 (CA 2006), directors have seven general duties to the company. One of these duties, commonly referred to as the 's172 duty', is 'to promote the success of the company'. Part 1 of that duty requires directors to do so 'for the benefit of its members as a whole', and in doing so, to have regard to the following six factors: |
a. the likely consequences of any decisions in the long term; |
b. the interests of the company's employees; |
c. the need to foster the company's business relationships with suppliers, customers and others; |
d. the impact of the company's operations on the community and the environment; |
e. the reputation for a high standard of business conduct; and |
f. the need to act fairly as between members of the company. |
The likely consequences of any decisions in the long term |
Ozone's longer-term future is focused on sustainability, and within the business this applies to three distinct areas: |
* Firstly, Ozone is committed to a sustainable future for ad-funded journalism, where diverse voices can be heard, a free information economy functions well, and the powerful are held to account |
* Next, Ozone is building a sustainable future for digital advertising, where brands communicate with online communities at scale, in brand-safe, attentive, reader-first environments |
* And finally, Ozone is focused on a sustainable future for the planet, where it plays its part in creating more direct and efficient buying paths to minimise wasted energy, costs and the impact of emissions. |
The board meets monthly to discuss performance, opportunities, risks and the strategic vision. |
The interests of the company's employees |
Ozone believes success as a business is achieved by creating a working environment where talented, curious and motivated people are able to thrive. Ozone has four core values which are central to everything it does: |
1) We can build a better future for our industry |
2) Everyone can make a difference |
3) Together is the best way |
4) Be open, authentic, and human |
Ozone has introduced a number of programmes to promote the importance of health and wellbeing to colleagues. Ozone's wellbeing programme covers a range of elements from physical fitness through to mindfulness, and the health benefit programme is delivered through YuLife and Medicash and covers general health, dental health, optometry and alternative therapies to name just a few. |
The Ozone Early Careers programme aims to build and maintain a healthy diverse workforce across all Ozone disciplines, with the first cohort of five school leavers and graduates recently completing their full first year. |
Ozone also has an active social programme within the business, with formal events led by the Social Zone team (e.g. summer sports day, Christmas party), a regular treat trolley in the office on fortnightly Town Hall Thursdays, and complimentary fruit and breakfasts every day. |
The need to foster the company's business relationships with suppliers, customers and others |
The business relationships that Ozone fosters are key to delivering the vision of a sustainable future for ad-funded journalism, working closely with all customers; be they publishers, agencies or advertiser partners. |
Ozone unites its customer-facing proposition under the banner 'Simply Premium'. In short, this means delivering easy access to the tools, services and expertise required to maximise return in the premium web - those editorial-led sites where consumers go to be educated, informed and entertained, and where this engagement translates into better ad results. |
From an agency and advertiser perspective, brand retention has been a critical measure of success, with 32% of Ozone's increased 2022 brand count being brands worked with in 2021. By investing further in the client services team, Ozone has continued to improve on the already high levels of service delivered to these customers. From a publisher perspective, Ozone has continued to scale its publisher portfolio - with total publisher contracts increasing by 71% year on year - with zero churn in partners. |
Ozone delivered an end of year average net promoter score of 70 across both its client and publisher services teams - a whole 20 points above Boston Consulting Group's benchmark for an Excellent score, and 10 points above its score at the mid-point of the year. |
The impact of the company's operations on the community and the environment |
When it comes to sustainability and reducing carbon emissions, Ozone follows the World Wildlife Fund endorsed Gold Standard process of Measure > Reduce > Offset. Ozone's programme is rooted in smart engineering, with the initial programme of work reducing the platform's server requirements by two-thirds. In 2022 and despite three-fold growth in bid requests, Ozone reduced average emissions per billion by -52%. |
Ozone is currently undertaking a full audit process, looking at areas beyond its owned platform, with an accredited sustainability consultancy. As per previous years, in 2022 Ozone offset what it could not reduce. |
OZONE PROJECT LIMITED (REGISTERED NUMBER: 11471303) |
STRATEGIC REPORT |
for the year ended 31 December 2022 |
Ozone's landlords have also taken steps to reduce impact in the office environment including smart thermostats & occupancy sensors, comprehensive recycling & waste programmes and a 100% renewable energy target set for the end of 2023. |
In 2022, Ozone focused on reducing its emissions with work on: |
* Infrastructure: Ozone introduced private bandwidth with its biggest partners. By taking the shortest and fastest route with its biggest vendors Ozone bypasses the open internet and uses far less bandwidth. |
* Data: By restructuring and optimising its data pipeline with a focus on finding the optimal period for data storage based on need, Ozone has reduced its processing requirements and archived the rest of its data in cold storage. |
Ozone aims to continue to optimise its emissions in the coming year by filtering - using machine learning prediction modelling to filter out low value ad requests based on its ability to monetise them, which requires a lot less energy - and through direct integrations with DSPs. This means a more direct and more transparent way of working, connecting agencies with publishers without the unnecessary hops and eliminating the broadcast behaviour created in the open web when using SSPs. |
Beyond its environmental commitment, Ozone is focused on delivering impact within its own industry. Ozone partners with Brixton Finishing School to support underrepresented talent and bring new voices into the organisation; a partnership that includes mentoring new talent and providing expert content for their Ad-Cademy programme. Within the team, Ozone has a number of active mentors collaborating with organisations like Media For All, Outvertising, NABS, Bloom and Speakers4Schools. |
From a charitable perspective, Ozone launched its Festive Feed Back initiative generating much needed funds for The Trussell Trust - the national food bank network - in line with its client entertainment programme across the final quarter of 2022. Ozone also supports industry charity NABS in key fundraising events such as Ride Adland and Stranger Than Summer, as well as supporting adopted charity Childline through a number of charity initiatives. |
The reputation for a high standard of business conduct |
Ozone is a responsible business that adheres to a strong code of conduct through. |
* A strong governance framework and leadership team that encourages responsible business practices in all areas of the company |
* Key training on legal issues with a focus on data protection |
* Operating effective internal controls and risk management processes |
ON BEHALF OF THE BOARD: |
9 May 2023 |
OZONE PROJECT LIMITED (REGISTERED NUMBER: 11471303) |
REPORT OF THE DIRECTORS |
for the year ended 31 December 2022 |
The directors present their report with the financial statements of the company for the year ended 31st December 2022. |
PRINCIPAL ACTIVITY |
Ozone Project Limited's ("Ozone") principal activity is to provide digital advertising services to premium publishers including news brands and magazines. |
DIVIDENDS |
No dividends will be distributed for the year ended 31 December 2022. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 January 2022 to the date of this report. |
Other changes in directors holding office are as follows: |
POLITICAL DONATIONS AND EXPENDITURE |
During the year the company made charitable donations of £14,075. |
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. |
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), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'. 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: |
- | select suitable accounting policies and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
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. |
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. |
AUDITORS |
Cameron Baum Hollander Limited have been the company's Auditors since incorporation in 2018 and this has been reviewed annually by the board. In accordance with the FRC's recent guidance, alongside the considerable and ongoing growth in the company, the board have concluded that it is appropriate that a tender be put in place as part of the annual appointment process. |
ON BEHALF OF THE BOARD: |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
OZONE PROJECT LIMITED |
Opinion |
We have audited the financial statements of Ozone Project Limited (the 'company') for the year ended 31 December 2022 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Cash Flow Statement, 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 2022 and of its loss 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 Auditors' 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. |
Conclusions relating to going concern |
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. |
An overview of the scope of our audit |
Enquiry of management, those charged with governance around actual and potential litigation and claims. |
Reviewing minutes of meetings of those charged with governance. |
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. |
Other information |
The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors 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. |
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 this gives rise to a material misstatement in the financial statements themselves. 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. |
Opinions on other matters prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of the 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 |
- | the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception |
In the light of the 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 or the Report of the Directors. |
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 directors' remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
OZONE PROJECT LIMITED |
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page seven, the directors are 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 directors determine 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 directors are 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 directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so. |
Auditors' 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 a Report of the Auditors 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. |
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. |
Procedures adopted to mitigate limitations outlined above include: |
Enquiry of management, those charged with governance and the lawyers around actual and potential litigation and claims. |
Reviewing minutes of meetings of those charged with governance. |
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 for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
Use of our report |
This report is made solely to the company's members, 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 members 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 members as a body, for our audit work, for this report, or for the opinions we have formed. |
for and on behalf of |
Chartered Accountants |
Statutory Auditor |
88 Crawford Street |
London |
W1H 2EJ |
OZONE PROJECT LIMITED (REGISTERED NUMBER: 11471303) |
INCOME STATEMENT |
for the year ended 31 December 2022 |
2022 | 2021 |
Notes | £ | £ |
TURNOVER | 3 |
Cost of sales |
GROSS PROFIT |
Administrative expenses |
(1,648,689 | ) | (123,453 | ) |
Other operating income |
OPERATING (LOSS)/PROFIT | 5 | ( |
) |
Interest receivable and similar income |
(1,458,724 | ) | 67,035 |
Interest payable and similar expenses | 8 |
LOSS BEFORE TAXATION | ( |
) | ( |
) |
Tax on loss | 9 | ( |
) | ( |
) |
(LOSS)/PROFIT FOR THE FINANCIAL YEAR | ( |
) |
OZONE PROJECT LIMITED (REGISTERED NUMBER: 11471303) |
OTHER COMPREHENSIVE INCOME |
for the year ended 31 December 2022 |
2022 | 2021 |
Notes | £ | £ |
(LOSS)/PROFIT FOR THE YEAR | ( |
) |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE (LOSS)/INCOME FOR THE YEAR |
( |
) |
OZONE PROJECT LIMITED (REGISTERED NUMBER: 11471303) |
BALANCE SHEET |
31 December 2022 |
2022 | 2021 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 10 |
Tangible assets | 11 |
CURRENT ASSETS |
Development work in progress | 12 |
Debtors | 13 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 14 |
NET CURRENT LIABILITIES | ( |
) | ( |
) |
TOTAL ASSETS LESS CURRENT LIABILITIES | ( |
) |
CREDITORS |
Amounts falling due after more than one year | 15 | ( |
) | ( |
) |
PROVISIONS FOR LIABILITIES | 18 | ( |
) |
NON CURRENT ASSETS | 19 |
NET ASSETS/(LIABILITIES) | ( |
) |
CAPITAL AND RESERVES |
Called up share capital | 20 |
Share premium | 21 |
Retained earnings | 21 | ( |
) | ( |
) |
SHAREHOLDERS' FUNDS | ( |
) |
The financial statements were approved by the Board of Directors and authorised for issue on |
OZONE PROJECT LIMITED (REGISTERED NUMBER: 11471303) |
STATEMENT OF CHANGES IN EQUITY |
for the year ended 31 December 2022 |
Called up |
share | Retained | Share | Total |
capital | earnings | premium | equity |
£ | £ | £ | £ |
Balance at 1 January 2021 | ( |
) | ( |
) |
Changes in equity |
Total comprehensive income | - | - |
Balance at 31 December 2021 | ( |
) | ( |
) |
Changes in equity |
Issue of share capital | - |
Total comprehensive loss | - | ( |
) | - | ( |
) |
Balance at 31 December 2022 | ( |
) |
OZONE PROJECT LIMITED (REGISTERED NUMBER: 11471303) |
CASH FLOW STATEMENT |
for the year ended 31 December 2022 |
2022 | 2021 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 |
Net cash from operating activities |
Cash flows from investing activities |
Purchase of intangible fixed assets | ( |
) | ( |
) |
Purchase of tangible fixed assets | ( |
) | ( |
) |
Interest received |
Net cash from investing activities | ( |
) | ( |
) |
Cash flows from financing activities |
New loans in year |
Loan repayments in year | ( |
) | ( |
) |
Share issue |
Net cash from financing activities |
Increase in cash and cash equivalents |
Cash and cash equivalents at beginning of year | 2 | 407,887 |
Cash and cash equivalents at end of year | 2 | 1,920,724 | 786,920 |
OZONE PROJECT LIMITED (REGISTERED NUMBER: 11471303) |
NOTES TO THE CASH FLOW STATEMENT |
for the year ended 31 December 2022 |
1. | RECONCILIATION OF LOSS BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
2022 | 2021 |
£ | £ |
Loss before taxation | ( |
) | ( |
) |
Depreciation charges |
Loss on disposal of fixed assets |
Finance costs | 96,022 | 72,288 |
Finance income | (3,800 | ) | - |
(782,576 | ) | 326,919 |
Decrease/(increase) in development work in progres | ( |
) |
Increase in trade and other debtors | ( |
) | ( |
) |
Increase in trade and other creditors |
Cash generated from operations |
2. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
Year ended 31 December 2022 |
31.12.22 | 1.1.22 |
£ | £ |
Cash and cash equivalents | 1,920,724 | 786,920 |
Year ended 31 December 2021 |
31.12.21 | 1.1.21 |
£ | £ |
Cash and cash equivalents | 786,920 | 407,887 |
3. | ANALYSIS OF CHANGES IN NET (DEBT)/FUNDS |
Other |
non-cash |
At 1.1.22 | Cash flow | changes | At 31.12.22 |
£ | £ | £ | £ |
Net cash |
Cash at bank | 786,920 | 1,133,804 | 1,920,724 |
786,920 | 1,920,724 |
Debt |
Debts falling due |
within 1 year | (591,262 | ) | 591,262 | - | - |
Debts falling due |
after 1 year | (2,702,291 | ) | - | 1,300,762 | (1,401,529 | ) |
(3,293,553 | ) | 591,262 | 1,300,762 | (1,401,529 | ) |
Total | (2,506,633 | ) | 1,725,066 | 1,300,762 | 519,195 |
OZONE PROJECT LIMITED (REGISTERED NUMBER: 11471303) |
NOTES TO THE FINANCIAL STATEMENTS |
for the year ended 31 December 2022 |
1. | STATUTORY INFORMATION |
Ozone Project Limited (the Company) is a private company, limited by shares, registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page. |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006. |
Significant judgements and estimates |
In preparing these financial statements, the directors have had to make the following judgements: |
* Determine whether there are indicators of impairment of the company’s tangible and intangible assets. Factors taken into consideration in reaching such a decision include the economic viability and expected future financial performance of the asset and where it is a component of a larger cash generating unit, the viability and expected future performance of that unit. |
Other key sources of estimation uncertainty |
* Tangible fixed assets (see note 11). Tangible fixed assets are depreciated over their useful lives taking into account residual values, where appropriate. The actual lives of the assets and residual values are assessed annually and may vary depending on the number of factors. ln re-assessing asset lives, factors such as technological innovation, product life cycles and maintenance programmes are taken into account. Residual value assessments consider issues such as future market conditions, the remaining life of the asset and projected disposal values. |
Turnover |
Turnover is recognised to the extent that it is probable that the economic benefits will flow to the Company and can be reliably measured. Turnover is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. |
Turnover from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when the following conditions are satisfied: |
- the amount of turnover can be measured reliably; |
- it is probable that the company will receive consideration due under the contract; |
- the stage of completion of the contract at the end of the reporting period can be measured reliably; and |
- the costs incurred and the costs to complete the contract can be measured reliably. |
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. |
Intangible assets are amortised over their economic useful life, which is between three and four years. |
Intangible assets under development |
In the development phase of an internal project, where it is expected the project will generate probable future economic benefits and its costs can be measured reliably, all expenditure on development is capitalised as intangible assets under development when it is incurred. Intangible assets are recognised from the development phase once certain specific criteria are met in order to demonstrate the asset will generate probable future economic benefits. The resulting intangible assets are subsequently amortised on a straight line basis over their useful life, which is usually 3 years. |
OZONE PROJECT LIMITED (REGISTERED NUMBER: 11471303) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
for the year ended 31 December 2022 |
2. | ACCOUNTING POLICIES - continued |
Tangible fixed assets |
Tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management. |
Depreciation is calculated to write down the cost less estimated residual value of all tangible fixed assets, over their expected useful lives as follows: |
Computer equipment - 33.33% straight line. |
At each reporting date fixed assets are reviewed to determine whether there is any indication that those assets have suffered an impairment loss. If there is an indication of possible impairment, the recoverable amount of any affected asset is estimated and compared with its carrying amount. If the estimated recoverable amount is lower, the carrying amount is reduced to its estimated recoverable amount, and an impairment loss is recognised immediately in the income statement. |
If an impairment loss subsequently reverses, the carrying amount of the asset is increased to the revised estimate of its recoverable amount, but not in excess of the amount that would have been determined had no impairment loss been recognised for the asset in prior years. A reversal of an impairment loss is recognised immediately in the income statement. |
Development work in progress |
Development Work in progress is valued at the lower of cost and net realisable value. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
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. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
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. |
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. |
Research and development |
Expenditure on research is written off in the year in which it is incurred. Development expenditure is written off in the same way unless the directors are satisfied as to the technical, commercial and financial viability of individual projects. In this situation, the expenditure is capitalised and amortised over the period during which the company is expected to benefit. |
Where the company expects to make, or has made, a tax claim for allowable expenditure, these amounts are accrued to the extent that they are considered to be recoverable. Where there is a tax refund due, this is included in the UK Corporation Tax charge. |
Foreign currencies |
Items included in the financial statements of the company are measured using the currency of the primary economic environment in which the company operates ("the functional currency"). The financial statements are presented in Sterling, which is the company's functional and presentation currency and is denoted by the symbol "£". |
Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions. |
At each period end foreign currency monetary items are translated using the closing rate. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined. |
Foreign exchange gains and losses that relate to borrowings and cash and cash equivalents and all other foreign exchange gains and losses are presented in the profit and loss account within 'Foreign exchange losses or gains'. |
OZONE PROJECT LIMITED (REGISTERED NUMBER: 11471303) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
for the year ended 31 December 2022 |
2. | ACCOUNTING POLICIES - continued |
Pension costs and other post-retirement benefits |
The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate. |
The company provides a range of benefits to employees, including annual bonus arrangements, paid holiday arrangements and defined contribution pension plans. |
Short term benefits: |
Short term benefits, including holiday pay and other similar non-monetary benefits, are recognised as an expense in the period in which the service is received. |
Annual bonus plans: |
The company recognises a provision and an expense for bonuses where the company has a legal or constructive obligation as a result of past events and a reliable estimate can be made. |
Defined contribution pension plans: |
The Company operates a defined contribution plan. A defined contribution plan is a pension plan under which the company pays fixed contributions into a separate fund. Under defined contribution plans, the company has no legal or constructive obligations to pay further contributions if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods. |
For defined contribution plans, the company pays contributions to privately administered pension plans on a contractual or voluntary basis. The company has no further payment obligations once the contributions have been paid. The contributions are recognised as employee benefit expense when they are due. Prepaid contributions are recognised as an asset to the extent that a cash refund or a reduction in the future payments is available. |
Debtors |
Trade and other debtors are recognised initially at transaction price (including transaction costs) unless a financing arrangement exists in which case they are measured at the present value of future receipts discounted at a market rate. A provision for 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 receivables. The amount of the provision is the difference between the asset's carrying amount and estimated future cash flows. All movements in the level of provision required are recognised in the profit and loss. |
Creditors |
Trade and other creditors are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised at the transaction price. Other financial liabilities, including bank loans, are measured at fair value, net of transaction costs. |
Contingent Liabilities |
Contingent liabilities, arising as a result of past events, are only recognised when it is probable that there will be an outflow of resources and that the amount can be reliably measured at the reporting date. Contingent liabilities are disclosed in the financial statements unless the probability of an outflow of resources is remote. |
Provisions |
Provisions are recognised when the company has a present legal or constructive obligation as a result of past events; it is probable that an outflow of resources will be required to settle the obligation; and the amount of the obligation can be estimated reliably. |
Provisions are measured at the present value of the expenditures expected to be required to settle the obligation using a pre-tax rate that reflects current market assessments of the time value of money and the risks specific to the obligation. The increase in the provision due to passage of time is recognised as a finance cost. |
Hire purchase and leasing. |
Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership of the leased asset to the group. All other leases are classified as operating leases. |
Assets held under finance leases are recognised initially at the fair value of the leased asset (or, if lower, the present value of minimum lease payments) at the inception of the lease. The corresponding liability to the lessor is included in the statement of financial position as a finance lease obligation. Lease payments are apportioned between finance charges and reduction of the lease obligation using the effective interest method so as to achieve a constant rate of interest on the remaining balance of the liability. Finance charges are deducted in measuring profit or loss. Assets held under finance leases are included in tangible fixed assets and depreciated and assessed for impairment losses in the same way as owned assets. |
Rentals payable under operating leases are charged to profit or loss on a straight-line basis over the lease term, unless the rental payments are structured to increase in line with expected general inflation, in which case the group recognises annual rent expense equal to amounts owed to the lessor. |
The aggregate benefit of lease incentives are recognised as a reduction to the expense recognised over the lease term on a straight line basis. |
OZONE PROJECT LIMITED (REGISTERED NUMBER: 11471303) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
for the year ended 31 December 2022 |
3. | TURNOVER |
The turnover and loss before taxation are attributable to the one principal activity of the company. |
An analysis of turnover by geographical market is given below: |
2022 | 2021 |
£ | £ |
United Kingdom |
Europe |
North America | 119,699 | 36,804 |
4. | EMPLOYEES AND DIRECTORS |
2022 | 2021 |
£ | £ |
Wages and salaries |
Social security costs |
Other pension costs |
The average number of employees during the year was as follows: |
2022 | 2021 |
Operations | 50 | 25 |
Administration | 25 | 17 |
2022 | 2021 |
£ | £ |
Directors' remuneration |
Directors' pension contributions to money purchase schemes |
The number of directors to whom retirement benefits were accruing was as follows: |
Money purchase schemes |
Information regarding the highest paid director for the year ended 31 December 2022 is as follows: |
2022 |
£ |
Emoluments etc |
Pension contributions to money purchase schemes |
5. | OPERATING (LOSS)/PROFIT |
The operating loss (2021 - operating profit) is stated after charging/(crediting): |
2022 | 2021 |
£ | £ |
Depreciation - owned assets | 22,585 | 11,157 |
Loss on disposal of fixed assets | 60 | - |
Intangible Assets amortisation | 657,303 | 248727 |
Foreign exchange differences | (49,620 | ) | 20,781 |
Defined pension contributions | 202,212 | 124,313 |
6. | AUDITORS' REMUNERATION |
2022 | 2021 |
£ | £ |
Fees payable to the company's auditors for the audit of the company's financial statements |
38,000 |
38,000 |
Auditors' remuneration for non audit work |
OZONE PROJECT LIMITED (REGISTERED NUMBER: 11471303) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
for the year ended 31 December 2022 |
7. | EXCEPTIONAL ITEMS |
Exceptional items relate to £512,023 (2021: £464,617) of consultancy and legal expenses incurred in relation to obtaining funding to enable the expansion of the business. In 2021 the shareholders provided £139,200 which was disclosed as exceptional income in the financial statements. None in the current year. |
8. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2022 | 2021 |
£ | £ |
Interest |
9. | TAXATION |
Analysis of the tax credit |
The tax credit on the loss for the year was as follows: |
2022 | 2021 |
£ | £ |
Current tax: |
R&D Tax Credit - Prior year | - | (155,371 | ) |
Deferred tax | ( |
) |
Tax on loss | ( |
) | ( |
) |
Reconciliation of total tax credit included in profit and loss |
The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below: |
2022 | 2021 |
£ | £ |
Loss before tax | ( |
) | ( |
) |
Loss multiplied by the standard rate of corporation tax in the UK of |
( |
) | ( |
) |
Effects of: |
Expenses not deductible for tax purposes |
Capital allowances in excess of depreciation | ( |
) | ( |
) |
Utilisation of tax losses | ( |
) |
Adjustments to tax charge in respect of previous periods | ( |
) |
Deferred Tax not provided | - | 92,312 |
Net deferred tax asset on losses in prior years recognised | (196,367 | ) | - |
Other charges | 2,674 | 1,900 |
Total tax credit | (1,007,908 | ) | (155,371 | ) |
The Corporation tax refund of £155,371 in the prior year related to additional R&D Tax credits claimed for the year ended 31 December 2020. |
The tax credit of £1,007,908 arose as a result of recognising a deferred tax asset of £996,596 based on carried forward corporation tax losses in the current year, recognised for the first time, on the basis that it is reasonably expected to be utilised against future profits. There was no Corporation tax payable (or refunds due) relating to the current year. |
OZONE PROJECT LIMITED (REGISTERED NUMBER: 11471303) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
for the year ended 31 December 2022 |
10. | INTANGIBLE FIXED ASSETS |
Assets |
Intangible | under |
Assets | development | Totals |
£ | £ | £ |
COST |
At 1 January 2022 |
Additions |
At 31 December 2022 |
AMORTISATION |
At 1 January 2022 |
Amortisation for year |
At 31 December 2022 |
NET BOOK VALUE |
At 31 December 2022 |
At 31 December 2021 |
11. | TANGIBLE FIXED ASSETS |
Fixtures |
and | Computer |
fittings | equipment | Totals |
£ | £ | £ |
COST |
At 1 January 2022 |
Additions |
Disposals | ( |
) | ( |
) |
At 31 December 2022 |
DEPRECIATION |
At 1 January 2022 |
Charge for year |
Eliminated on disposal | ( |
) | ( |
) |
At 31 December 2022 |
NET BOOK VALUE |
At 31 December 2022 |
At 31 December 2021 |
12. | DEVELOPMENT WORK IN PROGRESS |
2022 | 2021 |
£ | £ |
Work-in-progress - IP | - | 629,169 |
13. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2022 | 2021 |
£ | £ |
Trade debtors |
Other debtors |
R&D Tax Credit Recoverable | 455,371 | 455,371 |
VAT |
Prepayments and accrued income |
OZONE PROJECT LIMITED (REGISTERED NUMBER: 11471303) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
for the year ended 31 December 2022 |
14. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2022 | 2021 |
£ | £ |
Other loans (see note 16) |
Trade creditors |
Social security and other taxes |
VAT | 262,809 | - |
Other creditors |
Pensions Payable | - | 67,845 |
Accruals and deferred income |
15. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
2022 | 2021 |
£ | £ |
Other loans (see note 16) |
Trade creditors |
16. | LOANS |
An analysis of the maturity of loans is given below: |
2022 | 2021 |
£ | £ |
Amounts falling due within one year or on demand: |
Other loans |
Amounts falling due between one and two years: |
Other loans - 1-2 years | 1,401,529 |
Interest payable on the loan balance of £1,401,529 is at 2.5% above SONIA(Sterling Overnight Index Average), and is repayable in full on 31 December 2024. |
17. | LEASING AGREEMENTS |
Minimum lease payments under non-cancellable operating leases fall due as follows: |
2022 | 2021 |
£ | £ |
Within one year |
Between one and five years |
18. | PROVISIONS FOR LIABILITIES |
2022 | 2021 |
£ | £ |
Deferred tax |
Accelerated capital allowances |
Deferred |
tax |
£ |
Balance at 1 January 2022 |
Provided during year |
Credit to Income Statement during year | ( |
) |
Balance at 31 December 2022 |
OZONE PROJECT LIMITED (REGISTERED NUMBER: 11471303) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
for the year ended 31 December 2022 |
19. | NON CURRENT ASSETS |
2022 | 2021 |
£ | £ |
Deferred Tax | (996,596 | ) | - |
20. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2022 | 2021 |
value: | £ | £ |
A Ordinary Shares | 0.000 | 1 | 2 | 2 |
B & C Ordinary Shares | 0.000 | 1 | 4 | 4 |
D Ordinary Shares | 0.000 | 1 | 2 | 2 |
8 | 8 |
The following fully paid shares were allotted during the year at a premium as shown below: |
3,641 A Ordinary Shares shares of 0.0001 each at £191.51 per share |
3,652 D Ordinary Shares shares of 0.0001 each at £191.52 per share |
Allotted, issued and fully paid Preference shares |
Number | Class | : Nominal | 2022 | 2021 |
Value | £ | £ |
25,005 | Preference Shares | 0.0001 | 2.5 | - |
25,005 preference shares of £0.0001 each were allotted during the year at a premium of £191.49 per share. |
The preference shares have the same voting rights and dividend rights as the class A, B & C ordinary shares, but rank first in the distribution of any proceeds on liquidation or sale. |
21. | RESERVES |
Retained | Share |
earnings | premium | Totals |
£ | £ | £ |
At 1 January 2022 | ( |
) | (4,214,139 | ) |
Deficit for the year | ( |
) | ( |
) |
Cash share issue | - | 6,185,038 | 6,185,038 |
At 31 December 2022 | ( |
) | 1,424,061 |
22. | DIRECTORS' ADVANCES, CREDITS AND GUARANTEES |
Included within trade creditors is the sum of £5,579 owing to directors for expenses incurred by them in the conduct of their duties. This has subsequently been settled in full. |
23. | RELATED PARTY DISCLOSURES |
Included within Other operating income is the sum of £ 178,204 received from Newsworks (A company controlled by the shareholders of Ozone Project Limited) being the cost of office space and services provided by the company to Newsworks net of amounts owed by the company to Newsworks for office space and expenses incurred by Newsworks on its behalf. |
The balance owing from Newsworks as at the year end was £29,458 (2021: £139,312 was owed to Newsworks) and is included within trade debtors. |
2022 | 2021 |
£ | £ |
Turnover |
Cost of Sales - Media Costs |
Trade Debtors - due from related parties | 240,995 | 390,349 |
Trade Creditors (within and after 1 year) - due to related parties | 5,769,247 | 5,206,141 |
Loan Balances payable to related parties | 1,401,529 | 3,293,553 |
OZONE PROJECT LIMITED (REGISTERED NUMBER: 11471303) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
for the year ended 31 December 2022 |
23. | RELATED PARTY DISCLOSURES - continued |
During the year, a total of key management personnel compensation of £ |
24. | ULTIMATE CONTROLLING PARTY |
The entity is jointly controlled by its shareholders News Corp UK & Ireland Limited, Guardian News & Media Limited, Telegraph Media Group Limited and Reach Shared Services Limited. |
25. | GOING CONCERN |
The directors, having considered the company performance and funding and having made due enquiries, continue to adopt the going concern basis in preparing the financial statements. |