REGISTERED NUMBER: 05749446 (England and Wales) |
GROUP STRATEGIC REPORT, |
REPORT OF THE DIRECTORS AND |
CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 NOVEMBER 2022 |
FOR |
INMOMENT HOLDINGS (UK) LIMITED |
REGISTERED NUMBER: 05749446 (England and Wales) |
GROUP STRATEGIC REPORT, |
REPORT OF THE DIRECTORS AND |
CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 NOVEMBER 2022 |
FOR |
INMOMENT HOLDINGS (UK) LIMITED |
INMOMENT HOLDINGS (UK) LIMITED (REGISTERED NUMBER: 05749446) |
CONTENTS OF THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 NOVEMBER 2022 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Report of the Directors | 5 |
Report of the Independent Auditors | 7 |
Consolidated Statement of Comprehensive Income | 10 |
Consolidated Balance Sheet | 11 |
Company Balance Sheet | 12 |
Consolidated Statement of Changes in Equity | 13 |
Company Statement of Changes in Equity | 14 |
Consolidated Cash Flow Statement | 15 |
Notes to the Consolidated Cash Flow Statement | 16 |
Notes to the Consolidated Financial Statements | 17 |
INMOMENT HOLDINGS (UK) LIMITED |
COMPANY INFORMATION |
FOR THE YEAR ENDED 30 NOVEMBER 2022 |
Directors: |
Secretary: |
Registered office: |
Registered number: |
Auditors: |
Chartered Accountants and Statutory Auditors |
12 Old Mills Industrial Estate |
Paulton |
BS39 7SU |
INMOMENT HOLDINGS (UK) LIMITED (REGISTERED NUMBER: 05749446) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 30 NOVEMBER 2022 |
Business Summary |
These accounts for the period effective 1st December 2021 to 30th November 2022 is the second full length trading period being part of the InMoment Group. The acquisition has brought new features, services, and resources to strengthen the groups offering. In addition to acquiring easy-to-deploy, flexible, digital VoC specialist Wootric in 2021, recently, further investments have been made by our private equity backers, Madison Dearborn Partners ("MDP"), and InMoment has acquired Lexalytics, a text analytics specialist software that has been identified as a "Leader" by the industry analysts at Forrester as well as ReviewTrackers, an award-winning social media listening and reputation management software. All of these acquisitions are broadening and deepening InMoment's portfolio as they are sold as both standalone solutions and full integrations within InMoment's Experience Intelligence™ (XI) Platform. With this and potential further acquisitions, the InMoment group looks to grow significantly beyond it's current 1,400 customers - many of which have global programs directly serviced by the operations in the UK and InMoment Ltd. Industry analysts are supporting the strategic moves MDP are backing, having recently rated InMoment as a "Leader" in the Forrester Wave Customer Feedback Management Platform analysis citing InMoment as having a "combination of robust technologies, services and partnership values driving ROI" in our clients. |
Key Accounting Notes |
These accounts have been prepared at 30th November 2022. This is the second full year (12 months) where InMoment Ltd operates aligned to the InMoment group fiscal year. |
Analysis of Performance and KPIs |
Revenue contracted in the 12 months to November 2022, is down to £12,681,900 in comparison to £15,011,998 in the previous 12 months, which represents 16% decrease in turnover. The declines seen were mainly driven: |
- a global restructure toward the way global automotive contracts are administered and fulfilled across the InMoment regions; |
- A discontinuation of services not core to the InMoment strategic direction (such as Mystery Shopping and ad hoc research) |
- The impact of the COVID pandemic on the business activities of many of our clients. Whilst most clients maintained their core software and services contracts with InMoment; some businesses in particularly impacted industries had to make cuts to their contracts and most event driven revenues saw significant reductions. |
Profits/(Losses) declined during the period to November 2022, with InMoment Ltd recording a profit of £547,640. Compared to a profit £1,323,624 in the prior period. This demonstrates positive impacts stemming from initiatives put in place after the new focus that the merger with InMoment has brought, and further shows the business was able to flex operating costs in line with the reduced revenues recognised in the period. |
InMoment Ltd remains cash positive, despite the low operating profits seen during the fiscal period; and still has |
significant funding resources to immediately draw upon from the wider InMoment group. |
Moving Forward - Business Model |
InMoment has redefined the sphere in which we operate to be the "Experience Improvement" industry and marketplace, broadening the horizons of a greater number of stakeholders within organisations to not only measure or manage experience, but truly improve them. |
We believe this is important as experiences shape the world we live in. Experiences are a culmination of moments filled with emotions, judgments, learnings, and much, much more. Therefore, every moment presents an opportunity to make a positive impact; to leave a mark. With good data, the right technology, and human expertise, businesses today can solve hard problems and change the world for the better. |
With that in mind, InMoment's business focus is to deliver best-in-class CX analytics & action solutions that provide integrated software and services and include multi-signal customer feedback, highly-tailored, vertical-specific analytics and recommendations which are directly enabling customer action. In essence, our solutions are based on a unique combination of award-winning software and services, based on years of expertise to unlock a comprehensive understanding of not only the actions people are taking, but also the emotion driving what they do and why. |
InMoment Ltd supports its customers with sales and a full-service organisation in the UK and the wider EMEA market while the R&D function is centralised in the US. |
InMoment Ltd continues to support the funding of the US based product development and R&D through software royalties. |
INMOMENT HOLDINGS (UK) LIMITED (REGISTERED NUMBER: 05749446) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 30 NOVEMBER 2022 |
Strategic Objectives |
InMoment Ltd pursues a set of strategic objectives aimed at empowering businesses to cultivate meaningful connections with their customers while driving sustainable growth. Central to our approach is the commitment to enhancing customer experiences across every touchpoint. By leveraging advanced data analytics and artificial intelligence, InMoment aims to provide actionable insights that enable companies to understand customer sentiment, preferences, and behaviors more deeply. This strategic objective serves to optimize decision-making processes, allowing businesses to tailor their offerings, improve service delivery, and ultimately foster stronger brand loyalty. |
Another key strategic objective of InMoment is to foster a culture of continuous improvement through innovation. InMoment recognizes that the competitive landscape is ever-evolving, and staying ahead requires a proactive stance in developing cutting-edge technologies and methodologies. By focusing on innovation for both our software and our services, InMoment seeks to provide its clients with the tools and resources needed to adapt to changing customer dynamics and market trends effectively. This objective also entails a commitment to refining our own platform and services, ensuring that InMoment remains at the forefront of the customer experience improvement business. Through these strategic objectives, InMoment aims to be a driving force in reshaping how businesses approach and enhance their interactions with customers, ultimately contributing to the long-term success of both our clients and our own organisation. As a result, this approach leads to sustainable growth and profitability for both InMoment's customers and InMoment Ltd. |
Business Environment - Trends, Risks and Uncertainties |
The business environment InMoment Ltd is characterized by a dynamic interplay of trends, risks, and uncertainties that shape the landscape of customer experience optimisation and data analytics. One prominent trend is the increasing reliance on digital platforms and online interactions, spurred by the rapid advancement of technology and changing consumer behaviors. This shift necessitates innovative approaches to capturing and analysing customer feedback across digital channels, thereby presenting opportunities for InMoment to expand its capabilities in sentiment analysis, social media monitoring, and predictive analytics. However, this trend also introduces the risk of data privacy concerns and cyber threats, which companies must address rigorously to ensure the secure handling of sensitive customer information. |
Moreover, the business environment is marked by a growing emphasis on personalization and customization in customer experiences. Consumers now expect tailored interactions and offerings that cater to their unique preferences and needs. This trend compels companies like InMoment to refine their data analytics techniques, enabling clients to integrate multi-signal customer feedback, extract granular insights and create hyper-targeted strategies and recommendations. At the same time, the rapid pace of technological innovation brings about uncertainties related to the adoption and integration of emerging tools. Striking the right balance between leveraging new technologies and ensuring compatibility with existing systems poses a challenge for both InMoment and its clients, requiring strategic planning and flexibility. |
On a broader scale, economic and regulatory uncertainties add another layer of complexity to the business environment. Changes in government policies, trade dynamics, and global economic conditions can impact spending patterns and business operations, influencing demand for customer experience management and improvement solutions. InMoment will stay vigilant and adaptable in navigating these fluctuations, while also helping its clients weather potential disruptions by providing data-driven insights and risk mitigation strategies. In summary, the business environment for companies like InMoment is a dynamic and multifaceted landscape, characterized by a blend of promising trends, ongoing risks, and a range of uncertainties that necessitate strategic agility and a forward-looking approach. |
Equality and Business Ethics |
InMoment Ltd adopts the Equality Act 2010 and as such we aim to protect disabled people and prevent discrimination of any form. We are an equal opportunities employer and promote equality of opportunity and do not tolerate harassment or discrimination under any circumstances. Our recruitment, retention, promotion, and training policies proactively encourage and educate our employees to behave in a way that is respectful and |
understanding of others. We believe good ethics is good business and that honesty and integrity are non-negotiable and that we adhere to high ethical standards. |
InMoment has also joined "The Valuable 500", a network of leading organisations who are committed to make a tangible change addressing diversity and inclusion. We have added D&I to our board meeting agenda and are committed to build a diverse and inclusive working environment and to raise the skill sets and knowledge of our employees to understand all forms of ability and support the role they play in creating inclusive and accessible environments. |
InMoment Ltd has applied a code of conduct that exists in written form and to which every employee is introduced to. We have a structure in place with a global Ethics officer and an Ethics hotline as well as a compliance website and the respective support of the legal department and the HR department to support our people in living the code of conduct. |
This report was approved by the board on and signed on its behalf. |
INMOMENT HOLDINGS (UK) LIMITED (REGISTERED NUMBER: 05749446) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 30 NOVEMBER 2022 |
On behalf of the board: |
INMOMENT HOLDINGS (UK) LIMITED (REGISTERED NUMBER: 05749446) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 30 NOVEMBER 2022 |
The directors present their report with the financial statements of the company and the group for the year ended 30 November 2022. |
Dividends |
No dividends will be distributed for the year ended 30 November 2022. |
Directors |
The directors shown below have held office during the whole of the period from 1 December 2021 to the date of this report. |
Other changes in directors holding office are as follows: |
Results and dividends |
The profit for the year, after taxation, amounted to £547,640 (2021 - £1,323,624). |
Details of dividends paid can be found in the Statement of Changes in Equity. No dividends were paid. |
Statement of directors' responsibilities |
The directors are responsible for preparing the Group 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 the group and of the profit or loss of the group 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 and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group 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 the group 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 group's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the group's auditors are aware of that information. |
INMOMENT HOLDINGS (UK) LIMITED (REGISTERED NUMBER: 05749446) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 30 NOVEMBER 2022 |
Auditors |
The auditors, Fuller & Roper Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
On behalf of the board: |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
INMOMENT HOLDINGS (UK) LIMITED |
Opinion |
We have audited the financial statements of Inmoment Holdings (UK) Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 30 November 2022 which comprise the Consolidated Statement of Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated 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 group's and of the parent company affairs as at 30 November 2022 and of the group's profit for the year then ended; |
- | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group 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 group's and the parent 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. |
Other information |
The directors are responsible for the other information. The other information comprises the information in the Group 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 Group 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 Group Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
INMOMENT HOLDINGS (UK) LIMITED |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group 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 by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the parent company 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. |
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page five, 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 group's and the parent 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 group or the parent 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. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
- Enquiry of management and those charged with governance around actual and potential litigation and |
claims; |
-Performing audit work over the risk of management override of controls, including testing of journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business and reviewing accounting estimates for bias; |
- Testing of key controls over expenditure to ensure the correct authorisation; |
- Substantive testing to ensure accuracy for key financial statement areas; |
- Analytical procedures to highlight any unexpected discrepancies; |
- Reviewing financial statement disclosures and testing to support documentation to assess compliance |
with applicable laws and regulations. |
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. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
INMOMENT HOLDINGS (UK) LIMITED |
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 and Statutory Auditors |
12 Old Mills Industrial Estate |
Paulton |
BS39 7SU |
INMOMENT HOLDINGS (UK) LIMITED (REGISTERED NUMBER: 05749446) |
CONSOLIDATED |
STATEMENT OF COMPREHENSIVE |
INCOME |
FOR THE YEAR ENDED 30 NOVEMBER 2022 |
2022 | 2021 |
Notes | £ | £ |
TURNOVER | 4 | 12,681,900 | 15,011,998 |
Cost of sales | (5,178,179 | ) | (5,778,150 | ) |
GROSS PROFIT | 7,503,721 | 9,233,848 |
Administrative expenses | (6,956,878 | ) | (7,932,714 | ) |
OPERATING PROFIT | 6 | 546,843 | 1,301,134 |
Interest receivable and similar income | 7 | 1,218 | 22,490 |
548,061 | 1,323,624 |
Interest payable and similar expenses | 8 | (421 | ) | - |
PROFIT BEFORE TAXATION | 547,640 | 1,323,624 |
Tax on profit | 9 | - | - |
PROFIT FOR THE FINANCIAL YEAR |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
547,640 |
1,323,624 |
Profit attributable to: |
Owners of the parent | 547,640 | 1,323,624 |
Total comprehensive income attributable to: |
Owners of the parent | 547,640 | 1,323,624 |
INMOMENT HOLDINGS (UK) LIMITED (REGISTERED NUMBER: 05749446) |
CONSOLIDATED BALANCE SHEET |
30 NOVEMBER 2022 |
2022 | 2021 |
Notes | £ | £ |
FIXED ASSETS |
Tangible assets | 11 | 36,189 | 124,037 |
Investments | 12 | - | - |
36,189 | 124,037 |
CURRENT ASSETS |
Debtors | 13 | 4,694,968 | 6,516,123 |
Cash at bank | 763,984 | 2,086,730 |
5,458,952 | 8,602,853 |
CREDITORS |
Amounts falling due within one year | 14 | (2,275,215 | ) | (5,982,604 | ) |
NET CURRENT ASSETS | 3,183,737 | 2,620,249 |
TOTAL ASSETS LESS CURRENT LIABILITIES |
3,219,926 |
2,744,286 |
PROVISIONS FOR LIABILITIES | 15 | (50,000 | ) | (122,000 | ) |
NET ASSETS | 3,169,926 | 2,622,286 |
CAPITAL AND RESERVES |
Called up share capital | 16 | 9 | 9 |
Share premium | 17 | 4,009,520 | 4,009,520 |
Retained earnings | 17 | (839,603 | ) | (1,387,243 | ) |
SHAREHOLDERS' FUNDS | 3,169,926 | 2,622,286 |
The financial statements were approved by the Board of Directors and authorised for issue on 30 November 2023 and were signed on its behalf by: |
Ms I Zalyapska - Director |
INMOMENT HOLDINGS (UK) LIMITED (REGISTERED NUMBER: 05749446) |
COMPANY BALANCE SHEET |
30 NOVEMBER 2022 |
2022 | 2021 |
Notes | £ | £ |
FIXED ASSETS |
Tangible assets | 11 |
Investments | 12 |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CAPITAL AND RESERVES |
Called up share capital | 16 |
Share premium |
Retained earnings |
SHAREHOLDERS' FUNDS |
Company's profit for the financial year | - | - |
The financial statements were approved by the Board of Directors and authorised for issue on |
INMOMENT HOLDINGS (UK) LIMITED (REGISTERED NUMBER: 05749446) |
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 30 NOVEMBER 2022 |
Called up |
share | Retained | Share | Total |
capital | earnings | premium | equity |
£ | £ | £ | £ |
Balance at 1 December 2020 | 9 | (2,710,867 | ) | 4,009,520 | 1,298,662 |
Changes in equity |
Total comprehensive income | - | 1,323,624 | - | 1,323,624 |
Balance at 30 November 2021 | 9 | (1,387,243 | ) | 4,009,520 | 2,622,286 |
Changes in equity |
Total comprehensive income | - | 547,640 | - | 547,640 |
Balance at 30 November 2022 | 9 | (839,603 | ) | 4,009,520 | 3,169,926 |
INMOMENT HOLDINGS (UK) LIMITED (REGISTERED NUMBER: 05749446) |
COMPANY STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 30 NOVEMBER 2022 |
Called up |
share | Retained | Share | Total |
capital | earnings | premium | equity |
£ | £ | £ | £ |
Balance at 1 December 2020 |
Changes in equity |
Balance at 30 November 2021 |
Changes in equity |
Balance at 30 November 2022 |
INMOMENT HOLDINGS (UK) LIMITED (REGISTERED NUMBER: 05749446) |
CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 30 NOVEMBER 2022 |
2022 | 2021 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | (1,332,282 | ) | 445,611 |
Interest paid | (421 | ) | - |
Net cash from operating activities | (1,332,703 | ) | 445,611 |
Cash flows from investing activities |
Purchase of tangible fixed assets | - | (8,741 | ) |
Sale of tangible fixed assets | 7,011 | - |
Exchange difference on fixed asset | 1,728 | - |
Interest received | 1,218 | 22,490 |
Net cash from investing activities | 9,957 | 13,749 |
(Decrease)/increase in cash and cash equivalents | (1,322,746 | ) | 459,360 |
Cash and cash equivalents at beginning of year | 2 | 2,086,730 | 1,627,370 |
Cash and cash equivalents at end of year | 2 | 763,984 | 2,086,730 |
INMOMENT HOLDINGS (UK) LIMITED (REGISTERED NUMBER: 05749446) |
NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 30 NOVEMBER 2022 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
2022 | 2021 |
£ | £ |
Profit before taxation | 547,640 | 1,323,624 |
Depreciation charges | 78,007 | 136,710 |
Loss on disposal of fixed assets | 1,102 | - |
Movement in amounts owed by groups | 2,582,982 | (4,118,753 | ) |
Movement in amounts owed to groups | (3,904,225 | ) | 3,904,225 |
(Decrease)/increase in provisions | (72,000 | ) | (195,338 | ) |
Finance costs | 421 | - |
Finance income | (1,218 | ) | (22,490 | ) |
(767,291 | ) | 1,027,978 |
Decrease in stocks | - | 15,997 |
(Increase)/decrease in trade and other debtors | (761,827 | ) | 371,738 |
Increase/(decrease) in trade and other creditors | 196,836 | (970,102 | ) |
Cash generated from operations | (1,332,282 | ) | 445,611 |
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 30 November 2022 |
30.11.22 | 1.12.21 |
£ | £ |
Cash and cash equivalents | 763,984 | 2,086,730 |
Year ended 30 November 2021 |
30.11.21 | 1.12.20 |
£ | £ |
Cash and cash equivalents | 2,086,730 | 1,627,370 |
3. | ANALYSIS OF CHANGES IN NET FUNDS |
At 1.12.21 | Cash flow | At 30.11.22 |
£ | £ | £ |
Net cash |
Cash at bank | 2,086,730 | (1,322,746 | ) | 763,984 |
2,086,730 | (1,322,746 | ) | 763,984 |
Total | 2,086,730 | (1,322,746 | ) | 763,984 |
INMOMENT HOLDINGS (UK) LIMITED (REGISTERED NUMBER: 05749446) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 NOVEMBER 2022 |
1. | STATUTORY INFORMATION |
InMoment Holdings (UK) Limited is a private company limited by shares, incorporated in England and Wales, registration number 05749446. The registered office address is First Floor Templeback, 10 Temple Back, Bristol, BS1 6FL. |
InMonment Holdings (UK) Limited is a holding company for InMoment Limited. |
Change of name from MaritzCX Holdings (UK) Limited was made on 15 February 2022. |
InMoment Limited is part of InMoment Inc, based in Utah, USA. InMoment's Mission is Experience Improvement; to help our clients improve experiences at the intersection of value-where customer, employee, and business needs come together. At the heart of what we do is the desire to connect our clients with what matters most through a unique combination of data, technology, and human expertise. |
The company's functional and presentational currency is pounds sterling (GBP) and the financial statements have been rounded to the nearest pound (£). |
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. |
The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgement in applying the Company's accounting policies (see note 3). |
The following principal accounting policies have been applied: |
Basis of consolidation |
The consolidation financial statements present the results of the Company and its own subsidiaries ("the group") as if they form a single entity. Intercompany transactions and balances between group companies are therefore eliminated in full. |
The consolidated financial statements incorporate the results of business combinations using the purchase method. In the Consolidated Statement of Financial Position, the acquiree's identifiable assets, liabilities and contingent liabilities are initially recognised at the fair values at the acquisition date. The results of acquired operations are included in the Consolidated Statement of Comprehensive Income from the date on which control is obtained. They are deconsolidated from the date control ceases. |
Going concern |
The financial statements are prepared on a going concern basis as, in the opinion of the directors, based on future budgets, forecasts and trading assumptions, the company is able to continue in business for atleast a twelve month period from the date of approval of these financial statements. |
Foreign currency translation |
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 resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in profit or loss except when deferred in other comprehensive income as qualifying cash flow hedges. |
INMOMENT HOLDINGS (UK) LIMITED (REGISTERED NUMBER: 05749446) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 NOVEMBER 2022 |
2. | ACCOUNTING POLICIES - continued |
Revenue |
Revenue comprises the contract sales valuation (excluding VAT) of services provided in the normal course of business. Revenue is derived entirely from the provision of technology, data, and research services. |
Revenue represents, in the case of long term contracts, the proportion of contract value applicable to the activity in the year, ascertained by reference to the costs incurred to date. These costs are matched with revenue, resulting in the reporting of attributable profit proportionate to the contract activity. Where the outcome of a contract cannot be foreseen with reasonable certainty but no loss is expected, revenue and costs are recorded as the activity progresses using a zero estimate of profit. |
Estimates of total contract costs and revenues are reviewed periodically and the cumulative effects of changes are recognised in the period in which they are identified. All known or anticipated losses are provided for in full as soon as they are foreseen. |
All costs incurred are recorded as cost of sales. Revenues recognised in excess of amounts billed are classified as amounts recoverable on contracts and included within debtors. Where cash is received in advance of the contract valuation, the balance is recognised as part of creditors due within one year, as payments received on account. |
Tangible fixed assets |
Tangible fixed assets under the cost model are stated at historical 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. |
The Company adds to the carrying amount of an item of fixed assets the cost of replacing part of such an item when that cost is incurred, if the replacement part is expected to provide incremental future benefits to the Company. The carrying amount of the replaced part is derecognised. Repairs and maintenance are charged to profit or loss during the period in which they are incurred. |
Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method. |
Depreciation is provided on the following basis: |
Leasehold property - Life of lease |
improvements |
Computer and office equipment - 3-7 years |
The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date. |
Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss. |
Investment in subsidiaries |
Investments in subsidiaries are measured at cost less accumulated impairment. |
Hire purchase and leasing commitments |
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. |
Pension costs and other post-retirement benefits |
The group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme are charged to profit or loss in the period to which they relate. |
INMOMENT HOLDINGS (UK) LIMITED (REGISTERED NUMBER: 05749446) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 NOVEMBER 2022 |
2. | ACCOUNTING POLICIES - continued |
Debtors |
Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment. |
Cash and cash equivalents |
Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value. |
Creditors |
Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method. |
Holiday pay accrual |
A liability is recognised to the extent of any unused holiday pay entitlement which is accrued at the balance sheet date and carried forward to future periods. This is measured at the undiscounted salary cost of the future holiday entitlement so accrued at the balance sheet date. |
Provisions for liabilities |
Provisions are made where an event has taken place that gives the Company a legal or constructive obligation that probably requires settlement by a transfer of economic benefit, and a reliable estimate can be made of the amount of the obligation. |
Provisions are charged as an expense to profit or loss in the year that the Company becomes aware of the obligation, and are measured at the best estimate at the balance sheet date of the expenditure required to settle the obligation, taking into account relevant risks and uncertainties. |
When payments are eventually made, they are charged to the provision carried in the Balance Sheet. |
Financial instruments |
The Company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, loans to related parties and investments in non-puttable ordinary shares. |
Debt instruments (other than those wholly repayable or receivable within one year), including loans and other accounts receivable and payable, are initially measured at present value of the future cash flows and subsequently at amortised cost using the effective interest method. Debt instruments that are payable or receivable within one year, typically trade debtors and creditors, are measured, initially and subsequently, at the undiscounted amount of the cash or other consideration expected to be paid or received. However, if the arrangements of a short-term instrument constitute a financing transaction, like the payment of a trade debt deferred beyond normal business terms or financed at a rate of interest that is not a market rate or in the case of an out-right short-term loan not at market rate, the financial asset or liability is measured, initially, at the present value of the future cash flow discounted at a market rate of interest for a similar debt instrument and subsequently at amortised cost. |
Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the Profit and Loss Account. |
For financial assets measured at amortised cost, the impairment loss is measured as the difference between an asset's carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate. If a financial asset has a variable interest rate, the discount rate for measuring any impairment loss is the current effective interest rate determined under the contract. |
For financial assets measured at cost less impairment, the impairment loss is measured as the difference between an asset's carrying amount and best estimate of the recoverable amount, which is an approximation of the amount that the Company would receive for the asset if it were to be sold at the balance sheet date. |
Financial assets and liabilities are offset and the net amount reported in the Balance Sheet when there is an enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. |
INMOMENT HOLDINGS (UK) LIMITED (REGISTERED NUMBER: 05749446) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 NOVEMBER 2022 |
3. | CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY |
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported for assets and liabilities as at the Statement of Financial Position date and the amounts reported for revenues and expenses during the year. These also include key assumptions concerning the future, and other key sources of estimation uncertainty at the Statement of Financial Position date, that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year. |
The nature of estimation means that actual outcomes could differ from those estimates. |
The following judgements have had the most significant effect on amounts recognised in the financial statements. |
Accounts receivable |
An allowance for doubtful accounts is maintained for potential losses based upon management's assessment of the expected collectability of all accounts receivable. The allowance for doubtful accounts is reviewed periodically to assess the adequacy of the allowance. In making this assessment management takes into consideration |
(i) any circumstances of which we are aware regarding a customer's inability to meet its financial obligations; and |
(ii) our judgments as to potential prevailing economic conditions in the industry and their potential impact on the company's customers. |
Provisions |
Provisions are recognized when the Company has a present obligation (legal or constructive) as a result of a past event, it is probable that the Company will be required to settle the probable outflow of resources, and a reliable estimate can be made of the amount of the obligation. |
The Company has entered into lease agreements which result in a requirement to pay costs in connection with reinstatement of the properties, on termination or completion of the lease. Provision has been made in respect of the Company's leased properties, which is reviewed periodically. In making this assessment management takes into consideration |
(i) regional office trends including supply and demand analysis; |
(ii) current and forecast market rental values and yields; and |
(iii) judgements as to potential economic conditions in the commercial property market and wider sectors. |
Turnover and revenue recognition |
For long term contracts that span the year end, turnover is recognised for each individual contract based upon the actual costs incurred to date as a proportion of the total expected costs of the contract, applied to the total expected revenue in order to calculate the value to be recognised. For one-off events, turnover is recognised on completion of the event at the amount invoiced to the client, net of VAT. |
The total expected costs and revenues are reviewed periodically on a project-by-project basis to assess the reasonableness and accuracy of the recognised revenue. In making this assessment management takes into consideration |
(i) expected changes in forecast expenditure and customer demands; |
(ii) changes in the nature of work or services being supplied necessitating a revision in revenue recognition methodology; |
(iv) economic factors including exchange and interest rate risk, as well as other underlying factors affecting supplier and customer demand; and |
(v) other factors brought to our attention during the ordinary course of undertaking the project, that may have an impact on revenue recognition, including individual customer requirements and supply chain considerations. |
INMOMENT HOLDINGS (UK) LIMITED (REGISTERED NUMBER: 05749446) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 NOVEMBER 2022 |
Other key sources of estimation and assumptions: |
Tangible fixed assets |
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 a number of factors. In 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. |
4. | TURNOVER |
The turnover and profit before taxation are attributable to the one principal activity of the group. |
An analysis of turnover by geographical market is given below: |
2022 | 2021 |
£ | £ |
United Kingdom | 7,540,526 | 7,078,748 |
Europe | 4,344,124 | 6,012,577 |
United States of America | 574,740 | 1,920,673 |
Asia | 222,510 | - |
12,681,900 | 15,011,998 |
5. | EMPLOYEES AND DIRECTORS |
2022 | 2021 |
£ | £ |
Wages and salaries | 4,783,429 | 5,532,085 |
Social security costs | 545,172 | 659,973 |
Other pension costs | 433,643 | 205,524 |
5,762,244 | 6,397,582 |
The average number of employees during the year was as follows: |
2022 | 2021 |
Client services | 145 | 152 |
Administrative | 7 | 3 |
The average number of employees by undertakings that were proportionately consolidated during the year was 152 (2021 - 155 ) . |
2022 | 2021 |
£ | £ |
Directors' remuneration | - | - |
INMOMENT HOLDINGS (UK) LIMITED (REGISTERED NUMBER: 05749446) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 NOVEMBER 2022 |
6. | OPERATING PROFIT |
The operating profit is stated after charging: |
2022 | 2021 |
£ | £ |
Other operating leases | - | 168,366 |
Depreciation - owned assets | 78,007 | 136,710 |
Loss on disposal of fixed assets | 1,102 | - |
Auditors' remuneration | (9,934 | ) | 26,000 |
Foreign exchange differences | 49,907 | 74,905 |
Other operating lease rentals | - | 12,055 |
7. | INTEREST RECEIVABLE AND SIMILAR INCOME |
2022 | 2021 |
£ | £ |
Other interest receivable | 1,218 | 22,490 |
8. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2022 | 2021 |
£ | £ |
Interest | 421 | - |
9. | TAXATION |
Analysis of the tax charge |
No liability to UK corporation tax arose for the year ended 30 November 2022 nor for the year ended 30 November 2021. |
Reconciliation of total tax charge 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 |
£ | £ |
Profit before tax | 547,640 | 1,323,624 |
Profit multiplied by the standard rate of corporation tax in the UK of 19 % (2021 - 19 %) |
104,052 |
251,489 |
Effects of: |
Expenses not deductible for tax purposes | - | 52 |
Depreciation in excess of capital allowances | - | 16,160 |
Utilisation of tax losses | (104,052 | ) | (227,184 | ) |
Changes in provisions leading to an increase/(decrease) in the tax charge | - | (40,517 | ) |
Total tax charge | - | - |
The UK budget 2021 announcements on 3 March 2021 included an increase to the UK's main corporation tax rate to 25%, which is effective from 1 April 2023. There will be no other factors that may affect future tax charges. |
10. | INDIVIDUAL STATEMENT OF COMPREHENSIVE INCOME |
As permitted by Section 408 of the Companies Act 2006, the Statement of Comprehensive Income of the parent company is not presented as part of these financial statements. |
INMOMENT HOLDINGS (UK) LIMITED (REGISTERED NUMBER: 05749446) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 NOVEMBER 2022 |
11. | TANGIBLE FIXED ASSETS |
Group |
Long | Computer |
leasehold | equipment | Totals |
£ | £ | £ |
Cost |
At 1 December 2021 | 441,625 | 663,433 | 1,105,058 |
Disposals | - | (9,842 | ) | (9,842 | ) |
At 30 November 2022 | 441,625 | 653,591 | 1,095,216 |
Depreciation |
At 1 December 2021 | 441,589 | 539,432 | 981,021 |
Charge for year | 36 | 77,971 | 78,007 |
Eliminated on disposal | - | (1,729 | ) | (1,729 | ) |
Exchange differences | - | 1,728 | 1,728 |
At 30 November 2022 | 441,625 | 617,402 | 1,059,027 |
Net book value |
At 30 November 2022 | - | 36,189 | 36,189 |
At 30 November 2021 | 36 | 124,001 | 124,037 |
12. | FIXED ASSET INVESTMENTS |
Company |
Shares in |
group |
undertakings |
£ |
Cost |
At 1 December 2021 |
and 30 November 2022 |
Net book value |
At 30 November 2022 |
At 30 November 2021 |
The investment represents the amount invested in wholly owned subsidiary InMoment Limited (formerly MaritzCX Limited), their registered address is First Floor Templeback, 10 Temple Back, Bristol, BS1 6FL. |
13. | DEBTORS |
Group |
2022 | 2021 |
£ | £ |
Amounts falling due within one year: |
Trade debtors | 1,535,197 | 1,335,922 |
Amounts owed by group undertakings | 1,928,897 | 4,511,879 |
Other debtors | 308,673 | 39,159 |
Prepayments | 922,201 | 271,945 |
4,694,968 | 6,158,905 |
INMOMENT HOLDINGS (UK) LIMITED (REGISTERED NUMBER: 05749446) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 NOVEMBER 2022 |
13. | DEBTORS - continued |
Group |
2022 | 2021 |
£ | £ |
Amounts falling due after more than one year: |
Prepayments and accrued income | - | 357,218 |
Aggregate amounts | 4,694,968 | 6,516,123 |
14. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group |
2022 | 2021 |
£ | £ |
Trade creditors | 372,959 | 182,365 |
Social security and other taxes | 130,970 | 301,629 |
Other creditors | 10,092 | 9,063 |
Amounts owed to group undertak |
ings | - | 3,904,225 |
Accruals and deferred income | 1,761,194 | 1,585,322 |
2,275,215 | 5,982,604 |
15. | PROVISIONS FOR LIABILITIES |
Group |
2022 | 2021 |
£ | £ |
Other provisions | 50,000 | 122,000 |
Aggregate amounts | 50,000 | 122,000 |
This provision represents the estimated cost of rectifications under the full repairing leases. |
16. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2022 | 2021 |
value: | £ | £ |
Ordinary | 0.05 | 9 | 9 |
17. | RESERVES |
Group |
Retained | Share |
earnings | premium | Totals |
£ | £ | £ |
At 1 December 2021 | (1,387,243 | ) | 4,009,520 | 2,622,277 |
Profit for the year | 547,640 | 547,640 |
At 30 November 2022 | (839,603 | ) | 4,009,520 | 3,169,917 |
INMOMENT HOLDINGS (UK) LIMITED (REGISTERED NUMBER: 05749446) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 NOVEMBER 2022 |
17. | RESERVES - continued |
Share premium |
Share premium represents amounts paid for shares above the nominal value, minus amounts transferred to the profit and loss reserve. |
Retained earnings |
The profit and loss account includes all current and prior period retained profits and losses, transfers from share premium and other reserves and capital contributions. |
18. | PENSION COMMITMENTS |
The Company operates a Defined Contribution Scheme. |
The pension cost charge for the period represents contributions payable by the Company to the scheme and amounted to £433,643 (2021: £205,524). There were outstanding contributions at the period end of £39,313 (2021: £36,834). |
19. | ULTIMATE PARENT COMPANY |
ICE Parent Inc., a company incorporated in the USA is the ultimate parent company and controlling party. |
The largest group in which the results of the Company are consolidated is headed by ICE Parent Inc., incorporated in the USA. The smallest group in which they are consolidated is that headed by InMoment Holdings (UK) Limited incorporated in the UK. The consolidated statements of ICE Parent Inc. are not available to the public. The consolidated statements of InMoment Holdings (UK) Limited are available to the public at Companies House. |
20. | RELATED PARTY DISCLOSURES |
Key management personnel remuneration for the year totalled £819,454 (2021: £1,112,255). |
At 30 November 2022 the group was owed £nil (2021: £786,155) from InMoment GmbH, a company within the wider group. |
At 30 November 2022 the group was owed £nil (2021: £3,423,391) to InMoment Research LLC, a company within the wider group, and owed £nil (2021: £3,608,158 owed from) to InMoment International LLC. |
At 30 November 2022 the group was owed £1,928,897 (2021: £302,331) to InMoment Inc., a company within the wider group. |
At 30 November 2022 the group owed £nil (£143,298) to Empathica Inc and owed £nil (£152,769 to Empathica Limited, both other companies within the wider group. |