Company Number: 13255204

Analysis Date: 2025-07-29 16:04 UTC

Credit Opinion:
DECLINE. Adelphe Ltd exhibits significant financial distress indicators, with persistent net current liabilities exceeding £88k and shareholders’ deficit worsening to £1,181 as of March 2024. The company's liabilities far outweigh its liquid assets, and there is no evidence of profitability or positive cash flow generation to service debts or support credit extension. The limited equity base (£100 share capital) and negative retained earnings highlight weak financial stewardship and insufficient capital buffer.

Financial Strength:
The balance sheet is fragile. Fixed assets are largely composed of a £87,757 financial asset recorded at fair value, but current assets are negligible (£1,492) relative to current liabilities (£90,250). The net asset position is negative (£-1,181), indicating insolvency on a balance sheet basis. The company’s net current liabilities have deteriorated slightly from prior years, signaling ongoing working capital challenges. There is minimal tangible asset coverage and almost no equity cushion to absorb losses.

Cash Flow Assessment:
Cash balances are minimal (£1,433) and current liabilities are very high, resulting in a severely negative working capital position (-£88,758). The company’s cash and receivables are insufficient to meet short-term obligations, suggesting liquidity risk. There is no disclosed profit and loss data, but the negative retained earnings and director remuneration cessation indicate poor operational cash generation. The company may be reliant on external funding or related party support, which is not sustainable for credit underwriting purposes.

Monitoring Points:

• Monitor upcoming filings for any changes in current liabilities or asset impairments.
• Watch for improvement in net current assets and positive retained earnings indicating return to profitability.
• Review cash flow statements if available to assess operational liquidity trends.
• Verify director and related party transactions for potential non-arm’s length support.
• Assess company’s ability to meet near-term obligations without additional capital injections.