ARDENTIUM LIMITED

Executive Summary

Ardentium Limited shows significant financial distress characterized by negative net assets and working capital deficits, raising serious solvency and liquidity concerns. While the company maintains compliance with filing requirements and stable management, the lack of operational scale and worsening financial position suggest elevated risk for investors. Further due diligence is essential to understand the causes of losses and the sustainability of the business model.

ARDENTIUM LIMITED - Analysis Report

Company Number: 13055726

Analysis Date: 2025-07-29 14:26 UTC

1. Risk Rating: HIGH
   The company exhibits a highly negative net asset position which has deteriorated significantly over the past years, indicating solvency concerns. The current liabilities exceed current assets by a large margin, reflecting liquidity stress. The absence of employees and minimal fixed assets further point to operational fragility.

2. Key Concerns:

• Negative Net Assets and Shareholders' Funds: The net assets declined from -£5,684 (2022) to -£12,814 (2023), which implies accumulated losses and potential insolvency risk.
• Severe Working Capital Deficit: Net current liabilities of £15,068 as of 2023 indicate the company may struggle to meet short-term obligations.
• No Employees or Operational Scale: The average number of employees is zero, suggesting limited ongoing operational activity or reliance on external contractors, which raises sustainability questions.

3. Positive Indicators:

• Active Status and Up-to-Date Filings: The company is active with all annual accounts and confirmation statements filed on time, indicating regulatory compliance and good governance practice in terms of statutory obligations.
• Limited Fixed Assets: Small fixed asset base (£2,254) reduces risk of illiquid asset exposure.
• Single Director with Consistent Appointment: No director changes or disqualifications reported, which may indicate stable management.

4. Due Diligence Notes:

• Investigate the nature and reason for the growing liabilities and accumulated losses, including creditor types and payment terms.
• Clarify the company’s business model and revenue generation given the absence of employees and minimal current assets.
• Review any contingent liabilities or off-balance sheet obligations that might exacerbate financial risk.
• Assess whether the company is receiving any financial support from the director or related parties to sustain operations.
• Examine cash flow statements (if available) for liquidity trends not visible in balance sheet data.