Company Number: 13088998

Analysis Date: 2025-07-20 16:48 UTC

1. Credit Opinion: DECLINE
   Eurogipsgroup Ltd demonstrates weak financial health with persistent net liabilities and negative shareholders’ funds that have worsened from -£10,204 in 2023 to -£13,174 in 2024. The company’s inability to generate positive net assets signals capital erosion and financial distress. Additionally, current liabilities exceed current assets, indicating insufficient liquidity to cover short-term obligations. The absence of employees and minimal cash reserves further reduce operational resilience. Without clear evidence of improved cash flow or capital injection, the risk of default on credit obligations is high.

2. Financial Strength:
   The company’s balance sheet shows a negative net asset position of -£7,174 as of December 2024, deteriorating from -£4,204 the previous year. This implies accumulated losses have eroded equity significantly. Fixed assets are minimal or not reported, and current liabilities (£7,857) substantially exceed current assets (£1,559), resulting in a working capital deficit. The long-term creditors (trade and other payables beyond one year) are substantial (£7,857), highlighting leveraged financial structure and potential creditor pressure. Share capital remains at £6,000, insufficient to offset losses.

3. Cash Flow Assessment:
   Cash balances are low (£269 in 2024), and cash flow appears strained given current liabilities far exceed liquid assets. The company’s net current assets dropped from £1,195 in 2023 to £683 in 2024, indicating declining short-term liquidity. The lack of employees suggests limited business operations or outsourcing, which may impact revenue generation and cash inflows. The company’s financial statements do not provide a profit and loss account, but negative retained earnings and net liabilities indicate ongoing losses or cash burn. This raises concerns about the company’s ability to meet immediate payment obligations without additional financing.

4. Monitoring Points:

• Track improvements or further deterioration in net assets and equity position in future filings.
• Monitor liquidity ratios, particularly current ratio and quick ratio, to assess short-term payment capability.
• Watch for changes in trade payables and creditor terms that could affect working capital management.
• Assess any capital injections or restructuring plans from the sole significant controller, Mr Eduardo Camean Gomez.
• Review operational developments such as employee hiring or revenue generation to gauge business recovery.