INTERPRETER PRODUCTIONS LIMITED

Executive Summary

Interpreter Productions Limited is a film production company currently preparing accounts on a non-going concern basis, indicating imminent cessation of trading. Liquidity is tight with minimal net working capital and declining cash balances. While regulatory compliance and audit opinions are clean, the company’s operational sustainability is limited, warranting a high risk rating for investors. Further enquiry into closure plans and creditor/debtor positions is recommended.

INTERPRETER PRODUCTIONS LIMITED - Analysis Report

Company Number: 13751661

Analysis Date: 2025-07-29 19:59 UTC

1. Risk Rating: HIGH
   The company is rated high risk primarily due to its cessation of trading within the next 12 months and the preparation of accounts on a non-going concern basis. This indicates imminent operational discontinuity and potential insolvency risk.

2. Key Concerns:

• Going Concern Qualification: Directors explicitly state the company is expected to cease trading within 12 months and have prepared accounts accordingly, signaling a winding-down phase.
• Tight Liquidity Position: Net current assets are minimal (£30,001 as at 31-Dec-2023) with current liabilities nearly equal to current assets, indicating limited short-term liquidity buffer.
• Significant Reduction in Debtors and Cash: Debtors decreased from £6.07m (2022) to £3.28m (2023) and cash decreased by about £130k, suggesting collection difficulties or declining business volume, potentially impairing cash flow.

3. Positive Indicators:

• No Overdue Filings: Both accounts and confirmation statement are filed on time, indicating regulatory compliance and good governance in reporting.
• Audit Opinion Unqualified: Independent auditor has given an unmodified opinion and found no material misstatements or irregularities, adding credibility to the financial information presented.
• Completion and Release of Film: The company has completed and released its contracted feature film, achieving its principal business objective for the period under review.

4. Due Diligence Notes:

• Investigate reasons behind the directors’ decision to cease trading within 12 months and whether formal liquidation or other closure procedures have commenced.
• Assess collectability and aging profile of debtors to understand cash flow risks and any potential bad debts.
• Review creditor composition and payment terms to evaluate short-term obligations and risk of default.
• Clarify the nature of the relationship and financial support from the parent company (Exit Light Productions Limited), which holds 75-100% control.
• Confirm no outstanding litigation, regulatory issues, or contingent liabilities that may impact closure or creditor recoveries.