PEMBERLEY PROPERTY DEVELOPMENTS LTD

Executive Summary

PEMBERLEY PROPERTY DEVELOPMENTS LTD exhibits stable financial health with positive working capital and consistent equity, indicating a well-managed micro-entity. While liquidity and capital structure are sound, opportunities exist to strengthen financial resilience and support growth through enhanced cash flow management and strategic investment. Overall, the company is financially healthy but should remain vigilant to market risks inherent in property development.

PEMBERLEY PROPERTY DEVELOPMENTS LTD - Analysis Report

Company Number: 13100188

Analysis Date: 2025-07-20 13:29 UTC

Financial Health Assessment Report for PEMBERLEY PROPERTY DEVELOPMENTS LTD

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1. Financial Health Score: B

Explanation:
PEMBERLEY PROPERTY DEVELOPMENTS LTD shows a stable and healthy financial position typical for a micro-entity in the property development sector. The company demonstrates solid working capital with net current assets consistently positive and equity maintained at a reasonable level. However, the absence of detailed profitability data and the relatively modest scale of net assets suggest room for improvement, particularly in building resilience and financial flexibility.

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2. Key Vital Signs

Metric	2023 (£)	2022 (£)	Interpretation
Current Assets	329,139	326,631	Healthy level of short-term assets, indicating good liquidity.
Current Liabilities	154,518	145,970	Manageable short-term obligations; slight increase but within control.
Net Current Assets (Working Capital)	174,621	180,661	Positive and stable, indicating good short-term financial health and ability to cover debts.
Shareholders’ Funds (Equity)	174,621	180,661	Reflects the company's net worth; stable with minor fluctuations, showing retained value.
Average Number of Employees	0	0	No staff employed, typical for some micro-entities, but may indicate reliance on contractors.

Interpretation of Vital Signs:

• The company’s working capital is "healthy" — there are sufficient liquid assets to meet short-term liabilities, minimizing risk of cash flow distress.
• Equity stability points to consistent shareholder confidence and no erosion of net assets.
• The lack of employees suggests a lean operational model, which can preserve cash but may limit capacity for expansion without external resources.

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3. Diagnosis

The financial "symptoms" indicate a company in a stable condition with no immediate signs of distress:

• Liquidity is sound: The company holds more current assets than liabilities, a fundamental sign of financial wellness and operational continuity.
• Capital structure is stable: Shareholders’ funds have remained relatively steady over recent years, showing no alarming losses or heavy debt accumulation.
• Micro-entity status: As a micro company, reporting requirements are simplified, but this also means detailed profitability and cash flow statements are unavailable, limiting deeper insight into operational efficiency.
• No employees: This suggests a business model possibly focused on project-based work or outsourcing, which can be financially prudent but might also restrict growth and control.
• No audit requirement: While common for micro companies, lack of audit means financial statements might have limited external verification, increasing the reliance on management's accuracy.

Overall, the company shows no critical financial ailments, and its "vital signs" suggest a stable but cautious outlook typical for a small property development firm.

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4. Recommendations

To improve financial wellness and strengthen the company’s future outlook, consider the following actions:

• Enhance cash flow monitoring: Develop more detailed cash flow forecasts to ensure ongoing liquidity remains strong, especially given the cyclical nature of property development.
• Build capital reserves: Aim to increase retained earnings or inject additional equity to provide a financial buffer against market fluctuations or unexpected expenses.
• Explore growth opportunities: Consider strategic partnerships or hiring key staff to expand project capacity, which could improve revenue generation and reduce reliance on external contractors.
• Maintain compliance rigor: Continue timely filing of accounts and confirmation statements to avoid penalties and maintain credibility with stakeholders.
• Consider audit or financial review: Although not mandatory, an independent review could enhance stakeholder confidence and uncover operational efficiencies.
• Risk management: Regularly assess market risks, especially in property development, to anticipate and mitigate potential downturns.

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