PETNOR MEDIA SOLUTIONS LIMITED

Executive Summary

Petnor Media Solutions Limited shows persistent negative net assets and weak liquidity, reflecting ongoing losses and insufficient equity. The company’s micro scale and limited current assets relative to liabilities suggest elevated credit risk and limited capacity to service debt. Without evidence of improved profitability or capital support, extending credit is not recommended at this time.

PETNOR MEDIA SOLUTIONS LIMITED - Analysis Report

Company Number: 12682360

Analysis Date: 2025-07-20 15:47 UTC

1. Credit Opinion: DECLINE
   PETNOR MEDIA SOLUTIONS LIMITED demonstrates significant and persistent negative net assets and shareholders' funds over multiple years, indicating sustained losses and erosion of equity. The company’s balance sheet shows liabilities exceeding assets by £8,426 as of June 2024. Current liabilities and longer-term creditors remain substantial relative to current assets, revealing weak liquidity and potential difficulty servicing debt obligations. The absence of employees beyond the director and the micro size suggest limited operational scale and cash generation capability. Without clear evidence of profitability or capital infusion, the credit risk is elevated.

2. Financial Strength:
   The company’s financial position is weak. Net assets improved slightly from -£11,362 in 2023 to -£8,426 in 2024 but remain negative, indicating an ongoing deficit in equity. Fixed assets are minimal (£2,063) and unlikely to provide collateral value. Current assets are low (£2,143) compared to current liabilities (£680). The company carries significant creditors due after one year (£11,952), exacerbating solvency concerns. The persistent negative equity signifies accumulated losses and insufficient retained earnings to offset liabilities.

3. Cash Flow Assessment:
   Working capital is positive on the surface (£1,463) as current assets exceed current liabilities excluding overdue creditors, but this is marginal and volatile, given prior years’ negative net current assets. The company’s micro size and no recorded employees suggest limited operational cash flows. The director’s occupation as a broadcast journalist may indicate the business is a side activity rather than a fully resourced enterprise generating steady cash flow. The lack of detailed cash flow statements or profit and loss information limits full assessment but the negative net assets and ongoing liabilities point to constrained liquidity and potential dependence on external funding or director support.

4. Monitoring Points:

• Monitor changes in net assets and equity for signs of capital injection or operational turnaround.
• Watch current and long-term liabilities to assess if debts are being reduced or increasing.
• Review cash flow statements and profit/loss trends when available to confirm operational sustainability.
• Track director involvement and any changes in management that may influence financial stewardship.
• Observe any overdue filings or indications of financial distress or restructuring.