ROCKALL HOLDINGS LIMITED

Executive Summary

Rockall Holdings Limited demonstrates strong financial health with growing net assets and excellent liquidity, supported by minimal liabilities and internal financing flexibility. Its structure as a holding company and stable director control reduce operational risks, making it a suitable candidate for credit approval. Ongoing monitoring should focus on intercompany debtor risk and maintaining strong liquidity ratios.

ROCKALL HOLDINGS LIMITED - Analysis Report

Company Number: 12472779

Analysis Date: 2025-07-29 20:22 UTC

Credit Opinion:
APPROVE. Rockall Holdings Limited shows strong liquidity and a robust balance sheet for its size. The company is active, with no overdue filings and a stable director structure. Its ability to maintain net current assets well above current liabilities indicates sound short-term financial stability. The business operates as a holding company, which typically involves managing investments rather than trading operations, reducing operational risk. The director’s loan advances appear managed and are repayable on demand, showing internal capital support.

Financial Strength:
The balance sheet as of 29 February 2024 indicates net assets of £447,375, a significant increase from £299,694 the prior year, reflecting growth in current assets and improved net current assets. Fixed assets are minimal (£1), consistent with a holding company structure. Current assets rose to £447,734, driven by cash (£233,092) and debtors (£214,642). Current liabilities are negligible at £360, reflecting very low short-term obligations. The company’s shareholders’ funds mirror net assets, indicating a strong equity base. The trend over four years shows consistent growth in net assets and working capital, supporting financial resilience.

Cash Flow Assessment:
Cash balances have nearly doubled from £122,640 to £233,092 year on year, highlighting improved liquidity. Debtors include loans to group undertakings and a director loan balance of £31,308, which is unsecured but repayable on demand, indicating flexible internal financing arrangements. The minimal current liabilities ensure that working capital remains strong (£447,374), providing ample coverage for immediate obligations. This liquidity profile supports the company’s capacity to service debt or meet short-term funding needs without stress.

Monitoring Points:

• The company’s reliance on internal loans and intercompany debtors should be monitored for repayment risk or concentration risk if group undertakings face financial difficulties.
• Continued maintenance of low current liabilities relative to current assets is critical to preserve liquidity.
• Watch for any changes in director involvement or ownership concentration, as the single director and 75-100% shareholder control by Mr. Michael Brooks creates dependency risk.
• As a holding company, the quality and performance of subsidiaries or investments will impact future financial health. Any changes in those underlying assets or operational environment should be reviewed.