CONTENTS
54  Directors and advisers
24-53   Notes to the financial statements
23   Cash flow statements
22   Balance sheets
21   Statements of changes in equity
20   Consolidated income statement
19   Independent auditor’s report
18   Statement of directors’ responsibilities
16-17   Remuneration report
15   Corporate governance statement
12-14   Directors’ report
11   Corporate and social responsibility
8-10   Chief Executive’s report
7   Chairman’s statement
3   Highlights
two
Strategic report
Governance
Financial statements
20   Consolidated statement of comprehensive income
Company information red24
Annual report & accounts for the year ended 31 March 2015
STRATEGIC REPORT
OVERVIEW
About red24
red24 is a crisis assistance company that provides a range of security and business support services, offering 
preventative and reactive advice to help organisations and individuals to avoid or manage security and business 
risks to themselves, their families and their businesses. Its products and services are distributed through leading 
international financial service companies.
+25%
Profit before tax
+11%
Dividend
+48%
Net cash
+1%
Revenue
2015
Revenue
£’000
2011 2012 2013 2014 2015
Profit before tax
£’000
At a glance
2011 2012 2013 2014 2015
*Reflects the contribution of Arc Training.
three
Highlights
• Revenue from continuing operations increased by 1% to £5,947,246 (2014: £5,886,707)
• Profit before tax up 25% to £1,066,398 (2014: £854,905)
• Cash balances up 48% to £3,417,956 (2014: £2,302,577) 
•  Dividend payment for the year increased by 11% to 0.50p per share (2014: 0.45p)   
Final dividend of 0.27p per share recommended (2014: 0.23p).
• Basic EPS from continuing operations up 38% to 1.83p (2014: 1.33p)
4,430 4,773 5,356 5,887
833
*
1,046
*
684 704 781 855
58
*
159
*
5,947 1,066 four five red24
Annual report & accounts for the year ended 31 March 2013
We have worked hard to build 
up a reputation with well 
established clients for high 
quality work and we see future 
growth both from our existing 
services and also from the 
addition of other services that 
are likely to be of assistance  
to those clients.
“
“
six red24
Annual report & accounts for the year ended 31 March 2015
Introduction
I am pleased to present our report for the 
year ended 31 March 2015.  
Financial Overview
The business continues to develop 
successfully and for many of our KPIs in a 
way that has exceeded our expectations. 
Revenue has increased by 1% to 
£5,947,246 from £5,886,707 achieved 
last year, despite the loss of our largest 
single contract. We responded swiftly to 
the news of this loss both to reduce our 
fixed cost base and to win new contracts. 
As a result we have achieved a record profit 
before tax of £1,066,398 as against the 
previous year’s £854,905. The research 
and development investment in our travel 
tracker product attracts a tax credit in the 
UK and this has reduced the tax charge, so 
basic earnings per share show a substantial 
increase to 1.83p per share from 1.33p, 
this improvement was also assisted by the 
purchase in the year of 1,050,000 shares 
by the Employee Benefit Trust, which 
serves to reduce the number of shares in 
issue for earnings per share calculation 
purposes. 
The net assets per share continue to 
increase and are now 8.7p per share up 
from 7.6p last year. In January 2013 we 
completed the purchase of the building 
housing our Crisis Response Management 
Centre in Cape Town. The local bank loan 
to fund part of the purchase remains our 
only debt.
 
The Board are recommending a final 
dividend of 0.27p be paid in September, 
which is an increase of 17% on the 0.23p 
final dividend paid last year, and brings the 
dividend return for the year as a whole to 
0.50p as compared to 0.45p last year.
 
The share price has had a volatile year 
and was understandably depressed by 
the August news of the loss of a major 
contract. Since then we have worked 
hard to ensure that the fundamentals of 
the business remain very sound and to 
communicate the fact that the business 
still has considerable potential to develop. 
This work is beginning to be reflected in 
an improved share price, so enhancing 
shareholders overall return.
Outlook
We have worked hard to build up a 
reputation with well established clients for 
high quality work and we see future growth 
both from our existing services and also 
from the addition of other services that are 
likely to be of assistance to those clients. 
Although there are risks to any business, 
the Board feel encouraged by the way we 
have continued to progress over the last 
year, despite the loss of one of our key 
contracts which represented the realisation 
of one of the biggest risk factors that the 
business faced, and are confident of further 
progress to come. 
Staff
Our staff are absolutely crucial to the 
quality of service provided and to creating 
an environment where we can attract good 
quality people who want to come to work 
for us. The Board are most grateful to all the 
staff for their hard work and are gratified 
that so many of them are choosing to build 
their careers with the group. 
Simon Richards
Chairman
5 June 2015 
STRATEGIC REPORT
CHAIRMAN’S STATEMENT
seven red24 is a crisis management assistance group that provides a range of security and 
business support services. Our business continues to enjoy four distinct streams of 
revenue: travel assistance, including accident and healthcare, special risks, consulting 
and product safety. We have developed an excellent reputation for assisting clients in 
minimising risks to their personnel, operations and profitability and this reputation 
is key to our ability to grow the business into related areas and to expanding our 
geographic coverage. 
Business model
The heart of our business operation is our 24/7 Crisis Response Management Centre 
(CRM) in Cape Town. This state of the art response centre is staffed 24 hours a day,  
365 days a year by a dedicated team of multi-lingual customer service representatives, 
regional analysts and experienced security professionals. The centre enables our experts to 
give accurate impartial, up to the minute information and advice to our clients. Across the 
group clients are offered escalating levels of assistance that are appropriate to the threat.
STRATEGIC REPORT
CHIEF EXECUTIVE’S REPORT
Travel assistance
Our travel assistance service has 
been significantly enhanced by the 
investment in our travel tracker product 
which has placed it onto a new technical 
platform that will make it both easier 
to interface with new clients and with 
new travel data bases. The product was 
launched at the business travel show 
in London in February 2015 and met 
with a most encouraging response 
from FTSE350 companies and higher 
education establishments and we think 
this will help materially in ensuring that 
this revenue stream is maintained in 
2016, notwithstanding the loss of the 
major book of business from HSBC. 
The loss of the HSBC Premier and 
Advance books in the UK was 
announced last August but has only 
impacted the revenue numbers in the 
current calendar year. We have been 
working hard to diversify our revenue 
base in recent years and the numbers 
show that significant progress has been 
made. Regulatory changes in the UK 
make it unlikely that the revenues lost 
will be replaced by like for like income 
and given the relatively high fixed cost 
base that the CRM represents we 
responded quickly to the bad news to 
reduce the cost base. Unfortunately  
this could not be done without 
implementing some staff reductions, 
the cost of which was taken in the first 
half year. I am pleased to say that the 
improved level of new business means 
we are once again recruiting.
We were pleased to be awarded the title 
of Risk Management Firm of the Year, 
2015, by Finance Monthly and believe 
the year under review has seen our 
reputation continue to grow.
red24
Annual report & accounts for the year ended 31 March 2015
eight
2015 2014
Turnover:
Segments Key: Product Safety Travel Assistance
Special Risks 
Consulting
£1,016k
£2,193k
£1,595k
£1,143k
£5,947k
£1,054k
£2,460k
£1,349k
£1,024k
£5,887k red24
Annual report & accounts for the year ended 31 March 2015
Special risks
Our special risks business had a busy 
year and dealt with a record number 
of kidnappings and other attempts at 
extortion – Mexico and Indonesia were 
particular trouble spots. None of these 
incidents resulted in the prolonged 
incident in the Middle East that so 
affected the 2014 numbers. We continue 
to publish our respected “Threat forecast” 
and have added new books of business 
over the year. The office we set up in 
Munich, primarily to service this unit, is 
meeting expectations and has created a 
number of promising opportunities.
Consulting and response
Throughout the year this unit has been 
busy with requests for close protection 
work and for evacuation planning 
services. In August a new Far Eastern 
client requested a large evacuation from 
Libya involving several hundred of their 
staff. This was successfully completed and 
represents our largest operation to date.
Product safety
Red24 Assist our product safety brand, 
showed an increase in revenue in the 
second half year following the launch of 
a new analytical tool and new training 
modules. This has kept our offering ahead 
of the competition and is helping to 
ensure that contracts are renewed and 
that new business is won.  
Principal risks and uncertainties
There are a number of principal risks and 
uncertainties which could have a material 
effect on the group. Some of these risks 
and uncertainties are external to the 
group and largely outside the group’s 
control. Foremost amongst these is the 
economic environment, which remains a 
challenging one as many governments 
struggle with debt constraints. This has 
implications for the relative value of 
currencies, not least sterling, which is 
our functional and reporting currency. 
The past two years have seen significant 
growth in our dollar revenues and costs, 
and we also have a significant rand 
cost base in South Africa. The impact of 
currency movements on our earnings 
cannot be reliably forecast and remains 
an area of uncertainty, though the Board 
do seek to reduce uncertainty by using 
forward exchange contracts to purchase 
rand for the forthcoming twelve months. 
Risks and uncertainties that are largely 
within the control of the group include 
the maintenance of the group’s 
competitive position to ensure the 
achievement and collection of sufficient 
revenue to meet the group’s objectives. 
The group maintains significant cash 
reserves both to mitigate against the 
possibility of periods of reduced working 
capital and to ensure adequate working 
capital is available to meet any sudden 
increase in the level of response work 
clients may require. Internally we have 
worked hard, and with some success, 
to broaden the customer base and 
reduce dependence on key accounts. 
Other normal business risks include 
dependence on the continued availability 
of key personnel to ensure that our 
clients receive the level of service they 
are entitled to expect, and the ability of 
the group to continue to provide that 
level of service. The reputation of the 
group is critical to its continued success 
and it works hard to develop and protect 
that reputation by ensuring that it only 
associates itself with activities that are 
appropriate for a business in its sector.
Looking forward
To date the group has been able to 
expand organically by recruiting 
appropriate specialists in the desired 
fields without the need for acquisitions. 
However the Board is mindful that 
acquisition remains an additional avenue 
to growth and, particularly in overseas 
markets, may be a more effective means 
of achieving growth. To this end, in June 
2015, we announced the acquisition 
of Risq Worldwide, a Singapore based 
company specialising in corporate 
investigations, business intelligence  
and employment background screening. 
This will significantly enhance our 
business in Asia, adds a number of  
blue-chip clients and broadens our 
product offering in London. 
We have a good pipeline of new 
business, and see significant 
opportunities in Europe and in Asia. 
Whether the revenue lost can be fully 
recovered by organic growth in a single 
year remains to be seen, but we are 
pleased with the level of new business 
achieved thus far.
 
Expansion in areas outside our reporting 
currency is affected by exchange rate 
movements. Almost half our revenue is 
now denominated in US dollars, even 
where our clients are the UK arm of US 
insurers, whereas almost 50% of our 
costs are incurred in Rand. Exchange 
rate movements are influenced by many 
complex factors and whilst the Board 
continues to believe that it is neither 
practical nor desirable to hedge these 
risks fully, we have taken steps to secure 
what we believe to be a favourable 
opportunity to purchase forward 80% of 
our forecast Rand requirements for the 
coming year. 
nine Key performance indicators
The key performance indicators (“KPIs”) for the group are those that communicate the financial performance and strength of 
the group, as a whole, to shareholders. A summary of the KPI’s is as follows (derived from continuing operations only):
Maldwyn Worsley-Tonks
Chief Executive
5 June 2015
2015
£’000
2014
£’000
Financial
Revenue 5,947 5,887
Gross profit 4,418 4,533
Profit before tax 1,066 855
Earnings per share 1.83p 1.33p
Available cash 3,418 2,303
ten
STRATEGIC REPORT
CHIEF EXECUTIVE’S REPORT
red24
Annual report & accounts for the year ended 31 March 2015 The red24 brand and our corporate values are the key to our 
approach to Corporate Social Responsibility (CSR). Our CSR 
strategy is focused on the following key issues: 
Business ethics
The Board is committed to maintaining high ethical standards 
across the group and expect the same commitment from our staff, 
customers and suppliers. Our reputation is vital to our continued 
business success and we do not tolerate any form of bribery, 
corruption or fraud. We have anti-bribery policies in place of 
which all employees are made aware when they join as well as 
through the group intranet and through training.
Employee engagement
The Board recognise that our employees are fundamental to our 
success. As a professional services business we have a highly 
skilled workforce who assist in delivering our strategic objectives. 
The Board aim to ensure that there are equal opportunities 
for all employees and that decisions affecting employees are 
taken based on merit and not on such factors as race, gender, 
nationality or religious beliefs. In South Africa there are legislative 
requirements that expect the workforce to be reflective of the 
mix of peoples in the Western Cape. The board regularly monitor 
progress towards this.
Many of the group’s employees have become shareholders 
through the share loan scheme. In 2013 an employee benefit 
trust was created. The Board have provided a loan of £125,000 
to the Trustees to acquire shares in the market and, at 31 March 
2015 the Trust held 1,050,000 shares in the Group. The Board 
intend that these shares will be used to satisfy staff share awards 
made as part of a longer term incentive scheme. The remaining 
step will be to create a new, approved, Enterprise Management 
Incentive Scheme open to all qualifying staff.
The optional defined contribution pension schemes, introduced 
in 2012, for all staff based in either South Africa or the United 
Kingdom, have been taken up 80% of our staff.
Health and safety
The Board are committed to providing a safe workplace for all 
our staff and to ensure that our services are provided in a way 
that delivers our services safely for clients and staff, including 
contractors. Responsibility for health and safety rests with the  
Chief Executive.
Sustainability
The Board monitor staffing needs to ensure that it is regularly 
reviewed and appropriate plans put in place to ensure we  
retain and develop the necessary levels of skills and take action 
where necessary.
We monitor and work to minimise our impact on the 
environment. We measure our carbon footprint and work to 
reduce it. We provide the green24 website as an open access  
one, allowing individuals and corporates to live and work in  
a more sustainable way.
Community engagement
Red24 established a charity committee in 2007, “Project Infundo” , 
which means education. Through the work of this committee 
we support educational initiatives. In Cape Town, we assist 
a disadvantaged primary school in Constantia and a teacher 
improvement programme in Khayelitsha; whilst in London we 
assist a community voluntary charity. 
On behalf of the Board
J E A Mocatta
Secretary
5 June 2015
eleven
STRATEGIC REPORT
CORPORATE SOCIAL RESPONSIBILITY REPORT
red24
Annual report & accounts for the year ended 31 March 2015 DIRECTORS’ REPORT
The directors present their report and 
the audited financial statements of the 
company and of the group for the year 
ended 31 March 2015. 
Principal activities and business review
red24 plc is incorporated in Scotland 
and domiciled in England. Its shares are 
listed on the AIM Market (“AIM”) of the 
London Stock Exchange. The company 
acts as a holding company.  The principal 
activities of its wholly-owned trading 
subsidiaries are the provision of security 
risk management and other assistance 
services.  These activities are expected to 
continue for the foreseeable future.
A fair review of the business, and its future 
prospects, including consideration of the 
principal risks facing the group and a 
review of our performance against financial 
key performance indicators is contained in 
the Strategic Report on pages 3 to 11. The 
Board intend to adopt non-financial key 
performance indicators in the coming year.
The Board exercises proper and appropriate 
corporate governance for the group. It 
ensures that there are effective systems 
of internal controls in place to manage 
the shareholders’ interests and the 
group’s assets, including the assessment 
and management of the risks to which 
the group’s businesses are exposed. 
A discussion of the principal risks is 
contained in the strategic review and in 
note 28 to the financial statements.
Results for the year
The financial result for the year ended 31 
March 2015 and the comparative result 
for the year ended 31 March 2014 are set 
out on page 20.  An interim dividend of 
0.23p per share (2014: 0.22p) was paid 
on 24 February 2015. A final dividend 
of 0.27p per share (2014: 0.23p) will be 
recommended to the AGM on 4 August 
2015, to be paid on 18 September 2015.
Directors 
S A Richards, J E A Mocatta and M S H 
Worsley-Tonks held office throughout the 
year. D J Gill was appointed on 1 August 
2013 and resigned on 16 June 2014.  
L Adlam was appointed on 1 October 2014.
M S H Worsley-Tonks retires by rotation at 
the forthcoming Annual General Meeting 
and, being eligible, offers himself for re-
election. L Adlam, having been appointed 
since the last Annual General Meeting and, 
being eligible, offers herself for re-election. 
Biographies of directors
Simon Richards, who is a Chartered 
Accountant, is the company’s executive 
chairman. Simon has been a director since 
1995 and oversaw the company’s first 
listing on AIM in 1999 and the re-listing on 
the acquisition of the security business in 
2002. He also acts as the part time finance 
director as well as being the chairman of 
Sidebell Limited.
Maldwyn Worsley-Tonks joined the Board 
in 2003 and has been the group’s chief 
executive since 2007. Maldwyn has 
overseen the profitable development of 
the group. A former Lieutenant Colonel 
in the British Army, having commanded a 
regular Parachute Battalion, he has many 
years’ experience in the security industry 
and is an expert in crisis contingency 
planning for businesses.  
John Mocatta, who is a Chartered 
Accountant, is the company’s senior non-
executive director and joined the Board in 
1999 to assist in the AIM listing and to be 
the independent voice of shareholders. 
He is a specialist in corporate finance and 
has previously been both an executive and 
a non-executive director of a number of 
public and private companies.
Lorraine Adlam joined the board in 
October 2014 as a Non-Executive Director. 
She has over thirty years’ experience in 
the insurance sector in a variety of roles 
including CEO of a Lloyd’s Underwriting 
business and Chairman of Howden 
Insurance Brokers Ltd. Lorraine is an expert 
practitioner in financial and professional 
lines, with significant experience in 
strategy, business development and 
investor relations. 
twelve
red24
Annual report & accounts for the year ended 31 March 2015 DIRECTORS’ REPORT
Directors’ interests
The interests of the directors in the company’s share capital, including shares held by companies controlled by the directors, were as follows:
                                                                                                                    31 March 2015
Ordinary shares 
of 1p each
Ordinary share  
options 
(iv)
 
Ordinary share  
options 
(v)
 
S A Richards (i) 630,000 - -
J E A Mocatta (ii) 650,000 - -
M S H  Worsley-Tonks 963,500 500,000 750,000
L Adlam 50,000 - -
                                                                                                                    1 April 2014
Ordinary shares 
of 1p each
Ordinary share  
options 
(iii)
 
Ordinary share  
options 
(iv)
 
Ordinary share  
options 
(v)
 
S A Richards (i) 610,000 50,000 - -
J E A Mocatta (ii) 630,000 50,000 - -
M S H  Worsley-Tonks 943,500 175,000 500,000 750,000
D J Gill 13,181 - - -
(i)   S A Richards is interested in the shares of Sidebell Limited, which held 13,389,250 ordinary shares of 1p each at 31 March 2015  
(1 April 2014: 13,389,250 ordinary shares of 1p each).  
S A Richards is also interested in the shares of Financial & General Securities Limited, which held 440,000 ordinary shares of 1p each  
at 31 March 2015 (1 April 2014: 260,000).
(ii) J E A Mocatta is also interested in 18,000 (1 April 2014: 12,000) ordinary shares held in trust for his granddaughter.
 
(iii)   On 16 April 2004 options over ordinary shares of 1p each at a price of 18.75p per share were granted to directors and certain employees. 
These options were exercisable between 16 April 2006 and 15 April 2014, when they lapsed.
(iv)   On 2 March 2010 options over ordinary shares of 1p each at a price of 8p per share were granted to M S H Worsley-Tonks.  
These options are exercisable between 31 March 2013 and 31 March 2016.  
(v)  On 8 August 2012 options over ordinary shares of 1p each at a price of 10.5p per share were granted to M S H Worsley-Tonks.  
These options are exercisable between 8 August 2015 and 8 August 2018.
thirteen
red24
Annual report & accounts for the year ended 31 March 2015 Substantial shareholdings
The following shareholders had advised the company of holding an 
interest of 3 per cent or more in the issued ordinary share capital of 
the company at 6 May 2015:
Number of 
ordinary  shares 
of 1p each
Percentage of 
issued ordinary 
share capital
Sidebell Limited 13,389,250 27.33
J M Briggs and EMIS 8,576,500 17.51
Hargreave Hale Nominees 2,700,000 5.51
Pershing Nominees 2,061,035 4.21
PFS Downing Active  
Management Fund 2,049,056 4.18
Hargreaves Lansdown Nominees 1,855,455 3.79
Barclays Wealth Management 1,652,068 3.37
Jarvis Investment Management 1,633,107 3.33
TD Waterhouse Nominees 
Europe 1,507,923 3.08
Directors’ and officers liability insurance
During the year the company has maintained insurance to 
indemnify the directors against potential claims arising from the 
performance of their duties.
Related parties
The group considers that the Directors, their spouses and children 
and other companies or businesses of which the Directors, their 
spouses or children are either directors or principals, or both, are 
related parties. Full details of transactions with related parties are 
disclosed in note 27 to these accounts. The interests of related 
parties in the shares of the company are set out above.
Corporate social responsibility
The group corporate social responsibility report is set out on page 11.
Equal opportunities
The group endorses and supports the principles of equal 
employment opportunities.  It is the policy of the group to provide 
equal employment opportunities to all qualified individuals, which 
ensures that all employment decisions are made, subject to legal 
obligations, on a non-discriminatory basis.
Disabled employees
Applications for employment by disabled persons are always 
fully considered, bearing in mind the aptitudes of the applicant 
concerned. In the event of members of staff becoming disabled, 
every effort is made to ensure that the training, career 
development and promotion opportunities of disabled persons 
should, as far as possible, be identical with those of other 
employees.
Product development
The group invests in its products and services on a continuous 
basis to ensure that its offerings remain at the forefront of those 
on offer in the market place.
Suppliers’ payment terms
It is the policy of the group to agree terms of payment with its 
suppliers when trading relationships are established, to ensure 
that the terms of payment are clear and to abide by the agreed 
terms, provided the suppliers meet their obligations.  Payable 
days at 31 March 2015 were 26 (2014: 19) for the group and  
32 (2014: 32) for the company.
Financial instruments
Details of the financial instruments of the company and its 
subsidiary undertakings are contained in note 28.
Employee participation
The group values the involvement of its employees and keeps 
them informed of matters affecting them and on the various 
factors affecting the performance of the group. Employees are 
encouraged to become shareholders in the company. 
Statement as to disclosure of information to auditor
Each of the directors confirms that, so far as he is aware, there is 
no relevant audit information of which the company’s auditor 
is unaware, and that he has taken all steps that he ought to 
have taken as a director in order to make himself aware of any 
relevant audit information and to establish that the company’s 
auditor is aware of that information.  
Auditor
A resolution proposing that Baker Tilly UK Audit LLP , Chartered 
Accountants, be appointed as auditor of the company will be 
put to the members at the Annual General Meeting. Baker Tilly 
UK Audit LLP has indicated its willingness to continue in office.
On behalf of the board
J E A Mocatta
Secretary
5 June 2015 
DIRECTORS’ REPORT
fourteen
red24
Annual report & accounts for the year ended 31 March 2015 CORPORATE GOVERNANCE STATEMENT
The company is committed to high standards 
of corporate governance. The board is 
accountable to the company’s shareholders 
for good corporate governance. The company 
has complied substantially throughout 
the period with the corporate governance 
guidelines for smaller quoted companies 
issued by the Quoted Companies Alliance 
and details are provided below.
 
Application of the principles of good 
governance
The names of the directors and their 
respective responsibilities are shown 
on page 12.  At the year end, the Board 
consisted of two executive directors and two 
non-executive directors. Both non-executive 
directors are regarded as independent. 
The full Board met 12 times during the 
year (2014: 12) and receives appropriate 
information from management in advance 
of its meetings. Certain functions are 
delegated to Board Committees. 
The Remuneration Committee is chaired 
by the senior independent non-executive 
director and consists of that director, 
the other non-executive director and 
the Chairman. Its key role is to make 
recommendations to the Board, within 
agreed terms of reference, on the Company’s 
framework of executive remuneration and 
its cost and to determine on behalf of the 
Board specific remuneration packages for 
the Executive Directors.
The Audit Committee consists of the 
Chairman and the two non-executive 
directors, two of whom are Chartered 
Accountants. The Committee, which is 
chaired by the senior non-executive director, 
meets with the independent auditor to 
consider the group’s financial reporting in 
advance of its publication.
The Board considers that its structure 
is appropriate to its present stage of 
development and that both non-executive 
directors are independent of the executives 
in both character and judgement. 
Internal control
The Board has overall responsibility for 
ensuring that the group maintains a 
system of internal control to provide it 
with reasonable assurance regarding the 
reliability of information used within the 
business and for publication and that 
assets are safeguarded.  There are inherent 
limitations in any system of internal control 
and, accordingly, even the most effective 
system can provide only reasonable, and 
not absolute, assurance with respect to the 
preparation of financial information and the 
safeguarding of assets.
The key features of the internal control 
system that operated during the year may be 
summarised as follows:
•  Board responsibility for overall strategy 
and for approving budgets, forecasts and 
plans;
•  Board and business heads participate in 
the annual strategic planning process 
which sets the framework for the budgets 
of individual business units;
•  clear lines of authority, responsibility 
and financial accountability within each 
business unit, ensuring an appropriate 
organisational structure for planning, 
executing, controlling and monitoring its 
business operations;
•  consideration and review by the Board of 
monthly management accounts which 
compare actual results with budgets and 
prior years’ results;
•  regular reporting of legal, accounting, 
human resources and health and safety 
developments and issues to the Board; 
and
•  comprehensive accounting policies and 
regular reviews of compliance with those 
policies.
The Audit Committee reviews the operation 
and effectiveness of this framework on a 
regular basis and, on behalf of the Board, 
has reviewed the half yearly report and the 
annual financial statements along with the 
nature and scope of the external audit.  
The directors consider that there have 
been no weaknesses in internal financial 
control that have resulted in any material 
losses, contingencies or uncertainties 
requiring disclosure in the group’s financial 
statements.
Relations with shareholders
The Chairman and Chief Executive make 
themselves available to major shareholders 
on request and periodically attend meetings 
with and presentations to shareholders. 
The Annual General Meeting is normally 
attended by all directors and shareholders 
are invited to ask questions during the 
meeting and to meet with directors after the 
formal proceedings have ended.
Going concern
Having made enquiries, the directors have 
a reasonable expectation that the company 
and the group as a whole will have adequate 
resources to continue in operational 
existence for the foreseeable future.  For this 
reason they continue to adopt the going 
concern basis in preparing the accounts.  
Auditor independence
The Audit Committee undertakes a formal 
assessment of the external auditor’s 
independence each year which includes:
•  a review of non-audit services provided to 
the group and related fees;
•  receipt from the auditor of a written 
report detailing relationships with the 
company and any other parties that could 
affect independence or the perception of 
independence;
•  a review of the auditor’s own procedures 
for ensuring independence of the audit 
firm and partners and staff involved in the 
audit, including the regular rotation of the 
audit partner; and
•  obtaining written confirmation from 
the auditor that, in their professional 
judgement, they are independent.
An analysis of the fees payable to the 
external audit firm in respect of both audit 
and non-audit services during the year is set 
out in note 4 to the financial statements.
On behalf of the board
J E A Mocatta
Audit Committee Chairman
5 June 2015
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Annual report & accounts for the year ended 31 March 2015 REMUNERATION REPORT
The Remuneration Committee comprises J E A Mocatta, as 
Chairman, L Adlam and S A Richards.
Policy on remuneration of Executive Directors
The purpose of the Remuneration Committee is to consider all 
aspects of executive directors’ remuneration and determine the 
specific remuneration packages of each of the executive directors 
and, as appropriate, other senior executives, ensuring that 
the remuneration packages are competitive within the service 
industry and reflect both group and personal performance.
The current remuneration packages of the executive directors 
consist of basic salary, share options and a discretionary bonus.
M S H Worsley-Tonks has a letter of appointment dated 1 April 
2008, which is capable of termination by twelve months notice by 
either party. 
S A Richards has a letter of appointment dated 23 September 
2004, which is capable of termination by twelve months notice by 
either party. 
Non-Executive Directors
The remuneration of the Non-Executive Directors is set by the 
Board as a whole.
John Mocatta & Co has agreed to provide the services of  
J E A Mocatta, as a non-executive director, under a letter of 
appointment dated 23 September 2004, which is capable of 
termination by the giving of twelve months notice by either party. 
L Adlam has a letter of appointment dated 1 October 2014, which 
is capable of termination by six months notice by the company 
and at no notice by the director. 
                                                                                                       2015
 
Salary or fees
£
Bonus
£
Total
£
S A Richards 90,700 13,600 104,300
J E A Mocatta 42,036 - 42,036
M S H Worsley-Tonks 133,900 26,800 160,700
L Adlam 12,000 - 12,000
D J Gill 5,015 - 5,015
283,651 40,400 324,051
Directors’ remuneration
The emoluments of the individual directors, which comprise salaries or fees and bonus were as follows:
                                                                                                       2014
 
Salary or fees
£
Bonus
£
Total
£
S A Richards 88,000 9,900 97,900
J E A Mocatta 41,250 - 41,250
M S H Worsley-Tonks 130,000 19,500 149,500
D J Gill 16,000 - 16,000
275,250 29,400 304,650
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Annual report & accounts for the year ended 31 March 2015 REMUNERATION REPORT
Directors’ benefits
None of the directors received any benefits in kind during the year 
or during the previous year, nor were any pension contributions 
made on behalf of any director in either year. On 1 August 2013 
the group introduced a three times salary death in service benefit 
scheme of which the executive directors are members.
Directors’ interests in shares and options
The interests of the directors holding office at 31 March 2015 in 
the company’s share capital, including share options and also 
including shares held by companies controlled by the directors, 
are shown in the directors’ report on page 13. 
The Board believe that the direct participation in the equity of the 
company leads to a significant reduction in staff turnover and is 
an effective method of ensuring that the longer term interests 
of staff and shareholders coincide. In 2013 the Board set up an 
Employee Benefit Trust with the intention of empowering the Trust 
to acquire shares at appropriate opportunities to satisfy future staff 
share awards. At 31 March 2015 1,050,000 shares (2014: Nil) had 
been acquired by the trust. In the coming year a new Enterprise 
Management Incentive Scheme is planned.
Executive directors, managers and staff will all be eligible to 
participate in the scheme after a minimum length of service and 
the Board envisage that the present system of discretionary cash 
bonuses will move to one where there is a short and long term 
element to the award, the former will continue to be paid in cash 
and the later by way of share options, under the EMI Scheme for 
those eligible.
The Board are pleased to note that at 31 March 2015 20 members 
of staff (2014: 33) were shareholders in the company.
J E A Mocatta
Remuneration Committee Chairman 
5 June 2015
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Annual report & accounts for the year ended 31 March 2015 STATEMENT OF DIRECTORS’ RESPONSIBILITIES
The directors are responsible for preparing the Strategic Report 
and the Directors’ Report and the financial statements in 
accordance with applicable law and regulations.
 
Company law requires the directors to prepare group and 
company financial statements for each financial year.  The 
directors are required by the AIM Rules of the London Stock 
Exchange to prepare group financial statements in accordance 
with International Financial Reporting Standards (“IFRS”) as 
adopted by the European Union (“EU”) and have elected under 
company law to prepare the company financial statements in 
accordance with IFRS  as adopted by the EU.
 
The financial statements are required by law and IFRS adopted 
by the EU to present fairly the financial position of the group 
and the company and the financial performance of the group. 
The Companies Act 2006 provides in relation to such financial 
statements that references in the relevant part of that Act to 
financial statements giving a true and fair view are references to 
their achieving a fair presentation.
Under company law the directors must not approve the financial 
statements unless they are satisfied that they give a true and fair 
view of the state of affairs of the group and the company and of 
the profit or loss of the group for that period. 
 
In preparing the group and company financial statements, the 
directors are required to:
a.   select suitable accounting policies and then apply them 
consistently;
b.   make judgements and accounting estimates that are 
reasonable and prudent;
c.   state whether they have been prepared in accordance with 
IFRSs adopted by the EU;
d.   prepare the financial statements on the going concern basis 
unless it is inappropriate to presume that the group and the 
company will continue in business.
The directors are responsible for keeping adequate accounting 
records that are sufficient to show and explain the group’s and 
the company’s transactions and disclose with reasonable accuracy 
at any time the financial position of the group and the company 
and enable them to ensure that the financial statements comply 
with the Companies Act 2006.  They are also responsible for 
safeguarding the assets of the group and the company and hence 
for taking reasonable steps for the prevention and detection of 
fraud and other irregularities.
The directors are responsible for the maintenance and integrity  
of the corporate and financial information included on the  
red24 plc website.
Legislation in the United Kingdom governing the preparation and 
dissemination of financial statements may differ from legislation 
in other jurisdictions. 
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Annual report & accounts for the year ended 31 March 2015 INDEPENDENT AUDITOR’S REPORT TO THE MEMBERS OF RED24 PLC
We have audited the group and parent company financial 
statements on pages 20 to 53. The financial reporting framework 
that has been applied in their preparation is applicable law and 
International Financial Reporting Standards (“IFRSs”) as adopted 
by the European Union and, as regards the parent company 
financial statements, as applied in accordance with the provisions 
of the Companies Act 2006.     
This report is made solely to the company’s members, as a body, in 
accordance with Chapter 3 of Part 16 of the Companies Act 2006.  
Our audit work has been undertaken so that we might state to 
the company’s members those matters we are required to state to 
them in an auditor’s report and for no other purpose.  To the fullest 
extent permitted by law, we do not accept or assume responsibility 
to anyone other than the company and the company’s members 
as a body, for our audit work, for this report, or for the opinions we 
have formed.
Respective responsibilities of directors and auditor
As more fully explained in the Statement of Directors’ 
Responsibilities on page 18, the directors are responsible for the 
preparation of the financial statements and for being satisfied that 
they give a true and fair view. Our responsibility is to audit and 
express an opinion on the financial statements in accordance with 
applicable law and International Standards on Auditing (UK and 
Ireland). Those standards require us to comply with the Auditing 
Practices Board’s (“APB’s”) Ethical Standards for Auditors.
Scope of the audit of the financial statements
A description of the scope of an audit of financial statements is 
provided on the Financial Reporting Council’s website at 
www.frc.org.uk/auditscopeukprivate.com
Opinion on financial statements
In our opinion 
−   the financial statements give a true and fair view of the state of 
the group’s and of the parent’s affairs as at 31 March 2015 and 
of the group’s profit for the year then ended; 
−  the group financial statements have been properly prepared in 
accordance with IFRSs as adopted by the European Union;
−  the parent financial statements have been properly prepared in 
accordance with IFRSs as adopted by the European Union and as 
applied in accordance with the Companies Act 2006; and
−  the financial statements have been prepared in accordance with 
the requirements of the Companies Act 2006.
Opinion on other matter prescribed by the Companies Act 2006
In our opinion the information given in the Strategic Report 
and the Directors’ Report for the financial year for which the 
financial statements are prepared is consistent with the financial 
statements.
Matters on which we are required to report by exception
We have nothing to report in respect of the following matters 
where the Companies Act 2006 requires us to report to you if, in 
our opinion:
-   adequate accounting records have not been kept by the parent 
company, or returns adequate for our audit have not been 
received by branches not visited by us: or
-  the parent company financial statements are not in agreement 
with the accounting records and returns: or
-  certain disclosures of directors’ remuneration specified by law are 
not made; or
-  we have not received all the information and explanations we 
require for our audit. 
David Clark (Senior Statutory Auditor)
for and on behalf of BAKER TILLY UK AUDIT LLP , Statutory Auditor
Chartered Accountants
25 Farringdon Street
London EC4A 4AB
5 June 2015
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Annual report & accounts for the year ended 31 March 2015 CONSOLIDATED INCOME STATEMENT AND CONSOLIDATED STATEMENT 
OF COMPREHENSIVE INCOME
For the year ended 31 March 2015
CONSOLIDATED INCOME STATEMENT
Notes
2015
£
2014
£
Continuing operations
Revenue 3 5,947,246 5,886,707
Cost of sales (1,528,926) (1,354,137)
Gross profit 4,418,320 4,532,570
Administrative expenses (3,341,116) (3,653,153)
Operating profit 4 1,077,204 879,417
Finance income 5 13,211 4,498
Finance costs 6 (24,017) (29,010)
Profit before tax 3 1,066,398 854,905
Tax charge 10 (178,240) (202,592)
Profit for the year from continuing operations 888,158 652,313
Discontinued operations
Profit for the year from discontinued operations 11 - 173,808
Profit for the year attributable to the owners of the parent 24 888,158 826,121
Earnings per share from continuing operations
Basic 13 1.83p 1.33p
Diluted 13 1.82p 1.32p
Earnings per share from continuing and discontinued operations
Basic 13 1.83p 1.69p
Diluted 13 1.82p 1.68p
The results above arose from continuing operations.
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
Notes Gr oup                     
2015
£
Gr oup                     
2014
£
Profit for the year 888,158 826,121
Other comprehensive income for the year net of tax
Items that may be subsequently reclassified  to profit or loss
Revaluation of property 19,184 -
Currency translation differences 24 (3,308) (56,947)
Total comprehensive income for the year attributable to owners of the parent 904,034 769,174
The accompanying notes are an integral part of these financial statements.
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Annual report & accounts for the year ended 31 March 2015 STATEMENTS OF CHANGES IN EQUITY
For the year ended 31 March 2015
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
Attributable to owners of the parent
Share capital
£
Share 
premium
£
Other 
reserves
£
R evaluation  
r eserves          
£
R etained  
e arnings     
£
Total
£
Balance at 1 April 2013 489,834 223,652 53,160 60,244 2,316,061 3,142,951
Total comprehensive income for the year
- - - (56,947) 826,121 769,174
Transactions with owners
Share based payments - - 940 - - 940
Dividends paid - - - - (205,728) (205,728)
Total transactions with owners - - 940 - (205,728) (204,788)
Balance at 31 March 2014 489,834 223,652 54,100 3,297 2,936,454 3,707,337
Total comprehensive income for the year - - - 15,876 888,158 904,034
Transactions with owners
Own shares acquired - - (121,586) - - (121,586)
Share based payments - - (12,130) - 21,170 9,040
Dividends paid - - - - (222,218) (222,218)
Total transactions with owners - - (133,716) - (201,048) (334,764)
Balance at 31 March 2015 489,834 223,652 (79,616) 19,173 3,623,564 4,276,607
COMPANY STATEMENT OF CHANGES IN EQUITY
Attributable to owners of the parent
Share capital
£
Share 
premium
£
Other 
reserves
£
Retained 
earnings
£
Total
£
Balance at 1 April 2013 489,834 223,652 53,160 834,316 1,600,962
Total comprehensive income for the year - - - 809,985 809,985
Transactions with owners
Share based payments - - 940 - 940
Dividends paid - - - (205,728) (205,728)
Total transactions with owners - - 940 (205,728) (204,788)
Balance at 31 March 2014 489,834 223,652 54,100 1,438,573 2,206,159
Total comprehensive income for the year - - - 423,835 423,835
Transactions with owners
Own shares acquired - - (121,586) - (121,586)
Share based payments - - (12,130) 21,170 9,040
Dividends paid - - - (222,218) (222,218)
Total transactions with owners - - (133,716) (201,048) (334,764)
Balance at 31 March 2015 489,834 223,652 (79,616) 1,661,360 2,295,230
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Annual report & accounts for the year ended 31 March 2015 BALANCE SHEETS
For the year ended 31 March 2015
 Group
2015
Group
2014
Company
2015
Company
2014
Notes £ £ £ £
ASSETS
NON-CURRENT ASSETS
Intangible assets 14 432,335 280,106 27,791 21,768
Property, plant & equipment 15 756,170 743,369 - -
Investment in group companies 16 - - 408,334 408,334
Investments 17 - 372,000 - 372,000
Deferred tax assets 18 51,315 35,800 38,100 35,800
Trade and other receivables 19 6,490 13,981 537,414 553,358
1,246,310 1,445,256 1,011,639 1,391,260
CURRENT ASSETS
Trade and other receivables 19 905,501 1,264,321 212,899 120,599
Cash and cash equivalents 20 3,417,956 2,302,577 1,359,576 957,426
4,323,457 3,566,898 1,572,475 1,078,025
Assets classified as held for sale 17 250,000 - 250,000 -
TOTAL ASSETS  5,819,767 5,012,154 2,834,114 2,469,285
CAPITAL AND RESERVES 
Called up share capital 23 489,834 489,834 489,834 489,834
Share premium account 24 223,652 223,652 223,652 223,652
Other reserves 24 (79,616) 54,100 (79,616) 54,100
Revaluation reserves 24 19,173 3,297 - -
Retained earnings 24 3,623,564 2,936,454 1,661,360 1,438,573
EqUITy ATTRIBUTABLE TO OWNERS  
OF THE PARENT 24 4,276,607 3,707,337 2,295,230 2,206,159
NON-CURRENT LIABILITIES
Deferred tax liabilities 18 43,549 4,902 - -
Borrowings 22 215,370 240,726 - -
258,919 245,628 - -
CURRENT LIABILITIES
Trade and other payables 21 1,180,485 887,325 538,884 263,126
Corporation tax 86,350 154,215 - -
Borrowings 22 17,406 17,649 - -
1,284,241 1,059,189 538,884 263,126
TOTAL EQUITY AND LIABILITIES 5,819,767 5,012,154 2,834,114 2,469,285
 
The financial statements on pages 20 to 53 were approved and authorised for issue by the Board of Directors on 5 June 2015.  
The accompanying notes are an integral part of these financial statements.
Signed on behalf of the Board of Directors’
S A Richards (Director)                         M S H Worsley-Tonks (Director)       
twentytwo
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Annual report & accounts for the year ended 31 March 2015 CASH FLOW STATEMENTS
For the year ended 31 March 2015
Group
2015
Group
2014
Company
2015
Company
2014
Notes £ £ £ £
Cash generated from operating activities 11, 25 1,642,496 1,087,079 441,640 186,249
Investing activities
Interest received 13,211 4,498 21,619 35,990
Dividend received - - 180,000 380,000
Investment in subsidiary - - - (180,000)
Trade investment 122,000 (5,032) 122,000 (5,032)
Purchase of intangibles (217,020) (103,684) (19,305) (20,722)
Purchase of property, plant & equipment (46,017) (73,473) - -
Cash disposed of with subsidiary - (270,355) - -
Net cash (used in)/generated from investing activities (127,826) (448,046) 304,314 210,236
Financing activities
Dividends paid (222,218) (205,728) (222,218) (205,728)
Interest paid (24,017) (29,010) - -
Purchase of own shares (121,586) - (121,586) -
Bank loans repaid (19,651) (75,402) - -
Net cash used in financing activities (387,472) (310,140) (343,804) (205,728)
Net increase in cash and cash equivalents 25 1,127,198 328,893 402,150 190,757
Cash and cash equivalents at the beginning of the year 2,302,577 2,048,675 957,426 766,669
Effect of foreign exchange rate changes (11,819) (74,991) - -
Cash and cash equivalents at the end of the year 3,417,956 2,302,577 1,359,576 957,426
The accompanying notes are an integral part of these financial statements.
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Annual report & accounts for the year ended 31 March 2015 NOTES TO THE FINANCIAL STATEMENTS
For the year ended 31 March 2015
1 Accounting policies
(a) Basis of preparation
From 1 April 2007, the group and company have adopted 
International Financial Reporting Standards (“IFRS”) and the 
International Financial Report Interpretations Committee (“IFRIC”) 
interpretations as adopted by the European Union (“EU”) in the 
preparation of its financial statements and those parts of the 
Companies Act 2006 applicable to companies reporting under IFRS. 
The financial statements have been prepared under the historical  
cost basis, except for trade investments and land and buildings  
which have been measured at fair value. 
The accounts are prepared on a going concern basis. In assessing 
whether the going concern assumption is appropriate, the directors 
have taken into account relevant available information about the 
future including profit and cash forecasts for the next two financial 
years and the assumptions on which they are based. After reviewing 
this information, the directors consider that it is appropriate to 
prepare the financial statements on a going concern basis.
(b) Basis of consolidation
The consolidated financial statements include the financial 
statements of the company and all of the entities controlled by the 
company (its subsidiaries) made up to 31 March each year. Control 
is obtained when the company has exposure or rights to the variable 
returns from the involvement in the investee entity and the ability 
to affect those returns through its power over the investee. The 
acquisition of subsidiaries is accounted for using the acquisition 
method. The cost of an acquisition is measured as the cash paid 
and the fair value of other assets given, equity instruments issued 
and liabilities incurred or assumed at the date of exchange of 
contracts. Costs directly attributable to the acquisition are expensed 
as incurred.
The results of subsidiaries sold or acquired are included in the 
consolidated income statement up to, or from, the date control 
passes. Where necessary, adjustments are made to the financial 
statements of subsidiaries to bring the accounting policies used 
into line with those used by the group. All intra-group transactions, 
balances, income and expenses are eliminated on consolidation.
The company has not presented its own income statement as 
permitted by Section 408 of the Companies Act 2006. The profit  
for the year was £423,835 (2014: £809,985).
(c) Revenue recognition
Revenue represents the fair value of the consideration received or 
receivable in respect of services provided in the normal course of 
business, net of discounts, value added tax and other sales related 
taxes. Sales of services are recognised when the services have been 
provided, services invoiced in advance are treated as deferred 
income and income is accrued where services have been provided 
but not yet invoiced.
Interest income is accrued on a time-apportioned basis. Dividend 
income is accounted for when received.
(d) Cost of sales, gross profit and operating profit
Cost of sales represent the fair value of costs directly incurred in the 
supply of goods sold and services provided. Costs are recognised at 
the time when the goods have been supplied or the services have 
been provided. Costs relating to still to be provided services are 
carried forward in other receivables to the extent it is considered 
probable they will be recovered.
Gross profit is defined as revenue recognised less cost of sales.
Operating profit is arrived at after deducting all administrative 
expenses from gross profit, including restructuring and impairment 
costs, but before finance income and finance costs.
(e) Borrowing costs
All borrowing costs are recognised in the income statement in the 
period in which they are incurred. Interest costs are accrued on a 
time basis by reference to the principal outstanding at the effective 
interest rate applicable.
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Annual report & accounts for the year ended 31 March 2015 NOTES TO THE FINANCIAL STATEMENTS
For the year ended 31 March 2015
(f) Taxation
The tax credit or expense represents the sum of the current tax 
expense and deferred tax.
The tax currently payable is based on the taxable profit for the year. 
Taxable profit differs from net profit as reported in the income 
statements because it excludes items of income and expense that are 
taxable or deductible in other years and it further excludes items that 
are never taxable or deductible. The group’s liability for current tax is 
calculated using the applicable rate for the period the taxable profits 
are earned in.
Deferred tax is provided in full, using the liability method, on 
temporary differences arising between the tax bases of assets and 
liabilities and their carrying amounts in the financial statements.
Deferred tax assets are recognised to the extent that it is probable that 
future taxable profits will be available against which the temporary 
differences can be utilised. 
Deferred tax is measured at the average tax rates that are expected 
to apply in the periods in which timing differences are expected 
to reverse, based on tax rates and laws that have been enacted or 
substantively enacted by the balance sheet date.  Deferred tax is 
measured on a non-discounted basis. Deferred tax is charged or 
credited in the income statement, except where it relates to items 
charged or credited directly to equity, in which case the deferred tax is 
also dealt with in equity.
Deferred tax is provided on temporary timing differences arising on 
investments in subsidiary companies, except where the timing of the 
reversal of the temporary difference is controlled by the group and 
it is probable that the temporary difference will not reverse in the 
foreseeable future.
(g) Intangible assets
Goodwill, being the excess of the cost of acquisition over the fair  
value of net assets, including any intangible assets identified, 
acquired, is capitalised. Goodwill is not amortised but is tested at 
least annually for impairment and carried at cost less accumulated 
impairment provisions. 
                         
Goodwill is allocated to cash generating units for the purpose of 
impairment testing. If the recoverable amount of the cash generating 
unit is less than the carrying amount of the unit, then any goodwill 
is considered to be impaired. Impairment losses recognised for 
goodwill are not reversed in subsequent periods.
The recoverable amounts of the cash generating units are determined 
from value in use calculations. The group prepares cash flow forecasts 
from the most recent financial budgets approved by management. 
The cash flows are then discounted at an appropriate interest rate, 
based on the likely cost of loan capital, to determine value in use. 
Intellectual properties, including computer software licences, 
training courses, websites and trademarks are capitalised at cost and 
are amortised on a straight-line basis over their estimated useful 
economic lives of between one and three years. 
(h) Investment 
A trade investment is an entity over which the group does not have 
significant influence and that is neither a subsidiary, an associate nor 
a joint venture. Such investments are initially measured at fair value, 
to which transaction costs are added. Such assets are financial assets  
and any gain or loss arising on remeasurement is recognised in  
profit and loss. 
(i) Property, plant & equipment and depreciation 
Land and buildings held for use in the provision of services, or 
for administrative purposes, are initially valued at cost, including 
transaction costs. Subsequent to initial measurement land and 
buildings are revalued regularly and held in the balance sheet at the 
revalued amount, being the fair value at the date of revaluation, less 
any subsequent accumulated depreciation. A gain or loss arising from 
a change in fair value is included in taken to a revaluation reserve in 
the period in which it arises.
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Annual report & accounts for the year ended 31 March 2015 NOTES TO THE FINANCIAL STATEMENTS
For the year ended 31 March 2015
(i) Property, plant & equipment and depreciation (continued)
Plant and equipment is valued at cost less accumulated depreciation 
and less provisions for impairment. Depreciation is provided at the 
following annual rates in order to write off each asset, on a straight-
line basis, over its estimated useful life:
Buildings 3% per annum
Fixtures, fittings and equipment 16.67% to 50% per annum
Motor vehicles 20% per annum
                    
The depreciation charge is time apportioned in the year of acquisition 
and disposal of assets. Freehold land is not depreciated.
(j) Product development
Product development is written off to the income statement as 
incurred unless the directors are satisfied as to the technical, 
commercial and financial viability of individual projects.  In this 
situation, the expenditure is deferred and amortised over the  
period during which the company is expected to benefit.
(k) Foreign currency translation
The individual financial statements of each group company are 
presented in the currency of the primary economic environment in 
which it operates (its functional currency). For the purposes of the 
consolidated financial statements, the results and financial position of 
each group company are expressed in sterling, which is the functional 
currency of the company, and the presentation currency for the 
consolidated financial statements.
In preparing the financial statements of the individual companies, 
transactions expressed in currencies other than the entity’s functional 
currency (foreign currencies) are translated at rates of exchange 
approximating to those ruling at the date of the transaction.  At 
each balance sheet date, monetary assets and liabilities that are 
denominated in foreign currencies are retranslated at rates ruling at 
the balance sheet date. Non monetary items that are measured in 
terms of historical cost in a foreign currency are not retranslated. 
Exchange differences arising on the settlement of monetary items, 
and on the retranslation of monetary items, are included in the profit 
or loss before tax for the period.
In presenting the consolidated financial statements the assets and 
liabilities of the overseas subsidiary are translated at the rate ruling 
at the balance sheet date. The results of the overseas subsidiary have 
been translated at the average exchange rate ruling during the year. 
Differences arising on retranslation are added to or deducted from the 
group’s translation reserve. 
(l) Financial assets
Trade receivables, loans and other receivables that have fixed or 
determinable payments that are not quoted in an active market 
are classified as “Loans and receivables” . These receivables are 
initially recognised at fair value and subsequently measured at their 
amortised cost using the effective interest rate method less any 
provision for impairment. 
Financial assets are assessed for indications of impairment at each 
balance sheet date. Financial assets are impaired where there 
is objective evidence that, as a result of one or more events that 
occurred after the initial recognition of the financial asset, the 
estimated future cash flows of the asset have been impacted. For 
trade and other receivables the carrying amount is reduced by an 
allowance reflecting the impairment. When a trade receivable is 
uncollectible it is written off against the allowance, subsequent 
recoveries of amounts previously written off are credited against the 
allowance account. Changes in the carrying amount of the allowance 
are reflected in the income statement. 
Cash and cash equivalents comprise cash in hand and on demand 
deposits, and other short-term highly liquid investments that are 
readily convertible to a known amount of cash and are subject to an 
insignificant risk of changes in value.
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Annual report & accounts for the year ended 31 March 2015 NOTES TO THE FINANCIAL STATEMENTS
For the year ended 31 March 2015
(m) Financial liabilities and equity
Financial liabilities and equity are classified according to the substance 
of the contractual arrangements entered into. An equity instrument is 
any contract that evidences a residual interest in the assets of the group 
after deducting all its liabilities. Equity instruments are recorded at the 
proceeds received, net of direct issue costs. 
The component parts of compound instruments are classified separately 
as financial liabilities and equity in accordance with the substance of the 
transaction. At the date of issue the fair value of the liability is estimated 
using the prevailing market interest rate for a similar non-convertible 
instrument. This amount is recorded as a liability on an amortised cost 
basis until extinguished on conversion or upon the instrument reaching 
maturity. The equity component is determined by deducting the 
amount of the liability component from the fair value of the compound 
instrument as a whole. This is recognised in equity through other 
reserves and is not subsequently re-measured.
Other financial liabilities are initially measured at fair value, net of 
transaction costs, and subsequently at amortised cost using the effective 
interest method. Interest bearing bank loans and overdrafts together 
with obligations under finance leases are classified as “Borrowings” .
(n) Net cash
Net cash is defined as the excess of cash and cash equivalents  
over borrowings. 
(o) Investments
Non-current investments representing investments in subsidiary 
undertakings are valued at cost less any provision for impairment in the 
value of the investment. 
Held-for-sale investments that do not have a quoted market price are 
held at fair value, where that can be reliably measured, otherwise they 
are held at cost less any identified impairment losses at the end of  
each reporting period. 
(p) Dividends
Dividend payments are recognised as liabilities once they are 
appropriately authorised and no longer at the discretion of the company. 
(q) Share based payments
The group issues equity-settled share based payments to certain 
employees. Equity settled share based payments are measured at fair 
value at the date of grant. The fair value determined at the grant date is 
expensed on a straight line basis over the vesting period, based on the 
group’s estimate of options that will eventually vest. Fair value is 
measured by use of the Black Scholes model. The assumptions 
underlying the number of awards expected to vest are subsequently 
adjusted to reflect conditions prevailing at the balance sheet date.  
At the vesting date of an award, the cumulative expense is adjusted to 
take account of the awards that actually vest.
(r) Leased assets and obligations
An asset is acquired when substantially all the risks and rewards are 
transferred and is capitalised as an asset under a finance lease with the 
corresponding liability to the finance company included in trade and 
other payables.  Depreciation on assets held under finance leases is 
provided in accordance with the policy noted in (i) above.  Finance lease 
payments are treated as consisting of capital and interest elements and 
the interest is charged to the income statement on a constant rate basis 
over the period of the agreement. Finance charges are charged directly 
to income. All other leases are operating leases.
Rentals receivable or payable under operating leases are credited or 
charged to the income statement on a straight line basis over the  
lease term.
(s) Adoption of new and revised standards
In the current financial year the group has adopted the following 
improvements to IFRSs which were effective for this financial period. 
These have had no material impact on the financial statements of  
the Group:
 • IAS 27 ’Separate financial statements’;
• IAS 28 ‘Investments in associates and joint ventures’;
• IFRS 10 ’Consolidated financial statements’;  
• IFRS 11 ’Joint arrangements’; 
• IFRS 12 ’Disclosure of interests in other entities’; 
At the date of authorisation of these financial statements, the following 
Standards and Interpretations, which have not yet been applied in these 
financial statements, were in issue but not yet effective:
• IAS 1 ‘Disclosure initiative’;
• IAS 19 ‘Employee benefits’;
• IAS 32 ’Offsetting financial assets and financial liabilities’;  
• IAS 34 ’Interim financial reporting’;
• IFRS 5 ’Discontinued operations’;
• IFRS 9 ’Financial Instruments’;          
• IFRS 13 ‘Fair value measurement’ .
• IFRS 15 ‘Revenue from contracts with customers’ .
The directors do not anticipate that they will have a material impact  
on the financial statements.  
twentyseven
red24
Annual report & accounts for the year ended 31 March 2015 NOTES TO THE FINANCIAL STATEMENTS
For the year ended 31 March 2015
2  Critical accounting judgements and key sources of 
estimation uncertainty 
Estimates and judgements are evaluated on a continual basis and  
are based on historical experience together with expectations of 
future events believed to be reasonable at the time. In considering 
the possible impairment of intangible assets and in recognising 
deferred tax assets, estimates of future revenues are particularly 
critical. The directors have prepared forecasts of revenues and 
expenses covering the next two financial years to assist in the  
making of estimates and judgements.
In the process of applying the group’s accounting policies, which 
are described in note 1, the directors have made the following 
judgements that have the most significant effect on the amounts 
recognised in the financial statements.
Critical accounting judgement - Revenue recognition
Much of the group’s revenue comes from business that relates to  
the provision of services over a period of time. Invoiced revenue  
may cover more than one accounting period and these revenues are 
time apportioned to the accounting period to which they relate and 
the obligation for future service is shown in deferred in come. Even 
after recognition as revenue on a time apportioned basis, there may 
be uncertainty as to the costs relating to these revenues for some 
time afterwards and there may remain an obligation for  
future service.  
An estimate of this obligation has been made by the directors,  
using their experience of similar contracts, and deducted from 
recognised revenue. 
Estimation uncertainty - Life of intangible assets
The group depends on its intangible assets to generate revenue 
and invests to develop and maintain its intangible assets. New 
intangible assets are recognised on the balance sheet and tested 
annually for impairment, as described further in note 14. The 
estimates supporting these impairment tests are based on future 
revenue projections and discount rates and are inherently uncertain.
 
3  Revenue and segment analysis 
Following the sale of the training business in 2013 the 
management of the group has been reorganised into a single 
operating segment. The segment recognises four streams of 
revenue each of which is supported by the Crisis Response 
Management Centre (CRM) in Cape Town. The Chief Operating 
Decision Maker which is deemed to be the group board of directors, 
receives reports of revenue and cost of sales by revenue stream 
but it is considered neither desirable nor practical to allocate the 
administrative overheads to those revenue streams. 
The following tables provide details of revenue and profit for each revenue stream:
twentyeight
red24
Annual report & accounts for the year ended 31 March 2015
31 March 2015 
Revenue Stream
Travel
assistance
Special
risks
Consultancy
& response
Product 
safety
Consolidated
£ £ £ £ £
Revenue 2,192,504 1,595,008 1,143,468 1,016,266 5,947,246
Gross profit 2,175,231 1,197,888 363,008 682,193 4,418,320
Administrative costs (3,341,116)
Operating profit 1,077,204
Finance income 13,211
Finance expense (24,017)
Profit before tax 1,066,398
Tax charge (178,240)
Profit after tax 888,158 NOTES TO THE FINANCIAL STATEMENTS
For the year ended 31 March 2015
3  Revenue and segment analysis (continued) 
twentynine
red24
Annual report & accounts for the year ended 31 March 2015
31 March 2014 
Revenue Stream
Travel
assistance
Special
risks
Consultancy
& response
Product 
safety
Consolidated
£ £ £ £ £
Revenue 2,460,205 1,349,088 1,024,009 1,053,405 5,886,707
Gross profit 2,286,337 1,045,422 457,111 743,700 4,532,570
Administrative costs (3,653,153)
Operating profit 879,417
Finance income 4,498
Finance expense (29,010)
Profit before tax 854,905
Tax charge (202,592)
Profit from discontinued operations 173,808
Profit after tax and discontinued operations 826,121
The group’s operations are located in the United Kingdom, in the Republic of South Africa and in the USA. The following tables provide an 
analysis of the group’s sales by location of customer, irrespective of the origin of the services, and a geographical analysis of the location of 
segment assets and additions to property, plant and equipment and intangible assets. 
Geographic segment
Revenue
2015
£
Revenue
2014
£
Segment assets
2015
£
Segment assets
2014
£
Segment 
liabilities
2015
£
Segment 
liabilities
2014 
£
United Kingdom 2,832,560 3,147,275 2,516,860 2,355,520 903,301 519,032
South Africa 37,477 31,585 1,628,882 1,629,620 465,296 657,472
Rest of Europe 471,844 618,445 - - - -
United States of America 1,821,225 1,876,342 18,401 20,709 21,492 -
Rest of the World 784,170 213,060 - - - -
5,947,246 5,886,707 4,164,143 4,005,849 1,390,089 1,176,504
Shared corporate assets - - 1,655,624 1,006,305 153,071 128,313
5,947,246 5,886,707 5,819,767 5,012,154 1,543,160 1,304,817 NOTES TO THE FINANCIAL STATEMENTS
For the year ended 31 March 2015
3  Revenue and segment analysis (continued)  
4 Operating profit
The operating profit is stated after charging:
 2015
£
2014
£
 Amortisation of intangible assets 64,104 38,249
Depreciation of property, plant and equipment 34,755 23,473
Operating lease rentals - land and buildings 65,591 46,351
   - equipment 6,179 4,486
(Gain)/loss on foreign exchange transactions (103,482) 81,389
Share based payments 9,040 940
Fees payable to the auditor for the audit of the company and group annual accounts 16,850 21,050
Audit of the company’s subsidiaries pursuant to legislation 18,150 17,450
Fees payable to auditor and their associates for other services:
Other services pursuant to legislation 1,800 3,400
Fees payable to auditor’s associate for the audit of the South African subsidiaries 12,001 12,096
Fees payable to the auditor’s associates for the other services 13,524 1,175
thirty
red24
Annual report & accounts for the year ended 31 March 2015
Intangible assets 
Geographic segment
Capital  
expenditure
2015
£
Capital  
expenditure
2014
£
Amortisation
2015
£
Amortisation
2014
£
United Kingdom 217,020 103,345 55,878 27,861
South Africa - 339 8,226 10,388
217,020 103,684 64,104 38,249
The following tables provide details of revenue, assets and liabilities and capital expenditure by geographic segment:
Property, plant & equipment 
Geographic segment
Capital  
expenditure
2015
£
Capital  
expenditure
2014
£
Amortisation
2015
£
Amortisation
2014
£
United Kingdom 4,836 3,278 5,216 6,232
South Africa 41,181 70,195 27,994 17,241
United States of America - - 1,545 -
46,017 73,473 34,755 23,473
Two customers accounted for more than 10% of group revenue; one, a distributor, accounts for 14.0% (2014: 23.4%) 
and the other, which followed a major response, also accounts for 14.0% (2014:10.4%).  
Auditor’s remuneration includes £36,800 (2014: £41,900) in respect of the group auditor, of which £35,000 (2014: £38,500) relates to audit services and 
£1,800 (2014: £3,400) to non audit services.  Other services comprise £1,500 (2014: £3,400) relating to a review of the group’s half year report and the 
provision of a registered office £300 (2014: £Nil).   NOTES TO THE FINANCIAL STATEMENTS
For the year ended 31 March 2015
thirtyone
red24
Annual report & accounts for the year ended 31 March 2015
5 Finance income
2015
£
2014
£
Bank and other interest receivable   13,211 4,498
13,211 4,498
6  Finance costs
 2015
£
2014
£
 Interest on bank loans and overdrafts 24,017 29,010
7  Employees
2015
Number
 2014
Number
(a) Average monthly number of employees of the group, including executive directors,  
during the year:
Consultants and sales 11 11
Office and management 73 73
84 84
2015
Number
 2014
Number
(b) Staff costs including Executive Directors’: 
Wages and salaries 2,002,207 2,201,390
Social security costs 124,729 130,695
Pension and medical benefits 84,602 81,667
Share based payments 9,040 9,040
2,220,578 2,422,792
Employee costs are included in administrative expenses in the consolidated income statement. Employee costs of £Nil (2014: £21,000) 
have been capitalised in intangible assets. NOTES TO THE FINANCIAL STATEMENTS
For the year ended 31 March 2015
8  Share based payments
The company has issued share options, none of which are subject 
to performance conditions, to certain directors and employees. The 
options cannot be exercised in the first three years following their 
grant and, under normal circumstances, the options lapse if an 
employee leaves the group.
On 16 April 2004, the company granted 1,595,000 options to 
subscribe for ordinary shares of 1p each under the company’s general 
share option scheme, exercisable at 18.75p per share between 16 
April 2006 and 15 April 2014, all of which have now lapsed. 
On 2 March 2010, the company granted 500,000 options to subscribe 
for ordinary shares of 1p each under the company’s executive share 
option scheme, exercisable at 8p per share between 31 March 2013 
and 31 March 2016.
 
On 8 August 2012 the company granted 750,000 options to subscribe 
for ordinary shares of 1p each under the company’s executive share 
option scheme, exercisable at 10.5p per share at any time between  
8 August 2015 and 8 August 2018.
At 31 March 2015 1,250,000 outstanding options are exercisable 
(2014: 1,562,500) at a weighted average exercise price of 9.5p 
(2014: 11.35p). 
     
The total charge recognised in administration expenses in the income 
statement from share based transactions, all equity-settled, amounted 
to £9,040 (2014: £9,040). 
The following movement took place in the year:
2004
Series
2010
Series
2012
Series Total
At 1 April 2014 312,500 500,000 750,000 1,562,500
Lapsed/cancelled during the year (312,500) - - (312,500)
At 31 March 2015 - 500,000 750,000 1,250,000
The following movements took place in the previous year: 
2004
Series
2010
Series
2012
Series Total
At 1 April 2013 432,500 500,000 750,000 1,682,500
Lapsed/cancelled during the year (120,000) - - (120,000)
At 31 March 2014 312,500 500,000 750,000 1,562,500
thirtytwo
red24
Annual report & accounts for the year ended 31 March 2015 NOTES TO THE FINANCIAL STATEMENTS
For the year ended 31 March 2015
8  Share based payments (continued)
Fair value is determined by use of the Black Scholes model using the following assumptions:
2012
Series
2010
Series
Grant date 8 August 2012 2 March 2010
Exercise price 10.5p 8p
Shares issued under option 750,000 500,000
Weighted average share price 8p 8p
Vesting period 3 years 3 years
Expected volatility 41% 51%
Contractual expiry date 8 November 2017 31 March 2016
Option life taken as expected life 3 years 3 years
Weighted average remaining life 5 years 4 years
Risk free rate 2.5% 3.5%
Expected dividend yield 3.0% 2.0%
Probability of option vesting 90% 90%
Fair value per option 4p 3p
The expected volatility of all equity compensation benefits is based on the expected volatility of the underlying share price over the term of the 
option. This has been calculated using historical share price data.
9  Directors’ emoluments
The total emoluments of the directors, who are considered to be the key management personnel, were as follows:
2015 2014
£ £
Salaries, fees and bonuses 324,051 304,650
Social security costs 32,562 35,682
Share based payments 9,040 9,040
365,653 349,372
Bonus payments were made to the executive directors during the year, and for the previous year, based on a percentage of annual salary, as 
shown in the remuneration report. The executive directors are members of the group death in service scheme. Other than that, the directors 
received no benefits in kind during the year or during the previous year, nor were any pension contributions made on behalf of any director in 
either year. Details of the highest paid director are shown in the remuneration report and details of the directors’ interests in share options are 
given in the directors’ report.
thirtythree
red24
Annual report & accounts for the year ended 31 March 2015 NOTES TO THE FINANCIAL STATEMENTS
For the year ended 31 March 2015
10 Taxation
(a) Analysis of income tax charge for the year
2015
£
2014
£
Current tax
   United Kingdom 57,620 48,205
   Overseas 97,482 132,215
155,102 180,420
Deferred tax:
   United Kingdom 35,360 10,810
   Overseas (12,222) 11,362
178,240 202,592
(b) Factors affecting the income tax charge for the year
The charge for the year can be reconciled to the profit per the income statement as follows:
2015
£
2014
£
Profit before taxation 1,066,398 854,905
Profit on ordinary activities multiplied by the standard rate of corporation tax  
in the UK of 21% (2014: 23%) 223,944 196,628
Effects of:
Permanent differences (15,057) 2,337
Temporary differences 3,043 164
Utilisation of tax losses not previously recognised in deferred tax (54,308) (33,269)
Adjustments to prior periods (789) 2,901
Difference in overseas tax rates 21,407 33,831
Income tax charge 178,420 205,592
thirtyfour
red24
Annual report & accounts for the year ended 31 March 2015 NOTES TO THE FINANCIAL STATEMENTS
For the year ended 31 March 2015
10 Taxation (continued)
(c) Factors affecting tax charge for future years
The company has capital losses for tax purposes at 31 March 2015 of £605,994 (2014: £605,994) available to carry forward against future 
capital gains and excess management expenses of £882,917 (2014: £1,123,152), subject to acceptance by H M Revenue & Customs.   
The UK trading subsidiaries have no losses for corporation tax purposes at 31 March 2015 available to carry forward against profits from  
the same trade (2014: £18,824). 
The group and the company have deferred tax assets not included in the financial statements as recovery is not sufficiently certain,  
calculated at a corporation tax rate of 20% (2014: 21%), as follows:
Group Company
2015
£
2014
£
2015
£
2014
£
Tax losses carried forward:
  Capital losses 121,199 127,259 121,199 127,259
  Management expenses 138,500 204,133 138,500 204,133
  Trading losses - 3,953 - -
Non-current asset temporary differences 1,042 979 - -
260,741 336,324 259,699 331,392
Period to 31 July 2013
£
Revenue 327,996
Expenses (149,677)
Gross profit 178,319
Administrative expenses (118,937)
Operating profit 59,382
Interest receivable               35
Profit before tax 59,417
Attributable tax expense -
59,417
Profit on disposal 114,391
Net profit attributable to discontinued operations 173,808
The deferred tax asset in respect of trading losses is recoverable against future profits from the same trade.
11 Discontinued operations
On 31 July 2013 the group disposed of Arc Training International Limited, which carried on a security management training business. The 
disposal was made in exchange for an investment in the purchaser, Linx International Limited. On 12 August 2014 the group agree to sell this 
investment for £375,000 in three equal tranches, the first of which was completed on that day and the remaining two fall due on 12 August 2015 
and 12 August 2016. The group anticipates that both these tranches will be completed when they fall due and accordingly the investment is 
considered as an asset held for sale in these financial statements.
The results of the discontinued operation, which have been included in the consolidated income statement, were as follows:
thirtyfive
red24
Annual report & accounts for the year ended 31 March 2015 NOTES TO THE FINANCIAL STATEMENTS
For the year ended 31 March 2015
2015
£
2014
£
The following dividends per share were paid by the group:
   Interim dividend 0.23p 0.22p
The following dividends per share are proposed by the group:
   Final dividend 0.27p 0.23p
The interim dividend for 2015 was paid on 24 February 2015 at a total cost of £110,247 (2014: paid on 18 February 2014 at a 
total cost of £107,763). 
The payment of the final dividend remains discretionary until paid. The final proposed dividend for 2015 of 0.27p per 
share (2014: 0.23p) was not recognised at the year end and will be paid on 18 September 2015 subject to authorisation by 
shareholders at the forthcoming Annual General Meeting. The final dividend for 2014 was paid on 18 September 2014 at a  
total cost of £111,971.
13 Earnings per share
2015 2014
Attributable profit for the year from continuing operations (£) 888,158 652,313
Weighted average number of ordinary shares in issue
for the purposes of basic earnings per share 48,477,670 48,983,355
Effect of dilutive potential ordinary shares on exercise
of options 434,410 520,580
Weighted average number of ordinary shares in issue
for the purposes of diluted earnings per share 48,912,080 49,503,935
Earnings per share from continuing operations
Basic earnings per share (pence) 1.83p 1.33p
Diluted earnings per share (pence) 1.82p 1.32p
Earnings per share from continuing and discontinued operations
Basic earnings per share (pence) 1.83p 1.69p
Diluted earnings per share (pence) 1.82p 1.68p
12 Dividends per share
thirtysix
red24
Annual report & accounts for the year ended 31 March 2015 NOTES TO THE FINANCIAL STATEMENTS
For the year ended 31 March 2015
14 Intangible assets
Group Intellectual
Property
£
Goodwill
£
Total
£
Cost
At 1 April 2013 183,421 257,556 440,977
Foreign currency adjustment (16,745) - (16,745)
Additions 103,684 - 103,684
Disposals (20,551) (120,000) (140,551)
At 1 April 2014 249,809 137,556 387,365
Foreign currency adjustment (1,053) - (1,053)
Additions 217,020 - 217,020
At 31 March 2015 465,776 137,556 603,332
Amortisation and impairment
At 1 April 2013 92,059 - 92,059
Foreign currency adjustment (5,847) - (5,847)
Amortisation charge for the year 38,249 - 38,249
Disposals (17,202) - (17,202)
At 1 April 2014 107,259 - 107,259
Foreign currency adjustment (366) - (366)
Amortisation charge for the year 64,104 - 64,104
At 31 March 2015 170,997 - 170,997
Carrying amount
At 31 March 2015 294,779 137,556 432,335
At 31 March 2014 142,550 137,556 280,106
At 1 April 2013 91,362 257,556 348,918
thirtyseven
red24
Annual report & accounts for the year ended 31 March 2015
At 31 March 2015 the group had capital commitments of £20,008 (2014: £Nil). NOTES TO THE FINANCIAL STATEMENTS
For the year ended 31 March 2015
14 Intangible assets (continued)
Company Intellectual
Property
£
Total
£
Cost
At 1 April 2013 27,634 27,634
Additions 20,722 20,722
At 31 March 2014 48,356 48,356
Additions 19,305 19,305
At 31 March 2015 67,661 67,661
Amortisation and impairment
At 1 April 2013 23,732 23,732
Amortisation charge for the year 2,856 2,856
At 31 March 2014 26,588 26,588
Amortisation charge for the year 13,282 13,282
At 31 March 2015 39,870 39,870
Carrying amount
At 31 March 2015 27,791 27,791
At 31 March 2014 21,768 21,768
At 1 April 2013 3,902 3,902
The goodwill acquired in a business combination is allocated, 
at acquisition, to the cash generating segments that are 
expected to benefit from that business combination. At the 
date of transition to IFRS the carrying amount of goodwill had 
been allocated as security assistance £137,566 and training 
courses £120,000; the latter was disposed of during the 
previous year. 
The group tests goodwill annually for impairment or more 
frequently if there are indications that goodwill might 
be impaired. Charges for amortisation and impairment 
of goodwill and intellectual property are included within 
administrative expenses.
The recoverable amounts of the cash generating units 
are determined from value in use calculations. The group 
prepares cash flow forecasts from the most recent financial 
budgets approved by management. The cash flows are then 
discounted at an appropriate interest rate to determine value 
in use. 
The forecast cash flows for the next two years, taking forecast 
revenues, based upon historical experience, and anticipated 
expenditure are then discounted at a rate of ten percent 
per annum to arrive at a recoverable amount for each cash 
generating unit. This shows that each cash generating unit 
has a recoverable amount in excess of the carrying value of 
goodwill and that no charge for impairment in necessary.
The key assumptions are those regarding discount rate, 
growth rates, expected sales and direct costs during the 
period. Growth forecasts are based on the experience of the 
past three years. A discount rate of 10% has been applied 
based on the cost of loan capital. 
thirtyeight
red24
Annual report & accounts for the year ended 31 March 2015 NOTES TO THE FINANCIAL STATEMENTS
For the year ended 31 March 2015
15 Property, plant & equipment
Group Land and  
buildings
£
Other 
fixed assets
£
Fixtures, fittings 
and equipment
£
Total
£
Cost
At 1 April 2013 811,690 4,374 220,641 1,036,705
Foreign currency adjustment (176,122) (949) (33,201) (210,272)
Additions (779) - 74,252 73,473
Revaluation (1,570) - - (1,570)
Disposals - - (35,472) (35,472)
At 1 April 2014 633,219 3,425 226,220 862,864
Foreign currency adjustment (15,009) (81) (4,014) (19,104)
Additions - - 46,017 46,017
Revaluation 19,184 - - 19,184
Disposals - - (3,737) (3,737)
At 31 March 2015 637,394 3,344 264,486 905,224
Depreciation
At 1 April 2013 2,706 3,027 144,287 150,020
Foreign currency adjustment (587) (656) (20,034) (21,277)
Revaluation (2,119) - - (2,119)
Charge for the year - 342 23,131 23,473
Disposals - - (30,602) (30,602)
At 1 April 2014 - 2,713 116,782 119,495
Foreign currency adjustment - (64) (1,646) (1,710)
Charge for the year - 334 34,421 34,755
Disposals - - (3,486) (3,486)
At 31 March 2015 - 2,983 146,071 149,054
Carrying amount
At 31 March 2015 637,394 361 118,415 756,170
At 31 March 2014 633,219 712 109,438 743,369
At 1 April 2013 808,984 1,347 76,354 886,685
 
The depreciation has been charged to administrative expenses.
The group’s freehold property was valued on 21 January 2015 by Pears Property Group of Cape Town, independent valuers, at Rand 11,436,000 
compared to its historic cost of Rand 11,135,165.
thirtynine
red24
Annual report & accounts for the year ended 31 March 2015 NOTES TO THE FINANCIAL STATEMENTS
For the year ended 31 March 2015
16 Investment in group companies
Investments in subsidiary companies: Company
£
Cost
At 1 April 2013  1,767,338
Additions 180,000
Disposals (20,000)
At 31 March 2014 and 31 March 2015 1,927,338
Impairment provisions 
At 1 April 2013 and 31 March 2014 and 31 March 2015 1,519,004
Net book amount
At 31 March 2014 and 31 March 2015 408,334
At 1 April 2013 248,334
The subsidiary companies at 31 March 2015 and their activities during the year were:
Held directly: Percentage of ordinary share capital held Activity
red24 Operations Limited 100% Security risk management services
red24 CRM (Pty) Limited 100% Security risk management services
red24 Sales Limited 100% Security risk management services
red24 Inc 100% Security risk management services
Green 24 Limited 100% Environmental assistance
Silvermine Properties (Pty) Limited 100% Property ownership
The red24 Employees’ Share Trust 100% Employee equity participation 
All of the subsidiary companies are incorporated in Great Britain 
and registered in England and Wales, with the exception of red24 
CRM (Pty) Limited and Silvermine Properties (Pty) Limited, which are 
incorporated and registered in South Africa and red24 Inc which is 
incorporated in the United States of America. 
The company’s investment in red24 CRM (Pty) Limited includes 
R1,300,000 5% convertible redeemable cumulative preference shares 
of R1 each.  The company has waived its right to the dividend due on 
these shares up to 31 March 2015. For the year to 31 March 2015 this 
would have amounted to R65,000 (£3,710).
The company’s loan to red24 CRM (Pty) Limited is subordinated in 
favour of that company’s creditors until such time as the assets of that 
subsidiary exceed its liabilities. 
Each year the company reviews the carrying value of the investment 
in each subsidiary against the amount estimated to be recoverable 
from that subsidiary, if recovery is not reasonably foreseeable then the 
investment is considered impaired and a charge made.
forty
red24
Annual report & accounts for the year ended 31 March 2015 NOTES TO THE FINANCIAL STATEMENTS
For the year ended 31 March 2015
17 Investments/Available-for-sale financial assets
Linx International Limited (“Linx”), a company incorporated in England & Wales, was the company’s sole trade investment. Linx offers security 
consulting services and also acts as the holding company of a group that provides security management training, both in the United Kingdom 
and overseas. At 31 March 2014 the group held a 25% stake in the equity of Linx and that stake was held directly by the parent company. 
The group does not consider that it exercises significant influence over Linx and, on 12 August 2014 agreed to sell down its holding in Linx in 
three equal instalments at a fixed price of £125,000 per instalment. At the 31 March 2015 the group holds 16.67% of the equity in Linx but is 
contracted to sell it in the two remaining instalments which are due to complete on 12 August 2015 and 12 August 2016. The directors expects 
these instalments to be completed on or before the due date and the investment is considered as held for sale.
The movements on the investment in the consolidated financial statements is shown below:
                 £
Fair value at date of acquisition 372,000
At 31 March 2014 372,000
Sold during the year (122,000)
At 31 March 2015 250,000
fortyone
red24
Annual report & accounts for the year ended 31 March 2015
18 Deferred tax 
The deferred tax assets and liabilities represent the following:   
     Group    Company
Total
£
Tax losses
carried forward
£
Temporary 
differences
£
Tax losses
carried forward
£
At 1 April 2013 54,046 46,800 7,246 23,800
Foreign currency adjustment (976) - (976) -
Income statement charge/(credit) (22,172) (11,000) (11,172) 12,000
At 1 April 2014 30,898 35,800 (4,902) 35,800
Foreign currency adjustment 6 - 6 -
Income statement (charge)/credit (23,138) 2,300 (25,438) 2,300
At 31 March 2015 7,766 38,100 (30,334) 38,100
Assets 51,315 38,100 13,215 38,100
Liabilities (43,549) - (43,549) -
7,766 38,100 (30,334) 38,100
        
The deferred tax assets recognised in respect of tax losses carried forward represent £38,100 (2014: £35,800) and relate entirely to UK  
companies. Tax losses, which may be carried forward indefinitely, are recoverable against future profits from the same trade and in the  
country in which they were incurred. NOTES TO THE FINANCIAL STATEMENTS
For the year ended 31 March 2015
19 Trade and other receivables 
Group Company
             
Current assets:
2015
£
2014
£
2015
£
2014
£
Trade receivables (i) 716,554 905,497 - -
Provisions for impairment (ii) (44,115) (28,953) - -
672,439 876,544 - -
Due from subsidiary undertakings (iii) - - 166,851 72,000
Other receivables 36,738 73,815 10,010 17,679
Prepayments and accrued income 196,324 313,962 36,038 30,920
905,501 1,264,321 212,899 120,599
Group Company
             
Non-current assets:
2015
£
2014
£
2015
£
2014
£
Due from subsidiary undertakings (iii) - - 557,414 613,077
Provisions for impairment (ii) - - (20,000) (60,000)
Net amount due from subsidiary undertakings (iii) - - 537,414 553,077
Other receivables 6,490 13,981 - 281
6,490 13,981 537,414 553,358
The average credit period on sales of services is 43 days  
(2014: 55 days). Trade receivables over 120 days at the  
balance sheet date, that have not been received within 60 
days of the balance sheet date, are provided for in full, less any 
element of deferred income. Other trade receivables over 60 
days at the balance sheet date are provided for on estimated 
irrecoverable amounts. The carrying value of trade and other 
receivables is considered to be the same as their fair value.
Included in trade receivables are receivables with a carrying 
amount of £339,560 (2014: £460,040) that are designated in 
foreign currencies, of which £253,569 (2014: £436,527) are 
designated in US dollars and £85,991 (2014: £23,513) in  
other currencies. 
Included in the group’s trade receivables are debtors with a 
carrying amount of £95,093     (2014: £127,192) which are 
overdue at the balance sheet date for which the group has not 
provided as there has not been a significant change in credit 
quality and the group believes that these amounts are still 
recoverable. The group does not hold any collateral over these 
balances. The ageing of amounts past due but not impaired is 
as follows:
                 
2015
£
2014
£
60-90 days 88,756 132,959
90-120 days 6,337 33,720
120+ days - 48,047
95,093 214,726
At the balance sheet date only one customer who owed £112,000 (2014: £125,734) accounted for more than 10% of the balance due 
to the group in trade and other receivables.
fortytwo
red24
Annual report & accounts for the year ended 31 March 2015 NOTES TO THE FINANCIAL STATEMENTS
For the year ended 31 March 2015
fortythree
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Annual report & accounts for the year ended 31 March 2015
19 Trade and other receivables (continued)
(ii)  Movement in the allowances against trade and other receivables:
Group Company
Trade receivables Due from subsidiary undertakings
2015
£
2014
£
2015
£
2014
£
Balance at 1 April 28,953 53,431 60,000 70,000
Increase/(decrease) in provision 15,162 (24,478) - -
Release of provision to income statement - - (40,000) (10,000)
Balance at 31 March 44,115 28,953 20,000 60,000
(iii)  With the exception of the loan made to Silvermine Properties (Pty) Ltd to purchase the property the amounts due from subsidiary 
companies are unsecured and interest to 31 March 2015 has been waived. There are no fixed terms for repayment. £236,914    
(2014: £284,240) was due to the company from Silvermine Properties (Pty) Ltd and this loan is denominated in Rand and bears  
interest at 9% per annum.
20 Cash and cash equivalents
 Group Company
2015
£
2014
£
2015
£
2014
£
Cash and cash equivalents 3,417,956 2,302,577 1,359,576 957,426
Cash and cash equivalents comprise cash held in short-term bank deposits with a maturity of three months or less. The carrying amount  
of these assets approximated to their fair value. Repatriation of funds to the UK is subject to South African exchange control legislation;  
at 31 March 2015 £686,209 (2014: £432,814) was held with banks in South Africa.
21 Trade and other payables due within one year
 Group Company
 2015
£
2014
£
2015
£
2014
£
Trade payables 193,140 138,845 42,846 29,434
Due to subsidiary companies - - 385,813 134,813
Other taxation and social security 116,805 96,850 10,825 13,368
Accruals and deferred income 870,540 651,630 99,400 85,511
1,180,485 887,325 538,884 263,126
The average credit period taken on purchases of services is  26 days (2014: 19 days). The carrying value of trade and other payables is 
considered to be the same as their fair value.
Included in group trade payables are payables with a carrying amount of £80,826 (2014: £68,162) that are designated in foreign 
currencies, of which £72,747 (2014: £41,281) are designated in US dollars and £8,079 (2014: £26,881) in other currencies. 
  NOTES TO THE FINANCIAL STATEMENTS
For the year ended 31 March 2015
22 Borrowings
Due within one year Group Company
             2015
£
2014
£
2015
£
2014
£
Bank loan 17,406 17,649 - -
17,406 17,649 - -
Due after more than one year Group Company
             2015
£
2014
£
2015
£
2014
£
Bank loan 215,370 240,726 - -
215,370 240,726 - -
The carrying value of borrowings is considered to be the same as their fair value.
The loan is secured by a fixed charge over the land and buildings of Silvermine Properties (Pty) Limited. The loan is being repaid at the  
rate of R62,650 (2014: R62,058)  per calendar month.  The interest charged on the loan is 2.75% per annum over the prime rate of 
Standard Bank of South Africa.
23 Share capital
Number £
Authorised
Number of shares
Ordinary shares of 1p each
At 1 April 2013 and 31 March 2014 and 2015              75,000,000 750,000
Issued & fully paid
Number of shares Number £
At 1 April 2013 and 31 March 2014 and 2015      48,983,355 489,834
fortyfour
red24
Annual report & accounts for the year ended 31 March 2015 NOTES TO THE FINANCIAL STATEMENTS
For the year ended 31 March 2015
fortyfive
red24
Annual report & accounts for the year ended 31 March 2015
24 Share capital and reserves
Group
Retained 
earnings
£
Share 
capital
£
Share 
premium
£
Other 
reserves
£
Revaluation  
reserves     
£
Total
£
1 April 2013 2,316,061 489,834 223,652 53,160 60,244 3,142,951
Exchange differences on translation of 
overseas operations - - - - (56,947) (56,947)
Profit for the year 826,121 - - - - 826,121
Share based payments - - - 9,040 - 9,040
Adjustments for lapsed
share based payments - - - (8,100) - (8,100)
Payment of dividend (205,728) - - - - (205,728)
31 March 2014 2,936,454 489,834 223,652 54,100 3,297 3,707,337
Exchange differences on translation of 
overseas operations - - - - (3,308) (3,308)
Revaluation of property - - - - 19,184 19,184
Profit  for the year 888,158 - - - - 888,158
Own shares purchased - - - (121,586) - (121,586)
Share based payments - - - 9,040 - 9,040
Adjustments for lapsed
share based payments 21,170 - - (21,170) - -
Payment of dividend (222,218) - - - - (222,218)
31 March 2015 3,623,564 489,834 223,652 (79,616) 19,173 4,276,607
Company
Retained 
earnings
£
Share 
capital
£
Share 
premium
£
Other 
reserves
£
Total
£
1 April 2013 834,316 489,834 223,652 53,160 1,600,962
Profit for the year 809,985 - - - 809,985
Share based payments - - - 9,040 9,040
Adjustments for lapsed share based payments - - - (8,100) (8,100)
Payment of dividend (205,728) - - - (205,728)
31 March 2014 1,438,573 489,834 223,652 54,100 2,206,159
Profit  for the year 423,835 - - - 423,835
Own shares purchased - - - (121,586) (121,586)
Share based payments - - - 9,040 9,040
Adjustments for lapsed share based payments 21,170 - - (21,170) -
Payment of dividend (222,218) - - - (222,218)
31 March 2015 1,661,360 489,834 223,652 (79,616) 2,295,230 NOTES TO THE FINANCIAL STATEMENTS
For the year ended 31 March 2015
fortysix
red24
Annual report & accounts for the year ended 31 March 2015
24 Share capital and reserves (continued)
The share premium reserve records the premium above the par value of the shares paid on the issue of shares by the company, less 
the costs of the issue of shares.
Retained earnings is the balance of profit retained by the group and company and is the group and company’s distributable reserve.
Other reserves represent the cumulative amount charged to the income statement in respect of the company’s share options as set 
out in note 8 and the own share reserve representing the cost of shares acquired by the Employee Benefit Trust which held 1,050,000 
shares at 31 March 2015 (2014: Nil). 
The following table provides further detail on these reserves: 
Group & Company
Other reserves Own share 
reserve
£
Share option 
reserve
£
Total
£
1 April 2013 - 53,160 53,160
Share based payments - 9,040 9,040
Adjustments for lapsed based payments - (8,100) (8,100)
1 April 2014 - 54,100 54,100
Own shares purchased (121,586) - (121,586)
Share based payments - 9,040 9,040
Adjustments for lapsed based payments - (21,170) (21,170)
31 March 2015 (121,586) 41,970 (79,616)
The revaluation reserves comprise the translation reserve and the reserve arising from the adjustment to fair value of group property.  
The translation reserve arises from currency differences arising on the retranslation of foreign currency balances as explained in 
accounting policy 1(k), there is no tax effect.  NOTES TO THE FINANCIAL STATEMENTS
For the year ended 31 March 2015
24 Share capital and reserves (continued)
fortyseven
red24
Annual report & accounts for the year ended 31 March 2015
Group
Revaluation reserves Revaluation 
reserve
£
Translation 
reserve
£
Total
£
1 April 2013 - 60,244 60,244
Exchange differences on translation of overseas operations - (56,947) (56,947)
1 April 2014 - 3,297 3,297
Revaluation of property 19,184 - 19,184
Exchange differences on translation of overseas operations - (3,308) (3,308)
31 March 2015 19,184 (11) 19,173
 
25 Notes to the cash flow statement
(a) Cash generated from operating activities
Group Company
2015
£
2014
£
2015
£
2014
£
Operating activities
Profit before tax, including that on  
discontinued activities 1,066,398 1,028,713 423,835 809,985
Adjustments for:
Finance income (13,211) (4,498) (201,619) (771,058)
Finance costs 24,017 29,010 - -
Depreciation and amortisation 98,859 61,722 13,282 2,856
Fair value adjustments - (114,391) - -
Share based payments 9,040 940 9,040 9,040
Exchange gains and losses 14,160 (1,056) - -
Income tax expense (222,967) (139,878) - -
(Increase)/decrease in receivables 355,547 163,328 (78,656) 34,740
Increase in payables 310,653 63,189 275,758 100,686
Cash generated from operating activities 1,642,496 1,087,079 441,640 186,249 NOTES TO THE FINANCIAL STATEMENTS
For the year ended 31 March 2015
25 Notes to the cash flow statement (continued)
(b) Analysis of changes in net cash
Group 1 April
2014
£
Cash
 movements
£
Other
movements
£
31 March
2015
£
Cash and cash equivalents 2,302,577 1,127,198 (11,819) 3,417,956
Bank loans (258,375) 19,651 5,948 (232,776)
Net cash 2,044,202 1,146,849 (5,871) 3,185,180
Company
Cash and cash equivalents 957,426 402,150 - 1,359,576
Included in other movements on cash and cash equivalents is a foreign exchange movement of £(11,819) (2014: £74,991).
(c) Reconciliation of net cash flow movement to movement in net cash
Group Company
 
2015
£
2014
£
2015
£
2014
£
Increase in cash 1,127,198 328,893 402,150 190,757
Decrease in bank loans 19,651 75,402 - -
Translation difference (5,871) 9,633 - -
Increase in net cash 1,140,978 413,928 402,150 190,757
Opening net cash 2,044,202 1,630,274 957,426 766,669
Closing net cash 3,185,180 2,044,202 1,359,576 957,426
26 Operating lease commitments
At 31 March 2015 the group was committed to making minimum lease payments under non-cancellable operating leases as follows:
Group
       Office equipment Land and buildings
2015
£
2014
£
2015
£
2014
£
Within one year 1,148 1,148 34,918 34,918
Between one and two years 1,148 1,148 - 34,918
Between two and five years - 1,148 - -
2,296 3,444 34,918 69,836
fortyeight
red24
Annual report & accounts for the year ended 31 March 2015 NOTES TO THE FINANCIAL STATEMENTS
For the year ended 31 March 2015
26 Operating lease commitments (continued)
Operating leases represent rental payments payable by the group for its UK office property and items of office equipment. The average 
contractual life of these leases is one year and only one of the lease obligations extends beyond 31 March 2016. The property lease  
extends to March 2016, with an overdue rent review in March 2015, otherwise the rents are fixed. 
27 Related party transactions 
Since 1 January 2005, the company has paid Sidebell Limited amounts for the use of Sidebell’s offices and the use of accountancy services.  
S A Richards, a director of the company, has a minority interest in the share capital of Sidebell Limited.  In the year to 31 March 2015, these 
amounts were £2,000 per month, totalling £24,000 (2014: £24,000). The balance due to Sidebell Limited at 31 March 2015 was £Nil 
(2014: £Nil).  
The directors’ report sets out the interests of the directors in the share capital of the company, the directors’ received the same dividends 
per share as other shareholders. In addition all the directors hold share options under the group’s share option scheme and these are also 
disclosed in that report. Key management remuneration is as follows:
2015
£
2014
£
Salaries 324,051 304,650
Social security costs 32,562 35,682
Share-based payments 9,040 9,040
365,653 349,372
Refer to the remuneration report, and note 9, for further details of the remuneration of directors employed by the company.                 
During the year the company entered into the following transactions with its subsidiaries:
2015
£
2014
£
Management charges receivable 852,000 660,000
Dividends receivable 180,000 200,000
Licence fee receivable 120,000 120,000
Amounts owed by subsidiaries at year end 704,265 685,077
Amounts owed to subsidiaries at year end 385,813 134,813
The management charges reflect a charge to partly recover the time of the group directors and the cost of central services such as 
administrative offices, the conduct of the audit and the maintenance of professional insurances.
As shown in note 19, impairment provisions totalling £20,000 (2014: £60,000) have been made against the amounts shown as due  
from subsidiaries in the table above.
fortynine
red24
Annual report & accounts for the year ended 31 March 2015 NOTES TO THE FINANCIAL STATEMENTS
For the year ended 31 March 2015
28 Financial instruments and risk summary
(a) Financial risk policies and objectives
The group’s financial instruments comprise cash and cash equivalents, trade and other receivables, trade and other payables, loans and  
finance leases. Details of the significant accounting policies in relation to these financial assets and liabilities are disclosed in note 1 to  
the financial statements. 
All financial assets are categorised as loans and receivables as follows:
Group Company
Non-current financial assets:
2015
£
2014
£
2015
£
2014
£
Trade and other receivables 6,490 385,981 537,414 925,358
6,490 385,981 537,414 925,358
Current financial assets:
Trade and other receivables 709,177 950,359 176,861 89,679
Cash and cash equivalents 3,417,956 2,302,577 1,359,576 957,426
4,127,133 3,252,936 1,536,437 1,047,105
Total 4,133,623 3,638,917 2,073,851 1,972,463
All financial liabilities are categorised at amortised cost as follows:
Group Company
Current financial liabilities:
2015
£
2014
£
2015
£
2014
£
Trade and other payables 193,140 138,845 428,659 164,247
Accruals 350,948 343,387 - -
Bank loan 17,406 17,649 - -
561,494 499,881 428,659 164,247
Non-current financial liabilities:
Bank loan 215,370 240,726 - -
Total 776,864 740,607 428,659 164,247
The Board’s principal objective in managing its financial assets and liabilities is to ensure that the operating units have sufficient working  
capital for their day-to-day needs. Surplus cash is maintained on call deposits with the clearing bankers to the operating units, as the group  
is not yet sufficiently cash generative to warrant a separate treasury function or take advantage of greater returns that may be available from 
other sources or maturities. The group does derive income in overseas currencies, principally the US dollar, and does incur expenses in  
overseas currencies, principally the costs of its South African operation which is Rand based. 
At 31 March 2015 the group had purchased R5 million (2014: R10 million) forward for sterling at a rate of R17.90: £1 (2014: R18.09:£1)  
and R5 million (2014: Nil) forward for dollars at a rate of R11.36: $1 exercisable at any time between 1 April 2015 and 30 September 2015,  
the fair value of the financial liability is immaterial to the financial statements. No other forward contracts have been entered into to further 
hedge these exposures.
fifty
red24
Annual report & accounts for the year ended 31 March 2015 NOTES TO THE FINANCIAL STATEMENTS
For the year ended 31 March 2015
28 Financial instruments and risk summary (continued)
(b) Capital risk management
The directors consider the company’s capital comprises its share capital and reserves and bank and other loans. In general the group 
finances its operations from equity share issues and from the retention of profits. To ensure that equity markets remain open to the group 
as a source of capital, the market price of the group’s shares is regularly reviewed by the Board, to check it remains above par value. The 
group’s investment in South Africa includes the property there; this purchase was financed through a combination of retained earnings 
and locally sourced bank finance to act as a hedge against country and currency risk.
(c) Foreign currency risk and sensitivity
The group has two overseas subsidiaries whose functional currencies are Rand and another whose functional currency is US dollars.  
In addition the group undertakes transactions denominated in foreign currencies, principally US dollars, hence exposures to exchange 
rate fluctuations arise. The carrying amount of the group’s foreign currency denominated financial assets and financial liabilities at the 
reporting date is as follows:    
Assets Liabilities
2015
£
2014
£
2015
£
2014
£
Rand 545,554 277,804 236,644 338,494
Dollar 881,291 923,703 72,747 60,924
Other currencies 91,004 15,119 6,621 26,969
1,517,849 1,216,626 316,012 426,387
The company does not have any exposure to foreign currencies as all its transactions are in sterling. The group’s exposure to the Rand is 
such that were the Rand to appreciate by 10% against sterling the cost of its operations in South Africa would rise by £147,905 (2014: 
£158,327), this would be mitigated by a rise in the value in the group’s Rand assets of £115,613 (2014: £78,245). The group’s exposure 
to the US dollar is such that were the dollar to depreciate by 10% against sterling profit would be reduced by £84,312 (2014: £100,275). 
The Board are aware that these are significant risks and the impact of currency movements on earnings cannot be reliably forecast and 
remains an area of uncertainty.
(d) Market risk
The group’s activities expose it to the financial risks of changes in foreign currency exchange rates (see section (c)) and interest rates (see 
section (g)). As explained above, the group has, for the present, accepted exposure to these risks.
(e) Liquidity risk 
Ultimate responsibility for liquidity risk management rests with the board of directors, which regularly reviews the short, medium and long 
term funding and liquidity requirements. As a general principle the board consider that equity remains the most appropriate source of 
funds for the business and endeavours to maintain access to equity capital markets to fund medium and long term liquidity requirements. 
However, where significant overseas investments are contemplated an evaluation of currency, country and other risk factors are taken into 
account and opportunities to finance a proportion of that investment locally will be considered. Financial assets are maintained on short 
term deposit to assist with the management of day-to-day working capital requirements.
fiftyone
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Annual report & accounts for the year ended 31 March 2015 28 Financial instruments and risk summary (continued)
(f) Fair value of financial instruments 
There is no material difference between the fair value and carrying value of financial assets and liabilities.
(g) Interest rate risk  
The group has financial assets of £4,113,623 at 31 March 2015 (2014: £3,266,917) comprising cash deposits and trade and other 
receivables. Trade and other non-interest bearing receivables have been excluded from the following tables as they are non-interest bearing.                                                
The interest rate profile of the group’s financial assets, excluding trade and other receivables was:
Group
Floating rate 
deposits
2015
£
Average rate
2015
£
Floating rate 
deposits
2014
£
Average rate
2014
£
Currency
    Sterling 2,294,485 0.1% 1,621,566 0.1%
    Rand 491,826 6% 201,611 6%
    Dollar 614,145 0% 473,266 0%
    Euro 17,500 0% 6,134 -
3,417,956 2,302,577
Company
    Sterling 1,359,576 0.1% 957,426 0.1%
    Rand 236,914 9% 284,240 9%
1,596,490 1,241,666
The group has financial liabilities of £776,864 (2014: £740,607).  
The interest rate profile of the group’s financial liabilities, excluding trade and other payables, at 31 March 2015 was:
Group
Floating rate 
liabilities
£
Fixed rate
liabilities
£
Total financial
liabilities
£
Average rate 
of floating rate 
liabilities
£
Currency
    Rand bank loan 232,776 - 232,776 9.0%
NOTES TO THE FINANCIAL STATEMENTS
For the year ended 31 March 2015
fiftytwo
red24
Annual report & accounts for the year ended 31 March 2015 NOTES TO THE FINANCIAL STATEMENTS
For the year ended 31 March 2015
28 Financial instruments and risk summary (continued)
The interest rate profile of the group’s financial liabilities, excluding trade and other payables, at 31 March 2014 was:
Group
Floating rate 
liabilities
£
Fixed rate
liabilities
£
Total financial
liabilities
£
Average rate 
of floating rate 
liabilities
£
Currency
    Rand bank loan 258,375 - 258,375 9.0%
The following table details the remaining contractual maturity for the group’s financial liabilities. The table is based on the earliest date on 
which the group can be required to pay. The table includes both principal cash flows and interest, or an estimate of interest for floating rate 
instruments and excludes trade and other payables as the contractual maturities are all due within one year of the balance sheet date.
Group
2015
Due within 
one year
£
Due in one 
to two years
£
Due in two 
to five years
£
Due in over
 five years
£
Total
£
Floating rate bank loan
- Average rate 9.0% 41,902 41,902 125,706 23,266 232,776
41,902 41,902 125,706 23,266 232,776
Group
2014 £ £ £ £ £
Floating rate bank loan
- Average rate 8.5% 42,505 42,505 127,515 45,850 258,375
42,505 42,505 127,515 45,850 258,375
(h) Credit risk  
Credit risk refers to the risk that a counterparty will default on its contractual obligations resulting in financial loss to the group. The group 
has a credit policy of only dealing with creditworthy counterparties as a means of mitigating this risk. The group’s exposure to credit risk is 
monitored on a monthly basis and remedial action taken where appropriate.
The group endeavour to ensure a spread of customers to avoid the risks associated with concentration of credit. At the balance sheet date, 
one customer accounted for 15.6% (2014: 13.9%) of the group’s trade and other receivables, no other customer accounted for more than 
10%. These receivables are within their trading terms but nonetheless present an ongoing risk. The group is endeavouring to mitigate this 
risk by gaining new customers at a faster rate than business with these two counterparties develops.
The group’s maximum exposure to credit risk on its financial assets is £4,113,623 (2014: £3,268,499). For the company its maximum 
exposure, excluding amounts due from subsidiaries, is £1,369,586 (2014: £975,386). The group does not hold any collateral against  
these financial assets. 
29 Contingent liabilities
The company has a contingent liability in respect of the value added tax of certain subsidiary companies under a group registration and 
is therefore jointly and severally liable for all the other group companies’ debt in this respect.  At 31 March 2015 the maximum potential 
liability was £90,871 (2014: £63,479).
30 Post balance sheet event
On 29 May the company contracted to acquire the entire share capital of RISQ Worldwide Holdings Pte. Limited and its wholly owned 
subsidiary RISQ Worldwide Pte. Limited, both companies are incorporated in Singapore. Completion is due on 1 July 2015 and the initial 
consideration is SGD550,000 with additional contingent consideration of up to SGD1,000,000 payable, depending on performance,  
for the years to 30 June 2016 and 30 June 2017.
fiftythree
red24
Annual report & accounts for the year ended 31 March 2015 DIRECTORS AND OFFICERS
DIRECTORS
S A Richards, MA MSc FCA  (Executive Chairman)
M S H Worsley-Tonks MBE (Chief Executive Officer)
L Adlam (Non-Executive Director)
J E A Mocatta, MA FCA  (Non-Executive Director)
 
SECRETARY
J E A Mocatta, MA FCA 
REGISTERED OFFICE:
Breckenridge House
274 Sauchiehall Street
Glasgow G2 3EH
NOMINATED ADVISER AND BROKER:
finnCap Limited
60 New Broad Street
London EC2M 1JJ
REGISTRARS:
Capita Registrars PXS
34 The Registry
Beckenham
Kent BR3 4TU
INDEPENDENT AUDITOR:
Baker Tilly UK Audit LLP
Chartered Accountants
25 Farringdon Street
London EC4A 4AB 
ADMINISTRATIVE OFFICE:
The Coach House
Bill Hill Park
Wokingham
Berkshire RG40 5QT
BANKERS:
HSBC Bank plc
26-28 Broad Street
Reading
Berkshire RG1 2BU
SOLICITORS:
Field Seymour Parkes LLP
1 London St
Reading RG1 4QW
fiftyfour
red24
Annual report & accounts for the year ended 31 March 2015   red24
Annual report & accounts for the year ended 31 March 2015
NOTICE IS HEREBY given that the Annual General Meeting of red24 plc (‘the 
Company’) will be held at 11.00 a.m. on Wednesday 5 August 2015 at the 
offices of red24, The London Underwriting Centre, 3 Mincing Lane, London, 
EC3R 7DD, for the following purposes:
Ordinary business
To consider as ordinary business and, if thought fit, to pass the following 
resolutions which will be proposed as ordinary resolutions:
1 To receive and consider the Company’s accounts for the year ended 31 March 
2015 and the Directors’ Report and Auditors’ Report thereon.
2 To re-appoint Mr M Worsley-Tonks as a director of the Company.
3 To appoint Ms L Adlam as a director of the Company having been appointed 
since the last Annual General Meeting of the Company
4 To appoint Baker Tilly UK Audit LLP as auditors of the Company to hold 
office until the conclusion of the next general meeting at which accounts 
are laid before the members and to authorise the directors to agree their 
remuneration.
5 To declare a final dividend of 0.27p per share in respect of the year ended 
31 March 2015. The final dividend is payable on 17 September 2015 to 
shareholders on the register at the close of business on 21 August 2015, as 
recommended by the directors.
 
Special business
To consider as special business and, if thought fit, to pass the following 
resolutions which will be proposed as ordinary resolutions:
6 THAT subject only to Resolution 7 below being passed as a Special 
Resolution, the directors of the Company be and they are hereby generally 
and unconditionally authorised to exercise all the powers of the Company 
to allot relevant securities (as defined in Section 551 of the Companies Act 
2006 (“the Act”)) up to a nominal amount equal to £75,000 provided that 
this authority shall expire (unless previously renewed, varied or revoked 
by the Company in general meeting) at the earlier of the conclusion of the 
Annual General Meeting of the Company next following the passing of 
this Resolution and 15 months from the date of this Resolution and further 
provided that the Company shall be entitled before such expiry to make an 
offer or agreement which would or might require relevant securities to be 
allotted after such expiry and the directors of the Company shall be entitled 
to allot relevant securities in pursuance of such offer or agreement as if the 
authority hereby conferred had not expired.
To consider as special business and, if thought fit, to pass the following 
resolutions which will be proposed as special resolutions:
7 THAT subject to Resolution 6 above being duly passed as an Ordinary 
Resolution, the directors of the Company be and they are hereby empowered 
pursuant to Section 571 of the Act to allot equity securities (as defined 
in Section 560 of the Act) for cash pursuant to and for the duration of the 
authority conferred on them by Resolution 5 above as if Section 561 of the 
Act did not apply to any such allotment provided that this authority is  
limited to:
 7.1  The allotment of equity securities in connection with any rights issue in 
favour of ordinary shareholders on the register of members at such record 
date or dates as the directors of the Company may determine where the 
equity securities to be issued are respectively attributable to the interests of 
all such holders of ordinary shares held by them at such record date or dates, 
provided that the directors of the Company may make such arrangements 
or exclusions as they consider necessary or expedient in respect of fractional 
entitlements or legal or practical problems arising in any overseas territory or 
the requirements of any regulatory body or stock exchange;
 7.2 The allotment of equity securities pursuant to the terms of any share 
scheme for employees adopted by the Company; and
 7.3 The allotment (otherwise than pursuant to sub-paragraphs 7.1 or 7.2 
above) of equity securities up to an aggregate nominal amount of £50,000
and shall expire (unless previously renewed, varied or revoked by the Company 
in general meeting) at the earlier of the conclusion of the Annual General 
Meeting of the Company next following the passage of this Resolution and 
fifteen months from the date of this Resolution, save that the Company may 
before the expiry of the authority conferred by this Resolution make an offer or 
agreement which would or might require equity securities to be allotted after 
such expiry and the directors of the Company may allot equity securities in 
pursuance of such offer or agreement notwithstanding that such authority  
has expired.
8 THAT pursuant to Article 44 of the Company’s Articles of Association and 
in accordance with Section 701 of the Act, the Company be generally and 
unconditionally authorised to make market purchases (as defined in Section 
693(4) of the Act) of ordinary shares in the capital of the Company on such 
terms and in such manner as the directors determine, provided that this 
authority:
 8.1 is limited to a maximum of 2,400,000 Ordinary Shares representing 
approximately 5% of the Company’s issued Ordinary Share capital as at the 
date of this resolution;
 8.2 does not permit the payment by the Company, exclusive of any 
expenses of less than the par value of each Ordinary Share;
 8.3 does not permit the payment by the Company, exclusive of any 
expenses, of more than 105% of the average of the middle market 
quotations for an Ordinary Share as derived from the AIM Appendix of 
the London Stock Exchange Daily Official List for the five business days 
immediately preceding the date on which such Ordinary Shares is contracted 
to be purchased; 
and shall expire (unless previously renewed, varied or revoked by the Company 
in general meeting) at the earlier of the conclusion of the Annual General 
Meeting of the Company next following the passage of this Resolution and 
fifteen months from the date of this Resolution, save that the Company 
may before the expiry of the authority conferred by this Resolution contract 
to purchase Ordinary Shares the completion of which may take place after 
the expiry of this authority, and the Company may make such a purchase 
notwithstanding such expiry. 
5 June 2015
By order of the Board
J E A Mocatta
Secretary
NOTICE OF ANNUAL GENERAL MEETING
Registered office
Breckenridge House
274 Sauchiehall Street
Glasgow G2 3EH
Registered in Scotland No. SCO86069 red24
Annual report & accounts for the year ended 31 March 2015
NOTICE OF ANNUAL GENERAL MEETING
Notes
1 In accordance with Regulation 41 of the Uncertificated Securities 
Regulations 2001, only those members entered on the Company’s register 
of members not later than 18:00 on 3 August 2015 or, if the meeting is 
adjourned, shareholders entered on the Company’s register of members 
not later than 48 hours before the time fixed for the adjourned meeting, 
shall be entitled to attend and vote at the meeting.
2 If you are a member of the Company at the time set out in note 1 above, 
you are entitled to appoint one or more proxies to exercise all or any of 
your rights to attend, speak and vote at the meeting.  
 A form of proxy is enclosed which you are invited to complete and 
return.  Completion and return of the proxy form in accordance with the 
instructions thereon will not prevent you from attending and voting at the 
Meeting, instead of your proxy, if you wish to do so.
3 A proxy does not need to be a member of the Company but must attend 
the Meeting to represent you. Details of how to appoint the Chairman of 
the Meeting or another person as your proxy using the proxy form are set 
out in the notes to the proxy form. If you wish your proxy to speak on your 
behalf at the Meeting you will need to appoint your own choice of proxy 
(not the Chairman) and give your instructions directly to them.
4 You may appoint more than one proxy provided each proxy is appointed 
to exercise rights attached to different shares. You may not appoint more 
than one proxy to exercise rights attached to any one share. To appoint 
more than one proxy you may photocopy the proxy from. Please indicate 
the proxy holder’s name and the number of shares in relation to which 
they are authorised to act as your proxy (which, in aggregate, should not 
exceed the number of shares held by you). Please also indicate if the proxy 
instruction is one of multiple instructions being given. All forms must be 
signed and should be returned in the same envelope.
5 The notes to the proxy form explain how to direct your proxy how to vote on 
each resolution or withhold their vote.
 To appoint a proxy using the proxy form, the form must be:
• Completed and signed;
• Sent or delivered to the Company’s registrars, Capita Asset Services   
PXS 1, 34 Beckenham Road, Beckenham, Kent BR3 4TU; and
• Received not later than 48 hours  before the time fixed for the Meeting at 
which the proxy is to vote.
In the case of a member which is a company, the proxy form must be executed 
under its common seal or signed on its behalf by an officer of the company or 
an attorney for the company.
Any power of attorney or any other authority under which the proxy form is 
signed (or a duly certified copy of such power or authority) must be included 
with the proxy form.
6 In the case of joint holders, where more than one of the joint holders 
purports to appoint a proxy, only the appointment submitted by the most 
senior holder will be accepted. Seniority is determined by the order in 
which the names of the joint holders appear in the Company’s register of 
members in respect of the joint holding (the first-named being the most 
senior).
7 To change your proxy instructions simply submit a new proxy appointment 
using the methods set out above. Note that the cut-off time for receipt 
of proxy appointments (see above) also apply in relation to amended 
instructions; any amended proxy appointment received after the relevant 
cut-off time will be disregarded.
Where you have appointed a proxy using the hard-copy proxy form and would 
like to change the instructions using another hard-copy proxy form, please 
contact the Company’s registrars, Capita Registrars of 34 Beckenham Road, 
Beckenham, Kent BR3 4TU for details.
If you submit more than one valid proxy appointment, the appointment 
received last before the latest time for the receipt of proxies will take 
precedence.
8 In order to revoke a proxy instruction you will need to inform the Company 
by sending a signed hard copy notice clearly stating your intention to 
revoke your proxy appointment to the Company’s registrars, Capita Asset 
Services PXS 1, 34 Beckenham Road, Beckenham, Kent BR3 4TU for details. 
In the case of a member which is a company, the revocation notice must 
be executed under its common seal or signed on its behalf by an officer 
of the company or an attorney for the company. Any power of attorney 
or any other authority under which the revocation notice is signed (or a 
duly certified copy of such power or authority) must be included with the 
revocation notice.
The revocation notice must be received by the Company’s registrars, Capita 
Asset Services PXS 1, 34 Beckenham Road, Beckenham, Kent BR3 4TU no  
later than 48 hours before the time fixed for the Meeting at which the proxy  
is to vote.
Appointment of a proxy does not preclude you from attending the Meeting 
and voting in person. If you have appointed a proxy and attend the Meeting  
in person, your proxy appointment will automatically be terminated.
9 A vote withheld is not a vote in law and will not be counted in the 
calculation of the proportion of votes for or against a resolution. 
10 Copies of the directors’ contracts of service are available for inspection at 
the Company’s registered office during normal business hours on each 
business day from the date of this notice until the day of the Annual 
General Meeting and will be at the place of the Annual General Meeting 
for one hour before, and until the conclusion of, the Meeting.