Cloud Imperium UK Ltd (Finally) Posts The Company's 2022 Annual Report and Financial Statement

Yesterday, Companies House posted the annual report and group financial statement for the year 2022 for Cloud Imperium UK Ltd, the company that controls all non-US operations. The lateness of the paperwork, stamped on 3 March, will probably result in a fine of £375. But the reason for the late submission is probably worth the cost.

The delayed filing included an adjustment for errors dating from 2015 to 2021. According to the document:

The Company has presented publishing costs as deferred costs under debtors: amounts falling due after more than a year in each accounting year in the period 1 January 2015 to 31 December 2021. The publishing costs should have been presented within cost of sales in the statement of comprehensive income.

The current year publishing costs have been correctly classified in cost of sales and the prior year comparatives as at 31 December 2021 have been restated to conform with current year presentation.

There are changes to the Company statement of comprehensive income. Company statement of financial position and company Statement of changes in equity as a result of this reclassification.

When people want to find out about Star Citizen, they visit the Roberts Space Industries website. What many may not realize is RSI is a real company whose full name is Roberts Space Industries International Limited, a subsidiary of Cloud Imperium. The adjustments in question concern RSI.

The adjustments

The aggregate amount of publishing costs incorrectly listed from January 2015 to December 2021 was a little under £5.6 million. The total impact to the cost of sales rose by £1.7 million in 2021.

Considering the subject involves Star Citizen, I am sure someone somewhere will list this as Chris Roberts running some sort of embezzlement scheme. From what I can see, that's not the case. Up until recently, the independent auditor looking at CIG's books was Saffery Champness LLP, who performed the audits of the reports and financial statements during the time in question. For the 2022 financial statement, CIG switched to PricewaterhouseCoopers LLP. A fresh set of eyes caught the mistake.

Personally, I can now say I followed the story to its conclusion, unless the UK government takes further action. A quick read-through of the document did show a couple of tidbits I need to write about. After that, I can put CIG's year of 2022 behind me.