Registration number:
KME Yorkshire Limited
for the Year Ended 31 December 2022
KME Yorkshire Limited
Contents
Company Information |
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Balance Sheet |
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Notes to the Financial Statements |
KME Yorkshire Limited
Company Information
Directors |
John James Dodd Marco Miniati Christopher John Meese |
Registered office |
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Auditors |
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KME Yorkshire Limited
(Registration number: 02045485)
Balance Sheet as at 31 December 2022
Note |
2022 |
2021 |
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Fixed assets |
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Tangible assets |
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Investments |
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Current assets |
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Debtors |
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Cash at bank and in hand |
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Creditors: Amounts falling due within one year |
( |
( |
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Net current assets |
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Net assets |
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Capital and reserves |
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Called up share capital |
10,014,603 |
10,014,603 |
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Share premium reserve |
114,286 |
114,286 |
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Capital redemption reserve |
30,022,000 |
30,022,000 |
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Retained earnings |
(39,057,829) |
(39,353,964) |
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Shareholders' funds |
1,093,060 |
796,925 |
These financial statements have been prepared in accordance with the special provisions relating to companies subject to the small companies regime within Part 15 of the Companies Act 2006.
Approved and authorised by the
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KME Yorkshire Limited
Notes to the Financial Statements for the Year Ended 31 December 2022
General information |
The company is a private company limited by share capital, incorporated in England and Wales.
The address of its registered office is:
These financial statements were authorised for issue by the
Accounting policies |
Summary of significant accounting policies and key accounting estimates
The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.
Statement of compliance
These financial statements have been prepared in accordance with Financial Reporting Standard 102 Section 1A smaller entities - 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland' and the Companies Act 2006 (as applicable to companies subject to the small companies' regime).
Basis of preparation
These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.
The financial statements are presented in sterling which is the functional currency of the company.
Summary of disclosure exemptions
The accounts do not include a cash flow statement because the company, as a small reporting entity, is exempt from the requirements to prepare such a statement.
Going concern
The financial statements have been prepared on the going concern basis. The company is reliant on the continued financial support from the parent company, KME SE. As stated in note 6 the company is designated to meet the payment of deficit pension contributions in respect of the Yorkshire Copper Tube Pension Scheme. KME SE has confirmed it will continue to provide financial support to KME Yorkshire Ltd in order for the company to continue to maintain operations and to meet its liabilities in full, at least through to 30 September 2024.
KME Yorkshire Limited
Notes to the Financial Statements for the Year Ended 31 December 2022
Audit report
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Revenue recognition
Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the company’s activities. Turnover is shown net of sales/value added tax, returns, rebates and discounts.
The company recognises revenue when:
The amount of revenue can be reliably measured;
it is probable that future economic benefits will flow to the entity;
and specific criteria have been met for each of the company's activities.
Foreign currency transactions and balances
Non-monetary items measured in terms of historical cost in a foreign currency are not retranslated.
Tangible assets
Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.
The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.
Depreciation
Depreciation is charged so as to write off the cost of assets, other than land and properties under construction over their estimated useful lives, as follows:
Asset class |
Depreciation method and rate |
Plant and machinery, etc |
10 - 25% on cost |
KME Yorkshire Limited
Notes to the Financial Statements for the Year Ended 31 December 2022
Investments
Investments in equity shares which are publicly traded or where the fair value can be measured reliably are initially measured at fair value, with changes in fair value recognised in profit or loss. Investments in equity shares which are not publicly traded and where fair value cannot be measured reliably are measured at cost less impairment.
Interest income on debt securities, where applicable, is recognised in income using the effective interest method. Dividends on equity securities are recognised in income when receivable.
Cash and cash equivalents
Cash and cash equivalents comprise cash on hand and call 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 change in value.
Trade debtors
Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.
Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.
Trade creditors
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.
Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.
Share capital
Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.
Defined contribution pension obligation
A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.
Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.
KME Yorkshire Limited
Notes to the Financial Statements for the Year Ended 31 December 2022
Defined benefit pension obligation
Typically defined benefit plans define an amount of pension benefit that an employee will receive on retirement, usually dependent on one or more factors such as age, years of service and compensation.
The Yorkshire Copper Tube Pension Scheme is administered by a separate board of trustees, which is legally separate from the company. KME Yorkshire Limited is a participating employer of the defined benefit pension scheme for which KME SE (note 12) is the principal employer. Contributions made by KME Yorkshire Limited are therefore accounted for as if they were made under a defined contribution scheme and are recognised as an expense in the profit and loss.
Staff numbers |
The average number of persons employed by the company (including directors) during the year, was
Auditors' remuneration |
2022 |
2021 |
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Audit of the financial statements |
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Other fees to auditors |
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All other non-audit services |
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Profit before tax |
Arrived at after charging/(crediting)
2022 |
2021 |
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Depreciation expense |
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KME Yorkshire Limited
Notes to the Financial Statements for the Year Ended 31 December 2022
Exceptional items |
Included within interest receivable and similar income is an amount of £5,497,077 (2021: £6,251,571) which relates to the group loan with the parent company, KME SE, which has this year been waived in full. KME SE has agreed to waive the full repayment of the loan in full and will no longer pursue this amount in order to assist and support the financial stability of the company. The loan arose principally as a result of the pension contributions of the Yorkshire Copper Tube Pension Scheme as stated below.
Included within administrative expenses are pension contributions of the Yorkshire Copper Tube Pension Scheme of £4,500,000 (2021: £4,450,000) and professional fees in relation thereto of £543,856 (2021: £597,544).
The above amounts relate to payments of deficit contributions in relation to the scheme. The last funding valuation of the pension scheme was carried out by a qualified actuary and as at 31 March 2020 and showed a deficit of £49.1M. The company is paying deficit contributions which, along with investment returns from return-seeking assets, are expected to make good this shortfall by 31 December 2028. The company has also agreed to pay additional contingent contributions into the scheme which are linked to the financial performance of the parent company, KME SE. The next funding valuation is due no later than 31 March 2023, at which progress towards full-funding will be reviewed.
A contribution of £5,000,000 is expected to be paid by the company during the year ending on 31 December 2023.
KME Yorkshire Limited
Notes to the Financial Statements for the Year Ended 31 December 2022
Tangible assets |
Plant & Machinery etc. £ |
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Cost or valuation |
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At 1 January 2022 |
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At 31 December 2022 |
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Depreciation |
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At 1 January 2022 |
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Charge for the year |
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At 31 December 2022 |
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Carrying amount |
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At 31 December 2022 |
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At 31 December 2021 |
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Investments |
2022 |
2021 |
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Investments in subsidiaries |
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Subsidiaries |
£ |
Cost or valuation |
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At 1 January 2022 |
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Provision |
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Carrying amount |
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At 31 December 2022 |
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At 31 December 2021 |
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Details of undertakings
Details of the investments in which the company holds 20% or more of the nominal value of any class of share capital are as follows:
KME Yorkshire Limited
Notes to the Financial Statements for the Year Ended 31 December 2022
Undertaking |
Registered office |
Holding |
Proportion of voting rights and shares held |
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2022 |
2021 |
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Subsidiary undertakings |
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1 Stokes Place, Saint Stephens Green, Dublin 2 Ireland |
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Subsidiary undertakings |
Irish Metal Industries Limited The principal activity of Irish Metal Industries Limited is |
Debtors |
Current |
Note |
2022 |
2021 |
Trade debtors |
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Amounts due from group undertakings |
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Other debtors |
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Creditors |
Creditors: amounts falling due within one year
Note |
2022 |
2021 |
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Due within one year |
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Trade creditors |
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Amounts owed to group undertakings |
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Taxation and social security |
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Other creditors |
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KME SE, the owner of 100% of the share capital of KME Yorkshire Limited, has agreed that it will continue to provide the company with the necessary funding in order for it to maintain operations and meet liabilities in full. In particular it will not enforce KME Yorkshire Limited to repay outstanding loans or inter company advances arising up to 30 September 2024.
KME Yorkshire Limited
Notes to the Financial Statements for the Year Ended 31 December 2022
Share capital |
Allotted, called up and fully paid shares
2022 |
2021 |
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No. |
£ |
No. |
£ |
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10,014,603 |
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10,014,603 |
Parent and ultimate parent undertaking |
The company's immediate parent is
The ultimate parent is
APB Ethical Standards relevant circumstances |
In common with many other businesses of our size and nature, we use our auditor to prepare and submit returns to
the tax authorities and assist with the preparation of the financial statements.