REGISTERED NUMBER: 05098040 (England and Wales) |
GROUP STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022 |
FOR |
1ST CONTAINERS (UK) LIMITED |
REGISTERED NUMBER: 05098040 (England and Wales) |
GROUP STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 DECEMBER 2022 |
FOR |
1ST CONTAINERS (UK) LIMITED |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
CONTENTS OF THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Report of the Directors | 4 |
Report of the Independent Auditors | 6 |
Consolidated Income Statement | 10 |
Consolidated Other Comprehensive Income | 11 |
Consolidated Balance Sheet | 12 |
Company Balance Sheet | 13 |
Consolidated Statement of Changes in Equity | 14 |
Company Statement of Changes in Equity | 15 |
Consolidated Cash Flow Statement | 16 |
Notes to the Consolidated Cash Flow Statement | 17 |
Notes to the Consolidated Financial Statements | 19 |
1ST CONTAINERS (UK) LIMITED |
COMPANY INFORMATION |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Chartered Certified Accountants |
& Statutory Auditors |
2 Manor Farm Court |
Old Wolverton Road |
Old Wolverton |
Milton Keynes |
Buckinghamshire |
MK12 5NN |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
The directors present their strategic report of the company and the group for the year ended 31 December 2022. |
REVIEW OF BUSINESS |
The group has experienced a challenging period with group turnover decreasing from £62,497,923 to £53,979,428 and profit after tax falling from £10,196,659 to a loss of £5,789,701. Capital and reserves have decreased from £16,883,087 to £10,924,586. |
During the year the Allseas Global Project Logistics Limited, in which company has 50% interest has gone into administration. Consequently directors have fully impaired all the investment and also provided bad debt provision against all the trading and intercompany loans outstanding as at year end. The total charge during the year in this regard is £14,947,856. |
PRINCIPLE RISKS AND UNCERTAINTIES |
The directors continually review and evaluate the risks that the company is facing. The principal risk and uncertainties facing the company are broadly grouped as: Competitive, Legislative, and Financial risks. |
Competitive risks |
The freight and logistics business has faced strong competition in recent years. The company puts strong emphasis on service levels, quality of products and competitive pricing to its customer base to maintain its position within the market. |
Legislative risks |
The directors do not expect the departure of the United Kingdom from the European Union to have any significant effect on the company's business. |
Financial risk management objectives and policies |
The company's activities expose it to several financial risks including price risk, credit risk, cashflow risk and liquidity risk. The company holds bank accounts in three major currencies (GBP, USD, EUR,) for the purposes of making and receiving payments and does not use derivative financial instruments for speculative purposes. |
Cash flow risk |
The company's activities expose it primarily to the financial risks of changes in foreign currency exchange rates. The company does not take any specific action to minimise this risk and recognises any realised or unrealised gains or losses to the income statement in the month it is incurred. |
Credit risk |
The company's principal financial assets are bank and cash balances and trade and other receivables. |
The company's credit risk is primarily attributable to its trade receivables. The amounts presented in the balance sheet are net of allowance for doubtful receivables. An allowance is made where there is an identified loss event which, based on previous experience, is evidence of a reduction in the recoverability of the related cashflows. |
The Credit risk on liquid funds is limited because the counter parties are banks with high credit ratings assigned by international credit-rating agencies. |
The company has no significant concentration of credit risk with exposure spread over numerous customers, who themselves have high credit ratings. |
Liquidity risk |
In order to maintain liquidity to ensure that sufficient funds are available for ongoing operations and future developments, the company uses a mixture of long-term and short-term intercompany debt finance. |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
Price risk |
The company has limited exposure to commodity price risk. The company generally purchases goods and services based upon market prices that are established with the vendor as part of the purchase process. The company does not use commodity financial instruments as it deems them unnecessary. |
KEY PERFORMANCE INDICATORS |
Year ended | 9 months to |
31 December 2022 | 31 December 2021 | Change |
Turnover | £53,979,428 | £62,497,923 | -13.63% |
Gross profit | £10,290,153 | £10,854,854 | -5.2% |
Operating (loss)/profit | £(4,090,354) | £9,837,234 | -141.58% |
(Loss)/profit after tax | £(5,789,701) | £10,196,659 | -156.78% |
Current assets as % of current liability | 107.0% | 145.9% | -73.34% |
Average number of employees | 18 | 13 | +38.46% |
There have been numerous actions that have been implemented to improve efficiencies and reduce costs. The directors consider that 1st Containers (UK) Limited has an excellent future and continued in 2023 to consolidate its position in the marketplace. |
ON BEHALF OF THE BOARD: |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
The directors present their report with the financial statements of the company and the group for the year ended 31 December 2022. |
PRINCIPAL ACTIVITY |
The principal activity of the group in the year under review was that of buying and selling containers, along with the hire of containers and the provision of storage facilities. |
DIVIDENDS |
Interim dividends per share were paid as follows: |
£257.50 | - 31 March 2022 |
£509.50 | - 30 June 2022 |
£260.50 | - 1 October 2022 |
£660.50 | - 31 December 2022 |
£1,688.00 |
The directors recommend that no final dividend be paid. |
The total distribution of dividends for the year ended 31 December 2022 will be £ 168,800 . |
RESEARCH AND DEVELOPMENT |
The group has undertaken a number of research and development activities during the year and tax claims are currently being processed by H M Revenue & Customs. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 January 2022 to the date of this report. |
STREAMLINED ENERGY AND CARBON REPORTING |
As the group has not consumed more than 40,000 kWh of energy in this reporting period, it qualifies as a low energy user under these regulations and is not required to report on its emissions, energy consumption or energy efficiency activities. |
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Group Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations. |
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). 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 company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to: |
- | select suitable accounting policies and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- | state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; |
- | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
STATEMENT OF DIRECTORS' RESPONSIBILITIES - continued |
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group 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 company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the group's auditors are aware of that information. |
AUDITORS |
The auditors, Ad Valorem Audit Services Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
ON BEHALF OF THE BOARD: |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
1ST CONTAINERS (UK) LIMITED |
Opinion |
We have audited the financial statements of 1st Containers (UK) Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2022 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). |
In our opinion the financial statements: |
- | give a true and fair view of the state of the group's and of the parent company affairs as at 31 December 2022 and of the group's loss for the year then ended; |
- | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. |
Conclusions relating to going concern |
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's and the parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. |
Other information |
The directors are responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon. |
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
1ST CONTAINERS (UK) LIMITED |
Opinions on other matters prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of the audit: |
- | the information given in the Group Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Group Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Directors. |
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 from 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. |
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on pages four and five, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. |
In preparing the financial statements, the directors are responsible for assessing the group's and the parent company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the group or the parent company or to cease operations, or have no realistic alternative but to do so. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
1ST CONTAINERS (UK) LIMITED |
Auditors' responsibilities for the audit of the financial statements |
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
In our process of identifying fraud risks we assessed events or conditions that indicate an incentive or pressure to commit fraud or provide an opportunity to commit fraud ("fraud risk factors") to determine how fraud risks are relevant to our audit. Based on the auditing standards we addressed two fraud risks that were relevant to our audit, in relation to revenue recognition and management override of controls. Based upon our analysis of fraud risk factors, we have not identified any additional fraud risks. |
Our audit procedures included an evaluation of the design, implementation as well as the operating effectiveness of internal controls relevant to mitigate these risks. We also performed substantive audit procedures, including detailed testing of high risk journal entries and procedures to satisfy ourselves that revenue has been properly recognised in the financial statements in accordance with financial reporting standards and the Company's accounting policies. Through these procedures, we did not identify any material actual or suspected incidences of fraud. |
We have evaluated facts and circumstances in order to assess laws and regulations relevant to the Company. We identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our general and sector experience, through discussion with the Directors and other management (as required by auditing standards) and discussed with the Directors and other management the policies and procedures regarding compliance with laws and regulations. We communicated identified laws and regulations throughout our team and remained alert to any indications of non-compliance throughout the audit. |
The potential effect of these laws and regulations on the financial statements varies considerably. |
Firstly, the Company is subject to laws and regulations that directly affect the financial statements including taxation and financial reporting (including related company legislation) and we assessed the extent of compliance with these laws and regulations as part of our procedures on the related financial statement items. |
Secondly, the Company is subject to many other laws and regulations where the consequences of non-compliance could have a material effect on amounts or disclosures in the financial statements, for instance through the imposition of fines or litigation. We identified the following areas as those most likely to have such an effect: |
- Employment legislation, reflecting the Company's workforce |
- Health and safety regulation, reflecting the Company's production, distribution and operating processes |
- Data privacy, reflecting the Company's management of personal and corporate data |
Auditing standards limit the required audit procedures to identify non-compliance with these regulations to enquiry of the Directors and other management and inspection of regulatory and legal correspondence, if any. Through these procedures we did not identify any material actual or suspected non-compliance in any of the above areas. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
1ST CONTAINERS (UK) LIMITED |
We note that our audit is not primarily designed to detect non-compliance with laws and regulations and the Directors and other management are responsible for such internal control as the Directors and other management of the Company determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to errors or fraud, including compliance with laws and regulations. Additionally, owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations. |
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
Use of our report |
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 a Report of the Auditors 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. |
for and on behalf of |
Chartered Certified Accountants |
& Statutory Auditors |
2 Manor Farm Court |
Old Wolverton Road |
Old Wolverton |
Milton Keynes |
Buckinghamshire |
MK12 5NN |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
CONSOLIDATED INCOME STATEMENT |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
Period |
1/4/21 |
Year Ended | to |
31/12/22 | 31/12/21 |
Notes | £ | £ |
TURNOVER | 4 | 53,979,428 | 62,497,923 |
Cost of sales | 43,689,275 | 51,643,069 |
GROSS PROFIT | 10,290,153 | 10,854,854 |
Administrative expenses | 14,380,507 | 1,017,620 |
GROUP OPERATING (LOSS)/PROFIT | 6 | (4,090,354 | ) | 9,837,234 |
Share of operating profit in |
Joint ventures | - | 2,597,813 |
Intercompany loan written off | 7 | 1,286,018 | - |
(5,376,372 | ) | 12,435,047 |
Interest receivable and similar income | 1,058 | 6 |
(5,375,314 | ) | 12,435,053 |
Interest payable and similar expenses | 8 | 999,931 | 14,531 |
(LOSS)/PROFIT BEFORE TAXATION | (6,375,245 | ) | 12,420,522 |
Tax on (loss)/profit | 9 | (585,544 | ) | 2,223,863 |
(LOSS)/PROFIT FOR THE FINANCIAL YEAR |
( |
) |
(Loss)/profit attributable to: |
Owners of the parent | (5,789,701 | ) | 10,196,659 |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
CONSOLIDATED OTHER COMPREHENSIVE INCOME |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
Period |
1/4/21 |
Year Ended | to |
31/12/22 | 31/12/21 |
Notes | £ | £ |
(LOSS)/PROFIT FOR THE YEAR | (5,789,701 | ) | 10,196,659 |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
(5,789,701 |
) |
10,196,659 |
Total comprehensive income attributable to: |
Owners of the parent | (5,789,701 | ) | 10,196,659 |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
CONSOLIDATED BALANCE SHEET |
31 DECEMBER 2022 |
2022 | 2021 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 12 | 495,000 | 550,000 |
Tangible assets | 13 | 13,296,370 | 5,859,780 |
Investments | 14 |
Interest in joint venture |
Share of gross assets | - | 2,597,814 |
13,791,370 | 9,007,594 |
CURRENT ASSETS |
Stocks | 15 | 8,653,614 | 22,006,438 |
Debtors | 16 | 6,951,623 | 7,920,742 |
Cash at bank and in hand | 4,488,851 | 2,431,920 |
20,094,088 | 32,359,100 |
CREDITORS |
Amounts falling due within one year | 17 | 18,770,796 | 22,179,210 |
NET CURRENT ASSETS | 1,323,292 | 10,179,890 |
TOTAL ASSETS LESS CURRENT LIABILITIES |
15,114,662 |
19,187,484 |
CREDITORS |
Amounts falling due after more than one year |
18 |
(2,502,396 |
) |
(1,604,893 |
) |
PROVISIONS FOR LIABILITIES | 22 | (1,687,680 | ) | (699,504 | ) |
NET ASSETS | 10,924,586 | 16,883,087 |
CAPITAL AND RESERVES |
Called up share capital | 23 | 100 | 100 |
Revaluation reserve | 24 | 11,482 | 11,482 |
Retained earnings | 24 | 10,913,004 | 16,871,505 |
SHAREHOLDERS' FUNDS | 10,924,586 | 16,883,087 |
The financial statements were approved by the Board of Directors and authorised for issue on 30 September 2023 and were signed on its behalf by: |
M K Brenner - Director |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
COMPANY BALANCE SHEET |
31 DECEMBER 2022 |
2022 | 2021 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 12 |
Tangible assets | 13 |
Investments | 14 |
CURRENT ASSETS |
Stocks | 15 |
Debtors | 16 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 17 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year |
18 |
( |
) |
( |
) |
PROVISIONS FOR LIABILITIES | 22 | ( |
) | ( |
) |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 23 |
Revaluation reserve | 24 |
Retained earnings | 24 |
SHAREHOLDERS' FUNDS |
Company's (loss)/profit for the financial year |
(5,515,394 |
) |
9,633,853 |
The financial statements were approved by the Board of Directors and authorised for issue on |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
Called up |
share | Retained | Revaluation | Total |
capital | earnings | reserve | equity |
£ | £ | £ | £ |
Balance at 1 April 2021 | 100 | 6,720,896 | 11,482 | 6,732,478 |
Changes in equity |
Dividends | - | (46,050 | ) | - | (46,050 | ) |
Total comprehensive income | - | 10,196,659 | - | 10,196,659 |
Balance at 31 December 2021 | 100 | 16,871,505 | 11,482 | 16,883,087 |
Changes in equity |
Dividends | - | (168,800 | ) | - | (168,800 | ) |
Total comprehensive income | - | (5,789,701 | ) | - | (5,789,701 | ) |
Balance at 31 December 2022 | 100 | 10,913,004 | 11,482 | 10,924,586 |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
COMPANY STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
Called up |
share | Retained | Revaluation | Total |
capital | earnings | reserve | equity |
£ | £ | £ | £ |
Balance at 1 April 2021 |
Changes in equity |
Dividends | - | ( |
) | - | ( |
) |
Total comprehensive income | - |
Balance at 31 December 2021 |
Changes in equity |
Dividends | - | ( |
) | - | ( |
) |
Total comprehensive income | - | ( |
) | ( |
) |
Balance at 31 December 2022 |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
Period |
1/4/21 |
Year Ended | to |
31/12/22 | 31/12/21 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | 7,749,229 | 4,067,730 |
Interest paid | (999,931 | ) | (14,531 | ) |
Tax paid | (141,661 | ) | (1,192,338 | ) |
Net cash from operating activities | 6,607,637 | 2,860,861 |
Cash flows from investing activities |
Purchase of tangible fixed assets | (8,164,201 | ) | (1,483,840 | ) |
Sale of tangible fixed assets | 441 | 314,028 |
Interest received | 1,058 | 6 |
Dividends received | - | (2,597,813 | ) |
Net cash from investing activities | (8,162,702 | ) | (3,767,619 | ) |
Cash flows from financing activities |
New loans in year | 18,301,438 | - |
Loan repayments in year | (14,447,476 | ) | (535,778 | ) |
Amount withdrawn by directors | (73,166 | ) | - |
Equity dividends paid | (168,800 | ) | (46,050 | ) |
Net cash from financing activities | 3,611,996 | (581,828 | ) |
Increase/(decrease) in cash and cash equivalents | 2,056,931 | (1,488,586 | ) |
Cash and cash equivalents at beginning of year |
2 |
2,431,920 |
3,920,506 |
Cash and cash equivalents at end of year |
2 |
4,488,851 |
2,431,920 |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
1. | RECONCILIATION OF (LOSS)/PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
Period |
1/4/21 |
Year Ended | to |
31/12/22 | 31/12/21 |
£ | £ |
(Loss)/profit before taxation | (6,375,245 | ) | 12,420,522 |
Depreciation charges | 782,170 | 505,242 |
Profit on disposal of fixed assets | - | (19,041 | ) |
Impairment of investment | 2,597,813 | - |
Finance costs | 999,931 | 14,531 |
Finance income | (1,058 | ) | (6 | ) |
(1,996,389 | ) | 12,921,248 |
Decrease/(increase) in stocks | 13,352,824 | (18,206,736 | ) |
Decrease/(increase) in trade and other debtors | 1,032,040 | (3,369,285 | ) |
(Decrease)/increase in trade and other creditors | (4,639,246 | ) | 12,722,503 |
Cash generated from operations | 7,749,229 | 4,067,730 |
2. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
Year ended 31 December 2022 |
31/12/22 | 1/1/22 |
£ | £ |
Cash and cash equivalents | 4,488,851 | 2,431,920 |
Period ended 31 December 2021 |
31/12/21 | 1/4/21 |
£ | £ |
Cash and cash equivalents | 2,431,920 | 3,920,506 |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
3. | ANALYSIS OF CHANGES IN NET FUNDS/(DEBT) |
At 1/1/22 | Cash flow | At 31/12/22 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 2,431,920 | 2,056,931 | 4,488,851 |
2,431,920 | 2,056,931 | 4,488,851 |
Debt |
Debts falling due within 1 year | (667,304 | ) | (2,136,458 | ) | (2,803,762 | ) |
Debts falling due after 1 year | (784,893 | ) | (1,717,503 | ) | (2,502,396 | ) |
(1,452,197 | ) | (3,853,961 | ) | (5,306,158 | ) |
Total | 979,723 | (1,797,030 | ) | (817,307 | ) |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
1. | REPORTING PERIOD |
In the previous period the company shortened its year end to 31 December 2021 to coincide with the year ends of the other companies within the group. Due to this the comparative figures are for a nine month period and are therefore not entirely comparable. |
2. | STATUTORY INFORMATION |
1st Containers (UK) Limited ("the company") is a private limited company, limited by shares, domiciled and incorporated in England and Wales. The registered office is Rainham House, Manor Way, Rainham, Kent, RM13 8RH. |
3. | ACCOUNTING POLICIES |
BASIS OF PREPARING THE FINANCIAL STATEMENTS |
These financial statements have been prepared in accordance with FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" ("FRS 102") and the requirements of the Companies Act 2006. |
The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £. |
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below. |
BASIS OF CONSOLIDATION |
The consolidated group financial statements consist of the financial statements of the parent company 1st Containers (UK) Limited together with all entities controlled by the parent company (its subsidiaries) and the group's share of its interests in joint ventures and associates. |
All financial statements are made up to 31 December 2022. Where necessary, adjustments are made to the financial statements of subsidiaries to bring the accounting policies used into line with those used by other members of the group. |
All intra-group transactions, balances and unrealised gains on transactions between group companies are eliminated on consolidation. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred. |
Subsidiaries are consolidated in the group's financial statements from the date that control commences until the date that control ceases. |
Entities in which the group holds an interest and which are jointly controlled by the group and one or more other venturers under a contractual arrangement are treated as joint ventures. Entities other than subsidiary undertakings or joint ventures, in which the group has a participating interest and over whose operating and financial policies the group exercises a significant influence, are treated as associates. |
Investments in joint ventures and associates are carried in the group balance sheet at cost plus post-acquisition changes in the group's share of the net assets of the entity, less any impairment in value. The carrying values of investments in joint ventures and associates include acquired goodwill. |
If the group's share of losses in a joint venture or associate equals or exceeds its investment in the joint venture or associate, the group does not recognise further losses unless it has incurred obligations to do so or has made payments on behalf of the joint venture or associate. |
Unrealised gains arising from transactions with joint ventures and associates are eliminated to the extent of the group's interest in the entity. |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
3. | ACCOUNTING POLICIES - continued |
SIGNIFICANT JUDGEMENTS AND ESTIMATES |
In the application of the group's accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. |
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods. |
TURNOVER |
Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates. |
Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably. |
GOODWILL |
Goodwill represents the excess of the cost of acquisition of a business over the fair value of net assets acquired. It is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is considered to have a finite useful life and is amortised on a systematic basis over its expected life, which is ten years. |
For the purposes of impairment testing, goodwill is allocated to the cash-generating units expected to benefit from the acquisition. Cash-generating units to which goodwill has been allocated are tested br impairment at least annually, or more frequently when there is an indication that the unit may be impaired. If the recoverable amount of the cash-generating unit is less than the carrying amount of the unit, the impairment loss is allocated first to reduce the carrying amount of any goodwill allocated to the unit and then to the other assets of the unit pro-rata on the basis of the carrying amount of each asset in the unit. |
INTANGIBLE ASSETS |
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. |
TANGIBLE FIXED ASSETS |
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses. |
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases: |
Plant and equipment | 10% - 25% reducing balance |
Fixtures and fittings | 10% - 25% reducing balance |
Computers | 25% reducing balance |
Motor vehicles | 25% reducing balance |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
3. | ACCOUNTING POLICIES - continued |
GOVERNMENT GRANTS |
Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received. |
A grant that specifies performance conditions is recognised in income when the performance conditions are met. Where a grant does not specify performance conditions it is recognised in income when the proceeds are received or receivable. A grant received before the recognition criteria are satisfied is recognised as a liability. |
INVESTMENTS IN SUBSIDIARIES |
Interests in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses. The investments are assessed for impairment at each reporting date and any impairment losses or reversals of impairment losses are recognised immediately in profit or loss. |
A subsidiary is an entity controlled by the company. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities. |
An associate is an entity, being neither a subsidiary nor a joint venture, in which the company holds a long-term interest and where the company has significant influence. The company considers that it has significant influence where it has the power to participate in the financial and operating decisions of the associate. |
Entities in which the company has a long-term interest and shares control under a contractual arrangement are classified as jointly controlled entities. |
STOCKS |
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition. |
Stocks held for distribution at no or nominal consideration are measured at the lower of cost and replacement cost, adjusted where applicable for any loss of service potential. |
At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss. |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
3. | ACCOUNTING POLICIES - continued |
FINANCIAL INSTRUMENTS |
The company has elected to apply the provisions of Section 11 'Basic Financial Instruments' and Section 12 'Other Financial Instruments Issues' of FRS 102 to all of its financial instruments. |
Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument. |
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. |
Basic financial assets |
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised. |
Other financial assets |
Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment. |
Impairment of financial assets |
Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end 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 have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset's original effective interest rate. The impairment loss is recognised in profit or loss. |
If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss. |
Derecognition of financial assets |
Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party. |
Classification of financial liabilities |
Financial liabilities and equity instruments 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 company after deducting all of its liabilities. |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
3. | ACCOUNTING POLICIES - continued |
Basic financial liabilities |
Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised. |
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. |
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method. |
Other financial liabilities |
Derivatives, including interest rate swaps and forward foreign exchange contracts, are not basic financial instruments. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss in finance costs or finance income as appropriate, unless hedge accounting is applied and the hedge is a cash flow hedge. |
Debt instruments that do not meet the conditions in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. Debt instruments may be designated as being measured at fair value through profit or loss to eliminate or reduce an accounting mismatch or if the instruments are measured and their performance evaluated on a fair value basis in accordance with a documented risk management or investment strategy. |
Derecognition of financial liabilities |
Financial liabilities are derecognised when the company's contractual obligations expire or are discharged or cancelled. |
Equity instruments |
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company. |
TAXATION |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
3. | ACCOUNTING POLICIES - continued |
DEFERRED TAX |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
FOREIGN CURRENCIES |
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result. |
HIRE PURCHASE AND LEASING COMMITMENTS |
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. |
Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed. |
PENSION COSTS AND OTHER POST-RETIREMENT BENEFITS |
The group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme are charged to profit or loss in the period to which they relate. |
IMPAIRMENT OF FIXED ASSETS |
At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs. |
Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted. |
If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease. |
Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase. |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
3. | ACCOUNTING POLICIES - continued |
EMPLOYEE BENEFITS |
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets. |
The cost of any unused holiday entitlement is recognised in the period in which the employee's services are received. |
Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits. |
BUSINESS COMBINATIONS |
In the parent company financial statements, the cost of a business combination is the fair value at the acquisition date of the assets given, equity instruments issued and liabilities incurred or assumed, plus costs directly attributable to the business combination. The excess of the cost of a business combination over the fair value of the identifiable assets, liabilities and contingent liabilities acquired is recognised as goodwill. The cost of the combination includes the estimated amount of contingent consideration that is probable and can be measured reliably, and is adjusted for changes in contingent consideration after the acquisition date. Provisional fair values recognised for business combinations in previous periods are adjusted retrospectively for final fair values determined in the 12 months following the acquisition date. Investments in subsidiaries, joint ventures and associates are accounted for at cost less impairment. |
Deferred tax is recognised on differences between the value of assets (other than goodwill) and liabilities recognised in a business combination accounted for using the purchase method and the amounts that can be deducted or assessed for tax, considering the manner in which the carrying amount of the asset or liability is expected to be recovered or settled. The deferred tax recognised is adjusted against goodwill or negative goodwill. |
4. | TURNOVER |
The turnover and loss (2021 - profit) before taxation are attributable to the one principal activity of the group. |
An analysis of turnover by class of business is given below: |
Period |
1/4/21 |
Year Ended | to |
31/12/22 | 31/12/21 |
£ | £ |
Sale and hire of goods | 53,979,428 | 62,497,923 |
53,979,428 | 62,497,923 |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
4. | TURNOVER - continued |
An analysis of turnover by geographical market is given below: |
Period |
1/4/21 |
Year Ended | to |
31/12/22 | 31/12/21 |
£ | £ |
United Kingdom | 53,979,428 | 62,497,923 |
53,979,428 | 62,497,923 |
5. | EMPLOYEES AND DIRECTORS |
Period |
1/4/21 |
Year Ended | to |
31/12/22 | 31/12/21 |
£ | £ |
Wages and salaries | 675,520 | 319,466 |
Social security costs | 42,432 | 21,140 |
Other pension costs | 10,125 | 12,606 |
728,077 | 353,212 |
The average number of employees during the year was as follows: |
Period |
1/4/21 |
Year Ended | to |
31/12/22 | 31/12/21 |
Period |
1/4/21 |
Year Ended | to |
31/12/22 | 31/12/21 |
£ | £ |
Directors' remuneration | 29,829 | 22,372 |
Directors' pension contributions to money purchase schemes | 413 | 275 |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
6. | OPERATING (LOSS)/PROFIT |
The operating loss (2021 - operating profit) is stated after charging/(crediting): |
Period |
1/4/21 |
Year Ended | to |
31/12/22 | 31/12/21 |
£ | £ |
Hire of plant and machinery | 973,017 | 993,920 |
Other operating leases | 210,903 | 242,630 |
Depreciation - owned assets | 727,170 | 505,243 |
Profit on disposal of fixed assets | - | (19,041 | ) |
Goodwill amortisation | 55,000 | - |
Auditors' remuneration | 20,000 | 20,000 |
Foreign exchange differences | (526,869 | ) | 203,899 |
7. | EXCEPTIONAL ITEMS |
Period |
1/4/21 |
Year Ended | to |
31/12/22 | 31/12/21 |
£ | £ |
Intercompany loan written off | (1,286,018 | ) | - |
8. | INTEREST PAYABLE AND SIMILAR EXPENSES |
Period |
1/4/21 |
Year Ended | to |
31/12/22 | 31/12/21 |
£ | £ |
Bank loan interest | 125,163 | 14,531 |
Other loan interest | 874,768 | - |
999,931 | 14,531 |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
9. | TAXATION |
Analysis of the tax (credit)/charge |
The tax (credit)/charge on the loss for the year was as follows: |
Period |
1/4/21 |
Year Ended | to |
31/12/22 | 31/12/21 |
£ | £ |
Current tax: |
UK corporation tax | (1,836,514 | ) | 2,053,608 |
Under provision in prior years | 262,794 | - |
Total current tax | (1,573,720 | ) | 2,053,608 |
Deferred tax | 988,176 | 170,255 |
Tax on (loss)/profit | (585,544 | ) | 2,223,863 |
10. | INDIVIDUAL INCOME STATEMENT |
As permitted by Section 408 of the Companies Act 2006, the Income Statement of the parent company is not presented as part of these financial statements. |
11. | DIVIDENDS |
Period |
1/4/21 |
Year Ended | to |
31/12/22 | 31/12/21 |
£ | £ |
Ordinary shares of £1 each |
Interim | 168,800 | 46,050 |
12. | INTANGIBLE FIXED ASSETS |
Group |
Goodwill |
£ |
COST |
At 1 January 2022 |
and 31 December 2022 | 550,000 |
AMORTISATION |
Amortisation for year | 55,000 |
At 31 December 2022 | 55,000 |
NET BOOK VALUE |
At 31 December 2022 | 495,000 |
At 31 December 2021 | 550,000 |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
13. | TANGIBLE FIXED ASSETS |
Group |
Fixtures |
Plant and | and | Motor |
equipment | fittings | vehicles | Computers | Totals |
£ | £ | £ | £ | £ |
COST |
At 1 January 2022 | 7,879,946 | 4,235 | 30,291 | 50,874 | 7,965,346 |
Additions | 8,158,462 | 1,298 | - | 4,441 | 8,164,201 |
Disposals | - | (607 | ) | - | (846 | ) | (1,453 | ) |
At 31 December 2022 | 16,038,408 | 4,926 | 30,291 | 54,469 | 16,128,094 |
DEPRECIATION |
At 1 January 2022 | 2,052,757 | 3,361 | 23,817 | 25,631 | 2,105,566 |
Charge for year | 717,468 | 441 | 1,619 | 7,642 | 727,170 |
Eliminated on disposal | - | (305 | ) | - | (707 | ) | (1,012 | ) |
At 31 December 2022 | 2,770,225 | 3,497 | 25,436 | 32,566 | 2,831,724 |
NET BOOK VALUE |
At 31 December 2022 | 13,268,183 | 1,429 | 4,855 | 21,903 | 13,296,370 |
At 31 December 2021 | 5,827,189 | 874 | 6,474 | 25,243 | 5,859,780 |
Company |
Plant and | Motor |
equipment | vehicles | Computers | Totals |
£ | £ | £ | £ |
COST |
At 1 January 2022 |
Additions |
At 31 December 2022 |
DEPRECIATION |
At 1 January 2022 |
Charge for year |
At 31 December 2022 |
NET BOOK VALUE |
At 31 December 2022 |
At 31 December 2021 |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
14. | FIXED ASSET INVESTMENTS |
Group |
Interest |
in joint |
venture |
£ |
COST |
At 1 January 2022 | 2,597,814 |
Impairments | (2,597,814 | ) |
At 31 December 2022 | - |
NET BOOK VALUE |
At 31 December 2022 | - |
At 31 December 2021 | 2,597,814 |
Interest in joint venture |
Details of joint ventures at 31 December 2022 are as follows: |
Allseas Global Project Logistics Limited |
Adelaide Mill |
Gould Street |
Oldham |
Greater Manchester |
OL1 3LL |
The company holds 50% of the ordinary share capital of Allseas Global Project Logistics Limited. |
During the year, Allseas Global Project Logistics Limited entered administration and consequently the capital and reserves has been fully impaired. |
As at 31 December 2021 the capital and reserves for Allseas Global Project Logistics Limited was £5,195,627 and its profit for the year was £5,229,929. |
Company |
Shares in | Interest |
group | in joint |
undertakings | venture | Totals |
£ | £ | £ |
COST |
At 1 January 2022 | 3,148,816 |
Impairments | ( |
) | (2,597,813 | ) |
At 31 December 2022 | 551,003 |
NET BOOK VALUE |
At 31 December 2022 | 551,003 |
At 31 December 2021 | 3,148,816 |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
14. | FIXED ASSET INVESTMENTS - continued |
The group or the company's investments at the Balance Sheet date in the share capital of companies include the following: |
Subsidiaries |
LCS (Skip Repair. Self Store & Sales) Limited |
Registered office: Rainham House, Maror Way, Rainham, Kent, RM13 BRH |
Nature of business: Manufacturing |
% |
Class of shares: | holding |
Ordinary | 100.00 |
2022 | 2021 |
£ | £ |
Aggregate capital and reserves | 105,899 | 81,899 |
Profit for the year/period | 24,000 | 24,278 |
Global Container Sclutions Limited |
Registered office: 3c Sopwith Crescent, Wickford, SS11 8YU |
Nature of business: Freight transport |
% |
Class of shares: | holding |
Ordinary | 100.00 |
2022 | 2021 |
£ | £ |
Aggregate capital and reserves | 547,781 | 791,088 |
(Loss)/profit for the year/period | (243,307 | ) | 538,530 |
UK Container Sales Limited |
Registered office: Rainham House, Maror Way. Rainham, Kent. RM13 8RH |
Nature of business: Dormant company |
% |
Class of shares: | holding |
Ordinary | 100.00 |
31/3/23 | 31/3/22 |
£ | £ |
Aggregate capital and reserves | 1 | 1 |
15. | STOCKS |
Group | Company |
2022 | 2021 | 2022 | 2021 |
£ | £ | £ | £ |
Finished goods | 8,653,614 | 22,006,438 |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
16. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2022 | 2021 | 2022 | 2021 |
£ | £ | £ | £ |
Trade debtors | 5,440,961 | 7,775,051 |
Other debtors | 1,060,812 | 101,243 |
Directors' current accounts | 62,921 | - | 62,921 | - |
Called up share capital not paid | 1 | 1 |
Prepayments and accrued income | 386,928 | 44,447 |
6,951,623 | 7,920,742 |
17. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2022 | 2021 | 2022 | 2021 |
£ | £ | £ | £ |
Bank loans and overdrafts (see note 19) | 214,277 | 667,304 |
Other loans (see note 19) | 2,589,485 | - |
Trade creditors | 4,908,398 | 13,965,996 |
Amounts owed to group undertakings | - | - |
Amounts owed to participating interests | 4,032,163 | 1,613,627 | 4,032,163 | 1,613,627 |
Tax | 86,969 | 1,802,350 | ( |
) |
Social security and other taxes | 14,956 | 310,284 |
VAT | 1,407,706 | 400,852 | 1,399,942 | 393,650 |
Other creditors | 211,053 | 433,405 |
Directors' current accounts | - | 10,245 | - | 10,245 |
Accruals and deferred income | 5,305,789 | 2,975,147 |
18,770,796 | 22,179,210 |
18. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
Group | Company |
2022 | 2021 | 2022 | 2021 |
£ | £ | £ | £ |
Bank loans (see note 19) | 582,029 | 784,893 |
Other loans (see note 19) | 1,920,367 | - |
Other creditors | - | 820,000 | - | 820,000 |
2,502,396 | 1,604,893 |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
19. | LOANS |
An analysis of the maturity of loans is given below: |
Group | Company |
2022 | 2021 | 2022 | 2021 |
£ | £ | £ | £ |
Amounts falling due within one year or | on demand: |
Bank loans | 214,277 | 667,304 |
Other loans | 2,589,485 | - |
2,803,762 | 667,304 |
Amounts falling due between one and | two years: |
Bank loans - 1-2 years | 234,037 | 784,893 |
Other loans - 1-2 years | 1,343,109 | - | 1,343,109 |
1,577,146 | 784,893 |
Amounts falling due between two and | five years: |
Bank loans - 2-5 years | 342,978 | - |
Other loans - 2-5 years | 577,258 | - |
920,236 | - |
Amounts falling due in more than five | years: |
Repayable by instalments |
Bank loans more 5 yr by instal | 5,014 | - | - | - |
20. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Company |
Non-cancellable | operating leases |
2022 | 2021 |
£ | £ |
Within one year |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
21. | SECURED DEBTS |
The following secured debts are included within creditors: |
Group |
2022 | 2021 |
£ | £ |
Bank loans | 796,306 | 1,452,197 |
Other loans | 4,509,852 | - |
5,306,158 | 1,452,197 |
Loans are secured against the assets to which they relate. |
The company's bankers hold a fixed and floating charge against assets of the company. |
22. | PROVISIONS FOR LIABILITIES |
Group | Company |
2022 | 2021 | 2022 | 2021 |
£ | £ | £ | £ |
Deferred tax | 1,687,680 | 699,504 | 1,687,680 | 699,504 |
Group |
Deferred |
tax |
£ |
Balance at 1 January 2022 | 699,504 |
Charge to Income Statement during year | 988,176 |
Balance at 31 December 2022 | 1,687,680 |
Company |
Deferred |
tax |
£ |
Balance at 1 January 2022 |
Charge to Income Statement during year |
Balance at 31 December 2022 |
23. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2022 | 2021 |
value: | £ | £ |
Ordinary | £1 | 100 | 100 |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
24. | RESERVES |
Group |
Retained | Revaluation |
earnings | reserve | Totals |
£ | £ | £ |
At 1 January 2022 | 16,871,505 | 11,482 | 16,882,987 |
Deficit for the year | (5,789,701 | ) | (5,789,701 | ) |
Dividends | (168,800 | ) | (168,800 | ) |
At 31 December 2022 | 10,913,004 | 11,482 | 10,924,486 |
Company |
Retained | Revaluation |
earnings | reserve | Totals |
£ | £ | £ |
At 1 January 2022 | 16,011,002 |
Deficit for the year | ( |
) | ( |
) |
Dividends | ( |
) | ( |
) |
At 31 December 2022 | 10,326,808 |
25. | PENSION COMMITMENTS |
A defined contribution pension scheme is operated for all qualifying employees. Charge for the year is £10,125 (2021: 12,606) The assets of the scheme are held separately from those of the group in an independently administered fund. |
26. | DIRECTORS' ADVANCES, CREDITS AND GUARANTEES |
The following advances and credits to a director subsisted during the year ended 31 December 2022 and the period ended 31 December 2021: |
2022 | 2021 |
£ | £ |
M K Brenner |
Balance outstanding at start of year | - | - |
Amounts advanced | 62,921 | - |
Amounts repaid | - | - |
Amounts written off | - | - |
Amounts waived | - | - |
Balance outstanding at end of year | 62,921 | - |
The loan is interest free and repayable on demand. |
1ST CONTAINERS (UK) LIMITED (REGISTERED NUMBER: 05098040) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2022 |
27. | RELATED PARTY DISCLOSURES |
At the year end Company owed following balances from participating interest: |
Allseas Global Logistics Limited | £2,317,757 |
Allseas Global Management Limited | £309,000 |
DKT Allseas Shipping Limited | £1,629,685 |
Allseas Global Supply Chain Limited | £(224,279 | ) |
28. | ULTIMATE CONTROLLING PARTY |
The ultimate controlling party is M K Brenner. |