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GROUP STRATEGIC REPORT, REPORT OF THE DIRECTORS AND CONSOLIDATED FINANCIAL STATEMENTS |
Contents |
Page |
Officers and professional advisers |
1 |
Strategic report |
2 |
Directors' report |
8 |
Independent auditor's report to the members |
11 |
Consolidated statement of comprehensive income |
16 |
Consolidated statement of financial position |
17 |
Company statement of financial position |
19 |
Consolidated statement of changes in equity |
21 |
Company statement of changes in equity |
22 |
Consolidated statement of cash flows |
23 |
Notes to the group strategic report, report of the directors and consolidated financial statements |
25 |
|
OFFICERS AND PROFESSIONAL ADVISERS |
The board of directors |
|
|
|
|
|
Company secretary |
|
Registered office |
|
|
|
|
|
England |
|
|
|
Auditor |
|
Chartered Accountants & Statutory Auditors |
|
168 Church Road |
|
Hove |
|
East Sussex |
|
BN3 2DL |
|
|
STRATEGIC REPORT |
2022 |
2021 |
||
£ |
£ |
||
Turnover |
28,161,135 |
23,946,519 |
|
Gross profit |
6,597,279 |
5,644,131 |
|
Operating loss |
214,722 |
3,725,207 |
|
Total net assets/(liabilities) |
9,228,655 |
8,604,159 |
|
2022 |
2021 |
||
Gross profit percentage - % |
23 |
24 |
|
|
Director |
Registered office: |
|
|
|
England |
|
|
DIRECTORS' REPORT |
|
|
|
|
|
|
|
Director |
Registered office: |
|
|
|
England |
|
|
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF
|
|
(Senior Statutory Auditor) |
For and on behalf of |
|
Chartered Accountants & Statutory Auditors |
168 Church Road |
Hove |
East Sussex |
BN3 2DL |
|
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME |
2022 |
2021 |
||
Note |
£ |
£ |
|
Turnover |
4 |
|
|
Cost of sales |
|
|
--------------- |
--------------- |
|
Gross profit |
|
|
Distribution costs |
|
|
|
Administrative expenses |
|
|
|
Other operating income |
5 |
|
|
------------- |
------------- |
||
Operating loss |
6 |
(
|
(
|
Other interest receivable and similar income |
10 |
|
|
Interest payable and similar expenses |
11 |
|
|
------------- |
------------- |
||
Loss before taxation |
(
|
(
|
|
Tax on loss |
12 |
|
(
|
---------- |
------------- |
||
Loss for the financial year and total comprehensive income |
(
|
(
|
|
---------- |
------------- |
||
The owners of the parent company |
(
|
(
|
Non-controlling interests |
(
|
(
|
---------- |
------------- |
|
(
|
(
|
|
---------- |
------------- |
|
|
CONSOLIDATED STATEMENT OF FINANCIAL POSITION |
2022 |
2021 |
||
Note |
£ |
£ |
|
Intangible assets |
13 |
|
|
|
Tangible assets |
14 |
|
|
|
Investments |
15 |
|
|
|
------------- |
------------- |
|||
|
|
|||
Stocks |
16 |
|
|
|
Debtors |
17 |
|
|
|
Cash at bank and in hand |
|
|
||
------------- |
------------- |
|||
|
|
|||
Prepayments and accrued income |
|
|
|
Creditors: amounts falling due within one year |
||||
Bank loans and overdrafts |
|
|
||
Trade creditors |
|
|
||
Amounts owed to group undertakings |
|
|
||
Other creditors including taxation and social security |
19 |
|
|
|
------------- |
------------- |
|||
|
|
|||
------------- |
------------- |
|||
Net current assets |
|
|
||
------------- |
------------- |
|||
Total assets less current liabilities |
|
|
||
Creditors: amounts falling due after more than one year |
20 |
|
|
|
Provisions |
22 |
|
(
|
|
Accruals and deferred income |
|
|
|
--------------- |
--------------- |
||
Net liabilities |
(
|
(
|
|
--------------- |
--------------- |
||
|
CONSOLIDATED STATEMENT OF FINANCIAL POSITION (continued) |
2022 |
2021 |
||
Note |
£ |
£ |
|
Called up share capital |
26 |
|
|
|
Share premium account |
27 |
|
|
|
Profit and loss account |
27 |
(
|
(
|
|
--------------- |
--------------- |
|||
Equity attributable to the owners of the parent company |
(
|
(
|
||
Non-controlling interests |
(
|
(
|
|
------------- |
------------- |
||
(
|
(
|
||
------------- |
------------- |
||
|
Director |
|
COMPANY STATEMENT OF FINANCIAL POSITION |
2022 |
2021 |
||
Note |
£ |
£ |
|
Tangible assets |
14 |
|
|
|
Investments |
15 |
|
|
|
--------------- |
--------------- |
|||
|
|
|||
Debtors |
17 |
|
|
|
Cash at bank and in hand |
|
|
||
------------- |
------------- |
|||
|
|
|||
Prepayments and accrued income |
|
– |
|
Creditors: amounts falling due within one year |
||||
Trade creditors |
|
|
||
Amounts owed to group undertakings |
|
|
||
Other creditors including taxation and social security |
19 |
|
|
|
--------------- |
------------- |
|||
|
|
|||
--------------- |
------------- |
|||
Net current (liabilities)/assets |
(
|
|
||
--------------- |
--------------- |
|||
Total assets less current liabilities |
|
|
||
Creditors: amounts falling due after more than one year |
20 |
– |
|
|
Accruals and deferred income |
|
|
|
------------- |
--------------- |
||
Net assets |
|
|
|
------------- |
--------------- |
||
Called up share capital |
26 |
|
|
|
Share premium account |
27 |
|
|
|
Profit and loss account |
27 |
(
|
(
|
|
--------------- |
--------------- |
|||
Shareholders funds |
|
|
||
--------------- |
--------------- |
|||
|
COMPANY STATEMENT OF FINANCIAL POSITION (continued) |
|
Director |
|
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY |
Called up share capital |
Share premium account |
Profit and loss account |
Equity attributable to the owners of the parent company |
Non-controlling interests |
Total |
|
£ |
£ |
£ |
£ |
£ |
£ |
|
At 1 January 2021 |
|
– |
(
|
(
|
(
|
(
|
Loss for the year |
(
|
(
|
(
|
(
|
||
------------- |
---- |
-------------- |
------------- |
---------- |
-------------- |
|
Total comprehensive income for the year |
– |
– |
(
|
(
|
(
|
(
|
Issue of shares |
|
|
– |
|
– |
|
------------- |
------------- |
-------------- |
------------- |
---------- |
-------------- |
|
Total investments by and distributions to owners |
|
|
– |
|
– |
|
At 31 December 2021 |
|
|
(
|
(
|
(
|
(
|
Loss for the year |
(
|
(
|
(
|
(
|
||
------------- |
------------- |
-------------- |
------------- |
---------- |
-------------- |
|
Total comprehensive income for the year |
– |
– |
(
|
(
|
(
|
(
|
------------- |
------------- |
-------------- |
------------- |
---------- |
-------------- |
|
At 31 December 2022 |
|
|
(
|
(
|
(
|
(
|
------------- |
------------- |
-------------- |
------------- |
---------- |
-------------- |
|
|
COMPANY STATEMENT OF CHANGES IN EQUITY |
Called up share capital |
Share premium account |
Profit and loss account |
Total |
|
£ |
£ |
£ |
£ |
|
At 1 January 2021 |
|
– |
(
|
(
|
Loss for the year |
(
|
(
|
||
------------- |
---- |
-------------- |
------------- |
|
Total comprehensive income for the year |
– |
– |
(
|
(
|
Issue of shares |
|
|
– |
|
------------- |
------------- |
-------------- |
------------- |
|
Total investments by and distributions to owners |
|
|
– |
|
At 31 December 2021 |
|
|
(
|
|
Profit for the year |
|
|
||
------------- |
------------- |
-------------- |
------------- |
|
Total comprehensive income for the year |
– |
– |
|
|
------------- |
------------- |
-------------- |
------------- |
|
At 31 December 2022 |
|
|
(
|
|
------------- |
------------- |
-------------- |
------------- |
|
|
CONSOLIDATED STATEMENT OF CASH FLOWS |
2022 |
2021 |
|
Note |
£ |
£ |
Loss for the financial year |
(
|
(
|
Adjustments for: |
||
Depreciation of tangible assets |
119,555 |
97,645 |
Amortisation of intangible assets |
1,377,882 |
2,182,351 |
Government grant income |
(
|
(
|
Other interest receivable and similar income |
(
|
(
|
Interest payable and similar expenses |
|
|
(Gains)/loss on disposal of tangible assets |
(
|
|
Tax on profit/(loss) |
|
(
|
Accrued expenses/(income) |
|
(
|
Changes in: |
||
Stocks |
(
|
|
Trade and other debtors |
(
|
|
Trade and other creditors |
|
(
|
------------- |
------------- |
|
Cash generated from operations |
(
|
|
Interest paid |
(
|
(
|
Interest received |
|
|
Tax paid |
(
|
(
|
------------- |
------------- |
|
Net cash (used in)/from operating activities |
(
|
|
------------- |
------------- |
|
Purchase of tangible assets |
(
|
(
|
Proceeds from sale of tangible assets |
|
– |
Purchase of intangible assets |
– |
(
|
Proceeds from sale of intangible assets |
– |
|
------------- |
------------- |
|
Net cash (used in)/from investing activities |
(
|
|
------------- |
------------- |
|
Proceeds from issue of ordinary shares |
– |
|
Proceeds from borrowings |
(
|
|
Proceeds from loans from group undertakings |
|
(
|
Government grant income |
|
|
Payments of finance lease liabilities |
(
|
(
|
------------- |
------------- |
|
Net cash from/(used in) financing activities |
|
(
|
------------- |
------------- |
|
|
CONSOLIDATED STATEMENT OF CASH FLOWS (continued) |
2022 |
2021 |
||
Note |
£ |
£ |
|
Net (decrease)/increase in cash and cash equivalents |
(
|
|
|
Cash and cash equivalents at beginning of year |
2,265,572 |
1,826,362 |
|
------------- |
------------- |
||
Cash and cash equivalents at end of year |
18 |
|
|
------------- |
------------- |
||
|
NOTES TO THE GROUP STRATEGIC REPORT, REPORT OF THE DIRECTORS AND CONSOLIDATED FINANCIAL STATEMENTS |
Goodwill |
- |
|
|
Domain Name |
- |
4
%
|
|
Short leasehold property |
- |
|
|
Plant and machinery |
- |
|
|
Fixtures, fittings and equipment |
- |
|
|
Motor vehicles |
- |
|
|
2022 |
2021 |
|
£ |
£ |
|
Sale of goods |
|
|
--------------- |
--------------- |
|
2022 |
2021 |
|
£ |
£ |
|
United Kingdom |
|
|
Overseas |
|
|
--------------- |
--------------- |
|
|
|
|
--------------- |
--------------- |
|
2022 |
2021 |
|
£ |
£ |
|
Management charges receivable |
|
|
Government grant income |
|
|
Other operating income |
|
|
---------- |
---------- |
|
|
|
|
---------- |
---------- |
|
2022 |
2021 |
|
£ |
£ |
|
Amortisation of intangible assets |
|
|
Depreciation of tangible assets |
|
|
(Gains)/loss on disposal of tangible assets |
(
|
|
Impairment of trade debtors |
104,385 |
93,081 |
Foreign exchange differences |
(
|
(
|
------------- |
------------- |
|
2022 |
2021 |
|
£ |
£ |
|
Fees payable for the audit of the group strategic report, report of the directors and consolidated financial statements |
|
|
--------- |
---------- |
|
2022 |
2021 |
|
No. |
No. |
|
Production staff |
|
|
Distribution staff |
|
|
Administrative staff |
|
|
Management staff |
10 |
12 |
Number of EU staff |
|
|
---- |
---- |
|
|
|
|
---- |
---- |
|
2022 |
2021 |
|
£ |
£ |
|
Wages and salaries |
|
|
Social security costs |
|
|
Other pension costs |
|
|
------------- |
------------- |
|
|
|
|
------------- |
------------- |
|
2022 |
2021 |
|
£ |
£ |
|
Remuneration |
|
|
--------- |
---------- |
|
2022 |
2021 |
|
No. |
No. |
|
Defined contribution plans |
|
|
---- |
---- |
|
2022 |
2021 |
|
£ |
£ |
|
Interest on cash and cash equivalents |
|
|
Interest from group undertakings |
|
|
--------- |
---------- |
|
|
|
|
--------- |
---------- |
|
2022 |
2021 |
|
£ |
£ |
|
Interest on obligations under finance leases and hire purchase contracts |
|
|
Interest due to group undertakings |
|
|
Other interest payable and similar charges |
|
|
---------- |
---------- |
|
|
|
|
---------- |
---------- |
|
2022 |
2021 |
|
£ |
£ |
|
UK current tax income |
|
|
Adjustments in respect of prior periods |
(
|
– |
--------- |
--------- |
|
Total current tax |
|
|
--------- |
--------- |
|
Origination and reversal of timing differences |
|
(
|
---------- |
---------- |
|
Tax on profit/(loss) |
|
(
|
---------- |
---------- |
|
2022 |
2021 |
|
£ |
£ |
|
Loss on ordinary activities before taxation |
(
|
(
|
---------- |
------------- |
|
Loss on ordinary activities by rate of tax |
|
(
|
Adjustment to tax charge in respect of prior periods |
(
|
– |
Effect of expenses not deductible for tax purposes |
|
|
Effect of capital allowances and depreciation |
(
|
– |
Utilisation of tax losses |
(
|
|
Unused tax losses |
|
– |
Other tax adjustment to increase/(decrease) tax liability |
|
|
---------- |
------------- |
|
Tax on profit/(loss) |
|
(
|
---------- |
------------- |
|
Group |
Goodwill |
Domain Name |
Total |
£ |
£ |
£ |
|
Cost |
|||
At 1 January 2022 and 31 December 2022 |
|
1,600 |
|
--------------- |
------- |
--------------- |
|
Amortisation |
|||
At 1 January 2022 |
|
67 |
|
Charge for the year |
|
383 |
|
--------------- |
------- |
--------------- |
|
At 31 December 2022 |
|
450 |
|
--------------- |
------- |
--------------- |
|
Carrying amount |
|||
At 31 December 2022 |
|
1,150 |
|
--------------- |
------- |
--------------- |
|
At 31 December 2021 |
|
1,533 |
|
--------------- |
------- |
--------------- |
|
Group |
Freehold property |
Short leasehold property |
Plant and machinery |
Fixtures, fittings and equipment |
Motor vehicles |
Total |
£ |
£ |
£ |
£ |
£ |
£ |
|
Cost |
||||||
At 1 Jan 2022 |
|
|
|
|
|
|
Additions |
– |
|
|
|
|
|
Disposals |
– |
– |
– |
– |
(
|
(
|
---------- |
------------- |
------------- |
---------- |
---------- |
------------- |
|
At 31 Dec 2022 |
|
|
|
|
|
|
---------- |
------------- |
------------- |
---------- |
---------- |
------------- |
|
Depreciation |
||||||
At 1 Jan 2022 |
– |
|
|
|
|
|
Charge for the year |
– |
|
|
|
|
|
Disposals |
– |
– |
– |
– |
(
|
(
|
---------- |
------------- |
------------- |
---------- |
---------- |
------------- |
|
At 31 Dec 2022 |
– |
|
|
|
|
|
---------- |
------------- |
------------- |
---------- |
---------- |
------------- |
|
Carrying amount |
||||||
At 31 Dec 2022 |
|
|
|
|
|
|
---------- |
------------- |
------------- |
---------- |
---------- |
------------- |
|
At 31 Dec 2021 |
|
|
|
|
|
|
---------- |
------------- |
------------- |
---------- |
---------- |
------------- |
|
Company |
Freehold property |
£ |
|
Cost |
|
At 1 January 2022 and 31 December 2022 |
|
---------- |
|
Depreciation |
|
At 1 January 2022 and 31 December 2022 |
– |
---------- |
|
Carrying amount |
|
At 31 December 2022 |
|
---------- |
|
At 31 December 2021 |
|
---------- |
|
Group |
Other investments other than loans |
£ |
|
Cost |
|
At 1 January 2022 and 31 December 2022 |
|
--------- |
|
Impairment |
|
At 1 January 2022 and 31 December 2022 |
– |
--------- |
|
Carrying amount |
|
At 1 January 2022 and 31 December 2022 |
|
--------- |
|
At 31 December 2021 |
|
--------- |
|
Company |
Shares in group undertakings |
£ |
|
Cost |
|
At 1 January 2022 |
|
Disposals |
(
|
------------- |
|
At 31 December 2022 |
|
------------- |
|
Impairment |
|
At 1 January 2022 and 31 December 2022 |
– |
------------- |
|
Carrying amount |
|
At 31 December 2022 |
|
------------- |
|
At 31 December 2021 |
|
------------- |
|
Class of share |
Percentage of shares held |
|
Subsidiary undertakings |
||
|
Ordinary |
100 |
|
Ordinary |
100 |
|
Ordinary |
90 |
|
Ordinary |
100 |
|
Ordinary |
100 |
|
Ordinary |
100 |
|
Ordinary |
100 |
|
Ordinary |
100 |
|
Ordinary |
100 |
Group |
Company |
|||
2022 |
2021 |
2022 |
2021 |
|
£ |
£ |
£ |
£ |
|
Raw materials and consumables |
|
|
– |
– |
------------- |
------------- |
---- |
---- |
|
Group |
Company |
|||
2022 |
2021 |
2022 |
2021 |
|
£ |
£ |
£ |
£ |
|
Trade debtors |
|
|
|
|
Amounts owed by group undertakings |
|
– |
|
|
Other debtors |
|
|
|
|
------------- |
------------- |
------------- |
------------- |
|
|
|
|
|
|
------------- |
------------- |
------------- |
------------- |
|
2022 |
2021 |
|
£ |
£ |
|
Cash at bank and in hand |
|
|
Bank overdrafts |
– |
(
|
------------- |
------------- |
|
|
|
|
------------- |
------------- |
|
Group |
Company |
|||
2022 |
2021 |
2022 |
2021 |
|
£ |
£ |
£ |
£ |
|
Corporation tax |
|
|
|
|
Social security and other taxes |
|
|
– |
– |
Other creditors |
|
|
|
|
---------- |
---------- |
---------- |
---------- |
|
|
|
|
|
|
---------- |
---------- |
---------- |
---------- |
|
Group |
Company |
|||
2022 |
2021 |
2022 |
2021 |
|
£ |
£ |
£ |
£ |
|
Bank loans and overdrafts |
|
|
– |
– |
Amounts owed to group undertakings |
|
|
– |
|
Obligations under finance leases and hire purchase contracts |
– |
|
– |
– |
--------------- |
--------------- |
---- |
--------------- |
|
|
|
– |
|
|
--------------- |
--------------- |
---- |
--------------- |
|
Group |
Company |
|||
2022 |
2021 |
2022 |
2021 |
|
£ |
£ |
£ |
£ |
|
Later than 1 year and not later than 5 years |
– |
|
– |
– |
---- |
------- |
---- |
---- |
|
Group |
Deferred tax (note 23) |
£ |
|
At 1 January 2022 |
(
|
Charge against provision |
|
---------- |
|
At 31 December 2022 |
|
---------- |
|
Group |
Company |
|||
2022 |
2021 |
2022 |
2021 |
|
£ |
£ |
£ |
£ |
|
Included in provisions (note 22) |
|
(
|
– |
– |
--------- |
---------- |
---- |
---- |
|
Group |
Company |
|||
2022 |
2021 |
2022 |
2021 |
|
£ |
£ |
£ |
£ |
|
Accelerated capital allowances |
|
|
– |
– |
Revaluation of tangible assets |
– |
(
|
– |
– |
Unused tax losses |
|
– |
– |
– |
Pension plan obligations |
(
|
– |
– |
– |
--------- |
---------- |
---- |
---- |
|
88,442 |
(146,045) |
– |
– |
|
--------- |
---------- |
---- |
---- |
|
Group |
Company |
|||
2022 |
2021 |
2022 |
2021 |
|
£ |
£ |
£ |
£ |
|
Government grants recognised directly in income |
|
|
– |
– |
------- |
---------- |
---- |
---- |
|
2022 |
2021 |
|||
No. |
£ |
No. |
£ |
|
|
|
8,270,991 |
|
8,270,991 |
------------- |
------------- |
------------- |
------------- |
|
At 1 Jan 2022 |
Cash flows |
At 31 Dec 2022 |
|
£ |
£ |
£ |
|
Cash at bank and in hand |
|
(900,365) |
|
Bank overdrafts |
(20,570) |
20,570 |
– |
Debt due within one year |
(211,429) |
(3,837,672) |
(4,049,101) |
Debt due after one year |
(13,697,303) |
722,434 |
(12,974,869) |
--------------- |
------------- |
--------------- |
|
(
|
(
|
(
|
|
--------------- |
------------- |
--------------- |
|
Group |
Company |
|||
2022 |
2021 |
2022 |
2021 |
|
£ |
£ |
£ |
£ |
|
Not later than 1 year |
|
|
– |
– |
Later than 1 year and not later than 5 years |
|
|
– |
– |
Later than 5 years |
|
|
– |
– |
------------- |
------------- |
---- |
---- |
|
|
|
– |
– |
|
------------- |
------------- |
---- |
---- |
|
|
NOTES TO THE GROUP STRATEGIC REPORT, REPORT OF THE DIRECTORS AND CONSOLIDATED FINANCIAL STATEMENTS (continued) |