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Registration number: 04781355

In-Excess UK Limited

trading as In-Excess

Annual Report and Financial Statements

for the Year Ended 31 January 2023

 

In-Excess UK Limited

trading as In-Excess

Contents

Company Information

1

Strategic Report

2

Director's Report

3

Statement of Director's Responsibilities

4

Independent Auditor's Report

5 to 8

Profit and Loss Account

9

Balance Sheet

10

Statement of Changes in Equity

11

Statement of Cash Flows

12

Notes to the Financial Statements

13 to 26

 

In-Excess UK Limited

trading as In-Excess

Company Information

Director

Mr C P Chambers

Company secretary

Mr C J Chambers

Registered office

Anchor House
Netherhampton Road
Salisbury
Wiltshire
SP2 8RA

Accountants

Elysium
Chartered Accountants
Unit A7 The Arena
9 Nimrod Way
Ferndown
Wimborne
Dorset
BH21 7UH

Auditors

Ward Goodman Audit Services Limited
Chartered Accountants
4 Cedar Park
Cobham Road
Ferndown Industrial Estate
Wimborne
Dorset
BH21 7SF

 

In-Excess UK Limited

trading as In-Excess

Strategic Report for the Year Ended 31 January 2023

The director presents his strategic report for the year ended 31 January 2023.

Principal activity

The principal activity of the company is the operation of garden centres and the manufacture and sale of hardware and tools.

Fair review of the business

The garden centres continued to deliver strong results in what has been a challenging trading environment. The bulk of the store redevelopments have now been completed which will allow for future growth fueled by an improved cusotmenr experience at each site.

Although there continued to be significant staffing pressures, the company remains committed to maintaining high levels of customer service.

Turnover to 31 January 2023 was £17,941,447 compared to £18,543,126 in 2022. The gross margin for the year to 31 January 2023 was £3,793,577, compared to £4,307,580 in 2022.

The bulk storage facility at Nightwood Farm enables the company to be more dynamic and responsive to capitalise on opportunities as they arise and has helped facilitate supplies to the garden centres.

The company's key financial and other performance indicators during the year were as follows:

Financial KPIs

Unit

2023

2022

Gross Profit

%

21

23

Net Profit

%

3

8

Principal risks and uncertainties

The company continues to invest in technology to monitor and control performance. This helps improve reporting and minimises any risk of misappropriation. The company continues to trade well within its banking covenants.

The company has managed to bear the higher cost of container shipment without significant increases in sale prices and continues to look for sources of product in the UK to reduce and impact on customers.

Approved and authorised by the director on 23 October 2023
 

.........................................
Mr C P Chambers
Director

 

In-Excess UK Limited

trading as In-Excess

Director's Report for the Year Ended 31 January 2023

The director presents his report and the financial statements for the year ended 31 January 2023.

Director of the company

The director who held office during the year was as follows:

Mr C P Chambers

Financial instruments

Objectives and policies

The principal risk to the business is that sales do not continue at the current levels.The company continues to invest in new product to keep demand high and to maintain margins. The company is also investing in technology to help monitor and control financial risk.

Price risk, credit risk, liquidity risk and cash flow risk

Due to the nature of the retail trade and a healthy positive cashflow, there are no significant risks to the company.

Disclosure of information to the auditors

The director has taken steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information. The director confirms that there is no relevant information that he knows of and of which he knows the auditors are unaware.

Approved and authorised by the director on 23 October 2023
 

.........................................
Mr C P Chambers
Director

 

In-Excess UK Limited

trading as In-Excess

Statement of Director's Responsibilities

The director acknowledges his responsibilities for preparing the Annual Report and the financial statements in accordance with applicable law and regulations.

Company law requires the director to prepare financial statements for each financial year. Under that law the director has 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 director must not approve the financial statements unless he is satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the director is required to:

select suitable accounting policies and apply them consistently;

make judgements and accounting estimates that are reasonable and prudent;

state whether applicable United Kingdom Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The director is responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable him to ensure that the financial statements comply with the Companies Act 2006. He is also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

 

In-Excess UK Limited

trading as In-Excess

Independent Auditor's Report to the Members of In-Excess UK Limited

Opinion

We have audited the financial statements of In-Excess UK Limited (the 'company') for the year ended 31 January 2023, which comprise the Profit and Loss Account, Balance Sheet, Statement of Changes in Equity, Statement of Cash Flows, and 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 company's affairs as at 31 January 2023 and of its profit 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 auditor responsibilities for the audit of the financial statements section of our report. We are independent of the company 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

We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to you where:

the directors’ use of the going concern basis of accounting in the preparation of the financial statements is not appropriate; or

the directors have not disclosed in the financial statements any identified material uncertainties that may cast significant doubt about the company’s ability to continue to adopt the going concern basis of accounting for a period of at least twelve months from the date when the financial statements are authorised for issue.

Other information

The director are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report 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 there is a material misstatement in the financial statements or a material misstatement of the other information. 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.

 

In-Excess UK Limited

trading as In-Excess

Independent Auditor's Report to the Members of In-Excess UK Limited

Opinion on other matter 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 Strategic Report and Director's Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

the Strategic Report and Director's Report have been prepared in accordance with applicable legal requirements.

Matters on which we are required to report by exception

In the light of our knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report and the Director's Report.

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, or returns adequate for our audit have not been received from branches not visited by us; or

the financial statements are not in agreement with the accounting records and returns; or

certain disclosures of director's remuneration specified by law are not made; or

we have not received all the information and explanations we require for our audit.

Responsibilities of the director

As explained more fully in the Statement of Director's Responsibilities [set out on page 4], the director is 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 director determines is 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 director is responsible for assessing the 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 director either intends to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Auditor 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 an auditor’s report 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.

As part of an audit in accordance with ISAs (UK), we exercise professional judgement and maintain professional scepticism throughout the audit. We also:

Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the company’s internal control.

 

In-Excess UK Limited

trading as In-Excess

Independent Auditor's Report to the Members of In-Excess UK Limited

Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the director.

Conclude on the appropriateness of the director's use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the company to cease to continue as a going concern.

Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the company to express an opinion on the financial statements. We are responsible for the direction, supervision and performance of the company audit. We remain solely responsible for our audit opinion.

We communicate with those charged with governance regarding, among other rmatters, the planned scope and timing of the audit and significant audit findings, including any signficant deficiencies in internal control that we identify during our audit.

How the audit was capable of detecting irregularities, including fraud

We obtained an understanding of how the company are complying with those legal and regulatory frameworks by making enquiries of management.

We assessed the susceptibility of the company's financial statements to material misstatement, including how fraud might occur. Audit procedures performed by the engagement team included:

 

Identifying and assessing the design effectiveness of controls management in place to prevent and detect fraud;

 

Understanding how those charged with governance considered and addressed the potential for override of controls or other inappropriate influence over the financial reporting process;

 

Challenging assumptions and judgements made by management in its accounting estimates;

 

Identifying and testing journal entries, in particular any journal entries posted with unusual account combinations; and

 

Assessing the extent of compliance with the relevant laws and regulations.

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 an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

 

In-Excess UK Limited

trading as In-Excess

Independent Auditor's Report to the Members of In-Excess UK Limited

......................................
Ian Rodd BSc FCA FCCA (Senior Statutory Auditor)
For and on behalf of Ward Goodman Audit Services Limited

4 Cedar Park
Cobham Road
Ferndown Industrial Estate
Wimborne
Dorset
BH21 7SF

23 October 2023

 

In-Excess UK Limited

trading as In-Excess

Profit and Loss Account for the Year Ended 31 January 2023

Note

2023
£

2022
£

Turnover

3

17,941,447

18,543,126

Cost of sales

 

(14,147,870)

(14,235,546)

Gross profit

 

3,793,577

4,307,580

Distribution costs

 

(585,501)

(406,888)

Administrative expenses

 

(2,685,006)

(2,766,394)

Other operating income

4

196,043

329,427

Operating profit

6

719,113

1,463,725

Other interest receivable and similar income

8

4,787

45

Interest payable and similar expenses

9

(151,519)

(79,733)

   

(146,732)

(79,688)

Profit before tax

 

572,381

1,384,037

Tax on profit

13

(218,771)

(350,001)

Profit for the financial year

 

353,610

1,034,036

The above results were derived from continuing operations.

The company has no recognised gains or losses for the year other than the results above.

 

In-Excess UK Limited

trading as In-Excess

(Registration number: 04781355)
Balance Sheet as at 31 January 2023

Note

2023
£

2022
£

Fixed assets

 

Intangible assets

14

-

138,542

Tangible assets

15

12,622,618

13,197,684

 

12,622,618

13,336,226

Current assets

 

Stocks

16

4,626,235

4,658,342

Debtors

17

741,115

676,619

Cash at bank and in hand

 

1,176,613

1,337,010

 

6,543,963

6,671,971

Creditors: Amounts falling due within one year

19

(1,919,902)

(2,457,070)

Net current assets

 

4,624,061

4,214,901

Total assets less current liabilities

 

17,246,679

17,551,127

Creditors: Amounts falling due after more than one year

19

(6,318,687)

(6,897,643)

Provisions for liabilities

20

(121,956)

(136,058)

Net assets

 

10,806,036

10,517,426

Capital and reserves

 

Called up share capital

1,000

1,000

Retained earnings

10,805,036

10,516,426

Shareholders' funds

 

10,806,036

10,517,426

Approved and authorised by the director on 23 October 2023
 

.........................................
Mr C P Chambers
Director

 

In-Excess UK Limited

trading as In-Excess

Statement of Changes in Equity for the Year Ended 31 January 2023

Share capital
£

Retained earnings
£

Total
£

At 1 February 2022

1,000

10,516,426

10,517,426

Profit for the year

-

353,610

353,610

Dividends

-

(65,000)

(65,000)

At 31 January 2023

1,000

10,805,036

10,806,036

Share capital
£

Retained earnings
£

Total
£

At 1 February 2021

1,000

9,486,390

9,487,390

Profit for the year

-

1,034,036

1,034,036

Dividends

-

(4,000)

(4,000)

At 31 January 2022

1,000

10,516,426

10,517,426

 

In-Excess UK Limited

trading as In-Excess

Statement of Cash Flows for the Year Ended 31 January 2023

Note

2023
£

2022
£

Cash flows from operating activities

Profit for the year

 

353,610

1,034,036

Adjustments to cash flows from non-cash items

 

Depreciation and amortisation

6

814,551

809,377

Loss on disposal of tangible assets

5

36,543

-

Finance income

8

(4,787)

(45)

Finance costs

9

161,051

76,063

Income tax expense

13

218,771

350,001

 

1,579,739

2,269,432

Working capital adjustments

 

Decrease/(increase) in stocks

16

32,107

(546,164)

Increase in trade debtors

17

(64,496)

(146,475)

Decrease in trade creditors

19

(526,349)

(793,923)

Cash generated from operations

 

1,021,001

782,870

Income taxes paid

13

(397,815)

(421,598)

Net cash flow from operating activities

 

623,186

361,272

Cash flows from investing activities

 

Interest received

8

4,787

45

Acquisitions of tangible assets

(142,987)

(1,945,756)

Proceeds from sale of tangible assets

 

5,501

45,060

Net cash flows from investing activities

 

(132,699)

(1,900,651)

Cash flows from financing activities

 

Interest paid

9

(161,051)

(76,063)

Repayment of bank borrowing

 

(424,833)

(395,363)

Repayment of other borrowing

 

-

(3,157)

Dividends paid

25

(65,000)

(4,000)

Net cash flows from financing activities

 

(650,884)

(478,583)

Net decrease in cash and cash equivalents

 

(160,397)

(2,017,962)

Cash and cash equivalents at 1 February

 

1,337,010

3,354,972

Cash and cash equivalents at 31 January

 

1,176,613

1,337,010

 

In-Excess UK Limited

trading as In-Excess

Notes to the Financial Statements for the Year Ended 31 January 2023

1

General information

The company is a private company limited by share capital, incorporated in England.

The address of its registered office is:
Anchor House
Netherhampton Road
Salisbury
Wiltshire
SP2 8RA
England

These financial statements were authorised for issue by the director on 23 October 2023.

2

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 were prepared in accordance with Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland and the Companies Act 2006'.

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.

These financial statements have been prepared in sterling which is the functional currency of the company.

Going concern

At the time of approving the financial statements, the director has a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. The financial statements have therefore been prepared on a going concern basis.

 

In-Excess UK Limited

trading as In-Excess

Notes to the Financial Statements for the Year Ended 31 January 2023

Critical accounting judgements and key sources of estimation uncertainty

In the application of the Company's accounting policies, which are described in note 2, management is required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors 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 if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

The key sources of estimation uncertainty that have a significant effect on the amounts recognised in the financial statements are described below.

Valuation of provision for obsolete stock:
The provision for obsolete stock of £332,218 (2022: £351,525) is calculated on a percentage basis that reflects the length of time an item has been held in stock. The percentage basis represents the director's best estimate of the value of obsolete stock held by the company.

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.

Government grants

Grants of a revenue nature are recognised under the accruals model with in income recognised in the period that related costs are incurred and for which the grant is intended to compensate.

Foreign currency transactions and balances

Transactions in foreign currency are translated in to sterling at the rate prevailing at the date of transaction. Cash balances held in foreign currency at the balance sheet date are translated to pounds sterling at the prevailing rate on that day.

Tax

The tax expense for the period comprises current and deferred tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the company operates and generates taxable income.

 

In-Excess UK Limited

trading as In-Excess

Notes to the Financial Statements for the Year Ended 31 January 2023

Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the financial statements.

Unrelieved tax losses and other deferred tax assets are recognised when it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference.

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

Freehold Buildings

2% Straight line

Improvements to property

15% reducing balance

Plant & machinery

25% reducing balance

Fixtures & fittings

15% reducing balance

Motor vehicles

25% reducing balance

Office equipment

25% reducing balance

Goodwill

Goodwill arising on the acquisition of an entity represents the excess of the cost of acquisition over the company’s interest in the net fair value of the identifiable assets, liabilities and contingent liabilities of the entity recognised at the date of acquisition. Goodwill is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Amortisation is calculated on a straight-line basis over the useful economic life of 4 years.

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.

 

In-Excess UK Limited

trading as In-Excess

Notes to the Financial Statements for the Year Ended 31 January 2023

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first-in, first-out (FIFO) method.

The cost of finished goods and work in progress comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the inventories to their present location and condition. At each reporting date, stocks are assessed for impairment. If stocks are impaired, the carrying amount is reduced to its selling price less costs to complete and sell; the impairment loss is recognised immediately in profit or loss.

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.

Borrowings

Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the profit and loss account over the period of the relevant borrowing.

Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.

Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.

Leases

Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.

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.

Dividends

Dividend distribution to the company’s shareholders is recognised as a liability in the financial statements in the reporting period in which the dividends are declared.

 

In-Excess UK Limited

trading as In-Excess

Notes to the Financial Statements for the Year Ended 31 January 2023

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.

3

Turnover

The analysis of the company's Turnover for the year from continuing operations is as follows:

2023
£

2022
£

Sale of goods

17,941,447

18,543,126

4

Other operating income

The analysis of the company's other operating income for the year is as follows:

2023
£

2022
£

Miscellaneous other operating income

196,043

329,427

5

Other gains and losses

The analysis of the company's other gains and losses for the year is as follows:

2023
£

2022
£

Loss on disposal of Tangible assets

(36,543)

-

6

Operating profit

Arrived at after charging/(crediting)

2023
£

2022
£

Depreciation expense

676,010

646,877

Amortisation expense

138,541

162,500

Operating lease expense - plant and machinery

31,360

58,894

Loss on disposal of property, plant and equipment

36,543

-

7

Government grants

During the year the company recevied £Nil (2022: £139,762) from HMRC regarding the Coronavirus Job Retention Scheme (CJRS). In 2022, this grant income was included within Other Operating Income within the profit and loss account.

The amount of grants recognised in the financial statements was £Nil (2022 - £139,762).

 

In-Excess UK Limited

trading as In-Excess

Notes to the Financial Statements for the Year Ended 31 January 2023

8

Other interest receivable and similar income

2023
£

2022
£

Interest income on bank deposits

4,787

45

9

Interest payable and similar expenses

2023
£

2022
£

Interest on obligations under finance leases and hire purchase contracts

-

(155)

Interest expense on other finance liabilities

161,051

76,218

Foreign exchange (losses)/gains

(9,532)

3,670

151,519

79,733

10

Staff costs

The aggregate payroll costs (including director's remuneration) were as follows:

2023
£

2022
£

Wages and salaries

4,089,565

4,118,785

Social security costs

325,750

308,332

Pension costs, defined contribution scheme

79,888

77,847

4,495,203

4,504,964

The average number of persons employed by the company (including the director) during the year, analysed by category was as follows:

2023
No.

2022
No.

Administration and support

40

40

Sales, marketing and distribution

192

200

232

240

11

Director's remuneration

The director's remuneration for the year was as follows:

2023
£

2022
£

Remuneration

9,568

9,433

 

In-Excess UK Limited

trading as In-Excess

Notes to the Financial Statements for the Year Ended 31 January 2023

12

Auditors' remuneration

2023
£

2022
£

Audit of the financial statements

13,965

13,000


 

13

Taxation

Tax charged/(credited) in the profit and loss account

2023
£

2022
£

Current taxation

UK corporation tax

232,872

324,869

Deferred taxation

Arising from origination and reversal of timing differences

(14,101)

25,132

Tax expense in the income statement

218,771

350,001

The tax on profit before tax for the year is the same as the standard rate of corporation tax in the UK (2022 - the same as the standard rate of corporation tax in the UK) of 19% (2022 - 19%).

The differences are reconciled below:

2023
£

2022
£

Profit before tax

572,381

1,384,037

Corporation tax at standard rate

108,752

262,967

Effect of expense not deductible in determining taxable profit (tax loss)

56

7,647

Tax increase from effect of capital allowances and depreciation

109,963

79,387

Total tax charge

218,771

350,001

 

In-Excess UK Limited

trading as In-Excess

Notes to the Financial Statements for the Year Ended 31 January 2023

14

Intangible assets

Goodwill
 £

Total
£

Cost or valuation

At 1 February 2022

1,895,000

1,895,000

At 31 January 2023

1,895,000

1,895,000

Amortisation

At 1 February 2022

1,756,458

1,756,458

Amortisation charge

138,542

138,542

At 31 January 2023

1,895,000

1,895,000

Carrying amount

At 31 January 2023

-

-

At 31 January 2022

138,542

138,542

15

Tangible assets

Land and buildings
£

Furniture, fittings and equipment
 £

Motor vehicles
 £

Total
£

Cost or valuation

At 1 February 2022

14,942,282

3,088,367

610,596

18,641,245

Additions

89,280

53,707

-

142,987

Disposals

(41,878)

(17,500)

-

(59,378)

At 31 January 2023

14,989,684

3,124,574

610,596

18,724,854

Depreciation

At 1 February 2022

3,113,591

1,952,548

377,422

5,443,561

Charge for the year

415,585

198,084

62,340

676,009

Eliminated on disposal

(2,635)

(14,699)

-

(17,334)

At 31 January 2023

3,526,541

2,135,933

439,762

6,102,236

Carrying amount

At 31 January 2023

11,463,143

988,641

170,834

12,622,618

At 31 January 2022

11,828,691

1,135,819

233,174

13,197,684

Included within the net book value of land and buildings above is £10,280,184 (2022 - £10,481,463) in respect of freehold land and buildings and £1,182,959 (2022 - £1,347,228) in respect of long leasehold land and buildings.
 

 

In-Excess UK Limited

trading as In-Excess

Notes to the Financial Statements for the Year Ended 31 January 2023

16

Stocks

2023
£

2022
£

Other inventories

4,626,235

4,658,342

 

In-Excess UK Limited

trading as In-Excess

Notes to the Financial Statements for the Year Ended 31 January 2023

17

Debtors

Current

2023
£

2022
£

Trade debtors

127,809

79,263

Other debtors

455,904

523,366

Prepayments

157,402

73,990

 

741,115

676,619

18

Cash and cash equivalents

2023
£

2022
£

Cash in hand

13,224

14,176

Cash at bank

594,570

1,227,226

Short-term deposits

568,819

95,608

1,176,613

1,337,010

19

Creditors

Note

2023
£

2022
£

Due within one year

 

Loans and borrowings

23

573,573

419,449

Trade creditors

 

830,500

792,976

Amounts due to related parties

26

143,156

735,793

Social security and other taxes

 

324,606

208,623

Outstanding defined contribution pension costs

 

18,196

9,197

Other payables

 

19,104

33,741

Accruals

 

10,767

92,348

Income tax liability

13

-

164,943

 

1,919,902

2,457,070

Due after one year

 

Loans and borrowings

23

6,318,687

6,897,643

 

In-Excess UK Limited

trading as In-Excess

Notes to the Financial Statements for the Year Ended 31 January 2023

20

Deferred tax and other provisions

Deferred tax
£

Total
£

At 1 February 2022

136,058

136,058

Increase (decrease) in existing provisions

(14,102)

(14,102)

At 31 January 2023

121,956

121,956

21

Pension and other schemes

Defined contribution pension scheme

The company operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the company to the scheme and amounted to £79,888 (2022 - £77,847).

Contributions totalling £18,196 (2022 - £9,197) were payable to the scheme at the end of the year and are included in creditors.

22

Share capital

Allotted, called up and fully paid shares

 

2023

2022

 

No.

£

No.

£

Ordinary A shares of £1 each

800

800

800

800

Ordinary B shares of £1 each

200

200

200

200

 

1,000

1,000

1,000

1,000

Rights, preferences and restrictions

Ordinary £1 A Shares have the following rights, preferences and restrictions:
Shares are full equity shares and entitled to dividends at the discretion of the director.

Ordinary £1 B Shares have the following rights, preferences and restrictions:
Shares are full equity shares and entitled to dividends at the discretion of the directors.

23

Loans and borrowings

2023
£

2022
£

Non-current loans and borrowings

Bank borrowings

6,318,687

6,897,643

 

In-Excess UK Limited

trading as In-Excess

Notes to the Financial Statements for the Year Ended 31 January 2023

2023
£

2022
£

Current loans and borrowings

Bank borrowings

573,573

419,449

Bank borrowings

Bank loan is denominated in Pounds with a nominal interest rate of 1.73 over base%, and the final instalment is due on 30 June 2029. The carrying amount at year end is £6,892,260 (2022 - £7,317,092).

National Westminster Bank PLC (NatWest) hold four charges dated 28 November 2018 over the assets of the company.

Included in the loans and borrowings are the following amounts due after more than five years:

2023
£

2022
£

After more than five years by instalments

5,136,521

6,033,134

-

-

24

Obligations under leases and hire purchase contracts

Operating leases

The total of future minimum lease payments is as follows:

2023
£

2022
£

Not later than one year

-

65,417

Later than one year and not later than five years

125,000

30,000

125,000

95,417

The amount of non-cancellable operating lease payments recognised as an expense during the year was £125,746 (2022 - £204,026).

 

In-Excess UK Limited

trading as In-Excess

Notes to the Financial Statements for the Year Ended 31 January 2023

25

Dividends

Interim dividends paid

 

2023
£

2022
£

Interim dividend of £37.50 (2022 - £2.50) per each Ordinary A shares

30,000

2,000

Interim dividend of £175.00 (2022 - £10.00) per each Ordinary B shares

35,000

2,000

 

65,000

4,000

26

Related party transactions

Key management compensation

2023
£

2022
£

Salaries and other short term employee benefits

36,831

47,103

Summary of transactions with key management

During the year, the company paid rent to the Chambers Family Trust in respect of the lease of business premises. Amounts paid to the trust were £125,000 (2022: £190,500).

The director is also a director and shareholder in George Barclay England Limited. During the year sales of £34,298 (2022: £695,189) and purchases of £27,123 (2022: £57,909) were made with this company. The transactions comprise general trading all of which took place under normal commercial terms. Included within Other Debtors is £347,522 (2022: £517,816) due from this entity.

Transactions with the director

2023

Repayments to directors
£

Loans by director
£

At 31 January 2023
£

Mr C P Chambers

Loan to company

634,861

(42,224)

(143,156)

       
     

 

2022

Repayments to directors
£

At 31 January 2022
£

Mr C P Chambers

Loan to company

720,000

(735,793)

     
   

 

Dividends paid to the director

 

In-Excess UK Limited

trading as In-Excess

Notes to the Financial Statements for the Year Ended 31 January 2023

   

2023
£

 

2022
£

Mr C P Chambers

       

£1 ordinary "A" Shares

 

30,000

 

2,000

         

27

Parent and ultimate parent undertaking

The ultimate controlling party is Mr C P Chambers.