Stockmeier Urethanes UK Limited 01651365 false 2022-03-01 2023-02-28 2023-02-28 The principal activity of the company is the formulation, manufacture and distribution of polyurethane and epoxy polymer systems. The polymeric systems are used in encapsulating, casting, potting, adhering, sealing and binding processes. Customers operate in many industrial segments including manufacturing, construction, decorative, sport and safety surfacing. Further information is available at www.stockmeier-urethanes.com. Digita Accounts Production Advanced 6.30.9574.0 true true true false 01651365 2022-03-01 2023-02-28 01651365 2023-02-28 01651365 bus:OrdinaryShareClass1 2023-02-28 01651365 core:CapitalRedemptionReserve 2023-02-28 01651365 core:RetainedEarningsAccumulatedLosses 2023-02-28 01651365 core:ShareCapital 2023-02-28 01651365 core:CurrentFinancialInstruments 2023-02-28 01651365 core:CurrentFinancialInstruments core:WithinOneYear 2023-02-28 01651365 core:OtherResidualIntangibleAssets 2023-02-28 01651365 core:BetweenTwoFiveYears 2023-02-28 01651365 core:WithinOneYear 2023-02-28 01651365 core:FurnitureFittingsToolsEquipment 2023-02-28 01651365 core:LandBuildings 2023-02-28 01651365 core:MotorVehicles 2023-02-28 01651365 core:OtherPropertyPlantEquipment 2023-02-28 01651365 core:DeferredTaxation 2023-02-28 01651365 bus:FRS102 2022-03-01 2023-02-28 01651365 bus:Audited 2022-03-01 2023-02-28 01651365 bus:FullAccounts 2022-03-01 2023-02-28 01651365 bus:RegisteredOffice 2022-03-01 2023-02-28 01651365 bus:Director1 2022-03-01 2023-02-28 01651365 bus:Director2 2022-03-01 2023-02-28 01651365 bus:OrdinaryShareClass1 2022-03-01 2023-02-28 01651365 bus:PrivateLimitedCompanyLtd 2022-03-01 2023-02-28 01651365 core:ComputerSoftware 2022-03-01 2023-02-28 01651365 core:OtherResidualIntangibleAssets 2022-03-01 2023-02-28 01651365 core:PlantEquipmentUnderOperatingLeases 2022-03-01 2023-02-28 01651365 core:FurnitureFittings 2022-03-01 2023-02-28 01651365 core:FurnitureFittingsToolsEquipment 2022-03-01 2023-02-28 01651365 core:LandBuildings 2022-03-01 2023-02-28 01651365 core:MotorVehicles 2022-03-01 2023-02-28 01651365 core:OtherPropertyPlantEquipment 2022-03-01 2023-02-28 01651365 core:PlantMachinery 2022-03-01 2023-02-28 01651365 core:DeferredTaxation 2022-03-01 2023-02-28 01651365 core:UKTax 2022-03-01 2023-02-28 01651365 1 2022-03-01 2023-02-28 01651365 1 2022-03-01 2023-02-28 01651365 countries:England 2022-03-01 2023-02-28 01651365 2022-02-28 01651365 core:OtherResidualIntangibleAssets 2022-02-28 01651365 core:FurnitureFittingsToolsEquipment 2022-02-28 01651365 core:LandBuildings 2022-02-28 01651365 core:MotorVehicles 2022-02-28 01651365 core:OtherPropertyPlantEquipment 2022-02-28 01651365 core:DeferredTaxation 2022-02-28 01651365 2021-03-01 2022-02-28 01651365 2022-02-28 01651365 bus:OrdinaryShareClass1 2022-02-28 01651365 core:CapitalRedemptionReserve 2022-02-28 01651365 core:RetainedEarningsAccumulatedLosses 2022-02-28 01651365 core:ShareCapital 2022-02-28 01651365 core:CurrentFinancialInstruments 2022-02-28 01651365 core:CurrentFinancialInstruments core:WithinOneYear 2022-02-28 01651365 core:OtherResidualIntangibleAssets 2022-02-28 01651365 core:BetweenTwoFiveYears 2022-02-28 01651365 core:WithinOneYear 2022-02-28 01651365 core:FurnitureFittingsToolsEquipment 2022-02-28 01651365 core:LandBuildings 2022-02-28 01651365 core:MotorVehicles 2022-02-28 01651365 core:OtherPropertyPlantEquipment 2022-02-28 01651365 core:PlantEquipmentUnderOperatingLeases 2021-03-01 2022-02-28 01651365 core:UKTax 2021-03-01 2022-02-28 01651365 2021-02-28 iso4217:GBP xbrli:pure xbrli:shares

Registration number: 01651365

Stockmeier Urethanes UK Limited

Annual Report and Financial Statements

for the Year Ended 28 February 2023

 

Stockmeier Urethanes UK Limited

Contents

Company Information

1

Strategic Report

2 to 3

Directors' Report

4 to 5

Independent Auditor's Report

6 to 10

Profit and Loss Account (incorporating the Statement of Income and Retained Earnings

11

Balance Sheet

12

Statement of Cash Flows

13

Notes to the Financial Statements

14 to 24

 

Stockmeier Urethanes UK Limited

Company Information

Directors

Mr T L Blundell

Mr C Martinkat


 

Registered office

Mylestone House
Sowerby New Road
Sowerby Bridge
West Yorkshire
HX6 1AA


 

Auditors

Lambert Roper & Horsfield Limited
Chartered Accountants & Statutory Auditors
First Floor
Rosemount House
Huddersfield Road
Elland
West Yorkshire
HX5 0EE

 

Stockmeier Urethanes UK Limited

Strategic Report

for the Year Ended 28 February 2023

The directors present their strategic report for the year ended 28 February 2023.

Principal activity

The principal activity of the company is the formulation, manufacture and distribution of polyurethane and epoxy polymer systems. The polymeric systems are used in encapsulating, casting, potting, adhering, sealing and binding processes. Customers operate in many industrial segments including manufacturing, construction, decorative, sport and safety surfacing. Further information is available at www.stockmeier-urethanes.com.

Fair review of the business

The company uses a range of financial and non-financial indicators to measure the performance of the business. Financial Key Performance indicators include turnover, gross margin and net profit.

A good year is reported with turnover increasing by 37% to £14.5m. Gross margin was reduced by 6% in the year due to the global rise in chemical products prices which the company actively chose not to pass on in full to its customers. The resultant gross profit was maintained at a level very similar to the prior year, although again with global price rises in most areas the overheads went up by 21%. Overall net profit before tax was £1.64m, only marginally down on the previous year.

The balance sheet continues to be strong with over £1.8m cash at bank, and shareholder’s funds at £3.9m, which is an increase of just over £800k.

Principal risks and uncertainties

Key risks and uncertainties of the company are considered throughout the year. The principal, external risks faced by the company are from competition and raw material availability. To reduce these risks the company is dedicated to producing quality products at competitive prices, whilst maintaining robust levels of raw materials with strong business relationships.

The company believes in continuously improving products, processes and people and endeavours to create a positive and safe workplace with core values of integrity, teamwork, ownership and leadership.

The company operates a rigorous internal environmental, health and safety policy which is supported by a health and safety committee, management reviews and audits from external bodies.

There is a positive outlook for the year ahead. Investment is planned to increase production capacities and storage facilities. The company will also continue the strategy of prioritising customers’ requirements with superb levels of technical support and service. The aim is to continue with growth through new product development and expansion of market share.

 

Stockmeier Urethanes UK Limited

Strategic Report

for the Year Ended 28 February 2023 (continued)

Approved and authorised by the Board on 4 May 2023 and signed on its behalf by:
 

.........................................
Mr T L Blundell
Director

 

Stockmeier Urethanes UK Limited

Directors' Report

for the Year Ended 28 February 2023

The directors present their report and the financial statements for the year ended 28 February 2023.

Directors of the company

The directors who held office during the year were as follows:

Mr T L Blundell

Mr C Martinkat

Financial instruments and risk management

The company has a normal level of exposure to price, credit, liquidity and cash flow risks arising from trading activities which are mainly conducted in sterling. The company does not enter into any hedging transactions.

Future developments

There have been no significant events since the year end other than the purchase of the business premises in March 2023, as per note 25 to the accounts, and those outlined in the Strategic Report.

Research and development

The company continually designs and develops its products to diversify into new markets and obtain new customers, as outlined in the Strategic Report.

 

Stockmeier Urethanes UK Limited

Directors' Report

for the Year Ended 28 February 2023 (continued)

Statement of Directors' Responsibilities

The directors are responsible for preparing the Strategic Report, Directors’ Report 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 of the profit or loss of the company for that period.

In preparing these financial statements, the directors are 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 directors are 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 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 hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Disclosure of information to the auditors

Each director has taken steps that they ought to have taken as a director in order to make themselves aware of any relevant audit information and to establish that the company's auditors are aware of that information. The directors confirm that there is no relevant information that they know of and of which they know the auditors are unaware.

Approved and authorised by the Board on 4 May 2023 and signed on its behalf by:
 

.........................................
Mr T L Blundell
Director

 

Stockmeier Urethanes UK Limited

Independent Auditor's Report to the Members of Stockmeier Urethanes UK Limited

Opinion

We have audited the financial statements of Stockmeier Urethanes UK Limited (the 'company') for the year ended 28 February 2023, which comprise the Profit and Loss Account (incorporating the Statement of Income and Retained Earnings, Balance Sheet, 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 28 February 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

In auditing the financial statements, we have concluded that the director's 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 company's ability to continue as a going concern for a period of at least twelve months from when the original financial statements were 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.

 

Stockmeier Urethanes UK Limited

Independent Auditor's Report to the Members of Stockmeier Urethanes UK Limited (continued)

Other information

The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The directors are responsible for the other information contained within the annual report. 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.

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 course of 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 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.

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 Strategic Report and Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

the Strategic Report and Directors' 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 Directors' 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 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 page 5], 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 is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

 

Stockmeier Urethanes UK Limited

Independent Auditor's Report to the Members of Stockmeier Urethanes UK Limited (continued)

In preparing the financial statements, the directors are 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 directors either intend to liquidate the company or cease operations, or have no realistic alternative but to do so.

Auditor's 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.

The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

We obtained an understanding of the legal and regulatory frameworks that are applicable to the company and determined that the most significant are those that relate to:
i) Laws and regulations generally recognized to have a direct effect on the determination of material amounts and disclosures in the financial statements:
• The financial operating framework FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland
• The Companies Act 2006
• Tax legislations - various
• Employment law
• Pension Prudential Regulation Authority

ii) Laws and regulations which provides the legal framework within which the company conducts its business and which is central to the company’s ability to conduct its business:
• ISO:9001 2015 certification

We assessed the risks of material misstatement in respect of fraud through:
i) enquiries with management
ii) the audit team initial discussions on fraud to identify particular areas that were susceptible to misstatement

Based on the results of our risk assessment we designed our audit procedures to identify non-compliance with such laws and regulations identified above.

The audit team was assessed to have the appropriate competence and capability to identify or recognise non-compliance with laws and regulation.

 

Stockmeier Urethanes UK Limited

Independent Auditor's Report to the Members of Stockmeier Urethanes UK Limited (continued)

Our approach to understanding the company’s policies and procedures for compliance with those laws and regulations and to gaining an understanding of how instances of non-compliance with laws and regulations or knowledge of actual, suspected, or alleged fraud is documented was via enquiry with management.

We corroborated our enquiries through:
i) review of correspondence with HMRC and Companies House (and their respective websites)
ii) review of correspondence from the pension regulator
iii) review of relevant regulatory websites
iv) review of signed agreements / contracts

Based on the results of our risk assessment we designed our audit procedures to identify and to address material misstatements in relation to fraud. The audit tests implemented involved checks with compliance on various company and employment laws and regulations.

Where there was considered to be a lack of segregation of duty, systems of controls in place were verified through observation and enquiry and substantive testing.

We considered the risk of fraud through management override and, in response, we incorporated testing of manual journal entries and accounting estimates into our audit approach. Any unusual transactions were investigated further and relevant documentary evidence obtained where deemed necessary.

We considered the risk of fraud through the selection and application of accounting policies by the company, particularly those related to subjective measurements and complex transactions, which may be indicative of fraudulent financial reporting resulting from management’s effort to manage earnings. In response, in our audit approach we reviewed the application of accounting policies, in particular those associated with accounting estimates, for reasonableness and correct application within the financial statements.

Audit test sample selection process involves random selection to incorporate an element of unpredictability in the selection of audit procedures.

Based on our approach and procedures in place explained above, we can provide reasonable assurance that any irregularities, including fraud, would likely be detected. 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 irregularities.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

 

Stockmeier Urethanes UK Limited

Independent Auditor's Report to the Members of Stockmeier Urethanes UK Limited (continued)

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.

......................................
Nicholas Frost BSc FCA (Senior Statutory Auditor)
For and on behalf of Lambert Roper & Horsfield Limited, Statutory Auditor

First Floor
Rosemount House
Huddersfield Road
Elland
West Yorkshire
HX5 0EE

4 May 2023

 

Stockmeier Urethanes UK Limited

Profit and Loss Account
(Incorporating the Statement of Income and Retained Earnings)

for the Year Ended 28 February 2023

Note

2023
£

2022
£

Turnover

3

14,497,565

10,587,283

Cost of sales

 

(11,582,676)

(7,744,753)

Gross profit

 

2,914,889

2,842,530

Administrative expenses

 

(1,319,356)

(1,090,834)

Other operating income

4

46,107

42,629

Operating profit

5

1,641,640

1,794,325

Other interest receivable and similar income

7

4,212

843

Interest payable and similar charges

8

(27)

(1,622)

 

4,185

(779)

Profit before tax

 

1,645,825

1,793,546

Taxation

12

(313,055)

(345,901)

Profit for the financial year

 

1,332,770

1,447,645

Retained earnings brought forward

 

3,095,813

2,148,168

Dividends paid

 

(500,000)

(500,000)

Retained earnings carried forward

 

3,928,583

3,095,813

 

Stockmeier Urethanes UK Limited

Balance Sheet

as at 28 February 2023

Note

2023
£

2022
£

Fixed assets

 

Intangible assets

13

3,766

2,467

Tangible assets

14

170,126

178,846

 

173,892

181,313

Current assets

 

Stocks

15

2,035,722

2,361,687

Debtors

16

2,383,612

2,212,723

Cash at bank and in hand

 

1,856,668

884,124

 

6,276,002

5,458,534

Creditors: Amounts falling due within one year

18

(2,496,743)

(2,520,328)

Net current assets

 

3,779,259

2,938,206

Total assets less current liabilities

 

3,953,151

3,119,519

Provisions for liabilities

19

(19,567)

(18,705)

Net assets

 

3,933,584

3,100,814

Capital and reserves

 

Called up share capital

21

4,901

4,901

Capital redemption reserve

100

100

Profit and loss account

3,928,583

3,095,813

Total equity

 

3,933,584

3,100,814

Approved and authorised by the Board on 4 May 2023 and signed on its behalf by:
 

.........................................
Mr T L Blundell
Director

(Registration number: 01651365)

 

Stockmeier Urethanes UK Limited

Statement of Cash Flows

for the Year Ended 28 February 2023

Note

2023
£

2022
£

Cash flows from operating activities

Profit for the year

 

1,332,770

1,447,645

Adjustments to cash flows from non-cash items

 

Depreciation and amortisation

5

72,269

63,147

Profit on disposal of tangible assets

-

(11,770)

Finance income

7

(4,212)

(843)

Finance costs

8

-

53

Income tax expense

12

313,055

345,901

 

1,713,882

1,844,133

Working capital adjustments

 

Decrease/(increase) in stocks

15

325,965

(836,244)

Increase in trade debtors

16

(170,889)

(853,506)

Increase in trade creditors

18

14,113

99,485

Cash generated from operations

 

1,883,071

253,868

Income taxes paid

12

(349,892)

(267,080)

Net cash flow from operating activities

 

1,533,179

(13,212)

Cash flows from investing activities

 

Interest received

7

4,212

843

Acquisitions of tangible assets

(62,328)

(113,047)

Proceeds from sale of tangible assets

 

-

18,999

Acquisition of intangible assets

13

(2,519)

(1,600)

Net cash flows from investing activities

 

(60,635)

(94,805)

Cash flows from financing activities

 

Interest paid

8

-

(53)

Dividends paid

(500,000)

(500,000)

Net cash flows from financing activities

 

(500,000)

(500,053)

Net increase/(decrease) in cash and cash equivalents

 

972,544

(608,070)

Cash and cash equivalents at 1 March

 

884,124

1,492,194

Cash and cash equivalents at 28 February

 

1,856,668

884,124

 

Stockmeier Urethanes UK Limited

Notes to the Financial Statements

for the Year Ended 28 February 2023

1

General information

The company is a private company limited by share capital, incorporated in England within the United Kingdom.

The address of its registered office is:
Mylestone House
Sowerby New Road
Sowerby Bridge
West Yorkshire
HX6 1AA

2

Accounting policies

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.

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.

Revenue recognition

Turnover comprises the fair value of the consideration received or receivable for the sale of goods in the ordinary course of the company’s activities. Turnover is shown net of value added tax, returns, rebates and discounts.

Turnover from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have been transferred to the buyer.

Government grants

Grants relating to revenue are recognised in income on a systematic basis over the periods in which the entity recognises the related costs for which the grant is intended to compensate.

 

Stockmeier Urethanes UK Limited

Notes to the Financial Statements

for the Year Ended 28 February 2023 (continued)

2

Accounting policies (continued)

Foreign currency transactions and balances

Transactions in foreign currencies are initially recorded at the functional currency rate prevailing at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are retranslated into the respective functional currency of the entity at the rates prevailing on the reporting period date. Exchange differences are taken into account in arriving at operating profit.

Tax

Current tax represents the amount of tax payable or receivable in respect of the taxable profit (or loss) for the current or past reporting periods. It is measured at the amount expected to be paid or recovered using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax is recognised on temporary differences arising between the tax bases of assets and liabilities and their carrying amounts in the financial statements and on unused tax losses or tax credits in the company. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.

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.

Tangible assets

Tangible assets are stated in the balance sheet at cost (or deemed cost) less any accumulated depreciation and 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

Leasehold property improvements

25% per annum on a straight line basis

Plant and machinery

25% per annum on a straight line basis

Fixtures, fittings and equipment

25% per annum on a straight line basis

Motor vehicles

25% per annum on a straight line basis

 

Stockmeier Urethanes UK Limited

Notes to the Financial Statements

for the Year Ended 28 February 2023 (continued)

2

Accounting policies (continued)

Amortisation

Amortisation is provided on intangible assets so as to write off the cost, less any estimated residual value, over their useful life as follows:

Asset class

Amortisation method and rate

Computer software

25% per annum on a straight line basis

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.

Provision is made for damaged, obsolete and slow-moving stock where appropriate.

Leases

Rentals 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.

Defined contribution pension obligation

The company operates a defined contribution pension scheme for employees. The assets of the scheme are held separately from those of the company. The annual contributions are charged to the profit and loss account.

3

Turnover

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

2023
£

2022
£

Sale of goods

14,497,565

10,587,283

4

Other operating income

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

2023
£

2022
£

Government grants

58

558

Miscellaneous other operating income

46,049

42,071

46,107

42,629

 

Stockmeier Urethanes UK Limited

Notes to the Financial Statements

for the Year Ended 28 February 2023 (continued)

5

Operating profit

Arrived at after charging/(crediting)

2023
£

2022
£

Depreciation expense

71,049

62,447

Amortisation expense

1,220

700

Operating lease expense - plant and machinery

20,912

17,202

Profit on disposal of property, plant and equipment

-

(11,770)

6

Government grants

During the year the company received £58 under the Government Statutory Sick Pay Rebate Scheme due to COVID-19 (2022: £308). During the year the company recognised £nil granted by the Government towards installation of electric charge points (2022: £250).

7

Other interest receivable and similar income

2023
£

2022
£

Interest income on bank deposits

1,263

56

Other finance income

2,949

787

4,212

843

8

Interest payable and similar expenses

2023
£

2022
£

Interest expense on other finance liabilities

-

53

Foreign exchange gains

27

1,569

27

1,622

 

Stockmeier Urethanes UK Limited

Notes to the Financial Statements

for the Year Ended 28 February 2023 (continued)

9

Staff costs

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

2023
£

2022
£

Wages and salaries

960,208

847,560

Social security costs

106,324

91,764

Pension costs, defined contribution scheme

29,599

25,675

1,096,131

964,999

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

2023
No.

2022
No.

Production

17

14

Administration and support

12

10

29

24

10

Directors' remuneration

The directors' remuneration for the year was as follows:

2023
£

2022
£

Remuneration

183,355

184,285

Contributions paid to money purchase schemes

8,443

8,490

191,798

192,775

During the year the number of directors who were receiving benefits was as follows:

2023
No.

2022
No.

Accruing benefits under money purchase pension scheme

1

1

 

Stockmeier Urethanes UK Limited

Notes to the Financial Statements

for the Year Ended 28 February 2023 (continued)

11

Auditors' remuneration

2023
£

2022
£

Audit of the financial statements

23,250

18,475


 

12

Taxation

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

2023
£

2022
£

Current taxation

UK corporation tax

312,193

339,762

Deferred taxation

Arising from origination and reversal of timing differences

862

6,139

Tax expense in the income statement

313,055

345,901

The tax on profit before tax for the year is 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

1,645,825

1,793,546

Corporation tax at standard rate

312,707

340,774

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

686

266

Tax decrease from effect of capital allowances and depreciation

(1,200)

(1,278)

Total tax charge

312,193

339,762

The deferred tax creditor is made up of a credit balance of £19,567 (2022: £18,705) relating to accelerated capital allowances.

 

Stockmeier Urethanes UK Limited

Notes to the Financial Statements

for the Year Ended 28 February 2023 (continued)

13

Intangible assets

Computer software
 £

Total
£

Cost or valuation

At 1 March 2022

3,200

3,200

Additions acquired separately

2,519

2,519

At 28 February 2023

5,719

5,719

Amortisation

At 1 March 2022

733

733

Amortisation charge

1,220

1,220

At 28 February 2023

1,953

1,953

Carrying amount

At 28 February 2023

3,766

3,766

At 28 February 2022

2,467

2,467

 

Stockmeier Urethanes UK Limited

Notes to the Financial Statements

for the Year Ended 28 February 2023 (continued)

14

Tangible assets

Land and buildings
£

Fixtures, fittings and equipment
 £

Motor vehicles
 £

Plant and machinery
 £

Total
£

Cost or valuation

At 1 March 2022

52,633

103,289

105,599

356,915

618,436

Additions

10,027

5,890

-

46,411

62,328

Disposals

-

(576)

-

(4,050)

(4,626)

At 28 February 2023

62,660

108,603

105,599

399,276

676,138

Depreciation

At 1 March 2022

10,716

72,243

29,583

327,048

439,590

Charge for the year

13,576

13,997

26,061

17,415

71,049

Eliminated on disposal

-

(576)

-

(4,051)

(4,627)

At 28 February 2023

24,292

85,664

55,644

340,412

506,012

Carrying amount

At 28 February 2023

38,368

22,939

49,955

58,864

170,126

At 28 February 2022

41,917

31,046

76,016

29,867

178,846

Included within the net book value of land and buildings above is £38,368 (2022 - £41,917) in respect of short leasehold land and buildings.
 

15

Stocks

2023
£

2022
£

Raw materials and consumables

907,792

1,185,685

Finished goods and goods for resale

1,127,930

1,176,002

2,035,722

2,361,687

 

Stockmeier Urethanes UK Limited

Notes to the Financial Statements

for the Year Ended 28 February 2023 (continued)

16

Debtors

Current

2023
£

2022
£

Trade debtors

2,259,080

2,160,977

Other debtors

-

500

Prepayments

124,532

51,246

 

2,383,612

2,212,723

17

Cash and cash equivalents

2023
£

2022
£

Cash on hand

1,348

1,064

Cash at bank

1,855,320

883,060

1,856,668

884,124

18

Creditors

Note

2023
£

2022
£

Due within one year

 

Trade creditors

 

2,105,833

1,574,489

Amounts due to related parties

2,385

1,655

Social security and other taxes

 

220,571

269,721

Other payables

 

-

500,000

Accruals and deferred income

 

92,806

61,617

Income tax liability

12

75,148

112,846

 

2,496,743

2,520,328

 

Stockmeier Urethanes UK Limited

Notes to the Financial Statements

for the Year Ended 28 February 2023 (continued)

19

Provisions for liabilities

Deferred tax
£

Total
£

At 1 March 2022

18,705

18,705

Increase (decrease) in existing provisions

862

862

At 28 February 2023

19,567

19,567

20

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 £29,598 (2022 - £25,675).

21

Share capital

Allotted, called up and fully paid shares

 

2023

2022

 

No.

£

No.

£

Ordinary shares of £1 each

4,901

4,901

4,901

4,901

         

22

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

25,143

66,373

Later than one year and not later than five years

23,044

28,231

48,187

94,604

The amount of non-cancellable operating lease payments recognised as an expense during the year was £75,334 (2022 - £65,995).

 

Stockmeier Urethanes UK Limited

Notes to the Financial Statements

for the Year Ended 28 February 2023 (continued)

23

Analysis of changes in net debt

At 1 March 2022
£

Financing cash flows
£

At 28 February 2023
£

Cash and cash equivalents

Cash

884,124

972,544

1,856,668

 

884,124

972,544

1,856,668

24

Parent and ultimate parent undertaking

The name of the company's parent undertaking are Stockmeier Urethanes GmbH & Co. KG. whose principal place of business is Im Hengstfeld 15, 32657 Lemgo, Germany.

The ultimate parent companies who each control 50% of Stockmeier Urethanes GmbH & Co. KG. are:

(i) Stockmeier Holding GmbH, a company incorporated in Germany. Their registered office, from where group accounts can be obtained, is Am Stadtholz 37, 33609 Bielefeld, Germany.

(ii) Martinkat Vermogensverwaltungsgellschaft mbH & Co. KG, a limited liability partnership formed in Germany. The registered office from where the accounts can be obtained is Marktsraße 7, 33609 Bielefeld, Germany.


 

25

Non adjusting events after the financial period

In March 2023 the company purchased the property previously rented for £1m and obtained a bank loan for £750,000 to finance the purchase.