REGISTERED NUMBER: |
Strategic Report, Report of the Directors and |
Financial Statements |
for the Year Ended 30th June 2023 |
for |
Cirrus Research plc |
REGISTERED NUMBER: |
Strategic Report, Report of the Directors and |
Financial Statements |
for the Year Ended 30th June 2023 |
for |
Cirrus Research plc |
Cirrus Research plc (Registered number: 00987160) |
Contents of the Financial Statements |
for the year ended 30th June 2023 |
Page |
Company Information | 1 |
Strategic Report | 2 |
Report of the Directors | 6 |
Report of the Independent Auditors | 8 |
Statement of Comprehensive Income | 12 |
Balance Sheet | 13 |
Statement of Changes in Equity | 14 |
Cash Flow Statement | 15 |
Notes to the Cash Flow Statement | 16 |
Notes to the Financial Statements | 17 |
Cirrus Research plc |
Company Information |
for the year ended 30th June 2023 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Statutory Auditors |
Princes House |
Wright Street |
Hull |
East Yorkshire |
HU2 8HX |
Cirrus Research plc (Registered number: 00987160) |
Strategic Report |
for the year ended 30th June 2023 |
The directors present their strategic report for the year ended 30th June 2023. |
REVIEW OF BUSINESS |
The key financial highlights are as follows: |
30/6/23 | 30/06/22 | 30/06/21 | 30/06/20 |
£ | £ | £ | £ |
Revenue | 4,774,327 | 4,324,271 | 4,296,975 | 4,770,722 |
Revenue - Growth/(decline) | 10.43% | 0.64% | (9.0% | ) | 6.45% |
Profit before tax | 209,753 | 157,971 | 92,560 | 248,595 |
Profit before tax margin | 4.39% | 3.65% | 2.15% | 5.21% |
The financial results for the period were positive despite the continued, albeit reduced, instability caused by the Covid pandemic, Brexit and subsequent rising costs and supply chain issues. |
The sales growth in excess of 10% was better than expected and was achieved whilst maintaining our prices. UK sales increased by almost 11%, partly as we were once again able to visit potential customers face to face freely and our focus on the EU was positive with sales growth of over 20%. |
Supply chain issues restricted our sales, which should have been higher,and we ended the financial period with a larger order book than we would like. We continue to work closely with all our suppliers to maintain adequate lead times and reviewed our own internal methods and measures. The outstanding order book will be cleared within two months of the new financial period. |
Many costs rose sharply throughout the year, for example; energy costs have increased significantly, which we have attempted to off-set by investing in more efficient lighting throughout the main factory in Hunmanby. |
Overall, the total number of employees increased yet, unfortunately, there were some unexpected senior manager departures and the cost of recruitment and replacement proved to be significant. All the departed senior managers have been replaced and expectations for 2023/2024 are both high and positive. The relative cost per employee also increased as we addressed challenges with the 'cost of living crisis' in the UK. |
The decision to maintain prices in 2022/2023 was the correct strategy and a global price increase was implemented in July 2023. |
PRINCIPAL RISKS AND UNCERTAINTIES |
As an exporter we are constantly aware that any impact on the global economy could negatively affect our business. Our strategy has always been to reduce business risk by avoiding reliance on single products or markets. We are also conscious that changes in regulation across the world can significantly impact on trade and we ensure our products are fully compliant with the regulatory environment in each country we do business with. |
The company is aware of the various financial risks faced in day to day business. The company has formulated an effective risk management policy to mitigate the adverse impact on its financial performance on account of various risks such as credit, foreign exchange, technology, fraud etc. |
The small size of the operations and lean structure of the company does not necessitate the requirement to have a separate sub-committee of the Board of Directors for management of the risk policy. The Board of Directors however has laid down various policy initiatives for the operating personnel to manage risks. |
Credit Risk |
The company's exposure to credit risk is moderate and is managed through a mix of initiatives such as obtaining post dated cheques, entering into legally sound and enforceable agreements, monitoring of credit exposure within the limits fixed for various customers. The doubtful debts arising out of factors like dealer closure are immediately recognised and provided for in the accounts. |
Fraud Risk |
The company has low exposure to fraud risk with strong internal control systems. |
Cirrus Research plc (Registered number: 00987160) |
Strategic Report |
for the year ended 30th June 2023 |
SECTION 172(1) STATEMENT |
The Board of Directors, in line with their duties under s172 of the Companies Act 2006, act in a way they consider, in good faith, would be most likely to promote the success of the Company for the benefit of its members as a whole, and in doing so have regard to a range of matters when making decisions for the long term. Key decisions and matters that are of strategic importance to the Company are appropriately informed by s172 factors. |
At Cirrus Research plc, our Board of Directors, management and employees are committed to upholding high standards of corporate governance and business ethics. We firmly believe that timely disclosures, transparent accounting policies, rigorous internal control systems and a strong and independent Board go a long way in preserving shareholder trust while maximising long-term shareholder value. |
This s172 statement explains how the Cirrus Directors: |
- Have engaged with employees, suppliers, customers and others; and |
- Have had regards to employee interests, the need to foster the company's business relationships with suppliers, customers and others, and the effect of that regards, including on the principal decisions taken by the company during the financial year. |
The s172 statement focuses on matters of strategic importance to Cirrus, and the level of information disclosed is consistent with the size and the complexity of the business. |
General confirmation of Directors' duties |
Cirrus have a number of management teams appointed by the Board at group level to focus on specific areas and take informed decisions within the framework of delegated authority, and make specific recommendations to the Board. All decisions and recommendations of the committees are placed before the Board for information or for approval. |
When making decisions, each Director ensures that they act in the way they consider, in good faith, would most likely promote the Company' success for the benefit of its members as a whole, and in doing so have regard (among matters) to: |
The likely consequences of any decision in the long term |
The Directors understand the business and the demand to innovate the latest products in order to find the most effective treatments in the company's core markets. Cirrus' vision and goal of customer satisfaction is what the business drives and strives for. The strategy set by the Board as a leader in the noise measurement industry is to ensure good health can be delivered to those who need it, and to promote wellness among them. |
Whilst investing for the future, the Board also recognises that we must focus on meeting the current supply and demand of its products. |
The Directors are guided by our core principles which provide both guidance for our current behaviour and inspiration for our future actions. |
The interests of the company's employees |
At Cirrus its employees are at the heart of our business. The Management team invites a fair and open two way relationship with all employees. We believe in respecting every individual, regardless of position. At Cirrus all employees are heard and have the opportunity to express their opinion. Organisation believes in equality and discourage any discrimination based on any caste, creed, race, religion age and gender etc. We are committed to employee's safety and well-being. Our HR policies are well documented and available to each employee. Management assumes responsibility that such policies are adhered to. |
The talented and capable people have played a major role in powering and defining the growth of Cirrus. We believe that when people with diverse skills are bound together by a common purpose and value system, they can allow the company to achieve its aims. |
The need to foster the company's business relationships with suppliers, customers and others |
Cirrus Research plc (Registered number: 00987160) |
Strategic Report |
for the year ended 30th June 2023 |
Customers and suppliers are the key stakeholders in our business. In a competitive price driven environment, stock is the vital component at the keenest price. We engage in regular communication with our suppliers as well as customers. We recognise the fact that the stronger the relationships with suppliers the more we are able to serve our customers better. We remain committed to all our stakeholder for ethical business practices. The Company has put in practice a code of business conduct and ethics (CoBE) and every employee at Cirrus is required to comply with its principles. |
The impact of the company's operations on the community and environment |
At Cirrus, we are committed to lowering our impact on the environment. We have a strong commitment to providing sustainable supplies and, wherever possible, will procure locally both to benefit the environment and local businesses. |
The desirability of the company maintaining a reputation for high standards of business conduct |
Cirrus's Board periodically reviews their Corporate Governance requirements as the commitment to upholding the highest standards are set at board level but is filtered down throughout the whole group organisation. |
The need to act fairly as between members of the company |
The Directors consider and focus its attention to ensure that the company's performance is in line with their strategic vision for both the short and long term objectives. The impact of this on all of the stakeholders is reviewed. The Directors believe they act fairly. |
The Board has created a culture of honesty, integrity and respect of the Cirrus's core values and principles. The company that has set a number guidelines on Code of Business Conduct and Ethics (COBE) through to various Environment and Employment policies. |
Principal decisions |
We define principal decisions taken by the Board as those decisions in 2022/23 that are of a strategic nature and that are significant to any of our key stakeholder groups. |
STREAMLINED ENERGY AND CARBON REPORTING |
Total Usage |
Total Usage |
Conversion |
Total Emissions |
Site |
Fuel Type |
Floor Area m2 |
L |
KWH |
Factor |
T/CO2e |
Acoustic House | Electric | 660.77 | 60,878 | 0.21233 | 12.93 |
Acoustic House | Oil | 4,746 | 2.54014 | 12.05 |
Methodology |
1. The total electricity usage is based on billed amounts |
2. Floor area is based on both ground and first floor space |
3. Conversion factors are the current government published values |
4. The company has only one operational site as listed above |
Comparative |
Total Usage |
Total Usage |
Conversion |
Total Emissions |
Site |
Fuel Type |
Floor Area m2 |
L |
KWH |
Factor |
T/CO2e |
Acoustic House | Electric | 660.77 | 57,776 | 0.21233 | 12.27 |
Acoustic House | Oil | 4,496 | 2.54014 | 11.42 |
Actions taken |
The company has invested in a more efficient heating system and is looking to make energy usage improvements when replacing equipment and fittings. |
Cirrus Research plc (Registered number: 00987160) |
Strategic Report |
for the year ended 30th June 2023 |
FUTURE DEVELOPMENTS AND STRATEGY |
Focus will continue to be on supporting the growth of our European Union (EU) hub in Frankfurt, Germany with at least two more new roles expected to be filled throughout 2023/24 as well as an office move to much larger premises. |
Development of the new product 'engine' will continue throughout the period and with the first and commercial product expected to be released around quarter three of 2024. |
ON BEHALF OF THE BOARD: |
Cirrus Research plc (Registered number: 00987160) |
Report of the Directors |
for the year ended 30th June 2023 |
The directors present their report with the financial statements of the company for the year ended 30th June 2023. |
PRINCIPAL ACTIVITY |
The principal activity of the company in the year under review was that of development, manufacture and sale of electro acoustic measuring equipment for professional use. |
DIVIDENDS |
No dividends will be distributed for the year ended 30th June 2023. |
FUTURE DEVELOPMENTS |
These details have been provided in the company's strategic report. |
DIRECTORS |
The directors set out in the table below have held office during the whole of the period from 1st July 2022 to the date of this report unless otherwise stated. |
Other changes in directors holding office are as follows: |
The directors shown below were in office at 30th June 2023 but did not hold any interest in the Ordinary shares of £1 each at 1st July 2022 (or date of appointment if later) or 30th June 2023. |
FINANCIAL RISK MANAGEMENT |
These details are provided in the company's strategic report. |
CREDITORS |
The Company's policy is to make payment to suppliers in accordance with the terms of payment agreed at the time the contract of supply is made. |
The company's creditors days at the year-end based upon the average daily amount invoiced by suppliers were 47 days. |
ENGAGEMENT WITH EMPLOYEES |
These details have been provided in the company's Section 172 (1) statement which is included in the strategic report. |
ENGAGEMENT WITH SUPPLIERS, CUSTOMERS AND OTHERS |
These details have been provided in the company's Section 172 (1) statement which is included in the strategic report. |
Cirrus Research plc (Registered number: 00987160) |
Report of the Directors |
for the year ended 30th June 2023 |
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations. |
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and 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 then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- | state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; |
- | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
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. |
The directors are responsible for the maintenance and integrity of the corporate and financial information included on the company's website. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information. |
AUDITORS |
The auditors, Sadofskys, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
ON BEHALF OF THE BOARD: |
Report of the Independent Auditors to the Members of |
Cirrus Research plc |
Opinion |
We have audited the financial statements of Cirrus Research plc (the 'company') for the year ended 30th June 2023 which comprise the Statement of Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). |
In our opinion the financial statements: |
- | give a true and fair view of the state of the company's affairs as at 30th June 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 Auditors' 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 directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. |
Other information |
The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon. |
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. |
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 the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
Report of the Independent Auditors to the Members of |
Cirrus Research plc |
Matters on which we are required to report by exception |
In the light of the 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 or the Report of the Directors. |
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
- | adequate accounting records have not been kept, 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, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. |
In preparing the financial statements, the directors are responsible for assessing the 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 to cease operations, or have no realistic alternative but to do so. |
Report of the Independent Auditors to the Members of |
Cirrus Research plc |
Auditors' responsibilities for the audit of the financial statements |
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows: |
- the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations; |
- we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge and experience of electro acoustic measuring equipment; |
- we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including Companies Act 2006, taxation legislation, data protection, anti-bribery, employment, environmental and health and safety legislation; |
- we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and |
- identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit. |
We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by: |
- making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; |
- considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations. |
To address the risk of fraud through management bias and override of controls, we: |
- performed analytical procedures to identify any unusual or unexpected relationships; |
- tested journal entries to identify unusual transactions; |
- assessed whether judgements and assumptions made in determining the accounting estimates set out in [note 2] were indicative of potential bias; |
- investigated the rationale behind significant or unusual transactions. |
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to: |
- agreeing financial statement disclosures to underlying supporting documentation; |
- reading the minutes of meetings of those charged with governance; |
- enquiring of management as to actual and potential litigation and claims; |
- reviewing correspondence with HMRC, relevant regulators and the company's legal advisors. |
There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any. |
Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion |
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
Report of the Independent Auditors to the Members of |
Cirrus Research plc |
Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
for and on behalf of |
Statutory Auditors |
Princes House |
Wright Street |
Hull |
East Yorkshire |
HU2 8HX |
Cirrus Research plc (Registered number: 00987160) |
Statement of Comprehensive |
Income |
for the year ended 30th June 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
TURNOVER | 3 |
Cost of sales |
GROSS PROFIT |
Distribution costs |
Administrative expenses |
1,807,886 | 1,748,216 |
154,336 | 157,264 |
Other operating income |
OPERATING PROFIT | 5 |
Interest receivable and similar income |
211,044 | 162,265 |
Interest payable and similar expenses | 7 |
PROFIT BEFORE TAXATION |
Tax on profit | 8 | ( |
) |
PROFIT FOR THE FINANCIAL YEAR |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
Cirrus Research plc (Registered number: 00987160) |
Balance Sheet |
30th June 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 9 |
Tangible assets | 10 |
Investments | 11 |
CURRENT ASSETS |
Stocks | 12 |
Debtors | 13 |
Cash at bank and in hand |
CREDITORS |
Amounts falling due within one year | 14 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CAPITAL AND RESERVES |
Called up share capital | 18 |
Retained earnings | 19 |
SHAREHOLDERS' FUNDS |
The financial statements were approved by the Board of Directors and authorised for issue on |
Cirrus Research plc (Registered number: 00987160) |
Statement of Changes in Equity |
for the year ended 30th June 2023 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1st July 2021 |
Changes in equity |
Total comprehensive income | - |
Balance at 30th June 2022 |
Changes in equity |
Total comprehensive income | - |
Balance at 30th June 2023 |
Cirrus Research plc (Registered number: 00987160) |
Cash Flow Statement |
for the year ended 30th June 2023 |
2023 | 2022 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 |
Interest paid | ( |
) | ( |
) |
Tax paid | ( |
) |
Taxation refund received |
Net cash from operating activities |
Cash flows from investing activities |
Purchase of tangible fixed assets | ( |
) | ( |
) |
Loans repaid by group companies |
Interest received |
Net cash from investing activities | ( |
) | ( |
) |
Cash flows from financing activities |
Loan repayments in year | ( |
) | ( |
) |
Loans written off |
Net cash from financing activities | ( |
) |
Increase in cash and cash equivalents |
Cash and cash equivalents at beginning of year |
2 |
409,728 |
Cash and cash equivalents at end of year | 2 | 626,627 | 583,921 |
Cirrus Research plc (Registered number: 00987160) |
Notes to the Cash Flow Statement |
for the year ended 30th June 2023 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
2023 | 2022 |
£ | £ |
Profit before taxation |
Depreciation charges |
Loss on disposal of fixed assets |
Finance costs | 1,291 | 4,294 |
Finance income | (10,887 | ) | (1 | ) |
233,512 | 200,940 |
Decrease/(increase) in stocks | ( |
) |
(Increase)/decrease in trade and other debtors | ( |
) |
Increase/(decrease) in trade and other creditors | ( |
) |
Cash generated from operations |
2. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
Year ended 30th June 2023 |
30/6/23 | 1/7/22 |
£ | £ |
Cash and cash equivalents | 626,627 | 583,921 |
Year ended 30th June 2022 |
30/6/22 | 1/7/21 |
£ | £ |
Cash and cash equivalents | 583,921 | 409,728 |
3. | ANALYSIS OF CHANGES IN NET FUNDS |
At 1/7/22 | Cash flow | At 30/6/23 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 583,921 | 42,706 | 626,627 |
583,921 | 626,627 |
Debt |
Debts falling due within 1 year | (16,137 | ) | 16,137 | - |
(16,137 | ) | 16,137 | - |
Total | 567,784 | 58,843 | 626,627 |
Cirrus Research plc (Registered number: 00987160) |
Notes to the Financial Statements |
for the year ended 30th June 2023 |
1. | STATUTORY INFORMATION |
Cirrus Research plc is a private company , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page. |
The presentation currency of the financial statements is the Pound Sterling (£). |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Preparation of consolidated financial statements |
The financial statements contain information about Cirrus Research plc as an individual company and do not contain consolidated financial information as the parent of a group. The company is exempt under Section 401 of the Companies Act 2006 from the requirements to prepare consolidated financial statements as it and its subsidiary undertaking are included by full consolidation in the consolidated financial statements of its parent, Scientific Measurements Pte. Ltd., 100 Beach Road £ 25-06 Shaw Towers, Singapore, 189702. |
Related party exemption |
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group. |
Turnover |
Turnover represents net invoiced sales of goods and services, excluding value added tax. |
Sale of goods are recognised when the goods are delivered. |
Service sales are recognised when the product has been repaired or serviced and returned to the customer. |
Intangible assets |
Intangible assets are measured at cost. |
Tangible fixed assets |
Long leasehold | - |
Plant and machinery | - |
Fixtures and fittings | - |
Motor vehicles | - |
Computer equipment | - |
Investments in subsidiaries |
Investments in subsidiary undertakings are recognised at cost. |
Stocks |
Stocks and work in progress are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
Stock is on a first in first out basis. |
Cirrus Research plc (Registered number: 00987160) |
Notes to the Financial Statements - continued |
for the year ended 30th June 2023 |
2. | ACCOUNTING POLICIES - continued |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
Research and development |
Expenditure on research and development is written off in the year in which it is incurred. |
Foreign currencies |
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result. |
Pension costs and other post-retirement benefits |
The company operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the company in an independently administered fund. Contributions payable for the year are charged in the profit and loss account. |
Going concern |
The directors are fully committed to ensuring that the company is adequately funded to enable it to achieve its objectives and be well placed to manage its business risks successfully despite the current heightened uncertain economic outlook. |
The directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus they continue to adopt the going concern basis in preparing the annual financial statements. |
Further information regarding the company's business activities, together with the factors likely to affect its future development, performance and position is set out in the Strategic Report. |
Government grants |
Government grants are recognised using the accruals model. Grants of a revenue nature are credited to income so as to match them with the expenditure to which they relate. |
Grants in respect of capital expenditure are credited to a deferred income account and are released to profit over the expected useful lives of the assets to which they relate. |
A grant that becomes receivable as compensation for expenses or losses already incurred, or for the purpose of giving immediate financial support to the company with no future related costs, is credited to income in the period in which it becomes receivable. |
Cirrus Research plc (Registered number: 00987160) |
Notes to the Financial Statements - continued |
for the year ended 30th June 2023 |
3. | TURNOVER |
An analysis of turnover by geographical market is given below : |
2023 | 2022 |
Sales - United Kingdom | 2,562,638 | 2,312,069 |
Sales - Europe | 732,826 | 607,839 |
Sales - Rest of World | 1,478,863 | 1,404,363 |
4,774,327 | 4,324,271 |
4. | EMPLOYEES AND DIRECTORS |
2023 | 2022 |
£ | £ |
Wages and salaries |
Social security costs |
Other pension costs |
The average number of employees during the year was as follows: |
2023 | 2022 |
Office and Administration | 24 | 20 |
Test and Production | 12 | 13 |
Research and Development | 9 | 9 |
2023 | 2022 |
£ | £ |
Directors' remuneration |
The number of directors to whom retirement benefits were accruing was as follows: |
Money purchase schemes |
5. | OPERATING PROFIT |
The operating profit is stated after charging/(crediting): |
2023 | 2022 |
£ | £ |
Depreciation - owned assets |
Loss on disposal of fixed assets |
Auditors' remuneration |
Foreign exchange differences | ( |
) |
Cirrus Research plc (Registered number: 00987160) |
Notes to the Financial Statements - continued |
for the year ended 30th June 2023 |
6. | EXCEPTIONAL ITEMS |
2023 | 2022 |
£ | £ |
Exceptional items | (17,306 | ) | (168,366 | ) |
Exceptional items relate to a loan within the group which will not be recovered by the company. |
7. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2023 | 2022 |
£ | £ |
Loan interest |
8. | TAXATION |
Analysis of the tax (credit)/charge |
The tax (credit)/charge on the profit for the year was as follows: |
2023 | 2022 |
£ | £ |
Current tax: |
UK corporation tax |
Prior year taxation | (20,214 | ) | 1,752 |
Tax on profit | ( |
) |
9. | INTANGIBLE FIXED ASSETS |
Patents |
and |
licences |
£ |
COST |
At 1st July 2022 |
and 30th June 2023 |
NET BOOK VALUE |
At 30th June 2023 |
At 30th June 2022 |
Cirrus Research plc (Registered number: 00987160) |
Notes to the Financial Statements - continued |
for the year ended 30th June 2023 |
10. | TANGIBLE FIXED ASSETS |
Fixtures |
Long | Plant and | and |
leasehold | machinery | fittings |
£ | £ | £ |
COST |
At 1st July 2022 |
Additions |
At 30th June 2023 |
DEPRECIATION |
At 1st July 2022 |
Charge for year |
At 30th June 2023 |
NET BOOK VALUE |
At 30th June 2023 |
At 30th June 2022 |
Motor | Computer |
vehicles | equipment | Totals |
£ | £ | £ |
COST |
At 1st July 2022 |
Additions |
At 30th June 2023 |
DEPRECIATION |
At 1st July 2022 |
Charge for year |
At 30th June 2023 |
NET BOOK VALUE |
At 30th June 2023 |
At 30th June 2022 |
11. | FIXED ASSET INVESTMENTS |
Shares in |
group |
undertaking |
£ |
COST |
At 1st July 2022 |
and 30th June 2023 |
NET BOOK VALUE |
At 30th June 2023 |
At 30th June 2022 |
Cirrus Research plc (Registered number: 00987160) |
Notes to the Financial Statements - continued |
for the year ended 30th June 2023 |
11. | FIXED ASSET INVESTMENTS - continued |
The company's investments at the Balance Sheet date in the share capital of companies include the following: |
Registered office: 679 avenue de la Republique, 59800 Lille, France |
Nature of business: |
% |
Class of shares: | holding |
2023 | 2022 |
£ | £ |
Aggregate capital and reserves | ( |
) | ( |
) |
Loss for the year | ( |
) | ( |
) |
Registered office: Lyoner Str. 44-48 60528 Frankfurt am Main, Germany |
Nature of business: |
% |
Class of shares: | holding |
2023 | 2022 |
£ | £ |
Aggregate capital and reserves |
Profit for the year |
All companies above are not consolidated within these accounts as the company has taken advantage of the exemption shown within the accounting policies. |
12. | STOCKS |
2023 | 2022 |
£ | £ |
Raw materials |
Finished goods |
13. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2023 | 2022 |
£ | £ |
Trade debtors |
Amounts owed by group undertakings |
Other debtors |
Prepayments and accrued income |
Cirrus Research plc (Registered number: 00987160) |
Notes to the Financial Statements - continued |
for the year ended 30th June 2023 |
14. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2023 | 2022 |
£ | £ |
Other loans (see note 15) |
Trade creditors |
Taxation |
Social security and other taxes |
Other creditors |
Accrued expenses |
15. | LOANS |
An analysis of the maturity of loans is given below: |
2023 | 2022 |
£ | £ |
Amounts falling due within one year or on demand: |
Other loans under 1 year | - | 16,137 |
16. | LEASING AGREEMENTS |
Minimum lease payments under non-cancellable operating leases fall due as follows: |
2023 | 2022 |
£ | £ |
Within one year |
Between one and five years |
In more than five years |
17. | SECURED DEBTS |
All bank and mortgage borrowing is secured by a fixed charge over the company's fixed assets and book debts and a floating charge over all assets of the company. |
18. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2023 | 2022 |
value: | £ | £ |
Ordinary | £1 |
19. | RESERVES |
Retained |
earnings |
£ |
At 1st July 2022 |
Profit for the year |
At 30th June 2023 |
Cirrus Research plc (Registered number: 00987160) |
Notes to the Financial Statements - continued |
for the year ended 30th June 2023 |
20. | ULTIMATE PARENT COMPANY |
The company is a wholly owned subsidiary of Scientific Measurements Pte Ltd. a company incorporated in Singapore. |
Scientific Measurements PTE prepares consolidated accounts incorporating the results of the company. Copies of the consolidated accounts can be obtained from www.acra.gov.sg. |