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Registration number: 04666562

Contrado Imaging Ltd.

Annual Report and Financial Statements

for the Year Ended 28 February 2023

 

Contrado Imaging Ltd.

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

Statement of Comprehensive Income

10

Balance Sheet

11

Statement of Changes in Equity

12

Statement of Cash Flows

13

Notes to the Financial Statements

14 to 25

 

Contrado Imaging Ltd.

Company Information

Director

Mr Christopher James Steven Childs

Company secretary

The Business Setup Ltd

Registered office

36-38 Westbourne Grove
Newton Road
London
W2 5SH

Accountants

Sloane & Co. LLP
Chartered Certified Accountants
36-38 Westbourne Grove
Newton Road
London
W2 5SH

Auditors

Tahas & Co Ltd
Chartered Certified Accountants and Statutory Auditors
Suite 3, Second Floor
760 Eastern Avenue
Newbury Park
London
IG2 7HU

 

Contrado Imaging Ltd.

Strategic Report for the Year Ended 28 February 2023

The director presents his strategic report for the year ended 28 February 2023.

Principal activity

The principal activity of the company is specialising in making quality imaging on clothing, homeware and accessories.

Fair review of the business

The financial year under review was a challenging year for the company. The turnover of the company decreased by £2,983,788; a decrease of 18.22% compared to previous year. This was mainly due to Brexit as it directly impacted European sales. There was stability during the year in freight and delivery costs compared to previous years. As a result the company was able to control its cost of sales and achieve an increased gross margin of 35.74% compared to 29.15% last year.

The company continued to invest on latest machinery and equipment to produce goods in high qaulity as well as in large quantities.The company also continued to invest heavliy on its advertising and marketing. With Brexit impacting European sales, the company is concentrating on worldwide sales especially in USA and is making good progress.

Principal risks and uncertainties


The Directors acknowledge their responsibilities for monitoring risks and uncertainties affecting the company. The main risks and uncertainity facing the business on coming year will be the conitnuing impact of Brexit on European sales. As a significant portion of the sales of the company is outside of UK, the main risk and uncertainity to the company is the increase costs in shipping and delivering the goods to its worldwide customers.

The other main risks facing the yearly basis are currency exposure, retention of key staff members, market conditions and the effectiveness of internal financial control. The Directors monitor the above risks through regular management meetings and updates from managers and has insurance cover whenever risks are identified. Overall the company is satisfied that it has adequate resources to continue operational existence for the foreseeable future.

Approved and authorised by the director on 23 November 2023
 

.........................................
Mr Christopher James Steven Childs
Director

 

Contrado Imaging Ltd.

Director's Report for the Year Ended 28 February 2023

The director presents his report and the financial statements for the year ended 28 February 2023.

Director of the company

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

Mr Christopher James Steven Childs

Results

The results for the year are set out on page 9.

Going concern

The accounts have been prepared on a going concern basis as there is no material uncertainty related to events or conditions that may cast significant doubt about the ability of the company to continue as a going concern.

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.

Reappointment of auditors

The auditors Tahas & Co Ltd are deemed to be reappointed under section 487(2) of the Companies Act 2006.

Approved and authorised by the director on 23 November 2023
 

.........................................
Mr Christopher James Steven Childs
Director

 

Contrado Imaging Ltd.

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.

 

Contrado Imaging Ltd.

Independent Auditor's Report to the Members of Contrado Imaging Ltd.

Opinion

We have audited the financial statements of Contrado Imaging Ltd. (the 'company') for the year ended 28 February 2023, which comprise the Profit and Loss Account, Statement of Comprehensive Income, 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 28 February 2023 and of its loss for the year then ended;

have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the 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 director with respect to going concern are described in the relevant sections of this report.

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.

 

Contrado Imaging Ltd.

Independent Auditor's Report to the Members of Contrado Imaging Ltd.

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.

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

 

Contrado Imaging Ltd.

Independent Auditor's Report to the Members of Contrado Imaging Ltd.

In identifying and assessing risks of material misstatement in respect of irregularities including fraud and non-compliance with laws and regulations, we considered the following

- the nature of the industry and sector, control environment and business performance and performance targets
- results of our enquiries of management and the company's financial manager's own identification and assessment of the risks of irregularities.
- any matters we identified having obtained and reviewed the company's documentation of their policies and procedures relating to:
- identifying, evaluating and complying with laws and regulations and whether they were aware of any instances of non- compliance
- detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or alleged fraud
- the internal controls established to mitigate risks of fraud or non-compliance with laws and regulations
- Using analytical procedures to identify any unsual or unexpected relationships.

We remained alert to any indications of fraud throughout the audit. As required by auditing standards and taking into account possible pressures to achieve targets, we performed procedures to address the risk of management override of controls and the risk of making inappropriate accounting entries.

We also performed procedures including identifying journal entries and other adjustments to test based on risk criteria and comparing the identified entries to supporting documents. These included those posted to unusual accounts.

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. In addition, as with any audit, there remained a higher risk of non-detection of fraud, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. Our audit procedures are designed to detect material misstatement. We are not responsible for preventing non-compliance or fraud and cannot be expected to detect non-compliance with all laws and regulations.

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.

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.

 

Contrado Imaging Ltd.

Independent Auditor's Report to the Members of Contrado Imaging Ltd.

......................................
Mr M Poonawala (Senior Statutory Auditor)
For and on behalf of Tahas & Co Ltd, Statutory Auditor

Suite 3, Second Floor
760 Eastern Avenue
Newbury Park
London
IG2 7HU

23 November 2023

 

Contrado Imaging Ltd.

Profit and Loss Account for the Year Ended 28 February 2023

Note

2023
£

2022
£

Turnover

3

13,395,926

16,378,707

Cost of sales

 

(8,608,818)

(11,604,048)

Gross profit

 

4,787,108

4,774,659

Administrative expenses

 

(5,297,479)

(4,603,631)

Operating (loss)/profit

5

(510,371)

171,028

Other interest receivable and similar income

6

3,236

-

Interest payable and similar expenses

7

(33,557)

(25,681)

   

(30,321)

(25,681)

(Loss)/profit before tax

 

(540,692)

145,347

Tax on (loss)/profit

11

(4,543)

(29,558)

(Loss)/profit for the financial year

 

(545,235)

115,789

The above results were derived from continuing operations.

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

 

Contrado Imaging Ltd.

Statement of Comprehensive Income for the Year Ended 28 February 2023

2023
£

2022
£

(Loss)/profit for the year

(545,235)

115,789

Total comprehensive income for the year

(545,235)

115,789

 

Contrado Imaging Ltd.

(Registration number: 04666562)
Balance Sheet as at 28 February 2023

Note

2023
£

2022
£

Fixed assets

 

Tangible assets

13

1,068,907

1,089,709

Investments

14

155,870

155,870

 

1,224,777

1,245,579

Current assets

 

Stocks

15

1,053,343

1,148,004

Debtors

16

951,411

907,980

Cash at bank and in hand

 

389,454

1,344,678

 

2,394,208

3,400,662

Creditors: Amounts falling due within one year

18

(1,213,271)

(962,264)

Net current assets

 

1,180,937

2,438,398

Total assets less current liabilities

 

2,405,714

3,683,977

Creditors: Amounts falling due after more than one year

18

(470,633)

(581,205)

Provisions for liabilities

19

(203,092)

(198,548)

Net assets

 

1,731,989

2,904,224

Capital and reserves

 

Called up share capital

1,000

1,000

Retained earnings

1,730,989

2,903,224

Shareholders' funds

 

1,731,989

2,904,224

Approved and authorised by the director on 23 November 2023
 

.........................................
Mr Christopher James Steven Childs
Director

 

Contrado Imaging Ltd.

Statement of Changes in Equity for the Year Ended 28 February 2023

Share capital
£

Retained earnings
£

Total
£

At 1 March 2022

1,000

2,903,224

2,904,224

Loss for the year

-

(545,235)

(545,235)

Dividends

-

(627,000)

(627,000)

At 28 February 2023

1,000

1,730,989

1,731,989

Share capital
£

Retained earnings
£

Total
£

At 1 March 2021

100

3,753,435

3,753,535

Profit for the year

-

115,789

115,789

Dividends

-

(966,000)

(966,000)

New share capital subscribed

900

-

900

At 28 February 2022

1,000

2,903,224

2,904,224

 

Contrado Imaging Ltd.

Statement of Cash Flows for the Year Ended 28 February 2023

Note

2023
£

2022
£

Cash flows from operating activities

(Loss)/profit for the year

 

(545,235)

115,789

Adjustments to cash flows from non-cash items

 

Depreciation and amortisation

5

375,249

375,579

(Profit)/loss on disposal of tangible assets

4

(16,702)

34,201

Finance income

6

(3,236)

-

Finance costs

7

33,557

25,681

Income tax expense

11

4,543

29,558

Foreign exchange gains/losses

 

(76,810)

45,203

 

(228,634)

626,011

Working capital adjustments

 

Decrease/(increase) in stocks

15

94,661

(152,257)

Increase in trade debtors

16

(40,195)

(98,849)

Increase/(decrease) in trade creditors

18

209,425

(162,205)

Cash generated from operations

 

35,257

212,700

Income taxes paid

11

(3,236)

(1,416,699)

Net cash flow from operating activities

 

32,021

(1,203,999)

Cash flows from investing activities

 

Interest received

6

3,236

-

Acquisitions of tangible assets

(405,245)

(568,456)

Proceeds from sale of tangible assets

 

67,501

25,926

Net cash flows from investing activities

 

(334,508)

(542,530)

Cash flows from financing activities

 

Interest paid

7

(33,557)

(25,681)

Proceeds from issue of ordinary shares, net of issue costs

 

-

900

Proceeds from bank borrowing draw downs

 

(156,500)

(138,888)

Payments to finance lease creditors

 

87,510

341,347

Dividends paid

24

(627,000)

(966,000)

Net cash flows from financing activities

 

(729,547)

(788,322)

Net decrease in cash and cash equivalents

 

(1,032,034)

(2,534,851)

Cash and cash equivalents at 1 March

 

1,344,678

3,924,733

Effect of exchange rate fluctuations on cash held

 

76,810

(45,204)

Cash and cash equivalents at 28 February

 

389,454

1,344,678

 

Contrado Imaging Ltd.

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 and Wales.

The address of its registered office is:
36-38 Westbourne Grove
Newton Road
London
W2 5SH

The principal place of business is:
Unit 6 & 7
Space Business Park
Abbey Road
Park Royal
London
NW10 7SU

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

Going concern

The financial statements have been prepared on a going concern basis.

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.

 

Contrado Imaging Ltd.

Notes to the Financial Statements for the Year Ended 28 February 2023

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. Non-monetary items carried at fair value that are denominated in foreign currencies are retranslated at the rate on the date when the fair value is re-measured.

Non-monetary items measured in terms of historical cost in a foreign currency are not retranslated.

Tax

The tax expense for the period comprises 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.

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

Plant & Machinery

25% Reducing balance

Motor Vehicles

25% Reducing balance

Fixtures & Fittings

25% Reducing balance

Computer Equipment

33.33% Straight Line

 

Contrado Imaging Ltd.

Notes to the Financial Statements for the Year Ended 28 February 2023

Business combinations

Business combinations are accounted for using the purchase method. The consideration for each acquisition is measured at the aggregate of the fair values at acquisition date of assets given, liabilities incurred or assumed, and equity instruments issued by the group in exchange for control of the acquired, plus any costs directly attributable to the business combination. When a business combination agreement provides for an adjustment to the cost of the combination contingent on future events, the group includes the estimated amount of that adjustment in the cost of the combination at the acquisition date if the adjustment is probable and can be measured reliably.

Investments

Investments in equity shares which are publicly traded or where the fair value can be measured reliably are initially measured at fair value, with changes in fair value recognised in profit or loss. Investments in equity shares which are not publicly traded and where fair value cannot be measured reliably are measured at cost less impairment.


Interest income on debt securities, where applicable, is recognised in income using the effective interest method. Dividends on equity securities are recognised in income when receivable.

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.

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.

 

Contrado Imaging Ltd.

Notes to the Financial Statements for the Year Ended 28 February 2023

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.

Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee.

Assets held under finance leases are recognised at the lower of their fair value at inception of the lease and the present value of the minimum lease payments. These assets are depreciated on a straight-line basis over the shorter of the useful life of the asset and the lease term. The corresponding liability to the lessor is included in the balance sheet as a finance lease obligation.

Lease payments are apportioned between finance costs in the profit and loss account and reduction of the lease obligation so as to achieve a constant periodic rate of interest on the remaining balance of the liability.

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.

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.

 

Contrado Imaging Ltd.

Notes to the Financial Statements for the Year Ended 28 February 2023

3

Turnover

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

2023
£

2022
£

Sale of goods

13,395,926

16,378,707

4

Other gains and losses

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

2023
£

2022
£

Gain/(loss) on disposal of Tangible assets

16,702

(34,201)

5

Operating (loss)/profit

Arrived at after charging/(crediting)

2023
£

2022
£

Depreciation expense

375,249

375,579

Foreign exchange (gains)/losses

(76,810)

45,203

Operating lease expense - plant and machinery

11,235

8,372

(Profit)/loss on disposal of property, plant and equipment

(16,702)

34,201

6

Other interest receivable and similar income

2023
£

2022
£

Other finance income

3,236

-

7

Interest payable and similar expenses

2023
£

2022
£

Interest on bank overdrafts and borrowings

14,721

8,109

Interest on obligations under finance leases and hire purchase contracts

18,836

17,572

33,557

25,681

 

Contrado Imaging Ltd.

Notes to the Financial Statements for the Year Ended 28 February 2023

8

Staff costs

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

2023
£

2022
£

Wages and salaries

3,293,122

3,374,883

Social security costs

352,571

321,621

Pension costs, defined contribution scheme

57,785

58,644

Other employee expense

193,802

163,981

3,897,280

3,919,129

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.

Production

60

94

Administration and support

10

19

IT

9

8

79

121

9

Director's remuneration

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

2023
£

2022
£

Remuneration

25,000

24,999

10

Auditors' remuneration

2023
£

2022
£

Audit of the financial statements

6,500

6,500


 

 

Contrado Imaging Ltd.

Notes to the Financial Statements for the Year Ended 28 February 2023

11

Taxation

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

2023
£

2022
£

Deferred taxation

Arising from origination and reversal of timing differences

4,543

29,558

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
£

(Loss)/profit before tax

(540,692)

145,347

Corporation tax at standard rate

-

27,616

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

-

6,588

Tax decrease from effect of capital allowances and depreciation

-

(34,204)

Tax increase from other short-term timing differences

4,543

29,558

Total tax charge

4,543

29,558

 

Contrado Imaging Ltd.

Notes to the Financial Statements for the Year Ended 28 February 2023

12

Intangible assets

Other intangible assets
 £

Total
£

Cost or valuation

At 1 March 2022

30,334

30,334

At 28 February 2023

30,334

30,334

Amortisation

At 1 March 2022

30,334

30,334

At 28 February 2023

30,334

30,334

Carrying amount

At 28 February 2023

-

-

13

Tangible assets

Furniture, fittings and equipment
 £

Motor vehicles
 £

Plant & Machinery
£

Total
£

Cost or valuation

At 1 March 2022

711,202

226,893

1,784,976

2,723,071

Additions

-

-

405,245

405,245

Disposals

-

(49,490)

(49,101)

(98,591)

At 28 February 2023

711,202

177,403

2,141,120

3,029,725

Depreciation

At 1 March 2022

619,552

133,713

880,097

1,633,362

Charge for the year

36,615

14,015

324,618

375,248

Eliminated on disposal

-

(12,372)

(35,420)

(47,792)

At 28 February 2023

656,167

135,356

1,169,295

1,960,818

Carrying amount

At 28 February 2023

55,035

42,047

971,825

1,068,907

At 28 February 2022

91,650

93,180

904,879

1,089,709

 

Contrado Imaging Ltd.

Notes to the Financial Statements for the Year Ended 28 February 2023

14

Investments

2023
£

2022
£

Investments in subsidiaries

155,870

155,870

Subsidiaries

£

Cost or valuation

At 1 March 2022

155,870

Provision

Carrying amount

At 28 February 2023

155,870

At 28 February 2022

155,870

Details of undertakings

Details of the investments (including principal place of business of unincorporated entities) in which the company holds 20% or more of the nominal value of any class of share capital are as follows:

Undertaking

Registered office

Holding

Proportion of voting rights and shares held

     

2023

2022

Subsidiary undertakings

Contrado Imaging India Private Limited

B-1908/1909/1910 Westgate
Near YMCA Club, Makarba
S G Highway
Ahmedabad, Gujarat
380051

India

Ordinary Equity

100%

100%

Subsidiary undertakings

Contrado Imaging India Private Limited

The principal activity of Contrado Imaging India Private Limited is IT services.

 

Contrado Imaging Ltd.

Notes to the Financial Statements for the Year Ended 28 February 2023

15

Stocks

2023
£

2022
£

Stock - materials

1,053,343

1,148,004

16

Debtors

Current

Note

2023
£

2022
£

Trade debtors

 

28,259

200,640

Other debtors

 

503,909

298,084

Prepayments

 

107,779

101,028

Income tax asset

11

311,464

308,228

   

951,411

907,980

17

Cash and cash equivalents

2023
£

2022
£

Cash at bank

389,454

1,344,678

18

Creditors

Note

2023
£

2022
£

Due within one year

 

Loans and borrowings

22

324,873

283,291

Trade creditors

 

749,150

464,294

Amounts due to related parties

129

695

Social security and other taxes

 

81,765

118,701

Outstanding defined contribution pension costs

 

20,321

11,305

Other payables

 

20,858

48,573

Accruals

 

16,175

35,405

 

1,213,271

962,264

Due after one year

 

Loans and borrowings

22

470,633

581,205

 

Contrado Imaging Ltd.

Notes to the Financial Statements for the Year Ended 28 February 2023

19

Provisions for liabilities

Deferred tax
£

Total
£

At 1 March 2022

198,548

198,548

Additional provisions

4,544

4,544

At 28 February 2023

203,092

203,092

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 £57,785 (2022 - £58,644).

Contributions totalling £20,321 (2022 - £11,305) were payable to the scheme at the end of the year and are included in creditors.

21

Share capital

Allotted, called up and fully paid shares

 

2023

2022

 

No.

£

No.

£

Ordinary of £1 each

100

100

100

100

         

22

Loans and borrowings

2023
£

2022
£

Non-current loans and borrowings

Bank borrowings

33,774

194,445

Hire purchase contracts

436,859

386,760

470,633

581,205

 

Contrado Imaging Ltd.

Notes to the Financial Statements for the Year Ended 28 February 2023

2023
£

2022
£

Current loans and borrowings

Bank borrowings

170,838

166,667

Hire purchase contracts

154,035

116,624

324,873

283,291

The obligations under finance leases and hire purchase contracts are secured on the assets to which they relate.

23

Obligations under leases and hire purchase contracts

HP and Finance leases

The total of future minimum lease payments is as follows:

2023
£

2022
£

Not later than one year

154,035

116,624

Later than one year and not later than five years

436,859

386,760

590,894

503,384

Operating leases - Premises rent

The total of future minimum lease payments is as follows:

2023
£

2022
£

Not later than one year

363,000

363,000

Later than one year and not later than five years

121,000

484,000

484,000

847,000

24

Dividends

Interim dividends paid

   

2023
£

 

2022
£

Interim dividend of £6,270.00 (2022 - £9,660.00) per each Ordinary

 

627,000

 

966,000

         

25

Ultimate Controlling Party

Mr C. Childs, a director, controls the company by virtue of a controlling interest of 100% of the issued ordinary share capital.