Company Registration Number 10111491 (England and Wales)
SOUTHAMPTON MARINE SERVICES LIMITED
ACCOUNTS
FOR THE YEAR ENDED 30 JUNE 2023
SOUTHAMPTON MARINE SERVICES LIMITED
COMPANY INFORMATION
Directors
Mr C Norman
Mr N J Warren
(Appointed 1 August 2022)
Company number
10111491
Registered office
Kintyre House
70 High Street
Fareham
Hampshire
United Kingdom
PO16 7BB
Auditor
Alliott Wingham Limited
Kintyre House
70 High Street
Fareham
Hants
PO16 7BB
Business address
Western Avenue
Western Docks
Southampton
Hampshire
SO15 0HH
SOUTHAMPTON MARINE SERVICES LIMITED
CONTENTS
Page
Strategic report
1 - 2
Directors' report
3 - 4
Independent auditor's report
5 - 7
Profit and loss account
8
Statement of comprehensive income
9
Balance sheet
10
Statement of changes in equity
11
Statement of cash flows
12
Notes to the financial statements
13 - 29
SOUTHAMPTON MARINE SERVICES LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 30 JUNE 2023
- 1 -
The directors present the strategic report for the year ended 30 June 2023.
Fair review of the business
The company provides ship repair, marine engineering services, and interior refurbishment solutions, including the provision of skilled labour, primarily to the commercial, defence and outfit sectors within the marine industry from eight locations across the UK.
The Financial Statements for the period cover the core business, as well as a number of special non-recurring projects. Despite the backdrop of a period of high inflation rates, the continuing impact of the conflict in the Ukraine, skilled labour shortages and general worldwide trading uncertainties, it has been a year of significant growth with revenue increasing by 73%. The company has seen increased activity across all segments of its business, the most significant arising within its Outfit division due to the company investments made in that sector along with the slow recovery of the cruise market after the COVID pandemic.
During this financial period, in August 2022, a Management Buy-out was completed with the shares being acquired by an independent investment vehicle owned by the current Company Directors. The Buy-out has not meant any material change to the strategy, the operation or day-to-day running of the business but has allowed the company more flexibility in its dealings with its customers.
It continues its policy of investing in its work force with a continuous programme of training and personal development and the expansion of its infrastructure (to include new premises in Scotland); this enables it to meet both the current and future demands of its customers as well as maintaining the standards required by them.
Principal risks and uncertainties
Company operations are UK centric (with a limited amount of overseas activity) and are subject to a number of risks, the principal area of risk and uncertainty relating to economic conditions prevailing in the UK (and globally to the extent that they affect the UK economy).
The company continues to take measures to ensure that it is not overly reliant on any one UK region, sector or customer.
The company continues to assess the risks and opportunities arising from the UK’s exit from the European Union (“Brexit”) as well as the ongoing conflict in the Ukraine and evaluate the impact these may have on its activity levels, supply chain and cost base. Whilst the majority of trade is with UK customers (within the UK), the company is aware that the marine industry, as a whole, has seen changes that have and will continue to affect the business. In order to mitigate these risks the company continues to review its supply chain arrangements.
The company is exposed (to a greater or lesser extent) to a variety of financial risks from its operations including price risk, exchange rate risk, credit risk and liquidity risk.
Price Risk
The company has limited exposure to fluctuations in the cost of bought-in goods and services due to the high volume, short-term nature of the majority of trading, enabling it to price appropriately despite the impact of COVID-19, Brexit and the Ukraine conflict. Where larger contracts with fixed pricing are entered, the company seeks to secure pricing for bought-in goods and services at the outset of the project.
Exchange Rate Risk
The company has limited exposure to changes in foreign currency exchange rates as customer invoicing is in GBP, labour is UK based and only a small proportion of bought-in goods and services are non-GBP purchases.
Credit Risk
The company’s credit risk relates primarily to its Trade Receivables. The company contracts directly with its customers who range from blue chip companies operating government contracts to small and medium sized entities in the commercial sector. The credit terms granted are proportional to risk profile and larger contracts are invoiced on a stage payment basis (before, during and on completion of the projects).
SOUTHAMPTON MARINE SERVICES LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
- 2 -
Cash Flow and Liquidity Risk
The current cash position and short-to-medium term cash flow forecasts are prepared and reviewed on a weekly basis to mitigate cash flow risks and predict any borrowing requirements. The liquidity risk is mitigated by matching payments from customers with the cash outflows on projects and support functions, along with the regular review of the overall working capital position.
Key performance indicators
The ongoing financial performance and financial position of the company are closely monitored through a series of key performance indicators which focus on project performance by site, sector, turnover, gross profit and net cash balances. All of these are monitored and were reviewed by the senior management team during the year under review. On turnover of £25.1m (2022 - £14.5m), the gross margin was £6.8m, 27.0% (2022 – £3.7m, 25.6%) and at the year end, there was a cash balance of £1.0m (2022 - £0.4m) and a loan balance of £Nil (2022 - £0.3m).
Mr C Norman
Director
14 November 2023
SOUTHAMPTON MARINE SERVICES LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 30 JUNE 2023
- 3 -
The directors present their annual report and financial statements for the year ended 30 June 2023.
Principal activities
The principal activity of the company continued to be the provision of marine engineering services.
Results and dividends
The results for the year are set out on page 8.
Ordinary dividends were paid amounting to £1,818,500. The directors do not recommend payment of a final dividend.
Directors
The directors who held office during the year and up to the date of signature of the financial statements were as follows:
Mr P Morton
(Resigned 1 August 2022)
Mr C Norman
Mr N J Warren
(Appointed 1 August 2022)
Auditor
The auditor, Alliott Wingham Limited, is deemed to be reappointed under section 487(2) of the Companies Act 2006.
Statement of directors' responsibilities
The directors are responsible for preparing the annual 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 then apply them consistently;
make judgements and accounting estimates that are reasonable and prudent;
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.
Statement of disclosure to auditor
So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the company’s auditor is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the company’s auditor is aware of that information.
Medium-sized companies exemption
This report has been prepared in accordance with the provisions applicable to companies entitled to the medium-sized companies exemption.
SOUTHAMPTON MARINE SERVICES LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
- 4 -
On behalf of the board
Mr C Norman
Director
14 November 2023
SOUTHAMPTON MARINE SERVICES LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF SOUTHAMPTON MARINE SERVICES LIMITED
- 5 -
Opinion
We have audited the financial statements of Southampton Marine Services Limited (the 'company') for the year ended 30 June 2023 which comprise the profit and loss account, the statement of comprehensive income, the balance sheet, the statement of changes in equity, the statement of cash flows and notes to the financial statements, including 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 30 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.
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's 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.
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 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 our audit:
the information given in the strategic report and the directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the strategic report and the directors' report have been prepared in accordance with applicable legal requirements.
SOUTHAMPTON MARINE SERVICES LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF SOUTHAMPTON MARINE SERVICES LIMITED
- 6 -
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 directors' report.
We have nothing to report in respect of the following matters in relation to which 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 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 directors' responsibilities statement, 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.
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.
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 frameworks which are directly relevant to specific assertions in the financial statements are those that relate to the reporting framework, the Companies Act 2006, and the relevant tax compliance regulations.
- We considered provisions of other laws and regulations that do not have direct effect on the financial statements but compliance with which may be fundamental to the Company's ability to operate. These include compliance Money Laundering Regulations 2007 and Proceeds of Crime Act, and the Data Protection Act.
- We understood how the Company is complying with those frameworks by making enquiries of management and those responsible for legal and compliance procedures. We corroborated our enquiries through a review of board minutes.
- We assessed the susceptibility of the Company's financial statements to material misstatement, including how fraud might occur, by meeting with management within the group to understand where they considered there was a susceptibility to fraud.
- Our audit planning identified fraud risks in relation to management override of controls and income recognition. We considered the processes and controls that the Company has established address risks identified, or that otherwise prevent, deter and detect fraud; and how management monitors those processes and controls.
SOUTHAMPTON MARINE SERVICES LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF SOUTHAMPTON MARINE SERVICES LIMITED
- 7 -
- We designed our audit procedures to detect irregularities, including fraud. Our procedures include journal entry testing, with a focus on large or unusual transactions based on our knowledge of the business; enquiries with relevant parties. Third party correspondence review was also carried out with the Company's legal representatives to audit the completeness of any claims and legal matters made available to us.
Our audit procedures were designed to respond to risks of material misstatement in the financial statements, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery, misrepresentations or through collusion. There are inherent limitations in the audit procedures performed and the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we are to become aware of it.
A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's 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.
Mark Nolan FCA
Senior Statutory Auditor
For and on behalf of Alliott Wingham Limited
14 November 2023
Chartered Accountants
Statutory Auditor
Kintyre House
70 High Street
Fareham
Hants
PO16 7BB
SOUTHAMPTON MARINE SERVICES LIMITED
PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 30 JUNE 2023
- 8 -
2023
2022
Notes
£
£
Turnover
3
25,140,205
14,475,850
Cost of sales
(18,365,546)
(10,772,462)
Gross profit
6,774,659
3,703,388
Administrative expenses
(3,637,272)
(2,976,663)
Other operating income
16,883
Operating profit
4
3,137,387
743,608
Interest receivable and similar income
8
15
Interest payable and similar expenses
9
(6,062)
(10,987)
Profit before taxation
3,131,325
732,636
Tax on profit
10
(680,265)
(68,239)
Profit for the financial year
2,451,060
664,397
SOUTHAMPTON MARINE SERVICES LIMITED
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 30 JUNE 2023
- 9 -
2023
2022
£
£
Profit for the year
2,451,060
664,397
Other comprehensive income
-
-
Total comprehensive income for the year
2,451,060
664,397
SOUTHAMPTON MARINE SERVICES LIMITED
BALANCE SHEET
- 10 -
2023
2022
Notes
£
£
£
£
Fixed assets
Goodwill
12
135,649
174,128
Other intangible assets
12
3
3
Total intangible assets
135,652
174,131
Tangible assets
13
711,525
636,548
Investments
14
100
100
847,277
810,779
Current assets
Stocks
16
1,077,358
2,440,530
Debtors
17
3,427,056
3,212,462
Cash at bank and in hand
1,040,357
358,524
5,544,771
6,011,516
Creditors: amounts falling due within one year
18
(5,038,364)
(6,157,172)
Net current assets/(liabilities)
506,407
(145,656)
Total assets less current liabilities
1,353,684
665,123
Provisions for liabilities
Deferred tax liability
20
161,186
105,185
(161,186)
(105,185)
Net assets
1,192,498
559,938
Capital and reserves
Called up share capital
22
100
100
Profit and loss reserves
1,192,398
559,838
Total equity
1,192,498
559,938
These financial statements have been prepared in accordance with the provisions relating to medium-sized companies.true
The financial statements were approved by the board of directors and authorised for issue on 14 November 2023 and are signed on its behalf by:
Mr C Norman
Director
Company registration number 10111491 (England and Wales)
SOUTHAMPTON MARINE SERVICES LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 30 JUNE 2023
- 11 -
Share capital
Profit and loss reserves
Total
Notes
£
£
£
Balance at 1 July 2021
100
(104,559)
(104,459)
Year ended 30 June 2022:
Profit and total comprehensive income
-
664,397
664,397
Balance at 30 June 2022
100
559,838
559,938
Year ended 30 June 2023:
Profit and total comprehensive income
-
2,451,060
2,451,060
Dividends
11
-
(1,818,500)
(1,818,500)
Balance at 30 June 2023
100
1,192,398
1,192,498
SOUTHAMPTON MARINE SERVICES LIMITED
STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 30 JUNE 2023
- 12 -
2023
2022
Notes
£
£
£
£
Cash flows from operating activities
Cash generated from operations
29
2,962,075
1,006,532
Interest paid
(6,062)
(10,987)
Net cash inflow from operating activities
2,956,013
995,545
Investing activities
Purchase of tangible fixed assets
(210,332)
(301,642)
Proceeds from disposal of tangible fixed assets
4,652
11,609
Interest received
15
Net cash used in investing activities
(205,680)
(290,018)
Financing activities
Repayment of borrowings
(250,000)
(1,250,000)
Dividends paid
(1,818,500)
Net cash used in financing activities
(2,068,500)
(1,250,000)
Net increase/(decrease) in cash and cash equivalents
681,833
(544,473)
Cash and cash equivalents at beginning of year
358,524
902,997
Cash and cash equivalents at end of year
1,040,357
358,524
SOUTHAMPTON MARINE SERVICES LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 JUNE 2023
- 13 -
1
Accounting policies
Company information
Southampton Marine Services Limited is a private company limited by shares incorporated in England and Wales. The registered office is Kintyre House, 70 High Street, Fareham, Hampshire, United Kingdom, PO16 7BB.
1.1
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.
The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
The company has taken advantage of the exemption under section 400 of the Companies Act 2006 not to prepare consolidated accounts. The financial statements present information about the company as an individual entity and not about its group.
Southampton Marine Services Limited is a wholly owned subsidiary of Marine Services Top Co Limited and the results of Southampton Marine Services Limited are included in the consolidated financial statements of Marine Services Top Co Limited which are available from Companies House.
1.2
Turnover
Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.
Revenue is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer, the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.
Revenue from contracts for the provision of professional services is recognised by reference to the stage of completion when the stage of completion, costs incurred and costs to complete can be estimated reliably. The stage of completion is calculated by comparing costs incurred, mainly in relation to contractual hourly staff rates and materials, as a proportion of total costs. Where the outcome cannot be estimated reliably, revenue is recognised only to the extent of the expenses recognised that it is probable will be recovered.
1.3
Intangible fixed assets - goodwill
Goodwill represents the excess of the cost of acquisition of unincorporated businesses over the fair value of net assets acquired. It is initially recognised as an asset at cost and is subsequently measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is considered to have a finite useful life and is amortised on a systematic basis over its expected life, which is 10 years.
For the purposes of impairment testing, goodwill is allocated to the cash-generating units expected to benefit from the acquisition. Cash-generating units to which goodwill has been allocated are tested for impairment at least annually, or more frequently when there is an indication that the unit may be impaired. If the recoverable amount of the cash-generating unit is less than the carrying amount of the unit, the impairment loss is allocated first to reduce the carrying amount of any goodwill allocated to the unit and then to the other assets of the unit pro-rata on the basis of the carrying amount of each asset in the unit.
SOUTHAMPTON MARINE SERVICES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
1
Accounting policies
(Continued)
- 14 -
1.4
Intangible fixed assets other than goodwill
Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.
Intangible assets acquired on business combinations are recognised separately from goodwill at the acquisition date where it is probable that the expected future economic benefits that are attributable to the asset will flow to the entity and the fair value of the asset can be measured reliably; the intangible asset arises from contractual or other legal rights; and the intangible asset is separable from the entity.
Amortisation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Intangible Asset
Nil
1.5
Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Plant and equipment
15% reducing balance
Fixtures and fittings
25% reducing balance
Motor vehicles
25% reducing balance
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.
1.6
Fixed asset investments
Interests in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses. The investments are assessed for impairment at each reporting date and any impairment losses or reversals of impairment losses are recognised immediately in profit or loss.
A subsidiary is an entity controlled by the company. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.
1.7
Impairment of fixed assets
At each reporting period end date, the company reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.
Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.
If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.
SOUTHAMPTON MARINE SERVICES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
1
Accounting policies
(Continued)
- 15 -
Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.
1.8
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition.
Stocks held for distribution at no or nominal consideration are measured at the lower of cost and replacement cost, adjusted where applicable for any loss of service potential.
At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.
1.9
Cash and cash equivalents
Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.10
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Other financial assets
Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.
SOUTHAMPTON MARINE SERVICES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
1
Accounting policies
(Continued)
- 16 -
Impairment of financial assets
Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.
Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.
If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.
Derecognition of financial assets
Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.
Classification of financial liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.
Basic financial liabilities
Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
Other financial liabilities
Derivatives, including interest rate swaps and forward foreign exchange contracts, are not basic financial instruments. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss in finance costs or finance income as appropriate, unless hedge accounting is applied and the hedge is a cash flow hedge.
Debt instruments that do not meet the conditions in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. Debt instruments may be designated as being measured at fair value through profit or loss to eliminate or reduce an accounting mismatch or if the instruments are measured and their performance evaluated on a fair value basis in accordance with a documented risk management or investment strategy.
SOUTHAMPTON MARINE SERVICES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
1
Accounting policies
(Continued)
- 17 -
Derecognition of financial liabilities
Financial liabilities are derecognised when the company’s contractual obligations expire or are discharged or cancelled.
1.11
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
1.12
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
Deferred tax
Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.
The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.
1.13
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
1.14
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.15
Leases
Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.
SOUTHAMPTON MARINE SERVICES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
1
Accounting policies
(Continued)
- 18 -
1.16
Government grants
Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.
Government grants relating to turnover are recognised as income over the periods when the related costs are incurred. Grants relating to an asset are recognised in income systematically over the asset's expected useful life. If part of such a grant is deferred it is recognised as deferred income rather than being deducted from the asset's carrying amount.
1.17
Foreign exchange
Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.
SOUTHAMPTON MARINE SERVICES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
- 19 -
2
Judgements and key sources of estimation uncertainty
In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
Critical judgements
The following judgements (apart from those involving estimates) have had the most significant effect on amounts recognised in the financial statements.
Tangible fixed assets
Determining the useful life of assets and whether the depreciation rates remain appropriate. Also determining whether there are indicators of impairment of the company's tangible assets. Factors taken into consideration in reaching such a decision include the economic viability and expected future financial performance of the asset..
Bad debt provision
Determining whether or not a trade debtor balance is recoverable or not. Factors taken into consideration include looking at historical time frame for customer to settle their debt and whether this is unusual or not, financial stability of the customer and discussions with the customer themselves to ascertain a timescale on when payment will be made and agreeing payment plans where appropriate.
Revenue recognition
Determining the stage of completion requires judgement of the projects underway at the reporting date. Experience built up over years in the industry help the group to determine the stage of completion with a degree of confidence.
However, sometimes it isn't possible to accurately determine the stage of completion on a project and so the team made a decision to only recognise to the extent of costs incurred to date.
Goodwill
Determining the useful life of the asset acquired and whether the amortisation rate remains appropriate. Also determining whether there are indicators of impairment. Factors taken into consideration in reaching such a decision include reviewing the financial performance of subsidiaries acquired and whether they are generating the levels of profits expected, including factored in growth, from when they were acquired. This includes performance achieved to date along with the expected future performance of the subsidiaries.
SOUTHAMPTON MARINE SERVICES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
2
Judgements and key sources of estimation uncertainty
(Continued)
- 20 -
Key sources of estimation uncertainty
The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.
Tangible fixed assets
Tangible fixed assets are depreciated over their useful lives taking into account residual values, where appropriate. The actual lives of the assets and residual values are assessed annually and may vary depending on a number of factors. In re-assessing asset lives, factors such as technological innovation, product life cycles and maintenance programmes are taken into account. Residual value assessments consider issues such as future market conditions, the remaining life of the asset and projected disposal values.
Goodwill
Goodwill is amortised over the useful life of the expected benefits to be achieved from the subsidiaries acquired. The actual lives of the assets and residual values are assessed annually and may vary depending on a number of factors. In re-assessing asset lives, factors such as technological innovation with each subsidiaries industry and the subsidiary’s ability to generate cash for the group are taken into account.
Provision for onerous contracts
Provisions for onerous contracts are calculated by estimating the costs of certain projects based on the works still to be carried out under obligation of the contract and offset against the benefits due to be derived from those contracts.
3
Turnover and other revenue
2023
2022
£
£
Turnover analysed by class of business
Marine engineering, building and refit services
25,140,205
14,475,850
2023
2022
£
£
Turnover analysed by geographical market
UK
24,665,711
12,621,599
Europe
230,958
1,186,586
Rest of the world
243,536
667,665
25,140,205
14,475,850
2023
2022
£
£
Other revenue
Interest income
-
15
Grants received
-
15,536
SOUTHAMPTON MARINE SERVICES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
- 21 -
4
Operating profit
2023
2022
Operating profit for the year is stated after charging/(crediting):
£
£
Exchange gains
(2,047)
(1,272)
Government grants
-
(15,536)
Fees payable to the company's auditor for the audit of the company's financial statements
9,000
9,000
Depreciation of owned tangible fixed assets
134,849
98,248
Profit on disposal of tangible fixed assets
(4,146)
(5,428)
Amortisation of intangible assets
38,479
38,478
Operating lease charges
501,445
395,188
5
Auditor's remuneration
2023
2022
Fees payable to the company's auditor and associates:
£
£
For audit services
Audit of the financial statements of the company
9,000
9,000
6
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2023
2022
Number
Number
Directors
2
2
Direct Staff
72
55
Admin
13
16
Total
87
73
Their aggregate remuneration comprised:
2023
2022
£
£
Wages and salaries
4,272,881
3,585,888
Social security costs
10,436
20,677
Pension costs
61,367
70,923
4,344,684
3,677,488
SOUTHAMPTON MARINE SERVICES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
- 22 -
7
Directors' remuneration
2023
2022
£
£
Remuneration for qualifying services
90,342
156,250
Company pension contributions to defined contribution schemes
7,620
12,750
97,962
169,000
The number of directors for whom retirement benefits are accruing under defined contribution schemes amounted to 1 (2022 - 1).
8
Interest receivable and similar income
2023
2022
£
£
Interest income
Other interest income
15
9
Interest payable and similar expenses
2023
2022
£
£
Other finance costs:
Other interest
6,062
10,987
10
Taxation
2023
2022
£
£
Current tax
UK corporation tax on profits for the current period
493,366
3
Deferred tax
Origination and reversal of timing differences
186,899
68,236
Total tax charge
680,265
68,239
SOUTHAMPTON MARINE SERVICES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
10
Taxation
(Continued)
- 23 -
The actual charge for the year can be reconciled to the expected charge for the year based on the profit or loss and the standard rate of tax as follows:
2023
2022
£
£
Profit before taxation
3,131,325
732,636
Expected tax charge based on the standard rate of corporation tax in the UK of 20.50% (2022: 19.00%)
641,922
139,201
Tax effect of expenses that are not deductible in determining taxable profit
5,554
6,032
Effect of change in corporation tax rate
26,884
Amortisation on assets not qualifying for tax allowances
7,888
7,311
Research and development tax credit
(78,722)
Deferred tax adjustments in respect of prior years
(2,093)
Enhanced allowances
(1,983)
(3,490)
Taxation charge for the year
680,265
68,239
11
Dividends
2023
2022
£
£
Interim paid
1,818,500
12
Intangible fixed assets
Goodwill
Intangible Asset
Total
£
£
£
Cost
At 1 July 2022 and 30 June 2023
384,779
3
384,782
Amortisation and impairment
At 1 July 2022
210,651
210,651
Amortisation charged for the year
38,479
38,479
At 30 June 2023
249,130
249,130
Carrying amount
At 30 June 2023
135,649
3
135,652
At 30 June 2022
174,128
3
174,131
SOUTHAMPTON MARINE SERVICES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
- 24 -
13
Tangible fixed assets
Plant and equipment
Fixtures and fittings
Motor vehicles
Total
£
£
£
£
Cost
At 1 July 2022
527,771
20,823
394,254
942,848
Additions
65,990
10,201
134,141
210,332
Disposals
(2,058)
(2,058)
At 30 June 2023
593,761
31,024
526,337
1,151,122
Depreciation and impairment
At 1 July 2022
192,489
4,902
108,909
306,300
Depreciation charged in the year
53,174
4,538
77,137
134,849
Eliminated in respect of disposals
(1,552)
(1,552)
At 30 June 2023
245,663
9,440
184,494
439,597
Carrying amount
At 30 June 2023
348,098
21,584
341,843
711,525
At 30 June 2022
335,282
15,921
285,345
636,548
14
Fixed asset investments
2023
2022
Notes
£
£
Investments in subsidiaries
15
100
100
15
Subsidiaries
Name of undertaking
Registered office
Class of
% Held
shares held
Direct
SMS Lowestoft Limited
England and Wales
Ordinary
100.00
16
Stocks
2023
2022
£
£
Work in progress
1,077,358
2,440,530
SOUTHAMPTON MARINE SERVICES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
- 25 -
17
Debtors
2023
2022
Amounts falling due within one year:
£
£
Trade debtors
2,906,223
2,719,248
Other debtors
27,543
20,784
Prepayments and accrued income
493,290
341,532
3,427,056
3,081,564
Deferred tax asset (note 20)
130,898
3,427,056
3,212,462
18
Creditors: amounts falling due within one year
2023
2022
Notes
£
£
Other borrowings
19
250,000
Trade creditors
1,370,064
1,370,689
Amounts owed to group undertakings
700,000
Corporation tax
493,369
3
Other taxation and social security
135,520
399,607
Other creditors
1,877,555
3,722,305
Accruals and deferred income
461,856
414,568
5,038,364
6,157,172
19
Loans and overdrafts
2023
2022
£
£
Other loans
250,000
Payable within one year
250,000
SOUTHAMPTON MARINE SERVICES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
- 26 -
20
Deferred taxation
The following are the major deferred tax liabilities and assets recognised by the company and movements thereon:
Liabilities
Liabilities
Assets
Assets
2023
2022
2023
2022
Balances:
£
£
£
£
Accelerated capital allowances
161,186
105,185
-
-
Tax losses
-
-
-
130,898
161,186
105,185
-
130,898
2023
Movements in the year:
£
Asset at 1 July 2022
(25,713)
Charge to profit or loss
186,899
Liability at 30 June 2023
161,186
21
Retirement benefit schemes
2023
2022
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
61,367
70,923
The company operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the company in an independently administered fund.
22
Share capital
2023
2022
2023
2022
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary of £1 each
100
100
100
100
Each share has full rights in the company with respect to voting, dividends and distributions.
SOUTHAMPTON MARINE SERVICES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
- 27 -
23
Security
A fixed and floating charge exists over the assets of Southampton Marine Services in respect of two long- term loans advanced to the parent company, Marine Services TopCo Limited, by Santander Bank PLC. The loans have a repayment term of four years, of which three years remain. All repayments have been made on time by Marine Services Top Co Limited to date.
A cross- company guarantee has also been entered into by all group companies to guarantee all sums due to Santander under the terms of the loans.
24
Operating lease commitments
Lessee
At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:
2023
2022
£
£
Within one year
495,877
391,352
Between two and five years
1,623,298
793,383
In over five years
481,250
894,550
2,600,425
2,079,285
25
Events after the reporting date
The company is currently in negotiations with the landlord at its Dover site regarding a lease extension for the premises. This is expected to be three years in duration and for an annual rent of £16,200 (amount could change).
Therefore, nothing is committed to at the time of signing this report and so the future lease commitment note above does not contain any figures in relation to Dover beyond the end of the existing lease term (October 2023). Negotiations are expected to conclude shortly.
26
Related party transactions
Transactions with related parties
During the year the company entered into the following transactions with related parties:
Services provided
Goods & services received
2023
2022
2023
2022
£
£
£
£
Other related parties
54,696
3,575
42,622
255,883
SOUTHAMPTON MARINE SERVICES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
26
Related party transactions
(Continued)
- 28 -
Allied Developments Ltd, a company Mr P Morton is also a director of, provided services during the year amounting to £Nil (2022: £47,400). At the reporting date £Nil (2022: £4,740) was owed to them.
Global Services (Europe) Ltd, a company Mr P Morton is also a director of, provided goods & services during the year amounting to £21,330 (2022: £184,442). At the reporting date, £Nil (2022: £Nil) was owed to them.
Wight Shipyard Co Limited, a company Mr P Morton is also a director of, provided services during the year amounting to £21,292 (2022: £22,741). At the reporting date, £Nil (2022: £2,461) was owed to them.
The following amounts were outstanding at the reporting end date:
2023
2022
Amounts due to related parties
£
£
Other related parties
-
7,201
The following amounts were outstanding at the reporting end date:
2023
2022
Amounts due from related parties
£
£
Other related parties
3,261
2,010
Global Services (Europe) Ltd, a company Mr P Morton is also a director of, were provided with services during the year amounting to £23,439. (2022: £3,575). At the reporting date, they owed £3,261 (2022: £2,010)
Wight Shipyard Company Ltd, a company Mr P Morton is also a director of, were provided with services during the year amounting to £31,257. (2022: £Nil). At the reporting date, they owed £Nil (2022: £Nil)
Other information
The company has also taken advantage of the exemption under FRS 102.33.1A :
"Disclosures need not be given of transactions entered into between two or more members of a group, provided that any subsidiary which is a party to the transaction is wholly owned by such a member."
27
Directors' transactions
Description
% Rate
Opening balance
Amounts advanced
Amounts repaid
Closing balance
£
£
£
£
Mr C Norman -
-
-
108
(108)
-
Mr N J Warren -
-
-
7,286
(6,782)
504
-
7,394
(6,890)
504
The directors incurred expenses out of their own pocket during the year and have been re-imbursed on a monthly basis. At the reporting date, £504 was owed to Mr N Warren.
SOUTHAMPTON MARINE SERVICES LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 30 JUNE 2023
- 29 -
28
Ultimate controlling party
From 1 August 2022. the parent company is Marine Services Top Co Limited, a company registered in England and Wales. Marine Services Top Co Limited prepare consolidated financial statements, which include the results of Southampton Marine Services Limited (from the date of acquisition). These are available from their registered office which is Kintyre House, 70 High Street, Fareham, PO16 7BB.
From 1 August 2022, the ultimate controlling party is Mr C Norman.
Previously, there was no ultimate controlling party.
29
Cash generated from operations
2023
2022
£
£
Profit for the year after tax
2,451,060
664,397
Adjustments for:
Taxation charged
680,265
68,239
Finance costs
6,062
10,987
Investment income
(15)
Gain on disposal of tangible fixed assets
(4,146)
(5,428)
Amortisation and impairment of intangible assets
38,479
38,478
Depreciation and impairment of tangible fixed assets
134,849
98,248
Movements in working capital:
Decrease/(increase) in stocks
1,363,172
(2,006,247)
Increase in debtors
(345,492)
(1,165,653)
(Decrease)/increase in creditors
(1,362,174)
3,303,526
Cash generated from operations
2,962,075
1,006,532
30
Analysis of changes in net funds
1 July 2022
Cash flows
30 June 2023
£
£
£
Cash at bank and in hand
358,524
681,833
1,040,357
Borrowings excluding overdrafts
(250,000)
250,000
-
108,524
931,833
1,040,357
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