REGISTERED NUMBER: 00793018 (England and Wales) |
MOULTON BULB COMPANY LIMITED |
GROUP STRATEGIC REPORT, |
REPORT OF THE DIRECTORS AND |
CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
REGISTERED NUMBER: 00793018 (England and Wales) |
MOULTON BULB COMPANY LIMITED |
GROUP STRATEGIC REPORT, |
REPORT OF THE DIRECTORS AND |
CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
MOULTON BULB COMPANY LIMITED (REGISTERED NUMBER: 00793018) |
CONTENTS OF THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
Page |
Company Information | 1 |
Group Strategic Report | 2 | to | 4 |
Report of the Directors | 5 | to | 7 |
Report of the Independent Auditors | 8 | to | 10 |
Consolidated Statement of Comprehensive Income | 11 |
Consolidated Statement of Financial Position | 12 |
Company Statement of Financial Position | 13 |
Consolidated Statement of Changes in Equity | 14 |
Company Statement of Changes in Equity | 15 |
Consolidated Statement of Cash Flows | 16 |
Notes to the Consolidated Financial Statements | 17 | to | 28 |
MOULTON BULB COMPANY LIMITED |
COMPANY INFORMATION |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Enterprise Way |
Pinchbeck |
Spalding |
Lincolnshire |
PE11 3YR |
MOULTON BULB COMPANY LIMITED (REGISTERED NUMBER: 00793018) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
The directors present their strategic report of the company and the group for the year ended 30 September 2023. |
REVIEW OF BUSINESS |
Adhering to our fundamental principles has demonstrated its efficacy with the reinstatement of a customer lost during the preceding fiscal period. Furthermore, we successfully secured additional business towards the close of the year, contributing to the expansion of our overall volume and enhancing our capacity to efficiently manage the substantial overhead expenses inherent in operating a professional fresh produce business. This growth has placed strain on both our supply chain and growing operation, necessitating further investments and collaborative efforts with growing partners to fortify our capabilities for future expansion. |
The group strives to increase volume and turnover whist maintaining or reducing controllable operating costs. |
Turnover increased by 22% to £69.4m which was largely a reflection of both cost inflation and additional business. Operating profit rose from a £277k loss to £1.6m profit, 2.3% of sales. |
PRINCIPAL RISKS AND UNCERTAINTIES |
The key fundamental risk to the business is the loss of a significant part of its turnover with retail customers alongside the willingness of our growers to grow the crops due to less than favourable returns and the high risks of growing onions. However, with the spread of customers, now more even than ever, that risk is minimised. Product quality, safety and legality are paramount along with a sustainable and cost-effective offer. The core values of the business are shared among all employees and working collaboratively with the grower base ensures the supply chain is working towards the same goals. |
As a fresh produce supplier, the profitability of Moulton Bulb Company Limited is influenced by the quality of the raw material. This is significantly influenced by extreme weather conditions along with ever tighter regulations around pesticide and herbicide use. The group mitigates these influences through the application of a variety of management tools including supply contracts, purchasing to stock and national and international sourcing along with nurturing close working relationships with key suppliers. Maintaining the high degree of respect and delight from the group's customers and suppliers is key to growing the business and mitigating risk. By packing and processing a comprehensive range of alliums and delivering better quality, value and service than anyone else, the group will be able to continue to grow. |
MOULTON BULB COMPANY LIMITED (REGISTERED NUMBER: 00793018) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
SECTION 172(1) STATEMENT |
As the Board at Moulton Bulb Co. Ltd, we have a legal responsibility under section 172 of the Companies Act 2006 to act in the way we consider, in good faith, would be most likely to promote the group's success for the benefit of its members as a whole, and to have regard to the long-term effect of our decisions on the group and its stakeholders. This statement addresses the ways in which we as a Board outwork this responsibility. |
Decision Making at the Board |
All matters under the group's governance are reserved for decision by the Directors and presented at Board meetings. Directors are briefed on any potential impact or risk for our stakeholders. The Directors take these factors into consideration before making a final decision which they believe to be in the best interests of the group and its stakeholders. |
Long Term Sustainability |
The long term sustainability of the group is at the forefront of any decision making process. We aim to make sufficient profit to sustain our commercial viability. This is balanced against the needs of our customers, employees, suppliers and other stakeholders to ensure our business operates with integrity. |
Stakeholders |
Our key stakeholders are our employees, who are essential to the success of the business. We concentrate on building long term relationships with our customers whom we work in partnership with. Other key stakeholders are our growers and suppliers who we purchase goods and services from, the community in which we operate and the wider environment. |
Our Employees |
In order to remain competitive, we strive to ensure our processes are as mechanised as possible. However many areas of our business are still labour intensive and so we rely heavily on our dedicated workforce. We have a great reputation for delivering on our promises and having a high level of flexibility and our team help deliver these promises. |
We engage with our team in the following ways: |
- | We set our remuneration at rates comparable to other local businesses within our sector |
- | Salaried staff are all entitled to take part in the company discretionary bonus scheme |
- | Training and career development for all levels |
- | Access to our internal social media platform for all team members, providing multidirectional communication. |
Customers |
Long term relationships are developed with all customers. Our account management team develop strong bonds with buyers across all customers to ensure maximum customer satisfaction. Our long-term approach and continued investment and innovation give our customers confidence that we can deliver year on year. Customer performance is reviewed regularly by the Directors. |
Our Growers and Suppliers |
We work closely with our growers and suppliers. Suppliers and growers are audited against industry and internal technical and ethical standards and measures have been taken to prevent modern slavery and human trafficking among our supply base. |
Our Community |
We are a local, family run business and take our impact on the local community very seriously. Extra care is taken to ensure minimal disturbance in relation to noise and traffic. All hauliers are instructed to use alternative routes to site rather than though the local village for example. |
We have sponsored local sports teams and provided financial backing for local projects. |
Our Environment |
Our values talk about being outstanding and to nurture. These values uphold our responsibility to the wider environment. We are constantly looking to reduce our environmental impact with initiatives such as packaging and carbon reduction. |
MOULTON BULB COMPANY LIMITED (REGISTERED NUMBER: 00793018) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
FINANCIAL KEY PERFORMANCE INDICATORS |
The key performance indicators of the business which are monitored through the production of periodic management accounts as follows: |
2023 | 2022 |
Turnover | £69.4m | £57.0m |
Turnover movement year on year | 22% | (7%) |
Gross profit | £5.4m | £1.9m |
Gross profit - % of sales | 7.81% | 3.36% |
Operating profit/(loss) | £1.6m | (£277k) |
ON BEHALF OF THE BOARD: |
MOULTON BULB COMPANY LIMITED (REGISTERED NUMBER: 00793018) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
The directors present their report with the financial statements of the company and the group for the year ended 30 September 2023. |
PRINCIPAL ACTIVITY |
The principal activities of the group consist of the parent company engaged in the sourcing, packing, processing and selling of onions and a subsidiary engaged in the wholesaling of imported fresh produce. |
DIVIDENDS |
No dividends will be distributed for the year ended 30 September 2023. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 October 2022 to the date of this report. |
FINANCIAL INSTRUMENTS |
The majority of the Group's sales are in Pounds Sterling with the remainder being in Euros. The Group sources produce from around the world, with some of the payments in currencies other than sterling being in US Dollars and Euros. The Group is therefore exposed to movements in the exchange rates between Sterling and these currencies. Forward contracts and options on currency purchases are taken out to manage this exposure where this is deemed necessary. |
The group's credit risk is primarily attributable to its trade debtors. As the majority of the Group's sales are to the UK's major supermarkets, the risk of default is not considered to be high. Credit risk on these accounts is managed by monitoring payments against contractual agreements and by running strict credit control procedures. In relation to the smaller customers that the Group serves, the risk is managed by the holding of credit insurance in addition to strict credit control procedures. |
The Group's operations are financed by a mixture of retained profits, bank loans, loans from directors and loans from the parent company directors pension scheme. |
DISABLED PERSONS |
The Group will employ disabled persons when they appear to be suitable for a particular vacancy and every effort is made to ensure that they are given full and fair consideration when such vacancies arise. There is a training scheme in operation so that employees who have been injured or disabled in the course of their employment can, where possible, continue in employment with the Group. The Group operates a progressive system for career development and progression which is available to all employees. |
EMPLOYEE INVOLVEMENT |
The Group encourages the involvement of its employees in its management through regular meetings of the site consultative teams which have responsibility for the dissemination of information of particular concern to employees and for receiving their views on important matters of policy. |
STREAMLINED ENERGY AND CARBON REPORTING |
Onions and shallots are cured in an artificially created controlled environment to replicate nature. This is done to produce a more consistent saleable product. Cold storage is further used to prolong the life of the bulbs to maintain product quality throughout life and to help reduce the need for imported product from foreign countries. The curing and cold storage processes can have a significant impact on the amount of primary energy consumed on our site (electricity and LPG). Weather conditions (dry/wet/warm/cold) can all effect how the onion stores operate and the amount of primary energy required. If the strict protocols for curing and cold storage are not followed it could impact on raw material quality and availability at a later stage. |
During the year, the group's annual quantity of energy consumed 8,994,833kWh (3.45% decrease YoY). This can be broken down as follows: 8,309,480kWh (-563,882kWh) relating to electricity consumption and 685,353kWh (241,552kWh) relating to direct transport energy consumption (54.42% increase than YoY). Electrical energy usage reduced in the main due to no longer running a night shift and the continued energy saving initiatives rolled out through the business. Direct transport energy increased significantly as fuel cards had not been originally factored into the business energy mix. |
MOULTON BULB COMPANY LIMITED (REGISTERED NUMBER: 00793018) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
In the period covered by the report and in line with identified key performance indicators, Moulton Bulb Company Ltd. has introduced a programme of energy efficiency measures across our site designed to reduce energy consumption and improve energy efficiency. |
The following intensity ratios that incorporate Scope 1, 2 and 3 have been used for carbon reporting: |
- | Tonne CO2/kg prepared product |
- | Tonne CO2/kg pallets shipped |
2022/2023 have both seen an increase in the intensity ratios reported by the business: |
Tonne CO2/kg prepared product. |
2021/2022 Efficiency/T Sold Product = 0.063 tCO2e / T Produce MB. |
2022/2023 Efficiency/T Sold Product = 0.043 tCO2e / T Produce MB. Decrease of 31.75% |
Decrease YoY in tCO2e / T prepared product explanation: |
1) Disbanding of night shift production |
2) Continuation of energy efficient measures being implemented through site such as EC fans in finished product cold stores and the retro fitting of variable speed compressors and electronic expansion valves to long term refrigerated stores. |
3) Supply of finished product to some customers working on a consolidator model. Less distance travelled by finished product to the consolidator than it would have been to depot. |
4) Market based reporting and the carbon offsetting of LPG usage within the business. |
5) Fugitive F-gas emissions significantly reduced in the reporting year. |
Tonne CO2/kg pallets shipped |
2021/2022 0.026 tCO2e / pallets shipped. |
2022/2023 0.016 tCO2e / pallets shipped. Decrease of 38.46% |
Scope 1 & 2 CO2e emissions |
Overall, Scope 1 & 2 tCO2e emissions have decreased by 1,378 tCO2e (-42.11%) on the previous reporting year. The decrease in Scope 1 emissions is due to the significant reduction in fugitive refrigeration leaks from cold stores defined as under MBC direct operational control. Refrigeration gases have a significant global warming and tCO2e potential. In 2021/2022 fugitive refrigeration gas emissions contributed to 1,831 tCO2e and equated to 28% of site emissions produced in tCO2e. In 2022/2023 fugitive refrigeration gas emissions contributed to 144 tCO2e (-1,687 tCO2e) and equated to 5% of site emissions produced. The businesses will continue to focus on the replacement of F-gases which have the potential to attribute for higher tCO2e to help mitigate exposure to fugitive emissions. |
The business carbon emissions can be greatly affected by the climatic conditions at harvest or during storage, both of which can have a significant impact on our primary fuel usage. As a result, scope 1 emissions can be quite volatile. |
Scope 2 emissions are market based. MBC purchased electricity is sourced from REGO backed contracts. Offsite rented storage that is seen as under MBC direct operational control is not REGO backed and the scope 2 emissions equate to 336 tCO2e of MBC total emissions. |
Scope 3 Emissions |
Moulton Bulb Company Ltd. is already calculating haulage out emissions. For 2023 we have started to capture further Scope 3 emissions: |
- Goods in haulage emissions |
- Waste out haulage (landfill, mixed recycling and onion waste) |
- Top 5 packaging suppliers haulage in emissions |
- Business travel mileage. |
Monitoring and targeting is used to report on these key performance indicators and is continually monitored by the business. |
These actions include, but are not limited to, a range of efficiency measures. Over the last year the following points have been projects have been implemented: |
- | Continued role out of LED lighting across site. Main lighting areas in production have been replaced with LED lighting and baton PIR sensors. In ancillary areas, failed lighting units are now to be replaced with LED units. |
- | Installation of demand side response software and hardware. |
- | All onsite long term onion storage refrigeration plants have been retro fitted with inverted drives and electronic expansion valves. |
MOULTON BULB COMPANY LIMITED (REGISTERED NUMBER: 00793018) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
- | Installing of EC fans in the main finished product coldstore to remove the existing AC fans which keep continual air circulation in the coldstore. These fans run 24 hours a day. |
- | Line start/stop processes engineered so common start stop points have been created. This is to avoid conveyor belts or parts of machines running at breaks or post shift due to be controlled separately to the main start/stop of the production line. |
- | Continued engagement with staff on Facebook Workplace Corporate and Social Responsibility group created to communicate CSR topics initiatives and to help engage with all employees onsite. |
During this reporting period, Moulton Bulb Company Ltd. has also produced 51,403 kWh of renewable energy in the form of solar photovoltaic. |
Moulton Bulb Company Ltd. continues to engage in the Climate Change Agreement and has undergone ESOS phase 3 and will use the energy efficient recommendations from this assessment to form the next energy efficiency projects the business undertakes. |
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Group Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations. |
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to: |
- | select suitable accounting policies and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- | state whether applicable accounting standards have been followed, subject to any material departures disclosed and explained in the financial statements; |
- | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group 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 the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the group's auditors are aware of that information. |
ON BEHALF OF THE BOARD: |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
MOULTON BULB COMPANY LIMITED |
Opinion |
We have audited the financial statements of Moulton Bulb Company Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 30 September 2023 which comprise the Consolidated Statement of Comprehensive Income, Consolidated Statement of Financial Position, Company Statement of Financial Position, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated 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 group's and of the parent company affairs as at 30 September 2023 and of the group's profit for the year then ended; |
- | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group 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 group's and the parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. |
Other information |
The directors are responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon. |
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. |
Opinions on other matters prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of the audit: |
- | the information given in the Group Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Group Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
MOULTON BULB COMPANY LIMITED |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Directors. |
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
- | adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the parent company financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of directors' remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page seven, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. |
In preparing the financial statements, the directors are responsible for assessing the group's and the parent 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 group or the parent company or to cease operations, or have no realistic alternative but to do so. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
MOULTON BULB COMPANY LIMITED |
Auditors' responsibilities for the audit of the financial statements |
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
We have identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our general commercial experience, knowledge of the sector, a review of regulatory and legal correspondence and through discussions with Directors and other management obtained as part of the work required by auditing standards. We have also discussed with the Directors and other management the policies and procedures relating to compliance with laws and regulations. We communicated laws and regulations throughout the team and remained alert to any indications of non-compliance throughout the audit. |
The potential impact of different laws and regulations varies considerably. Firstly, the company is subject to laws and regulations that directly impact the financial statements (for example financial reporting legislation) and we have assessed the extent of compliance with such laws as part of our financial statements audit. We evaluated management's incentives and opportunities for fraudulent manipulation of the financial statements (including risk of override of controls) and determined that the principal risks were related to management bias in accounting estimates and judgemental areas of the financial statements such as depreciation of fixed assets, as well as the risk of inappropriate journal entries to increase reported profitability. Audit procedures performed by the engagement team included the identification and testing of material and unusual journal entries and challenging management on key accounting estimates, assumptions and judgements made in the preparation of the financial statements. We carried out detailed substantive tests on accounting estimates, including reviewing the methods used by management to make those estimates, re-performing the calculation, and reviewing the outcome of prior year estimates. |
Secondly, the company is subject to other laws and regulations where the consequence for non-compliance could have a material effect on the amounts or disclosures in the financial statements. We identified the following areas as those most likely to have such an effect: Health and Safety regulations and Employment laws. Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the Directors and other management and inspection. Through these procedures, if we became aware of any non-compliance, we considered the impact on the procedures performed on the related financial statement items. |
Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. |
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
for and on behalf of |
Enterprise Way |
Pinchbeck |
Spalding |
Lincolnshire |
PE11 3YR |
MOULTON BULB COMPANY LIMITED (REGISTERED NUMBER: 00793018) |
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
TURNOVER | 3 | 69,409,224 | 57,061,973 |
Cost of sales | 63,988,275 | 55,144,628 |
GROSS PROFIT | 5,420,949 | 1,917,345 |
Administrative expenses | 3,790,881 | 2,205,798 |
1,630,068 | (288,453 | ) |
Other operating income | 14,494 | 11,854 |
OPERATING PROFIT/(LOSS) | 5 | 1,644,562 | (276,599 | ) |
Profit on sale of tangible |
fixed asset | 6 | 116,761 | - |
1,761,323 | (276,599 | ) |
Income from fixed asset investments | 62 | 62 |
Interest receivable and similar income | 2,511 | 126 |
2,573 | 188 |
1,763,896 | (276,411 | ) |
Interest payable and similar expenses | 7 | 280,654 | 165,990 |
PROFIT/(LOSS) BEFORE TAXATION | 1,483,242 | (442,401 | ) |
Tax on profit/(loss) | 8 | 412,934 | (74,975 | ) |
PROFIT/(LOSS) FOR THE FINANCIAL YEAR | ( |
) |
MOULTON BULB COMPANY LIMITED (REGISTERED NUMBER: 00793018) |
CONSOLIDATED STATEMENT OF FINANCIAL POSITION |
30 SEPTEMBER 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 10 | - | - |
Tangible assets | 11 | 7,640,010 | 8,037,819 |
Investments | 12 | - | - |
7,640,010 | 8,037,819 |
CURRENT ASSETS |
Stocks | 13 | 3,989,122 | 3,292,140 |
Debtors | 14 | 12,397,528 | 9,413,285 |
Investments | 15 | 806 | 806 |
Cash at bank and in hand | 1,244,821 | 938,251 |
17,632,277 | 13,644,482 |
CREDITORS |
Amounts falling due within one year | 16 | 11,566,020 | 9,205,574 |
NET CURRENT ASSETS | 6,066,257 | 4,438,908 |
TOTAL ASSETS LESS CURRENT LIABILITIES | 13,706,267 | 12,476,727 |
CREDITORS |
Amounts falling due after more than one year | 17 | (1,200,680 | ) | (1,415,001 | ) |
PROVISIONS FOR LIABILITIES | 22 | (722,577 | ) | (349,024 | ) |
NET ASSETS | 11,783,010 | 10,712,702 |
CAPITAL AND RESERVES |
Called up share capital | 23 | 650 | 650 |
Retained earnings | 11,782,360 | 10,712,052 |
SHAREHOLDERS' FUNDS | 11,783,010 | 10,712,702 |
The financial statements were approved by the Board of Directors and authorised for issue on 21 March 2024 and were signed on its behalf by: |
D J Grimwood - Director |
MOULTON BULB COMPANY LIMITED (REGISTERED NUMBER: 00793018) |
COMPANY STATEMENT OF FINANCIAL POSITION |
30 SEPTEMBER 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 10 |
Tangible assets | 11 |
Investments | 12 |
CURRENT ASSETS |
Stocks | 13 |
Debtors | 14 |
Investments | 15 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 16 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year | 17 | ( |
) | ( |
) |
PROVISIONS FOR LIABILITIES | 22 | ( |
) | ( |
) |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 23 |
Retained earnings |
SHAREHOLDERS' FUNDS |
Company's profit/(loss) for the financial year | 1,031,126 | (407,466 | ) |
The financial statements were approved by the Board of Directors and authorised for issue on |
MOULTON BULB COMPANY LIMITED (REGISTERED NUMBER: 00793018) |
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 October 2021 | 650 | 11,079,478 | 11,080,128 |
Changes in equity |
Total comprehensive income | - | (367,426 | ) | (367,426 | ) |
Balance at 30 September 2022 | 650 | 10,712,052 | 10,712,702 |
Changes in equity |
Total comprehensive income | - | 1,070,308 | 1,070,308 |
Balance at 30 September 2023 | 650 | 11,782,360 | 11,783,010 |
MOULTON BULB COMPANY LIMITED (REGISTERED NUMBER: 00793018) |
COMPANY STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 October 2021 |
Changes in equity |
Total comprehensive income | - | ( |
) | ( |
) |
Balance at 30 September 2022 |
Changes in equity |
Total comprehensive income | - |
Balance at 30 September 2023 |
MOULTON BULB COMPANY LIMITED (REGISTERED NUMBER: 00793018) |
CONSOLIDATED STATEMENT OF CASH FLOWS |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
2023 | 2022 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 26 | 1,640,400 | 649,469 |
Interest paid | (276,685 | ) | (155,338 | ) |
Interest element of hire purchase payments paid | (3,969 | ) | (10,652 | ) |
Net cash from operating activities | 1,359,746 | 483,479 |
Cash flows from investing activities |
Purchase of tangible fixed assets | (1,038,681 | ) | (746,762 | ) |
Sale of tangible fixed assets | 234,562 | 132,257 |
Interest received | 2,511 | 126 |
Dividends received | 62 | 62 |
Net cash from investing activities | (801,546 | ) | (614,317 | ) |
Cash flows from financing activities |
Loan repayments in year | (161,080 | ) | (201,755 | ) |
Capital repayments in year | (59,518 | ) | (141,220 | ) |
Net cash from financing activities | (220,598 | ) | (342,975 | ) |
Increase/(decrease) in cash and cash equivalents | 337,602 | (473,813 | ) |
Cash and cash equivalents at beginning of year | 27 | (1,946,585 | ) | (1,472,772 | ) |
Cash and cash equivalents at end of year | 27 | (1,608,983 | ) | (1,946,585 | ) |
MOULTON BULB COMPANY LIMITED (REGISTERED NUMBER: 00793018) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
1. | STATUTORY INFORMATION |
Moulton Bulb Company Limited is a |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention. |
The significant accounting policies applied in the preparation of the financial statements are set out below. These policies have been consistently applied to all years unless otherwise stated. |
Basis of consolidation |
The consolidated financial statements consolidate the financial statements of the company and all its subsidiary undertakings. |
Related party exemption |
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group. |
Transactions between group entities which have been eliminated on consolidation are not disclosed within the financial statements. |
Critical accounting judgements and estimates |
In the application of the company's accounting policies, management is required to make judgements, estimates and assumptions about the carrying value of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors 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 if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods. |
Turnover |
Turnover is the total amount receivable by the company for goods supplied and services provided, excluding VAT. Revenue from the sale of goods and services is recognised when significant risks and benefits of ownership of the product have transferred to the buyer. |
Purchased goodwill |
Goodwill representing the excess of the purchase price compared with the fair value of net assets acquired is capitalised and written off evenly over 10 years. At the end of the year of acquisition an impairment review is carried out on the business acquired. |
Intangible assets |
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. |
Tangible fixed assets |
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is shorter. |
Freehold property | - | 15% on reducing balance, 5% on reducing balance and 5% on cost |
Plant and machinery | - | 25% on reducing balance, 20% on reducing balance, 15% on reducing balance, 10% on cost and 6.7% on cost |
Motor vehicles | - | 25% on reducing balance |
Tangible fixed assets are stated at cost (or deemed cost) or valuation less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended. |
MOULTON BULB COMPANY LIMITED (REGISTERED NUMBER: 00793018) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
2. | ACCOUNTING POLICIES - continued |
Government grants |
All government grants are recognised in the period in which they relate. Where it is known that a portion of this amount needs to be refunded after the year this is recognised in the same period the income was received. |
During the year the company received funding through the pyrolysis grant. |
Stocks |
Stocks are valued at the lower of cost and net realisable values, being the estimated selling price less costs to complete and sell after making due allowance for obsolete and slow moving items. |
Stocks are measured on a first-in-first-out basis. |
At each balance sheet date, stocks are assessed for impairment. If stock is 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. |
Financial instruments |
The company has adopted Sections 11 and 12 of FRS 102 in respect of financial instruments. |
Basic financial assets, including trade and other debtors and cash and bank balances are initially recognised at transaction price, 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. |
At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cashflows discounted at the asset's original effective interest rate. The impairment loss is recognised in profit or loss. |
For financial assets that are held at fair value, the fair value is taken as the price that would be received to sell an asset in an orderly transaction between market participants at the measurement date. For cash and cash equivalents these shall be taken as the carrying amount and for current asset investments these shall be based on quoted market prices. |
Basic financial liabilities, including trade and other creditors and bank loans are classified as debt, and 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 receipts discounted at a market rate of interest. |
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. Accounts payable are classified as current liabilities if payment is due within one year or less. If not, they are measured at amortised cost using the effective interest method. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Statement of Comprehensive Income, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the statement of financial position date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
MOULTON BULB COMPANY LIMITED (REGISTERED NUMBER: 00793018) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
2. | ACCOUNTING POLICIES - continued |
Foreign currencies |
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the statement of financial position date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result. |
Hire purchase and leasing commitments |
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. |
Defined contribution scheme |
For defined contribution schemes the amount charged to the profit and loss account in respect of pensions costs and other post retirement benefits is the contributions payable in the year. Differences between contributions payable in the year and contributions actually paid are shown as either accruals or prepayments in the balance sheet. |
3. | TURNOVER |
The turnover and profit before taxation are attributable to the one principal activity of the group. |
4. | EMPLOYEES AND DIRECTORS |
2023 | 2022 |
£ | £ |
Wages and salaries | 9,370,425 | 8,060,562 |
Social security costs | 926,731 | 775,586 |
Other pension costs | 480,253 | 236,380 |
10,777,409 | 9,072,528 |
The average number of employees during the year was as follows: |
2023 | 2022 |
Office and management | 15 | 16 |
Production | 274 | 279 |
PENSION COSTS |
DEFINED CONTRIBUTION SCHEMES |
The group operates a Small Self Administered Scheme. The assets of the scheme are held separately from those of the group in an independently administered fund. The pension cost charge represents the contributions paid by the group to the fund and amounted to £180,000 (2022: £50,000). Two directors qualified for benefits and contributions paid amounted to £120,000 (2022: £50,000). |
The group also contributes to individual pension plans and contributions during the year amounted to £360,253 (2022: £186,381). One director (2022: One) qualified for benefits and contributions paid amounted to £87,240 (2022: £4,269). |
2023 | 2022 |
£ | £ |
Directors' remuneration | 1,224,780 | 403,843 |
Directors' pension contributions to money purchase schemes | 207,240 | 54,269 |
The number of directors to whom retirement benefits were accruing was as follows: |
Money purchase schemes | 3 | 3 |
MOULTON BULB COMPANY LIMITED (REGISTERED NUMBER: 00793018) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
4. | EMPLOYEES AND DIRECTORS - continued |
Information regarding the highest paid director is as follows: |
2023 | 2022 |
£ | £ |
Emoluments etc | 331,937 | 90,669 |
Pension contributions to money purchase schemes | - | 4,269 |
5. | OPERATING PROFIT/(LOSS) |
The operating profit (2022 - operating loss) is stated after charging/(crediting): |
2023 | 2022 |
£ | £ |
Operating leases- machinery | 69,874 | 70,819 |
Site rent | 55,903 | 55,160 |
Depreciation - owned assets | 1,395,050 | 1,413,204 |
Profit on disposal of fixed assets | (51,784 | ) | (3,274 | ) |
Auditors' remuneration - audit | 16,907 | 16,500 |
Auditors' remuneration - tax | 2,278 | 3,470 |
Auditors' remuneration - other | 32,021 | 30,615 |
Auditors' remuneration - pension | 1,900 | 1,350 |
Foreign exchange differences | (19,272 | ) | (814 | ) |
Government grants | (2,464 | ) | - |
6. | EXCEPTIONAL ITEMS |
2023 | 2022 |
£ | £ |
Profit on sale of tangible |
fixed asset | 116,761 | - |
7. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2023 | 2022 |
£ | £ |
Bank loan interest | 259,885 | 143,492 |
Other interest | 16,800 | 9,221 |
Loan | - | 2,625 |
Hire purchase interest | 3,969 | 10,652 |
280,654 | 165,990 |
8. | TAXATION |
Analysis of the tax charge/(credit) |
The tax charge/(credit) on the profit for the year was as follows: |
2023 | 2022 |
£ | £ |
Current tax: |
UK corporation tax | 39,381 | - |
Deferred tax | 373,553 | (74,975 | ) |
Tax on profit/(loss) | 412,934 | (74,975 | ) |
MOULTON BULB COMPANY LIMITED (REGISTERED NUMBER: 00793018) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
8. | TAXATION - continued |
Reconciliation of total tax charge/(credit) included in profit and loss |
The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below: |
2023 | 2022 |
£ | £ |
Profit/(loss) before tax | 1,483,242 | (442,401 | ) |
Profit/(loss) multiplied by the standard rate of corporation tax in the UK of 25 % (2022 - 19 %) |
370,811 |
(84,056 |
) |
Effects of: |
Expenses not deductible for tax purposes | 6,435 | 4,372 |
Depreciation in excess of capital allowances | 42,649 | 4,709 |
Adjustments to tax charge in respect of previous periods | (1,027 | ) | - |
Marginal relief | (511 | ) | - |
Change in tax rate | (5,423 | ) | - |
Total tax charge/(credit) | 412,934 | (74,975 | ) |
9. | INDIVIDUAL STATEMENT OF COMPREHENSIVE INCOME |
As permitted by Section 408 of the Companies Act 2006, the Income Statement of the parent company is not presented as part of these financial statements. |
10. | INTANGIBLE FIXED ASSETS |
Group |
Goodwill |
£ |
COST |
At 1 October 2022 |
and 30 September 2023 | 276,901 |
AMORTISATION |
At 1 October 2022 |
and 30 September 2023 | 276,901 |
NET BOOK VALUE |
At 30 September 2023 | - |
At 30 September 2022 | - |
MOULTON BULB COMPANY LIMITED (REGISTERED NUMBER: 00793018) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
11. | TANGIBLE FIXED ASSETS |
Group |
Freehold | Short | Plant and | Motor |
property | leasehold | machinery | vehicles | Totals |
£ | £ | £ | £ | £ |
COST |
At 1 October 2022 | 4,309,195 | 3,979,970 | 18,743,717 | 484,144 | 27,517,026 |
Additions | - | - | 963,683 | 99,575 | 1,063,258 |
Disposals | (36,213 | ) | - | (28,970 | ) | (84,408 | ) | (149,591 | ) |
At 30 September 2023 | 4,272,982 | 3,979,970 | 19,678,430 | 499,311 | 28,430,693 |
DEPRECIATION |
At 1 October 2022 | 2,212,608 | 2,566,505 | 14,380,325 | 319,769 | 19,479,207 |
Charge for year | 111,277 | 194,595 | 1,042,631 | 46,547 | 1,395,050 |
Eliminated on disposal | - | - | (28,926 | ) | (54,648 | ) | (83,574 | ) |
At 30 September 2023 | 2,323,885 | 2,761,100 | 15,394,030 | 311,668 | 20,790,683 |
NET BOOK VALUE |
At 30 September 2023 | 1,949,097 | 1,218,870 | 4,284,400 | 187,643 | 7,640,010 |
At 30 September 2022 | 2,096,587 | 1,413,465 | 4,363,392 | 164,375 | 8,037,819 |
Included in cost of land and buildings is freehold land of £637,600 (2022 - £673,813) which is not depreciated. |
The net book value of tangible fixed assets includes £101,605 (2022 - £202,151) in respect of assets held under hire purchase contracts. |
Company |
Freehold | Short | Plant and | Motor |
property | leasehold | machinery | vehicles | Totals |
£ | £ | £ | £ | £ |
COST |
At 1 October 2022 |
Additions |
Disposals | ( |
) | ( |
) | ( |
) | ( |
) |
At 30 September 2023 |
DEPRECIATION |
At 1 October 2022 |
Charge for year |
Eliminated on disposal | ( |
) | ( |
) | ( |
) |
At 30 September 2023 |
NET BOOK VALUE |
At 30 September 2023 |
At 30 September 2022 |
MOULTON BULB COMPANY LIMITED (REGISTERED NUMBER: 00793018) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
12. | FIXED ASSET INVESTMENTS |
Company |
Shares in |
group |
undertakings |
£ |
COST |
At 1 October 2022 |
and 30 September 2023 |
NET BOOK VALUE |
At 30 September 2023 |
At 30 September 2022 |
The group or the company's investments at the Statement of Financial Position date in the share capital of companies include the following: |
Subsidiaries |
Goldwood (Moulton) Limited |
Registered office: England and Wales |
Nature of business: Dormant |
% |
Class of shares: | holding |
Ordinary | 100.00 |
Goldwood (Moulton) Limited is exempt from the requirements of the Companies Act 2006 relating to audit of its individual accounts by virtue of section 394. |
Goldwood (Holbeach) Limited |
Registered office: England and Wales |
Nature of business: Dormant |
% |
Class of shares: | holding |
Ordinary | 100.00 |
Goldwood (Holbeach) Limited is exempt from the requirements of the Companies Act 2006 relating to audit of its individual accounts by virtue of section 394. |
Moulton Bulb Imports Limited |
Registered office: England and Wales |
Nature of business: Wholesaling of imported fresh produce |
% |
Class of shares: | holding |
Ordinary | 100.00 |
MOULTON BULB COMPANY LIMITED (REGISTERED NUMBER: 00793018) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
13. | STOCKS |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Raw materials | 2,770,863 | 2,326,979 |
Packaging stocks | 1,014,071 | 797,938 | 1,014,071 | 797,938 |
Finished goods | 204,188 | 167,223 |
3,989,122 | 3,292,140 |
There is no material difference between the carrying cost of stocks and its replacement value. |
14. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Trade debtors | 11,141,336 | 8,477,437 |
Amounts owed by group undertakings | - | - |
Other debtors | 923,901 | 553,750 |
Prepayments and accrued income | 332,291 | 382,098 |
12,397,528 | 9,413,285 |
15. | CURRENT ASSET INVESTMENTS |
Market value of listed investments at 30 September 2023 held by the group and the company was £917 (2022 - £971). |
16. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Bank loans and overdrafts (see note 18) | 3,010,117 | 3,071,742 |
Hire purchase contracts (see note 19) | 34,096 | 56,016 |
Trade creditors | 6,754,670 | 5,312,142 |
Amounts owed to group undertakings | - | - |
Taxation | 48,776 | 9,395 |
Other taxes and social security | 594,167 | 205,318 |
Other creditors | 476,354 | 140,624 |
Accruals and deferred income | 577,027 | 339,524 |
Deferred government grants | 70,813 | 70,813 |
11,566,020 | 9,205,574 |
17. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Bank loans (see note 18) | 1,024,582 | 1,155,069 |
Hire purchase contracts (see note 19) | 14,098 | 27,119 |
Deferred government grants | 162,000 | 232,813 |
1,200,680 | 1,415,001 |
MOULTON BULB COMPANY LIMITED (REGISTERED NUMBER: 00793018) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
18. | LOANS |
An analysis of the maturity of loans is given below: |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Amounts falling due within one year or on | demand: |
Bank overdrafts | 2,853,804 | 2,884,836 |
Bank loans | 156,313 | 186,906 |
3,010,117 | 3,071,742 |
Amounts falling due between one and two years: |
Bank loans - 1-2 years | 171,997 | 199,553 |
Amounts falling due between two and five years: |
Bank loans - 2-5 years | 626,639 | 622,953 |
Amounts falling due in more than five years: |
Repayable by instalments |
Bank loans more 5 yr by instalments | 225,946 | 332,563 | 225,946 | 332,563 |
19. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Group |
Hire purchase contracts |
2023 | 2022 |
£ | £ |
Net obligations repayable: |
Within one year | 34,096 | 56,016 |
Between one and five years | 14,098 | 27,119 |
48,194 | 83,135 |
Company |
Hire purchase contracts |
2023 | 2022 |
£ | £ |
Net obligations repayable: |
Within one year |
Between one and five years |
MOULTON BULB COMPANY LIMITED (REGISTERED NUMBER: 00793018) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
20. | SECURED DEBTS |
The following secured debts are included within creditors: |
Group |
2023 | 2022 |
£ | £ |
Bank overdrafts | 2,853,804 | 2,884,836 |
Bank loans | 1,180,895 | 1,341,975 |
Hire purchase contracts | 48,194 | 83,135 |
4,082,893 | 4,309,946 |
The bank loan is secured by way of fixed and floating charge over the assets of the company. The interest rate is a variable rate of 2.75% above base and the loan is to be repaid over 60 months. |
The overdraft is secured by charges over freehold property in favour of Barclays Bank plc. The finance leases are secured on the assets concerned. The parent company has given a guarantee to the bankers of Moulton Bulb Imports Limited securing its bank borrowings amounting to £100,000. |
Hire purchase liabilities are secured against the assets to which they relate. |
21. | FINANCIAL INSTRUMENTS |
The group has the following financial instruments: |
2023 | 2022 |
£ | £ |
Financial assets measured at amortised cost |
Trade debtors | 11,141,336 | 8,477,437 |
Other debtors | 923,901 | 553,750 |
Financial assets measured at fair value through profit or loss |
Current asset investments | 806 | 806 |
Financial liabilities measured at amortised cost |
Trade creditors | 6,754,670 | 5,312,142 |
Bank loans and overdrafts | 4,034,699 | 4,226,811 |
Hire purchase contracts | 48,194 | 83,135 |
Other creditors | 476,354 | 140,624 |
There is no interest income or expense for financial assets and liabilities that are not measured at fair value through profit or loss. |
22. | PROVISIONS FOR LIABILITIES |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Deferred tax |
Accelerated capital allowances | 722,577 | 349,024 | 722,577 | 349,024 |
Group |
Deferred |
tax |
£ |
Balance at 1 October 2022 | 349,024 |
Accelerated capital allowances | 373,553 |
Balance at 30 September 2023 | 722,577 |
MOULTON BULB COMPANY LIMITED (REGISTERED NUMBER: 00793018) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
22. | PROVISIONS FOR LIABILITIES - continued |
Company |
Deferred |
tax |
£ |
Balance at 1 October 2022 |
Accelerated capital allowances | 373,553 |
Balance at 30 September 2023 |
23. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2023 | 2022 |
value: | £ | £ |
Ordinary | £1 | 650 | 650 |
24. | CAPITAL COMMITMENTS |
2023 | 2022 |
£ | £ |
Contracted but not provided for in the |
financial statements | 1,226,210 | - |
25. | RELATED PARTY DISCLOSURES |
Key management personnel of the entity or its parent (in the aggregate) |
2023 | 2022 |
£ | £ |
Compensation | 1,224,780 | 403,843 |
Other related parties |
2023 | 2022 |
£ | £ |
Sales | 56,886 | 27,391 |
Purchases | 2,859,293 | 2,338,026 |
Amount due to related party | 742,826 | 525,125 |
26. | RECONCILIATION OF PROFIT/(LOSS) BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
2023 | 2022 |
£ | £ |
Profit/(loss) before taxation | 1,483,242 | (442,401 | ) |
Depreciation charges | 1,395,048 | 1,413,203 |
Profit on disposal of fixed assets | (168,545 | ) | (3,274 | ) |
Finance costs | 280,654 | 165,990 |
Finance income | (2,573 | ) | (188 | ) |
2,987,826 | 1,133,330 |
Increase in stocks | (696,982 | ) | (390,886 | ) |
(Increase)/decrease in trade and other debtors | (2,984,243 | ) | 186,651 |
Increase/(decrease) in trade and other creditors | 2,333,799 | (279,626 | ) |
Cash generated from operations | 1,640,400 | 649,469 |
MOULTON BULB COMPANY LIMITED (REGISTERED NUMBER: 00793018) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2023 |
27. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Statement of Cash Flows in respect of cash and cash equivalents are in respect of these Statement of Financial Position amounts: |
Year ended 30 September 2023 |
30.9.23 | 1.10.22 |
£ | £ |
Cash and cash equivalents | 1,244,821 | 938,251 |
Bank overdrafts | (2,853,804 | ) | (2,884,836 | ) |
(1,608,983 | ) | (1,946,585 | ) |
Year ended 30 September 2022 |
30.9.22 | 1.10.21 |
£ | £ |
Cash and cash equivalents | 938,251 | 1,168,118 |
Bank overdrafts | (2,884,836 | ) | (2,640,890 | ) |
(1,946,585 | ) | (1,472,772 | ) |
28. | ANALYSIS OF CHANGES IN NET DEBT |
Other |
non-cash |
At 1.10.22 | Cash flow | changes | At 30.9.23 |
£ | £ | £ | £ |
Net cash |
Cash at bank |
and in hand | 938,251 | 306,570 | 1,244,821 |
Bank overdrafts | (2,884,836 | ) | 31,032 | (2,853,804 | ) |
(1,946,585 | ) | 337,602 | (1,608,983 | ) |
Liquid resources |
Current asset |
investments | 806 | - | - | 806 |
806 | - | - | 806 |
Debt |
Finance leases | (83,135 | ) | 59,518 | (24,577 | ) | (48,194 | ) |
Debts falling due |
within 1 year | (186,906 | ) | 30,593 | - | (156,313 | ) |
Debts falling due |
after 1 year | (1,155,069 | ) | 130,487 | - | (1,024,582 | ) |
(1,425,110 | ) | 220,598 | (24,577 | ) | (1,229,089 | ) |
Total | (3,370,889 | ) | 558,200 | (24,577 | ) | (2,837,266 | ) |