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REGISTERED NUMBER: 09909212 (England and Wales)
















GROUP STRATEGIC REPORT,

REPORT OF THE DIRECTOR AND

CONSOLIDATED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2022

FOR

FERTILIFE INDUSTRY LIMITED

FERTILIFE INDUSTRY LIMITED (REGISTERED NUMBER: 09909212)

CONTENTS OF THE CONSOLIDATED FINANCIAL STATEMENTS
For The Year Ended 31 December 2022










Page

Company Information 1

Group Strategic Report 2

Report of the Director 5

Report of the Independent Auditors 7

Consolidated Income Statement 10

Consolidated Other Comprehensive Income 11

Consolidated Balance Sheet 12

Company Balance Sheet 13

Consolidated Statement of Changes in Equity 14

Company Statement of Changes in Equity 15

Consolidated Cash Flow Statement 16

Notes to the Consolidated Cash Flow Statement 17

Notes to the Consolidated Financial Statements 18


FERTILIFE INDUSTRY LIMITED

COMPANY INFORMATION
For The Year Ended 31 December 2022







DIRECTOR: H Shirin





REGISTERED OFFICE: Leonard House
5 - 7 Newman Road
Bromley
Kent
BR1 1RJ





REGISTERED NUMBER: 09909212 (England and Wales)





AUDITORS: Crane & Partners
Chartered Accountants & Statutory Auditors
Leonard House
5 - 7 Newman Road
Bromley
Kent
BR1 1RJ

FERTILIFE INDUSTRY LIMITED (REGISTERED NUMBER: 09909212)

GROUP STRATEGIC REPORT
For The Year Ended 31 December 2022


The director presents her strategic report of the company and the group for the year ended 31 December 2022.

REVIEW OF BUSINESS
The past year 2022, has been a very challenging year for the group due to extreme geopolitical turbulence.

Production

The production unit made its best efforts to maintain production volumes and sales. Despite a fall in overall sales the gross margin percentage was maintained and a good level of profitability was achieved.

The production plant has continued to deliver a high quality product.

Development

The project to extend production capacity has been suspended for an indefinite period of time.

Corporate responsibility

In unstable geopolitical conditions the company continues to pay especially high attention to the protection of the psychological well-being and the personal development of each employee, basing itself on the highest standards of respect for human rights, social responsibility, codes of ethics and good practices.

Future plans

In 2023 the Group will continue its ongoing efforts to maintain its position and its strategic directions.


FERTILIFE INDUSTRY LIMITED (REGISTERED NUMBER: 09909212)

GROUP STRATEGIC REPORT
For The Year Ended 31 December 2022

PRINCIPAL RISKS AND UNCERTAINTIES
The Company has exposure to the following risks from its use of financial instruments:

o Interest rate risk
o Liquidity risk
o Market risk

The Group's risk management policies are established to identify and analyse the risks faced by the Company, to set appropriate risk limits and controls, and to monitor risks and adherence to limits. Risk management policies and systems are reviewed regularly to reflect changes in market conditions and the Group's activities.

Interest-rate risk
The Group's income and operating cash flows are exposed to changes in market interest rates.

Management monitors changes in interest rates and takes steps to mitigate these risks as far as practicable by ensuring that the Group has financial liabilities with both floating and fixed interest rates as appropriate.

Liquidity risk
Since the Group's business is capital-intensive, the lack of available funding and potential increases in market interest rates could have an impact on the Group's ability to obtain financing for the settlement of its liabilities or cash to meet its financial obligations.

The Group has a budgeting policy in place that allows the management to control current liquidity based on expected cash flows. These include, among others, operating cash flows, capital expenditure needs, funds borrowed from financial institutions.

Market risk
Market risk is the risk that the changes in market prices, such as foreign exchange rates and interest rates will affect the Group's income or the value of its holdings of financial instruments.

The objective of market risk management is to manage and control market risk exposure within acceptable parameters, while optimizing the return.

Capital risk management
The Group actively and regularly reviews and manages its capital position to maintain a balance between its liability and equity level.


FERTILIFE INDUSTRY LIMITED (REGISTERED NUMBER: 09909212)

GROUP STRATEGIC REPORT
For The Year Ended 31 December 2022

SECTION 172(1) STATEMENT
The board confirm that they have complied with their duty to promote the success of the group, having due regard to section 172(1) (a) to (f) of the Companies Act 2006.

The decision making by the board has focussed on fostering relationships with stakeholders, comprising suppliers, customers and employees.

Strategic decisions are made with due consideration of the consequences in relation to delivering the long term objectives. The development plans for the Group, in the medium term, is set out in the strategic report.

The Group is conscious that the products which form the basis of the trading activity are chemical based and have a potential for environmental effect. The policy of investment in research and development, noted in the review of business, includes due consideration of environmental protection.

The reputation of the Group is important and this is reflected in the high standards applied when conducting business with all stakeholders.

ON BEHALF OF THE BOARD:





H Shirin - Director


29 January 2024

FERTILIFE INDUSTRY LIMITED (REGISTERED NUMBER: 09909212)

REPORT OF THE DIRECTOR
For The Year Ended 31 December 2022


The director presents her report with the financial statements of the company and the group for the year ended 31 December 2022.

DIVIDENDS
An interim dividend of $3,625,179 per share was paid on 1 March 2022. The director recommends that no final dividend be paid.

The total distribution of dividends for the year ended 31 December 2022 will be $ 3,625,179 .

DIRECTOR
Ms O Martynenko held office from 1 January 2022 until after 31 December 2022 but prior to the date of this report.
H Shirin was appointed as a director after 31 December 2022 but prior to the date of this report.

STATEMENT OF DIRECTOR'S RESPONSIBILITIES
The director is responsible for preparing the Group Strategic Report, the Report of the Director and the financial statements in accordance with applicable law and regulations.

Company law requires the director to prepare financial statements for each financial year. Under that law the director has elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the director must not approve the financial statements unless she is 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 director is 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 director is 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 her to ensure that the financial statements comply with the Companies Act 2006. She is 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 director is 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 she has taken all the steps that she ought to have taken as a director in order to make herself aware of any relevant audit information and to establish that the group's auditors are aware of that information.

FERTILIFE INDUSTRY LIMITED (REGISTERED NUMBER: 09909212)

REPORT OF THE DIRECTOR
For The Year Ended 31 December 2022


AUDITORS
The auditors, Crane & Partners, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:





H Shirin - Director


29 January 2024

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
FERTILIFE INDUSTRY LIMITED


Opinion
We have audited the financial statements of Fertilife Industry Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2022 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:
-give a true and fair view of the state of the group's and of the parent company affairs as at 31 December 2022 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 director's use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the 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 director with respect to going concern are described in the relevant sections of this report.

Other information
The director is responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Director, 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.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
FERTILIFE INDUSTRY LIMITED


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 Director 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 Director have been prepared in accordance with applicable legal requirements.

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 Director.

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 director's remuneration specified by law are not made; or
- we have not received all the information and explanations we require for our audit.

Responsibilities of director
As explained more fully in the Statement of Director's Responsibilities set out on page five, the director is responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the director determines necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the director is responsible for assessing the 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 director either intends to liquidate the group or the parent company or to cease operations, or has no realistic alternative but to do so.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
FERTILIFE INDUSTRY 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:

Based on our understanding of the company and the industry in which it operates, we identified that the principal risks of non-compliance with laws and regulations related to those laws which have a direct impact on the preparation of the financial statements, such as the Companies Act 2006 and tax legislation.

We evaluated management's opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls), and determined that the principal risks were related to posting inappropriate journal entries to manipulate financial results and potential management bias towards accounting estimates.

Audit procedures included discussions with management, challenging assumptions made by management in their significant accounting estimates, and identifying and testing journal entries posted with unusual account combinations.

There are inherent limitations in the audit procedures described above, and the further removed non-compliance with laws and regulations is from events and transactions reflected in the financial statements, the less likely we would become aware of it. Also, the risk of not detecting a material fraud is higher than the risk of not detecting one resulting from error, as fraud may be deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.

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.




Graham Atkin FCA (Senior Statutory Auditor)
for and on behalf of Crane & Partners
Chartered Accountants & Statutory Auditors
Leonard House
5 - 7 Newman Road
Bromley
Kent
BR1 1RJ

29 January 2024

FERTILIFE INDUSTRY LIMITED (REGISTERED NUMBER: 09909212)

CONSOLIDATED INCOME STATEMENT
For The Year Ended 31 December 2022

2022 2021
Notes $    $   

TURNOVER 33,735,798 50,937,635

Cost of sales 25,876,383 39,106,713
GROSS PROFIT 7,859,415 11,830,922

Administrative expenses 1,083,221 1,733,808
OPERATING PROFIT 4 6,776,194 10,097,114

Interest receivable and similar income 1,183 1,183
6,777,377 10,098,297

Interest payable and similar expenses 5 324,610 147,120
PROFIT BEFORE TAXATION 6,452,767 9,951,177

Tax on profit 6 534,711 109,863
PROFIT FOR THE FINANCIAL YEAR 5,918,056 9,841,314
Profit attributable to:
Owners of the parent 4,669,286 7,819,896
Non-controlling interests 1,248,770 2,021,418
5,918,056 9,841,314

FERTILIFE INDUSTRY LIMITED (REGISTERED NUMBER: 09909212)

CONSOLIDATED OTHER COMPREHENSIVE INCOME
For The Year Ended 31 December 2022

2022 2021
Notes $    $   

PROFIT FOR THE YEAR 5,918,056 9,841,314


OTHER COMPREHENSIVE INCOME
Reserves movement 661,994 609,837
Income tax relating to other
comprehensive income

-

-
OTHER COMPREHENSIVE INCOME
FOR THE YEAR, NET OF INCOME TAX

661,994

609,837
TOTAL COMPREHENSIVE INCOME
FOR THE YEAR

6,580,050

10,451,151

Total comprehensive income attributable to:
Owners of the parent 7,160,280 8,857,683
Non-controlling interests (580,230 ) 1,593,468
6,580,050 10,451,151

FERTILIFE INDUSTRY LIMITED (REGISTERED NUMBER: 09909212)

CONSOLIDATED BALANCE SHEET
31 December 2022

2022 2021
Notes $    $    $    $   
FIXED ASSETS
Intangible assets 9 92,154 62,658
Tangible assets 10 9,553,174 7,276,308
Investments 11 - -
9,645,328 7,338,966

CURRENT ASSETS
Stocks 12 3,865,296 2,505,274
Debtors 13 9,266,278 7,832,026
Cash at bank 1,272,568 2,770,682
14,404,142 13,107,982
CREDITORS
Amounts falling due within one year 14 286,262 310,637
NET CURRENT ASSETS 14,117,880 12,797,345
TOTAL ASSETS LESS CURRENT
LIABILITIES

23,763,208

20,136,311

CREDITORS
Amounts falling due after more than one
year

15

4,325,271

2,852,823
NET ASSETS 19,437,937 17,283,488

CAPITAL AND RESERVES
Called up share capital 17 1 1
Revaluation reserve 18 1,450,231 -
Retained earnings 18 14,160,462 13,904,592
SHAREHOLDERS' FUNDS 15,610,694 13,904,593

NON-CONTROLLING INTERESTS 3,827,243 3,378,895
TOTAL EQUITY 19,437,937 17,283,488

The financial statements were approved by the director and authorised for issue on 29 January 2024 and were signed by:





H Shirin - Director


FERTILIFE INDUSTRY LIMITED (REGISTERED NUMBER: 09909212)

COMPANY BALANCE SHEET
31 December 2022

2022 2021
Notes $    $    $    $   
FIXED ASSETS
Intangible assets 9 - -
Tangible assets 10 - -
Investments 11 72,703 72,703
72,703 72,703

CURRENT ASSETS
Debtors 13 545,826 579,041
Cash at bank 19,356 111,821
565,182 690,862
CREDITORS
Amounts falling due within one year 14 12,183 50,569
NET CURRENT ASSETS 552,999 640,293
TOTAL ASSETS LESS CURRENT
LIABILITIES

625,702

712,996

CAPITAL AND RESERVES
Called up share capital 17 1 1
Retained earnings 625,701 712,995
SHAREHOLDERS' FUNDS 625,702 712,996

Company's profit for the financial year 3,537,885 2,136,737

The financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime.

The financial statements were approved by the director and authorised for issue on 29 January 2024 and were signed by:





H Shirin - Director


FERTILIFE INDUSTRY LIMITED (REGISTERED NUMBER: 09909212)

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
For The Year Ended 31 December 2022

Called up
share Retained Revaluation
capital earnings reserve
$    $    $   
Balance at 1 January 2021 1 8,174,859 -

Changes in equity
Dividends - (2,700,000 ) -
Total comprehensive income - 8,429,733 -
Balance at 31 December 2021 1 13,904,592 -

Changes in equity
Dividends - (3,625,179 ) -
Total comprehensive income - 3,881,049 1,450,231
Balance at 31 December 2022 1 14,160,462 1,450,231
Non-controlling Total
Total interests equity
$    $    $   
Balance at 1 January 2021 8,174,860 1,785,427 9,960,287

Changes in equity
Dividends (2,700,000 ) - (2,700,000 )
Total comprehensive income 8,429,733 1,593,468 10,023,201
Balance at 31 December 2021 13,904,593 3,378,895 17,283,488

Changes in equity
Dividends (3,625,179 ) - (3,625,179 )
Total comprehensive income 5,331,280 (580,230 ) 4,751,050
Balance at 31 December 2022 15,610,694 2,798,665 18,409,359

FERTILIFE INDUSTRY LIMITED (REGISTERED NUMBER: 09909212)

COMPANY STATEMENT OF CHANGES IN EQUITY
For The Year Ended 31 December 2022

Called up
share Retained Total
capital earnings equity
$    $    $   
Balance at 1 January 2021 1 1,276,258 1,276,259

Changes in equity
Dividends - (2,700,000 ) (2,700,000 )
Total comprehensive income - 2,136,737 2,136,737
Balance at 31 December 2021 1 712,995 712,996

Changes in equity
Dividends - (3,625,179 ) (3,625,179 )
Total comprehensive income - 3,537,885 3,537,885
Balance at 31 December 2022 1 625,701 625,702

FERTILIFE INDUSTRY LIMITED (REGISTERED NUMBER: 09909212)

CONSOLIDATED CASH FLOW STATEMENT
For The Year Ended 31 December 2022

2022 2021
Notes $    $   
Cash flows from operating activities
Cash generated from operations 1 6,151,988 4,326,182
Interest paid (324,610 ) (147,120 )
Tax paid (534,711 ) (109,863 )
Net cash from operating activities 5,292,667 4,069,199

Cash flows from investing activities
Purchase of intangible fixed assets (36,626 ) (46,903 )
Purchase of tangible fixed assets (3,367,685 ) (382,563 )
Sale of tangible fixed assets 237,526 2,306
Interest received 1,183 1,183
Net cash from investing activities (3,165,602 ) (425,977 )

Cash flows from financing activities
Equity dividends paid (3,625,179 ) (2,700,000 )
Net cash from financing activities (3,625,179 ) (2,700,000 )

(Decrease)/increase in cash and cash equivalents (1,498,114 ) 943,222
Cash and cash equivalents at
beginning of year

2

2,770,682

1,827,460

Cash and cash equivalents at end of
year

2

1,272,568

2,770,682

FERTILIFE INDUSTRY LIMITED (REGISTERED NUMBER: 09909212)

NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT
For The Year Ended 31 December 2022


1. RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM
OPERATIONS
2022 2021
$    $   
Profit before taxation 6,452,767 9,951,177
Depreciation charges 812,520 602,089
Finance costs 324,610 147,120
Finance income (1,183 ) (1,183 )
7,588,714 10,699,203
Increase in stocks (1,360,022 ) (1,841,356 )
Increase in trade and other debtors (1,434,252 ) (4,046,788 )
Increase/(decrease) in trade and other creditors 1,357,548 (484,877 )
Cash generated from operations 6,151,988 4,326,182

2. CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 31 December 2022
31.12.22 1.1.22
$    $   
Cash and cash equivalents 1,272,568 2,770,682
Year ended 31 December 2021
31.12.21 1.1.21
$    $   
Cash and cash equivalents 2,770,682 1,827,460


3. ANALYSIS OF CHANGES IN NET DEBT

At 1.1.22 Cash flow At 31.12.22
$    $    $   
Net cash
Cash at bank 2,770,682 (1,498,114 ) 1,272,568
2,770,682 (1,498,114 ) 1,272,568
Debt
Debts falling due after 1 year (2,852,823 ) (1,472,448 ) (4,325,271 )
(2,852,823 ) (1,472,448 ) (4,325,271 )
Total (82,141 ) (2,970,562 ) (3,052,703 )

FERTILIFE INDUSTRY LIMITED (REGISTERED NUMBER: 09909212)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
For The Year Ended 31 December 2022


1. STATUTORY INFORMATION

Fertilife Industry Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the General Information page.

The presentation currency of the financial statements is the US Dollar ($).


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.

Basis of consolidation
The Group consolidated financial statements include the financial statements of the Company and its subsidiary undertaking made up to 31 December 2022.

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.

Turnover
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

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.

Patents and licences are being amortised evenly over their estimated useful life of five years.

Tangible fixed assets
Tangible assets are stated at cost (or deemed cost) less accumulated depreciation and accumulated impairment losses. Cost includes the original purchase price, costs directly attributable to bringing the asset to its working condition for its intended use,

Stocks
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Taxation
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.


FERTILIFE INDUSTRY LIMITED (REGISTERED NUMBER: 09909212)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
For The Year Ended 31 December 2022


2. ACCOUNTING POLICIES - continued
Deferred tax
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Foreign currencies
The Group financial statements are presented in United States Dollars. The Company’s functional and presentation currency is the United States Dollars.

3. EMPLOYEES AND DIRECTORS
2022 2021
$    $   
Wages and salaries 1,182,086 489,494

The average number of employees during the year was as follows:
2022 2021

Administration 23 25
Production 56 60
79 85

2022 2021
$    $   
Director's remuneration - -

4. OPERATING PROFIT

The operating profit is stated after charging/(crediting):

2022 2021
$    $   
Depreciation - owned assets 811,054 596,803
Patents and licences amortisation 7,218 7,343
Auditors' remuneration 5,000 5,250
Auditors' remuneration for non audit work 5,100 7,336
Foreign exchange differences (1,505,490 ) 263,300

5. INTEREST PAYABLE AND SIMILAR EXPENSES
2022 2021
$    $   
Bank interest 324,610 147,120

FERTILIFE INDUSTRY LIMITED (REGISTERED NUMBER: 09909212)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
For The Year Ended 31 December 2022


6. TAXATION

Analysis of the tax charge
The tax charge on the profit for the year was as follows:
2022 2021
$    $   
Current tax:
UK corporation tax 534,711 109,863
Tax on profit 534,711 109,863

Tax effects relating to effects of other comprehensive income

2022
Gross Tax Net
$    $    $   
Reserves movement 661,994 - 661,994

2021
Gross Tax Net
$    $    $   
Reserves movement 609,837 - 609,837

7. INDIVIDUAL INCOME STATEMENT

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.


8. DIVIDENDS
2022 2021
$    $   
Ordinary share of GBP 1
Interim 3,625,179 2,700,000

FERTILIFE INDUSTRY LIMITED (REGISTERED NUMBER: 09909212)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
For The Year Ended 31 December 2022


9. INTANGIBLE FIXED ASSETS

Group
Patents
and
licences
$   
COST
At 1 January 2022 78,398
Additions 36,626
Exchange differences 142
At 31 December 2022 115,166
AMORTISATION
At 1 January 2022 15,740
Amortisation for year 7,218
Exchange differences 54
At 31 December 2022 23,012
NET BOOK VALUE
At 31 December 2022 92,154
At 31 December 2021 62,658

10. TANGIBLE FIXED ASSETS

Group
Freehold Plant and Motor
property machinery vehicles Totals
$    $    $    $   
COST
At 1 January 2022 3,379,825 5,953,714 57,901 9,391,440
Additions 442,657 2,925,028 - 3,367,685
Disposals - (240,784 ) - (240,784 )
Exchange differences 11,734 (46,876 ) 244 (34,898 )
At 31 December 2022 3,834,216 8,591,082 58,145 12,483,443
DEPRECIATION
At 1 January 2022 243,850 1,841,274 30,008 2,115,132
Charge for year 102,014 700,910 8,130 811,054
Eliminated on disposal - (3,258 ) - (3,258 )
Exchange differences 847 6,391 103 7,341
At 31 December 2022 346,711 2,545,317 38,241 2,930,269
NET BOOK VALUE
At 31 December 2022 3,487,505 6,045,765 19,904 9,553,174
At 31 December 2021 3,135,975 4,112,440 27,893 7,276,308

FERTILIFE INDUSTRY LIMITED (REGISTERED NUMBER: 09909212)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
For The Year Ended 31 December 2022


11. FIXED ASSET INVESTMENTS

Company
Shares in
group
undertakings
$   
COST
At 1 January 2022
and 31 December 2022 72,703
NET BOOK VALUE
At 31 December 2022 72,703
At 31 December 2021 72,703

The group or the company's investments at the Balance Sheet date in the share capital of companies include the following:

Subsidiary

Belagrofert LLC
Registered office: Belarus
Nature of business: Fertilizer production
%
Class of shares: holding
Ordinary 80.00
2022 2021
$    $   
Aggregate capital and reserves 19,136,216 16,894,473
Profit for the year 6,243,849 10,107,093


12. STOCKS

Group
2022 2021
$    $   
Raw materials 3,865,296 2,505,274

13. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Group Company
2022 2021 2022 2021
$    $    $    $   
Trade debtors 8,720,055 6,097,527 - -
Amounts owed by group undertakings 465,413 465,413 465,413 465,413
Prepayments 80,810 1,269,086 80,413 113,628
9,266,278 7,832,026 545,826 579,041

FERTILIFE INDUSTRY LIMITED (REGISTERED NUMBER: 09909212)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
For The Year Ended 31 December 2022


14. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Group Company
2022 2021 2022 2021
$    $    $    $   
Trade creditors 274,078 176,342 - 48,486
Other creditors - 132,211 - -
Accrued expenses 12,184 2,084 12,183 2,083
286,262 310,637 12,183 50,569

15. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE
YEAR

Group
2022 2021
$    $   
Bank loans (see note 16) 4,325,271 2,852,823

16. LOANS

An analysis of the maturity of loans is given below:

Group
2022 2021
$    $   
Amounts falling due between two and five years:
Bank loans - 2-5 years 4,325,271 2,852,823

The bank loan is secured against the production line of the subsidiary company The maturity date of the loan is 25 August 2025

17. CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:
Number: Class: Nominal 2022 2021
value: $    $   
1 Ordinary GBP 1 1 1

FERTILIFE INDUSTRY LIMITED (REGISTERED NUMBER: 09909212)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
For The Year Ended 31 December 2022


18. RESERVES

Group
Retained Revaluation
earnings reserve Totals
$    $    $   

At 1 January 2022 13,904,592 - 13,904,592
Profit for the year 4,669,286 4,669,286
Dividends (3,625,179 ) (3,625,179 )
Foreign exchange adjustment (788,237 ) - (788,237 )
Revaluation in year - 1,450,231 1,450,231
At 31 December 2022 14,160,462 1,450,231 15,610,693


19. ULTIMATE PARENT COMPANY

UTA Group is regarded by the director as being the company's ultimate parent company.

20. RELATED PARTY DISCLOSURES

Entities over which the entity has control, joint control or significant influence
2022 2021
$    $   
Dividend received 3,625,179 3,003,143

21. ULTIMATE CONTROLLING PARTY

The ultimate controlling party is Mr Ragheb Amhan.