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Company registration number:
NI018558
Armatile Limited
Financial statements
30 June 2023
Armatile Limited
Contents
Directors and other information
Strategic report
Directors report
Independent auditor's report to the members
Statement of income and retained earnings
Statement of financial position
Statement of cash flows
Notes to the financial statements
Armatile Limited
Directors and other information
|
|
|
|
Directors |
Mr James McCann |
|
|
Mrs Patricia McCann |
|
|
Mr Paul Quinn |
|
|
Mr Christopher McCann |
|
|
Mr Conor Moore |
|
|
Mr Sean White |
|
|
|
|
|
|
|
Secretary |
Mr Conor Moore |
|
|
|
|
|
|
|
Company number |
NI018558 |
|
|
|
|
|
|
|
Registered office |
Station Road |
|
|
Armagh |
|
|
Co. Armagh |
|
|
BT61 7NP |
|
|
|
|
|
|
|
Business address |
Station Road |
|
|
Armagh |
|
|
Co. Armagh |
|
|
BT61 7NP |
|
|
|
|
|
|
|
Auditor |
Hill Vellacott |
|
|
22 Great Victoria Street |
|
|
Belfast |
|
|
Co. Antrim |
|
|
BT2 7BA |
|
|
|
|
|
|
|
|
|
|
|
|
|
Bankers |
AIB (NI) |
|
|
18-20 Scotch Street |
|
|
Dungannon |
|
|
Co. Tyrone |
|
|
BT70 1AZ |
|
|
|
Armatile Limited
Strategic report
Year ended 30 June 2023
Review of the business
The company is a trading company and the principal activity of the company is that of the distribution, design and manufacture of tiles for the wholesale, retail and specification markets.
Both the level of business and the year-end financial position were as expected. The company has seen turnover increase by 10.6% from last year.
Key performance indicators (KPI's)
The company has the key performance indicators (KPI's) of developing new sales markets to increase sales, maintain gross profit margins and the control of overheads. The directors believe the company can meet the KPI's in the medium term.
Environment
The company recognises its corporate responsibility to carry out its operations whilst minimising environmental impacts. The directors' continued aim is to comply with all applicable environmental legislation, prevent pollution and reduce waste wherever possible.
Health and Safety
The company is committed to achieving the highest possible standards in health and safety management and strives to make all our premises safe environments for employees and customers.
Principal risks and uncertainties
The core risks associated with the company's operations are identified below.
Events in Ukraine and Gaza
The current events in Ukraine and Gaza are leading to an unprecedented increase in energy and raw material costs, and uncertainty in global economic outlook. The costs of all components of ceramic production, namely gas, electricity, clay, glazing, packaging, and transport have stabilised, however they remain volatile. The full impact of these increases on our trade is difficult to quantify at this stage and the situation will be constantly reviewed by management.
Foreign exchange risk
The company is exposed to some foreign exchange risk in the normal course of business, principally on purchases in euros. While the company has not used financial instruments to hedge foreign exchange exposure, this position is kept constantly under review.
Liquidity Risk
The company maintains a mixture of long-term and short-term debt finance that is designed to ensure the company has sufficient available funds for operations and planned expansions.
Interest Rate Risk
The company has both interest bearing assets and interest bearing liabilities which bear interest at both fixed and variable rates. The future cashflows of the company's operations are not significantly at risk due to interest rate changes in the short term. The appropriateness of this policy will be revisited should the company's operations change in nature or size.
Credit Risk
The company has implemented policies that require appropriate credit checks on potential customers before sales are made. The amount of exposure is constantly reviewed.
Brexit
The company also has exposure to the impact of Brexit and the free trade agreement negotiated between the UK and the European Union. The implementation of the Northern Ireland protocol which aims to avoid the introduction of a hard border on the island of Ireland has not had a material impact on the supply of goods from GB. The directors are constantly monitoring this area to manage the exposure of the company.
This report was approved by the board of directors on 29 March 2024 and signed on behalf of the board by:
Mr Conor Moore
Director
Armatile Limited
Directors report
Year ended 30 June 2023
The directors present their report and the financial statements of the company for the year ended 30 June 2023.
Directors
The directors who served the company during the year were as follows:
|
Mr James McCann |
Mrs Patricia McCann |
Mr Paul Quinn |
Mr Christopher McCann |
Mr Conor Moore |
Mr Sean White |
|
Dividends
Particulars of recommended dividends are detailed in note 12 to the financial statements.
Future developments
The risks to the UK economic growth still remain and may be influenced by developments within the eurozone. The directors are working on the development of new markets within the UK that are seen to be more resilient against the eurozone uncertainties.
Financial instruments
The directors' objectives are to minimise the financial risks that the company is exposed to and they have implemented policies to achieve this. The main financial risks are seen as interest rates and foreign exchange. The company has entered into floating rate loans and the directors are satisfied that this is adequate for the company. The directors have inflows and outflows in Euros and will match these inflows and outflows to minimise currency risk and also use foreign exchange forward contracts.
Disclosure of information in the strategic report.
The directors have chosen in accordance with section 414C(11) of the Companies Act 2006 (Strategic Report and Directors' Report) Regulations 2013 to set out in the company's strategic report information required by schedule 7 of the Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008.
Directors responsibilities statement
The directors are responsible for preparing the strategic report, directors report and the financial statements in accordance with applicable law and regulations.
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and the profit or loss of the company for that period.
In preparing these financial statements, the directors are required to:
-
select suitable accounting policies and then apply them consistently;
-
make judgments and accounting estimates that are reasonable and prudent; and
-
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
Auditor
Each of the persons who is a director at the date of approval of this report confirms that:
-
so far as they are aware, there is no relevant audit information of which the company's auditor is unaware; and - they have taken all steps that they ought to have taken as a director to make themselves aware of any relevant audit information and to establish that the company's auditor is aware of that information.
The auditor is deemed to have been re-appointed in accordance with section 487 of the Companies Act 2006.
This report was approved by the board of directors on
29 March 2024
and signed on behalf of the board by:
Mr Conor Moore
Director
Independent auditor's report to the members of
Armatile Limited
Year ended 30 June 2023
Opinion
We have audited the financial statements of Armatile Limited (the 'company') for the year ended 30 June 2023 which comprise the statement of income and retained earnings, statement of financial position, 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 FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). In our opinion, the financial statements: - give a true and fair view of the state of the company's affairs as at 30 June 2023 and of its profit for the year then ended; - have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and - have been prepared in accordance with the requirements of the Companies Act 2006.
Basis for opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the auditor’s responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the directors use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.
Other Information
The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The directors are responsible for the other information. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.
Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
-
the information given in the strategic report and the directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
-
the strategic report and the directors' report has 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 company and its environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the directors' report. We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: - adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or - the financial statements are not in agreement with the accounting records and the 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 directors' responsibilities statement, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the directors are responsible for assessing the company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.
Auditor's responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: Our approach was as follows: We obtained an understanding of the legal and regulatory framework that the company operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context included UK Companies Act and tax legislation. In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental to the company's ability to operate or to avoid a material penalty. These included data protection and employment, environmental and health and safety regulations. Auditor's approach to assessing the risks of material misstatement due to irregularities, including fraud In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, we considered the following: the nature of the industry and sector and the control environment; the company's own assessment of the risks that irregularities may occur either because of fraud or error that was approved by the directors; the results of our enquiries of management and the directors about their own identification and assessment of the risks of irregularities; any matters we identified having obtained and reviewed the company's documentation of their policies and procedures relating to: identifying, evaluating and complying with laws and regulations and whether they were aware of any instances of non-compliance; detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or alleged fraud; the internal controls established to mitigate risks of fraud or non-compliance with laws and regulations; and the matters discussed among the audit engagement team regarding how and where fraud might occur in the financial statements and any potential indicators of fraud. Audit procedures designed to respond to the risks of fraud Based on the results of our risk assessment we designed our audit procedures to identify non-compliance with such laws and regulations identified above. Our procedures to respond to risks identified included the following: reviewing the financial statement disclosures and testing to supporting documentation to assess compliance with provisions of relevant laws and regulations described as having a direct effect on the financial statements; enquiring of management concerning actual and potential litigation and claims; performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud; reviewing correspondence with HMRC; and in addressing the risk of fraud through management override of controls, testing the appropriateness of journal entries and other adjustments; assessing whether the judgements made in making accounting estimates are indicative of a potential bias; and evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business. 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 auditor’s report.
Use of our report
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in an auditors report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.
Kieran McCaughey FCCA
(Senior Statutory Auditor)
For and on behalf of
Hill Vellacott
Chartered Accountants and Statutory Auditor
22 Great Victoria Street
Belfast
Co. Antrim
BT2 7BA
29 March 2024
Armatile Limited
Statement of income and retained earnings
Year ended 30 June 2023
|
|
|
|
2023 |
|
2022 |
|
|
|
|
Note |
|
£ |
|
£ |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Turnover |
|
4 |
|
9,197,131 |
|
10,005,501 |
|
|
Cost of sales |
|
|
|
(
4,952,506) |
|
(
5,491,780) |
|
|
|
|
|
|
_________ |
|
_________ |
|
|
Gross profit |
|
|
|
4,244,625 |
|
4,513,721 |
|
|
|
|
|
|
|
|
|
|
|
Distribution costs |
|
|
|
(
1,979,040) |
|
(
1,886,238) |
|
|
Administrative expenses |
|
|
|
(
1,841,940) |
|
(
1,636,189) |
|
|
Other operating income |
|
5 |
|
105,470 |
|
82,571 |
|
|
|
|
|
|
_________ |
|
_________ |
|
|
Operating profit |
|
6 |
|
529,115 |
|
1,073,865 |
|
|
|
|
|
|
|
|
|
|
|
Other interest receivable and similar income |
|
9 |
|
1,559 |
|
- |
|
|
Interest payable and similar expenses |
|
10 |
|
(
94,079) |
|
(
64,604) |
|
|
|
|
|
|
_________ |
|
_________ |
|
|
Profit before taxation |
|
|
|
436,595 |
|
1,009,261 |
|
|
|
|
|
|
|
|
|
|
|
Tax on profit |
|
11 |
|
(
95,234) |
|
(
197,905) |
|
|
|
|
|
|
_________ |
|
_________ |
|
|
Profit for the financial year and total comprehensive income |
|
|
|
341,361 |
|
811,356 |
|
|
|
|
|
|
|
|
|
|
|
Dividends declared and paid or payable during the year |
|
12 |
|
(
36,340) |
|
(
26,001) |
|
|
|
|
|
|
|
|
|
|
|
Retained earnings at the start of the year |
|
|
|
7,224,058 |
|
6,438,703 |
|
|
|
|
|
|
_________ |
|
_________ |
|
|
Retained earnings at the end of the year |
|
|
|
7,529,079 |
|
7,224,058 |
|
|
|
|
|
|
_________ |
|
_________ |
|
|
|
|
|
|
|
|
|
|
|
All the activities of the company are from continuing operations.
Armatile Limited
Statement of financial position
30 June 2023
|
|
|
2023 |
|
|
|
2022 |
|
|
|
|
Note |
£ |
|
£ |
|
£ |
|
£ |
|
|
|
|
|
|
|
|
|
|
Fixed assets |
|
|
|
|
|
|
|
|
|
Tangible assets |
|
13 |
7,804,016 |
|
|
|
7,414,016 |
|
|
Investments |
|
14 |
87 |
|
|
|
87 |
|
|
|
|
|
_________ |
|
|
|
_________ |
|
|
|
|
|
|
|
7,804,103 |
|
|
|
7,414,103 |
|
|
|
|
|
|
|
|
|
|
Current assets |
|
|
|
|
|
|
|
|
|
Stocks |
|
15 |
1,338,773 |
|
|
|
1,132,082 |
|
|
Debtors |
|
16 |
1,602,427 |
|
|
|
1,882,305 |
|
|
Cash at bank and in hand |
|
|
1,182,545 |
|
|
|
1,912,003 |
|
|
|
|
|
_________ |
|
|
|
_________ |
|
|
|
|
|
4,123,745 |
|
|
|
4,926,390 |
|
|
Creditors: amounts falling due |
|
|
|
|
|
|
|
|
|
within one year |
|
17 |
(
2,452,262) |
|
|
|
(
3,010,518) |
|
|
|
|
|
_________ |
|
|
|
_________ |
|
|
Net current assets |
|
|
|
|
1,671,483 |
|
|
|
1,915,872 |
|
|
|
|
|
_________ |
|
|
|
_________ |
Total assets less current liabilities |
|
|
|
|
9,475,586 |
|
|
|
9,329,975 |
|
|
|
|
|
|
|
|
|
|
Creditors: amounts falling due |
|
|
|
|
|
|
|
|
|
after more than one year |
|
18 |
|
|
(
1,225,412) |
|
|
|
(
1,418,371) |
|
|
|
|
|
|
|
|
|
|
Provisions for liabilities |
|
20 |
|
|
(
621,093) |
|
|
|
(
587,544) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
_________ |
|
|
|
_________ |
Net assets |
|
|
|
|
7,629,081 |
|
|
|
7,324,060 |
|
|
|
|
|
_________ |
|
|
|
_________ |
|
|
|
|
|
|
|
|
|
|
Capital and reserves |
|
|
|
|
|
|
|
|
|
Called up share capital |
|
24 |
|
|
100,002 |
|
|
|
100,002 |
Profit and loss account |
|
25 |
|
|
7,529,079 |
|
|
|
7,224,058 |
|
|
|
|
|
_________ |
|
|
|
_________ |
Shareholders funds |
|
|
|
|
7,629,081 |
|
|
|
7,324,060 |
|
|
|
|
|
_________ |
|
|
|
_________ |
|
|
|
|
|
|
|
|
|
|
These financial statements were approved by the
board of directors
and authorised for issue on
29 March 2024
, and are signed on behalf of the board by:
Mr Conor Moore
Director
Company registration number:
NI018558
Armatile Limited
Statement of cash flows
Year ended 30 June 2023
|
|
|
2023 |
|
2022 |
|
Note |
|
£ |
|
£ |
|
|
|
|
|
|
Cash flows from operating activities |
|
|
|
|
|
|
|
|
|
|
|
Cash generated from operations |
26 |
|
540,771 |
|
1,299,751 |
|
|
|
|
|
|
Interest paid |
|
|
(
94,079) |
|
(
64,604) |
Interest received |
|
|
1,559 |
|
- |
Tax paid |
|
|
(
149,056) |
|
(
221,789) |
|
|
|
_________ |
|
_________ |
Net cash from operating activities |
|
|
299,195 |
|
1,013,358 |
|
|
|
_________ |
|
_________ |
|
|
|
|
|
|
Cash flows from investing activities |
|
|
|
|
|
Purchase of tangible assets |
|
|
(
698,728) |
|
(
1,324,192) |
Proceeds from sale of tangible assets |
|
|
25,000 |
|
- |
|
|
|
_________ |
|
_________ |
Net cash used in investing activities |
|
|
(
673,728) |
|
(
1,324,192) |
|
|
|
_________ |
|
_________ |
|
|
|
|
|
|
Cash flows from financing activities |
|
|
|
|
|
Repayments of borrowings |
|
|
(
290,147) |
|
(
475,888) |
Government grant income |
|
|
- |
|
1,644 |
Payment of finance lease liabilities |
|
|
(
28,438) |
|
(
55,150) |
Equity dividends paid |
|
|
(
36,340) |
|
(
26,001) |
|
|
|
_________ |
|
_________ |
Net cash used in financing activities |
|
|
(
354,925) |
|
(
555,395) |
|
|
|
_________ |
|
_________ |
|
|
|
|
|
|
Net increase/(decrease) in cash and cash equivalents |
|
|
(
729,458) |
|
(
866,229) |
Cash and cash equivalents at beginning of year |
|
|
1,912,003 |
|
2,778,232 |
|
|
|
_________ |
|
_________ |
Cash and cash equivalents at end of year |
|
|
1,182,545 |
|
1,912,003 |
|
|
|
_________ |
|
_________ |
|
|
|
|
|
|
Armatile Limited
Notes to the financial statements
Year ended 30 June 2023
1.
General information
The company is a private company limited by shares, registered in Northern Ireland. The address of the registered office is Station Road, Armagh, Co. Armagh, BT61 7NP.
2.
Statement of compliance
These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'.
3.
Accounting policies
Basis of preparation
The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through profit or loss.
The financial statements are prepared in sterling, which is the functional currency of the entity.
Consolidation
The company has taken advantage of the exemption from preparing consolidated financial statements contained in Section 402 of the Companies Act 2006 on the basis that its subsidiaries are excluded from consolidation on the grounds that their inclusion is not material for the purpose of giving a true and fair view.
Judgements and key sources of estimation uncertainty
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. Significant judgementsThere are no significant judgments (apart from those involving estimations) that management has made in the process of applying the entity's accounting policies.Key sources of estimation uncertaintyAccounting estimates and assumptions are made concerning the future and, by their nature, will rarely equal the related actual outcome. The key assumptions and other sources of estimation uncertainty that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are as follows:ProvisionsProvision is made for future obligations and contingencies. These provisions require management's best estimate of the costs that will be incurred based on legislative, contractual and other obligating events. Provisions are stated at £520,000 (2022 - £475,000).StockStock is stated at the lower of cost and net realisable value and management have to estimate the net realisable value of the stock to recognise any impairment. Stock is stated at £1,338,773 (2022- £1,132,082).
Turnover
Turnover is measured at the fair value of the consideration received or receivable for goods supplied and services rendered, net of discounts and Value Added Tax.
Revenue from the sale of goods is recognised when the significant risks and rewards of ownership have transferred to the buyer (usually on despatch of the goods); the amount of revenue can be measured reliably; it is probable that the associated economic benefits will flow to the entity; and the costs incurred or to be incurred in respect of the transactions can be measured reliably.
Taxation
The taxation expense represents the aggregate amount of current and deferred tax recognised in the reporting period. Tax is recognised in the statement of comprehensive income, except to the extent that it relates to items recognised in other comprehensive income or directly in capital and reserves. In this case, tax is recognised in other comprehensive income or directly in capital and reserves, respectively. Current tax is recognised on taxable profit for the current and past periods. Current tax is measured at the amounts of tax expected to pay or recover using the tax rates and laws that have been enacted or substantively enacted at the reporting date.
Deferred tax is recognised in respect of all timing differences at the reporting date. Unrelieved tax losses and other deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date that are expected to apply to the reversal of the timing difference.
Foreign currencies
Foreign currency transactions are initially recorded in the functional currency, by applying the spot exchange rate as at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are translated at the exchange rate ruling at the reporting date, with any gains or losses being taken to profit or loss.
Tangible assets
tangible assets are initially recorded at cost, and are subsequently stated at cost less any accumulated depreciation and impairment losses. Any tangible assets carried at revalued amounts are recorded at the fair value at the date of revaluation less any subsequent accumulated depreciation and subsequent accumulated impairment losses. An increase in the carrying amount of an asset as a result of a revaluation, is recognised in other comprehensive income and accumulated in capital and reserves, except to the extent it reverses a revaluation decrease of the same asset previously recognised in profit or loss. A decrease in the carrying amount of an asset as a result of revaluation is recognised in other comprehensive income to the extent of any previously recognised revaluation increase accumulated in capital and reserves in respect of that asset. Where a revaluation decrease exceeds the accumulated revaluation gains accumulated in capital and reserves in respect of that asset, the excess shall be recognised in profit or loss.
Depreciation
Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:
|
|
|
|
|
|
Land and buildings |
- |
Straight line over fifty years |
|
|
Leasehold properties |
- |
Straight line over the life of the lease |
|
|
Plant and machinery |
- |
20 % |
straight line |
|
Fittings fixtures and equipment |
- |
15 % |
reducing balance |
|
Motor vehicles |
- |
25 % |
reducing balance |
|
|
|
|
|
If there is an indication that there has been a significant change in depreciation rate, useful life or residual value of tangible assets, the depreciation is revised prospectively to reflect the new estimates.
Fixed asset investments
Fixed asset investments are initially recorded at cost, and subsequently stated at cost less any accumulated impairment losses. Listed investments are measured at fair value with changes in fair value being recognised in profit or loss.
Impairment
A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date. When it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that are largely independent of the cash inflows from other assets or groups of assets.
Stocks
Stocks are measured at the lower of cost and estimated selling price less costs to complete and sell. Cost includes all costs of purchase, costs of conversion and other costs incurred in bringing the stocks to their present location and condition.
Hire purchase and finance leases
Assets held under finance leases are recognised in the statement of financial position as assets and liabilities at the lower of the fair value of the assets and the present value of the minimum lease payments, which is determined at the inception of the lease term. Any initial direct costs of the lease are added to the amount recognised as an asset. Lease payments are apportioned between the finance charges and reduction of the outstanding lease liability using the effective interest method. Finance charges are allocated to each period so as to produce a constant rate of interest on the remaining balance of the liability.
Government grants
Government grants are recognised at the fair value of the asset received or receivable. Grants are not recognised until there is reasonable assurance that the company will comply with the conditions attaching to them and the grants will be received. Government grants are recognised using the accrual model and the performance model. Under the accrual model, government grants relating to revenue are recognised on a systematic basis over the periods in which the company recognises the related costs for which the grant is intended to compensate. Grants that are receivable as compensation for expenses or losses already incurred or for the purpose of giving immediate financial support to the entity with no future related costs are recognised in income in the period in which it becomes receivable. Grants relating to assets are recognised in income on a systematic basis over the expected useful life of the asset. Where part of a grant relating to an asset is deferred, it is recognised as deferred income and not deducted from the carrying amount of the asset. Under the performance model, where the grant does not impose specified future performance-related conditions on the recipient, it is recognised in income when the grant proceeds are received or receivable. Where the grant does impose specified future performance-related conditions on the recipient, it is recognised in income only when the performance-related conditions have been met. Where grants received are prior to satisfying the revenue recognition criteria, they are recognised as a liability.
Provisions
Provisions are recognised when the entity has an obligation at the reporting date as a result of a past event; it is probable that the entity will be required to transfer economic benefits in settlement and the amount of the obligation can be estimated reliably. Provisions are recognised as a liability in the statement of financial position and the amount of the provision as an expense. Provisions are initially measured at the best estimate of the amount required to settle the obligation at the reporting date and subsequently reviewed at each reporting date and adjusted to reflect the current best estimate of the amount that would be required to settle the obligation. Any adjustments to the amounts previously recognised are recognised in profit or loss unless the provision was originally recognised as part of the cost of an asset. When a provision is measured at the present value of the amount expected to be required to settle the obligation, the unwinding of the discount is recognised in finance costs in profit or loss in the period it arises.
Financial instruments
A financial asset or a financial liability is recognised only when the company becomes a party to the contractual provisions of the instrument. Basic financial instruments are initially recognised at the transaction price, unless the arrangement constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. Debt instruments are subsequently measured at amortised cost. Where investments in non-convertible preference shares and non-puttable ordinary shares or preference shares are publicly traded or their fair value can otherwise be measured reliably, the investment is subsequently measured at fair value with changes in fair value recognised in profit or loss. All other such investments are subsequently measured at cost less impairment. Other financial instruments, including derivatives, are initially recognised at fair value, unless payment for an asset is deferred beyond normal business terms or financed at a rate of interest that is not a market rate, in which case the asset is measured at the present value of the future payments discounted at a market rate of interest for a similar debt instrument. Other financial instruments are subsequently measured at fair value, with any changes recognised in profit or loss, with the exception of hedging instruments in a designated hedging relationship.
Financial assets that are measured at cost or amortised cost are reviewed for objective evidence of impairment at the end of each reporting date. If there is objective evidence of impairment, an impairment loss is recognised in profit or loss immediately. For all equity instruments regardless of significance, and other financial assets that are individually significant, these are assessed individually for impairment. Other financial assets or either assessed individually or grouped on the basis of similar credit risk characteristics. Any reversals of impairment are recognised in profit or loss immediately, to the extent that the reversal does not result in a carrying amount of the financial asset that exceeds what the carrying amount would have been had the impairment not previously been recognised.
Defined contribution plans
Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. Prepaid contributions are recognised as an asset to the extent that the prepayment will lead to a reduction in future payments or a cash refund. When contributions are not expected to be settled wholly within 12 months of the end of the reporting date in which the employees render the related service, the liability is measured on a discounted present value basis. The unwinding of the discount is recognised in finance costs in profit or loss in the period in which it arises.
4.
Turnover
Turnover arises from:
|
|
|
2023 |
2022 |
|
|
|
£ |
£ |
|
Sale of goods |
|
9,197,131 |
10,005,501 |
|
|
|
_________ |
_________ |
|
|
|
|
|
The turnover is attributable to the one principal activity of the company. An analysis of turnover by the geographical markets that substantially differ from each other is given below:
|
|
|
2023 |
2022 |
|
|
|
£ |
£ |
|
UK |
|
8,197,762 |
9,079,013 |
|
Europe |
|
999,369 |
926,488 |
|
|
|
_________ |
_________ |
|
|
|
9,197,131 |
10,005,501 |
|
|
|
_________ |
_________ |
|
|
|
|
|
5.
Other operating income
|
|
|
2023 |
2022 |
|
|
|
£ |
£ |
|
Rental income |
|
104,750 |
80,207 |
|
Government grant income |
|
- |
1,644 |
|
Other operating income |
|
720 |
720 |
|
|
|
_________ |
_________ |
|
|
|
105,470 |
82,571 |
|
|
|
_________ |
_________ |
|
|
|
|
|
6.
Operating profit
Operating profit is stated after charging/(crediting):
|
|
|
|
2023 |
2022 |
|
|
|
|
£ |
£ |
|
Depreciation of tangible assets |
|
|
293,957 |
261,370 |
|
(Gain)/loss on disposal of tangible assets |
|
|
(
10,229) |
- |
|
Impairment of trade debtors |
|
|
6,989 |
37,883 |
|
Foreign exchange differences |
|
|
730 |
4,706 |
|
Fees payable for the audit of the financial statements |
|
|
11,400 |
13,800 |
|
|
|
|
_________ |
_________ |
|
|
|
|
|
|
7.
Staff costs
The average number of persons employed by the company during the year, including the directors, amounted to:
|
|
|
2023 |
2022 |
|
Manufacturing staff |
|
21 |
24 |
|
Office and management |
|
18 |
15 |
|
Sales and distribution staff |
|
43 |
47 |
|
|
|
_________ |
_________ |
|
|
|
82 |
86 |
|
|
|
_________ |
_________ |
|
|
|
|
|
The aggregate payroll costs incurred during the year were:
|
|
|
2023 |
2022 |
|
|
|
£ |
£ |
|
Wages and salaries |
|
2,290,083 |
2,104,315 |
|
Social security costs |
|
210,882 |
189,166 |
|
Other pension costs |
|
216,257 |
255,873 |
|
|
|
_________ |
_________ |
|
|
|
2,717,222 |
2,549,354 |
|
|
|
_________ |
_________ |
|
|
|
|
|
8.
Directors remuneration
The directors aggregate remuneration in respect of qualifying services was:
|
|
|
2023 |
2022 |
|
|
|
£ |
£ |
|
Remuneration |
|
210,974 |
195,745 |
|
Company contributions to pension schemes in respect of qualifying services |
|
103,136 |
131,036 |
|
|
|
_________ |
_________ |
|
|
|
314,110 |
326,781 |
|
|
|
_________ |
_________ |
|
|
|
|
|
Remuneration of the highest paid directors in respect of qualifying services:
|
|
|
2023 |
2022 |
|
|
|
£ |
£ |
|
Aggregate remuneration |
|
63,534 |
59,945 |
|
Company contributions to pension plans in respect of qualifying services |
|
11,500 |
9,000 |
|
|
|
_________ |
_________ |
|
|
|
75,034 |
68,945 |
|
|
|
_________ |
_________ |
|
|
|
|
|
9.
Other interest receivable and similar income
|
|
|
2023 |
2022 |
|
|
|
£ |
£ |
|
Bank deposits |
|
1,559 |
- |
|
|
|
_________ |
_________ |
|
|
|
|
|
10.
Interest payable and similar expenses
|
|
|
|
2023 |
2022 |
|
|
|
|
£ |
£ |
|
Other loans made to the company: |
|
|
|
|
|
|
Finance leases and hire purchase contracts |
|
4,554 |
2,586 |
|
Other interest payable and similar expenses |
|
|
89,525 |
62,018 |
|
|
|
|
_________ |
_________ |
|
|
|
|
94,079 |
64,604 |
|
|
|
|
_________ |
_________ |
|
|
|
|
|
|
11.
Tax on profit
Major components of tax expense
|
|
|
2023 |
2022 |
|
|
|
£ |
£ |
|
Current tax: |
|
|
|
|
UK current tax expense |
|
106,685 |
149,056 |
|
|
|
_________ |
_________ |
|
|
|
|
|
|
Deferred tax: |
|
|
|
|
Origination and reversal of timing differences |
|
(
11,451) |
48,849 |
|
|
|
_________ |
_________ |
|
Tax on profit |
|
95,234 |
197,905 |
|
|
|
_________ |
_________ |
|
|
|
|
|
Reconciliation of tax expense
The tax assessed on the profit for the year is higher than (2022: higher than) the
standard rate of corporation tax in the UK
of
19.00
% (2022: 19.00%).
|
|
|
2023 |
2022 |
|
|
|
£ |
£ |
|
Profit before taxation |
|
436,595 |
1,009,261 |
|
|
|
_________ |
_________ |
|
|
|
|
|
|
Profit multiplied by rate of tax |
|
82,953 |
191,760 |
|
Effect of expenses not deductible for tax purposes |
|
- |
258 |
|
Effect of capital allowances and depreciation |
|
45,264 |
29,777 |
|
Effect of revenue exempt from tax |
|
(
2,233) |
(
137) |
|
Effect of different UK tax rates on some earnings |
|
(
5,406) |
- |
|
Effect of research and development credits |
|
(
25,344) |
(
23,753) |
|
|
|
_________ |
_________ |
|
Tax on profit |
|
95,234 |
197,905 |
|
|
|
_________ |
_________ |
|
|
|
|
|
12.
Dividends
Equity dividends
|
|
|
2023 |
2022 |
|
|
|
£ |
£ |
|
Dividends paid during the year (excluding those for which a liability existed at the end of the prior year) |
|
36,340 |
26,001 |
|
|
|
_________ |
_________ |
|
|
|
|
|
13.
Tangible assets
|
|
Freehold property |
Long leasehold property |
Plant and machinery |
Fixtures, fittings and equipment |
Motor vehicles |
Total |
|
|
|
£ |
£ |
£ |
£ |
£ |
£ |
|
|
Cost |
|
|
|
|
|
|
|
|
At 1 July 2022 |
8,850,412 |
306,661 |
1,049,794 |
385,141 |
559,760 |
11,151,768 |
|
|
Additions |
620,544 |
- |
5,191 |
18,085 |
54,908 |
698,728 |
|
|
Disposals |
- |
- |
- |
- |
(
47,629) |
(
47,629) |
|
|
|
_________ |
_________ |
_________ |
_________ |
_________ |
_________ |
|
|
At 30 June 2023 |
9,470,956 |
306,661 |
1,054,985 |
403,226 |
567,039 |
11,802,867 |
|
|
|
_________ |
_________ |
_________ |
_________ |
_________ |
_________ |
|
|
Depreciation |
|
|
|
|
|
|
|
|
At 1 July 2022 |
2,021,888 |
136,622 |
839,249 |
285,084 |
454,909 |
3,737,752 |
|
|
Charge for the year |
184,217 |
6,133 |
54,066 |
15,235 |
34,306 |
293,957 |
|
|
Disposals |
- |
- |
- |
- |
(
32,858) |
(
32,858) |
|
|
|
_________ |
_________ |
_________ |
_________ |
_________ |
_________ |
|
|
At 30 June 2023 |
2,206,105 |
142,755 |
893,315 |
300,319 |
456,357 |
3,998,851 |
|
|
|
_________ |
_________ |
_________ |
_________ |
_________ |
_________ |
|
|
Carrying amount |
|
|
|
|
|
|
|
|
At 30 June 2023 |
7,264,851 |
163,906 |
161,670 |
102,907 |
110,682 |
7,804,016 |
|
|
|
_________ |
_________ |
_________ |
_________ |
_________ |
_________ |
|
|
At 30 June 2022 |
6,828,524 |
170,039 |
210,545 |
100,057 |
104,851 |
7,414,016 |
|
|
|
_________ |
_________ |
_________ |
_________ |
_________ |
_________ |
|
|
|
|
|
|
|
|
|
|
Obligations under finance leases
Included within the carrying value of tangible assets are the following amounts relating to assets held under finance leases or hire purchase agreements:
|
|
|
|
|
|
|
|
|
|
|
Plant and machinery |
Motor vehicles |
|
|
|
|
|
|
|
£ |
£ |
|
|
|
|
|
|
At 30 June 2023 |
117,401 |
8,500 |
|
|
|
|
|
|
|
_________ |
_________ |
|
|
|
|
|
|
At 30 June 2022 |
150,237 |
19,019 |
|
|
|
|
|
|
|
_________ |
_________ |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
14.
Investments
|
|
Shares in group undertakings |
Total |
|
|
|
|
|
|
£ |
£ |
|
|
|
|
|
Cost |
|
|
|
|
|
|
|
At 1 July 2022 and 30 June 2023 |
87 |
87 |
|
|
|
|
|
|
_________ |
_________ |
|
|
|
|
|
Impairment |
|
|
|
|
|
|
|
At 1 July 2022 and 30 June 2023 |
- |
- |
|
|
|
|
|
|
_________ |
_________ |
|
|
|
|
|
Carrying amount |
|
|
|
|
|
|
|
At 30 June 2023 |
87 |
87 |
|
|
|
|
|
|
_________ |
_________ |
|
|
|
|
|
At 30 June 2022 |
87 |
87 |
|
|
|
|
|
|
_________ |
_________ |
|
|
|
|
|
|
|
|
|
|
|
|
|
Investments in group undertakings |
|
|
|
|
|
|
|
Registered office |
Class of share |
Percentage of shares held |
|
Subsidiary undertakings |
|
|
|
|
|
Armatile Ireland Ceramics Limited |
|
74 Saint Assam's Park, Raheny, Dublin 5 |
Ordinary |
100 |
|
|
|
|
|
|
|
|
|
|
|
|
15.
Stocks
|
|
|
2023 |
2022 |
|
|
|
£ |
£ |
|
Work in progress |
|
25,549 |
37,800 |
|
Finished goods |
|
1,313,224 |
1,094,282 |
|
|
|
_________ |
_________ |
|
|
|
1,338,773 |
1,132,082 |
|
|
|
_________ |
_________ |
|
|
|
|
|
16.
Debtors
|
|
|
2023 |
2022 |
|
|
|
£ |
£ |
|
Trade debtors |
|
1,299,260 |
1,459,426 |
|
Amounts owed by group undertakings |
|
9,076 |
9,076 |
|
Prepayments and accrued income |
|
260,261 |
330,871 |
|
Other debtors |
|
33,830 |
82,932 |
|
|
|
_________ |
_________ |
|
|
|
1,602,427 |
1,882,305 |
|
|
|
_________ |
_________ |
|
|
|
|
|
17.
Creditors: amounts falling due within one year
|
|
|
2023 |
2022 |
|
|
|
£ |
£ |
|
Bank loans and overdrafts |
|
195,305 |
315,371 |
|
Trade creditors |
|
1,389,805 |
1,772,470 |
|
Accruals and deferred income |
|
216,390 |
168,420 |
|
Corporation tax |
|
106,685 |
149,056 |
|
Social security and other taxes |
|
317,054 |
408,385 |
|
Obligations under finance leases |
|
29,723 |
28,437 |
|
Director loan accounts |
|
5,634 |
13,200 |
|
Other creditors |
|
191,666 |
155,179 |
|
|
|
_________ |
_________ |
|
|
|
2,452,262 |
3,010,518 |
|
|
|
_________ |
_________ |
|
|
|
|
|
The bank overdraft and loans are secured on the following: Mortgage debenture incorporating a fixed and floating charge over all company assets present and future; Legal mortgages over properties at Boucher Crescent, Belfast, Ballinacraig Way, Greenbank Industrial Estate, Newry, 11/12 Merchants Quay, Newry and Station Road Industrial Estate, Armagh, all registered in the name of
Armatile Limited
; A first ranking legal charge over the property situated at 105 Grange Way, Baldoyle Industrial Estate, Baldoyle, Dublin; and A first ranking legal charge over the company's property situated at 16 Boucher Way, Belfast.
18.
Creditors: amounts falling due after more than one year
|
|
|
2023 |
2022 |
|
|
|
£ |
£ |
|
Bank loans and overdrafts |
|
1,019,007 |
1,056,206 |
|
Accruals and deferred income |
|
8,812 |
9,532 |
|
Obligations under finance leases |
|
52,772 |
82,496 |
|
Other creditors |
|
144,821 |
270,137 |
|
|
|
_________ |
_________ |
|
|
|
1,225,412 |
1,418,371 |
|
|
|
_________ |
_________ |
|
|
|
|
|
The bank loans are secured on the following: Mortgage debenture incorporating a fixed and floating charge over all company assets present and future; Legal mortgages over properties at Boucher Crescent, Belfast, Ballinacraig Way, Greenbank Industrial Estate, Newry, 11/12 Merchants Quay, Newry and Station Road Industrial Estate, Armagh, all registered in the name of
Armatile Limited
; A first ranking legal charge over the property situated at 105 Grange Way, Baldoyle Industrial Estate, Baldoyle, Dublin; and A first ranking legal charge over the company's property situated at 16 Boucher Way, Belfast.
Included within creditors: amounts falling due after more than one year is an amount of £ 846,495
(2022 £ 708,872 ) in respect of liabilities payable or repayable by instalments which fall due for payment after more than five years from the reporting date.
The bank loans repayable in five years or more are repaid by monthly instalments and interest is charged at a margin over the AIB (NI) base rate.
19.
Obligations under finance leases
Company lessee
The total future minimum lease payments under finance lease agreements are as follows:
|
|
|
2023 |
2022 |
|
|
|
£ |
£ |
|
Not later than 1 year |
|
29,723 |
28,437 |
|
Later than 1 year and not later than 5 years |
|
52,772 |
82,496 |
|
|
|
_________ |
_________ |
|
|
|
82,495 |
110,933 |
|
|
|
_________ |
_________ |
|
Present value of minimum lease payments |
|
82,495 |
110,933 |
|
|
|
_________ |
_________ |
|
|
|
|
|
20.
Provisions
|
|
Deferred tax (note 21) |
Other provisions |
Total |
|
|
|
|
£ |
£ |
£ |
|
|
|
At 1 July 2022 |
112,544 |
475,000 |
587,544 |
|
|
|
Additions |
- |
70,000 |
70,000 |
|
|
|
Charges against provisions |
(
11,451) |
- |
(
11,451) |
|
|
|
Released |
- |
(
25,000) |
(
25,000) |
|
|
|
|
_________ |
_________ |
_________ |
|
|
|
At 30 June 2023 |
101,093 |
520,000 |
621,093 |
|
|
|
|
_________ |
_________ |
_________ |
|
|
|
|
|
|
|
|
|
Other provisions comprise the following:The directors have made the decision to remove asbestos that has been identified in the roof of one of the company's premises. The company has informed the staff that such removal will be undertaken as soon as is practical. The final cost of the removal of the asbestos cannot be determined at this stage due to the uncertainties of asbestos removal and the directors have made provision for £350,000 (2022- £300,000) for this work.The company has supplied materials for a projects that have been problematic and are subject to on-going discussions with the supplier of the material and the customer of the necessity for remedial work to be undertaken. The directors have estimated that the total costs of the remedial work could be in the region of £170,000 (2022 - £175,000) and have made appropriate provision for this amount.
21.
Deferred tax
The deferred tax included in the statement of financial position is as follows:
|
|
|
2023 |
2022 |
|
|
|
£ |
£ |
|
Included in provisions (note 20) |
|
101,093 |
112,544 |
|
|
|
_________ |
_________ |
|
|
|
|
|
The deferred tax account consists of the tax effect of timing differences in respect of:
|
|
|
2023 |
2022 |
|
|
|
£ |
£ |
|
Accelerated capital allowances |
|
101,093 |
112,544 |
|
|
|
_________ |
_________ |
|
|
|
|
|
22.
Employee benefits
The amount recognised in profit or loss in relation to defined contribution plans was £
216,257
(2022: £
255,873
).
23.
Government grants
|
|
|
2023 |
2022 |
|
|
|
£ |
£ |
|
At start of period |
|
9,532 |
10,252 |
|
Grants received or receivable |
|
(-) |
(-) |
|
Released to the profit or loss |
|
(720) |
(720) |
|
|
|
_________ |
_________ |
|
At end of period |
|
8,812 |
9,532 |
|
|
|
_________ |
_________ |
|
|
|
|
|
The amounts recognised in the financial statements for government grants are as follows:
|
|
|
2023 |
2022 |
|
|
|
£ |
£ |
|
Recognised in creditors: |
|
|
|
|
Deferred government grants due after more than one year |
|
8,812 |
9,532 |
|
|
|
_________ |
_________ |
|
Recognised in other operating income: |
|
|
|
|
Government grants recognised directly in income |
|
- |
1,644 |
|
|
|
_________ |
_________ |
|
|
|
|
|
24.
Called up share capital
Issued, called up and fully paid
|
|
|
2023 |
|
|
|
2022 |
|
|
|
|
|
No |
|
£ |
|
No |
|
£ |
|
Ordinary shares shares of £
1.00 each |
|
100,002 |
|
100,002 |
|
100,002 |
|
100,002 |
|
|
|
_________ |
|
_________ |
|
_________ |
|
_________ |
|
|
|
|
|
|
|
|
|
|
25.
Reserves
Profit and loss account:This reserve records retained earnings and accumulated losses.
26.
Cash generated from operations
|
|
|
|
£ |
£ |
|
|
Cash flows from operating activities |
Profit for the financial year |
341,361 |
811,356 |
Depreciation of tangible assets |
293,957 |
261,370 |
Government grant income |
- |
(
1,644) |
Other interest receivable and similar income |
(
1,559) |
- |
Interest payable and similar expenses |
94,079 |
64,604 |
Gain/(loss) on disposal of tangible assets |
(
10,229) |
- |
Tax on profit |
95,234 |
197,905 |
Accrued expenses/(income) |
47,970 |
2,818 |
|
|
|
|
|
Changes in: |
Stocks |
(
206,691) |
(
306,712) |
Trade and other receivables |
279,878 |
(
34,563) |
Trade and other payables |
(
438,229) |
159,617 |
Provisions and employee benefits |
45,000 |
145,000 |
|
_________ |
_________ |
Cash generated from operations |
540,771 |
1,299,751 |
|
_________ |
_________ |
|
|
|
27.
Analysis of changes in net debt
|
|
At 1 July 2022 |
Cash flows |
Other changes |
At 30 June 2023 |
|
|
|
|
£ |
£ |
£ |
£ |
|
|
|
Cash and cash equivalents |
1,912,003 |
(729,458) |
- |
1,182,545 |
|
|
|
Debt due within one year |
(357,008) |
318,585 |
(192,239) |
(230,662) |
|
|
|
Debt due after one year |
(1,408,839) |
- |
192,239 |
(1,216,600) |
|
|
|
|
_________ |
_________ |
_________ |
_________ |
|
|
|
|
146,156 |
(
410,873) |
- |
(
264,717) |
|
|
|
|
_________ |
_________ |
_________ |
_________ |
|
|
|
|
|
|
|
|
|
|
28.
Operating leases
The company as lessee
The total future minimum lease payments under non-cancellable operating leases are as follows:
|
|
|
|
£ |
£ |
|
|
|
Not later than 1 year |
65,950 |
65,950 |
Later than 1 year and not later than 5 years |
263,800 |
263,800 |
Later than 5 years |
5,539,800 |
5,605,750 |
|
_________ |
_________ |
|
5,869,550 |
5,935,500 |
|
_________ |
_________ |
|
|
|
The company occupies premises that are subject to ground rent leases that have unexpired terms of 89 years as at 30 June 2023. The total annual commitment under these ground rent leases is currently £65,950.
29.
Limitation of auditors liability
The company has entered into a liability limitation agreement with the company's auditor which was approved on 25 May 2023. The principal terms of the agreement are that the auditor's liability is limited to a multiple of the audit fee issued and paid for the year, but the multiple cannot be less than such amount as is fair and reasonable.
30.
Related party transactions
The company had the following related party transactions in the year:
The company occupies premises owned by the Armatile Limited Special Pension Fund and has been charged rent of £51,896 (2022 - £51,786) in the year. At the balance sheet date, the company owed the Armatile Limited Special Pension Fund £5,105 (2022 - £4,215). This amount is included in trade creditors.The company had sales to the director, Mr Paul Quinn, of £NIL (2022 - £23) in the year and at the balance sheet date he owed the company £NIL (2022 - £NIL). The company had sales to the director, Mr Conor Moore, of £NIL (2022 - £44) in the year and at the balance sheet date he owed the company £NIL (2022 - £NIL). The directors received dividends as follows: Mr J McCann - £18,170 (2022 - £13,001); Mrs P McCann - £18,170 (2022 - £13,001).The company has granted a lease to a family member of the directors, and has received rent of £20,000 (2022 - £14,000).The directors advanced £36,340 (2022 - £37,221) to the company and were repaid £43,906 (2022 - £72,519) by the company in the year and at 30 June 2023, the directors were owed £5,634 (2022 - £13,200). The loans from the directors were unsecured, interest free and repayable upon demand.The company has a cross guarantee with Armatile Ireland Ceramics Limited, a 100% subsidiary of Armatile Limited. The company advanced £NIL (2022 - £NIL) to Armatile Ireland Ceramics Limited during the year. At the balance sheet date the amount owed to the company was £9,076 (2022 - £9,076).
31.
Controlling party
The company is controlled by
Mr & Mrs McCann
.