Company registration number 08723466 (England and Wales)
NEXGEN PACKAGING, UK, LIMITED
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
PAGES FOR FILING WITH REGISTRAR
NEXGEN PACKAGING, UK, LIMITED
CONTENTS
Page
Statement of financial position
1
Notes to the financial statements
2 - 7
NEXGEN PACKAGING, UK, LIMITED
STATEMENT OF FINANCIAL POSITION
AS AT
31 DECEMBER 2023
31 December 2023
- 1 -
2023
2022
Notes
£
£
£
£
Fixed assets
Tangible assets
3
19,375
32,748
Current assets
Stocks
54,866
72,470
Debtors
4
1,800,169
1,216,819
Cash at bank and in hand
85,883
51,285
1,940,918
1,340,574
Creditors: amounts falling due within one year
5
(2,399,650)
(1,952,756)
Net current liabilities
(458,732)
(612,182)
Total assets less current liabilities
(439,357)
(579,434)
Creditors: amounts falling due after more than one year
6
(14,811)
(24,950)
Net liabilities
(454,168)
(604,384)
Capital and reserves
Called up share capital
1
1
Profit and loss reserves
(454,169)
(604,385)
Total equity
(454,168)
(604,384)

The directors of the company have elected not to include a copy of the income statement within the financial statements.true

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

The financial statements were approved by the board of directors and authorised for issue on 28 March 2024 and are signed on its behalf by:
Andrew Elfont Effron
Director
Company registration number 08723466 (England and Wales)
NEXGEN PACKAGING, UK, LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
- 2 -
1
Accounting policies
Company information

Nexgen Packaging, UK, Limited is a private company limited by shares incorporated in England and Wales. The registered office is Unit 2 Attenborough House, 15 Bennet Road, Reading, RG2 0QX.

 

The principal activity of the company continued to be that of developing and executing brand identification and packaging.

1.1
Accounting convention

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

1.2
Going concern

The accounts have been prepared on a going concern basis which relies on the continued support from its parent, Nexgen Packaging, Limited (registered in Hong Kong), to continue in operational existence and to meet its liabilities as they fall due. The Directors have received confirmation from the parent company of that support for a period of at least 12 months from the date of approval of these accounts. The Directors have enquired into financial position of the wider group including its forecasts and banking facilities already received and the Directors have a reasonable expectation that the Group has adequate resources to continue in operational existence for the foreseeable future and to provide the required support to the company.true

1.3
Turnover

Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.

Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.

Commission income is recognised when relevant services are rendered. Commission is recognised once a sale has been invoiced and recognised in line with the above conditions.

1.4
Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Leasehold land and buildings
Over the lease term
Plant and equipment
5 years straight line
Fixtures and fittings
5 years straight line
Computers
5 years straight line
NEXGEN PACKAGING, UK, LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 3 -

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

 

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.

1.5
Impairment of fixed assets

At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

1.6
Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition. The cost of inventories is measured by using the first in, first out formula.

 

Stocks held for distribution at no or nominal consideration are measured at the lower of cost and replacement cost, adjusted where applicable for any loss of service potential.

At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.

1.7
Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts.

1.8
Financial instruments

The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

 

Financial instruments are recognised in the company's statement of financial position when the company becomes party to the contractual provisions of the instrument.

 

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors, loans to fellow group companies and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Classification of financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

NEXGEN PACKAGING, UK, LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 4 -
Basic financial liabilities

Basic financial liabilities, including creditors, bank loans and loans from fellow group companies, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

 

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

 

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

1.9
Equity instruments

Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

1.10
Taxation

The tax expense represents the sum of the tax currently payable and deferred tax.

Current tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the income statement because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

Deferred tax

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

 

The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the income statement, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.

1.11
Employee benefits

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

 

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

 

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

NEXGEN PACKAGING, UK, LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 5 -
1.12
Retirement benefits

The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations.

 

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the balance sheet. The assets of the plan are held separately from the Company in independently administered funds.

1.13
Leases

Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.

1.14
Foreign exchange

Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.

2
Employees

The average monthly number of persons (including directors) employed by the company during the year was:

2023
2022
Number
Number
Total
14
13
3
Tangible fixed assets
Leasehold land and buildings
Plant and equipment
Fixtures and fittings
Computers
Total
£
£
£
£
£
Cost or valuation
At 1 January 2023 and 31 December 2023
8,140
67,028
7,939
23,548
106,655
Depreciation and impairment
At 1 January 2023
3,722
51,140
4,718
14,327
73,907
Depreciation charged in the year
3,314
6,107
754
3,198
13,373
At 31 December 2023
7,036
57,247
5,472
17,525
87,280
Carrying amount
At 31 December 2023
1,104
9,781
2,467
6,023
19,375
At 31 December 2022
4,418
15,888
3,221
9,221
32,748
NEXGEN PACKAGING, UK, LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 6 -
4
Debtors
2023
2022
Amounts falling due within one year:
£
£
Trade debtors
150,441
116,363
Amounts owed by group undertakings
1,636,734
1,052,020
Other debtors
12,994
48,436
1,800,169
1,216,819

Amounts owed by group undertakings represent intercompany loan balances which are unsecured, interest free and repayable on demand.

5
Creditors: amounts falling due within one year
2023
2022
£
£
Bank loans
10,139
9,890
Trade creditors
38,174
8,502
Amounts owed to group undertakings
2,275,872
1,833,548
Taxation and social security
36,889
12,044
Other creditors
38,576
88,772
2,399,650
1,952,756

Amounts owed to group undertakings represent intercompany loan balances which are unsecured, interest free and repayable on demand.

6
Creditors: amounts falling due after more than one year
2023
2022
£
£
Bank loans and overdrafts
14,811
24,950
7
Loans and overdrafts
2023
2022
£
£
Bank loans
24,950
34,840
Payable within one year
10,139
9,890
Payable after one year
14,811
24,950

The bounce back loan of £50,000 is unsecured, interest bearing from June 2021 on a fixed rate basis of at least 2.5%, and repayable over 60 months, maturing in May 2026.

NEXGEN PACKAGING, UK, LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 7 -
8
Audit report information

As the income statement has been omitted from the filing copy of the financial statements, the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006:

The auditor's report was unqualified.

Senior Statutory Auditor:
Daniel Faust
Statutory Auditor:
FLB Audit LLP
Date of audit report:
28 March 2024
9
Operating lease commitments
Lessee

At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows:

2023
2022
£
£
7,932
31,648
10
Related party transactions

The Company has taken advantage of the exemption available in Section 33.1A of FRS102 whereby it has not disclosed transactions with the ultimate parent company or any wholly owned subsidiary undertakings of the parent company's group.

11
Parent company

The immediate parent undertaking is NexGen Packaging, Limited, a Company incorporated in Hong Kong and its registered office is Units 910-923, 9/F., Trade Square, 681 Cheung, 681 Cheung Sha Wan Road, Kowloon, Hong Kong.

 

NexGen Packaging International, LLC, a Company registered in the USA, is considered to be the ultimate parent undertaking and controlling party of the Company. The ultimate parent is the smallest and largest entity to consolidate the results of Company, copies of the ultimate parent's accounts can be found at 1010 Executive Court Suit, Westmont, IL60559, USA.

2023-12-312023-01-01false28 March 2024CCH SoftwareCCH Accounts Production 2023.300No description of principal activityThis audit opinion is unqualifiedAndrew Elfont EffronRobert Charles LoopMichael Anthony NaimoKent David PellegriniAbogado Nominees Limitedfalse087234662023-01-012023-12-31087234662023-12-31087234662022-12-3108723466core:LandBuildingscore:LeasedAssetsHeldAsLessee2023-12-3108723466core:PlantMachinery2023-12-3108723466core:FurnitureFittings2023-12-3108723466core:ComputerEquipment2023-12-3108723466core:LandBuildingscore:LeasedAssetsHeldAsLessee2022-12-3108723466core:PlantMachinery2022-12-3108723466core:FurnitureFittings2022-12-3108723466core:ComputerEquipment2022-12-3108723466core:CurrentFinancialInstrumentscore:WithinOneYear2023-12-3108723466core:CurrentFinancialInstrumentscore:WithinOneYear2022-12-3108723466core:Non-currentFinancialInstrumentscore:AfterOneYear2023-12-3108723466core:Non-currentFinancialInstrumentscore:AfterOneYear2022-12-3108723466core:CurrentFinancialInstruments2023-12-3108723466core:CurrentFinancialInstruments2022-12-3108723466core:ShareCapital2023-12-3108723466core:ShareCapital2022-12-3108723466core:RetainedEarningsAccumulatedLosses2023-12-3108723466core:RetainedEarningsAccumulatedLosses2022-12-3108723466bus:Director12023-01-012023-12-3108723466core:LandBuildingscore:LongLeaseholdAssets2023-01-012023-12-3108723466core:PlantMachinery2023-01-012023-12-3108723466core:FurnitureFittings2023-01-012023-12-3108723466core:ComputerEquipment2023-01-012023-12-31087234662022-01-012022-12-3108723466core:LandBuildingscore:LeasedAssetsHeldAsLessee2022-12-3108723466core:PlantMachinery2022-12-3108723466core:FurnitureFittings2022-12-3108723466core:ComputerEquipment2022-12-31087234662022-12-3108723466core:LandBuildingscore:LeasedAssetsHeldAsLessee2023-01-012023-12-3108723466core:WithinOneYear2023-12-3108723466core:WithinOneYear2022-12-3108723466core:Non-currentFinancialInstruments2023-12-3108723466core:Non-currentFinancialInstruments2022-12-3108723466bus:PrivateLimitedCompanyLtd2023-01-012023-12-3108723466bus:SmallCompaniesRegimeForAccounts2023-01-012023-12-3108723466bus:FRS1022023-01-012023-12-3108723466bus:Audited2023-01-012023-12-3108723466bus:Director22023-01-012023-12-3108723466bus:Director32023-01-012023-12-3108723466bus:Director42023-01-012023-12-3108723466bus:CompanySecretary12023-01-012023-12-3108723466bus:FullAccounts2023-01-012023-12-31xbrli:purexbrli:sharesiso4217:GBP