Caseware UK (AP4) 2023.0.135 2023.0.135 2023-08-312023-08-31true12falsetruetruetruetrue2022-09-01No description of principal activity11truefalsefalse 12535655 2022-09-01 2023-08-31 12535655 2021-09-01 2022-08-31 12535655 2023-08-31 12535655 2022-08-31 12535655 2021-09-01 12535655 c:RestatedAmount 2022-08-31 12535655 d:Director1 2022-09-01 2023-08-31 12535655 d:Director2 2022-09-01 2023-08-31 12535655 d:Director3 2022-09-01 2023-08-31 12535655 d:Director4 2022-09-01 2023-08-31 12535655 d:Director5 2022-09-01 2023-08-31 12535655 d:RegisteredOffice 2022-09-01 2023-08-31 12535655 c:PlantMachinery 2022-09-01 2023-08-31 12535655 c:PlantMachinery 2023-08-31 12535655 c:PlantMachinery 2022-08-31 12535655 c:PlantMachinery c:OwnedOrFreeholdAssets 2022-09-01 2023-08-31 12535655 c:CurrentFinancialInstruments 2023-08-31 12535655 c:CurrentFinancialInstruments 2022-08-31 12535655 c:CurrentFinancialInstruments c:WithinOneYear 2023-08-31 12535655 c:CurrentFinancialInstruments c:WithinOneYear 2022-08-31 12535655 c:ReportableOperatingSegment1 2022-09-01 2023-08-31 12535655 c:ReportableOperatingSegment1 2021-09-01 2022-08-31 12535655 e:UnitedKingdom 2022-09-01 2023-08-31 12535655 e:UnitedKingdom 2021-09-01 2022-08-31 12535655 c:UKTax 2022-09-01 2023-08-31 12535655 c:UKTax 2021-09-01 2022-08-31 12535655 c:ShareCapital 2022-09-01 2023-08-31 12535655 c:ShareCapital 2023-08-31 12535655 c:ShareCapital 2021-09-01 2022-08-31 12535655 c:ShareCapital 2022-08-31 12535655 c:ShareCapital 2021-09-01 12535655 c:RetainedEarningsAccumulatedLosses 2022-09-01 2023-08-31 12535655 c:RetainedEarningsAccumulatedLosses 2023-08-31 12535655 c:RetainedEarningsAccumulatedLosses 2021-09-01 2022-08-31 12535655 c:RetainedEarningsAccumulatedLosses 2022-08-31 12535655 c:RetainedEarningsAccumulatedLosses c:RestatedAmount 2022-08-31 12535655 c:RetainedEarningsAccumulatedLosses 2021-09-01 12535655 d:OrdinaryShareClass1 2022-09-01 2023-08-31 12535655 d:OrdinaryShareClass1 2023-08-31 12535655 d:OrdinaryShareClass1 2022-08-31 12535655 d:FRS102 2022-09-01 2023-08-31 12535655 d:Audited 2022-09-01 2023-08-31 12535655 d:FullAccounts 2022-09-01 2023-08-31 12535655 d:PrivateLimitedCompanyLtd 2022-09-01 2023-08-31 12535655 c:RetainedEarningsAccumulatedLosses c:PriorPeriodErrorIncreaseDecrease 2022-09-01 2023-08-31 12535655 c:PriorPeriodErrorIncreaseDecrease 2022-09-01 2023-08-31 12535655 f:PoundSterling 2022-09-01 2023-08-31 xbrli:shares iso4217:GBP xbrli:pure

Registered number: 12535655










FEEL GOOD PHARMA LTD










ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 AUGUST 2023

 
FEEL GOOD PHARMA LTD
 
 
COMPANY INFORMATION


Directors
G.J. Bosher 
H.H.H. Cary 
W.J. Gibbs 
J.A. Mishreki 
A. Szirtes 




Registered number
12535655



Registered office
Unit 5 Oakwood Business Park
Park Royal


London


NW10 6EX




Independent auditor
MHA
Chartered Accountants and Statutory Auditors

6th Floor

2 London Wall Place


London


EC2Y 5AU





 
FEEL GOOD PHARMA LTD
 

CONTENTS



Page
Strategic Report
1
Directors' Report
2 - 3
Independent Auditor's Report
4 - 7
Statement of Comprehensive Income
8
Balance Sheet
9
Statement of Changes in Equity
10
Notes to the Financial Statements
11 - 22


 
FEEL GOOD PHARMA LTD
 
 
STRATEGIC REPORT
FOR THE YEAR ENDED 31 AUGUST 2023

Introduction
 
The directors are happy to report on continued growth during the period. The company operates only in the UK, and as a subscription business benefits from predictable revenue from repeating customers. Continual investment in infrastructure and good relationships with suppliers allow the group to scale while maintaining our strong gross margins. 

Business review
 
The company has reported a turnover of £24,001,562 (2022: £15,283,121) and a pre-tax profit of £13,158,153 (2022: £8,258,683) for the year. The company has total shareholder's funds of £23,589,207 as at 31 August 2023 (2022: £10,431,054).
• Turnover increased from 2022 by £8,718,441 (57%).
• Pre-tax profit increased from 2022 by £4,899,470 (59.3%).
• Cash held at year end is £175,977 down from £610,587 in 2022.
 

Principal risks and uncertainties
 
The three risk areas that have been identified by the directors are as follows: 
Recruitment of enough qualified, specialist staff for continued business growth. 
Factory capacity. Although we have a large site, growing brings us closer to capacity.
Shipping and transportation. The company relies on the international supply chain, any disruption can slow production and increase costs.

Financial key performance indicators
 

.



31/08/2023
31/08/2022
        £
        £

Turnover

24,001,562

15,283,121

Profit margin %

55

54



This report was approved by the board on 1 August 2024 and signed on its behalf.



H.H.H. Cary
Director

Page 1

 
FEEL GOOD PHARMA LTD
 
 
 
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 AUGUST 2023

The directors present their report and the financial statements for the year ended 31 August 2023.

Directors' responsibilities statement

The directors are responsible for preparing the Strategic Report, the 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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the Company and of the profit or loss of the Company for that period.

 In preparing these financial statements, the directors are required to:


select suitable accounting policies for the Company's financial statements and then apply them consistently;

make judgments and accounting estimates that are reasonable and prudent;

prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the Company's transactions and disclose with reasonable accuracy at any time the financial position of the Company and to enable them to ensure that the financial statements comply with the Companies Act 2006They 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.

Results and dividends

The profit for the year, after taxation, amounted to £13,158,153 (2022 - £8,334,390).

Directors

The directors who served during the year were:

G.J. Bosher 
H.H.H. Cary 
W.J. Gibbs 
J.A. Mishreki 
A. Szirtes 

Directors' indemnity insurance
Directors' liability and indemnity insurance was in force throughout the period to cover the directors and officers
of the company against actions brought against them in their personal capacity. Neither the insurance nor the
indemnity provide cover where the individual has acted fraudulently or dishonestly.

Page 2

 
FEEL GOOD PHARMA LTD
 
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 AUGUST 2023


Future developments

The company will continue to optimise both the factory and it's online direct to consumer systems to ensure they can continue to show healthy growth in the future.

Disclosure of information to auditor

Each of the persons who are directors at the time when this Directors' Report is approved has confirmed that:
 
so far as the director is aware, there is no relevant audit information of which the Company's auditor is unaware, and

the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the Company's auditor is aware of that information.

Post balance sheet events

There have been no significant post balance sheet events.

Auditor

During the year the directors appointed MHA as auditors of the company. MHA offer themsleves for reappointment in accordance with section 485 of the Companies Act 2006.

This report was approved by the board on 1 August 2024 and signed on its behalf.
 





H.H.H. Cary
Director

Page 3

 
FEEL GOOD PHARMA LTD
 
 
 
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF FEEL GOOD PHARMA LTD
 

Qualified Opinion


We have audited the financial statements of Feel Good Pharma Ltd (the 'Company') for the year ended 31 August 2023, which comprise the Statement of Comprehensive Income, the Balance Sheet, the Statement of Changes in Equity and the related notes, including a summary of significant accounting policiesThe 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, except for the possible effects of the matter as described in the basis for qualified opinion section of our report, the financial statements:


give a true and fair view of the state of the Company's affairs as at 31 August 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 qualified opinion


We were not appointed as auditor of the company until after 31 August 2022 and thus did not observe the counting of physical stock at the end of that year. We were unable to satisfy ourselves by alternative means concerning the stock quantities of £625,404 held at 31 August 2022 by using other audit procedures. Consequently we were unable to determine whether any adjustment to this amount at 31 August 2022 was necessary or whether there was any consequential effect on the cost of sales for the year ended 31 August 2023.
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 United Kingdom, including the Financial Reporting Council'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 qualified 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.


Page 4

 
FEEL GOOD PHARMA LTD
 
 
 
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF FEEL GOOD PHARMA LTD (CONTINUED)


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 contained within the Annual ReportOur opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.


As described in the basis for qualified opinion section  of our report, we were unable to satisfy ourselves concerning the inventory quantities of £625,404 held  at 31 August 2022. We have concluded that where the other information refers to the inventory balance or related balances such as cost of sales, it may be materially misstated for the same reason.


Opinion on other matters prescribed by the Companies Act 2006
 

We were not appointed as auditor of the company until after 31 August 2022 and thus did not observe the counting of physical inventories at the end of the year. We were unable to satisfy ourselves by alternative means concerning the inventory quantities held at 31 August 2022, which are included in the balance sheet at £625,404, by using other audit procedures.
Consequently we were unable to determine whether any adjustment to this amount was necessary. In addition, were any adjustment to the inventory balance to be required, the strategic report would also need to be amended.
Except for the possible effects of the matter described in the basis for qualified opinion section of our report, 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 have been prepared in accordance with applicable legal requirements.


Page 5

 
FEEL GOOD PHARMA LTD
 
 
 
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF FEEL GOOD PHARMA LTD (CONTINUED)


Matters on which we are required to report by exception
 

Except for the matter described in the basis for qualified opinion section of our report, 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.
Arising solely from the limitation on the scope of our work relating to inventory, referred to above:
• we have not obtained all the information and explanations that we considered necessary for the purpose of our  audit; and
• we were unable to determine whether adequate accounting records have been kept.


We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:


returns adequate for our audit have not been received from branches not visited by us; or
the financial statements are not in agreement with the accounting records and returns; or
certain disclosures of directors' remuneration specified by law are not made.



Responsibilities of directors
 

As explained more fully in the Directors' Responsibilities Statement set out on page 2, 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.  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:

-Obtaining an understanding of the legal and regulatory frameworks that the group operates in, focusing on                     those laws and regulations that had a direct effect on the financial statements.
-Enquiry of management to identify any instances of non-compliance with laws and regulations.
-Reviewing financial statement disclosures and testing to support documentation to assess compliance with applicable laws and regulations.
 
Page 6

 
FEEL GOOD PHARMA LTD
 
 
 
INDEPENDENT AUDITOR'S REPORT TO THE MEMBERS OF FEEL GOOD PHARMA LTD (CONTINUED)



-Enquiry of management around potential litigation and claims.
-Reviewing minutes of meetings of those charged with governance. 
-Reviewing the control systems in place and gaining an understanding of these. 
-Performing audit work over the risk of management override of controls, including testing of journal entries and other adjustments for appropriateness, evaluating the business rationale of significant transactions outside the normal course of business, and reviewing accounting estimates for bias. 
-Challenging assumptions and judgements made by management in their significant accounting estimates.


Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.


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


Other matters 
 

The financial statements of Feel Good Pharma Ltd for the year ending 31 August 2022 were unaudited.


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 2006Our audit work has been undertaken so that we might state to the Company's members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company and the Company's members, as a body, for our audit work, for this report, or for the opinions we have formed.





Stephen Poleykett BA (Hons) FCA (Senior Statutory Auditor)
  
for and on behalf of
MHA, Statutory Auditor
 


London
Date: 01/08/2024
MHA is the trading name of MacIntyre Hudson LLP, a limited liability partnership in England and Wales (registered number OC312313).
Page 7

 
FEEL GOOD PHARMA LTD
 
 
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 AUGUST 2023

2023
Unaudited and restated 2022
£
£

  

Turnover
 3 
24,001,562
15,283,121

Cost of sales
  
(6,300,738)
(3,776,253)

Gross profit
  
17,700,824
11,506,868

Administrative expenses
  
(4,542,671)
(3,248,185)

Profit before tax
  
13,158,153
8,258,683

Tax on profit
 7 
-
75,707

Profit for the financial year
  
13,158,153
8,334,390

There were no recognised gains and losses for 2023 or 2022 other than those included in the statement of comprehensive income.

There was no other comprehensive income for 2023 (2022:£NIL).

The notes on pages 11 to 22 form part of these financial statements.

Page 8

 
FEEL GOOD PHARMA LTD
REGISTERED NUMBER: 12535655

BALANCE SHEET
AS AT 31 AUGUST 2023

2023
Unaudited and restated 2022
Note
£
£

Fixed assets
  

Tangible assets
 8 
414,206
644,448

Current assets
  

Stocks
 9 
845,736
625,404

Debtors: amounts falling due within one year
 10 
33,538,045
16,728,962

Cash at bank and in hand
  
175,977
610,587

  
34,559,758
17,964,953

Creditors: amounts falling due within one year
 11 
(11,384,757)
(8,178,347)

Net current assets
  
 
 
23,175,001
 
 
9,786,606

  

Net assets
  
23,589,207
10,431,054


Capital and reserves
  

Called up share capital 
 12 
1
1

Profit and loss account
 13 
23,589,206
10,431,053

  
23,589,207
10,431,054


The financial statements were approved and authorised for issue by the board and were signed on its behalf on 1 August 2024.

H.H.H. Cary
Director

The notes on pages 11 to 22 form part of these financial statements.

Page 9

 
FEEL GOOD PHARMA LTD
 

STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 AUGUST 2023


Called up share capital
Profit and loss account
Total equity

£
£
£


At 1 September 2021
1
2,096,663
2,096,664


Comprehensive income for the year

Profit for the year
-
8,334,390
8,334,390
Total comprehensive income for the year
-
8,334,390
8,334,390



At 1 September 2022 (as previously stated)
1
10,002,731
10,002,732

Prior year adjustment - correction of error
-
428,322
428,322


At 1 September 2022 (as restated)
1
10,431,053
10,431,054


Comprehensive income for the year

Profit for the year
-
13,158,153
13,158,153
Total comprehensive income for the year
-
13,158,153
13,158,153


At 31 August 2023
1
23,589,206
23,589,207


The notes on pages 11 to 22 form part of these financial statements.

Page 10

 
FEEL GOOD PHARMA LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023

1.


General information

Feel Good Pharma Ltd is a private company limited by shares incorporated in England and Wales. The company's registered office address is Unit 5 Oakwood Business Park, Park Royal, London, United Kingdom, NW10 6EX.

2.Accounting policies

 
2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The following principal accounting policies have been applied:

 
2.2

Financial Reporting Standard 102 - reduced disclosure exemptions

The Company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":
the requirements of Section 7 Statement of Cash Flows;
the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d);
the requirements of Section 11 Financial Instruments paragraphs 11.42, 11.44 to 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c);
the requirements of Section 12 Other Financial Instruments paragraphs 12.26 to 12.27, 12.29(a), 12.29(b) and 12.29A;
the requirements of Section 33 Related Party Disclosures paragraph 33.7.

This information is included in the consolidated financial statements of Mr & Mrs Oliver Ltd as at 31 August 2023 and these financial statements may be obtained from The Battleship Building, 179 Harrow Road, London, England, W2 6NB..

Page 11

 
FEEL GOOD PHARMA LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023

2.Accounting policies (continued)

 
2.3

Foreign currency translation

Functional and presentation currency

The Company's functional and presentational currency is GBP.

Transactions and balances

Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.

At each period end foreign currency monetary items are translated using the closing rate. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined.

Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in profit or loss except when deferred in other comprehensive income as qualifying cash flow hedges.

 
2.4

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

Sale of goods

Revenue from the sale of goods is recognised when all of the following conditions are satisfied:
the Company has transferred the significant risks and rewards of ownership to the buyer;
the Company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;
the amount of revenue can be measured reliably;
it is probable that the Company will receive the consideration due under the transaction; and
the costs incurred or to be incurred in respect of the transaction can be measured reliably.

 
2.5

Research and development

In the research phase of an internal project it is not possible to demonstrate that the project will generate future economic benefits and hence all expenditure on research shall be recognised as an expense when it is incurred. Intangible assets are recognised from the development phase of a project if and only if certain specific criteria are met in order to demonstrate the asset will generate probable future economic benefits and that its cost can be reliably measured. The capitalised development costs are subsequently amortised on a straight line basis over their useful economic lives, which range from 3 to 6 years.
If it is not possible to distinguish between the research phase and the development phase of an internal project, the expenditure is treated as if it were all incurred in the research phase only.

Page 12

 
FEEL GOOD PHARMA LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023

2.Accounting policies (continued)

 
2.6

Pensions

Defined contribution pension plan

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.

 
2.7

Taxation

Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the balance sheet date in the countries where the Company operates and generates income.

 
2.8

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Plant and machinery
-
33%
straight line

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.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

 
2.9

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis. Work in progress and finished goods include labour and attributable overheads.

At each balance sheet date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in profit or loss.

Page 13

 
FEEL GOOD PHARMA LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023

2.Accounting policies (continued)

 
2.10

Debtors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

 
2.11

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

 
2.12

Creditors

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

 
2.13

Financial instruments

The Company has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.

Financial instruments are recognised in the Company's Balance Sheet when the Company becomes party to the contractual provisions of the instrument.

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

Basic financial assets

Basic financial assets, which include trade and other receivables, cash and bank balances, are initially measured at their transaction price including transaction costs and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, 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.

Discounting is omitted where the effect of discounting is immaterial. The Company's cash and cash equivalents, trade and most other receivables due with the operating cycle fall into this category of financial instruments.

Other financial assets

Other financial assets, which includes investments in equity instruments which are not classified as subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the recognised transaction price. Such assets are subsequently measured at fair value with the changes in fair value being recognised in the profit or loss. Where other financial assets are not publicly traded, hence their fair value cannot be measured reliably, they are measured at cost less impairment.

Impairment of financial assets
Page 14

 
FEEL GOOD PHARMA LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023

2.Accounting policies (continued)


2.13
Financial instruments (continued)


Financial assets are assessed for indicators of impairment at each reporting date. 

Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial asset(s) have been adversely impacted. The impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate.

If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the profit or loss.

Financial liabilities

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

Basic financial liabilities, which include trade and other payables, bank loans and other loans are initially measured at their transaction price after transaction costs. When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Discounting is omitted where the effect of discounting is immaterial.

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

Trade payables are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade payables are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade payables are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.

Derecognition of financial instruments

Derecognition of financial assets

Financial assets are derecognised when their contractual right to future cash flow expire, or are settled, or when the Company transfers the asset and substantially all the risks and rewards of ownership to another party. If significant risks and rewards of ownership are retained after the transfer to another party, then the Company will continue to recognise the value of the portion of the risks and rewards retained.

Derecognition of financial liabilities

Financial liabilities are derecognised when the Company's contractual obligations expire or are discharged or cancelled.

Page 15

 
FEEL GOOD PHARMA LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023

3.


Turnover

An analysis of turnover by class of business is as follows:


2023
Unaudited and restated 2022
£
£

Product and cosmetic sales
24,001,562
15,283,121

24,001,562
15,283,121


2023
Unaudited and restated 2022
£
£

United Kingdom
24,001,562
15,283,121

24,001,562
15,283,121


All turnover arose within the United Kingdom.


4.


Operating profit

The operating profit is stated after charging:

2023
Unaudited and restated 2022
£
£

Product development
2,272
16,609

Exchange differences
8,172
11,846


5.


Auditor's remuneration

2023
2022
£
£


Fees payable to the Company's auditor and its associates for the audit of the Company's annual financial statements
12,000
-


The Company has taken advantage of the exemption not to disclose amounts paid for non audit services as these are disclosed in the group accounts of the parent Company.

Page 16

 
FEEL GOOD PHARMA LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023

6.


Employees

Staff costs were as follows:


2023
2022
£
£

Wages and salaries
542,387
464,357

Social security costs
60,346
51,724

Cost of defined contribution scheme
10,044
8,090

612,777
524,171


No directors received remuneration from the company in the year, (2022 : nil). No directors were accruing pension benefits in respect of the defined contribution pension scheme in the year (2022: nil).

The average monthly number of employees, including the directors, during the year was as follows:


        2023
   Unaudited 2022
            No.
            No.







Employees
12
11


7.


Taxation


2023
Unaudited 2022
£
£

Corporation tax


Research and development tax credit
-
(75,707)


Total current tax
-
(75,707)
Page 17

 
FEEL GOOD PHARMA LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023
 
7.Taxation (continued)


Factors affecting tax charge for the year

The tax assessed for the year is lower than (2022 - lower than) the standard rate of corporation tax in the UK of 25% (2022 - 19%). The differences are explained below:

2023
2022
£
£


Profit on ordinary activities before tax
13,158,153
8,258,683


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 25% (2022 - 19%)
3,289,538
1,569,150

Effects of:


Utilisation of tax losses
(3,348,130)
(1,569,150)

Fixed asset timing differences
58,592
-

Adjustment in research and development tax credit leading to an increase (decrease) in the tax charge
-
(75,707)

Total tax charge for the year
-
(75,707)

Page 18

 
FEEL GOOD PHARMA LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023

8.


Tangible fixed assets





Plant and machinery

£



Cost or valuation


At 1 September 2022
1,415,415


Additions
427,637



At 31 August 2023

1,843,052



Depreciation


At 1 September 2022
770,967


Charge for the year on owned assets
657,879



At 31 August 2023

1,428,846



Net book value



At 31 August 2023
414,206



At 31 August 2022
644,448


9.


Stocks

2023
2022
£
£

Raw materials
845,736
625,404

845,736
625,404



10.


Debtors

2023
Unaudited and restated 2022
£
£


Amounts owed by group undertakings
33,538,045
16,353,598

Other debtors
-
305,061

Prepayments and accrued income
-
70,303
Page 19

 
FEEL GOOD PHARMA LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023

10.Debtors (continued)


33,538,045
16,728,962



11.


Creditors: Amounts falling due within one year

2023
Unaudited and restated 2022
£
£

Trade creditors
414,660
584,315

Amounts owed to group undertakings
10,218,437
7,578,863

Other taxation and social security
735,843
13,682

Other creditors
2,467
1,487

Accruals and deferred income
13,350
-

11,384,757
8,178,347



12.


Share capital

2023
2022
£
£
Allotted, called up and fully paid



1 (2022 - 1) Ordinary share of £1.00
1
1



13.


Reserves

Profit and loss account

The profit and loss account includes all current and prior period retained profits and losses.

Page 20

 
FEEL GOOD PHARMA LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023

14.


Prior year adjustment

The prior year financial statements have been restated for various errors noted by the directors during the year:
Revenue
A prior year adjustment has been made to increase revenue by £615,011. This is mainly due to the strcture of the group changing and part of the revenue in Skin + Me Ltd being reclassed into Feel Good Pharma Ltd, a company part of the group. 
Cost of sales
A prior year adjustment has been made to increase cost of sales by £186,689. This is mainly due to the structure of the group changing and the cost of sales in Skin + Me Ltd being reclassed into Feel Good Pharma Ltd, a company part of the group. 
VAT
The employment of VAT specialists through the year has resulted in the VAT structure of the group changing. This has resulted in a prior year adjustment, reducing the VAT recoverable balance by £253,778. 
I
ntercompany
A prior year adjustment has been made to the intercompany balance with Skin + Me Ltd, resulting in an adjustment of £442,133, decreasing the amount owed by this group company. 
A prior year adjustment has been made to the intercompany balance with Mr & Mrs Oliver Ltd, resulting in an adjustment of £1,124,233, decreasing the amount owed to the parent company. 
Reserves
The total impact to Feel Good Pharma Ltd's reserves as a result of the prior year adjustments was an increase of £428,322 as shown in the statement of changes in equity.


15.


Contingent liabilities

The Company has given a guarantee in respect of a bank loan owed by its parent undertaking, Mr and
Mrs Oliver Limited.


16.


Pension commitments

The Company operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the Company  in an independently administered fund. The pension cost charge represents contributions payable by the Company  to the fund and amounted to £10,044 (2022 - £8,090). Contributions totalling £2,342 (2022 - £1,487) were payable to the fund at the balance sheet date and are included in creditors.


17.


Related party transactions

The company has taken advantage of the exemption available in Financial Reporting Standard 102 Section 33 whereby it has not disclosed transactions with the ultimate parent company or any wholly
owned subsidiary undertaking of the group. The consolidated financial statements of the ultimate parent company, Mr & Mrs Oliver Ltd are available from Registrar of Companies, Companies House, Cardiff, CF14 3UZ.

Page 21

 
FEEL GOOD PHARMA LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 AUGUST 2023

18.


Controlling party

The company's parent company is Mr & Mrs Oliver Ltd, a company incorporated in England and Wales.


19.


Ultimate controlling party

There is no ultimate controlling party.

 
Page 22