REGISTERED NUMBER: SC761828 (Scotland) |
GROUP STRATEGIC REPORT, |
REPORT OF THE DIRECTOR AND |
CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE PERIOD |
10 MARCH 2023 TO 31 MAY 2023 |
FOR |
LOWMAC ALLOYS HOLDINGS LIMITED |
REGISTERED NUMBER: SC761828 (Scotland) |
GROUP STRATEGIC REPORT, |
REPORT OF THE DIRECTOR AND |
CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE PERIOD |
10 MARCH 2023 TO 31 MAY 2023 |
FOR |
LOWMAC ALLOYS HOLDINGS LIMITED |
LOWMAC ALLOYS HOLDINGS LIMITED (REGISTERED NUMBER: SC761828) |
CONTENTS OF THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE PERIOD 10 MARCH 2023 TO 31 MAY 2023 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Report of the Director | 3 |
Report of the Independent Auditors | 5 |
Consolidated Income Statement | 8 |
Consolidated Other Comprehensive Income | 9 |
Consolidated Balance Sheet | 10 |
Company Balance Sheet | 11 |
Consolidated Statement of Changes in Equity | 12 |
Company Statement of Changes in Equity | 13 |
Consolidated Cash Flow Statement | 14 |
Notes to the Consolidated Cash Flow Statement | 15 |
Notes to the Consolidated Financial Statements | 16 |
LOWMAC ALLOYS HOLDINGS LIMITED |
COMPANY INFORMATION |
FOR THE PERIOD 10 MARCH 2023 TO 31 MAY 2023 |
DIRECTOR: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Chartered Accountants & Statutory Auditor |
20 Barns Street |
Ayr |
Ayrshire |
KA7 1XA |
INCORPORATED: |
LOWMAC ALLOYS HOLDINGS LIMITED (REGISTERED NUMBER: SC761828) |
GROUP STRATEGIC REPORT |
FOR THE PERIOD 10 MARCH 2023 TO 31 MAY 2023 |
The director presents his strategic report of the company and the group for the period 10 March 2023 to 31 May 2023. |
REVIEW OF BUSINESS |
The profit for the year, after taxation is £362,138. |
The directors are pleased with the group's results for the year. Although the economy of the country is still going through a recession and has brought new challenges to be faced, there are still opportunities and areas of growth to utilise in expanding the business. The group continues to be in a strong financial position at the year end. |
During the period, Lowmac Alloys Holdings Limited was set up and acquired 100% of the shares of Alex. Smith Metals Limited. This is part of a restructuring plan in ensuring the long-term future of the group. |
The results for the year and financial position of the group are as shown in the financial statements. |
KEY PERFORMANCE INDICATORS: |
2023 |
£ |
Turnover | 5,069,451 |
Gross profit | 1,662,164 |
Operating profit | 394,829 |
PRINCIPAL RISKS AND UNCERTAINTIES |
The principal risks and uncertainties facing the group relate to the overall economic climate, the state of the market, supply of materials and financial situation of customers. |
ON BEHALF OF THE BOARD: |
LOWMAC ALLOYS HOLDINGS LIMITED (REGISTERED NUMBER: SC761828) |
REPORT OF THE DIRECTOR |
FOR THE PERIOD 10 MARCH 2023 TO 31 MAY 2023 |
The director presents his report with the financial statements of the company and the group for the period 10 March 2023 to 31 May 2023. |
INCORPORATION |
The group was incorporated on 10 March 2023 . |
PRINCIPAL ACTIVITY |
The principal activity of the group in the period under review was that of scrap metal merchants and waste disposal contractors |
DIVIDENDS |
No dividends will be distributed for the period ended 31 May 2023. |
FUTURE DEVELOPMENTS |
The directors remain confident in the field of recycling and are looking forward to the opportunities and challenges of the future. Further investment is being made into new technology within the company. |
DIRECTOR |
The director, being eligible, offers himself for election at the forthcoming first Annual General Meeting. |
DISCLOSURE IN THE STRATEGIC REPORT |
Please refer to the strategic report for a review of the business and discussion of the principal risks and uncertainties. |
STATEMENT OF DIRECTOR'S RESPONSIBILITIES |
The director is responsible for preparing the Group Strategic Report, the Report of the Director and the financial statements in accordance with applicable law and regulations. |
Company law requires the director to prepare financial statements for each financial year. Under that law the director has elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the director must not approve the financial statements unless he is satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the director is required to: |
- | select suitable accounting policies and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The director is responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group and enable him to ensure that the financial statements comply with the Companies Act 2006. He is also responsible for safeguarding the assets of the company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the director is aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and he has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the group's auditors are aware of that information. |
LOWMAC ALLOYS HOLDINGS LIMITED (REGISTERED NUMBER: SC761828) |
REPORT OF THE DIRECTOR |
FOR THE PERIOD 10 MARCH 2023 TO 31 MAY 2023 |
AUDITORS |
The auditors, Galbraith Pritchards, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
ON BEHALF OF THE BOARD: |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
LOWMAC ALLOYS HOLDINGS LIMITED |
Opinion |
We have audited the financial statements of Lowmac Alloys Holdings Limited (the 'parent company') and its subsidiaries (the 'group') for the period ended 31 May 2023 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). |
In our opinion the financial statements: |
- | give a true and fair view of the state of the group's and of the parent company affairs as at 31 May 2023 and of the group's profit for the period then ended; |
- | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. |
Conclusions relating to going concern |
In auditing the financial statements, we have concluded that the director's use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's and the parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
Our responsibilities and the responsibilities of the director with respect to going concern are described in the relevant sections of this report. |
Other information |
The director is responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Director, but does not include the financial statements and our Report of the Auditors thereon. |
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. |
Opinions on other matters prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of the audit: |
- | the information given in the Group Strategic Report and the Report of the Director for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Group Strategic Report and the Report of the Director have been prepared in accordance with applicable legal requirements. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
LOWMAC ALLOYS HOLDINGS LIMITED |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Director. |
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
- | adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the parent company financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of director's remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
Responsibilities of director |
As explained more fully in the Statement of Director's Responsibilities set out on page three, the director is responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the director determines necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. |
In preparing the financial statements, the director is responsible for assessing the group's and the parent company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the director either intends to liquidate the group or the parent company or to cease operations, or has no realistic alternative but to do so. |
Auditors' responsibilities for the audit of the financial statements |
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
We gained an understanding of the legal and regulatory framework applicable to the company and the industry in which it operates and considered the risk of acts by the company that were contrary to applicable laws and regulations, including fraud. We designed audit procedures to respond to the risk, recognising that the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion. |
We focussed on laws and regulations which could give rise to a material misstatement in the financial statements, including, but not limited to, the Companies Act 2006 and UK tax legislation. Our tests included agreeing the financial statement disclosures to underlying supporting documentation and, enquiries with management. There are inherent limitations in the audit procedures described above and, the further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. We did not identify any key audit matters relating to irregularities, including fraud. As in all our audits, we also addressed the risk of management override of internal controls, including testing journals and evaluating whether there was evidence of bias by the directors that represented a risk of material misstatement due to fraud. |
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
LOWMAC ALLOYS HOLDINGS LIMITED |
Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
for and on behalf of |
Chartered Accountants & Statutory Auditor |
20 Barns Street |
Ayr |
Ayrshire |
KA7 1XA |
LOWMAC ALLOYS HOLDINGS LIMITED (REGISTERED NUMBER: SC761828) |
CONSOLIDATED INCOME STATEMENT |
FOR THE PERIOD 10 MARCH 2023 TO 31 MAY 2023 |
Notes | £ |
TURNOVER | 5,069,451 |
Cost of sales | 3,407,287 |
GROSS PROFIT | 1,662,164 |
Administrative expenses | 1,288,997 |
373,167 |
Other operating income | 21,662 |
OPERATING PROFIT | 4 | 394,829 |
Interest receivable and similar income | 744 |
395,573 |
Interest payable and similar expenses | 5 | 703 |
PROFIT BEFORE TAXATION | 394,870 |
Tax on profit | 6 | 32,732 |
PROFIT FOR THE FINANCIAL PERIOD |
Profit attributable to: |
Owners of the parent | 362,131 |
Non-controlling interests | 7 |
362,138 |
LOWMAC ALLOYS HOLDINGS LIMITED (REGISTERED NUMBER: SC761828) |
CONSOLIDATED OTHER COMPREHENSIVE INCOME |
FOR THE PERIOD 10 MARCH 2023 TO 31 MAY 2023 |
Notes | £ |
PROFIT FOR THE PERIOD | 362,138 |
OTHER COMPREHENSIVE INCOME | - |
TOTAL COMPREHENSIVE INCOME FOR THE PERIOD |
362,138 |
Total comprehensive income attributable to: |
Owners of the parent | 362,131 |
Non-controlling interests | 7 |
362,138 |
LOWMAC ALLOYS HOLDINGS LIMITED (REGISTERED NUMBER: SC761828) |
CONSOLIDATED BALANCE SHEET |
31 MAY 2023 |
Notes | £ | £ |
FIXED ASSETS |
Intangible assets | 8 | - |
Tangible assets | 9 | 8,343,306 |
Investments | 10 | - |
8,343,306 |
CURRENT ASSETS |
Stocks | 11 | 27,885 |
Debtors | 12 | 5,403,233 |
Prepayments and accrued income | 383,029 |
Cash at bank and in hand | 9,189,527 |
15,003,674 |
CREDITORS |
Amounts falling due within one year | 13 | 2,683,126 |
NET CURRENT ASSETS | 12,320,548 |
TOTAL ASSETS LESS CURRENT LIABILITIES |
20,663,854 |
PROVISIONS FOR LIABILITIES | 15 | 969,261 |
NET ASSETS | 19,694,593 |
CAPITAL AND RESERVES |
Called up share capital | 16 | 941 |
Share premium | 17 | 15,420,883 |
Other reserves | 17 | 1,272 |
Retained earnings | 17 | 4,271,490 |
SHAREHOLDERS' FUNDS | 19,694,586 |
NON-CONTROLLING INTERESTS | 7 |
TOTAL EQUITY | 19,694,593 |
The financial statements were approved by the director and authorised for issue on 2 August 2024 and were signed by: |
Mr Kenneth Alexander Smith - Director |
LOWMAC ALLOYS HOLDINGS LIMITED (REGISTERED NUMBER: SC761828) |
COMPANY BALANCE SHEET |
31 MAY 2023 |
Notes | £ |
FIXED ASSETS |
Intangible assets | 8 |
Tangible assets | 9 |
Investments | 10 |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CAPITAL AND RESERVES |
Called up share capital | 16 |
Share premium | 17 |
Retained earnings | 17 |
SHAREHOLDERS' FUNDS |
Company's profit for the financial year | 1,089,088 |
The financial statements were approved by the director and authorised for issue on |
LOWMAC ALLOYS HOLDINGS LIMITED (REGISTERED NUMBER: SC761828) |
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY |
FOR THE PERIOD 10 MARCH 2023 TO 31 MAY 2023 |
Called up |
share | Retained | Share |
capital | earnings | premium |
£ | £ | £ |
Changes in equity |
Issue of share capital | 941 | - | 15,420,883 |
Total comprehensive income | - | 362,131 | - |
Balance at 31 May 2023 | 941 | 362,131 | 15,420,883 |
Other | Non-controlling | Total |
reserves | Total | interests | equity |
£ | £ | £ | £ |
Changes in equity |
Issue of share capital | - | 15,421,824 | - | 15,421,824 |
Total comprehensive income | - | 362,131 | 7 | 362,138 |
Balance at 31 May 2023 | - | 15,783,955 | 7 | 15,783,962 |
LOWMAC ALLOYS HOLDINGS LIMITED (REGISTERED NUMBER: SC761828) |
COMPANY STATEMENT OF CHANGES IN EQUITY |
FOR THE PERIOD 10 MARCH 2023 TO 31 MAY 2023 |
Called up |
share | Retained | Share | Total |
capital | earnings | premium | equity |
£ | £ | £ | £ |
Changes in equity |
Issue of share capital | - |
Total comprehensive income | - | - |
Balance at 31 May 2023 |
LOWMAC ALLOYS HOLDINGS LIMITED (REGISTERED NUMBER: SC761828) |
CONSOLIDATED CASH FLOW STATEMENT |
FOR THE PERIOD 10 MARCH 2023 TO 31 MAY 2023 |
Notes | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | (81,301 | ) |
Interest element of hire purchase or finance lease rental payments paid |
(703 |
) |
Tax paid | (172,561 | ) |
Net cash from operating activities | (254,565 | ) |
Cash flows from investing activities |
Purchase of tangible fixed assets | (340,400 | ) |
Sale of tangible fixed assets | 52,000 |
Interest received | 744 |
Net cash from investing activities | (287,656 | ) |
Cash flows from financing activities |
Share issue | 941 |
Balance on incorporation | 9,730,807 |
Net cash from financing activities | 9,731,748 |
Increase in cash and cash equivalents | 9,189,527 |
Cash and cash equivalents at beginning of period |
2 |
- |
Cash and cash equivalents at end of period |
2 |
9,189,527 |
LOWMAC ALLOYS HOLDINGS LIMITED (REGISTERED NUMBER: SC761828) |
NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT |
FOR THE PERIOD 10 MARCH 2023 TO 31 MAY 2023 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
£ |
Profit before taxation | 394,870 |
Depreciation charges | 413,774 |
Loss on disposal of fixed assets | 241 |
Balance on incorporation | (890,145 | ) |
Finance costs | 703 |
Finance income | (744 | ) |
Cash generated from operations | (81,301 | ) |
2. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
Period ended 31 May 2023 |
31/5/23 | 10/3/23 |
£ | £ |
Cash and cash equivalents | 9,189,527 | - |
3. | ANALYSIS OF CHANGES IN NET FUNDS |
At 10/3/23 | Cash flow | At 31/5/23 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | - | 9,189,527 | 9,189,527 |
- | 9,189,527 | 9,189,527 |
Total | - | 9,189,527 | 9,189,527 |
LOWMAC ALLOYS HOLDINGS LIMITED (REGISTERED NUMBER: SC761828) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE PERIOD 10 MARCH 2023 TO 31 MAY 2023 |
1. | STATUTORY INFORMATION |
Lowmac Alloys Holdings Limited is a |
2. | ACCOUNTING POLICIES |
BASIS OF PREPARING THE FINANCIAL STATEMENTS |
BASIS OF CONSOLIDATION |
The group financial statements consolidate the financial statements of the company and its subsidiaries; Alex. Smith Metals Limited and Lowmac Alloys Limited. The results of subsidiaries acquired or sold are consolidated for the periods from or to the date on which control passed. |
CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY |
In the application of the company's accounting policies, which are described in note 2, the directors are required to make judgements, estimates and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. |
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods. |
TURNOVER |
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. |
Turnover is recognised when a sale or service has been delivered against a binding obligation on the customer and the right to the consideration has been earned by the company. |
GOODWILL |
Goodwill being the amount paid in connection with the acquisition of businesses bought has been fully amortised over its estimated useful life. |
INTANGIBLE ASSETS |
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. |
TANGIBLE FIXED ASSETS |
Freehold property | - |
Plant and machinery | - |
Motor vehicles | - |
A review of impairment is carried out at each reporting date. 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. |
STOCKS |
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
LOWMAC ALLOYS HOLDINGS LIMITED (REGISTERED NUMBER: SC761828) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 10 MARCH 2023 TO 31 MAY 2023 |
2. | ACCOUNTING POLICIES - continued |
FINANCIAL INSTRUMENTS |
The group only has financial assets and financial liabilities of a kind that qualify as basic financial instruments. Basic financial instruments are initially recognised at transaction value and subsequently measured at their settlement value. |
TAXATION |
Taxation for the period comprises current and deferred tax. Tax is recognised in the Consolidated Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
DEFERRED TAX |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the period end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
PENSION COSTS AND OTHER POST-RETIREMENT BENEFITS |
The group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme are charged to profit or loss in the period to which they relate. |
GOVERNMENT GRANTS |
Government grants received relating to capital expenditure are initially credited to deferred income on the balance sheet and then credited to the profit and loss account over the expected useful lives of the assets involved. |
Government grants relating to revenue expenditure are credited to the profit and loss account in the period the revenue expenditure occurred. |
3. | EMPLOYEES AND DIRECTORS |
£ |
Wages and salaries | 644,062 |
Social security costs | 68,398 |
Other pension costs | 25,009 |
737,469 |
LOWMAC ALLOYS HOLDINGS LIMITED (REGISTERED NUMBER: SC761828) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 10 MARCH 2023 TO 31 MAY 2023 |
3. | EMPLOYEES AND DIRECTORS - continued |
The average number of employees during the period was as follows: |
Office staff, sales & administration | 16 |
Processing workers & drivers | 66 |
£ |
Director's remuneration | 152,155 |
Director's pension contributions to money purchase schemes | 9,669 |
The number of directors to whom retirement benefits were accruing was as follows: |
Money purchase schemes | 3 |
4. | OPERATING PROFIT |
The operating profit is stated after charging: |
£ |
Depreciation - owned assets | 413,775 |
Loss on disposal of fixed assets | 241 |
Auditors' remuneration and expenses | 2,501 |
Other non- audit services | 6,310 |
5. | INTEREST PAYABLE AND SIMILAR EXPENSES |
£ |
Finance charges | 703 |
6. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the period was as follows: |
£ |
Current tax: |
UK corporation tax | 35,020 |
Deferred tax | (2,288 | ) |
Tax on profit | 32,732 |
LOWMAC ALLOYS HOLDINGS LIMITED (REGISTERED NUMBER: SC761828) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 10 MARCH 2023 TO 31 MAY 2023 |
6. | TAXATION - continued |
RECONCILIATION OF TOTAL TAX CHARGE INCLUDED IN PROFIT AND LOSS |
The tax assessed for the period is lower than the standard rate of corporation tax in the UK. The difference is explained below: |
£ |
Profit before tax | 394,870 |
Profit multiplied by the standard rate of corporation tax in the UK of 25 % | 98,718 |
Effects of: |
Expenses not deductible for tax purposes | 2,234 |
Capital allowances in excess of depreciation | (65,932 | ) |
Deferred tax | (2,288 | ) |
Gross gains | - |
Total tax charge | 32,732 |
7. | INDIVIDUAL INCOME STATEMENT |
As permitted by Section 408 of the Companies Act 2006, the Income Statement of the parent company is not presented as part of these financial statements. |
8. | INTANGIBLE FIXED ASSETS |
Group |
Goodwill |
£ |
COST |
At 10 March 2023 |
and 31 May 2023 | 76,237 |
AMORTISATION |
At 10 March 2023 |
and 31 May 2023 | 76,237 |
NET BOOK VALUE |
At 31 May 2023 | - |
At 9 March 2023 | - |
LOWMAC ALLOYS HOLDINGS LIMITED (REGISTERED NUMBER: SC761828) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 10 MARCH 2023 TO 31 MAY 2023 |
9. | TANGIBLE FIXED ASSETS |
Group |
Freehold | Plant and | Motor |
property | machinery | vehicles | Totals |
£ | £ | £ | £ |
COST |
At 10 March 2023 | 4,051,600 | 11,289,150 | 2,433,091 | 17,773,841 |
Additions | 7,540 | 149,995 | 182,865 | 340,400 |
Disposals | - | - | (52,241 | ) | (52,241 | ) |
At 31 May 2023 | 4,059,140 | 11,439,145 | 2,563,715 | 18,062,000 |
DEPRECIATION |
At 10 March 2023 | 1,412,720 | 6,418,712 | 1,473,487 | 9,304,919 |
Charge for period | 31,587 | 272,540 | 109,648 | 413,775 |
At 31 May 2023 | 1,444,307 | 6,691,252 | 1,583,135 | 9,718,694 |
NET BOOK VALUE |
At 31 May 2023 | 2,614,833 | 4,747,893 | 980,580 | 8,343,306 |
At 9 March 2023 | 2,638,880 | 4,870,438 | 959,604 | 8,468,922 |
10. | FIXED ASSET INVESTMENTS |
Company |
Shares in |
group |
undertakings |
£ |
COST |
Additions |
At 31 May 2023 |
NET BOOK VALUE |
At 31 May 2023 |
LOWMAC ALLOYS HOLDINGS LIMITED (REGISTERED NUMBER: SC761828) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 10 MARCH 2023 TO 31 MAY 2023 |
10. | FIXED ASSET INVESTMENTS - continued |
The group or the company's investments at the Balance Sheet date in the share capital of companies include the following: |
SUBSIDIARY |
Registered office: 67 Green Street Lane, Ayr KA8 8BE |
Nature of business: |
% |
Class of shares: | holding |
31/5/23 |
£ |
Aggregate capital and reserves |
Profit for the period |
11. | STOCKS |
Group |
£ |
Trading stock | 27,885 |
12. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group |
£ |
Trade debtors | 5,209,796 |
Other debtors | 3,160 |
Directors' loan account | 52,736 |
Tax | 16,331 |
Corporation tax | 121,210 |
5,403,233 |
13. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group |
£ |
Trade creditors | 1,991,969 |
Company credit card | 2,560 |
Social security and other taxes | 57,448 |
VAT | 420,919 |
Accrued expenses | 210,230 |
2,683,126 |
LOWMAC ALLOYS HOLDINGS LIMITED (REGISTERED NUMBER: SC761828) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 10 MARCH 2023 TO 31 MAY 2023 |
13. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR - continued |
The accrued expenses figure includes pension contributions in the amount of £10,551 |
14. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Group |
Non- | cancellable | operating leases |
£ |
Within one year | 148,127 |
Between one and five years | 407,348 |
555,475 |
15. | PROVISIONS FOR LIABILITIES |
Group |
£ |
Deferred tax | 969,261 |
Group |
Deferred |
tax |
£ |
Provided during period | (2,288 | ) |
At 10 March 2023 | 971,549 |
Balance at 31 May 2023 | 969,261 |
16. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal |
value: | £ |
Ordinary | £1 | 941 |
LOWMAC ALLOYS HOLDINGS LIMITED (REGISTERED NUMBER: SC761828) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 10 MARCH 2023 TO 31 MAY 2023 |
17. | RESERVES |
Group |
Retained | Share | Other |
earnings | premium | reserves | Totals |
£ | £ | £ | £ |
At 10 March 2023 | 3,909,359 | - | 1,272 | 3,910,631 |
Profit for the period | 362,131 | 362,131 |
Share premium | - | 15,420,883 | - | 15,420,883 |
At 31 May 2023 | 4,271,490 | 15,420,883 | 1,272 | 19,693,645 |
Company |
Retained | Share |
earnings | premium | Totals |
£ | £ | £ |
Profit for the period |
Share premium | - | 15,420,883 | 15,420,883 |
At 31 May 2023 | 16,509,971 |
18. | RELATED PARTY DISCLOSURES |
Key management personnel of the entity or its parent (in the aggregate) |
£ |
Amount due from related party | 52,736 |
Amount due to related party | 5,374 |
19. | ULTIMATE CONTROLLING PARTY |
The controlling party is Mr Kenneth Alexander Smith. |