REGISTERED NUMBER: |
Amazone Limited |
Strategic Report, Report of the Directors and |
Financial Statements For The Year Ended 31 December 2023 |
REGISTERED NUMBER: |
Amazone Limited |
Strategic Report, Report of the Directors and |
Financial Statements For The Year Ended 31 December 2023 |
Amazone Limited (Registered number: 01682015) |
Contents of the Financial Statements |
For The Year Ended 31 December 2023 |
Page |
Company Information | 1 |
Strategic Report | 2 |
Report of the Directors | 4 |
Report of the Independent Auditors | 6 |
Statement of Comprehensive Income | 8 |
Balance Sheet | 9 |
Statement of Changes in Equity | 10 |
Cash Flow Statement | 11 |
Notes to the Cash Flow Statement | 12 |
Notes to the Financial Statements | 13 |
Amazone Limited |
Company Information |
For The Year Ended 31 December 2023 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Chartered Accountants |
Sidings Court |
Lakeside |
Doncaster |
DN4 5NU |
Amazone Limited (Registered number: 01682015) |
Strategic Report |
For The Year Ended 31 December 2023 |
The directors present their strategic report for the year ended 31 December 2023. |
REVIEW OF BUSINESS |
The company employed 34 people (31 in 2022) in 2023 and produced a turnover of £32,234,073 (2022 - £27,906,583). The demand for machinery continued to be strong in 2023 fuelled by the income from farming in 2022. Although commodity prices started to fall during 2023, input prices also fell. The levelling up of the worldwide supply chain against order intake gave improved machinery pricing stability during the year with no great changes in manufacturing or distribution costs. The additional costs incurred by leaving the EU single market are now identified and factored into the structure. With this level of price stability and farmer confidence, the business grew again with turnover up by 16% on the previous year. Various government backed schemes has helped increase sales in some sectors such as crop establishment and the amenity sector with Groundcare sales also holding up well in a difficult commercial environment. The workforce was increased to cope with the increase in business and the taking in-house of marketing and business development. |
As always, this year again has seen the introduction of new models and product lines, particularly in precision seeding and mechanical weeding, which have helped our market position and which also offer new opportunities within the dealer network meaning that the business has been able to further bolster its position in the British agricultural machinery market. |
Capital and reserves at the end of the year amounted to £5,394,222 (2022 - £4,718,116). During the year the company acquired new fixed assets of £652,224 (2022 - £487,313). |
Whole goods supply |
The world demand for agricultural machinery has slowed with the drop in commodity prices and an improved component supply chain has seen lead times drop and so improved factory availability. However, the increased levels of stock seen in 2022, and again maintained this year, has continued to pay off by having machinery available for immediate delivery and so ensuring invoiceable sales. The order book at the year-end continued at a decent level but the business will take an increased level of stock into 2024. |
The high level of inflation and the increased headcount means that staff costs have increased but the improving turnover level means that this has had a minimal impact on the business. |
The company had no external finance at the year end, but had a £18,955,169 (2022 - £12,557,675) trading balance due to its parent company Amazonen-Werke H. Dreyer SE & Co. KG in Germany. The target of ensuring rolling trading balances to be repaid within 180 days has continued to progress in 2023. |
In undertaking their review, the directors have prepared financial projections for the period of 24 months from the date of issue of these financial statements. Contingency plans for various scenarios have been considered to preserve financial resources including reliance on utilising extended payment terms with the parent company as in previous years. An assessment has been made by Group management which concluded Amazonen-Werke H. Dreyer SE & Co. KG has sufficient available headroom within its liquidity funding. |
Therefore, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future and meet liabilities as they fall due. Thus they continue to adopt the going concern basis in preparing the financial statements. |
Amazone Limited (Registered number: 01682015) |
Strategic Report |
For The Year Ended 31 December 2023 |
PRINCIPAL RISKS AND UNCERTAINTIES |
The wet weather in autumn 2023 has prevented the establishment of some winter crops and this will impact farm incomes going forwards, although this has also strengthened commodity prices slightly. The on-going change in farm support from area-based payments to specific support of environmental schemes and alternative establishment techniques, designed to lower farming emissions and to protect the environment, has also had an effect on farming. However, those environmental and government pressures means that agricultural sector has to continue to invest in quality, hi-tech machinery to benefit from these grants and so can better utilise inputs and this investment will help to maintain the market. |
It was announced during the financial year 2023 that the current managing director would be retiring in 2024 and so the business has worked hard to put the structure in place to ensure the continuity of the business ahead of that departure. |
ON BEHALF OF THE BOARD: |
Amazone Limited (Registered number: 01682015) |
Report of the Directors |
For The Year Ended 31 December 2023 |
The directors present their report with the financial statements of the company for the year ended 31 December 2023. |
PRINCIPAL ACTIVITY |
Amazone Limited import agricultural equipment from its parent companies in Germany and France, mainly Amazonen-Werke H. Dreyer SE & Co. KG and Amazone Machines Agricoles S.A. Amazonen-Werke H. Dreyer SE & Co. KG specialises in crop establishment and crop care machinery whereas Amazone Machines Agricoles S.A. provides equipment for use in the amenity market. Amazone Limited has a team of territory sales managers and territory field service managers that support the end customer via an extensive dealer network. |
DIVIDENDS |
No dividends will be distributed for the year ended 31 December 2023. |
FUTURE DEVELOPMENTS |
There are no future developments which the directors' consider need to be disclosed. |
DIRECTORS |
Other changes in directors holding office are as follows: |
FINANCIAL INSTRUMENTS |
The company enters into foreign exchange forward contracts to manage its exposure to foreign currency risk. These derivatives are measured at fair value at each reporting date and recognise changes in fair value in profit or loss for the period. |
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations. |
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and 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 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 directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
Amazone Limited (Registered number: 01682015) |
Report of the Directors |
For The Year Ended 31 December 2023 |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director 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 company's auditors are aware of that information. |
ON BEHALF OF THE BOARD: |
Report of the Independent Auditors to the Members of |
Amazone Limited |
Opinion |
We have audited the financial statements of Amazone Limited (the 'company') for the year ended 31 December 2023 which comprise the Statement of Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the 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 company's affairs as at 31 December 2023 and of its profit for the year then ended; |
- | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. |
Conclusions relating to going concern |
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. |
Other information |
The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, 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 Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors. |
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
- | adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of directors' remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
Report of the Independent Auditors to the Members of |
Amazone Limited |
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page four, 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 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. |
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. |
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The specific procedures for this engagement and the extent to which these are capable of detecting irregularities, including fraud is detailed below: |
- | Understanding how those charged with governance considered and addressed the potential for override of controls or other inappropriate influence over the financial reporting process; |
- | Assessing the extent of compliance with relevant laws and regulations via enquiry of management and review of expenditure and correspondence; |
- | Enquiry of management around actual and potential litigation and claims and fraud; |
- | Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations; |
- | Performing audit work over the risk of management override of controls, including review of transactions and other adjustments for appropriateness and evaluating the business rationale of any significant transactions outside the normal course of business. |
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 Report of the Auditors. |
Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
for and on behalf of |
Chartered Accountants |
Sidings Court |
Lakeside |
Doncaster |
DN4 5NU |
Amazone Limited (Registered number: 01682015) |
Statement of Comprehensive |
Income |
For The Year Ended 31 December 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
TURNOVER | 4 |
Cost of sales |
GROSS PROFIT |
Distribution costs |
Administrative expenses |
4,009,870 | 3,713,448 |
OPERATING PROFIT | 6 |
Interest receivable and similar income |
884,159 | 1,410,057 |
Interest payable and similar expenses | 7 |
PROFIT BEFORE TAXATION |
Tax on profit | 8 |
PROFIT FOR THE FINANCIAL YEAR |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
Amazone Limited (Registered number: 01682015) |
Balance Sheet |
31 December 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 9 |
CURRENT ASSETS |
Stocks | 10 |
Debtors | 11 |
Cash at bank and in hand |
CREDITORS |
Amounts falling due within one year | 12 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year | 13 | ( |
) |
PROVISIONS FOR LIABILITIES | 17 | ( |
) | ( |
) |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 18 |
Retained earnings | 19 |
SHAREHOLDERS' FUNDS |
The financial statements were approved by the Board of Directors and authorised for issue on |
Amazone Limited (Registered number: 01682015) |
Statement of Changes in Equity |
For The Year Ended 31 December 2023 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 January 2022 |
Changes in equity |
Total comprehensive income | - |
Balance at 31 December 2022 |
Changes in equity |
Total comprehensive income | - |
Balance at 31 December 2023 |
Amazone Limited (Registered number: 01682015) |
Cash Flow Statement |
For The Year Ended 31 December 2023 |
2023 | 2022 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | ( |
) | ( |
) |
Interest element of finance lease payments paid | ( |
) | ( |
) |
Tax paid | ( |
) |
Net cash from operating activities | ( |
) | ( |
) |
Cash flows from investing activities |
Purchase of tangible fixed assets | ( |
) | ( |
) |
Sale of tangible fixed assets |
Interest received |
Net cash from investing activities | ( |
) | ( |
) |
Cash flows from financing activities |
Capital repayments in year | ( |
) | ( |
) |
Amounts due to group undertakings |
Net cash from financing activities |
Increase in cash and cash equivalents |
Cash and cash equivalents at beginning of year | 2 | 1,006,960 |
Cash and cash equivalents at end of year | 2 | 2,199,528 | 2,156,533 |
Amazone Limited (Registered number: 01682015) |
Notes to the Cash Flow Statement |
For The Year Ended 31 December 2023 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
2023 | 2022 |
£ | £ |
Profit before taxation |
Depreciation charges |
Profit on disposal of fixed assets | ( |
) | ( |
) |
Increase in provisions | 3,812 | 207,945 |
Finance costs | 10,802 | 10,802 |
Finance income | (162,813 | ) | (148,106 | ) |
1,033,096 | 1,731,916 |
Increase in stocks | ( |
) | ( |
) |
Increase in trade and other debtors | ( |
) | ( |
) |
Increase in trade and other creditors |
Cash generated from operations | ( |
) | ( |
) |
2. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
Year ended 31 December 2023 |
31.12.23 | 1.1.23 |
£ | £ |
Cash and cash equivalents | 2,199,528 | 2,156,533 |
Year ended 31 December 2022 |
31.12.22 | 1.1.22 |
£ | £ |
Cash and cash equivalents | 2,156,533 | 1,006,960 |
3. | ANALYSIS OF CHANGES IN NET FUNDS |
At 1.1.23 | Cash flow | At 31.12.23 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 2,156,533 | 42,995 | 2,199,528 |
2,156,533 | 2,199,528 |
Debt |
Finance leases | (152,618 | ) | 112,300 | (40,318 | ) |
(152,618 | ) | 112,300 | (40,318 | ) |
Total | 2,003,915 | 155,295 | 2,159,210 |
Amazone Limited (Registered number: 01682015) |
Notes to the Financial Statements |
For The Year Ended 31 December 2023 |
1. | STATUTORY INFORMATION |
Amazone Limited is a |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgement in applying the company's accounting policies. |
The presentational and functional currency of these financial statements is GBP. Values are rounded to the nearest pound. |
The following principal accounting policies have been applied: |
Turnover |
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. |
If the company enters into an agreement where the machinery must be repurchased after a certain period, the initial consideration is not recognised as turnover. The difference between the sale and repurchase price is recognised as deferred income and released to turnover over the period of the agreement. |
Amazone Limited (Registered number: 01682015) |
Notes to the Financial Statements - continued |
For The Year Ended 31 December 2023 |
2. | ACCOUNTING POLICIES - continued |
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. |
The company adds to the carrying amount of an item of fixed assets the cost of replacing part of such an item when that cost is incurred, if the replacement part is expected to provide incremental future benefits to the company. The carrying amount of the replaced part is derecognised. Repairs and maintenance are charged to profit or loss during the period in which they are incurred. |
Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives. Depreciation on assets 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 & machinery - 20% per annum |
Motor vehicles - 20-33% per annum |
Office equipment - 20-25% per annum |
Assets held for leasing - 10% per annum |
Improvements to property - 20% per annum |
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 within 'cost of sales' in the statement of comprehensive income. |
Stocks |
Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to sell. Cost is based on the cost of purchase on a weighted average basis. At each reporting date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to sell. The impairment loss is recognised immediately in statement of comprehensive income. |
Financial instruments |
The company holds basic financial instruments as defined by FRS102. The financial assets and financial liabilities of the company and their measurement basis are as follows: |
Financial assets - trade and other debtors are basic financial instruments and are debt instruments measured at amortised cost. Prepayments are not financial instruments. |
Cash at bank - is classified as a basic financial instrument and is measured at face value. |
Financial liabilities - trade creditors, accruals and other creditors are financial instruments, and are measured at amortised cost. Taxation and social security are not included in the financial instruments disclosure definition. Deferred income is not deemed to be a financial liability, as the cash settlement has already taken place and there is an obligation to deliver services rather than cash or another financial instrument. |
The company enters into foreign exchange forward contracts to manage its exposure to foreign currency risk. These derivatives are measured at fair value at each reporting date and changes in fair value are recognised in profit and loss for the period |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income, except to the extent that it relates to items recognised in other comprehensive income or directly in 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. |
Amazone Limited (Registered number: 01682015) |
Notes to the Financial Statements - continued |
For The Year Ended 31 December 2023 |
2. | ACCOUNTING POLICIES - continued |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
Foreign currencies |
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result. |
Hire purchase and leasing commitments |
Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter. |
The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability. |
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. |
Pension costs and other post-retirement benefits |
The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate. |
3. | CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY |
In preparing these financial statements, the directors have had to make the following judgements: |
Stock valuation (judgement) |
At each reporting date, stock is assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to sell. The impairment loss is recognised immediately in the statement of comprehensive income. |
Warranty provision (estimate) |
A warranty provision is estimated based on management's experience of the level of claims received historically given the sales made during the year. |
4. | TURNOVER |
The turnover and profit before taxation are attributable to the one principal activity of the company. |
The company engages in only one class of business. All turnover was within the United Kingdom. |
5. | EMPLOYEES AND DIRECTORS |
2023 | 2022 |
£ | £ |
Wages and salaries |
Social security costs |
Other pension costs |
Amazone Limited (Registered number: 01682015) |
Notes to the Financial Statements - continued |
For The Year Ended 31 December 2023 |
5. | EMPLOYEES AND DIRECTORS - continued |
The average number of employees during the year was as follows: |
2023 | 2022 |
Management | 6 | 6 |
Sales, distribution and administration | 28 | 25 |
2023 | 2022 |
£ | £ |
Directors' remuneration |
Directors' pension contributions to money purchase schemes |
The number of directors to whom retirement benefits were accruing was as follows: |
Money purchase schemes |
6. | OPERATING PROFIT |
The operating profit is stated after charging/(crediting): |
2023 | 2022 |
£ | £ |
Other operating leases |
Depreciation - owned assets |
Depreciation - assets on finance leases |
Profit on disposal of fixed assets | ( |
) | ( |
) |
Auditors' remuneration |
Exchange Differences |
7. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2023 | 2022 |
£ | £ |
Hire purchase |
Amazone Limited (Registered number: 01682015) |
Notes to the Financial Statements - continued |
For The Year Ended 31 December 2023 |
8. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
2023 | 2022 |
£ | £ |
Current tax: |
UK corporation tax |
Adjustment for earlier years | (1,450 | ) | - |
Total current tax |
Deferred tax |
Tax on profit |
UK corporation tax has been charged at 23.52% (2022 - 19%). |
Reconciliation of total tax charge included in profit and loss |
The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below: |
2023 | 2022 |
£ | £ |
Profit before tax |
Profit multiplied by the standard rate of corporation tax in the UK of |
Effects of: |
Expenses not deductible for tax purposes |
provision |
Super deduction relief | (512 | ) | (8,437 | ) |
Deferred taxation rate difference | (12,993 | ) | 19,160 |
Over provision from prior period | - | (923 | ) |
Total tax charge | 197,250 | 277,610 |
Amazone Limited (Registered number: 01682015) |
Notes to the Financial Statements - continued |
For The Year Ended 31 December 2023 |
9. | TANGIBLE FIXED ASSETS |
Improvements | Fixtures |
to | Plant and | and | Motor |
property | machinery | fittings | vehicles | Totals |
£ | £ | £ | £ | £ |
COST |
At 1 January 2023 |
Additions |
Disposals | ( |
) | ( |
) | ( |
) |
At 31 December 2023 |
DEPRECIATION |
At 1 January 2023 |
Charge for year |
Eliminated on disposal | ( |
) | ( |
) | ( |
) |
At 31 December 2023 |
NET BOOK VALUE |
At 31 December 2023 |
At 31 December 2022 |
Fixed assets includes £427,998 (2022 £369,748) plant and machinery which are assets held for leasing. |
Fixed assets, included in the above, which are held under finance leases are as follows: |
Plant and | Motor |
machinery | vehicles | Totals |
£ | £ | £ |
COST |
At 1 January 2023 |
and 31 December 2023 |
DEPRECIATION |
At 1 January 2023 |
Charge for year |
At 31 December 2023 |
NET BOOK VALUE |
At 31 December 2023 |
At 31 December 2022 |
10. | STOCKS |
2023 | 2022 |
£ | £ |
Finished goods |
Amazone Limited (Registered number: 01682015) |
Notes to the Financial Statements - continued |
For The Year Ended 31 December 2023 |
11. | DEBTORS |
2023 | 2022 |
£ | £ |
Amounts falling due within one year: |
Trade debtors |
Other debtors |
Tax |
Prepayments |
Amounts falling due after more than one year: |
Other debtors |
Aggregate amounts |
12. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2023 | 2022 |
£ | £ |
Finance leases (see note 14) |
Trade creditors |
Amounts owed to group undertakings |
Taxation |
Social security and other taxes |
Other creditors |
Accruals and deferred income |
Accruals include deferred income under sale and leaseback arrangements £429,017 (2022 £381,069). |
13. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
2023 | 2022 |
£ | £ |
Finance leases (see note 14) |
14. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Finance leases |
2023 | 2022 |
£ | £ |
Net obligations repayable: |
Within one year |
Between one and five years |
Amazone Limited (Registered number: 01682015) |
Notes to the Financial Statements - continued |
For The Year Ended 31 December 2023 |
14. | LEASING AGREEMENTS - continued |
Non-cancellable operating leases |
2023 | 2022 |
£ | £ |
Within one year |
Between one and five years |
In more than five years |
15. | SECURED DEBTS |
The following secured debts are included within creditors: |
2023 | 2022 |
£ | £ |
Finance leases | 40,318 | 152,618 |
Group undertakings | 19,785,183 | 13,284,545 |
Hire purchases liabilities are secured on the assets concerned. |
Amounts due to group undertakings are secured on the company's stock. |
16. | FINANCIAL INSTRUMENTS |
2023 | 2022 |
£ | £ |
Financial assets |
Financial assets measured at fair value through profit or loss | - | 240,878 |
Financial assets that are debt instruments measured at amortised cost | 13,750,283 | 11,319,982 |
13,750,283 | 11,560,860 |
Financial liabilities |
Financial liabilities measured at fair value through profit or loss | 89,370 | - |
Financial liabilities measured at amortised cost | 20,707,878 | 14,093,387 |
20,797,248 | 14,093,387 |
Financial assets and liabilities measured at fair value through profit or loss comprise contracts to purchase foreign currency at a future date. |
Financial assets measured at amortised cost comprise trade and other debtors and cash at bank and in hand. |
Financial liabilities measured at amortised cost comprise trade and other payables, accruals and amounts due to group companies |
Amazone Limited (Registered number: 01682015) |
Notes to the Financial Statements - continued |
For The Year Ended 31 December 2023 |
17. | PROVISIONS FOR LIABILITIES |
2023 | 2022 |
£ | £ |
Deferred tax |
Accelerated capital allowances |
Other timing differences | (8,571 | ) | (8,749 | ) |
Other provisions | 857,853 | 854,041 |
Deferred | Warranty |
tax | Provision |
£ | £ |
Balance at 1 January 2023 |
Provided during year |
Balance at 31 December 2023 |
Warranty provision |
Provision is made for the anticipated cost of warranty work that will be conducted in future accounting periods based on the proportion of actual costs incurred in the current year in respect of sales in previous years. The likely timing of settlement of the provision is considered to be 12 months. |
18. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2023 | 2022 |
value: | £ | £ |
Ordinary | £1 | 15,000 | 15,000 |
19. | RESERVES |
Retained |
earnings |
£ |
At 1 January 2023 |
Profit for the year |
At 31 December 2023 |
20. | 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 £84,233 (2022 £43,159). Contributions totalling £22,378 (2022 £11,265) were payable to the fund at the reporting date. |
Amazone Limited (Registered number: 01682015) |
Notes to the Financial Statements - continued |
For The Year Ended 31 December 2023 |
21. | ULTIMATE PARENT COMPANY |
The company is controlled by Amazonen-Werke H. Dreyer SE & Co. KG (formerly Amazonen-Werke H Dreyer GmbH & Co KG), a private German limited liability partnership. In the opinion of the directors this is the company's ultimate parent undertaking and ultimate controlling party. |
The parent undertaking of the largest and smallest group for which consolidated accounts are prepared is Amazonen-Werke H Dreyer SE & Co. KG. |
Group accounts can be obtained on request from the parent undertaking at its registered office |
Amazonen-Werke H. Dreyer SE & Co. KG |
Am Amazonenwerk 9-13 |
49205 Hasbergen |
Germany |
22. | RELATED PARTY DISCLOSURES |
2023 | 2022 |
£ | £ |
Purchases |
Amount due to related party |
2023 | 2022 |
£ | £ |
Purchases |
Interest receivable | 135,486 | 144,940 |
Amount due from related party |
Amount due to related party |
The directors have concluded that the key management of the company comprises the directors only. |