IRIS Accounts Production v23.4.0.336 03118349 Board of Directors Board of Directors 31.12.23 1.1.23 31.12.23 31.12.23 the production of a wide range of self-adhesive labels and laminated materials which are supplied to the dairy, office product and automotive industries. true true false true true false false false true true false 'A' Ordinary 0 'B' Ordinary 0 'C' Ordinary 0 iso4217:GBPiso4217:USDiso4217:EURxbrli:sharesxbrli:pureutr:tonnesutr:kWh031183492022-12-31031183492023-12-31031183492023-01-012023-12-31031183492021-12-31031183492022-01-012022-12-31031183492022-12-3103118349ns15:EnglandWales2023-01-012023-12-3103118349ns14:PoundSterling2023-01-012023-12-3103118349ns10:Director12023-01-012023-12-3103118349ns10:Director22023-01-012023-12-3103118349ns10:Consolidated2023-12-3103118349ns10:ConsolidatedGroupCompanyAccounts2023-01-012023-12-3103118349ns10:PrivateLimitedCompanyLtd2023-01-012023-12-3103118349ns10:Consolidatedns10:FRS1022023-01-012023-12-3103118349ns10:Consolidatedns10:Audited2023-01-012023-12-3103118349ns10:LargeMedium-sizedCompaniesRegimeForDirectorsReport2023-01-012023-12-3103118349ns10:LargeMedium-sizedCompaniesRegimeForAccounts2023-01-012023-12-3103118349ns10:Consolidatedns10:LargeMedium-sizedCompaniesRegimeForDirectorsReport2023-01-012023-12-3103118349ns10:LargeMedium-sizedCompaniesRegimeForAccountsns10:Consolidated2023-01-012023-12-3103118349ns10:FullAccounts2023-01-012023-12-310311834912023-01-012023-12-3103118349ns10:OrdinaryShareClass12023-01-012023-12-3103118349ns10:OrdinaryShareClass22023-01-012023-12-3103118349ns10:OrdinaryShareClass32023-01-012023-12-3103118349ns10:Consolidated2023-01-012023-12-3103118349ns10:Director32023-01-012023-12-3103118349ns10:RegisteredOffice2023-01-012023-12-3103118349ns5:ContinuingOperationsns10:Consolidated2023-01-012023-12-3103118349ns5:DiscontinuedOperationsns10:Consolidated2023-01-012023-12-3103118349ns5:ContinuingOperationsns10:Consolidated2022-01-012022-12-3103118349ns5:DiscontinuedOperationsns10:Consolidated2022-01-012022-12-3103118349ns10:Consolidated2022-01-012022-12-3103118349ns5:CurrentFinancialInstruments2023-12-3103118349ns5:CurrentFinancialInstruments2022-12-3103118349ns5:ShareCapital2023-12-3103118349ns5:ShareCapital2022-12-3103118349ns5:RetainedEarningsAccumulatedLosses2023-12-3103118349ns5:RetainedEarningsAccumulatedLosses2022-12-3103118349ns5:ShareCapital2021-12-3103118349ns5:RetainedEarningsAccumulatedLosses2021-12-3103118349ns5:RetainedEarningsAccumulatedLosses2023-01-012023-12-3103118349ns5:NetGoodwill2023-01-012023-12-3103118349ns5:PatentsTrademarksLicencesConcessionsSimilar2023-01-012023-12-3103118349ns5:LongLeaseholdAssetsns5:LandBuildings2023-01-012023-12-3103118349ns5:PlantMachinery2023-01-012023-12-3103118349ns5:FurnitureFittings2023-01-012023-12-310311834912023-01-012023-12-3103118349ns5:CostValuation2022-12-3103118349ns10:OrdinaryShareClass12023-12-3103118349ns10:OrdinaryShareClass22023-12-3103118349ns10:OrdinaryShareClass32023-12-3103118349ns5:RetainedEarningsAccumulatedLosses2022-12-31
REGISTERED NUMBER: 03118349 (England and Wales)


















GROUP STRATEGIC REPORT,

REPORT OF THE DIRECTORS AND

CONSOLIDATED FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31ST DECEMBER 2023

FOR

INTERKET HOLDINGS UK LTD

INTERKET HOLDINGS UK LTD (REGISTERED NUMBER: 03118349)






CONTENTS OF THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31ST DECEMBER 2023




Page

Company Information 1

Group Strategic Report 2 to 3

Report of the Directors 4

Report of the Independent Auditors 5 to 8

Consolidated Income Statement 9 to 10

Consolidated Other Comprehensive Income 11

Consolidated Balance Sheet 12

Company Balance Sheet 13

Consolidated Statement of Changes in Equity 14

Company Statement of Changes in Equity 15

Consolidated Cash Flow Statement 16

Notes to the Consolidated Cash Flow Statement 17

Notes to the Consolidated Financial Statements 18 to 29


INTERKET HOLDINGS UK LTD

COMPANY INFORMATION
FOR THE YEAR ENDED 31ST DECEMBER 2023







DIRECTORS: Mr T J Pattison
Mr C E Parkander
J L Wharmby





REGISTERED OFFICE: Bingswood Industrial Estate
Whaley Bridge
High Peak
Derbyshire
SK23 7SP





REGISTERED NUMBER: 03118349 (England and Wales)





AUDITORS: Allens Accountants Limited
Registered Auditors and
Chartered Accountants
123 Wellington Road South
Stockport
Cheshire
SK1 3TH

INTERKET HOLDINGS UK LTD (REGISTERED NUMBER: 03118349)

GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 31ST DECEMBER 2023

The directors present their strategic report of the company and the group for the year ended 31st December 2023.

The principal activity of the Group in the year under review was the production of a wide range of self-adhesive labels and laminated materials which are supplied to the Dairy, Office Product and Automotive Industries.

The UK Group headed by Interket Holdings UK Limited operates as part of the wider European Interket Group.

REVIEW OF BUSINESS
During the year customer demand remained at more even levels than experienced throughout 2022, this was combined with more stable raw material supply chains and lower fluctuations in other cost areas such as utility and transport costs. These more settled circumstances resulted in lower levels of impact to customer pricing, which in turn resulted in turnover at a comparable level year-over-year.

During the second half of the year, part of the office products segment of the business was divested. Including the impact from the divestiture, turnover for the full year showed only a slight reduction of 3.2% when compared to 2022.

When compared to 2022, Gross Margin was up from 14.2% to 21.0%. The main factors contributing to the increased margin were decreases in costs for raw materials along with the positive impact of reduced production waste and efficiency gains.

KEY PERFORMANCE INDICATORS

The Group measures progress by reference to operating efficiencies in terms of Machine Speeds, Production Waste and Downtime hours.

The key performance indicator is Earnings Before Interest, Taxation, Depreciation and Amortisation ('EBITDA') which including the income from the divested segment of the business showed improved levels compared to 2022, increasing to 9.3% for 2023:
2023 2022
£'000 £'000
EBITDA 1,545 967
EBITDA as percentage of sales 9.3% 5.6%

The Group maintained its accreditations to the BRC/IoP Global Standard for Packaging and also Quality Standard BS EN ISO 9001:2015.

PRINCIPAL RISKS AND UNCERTAINTIES
Foreign Exchange:
Approximately 40% of the Group's raw material purchases are denominated in Euro currency. This risk is managed by a combination of the use of forward contracts, and by a natural hedge from Euro denominated sales.

Credit Risk:
The Group is very alert to the risk of customer insolvencies, this risk is managed by a high level focus on the credit control function. Customer payment records are monitored and credit limits are subject to regular review. The Board receives regular reports on amounts overdue and relevant action is taken.

New Customers are screened via a review of filed accounts and the use of credit checks as appropriate.

A Credit Insurance policy remains in place.


INTERKET HOLDINGS UK LTD (REGISTERED NUMBER: 03118349)

GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 31ST DECEMBER 2023

OUTLOOK
The Directors expect underlying Turnover and Profitability to be maintained at similar levels in 2024. In 2024 the business will be re-locating its manufacturing operations after securing the lease to new premises located in Adlington. Throughout 2024 there will be ongoing investment into the new production facility.

ON BEHALF OF THE BOARD:





Mr T J Pattison - Director


27th March 2024

INTERKET HOLDINGS UK LTD (REGISTERED NUMBER: 03118349)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 31ST DECEMBER 2023

The directors present their report with the financial statements of the company and the group for the year ended 31st December 2023.

DIVIDENDS
No dividends will be distributed for the year ended 31st December 2023.

DIRECTORS
The directors shown below have held office during the whole of the period from 1st January 2023 to the date of this report.

Mr T J Pattison
Mr C E Parkander
J L Wharmby

STATEMENT OF DIRECTORS' RESPONSIBILITIES
The directors are responsible for preparing the Group 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), 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 the group and of the profit or loss of the group 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 and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group 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 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 directors are 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 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 group's auditors are aware of that information.

AUDITORS
The auditors, Allens Accountants Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:





Mr T J Pattison - Director


27th March 2024

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
INTERKET HOLDINGS UK LTD

Opinion
We have audited the financial statements of Interket Holdings UK Ltd (the 'parent company') and its subsidiaries (the 'group') for the year ended 31st December 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 31st December 2023 and of the group's 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 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 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 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 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 Group 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 Group 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 Group Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
INTERKET HOLDINGS UK LTD


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 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 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 directors' remuneration specified by law are not made; or
- we have not received all the information and explanations we require for our audit.

Responsibilities of directors
As explained more fully in the 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 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 directors either intend to liquidate the group or the parent company or to cease operations, or have no realistic alternative but to do so.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
INTERKET HOLDINGS UK LTD


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:

Extent to which the audit was considered capable of detecting irregularities, including fraud

We identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and then design and perform audit procedures responsive to those risks, including obtaining audit evidence that is sufficient and appropriate to provide a basis for our opinion.

Identifying and assessing potential risks related to irregularities

In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, we considered the following:

- the nature of the industry and sector, control environment and business performance including the design of the company's remuneration policies, key drivers for the directors' remuneration, bonus levels and performance targets;
- results of our enquiries of management and the board of directors about their own identification and assessment of the risks of irregularities;
- any matters we identified having obtained and reviewed the company's documentation of their policies and procedures relating to:
- identifying, evaluating and complying with laws and regulations and whether they were aware of any instances of non-compliance;
- detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or alleged fraud;
- the internal controls established to mitigate risks of fraud or non-compliance with laws and regulations;
- the matters discussed among the audit engagement team regarding how and where fraud might occur in the financial statements and any potential indicators of fraud.

As a result of these procedures, we considered the opportunities and incentives that may exist within the organisation for fraud. In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override.

We also obtained an understanding of the legal and regulatory framework that the company operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context included the UK Companies Act and tax legislation. In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which may be fundamental to the company's ability to operate or to avoid a material penalty.

Audit response to risks identified

Our procedure to respond to risks identified included the following:

- reviewing the financial statement disclosures and testing to supporting documentation to assess compliance with provisions of relevant laws and regulations described as having a direct effect on the financial statements;
- enquiring of management and the board of directors concerning actual and potential litigation and claims;
- performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud;
- in addressing the risk of fraud through management override of controls, testing the appropriateness of journal entries and other adjustments; assessing whether the judgements made in making accounting estimates are indicative of a potential bias; and evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business.


REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
INTERKET HOLDINGS UK LTD

We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members, and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.

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.




Paul Wright (Senior Statutory Auditor)
for and on behalf of Allens Accountants Limited
Registered Auditors and
Chartered Accountants
123 Wellington Road South
Stockport
Cheshire
SK1 3TH

27th March 2024

INTERKET HOLDINGS UK LTD (REGISTERED NUMBER: 03118349)

CONSOLIDATED
INCOME STATEMENT
FOR THE YEAR ENDED 31ST DECEMBER 2023

2023 2023 2023
Continuing Discontinued Total
Notes £    £    £   

TURNOVER 3 16,296,633 323,974 16,620,607
Cost of sales (12,872,912 ) (262,656 ) (13,135,568 )
GROSS PROFIT 3,423,721 61,318 3,485,039

Sales and marketing costs (613,010 ) (31,844 ) (644,854 )
Administrative expenses (1,993,088 ) (49,141 ) (2,042,229 )
817,623 (19,667 ) 797,956

Other operating income 69,698 - 69,698


OPERATING PROFIT/(LOSS) 887,321 (19,667 ) 867,654

Profit/loss on sale of intangible fixed assets 5 - 200,000 200,000
887,321 180,333 1,067,654

Interest receivable and similar income 10,549 4,085 14,634
Interest payable and similar expenses 6 (115,513 ) - (115,513 )
PROFIT BEFORE TAXATION 7 782,357 184,418 966,775
Tax on profit 8 (216,430 ) (41,713 ) (258,143 )
PROFIT FOR THE FINANCIAL YEAR 565,927 142,705 708,632
Profit attributable to:
Owners of the parent 708,632

INTERKET HOLDINGS UK LTD (REGISTERED NUMBER: 03118349)

CONSOLIDATED
INCOME STATEMENT
FOR THE YEAR ENDED 31ST DECEMBER 2023

2022 2022 2022
Continuing Discontinued Total
Notes £    £    £   

TURNOVER 3 16,578,105 599,552 17,177,657
Cost of sales (14,316,128 ) (423,795 ) (14,739,923 )
GROSS PROFIT 2,261,977 175,757 2,437,734

Sales and marketing costs (566,000 ) (29,252 ) (595,252 )
Administrative expenses (1,506,123 ) (89,842 ) (1,595,965 )

OPERATING PROFIT 189,854 56,663 246,517

Interest receivable and similar income 6,216 333 6,549
Interest payable and similar expenses 6 (76,139 ) - (76,139 )
PROFIT BEFORE TAXATION 7 119,931 56,996 176,927
Tax on profit 8 (108,352 ) (10,829 ) (119,181 )
PROFIT FOR THE FINANCIAL YEAR 11,579 46,167 57,746
Profit attributable to:
Owners of the parent 57,746

INTERKET HOLDINGS UK LTD (REGISTERED NUMBER: 03118349)

CONSOLIDATED
OTHER COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31ST DECEMBER 2023

2023 2022
Notes £    £   

PROFIT FOR THE YEAR 708,632 57,746


OTHER COMPREHENSIVE INCOME - -
TOTAL COMPREHENSIVE INCOME
FOR THE YEAR

708,632

57,746

Total comprehensive income attributable to:
Owners of the parent 708,632 57,746

INTERKET HOLDINGS UK LTD (REGISTERED NUMBER: 03118349)

CONSOLIDATED BALANCE SHEET
31ST DECEMBER 2023

2023 2022
Notes £    £    £    £   
FIXED ASSETS
Intangible assets 11 - -
Tangible assets 12 2,710,883 2,795,914
Investments 13 - -
2,710,883 2,795,914

CURRENT ASSETS
Stocks 14 1,293,827 1,721,152
Debtors 15 2,850,185 3,402,969
4,144,012 5,124,121
CREDITORS
Amounts falling due within one year 16 2,625,458 4,468,425
NET CURRENT ASSETS 1,518,554 655,696
TOTAL ASSETS LESS CURRENT
LIABILITIES

4,229,437

3,451,610

CREDITORS
Amounts falling due after more than one
year

17

(85,510

)

(232,745

)

PROVISIONS FOR LIABILITIES 21 (552,262 ) (335,832 )
NET ASSETS 3,591,665 2,883,033

CAPITAL AND RESERVES
Called up share capital 22 48,380 48,380
Retained earnings 23 3,543,285 2,834,653
SHAREHOLDERS' FUNDS 3,591,665 2,883,033

The financial statements were approved by the Board of Directors and authorised for issue on 27th March 2024 and were signed on its behalf by:




Mr T J Pattison - Director



J L Wharmby - Director


INTERKET HOLDINGS UK LTD (REGISTERED NUMBER: 03118349)

COMPANY BALANCE SHEET
31ST DECEMBER 2023

2023 2022
Notes £    £    £    £   
FIXED ASSETS
Intangible assets 11 - -
Tangible assets 12 - -
Investments 13 521,502 521,502
521,502 521,502

CREDITORS
Amounts falling due within one year 16 - 172,266
NET CURRENT LIABILITIES - (172,266 )
TOTAL ASSETS LESS CURRENT
LIABILITIES

521,502

349,236

CAPITAL AND RESERVES
Called up share capital 22 48,380 48,380
Retained earnings 23 473,122 300,856
SHAREHOLDERS' FUNDS 521,502 349,236

Company's profit for the financial year 172,266 -

The financial statements were approved by the Board of Directors and authorised for issue on 27th March 2024 and were signed on its behalf by:




Mr T J Pattison - Director



J L Wharmby - Director


INTERKET HOLDINGS UK LTD (REGISTERED NUMBER: 03118349)

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31ST DECEMBER 2023

Called up
share Retained Total
capital earnings equity
£    £    £   
Balance at 1st January 2022 48,380 2,776,907 2,825,287

Changes in equity
Total comprehensive income - 57,746 57,746
Balance at 31st December 2022 48,380 2,834,653 2,883,033

Changes in equity
Total comprehensive income - 708,632 708,632
Balance at 31st December 2023 48,380 3,543,285 3,591,665

INTERKET HOLDINGS UK LTD (REGISTERED NUMBER: 03118349)

COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31ST DECEMBER 2023

Called up
share Retained Total
capital earnings equity
£    £    £   
Balance at 1st January 2022 48,380 300,856 349,236

Changes in equity
Balance at 31st December 2022 48,380 300,856 349,236

Changes in equity
Total comprehensive income - 172,266 172,266
Balance at 31st December 2023 48,380 473,122 521,502

INTERKET HOLDINGS UK LTD (REGISTERED NUMBER: 03118349)

CONSOLIDATED CASH FLOW STATEMENT
FOR THE YEAR ENDED 31ST DECEMBER 2023

2023 2022
Notes £    £   
Cash flows from operating activities
Cash generated from operations 1 1,476,266 236,171
Interest paid (92,792 ) (51,927 )
Interest element of hire purchase payments
paid

(22,721

)

(24,212

)
Tax paid (10,829 ) -
Net cash from operating activities 1,349,924 160,032

Cash flows from investing activities
Purchase of tangible fixed assets (629,255 ) (65,116 )
Sale of tangible fixed assets 37,067 -
Interest received 14,634 6,549
Net cash from investing activities (577,554 ) (58,567 )

Cash flows from financing activities
Interket loan 236,777 (236,778 )
Capital repayments in year (273,471 ) (7,054 )
Net cash from financing activities (36,694 ) (243,832 )

Increase/(decrease) in cash and cash equivalents 735,676 (142,367 )
Cash and cash equivalents at beginning of
year

2

(1,419,585

)

(1,277,218

)

Cash and cash equivalents at end of year 2 (683,909 ) (1,419,585 )

INTERKET HOLDINGS UK LTD (REGISTERED NUMBER: 03118349)

NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT
FOR THE YEAR ENDED 31ST DECEMBER 2023

1. RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM
OPERATIONS
2023 2022
£    £   
Profit before taxation 966,775 176,927
Depreciation charges 714,286 720,438
Profit on disposal of fixed assets (37,067 ) -
Finance costs 115,513 76,139
Finance income (14,634 ) (6,549 )
1,744,873 966,955
Decrease/(increase) in stocks 427,325 (729,259 )
Decrease/(increase) in trade and other debtors 316,007 (670,522 )
(Decrease)/increase in trade and other creditors (1,011,939 ) 668,997
Cash generated from operations 1,476,266 236,171

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 31st December 2023
31/12/23 1/1/23
£    £   
Bank overdrafts (683,909 ) (1,419,585 )
Year ended 31st December 2022
31/12/22 1/1/22
£    £   
Cash and cash equivalents - 35
Bank overdrafts (1,419,585 ) (1,277,253 )
(1,419,585 ) (1,277,218 )


3. ANALYSIS OF CHANGES IN NET DEBT

At 1/1/23 Cash flow At 31/12/23
£    £    £   
Net cash
Bank overdrafts (1,419,585 ) 735,676 (683,909 )
(1,419,585 ) 735,676 (683,909 )
Debt
Finance leases (504,976 ) 273,471 (231,505 )
(504,976 ) 273,471 (231,505 )
Total (1,924,561 ) 1,009,147 (915,414 )

INTERKET HOLDINGS UK LTD (REGISTERED NUMBER: 03118349)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31ST DECEMBER 2023

1. STATUTORY INFORMATION

Interket Holdings UK Ltd is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the General Information page.

2. ACCOUNTING POLICIES

Basis of preparing the financial statements
These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

The financial statements are presented in Sterling (£).

Going concern
After reviewing the Group's forecasts and projections, the directors have a reasonable expectation that the Group has adequate resources to continue in operational existence for the foreseeable future. The Group therefore continues to adopt the going concern basis in preparing its consolidated financial statements.

Basis of consolidation
The Group consolidated financial statements include the financial statements of the Company and all of its subsidiary undertakings made up to 31 December 2023.

A subsidiary is an entity controlled by the Group. Control is the power to govern the financial and operating policies of an entity so as to obtain benefits from its activities.

Acquisitions of subsidiaries and businesses are accounted for using the acquisition method. The cost of the business combination is measured at the aggregate of the fair values (at the date of exchange) of assets given, liabilities incurred or assumed, and equity instruments issued by the Group in exchange for control of the acquiree plus costs directly attributable to the business combination.

Any excess of the cost of the business combination over the acquirer's interest in the net fair value of the identifiable assets and liabilities is recognised as goodwill. If the net fair value of the identifiable assets and liabilities exceeds the cost of the business combination the excess is recognised separately on the face of the consolidated balance sheet immediately below goodwill.

All inter-group transactions, balances, income and expenses are eliminated in full on consolidation.

Investments in subsidiaries
Investments in subsidiaries are accounted for at cost less impairment in the individual financial statements.

Related party exemption
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group.

Transactions between group entities which have been eliminated on consolidation are not disclosed within the financial statements.

INTERKET HOLDINGS UK LTD (REGISTERED NUMBER: 03118349)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST DECEMBER 2023

2. ACCOUNTING POLICIES - continued

Significant judgements and estimates
Preparation of the financial statements requires management to make significant judgements, estimates and assumptions that affect the amounts reported for assets and liabilities as at the balance sheet date and the amounts reported for revenues and expenses for the year. However, the nature of estimation means that actual outcomes could differ from those 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 revision only affects that period, or in the period of the revision and future periods if the revision affects both current and future periods.

The following judgement has had the most significant effect on amounts recognised in the financial statements.

Stock valuation
A key area involving management judgement and estimate is in determining a stock valuation for old and slow-moving stock items.

Revenue recognition
Revenue is measured at the fair value of the consideration receivable and represents the total amount receivable by the company for goods supplied in the normal course of business, excluding value added tax and trade discounts. Revenue from the sale of goods is recognised when goods are delivered and legal title has passed.

Goodwill
Goodwill relates to the amount paid in connection with the acquisition of a business in 2008. Following the successful integration of the group's businesses during 2010, the goodwill has been fully amortised.The goodwill was previously being amortised over it's initially estimated useful life of 5 years.

Intangible fixed assets
Intangible fixed assets (including patents and licences) are capitalised and amortised at rates calculated to write off the assets on a straight line basis over their estimated useful economic lives. Impairment of intangible fixed assets is only reviewed where circumstances indicate that the carrying value of an asset may not be fully recoverable.

Tangible fixed assets
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.
Long leasehold - over the period of the lease
Plant & machinery - 20% - 50% on cost and 2-10 years
Fixtures & fittings - 2-5 years

INTERKET HOLDINGS UK LTD (REGISTERED NUMBER: 03118349)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST DECEMBER 2023

2. ACCOUNTING POLICIES - continued

Stocks
Stock and work in progress are valued at the lower of cost and estimated selling price less costs to sell, after making due allowance for obsolete and slow moving items. Cost comprises materials, direct labour and a share of production overheads appropriate to the relevant stage of production. For work in progress and finished goods manufactured by the company, cost is taken as production cost, including labour and an appropriate proportion of attributable overheads.

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 rate method, less any impairment.

Cash and cash equivalents
Cash and cash equivalents comprise cash at bank and on hand, demand deposits deposits with banks and other short term highly liquid investments with original maturities of three months or less and bank overdrafts. In the statement of financial position, bank overdrafts are shown within borrowings or current liabilities.

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.

Interest bearing borrowings
Interest bearing borrowing are recognised initially at fair value less attributable transaction costs. Subsequent to initial recognition, interest bearing borrowings are stated at amortised cost with any difference between the amount initially recognised and redemption value being recognised in the statement of comprehensive income over the period of the borrowings, together with any interest and fees payable, using the effective interest method.

Financial instruments
Financial instruments are classified and accounted for according to the substance of the contractual arrangement, as either financial assets, financial liabilities or equity instruments. An equity instrument is any contract that evidences a residual interest in the assets of the Group after deducting all of its liabilities.

The group enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other accounts receivable and payable, loans from banks and other third parties, together with loans to and from related parties.

The group also enters into complex financial instrument transactions such as foreign currency forward contracts. The related financial asset or liability is recognised at fair value at the balance sheet date where material.

Debt instruments (other than those wholly repayable or receivable in one year), including loans and other accounts receivable and payable, are initially measured at present value of future cash flows and subsequently at amortised cost using the effective interest method. Debt instruments that are payable or receivable in one year, typically trade payables or receivables, are measured, initially and subsequently, at the undiscounted amount of cash or other consideration, expected to be paid or received.

Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence if impairment is found, an impairment loss is recognised in the statement of comprehensive income.


INTERKET HOLDINGS UK LTD (REGISTERED NUMBER: 03118349)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST DECEMBER 2023

2. ACCOUNTING POLICIES - continued
Taxation
Taxation for the year 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 taxation
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 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.

3. TURNOVER

The turnover and profit before taxation are attributable to the one principal activity of the group.

An analysis of turnover by geographical market is given below:

2023 2022
£    £   
United Kingdom 13,850,231 14,255,861
Europe 2,691,609 2,818,312
Rest of the world 78,767 103,484
16,620,607 17,177,657

INTERKET HOLDINGS UK LTD (REGISTERED NUMBER: 03118349)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST DECEMBER 2023

4. EMPLOYEES AND DIRECTORS
2023 2022
£    £   
Wages and salaries 2,867,937 2,795,320
Other pension costs 129,893 122,045
2,997,830 2,917,365

The average number of employees during the year was as follows:
2023 2022

Production staff 55 60
Administrative staff 8 7
Sales staff 6 7
69 74

2023 2022
£    £   
Directors' remuneration 226,587 191,621
Directors' pension contributions to money purchase schemes 16,755 15,561

The number of directors to whom retirement benefits were accruing was as follows:

Money purchase schemes 2 2

Information regarding the highest paid director for the year ended 31st December 2023 is as follows:
2023
£   
Emoluments etc 118,503
Pension contributions to money purchase schemes 9,500

5. EXCEPTIONAL ITEMS
2023 2022
£    £   
Profit/loss on sale of intangible fixed assets 200,000 -

6. INTEREST PAYABLE AND SIMILAR EXPENSES
2023 2022
£    £   
Bank interest 92,792 51,927
Hire purchase 22,721 24,212
115,513 76,139

INTERKET HOLDINGS UK LTD (REGISTERED NUMBER: 03118349)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST DECEMBER 2023

7. PROFIT BEFORE TAXATION

The profit is stated after charging/(crediting):

2023 2022
£    £   
Hire of plant and machinery 27,308 26,925
Other operating leases 302,735 196,266
Depreciation - owned assets 545,760 551,912
Depreciation - assets on hire purchase contracts 168,526 168,526
Profit on disposal of fixed assets (37,067 ) -
Auditors' remuneration 18,750 18,600
Auditors' remuneration for non audit work 6,000 5,250

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 41,713 10,829

Deferred tax 216,430 108,352
Tax on profit 258,143 119,181

Reconciliation of total tax charge included in profit and loss
The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below:

2023 2022
£    £   
Profit before tax 966,775 176,927
Profit multiplied by the standard rate of corporation tax in the UK of 25 %
(2022 - 19 %)

241,694

33,616

Effects of:
Capital allowances in excess of depreciation (10,009 ) (3,712 )
Non deductible expenses 29,082 8,678
Rate changes (2,624 ) 80,599
Total tax charge 258,143 119,181

9. INDIVIDUAL INCOME STATEMENT

As permitted by Section 408 of the Companies Act 2006, the Statement of Comprehensive Income of the parent company is not presented as part of these financial statements.


INTERKET HOLDINGS UK LTD (REGISTERED NUMBER: 03118349)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST DECEMBER 2023

10. PENSION COMMITMENTS

The group contributes to a defined contribution pension scheme. The assets of the scheme are held separately from those of the group in an independently administered fund.

The pension charge represents contributions payable by the group to the scheme in the year to 31 December 2023 which amounted to £129,894 (2022: £122,045).

At the balance sheet date, amount owing to the pension scheme included within accruals amounted to £21,601 (2022: £21,802).

11. INTANGIBLE FIXED ASSETS

Group
Patents
and
Goodwill licences Totals
£    £    £   
COST
At 1st January 2023
and 31st December 2023 (81,780 ) 1,615 (80,165 )
AMORTISATION
At 1st January 2023
and 31st December 2023 (81,780 ) 1,615 (80,165 )
NET BOOK VALUE
At 31st December 2023 - - -
At 31st December 2022 - - -

12. TANGIBLE FIXED ASSETS

Group
Long Plant & Fixtures
leasehold machinery & fittings Totals
£    £    £    £   
COST
At 1st January 2023 411,277 6,768,076 637,173 7,816,526
Additions - 620,463 8,792 629,255
Disposals - (1,122,439 ) (5,250 ) (1,127,689 )
At 31st December 2023 411,277 6,266,100 640,715 7,318,092
DEPRECIATION
At 1st January 2023 322,864 4,098,428 599,320 5,020,612
Charge for year 49,049 640,127 25,110 714,286
Eliminated on disposal - (1,122,439 ) (5,250 ) (1,127,689 )
At 31st December 2023 371,913 3,616,116 619,180 4,607,209
NET BOOK VALUE
At 31st December 2023 39,364 2,649,984 21,535 2,710,883
At 31st December 2022 88,413 2,669,648 37,853 2,795,914

INTERKET HOLDINGS UK LTD (REGISTERED NUMBER: 03118349)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST DECEMBER 2023

12. TANGIBLE FIXED ASSETS - continued

Group

Fixed assets, included in the above, which are held under hire purchase contracts are as follows:
Plant &
machinery
£   
COST
At 1st January 2023 1,685,269
Transfer to ownership (98,308 )
At 31st December 2023 1,586,961
DEPRECIATION
At 1st January 2023 349,922
Charge for year 168,526
Transfer to ownership (44,239 )
At 31st December 2023 474,209
NET BOOK VALUE
At 31st December 2023 1,112,752
At 31st December 2022 1,335,347

13. FIXED ASSET INVESTMENTS

Company
Shares in
group
undertakings
£   
COST
At 1st January 2023
and 31st December 2023 521,502
NET BOOK VALUE
At 31st December 2023 521,502
At 31st December 2022 521,502


INTERKET HOLDINGS UK LTD (REGISTERED NUMBER: 03118349)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST DECEMBER 2023

13. FIXED ASSET INVESTMENTS - continued


The following were subsidiary undertakings of the company:


Name
Country of
Incorporation
Class of
Shares

Holding

Principal Activity

Folderbirch Limited England and Wales Ordinary 100% Dormant
Tasco Distributors Limited * England and Wales Ordinary 100% Label retailer
Stampiton Holdings Limited * England and Wales Ordinary 100% Dormant
Interket Limited ** England and Wales Ordinary 100% Label manufacturer

* Subsidiary of Folderbirch Limited
** Subsidiary of Stampiton Holdings Limited

The registered office for all the above companies is Bingswood Industrial Estate, Whaley Bridge, High Peak, SK23 7SP.

14. STOCKS

Group
2023 2022
£    £   
Raw materials 773,361 1,327,038
Work-in-progress 38,012 33,703
Finished goods 482,454 360,411
1,293,827 1,721,152

15. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Group
2023 2022
£    £   
Trade debtors 2,149,515 2,819,563
Amounts owed by group undertakings - 236,777
Other debtors 97,100 6,137
Prepayments and accrued income 603,570 340,492
2,850,185 3,402,969

INTERKET HOLDINGS UK LTD (REGISTERED NUMBER: 03118349)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST DECEMBER 2023

16. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

Group Company
2023 2022 2023 2022
£    £    £    £   
Bank loans and overdrafts (see note 18) 683,909 1,419,585 - -
Hire purchase contracts (see note 19) 145,995 272,231 - -
Trade creditors 1,122,137 2,058,533 - -
Amounts owed to group undertakings - - - 172,266
Corporation Tax 41,713 10,829 - -
Social security and other taxes 86,179 81,283 - -
VAT 357,108 462,428 - -
Other creditors - 22,489 - -
Accruals and deferred income 188,417 141,047 - -
2,625,458 4,468,425 - 172,266

17. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE
YEAR

Group
2023 2022
£    £   
Hire purchase contracts (see note 19) 85,510 232,745

18. LOANS

An analysis of the maturity of loans is given below:

Group
2023 2022
£    £   
Amounts falling due within one year or on demand:
Bank overdrafts 683,909 1,419,585

19. LEASING AGREEMENTS

Minimum lease payments fall due as follows:

Group
Hire purchase contracts
2023 2022
£    £   
Net obligations repayable:
Within one year 145,995 272,231
Between one and five years 85,510 232,745
231,505 504,976

INTERKET HOLDINGS UK LTD (REGISTERED NUMBER: 03118349)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST DECEMBER 2023

19. LEASING AGREEMENTS - continued

Group
Non-cancellable operating leases
2023 2022
£    £   
Within one year 634,188 216,788
Between one and five years 1,766,857 207,525
In more than five years 4,024,011 -
6,425,056 424,313

20. SECURED DEBTS

The following secured debts are included within creditors:

Group
2023 2022
£    £   
Bank overdrafts 683,909 1,419,585
Hire purchase contracts 231,505 504,976
915,414 1,924,561

The bank overdrafts and loan are secured by a guarantee given by Interket A/S and a debenture given by Interket Holdings UK Limited and Interket Limited.

The hire purchase creditor is secured against the assets to which it relates.

21. PROVISIONS FOR LIABILITIES

Group
2023 2022
£    £   
Deferred tax 552,262 335,832

Group
Deferred
tax
£   
Balance at 1st January 2023 335,832
Provided during year 216,430
Profit and loss account
Balance at 31st December 2023 552,262

INTERKET HOLDINGS UK LTD (REGISTERED NUMBER: 03118349)

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST DECEMBER 2023

22. CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:
Number: Class: Nominal 2023 2022
value: £    £   
35,639 'A' Ordinary £1 35,639 35,639
9,676 'B' Ordinary £1 9,676 9,676
3,065 'C' Ordinary £1 3,065 3,065
48,380 48,380

The shares carry differential rights to dividends, but in all other respects they rank pari passu.

23. RESERVES

Group
Retained
earnings
£   

At 1st January 2023 2,834,653
Profit for the year 708,632
At 31st December 2023 3,543,285

Company
Retained
earnings
£   

At 1st January 2023 300,856
Profit for the year 172,266
At 31st December 2023 473,122


24. ULTIMATE PARENT COMPANY

The company is a subsidiary of Interket A/S, a company registered in Denmark. The accounts of this company can be obtained from c/o F.E. Bording A/S, Ejby Industrivej 91, 2600 Glostrup, Denmark.

25. RELATED PARTY DISCLOSURES

During the year, a total of key management personnel compensation of £ 243,342 (2022 - £ 207,182 ) was paid.