Caseware UK (AP4) 2023.0.135 2023.0.135 2023-12-312023-12-31truetruetruetruefalsetruefalse2023-01-01falseThe principal activity of the group and company during the year was freight forwarding.44true 06596875 2023-01-01 2023-12-31 06596875 2022-01-01 2022-12-31 06596875 2023-12-31 06596875 2022-12-31 06596875 2022-01-01 06596875 5 2023-01-01 2023-12-31 06596875 5 2022-01-01 2022-12-31 06596875 d:Director1 2023-01-01 2023-12-31 06596875 d:Director2 2023-01-01 2023-12-31 06596875 d:RegisteredOffice 2023-01-01 2023-12-31 06596875 e:Buildings 2023-01-01 2023-12-31 06596875 e:Buildings 2023-12-31 06596875 e:Buildings 2022-12-31 06596875 e:Buildings e:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 06596875 e:MotorVehicles 2023-01-01 2023-12-31 06596875 e:FurnitureFittings 2023-01-01 2023-12-31 06596875 e:FurnitureFittings 2023-12-31 06596875 e:FurnitureFittings 2022-12-31 06596875 e:FurnitureFittings e:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 06596875 e:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 06596875 e:CopyrightsPatentsTrademarksServiceOperatingRights 2023-12-31 06596875 e:CopyrightsPatentsTrademarksServiceOperatingRights 2022-12-31 06596875 e:CurrentFinancialInstruments 2023-12-31 06596875 e:CurrentFinancialInstruments 2022-12-31 06596875 e:CurrentFinancialInstruments e:WithinOneYear 2023-12-31 06596875 e:CurrentFinancialInstruments e:WithinOneYear 2022-12-31 06596875 e:UKTax 2023-01-01 2023-12-31 06596875 e:UKTax 2022-01-01 2022-12-31 06596875 e:ShareCapital 2023-12-31 06596875 e:ShareCapital 2022-12-31 06596875 e:ShareCapital 2022-01-01 06596875 e:RetainedEarningsAccumulatedLosses 2023-01-01 2023-12-31 06596875 e:RetainedEarningsAccumulatedLosses 2023-12-31 06596875 e:RetainedEarningsAccumulatedLosses 2022-01-01 2022-12-31 06596875 e:RetainedEarningsAccumulatedLosses 2022-12-31 06596875 e:RetainedEarningsAccumulatedLosses 2022-01-01 06596875 d:OrdinaryShareClass1 2023-01-01 2023-12-31 06596875 d:OrdinaryShareClass1 2023-12-31 06596875 d:OrdinaryShareClass1 2022-12-31 06596875 d:OrdinaryShareClass2 2023-01-01 2023-12-31 06596875 d:OrdinaryShareClass2 2023-12-31 06596875 d:OrdinaryShareClass2 2022-12-31 06596875 d:FRS102 2023-01-01 2023-12-31 06596875 d:Audited 2023-01-01 2023-12-31 06596875 d:FullAccounts 2023-01-01 2023-12-31 06596875 d:PrivateLimitedCompanyLtd 2023-01-01 2023-12-31 06596875 e:Subsidiary1 2023-01-01 2023-12-31 06596875 e:Subsidiary1 1 2023-01-01 2023-12-31 06596875 e:Subsidiary2 2023-01-01 2023-12-31 06596875 e:Subsidiary2 1 2023-01-01 2023-12-31 06596875 e:Subsidiary3 2023-01-01 2023-12-31 06596875 e:Subsidiary3 1 2023-01-01 2023-12-31 06596875 e:Subsidiary5 2023-01-01 2023-12-31 06596875 e:Subsidiary5 1 2023-01-01 2023-12-31 06596875 e:WithinOneYear 2023-12-31 06596875 e:WithinOneYear 2022-12-31 06596875 e:BetweenOneFiveYears 2023-12-31 06596875 e:BetweenOneFiveYears 2022-12-31 06596875 e:PlantEquipmentOtherAssetsUnderOperatingLeases 2023-12-31 06596875 e:PlantEquipmentOtherAssetsUnderOperatingLeases 2022-12-31 06596875 e:PlantEquipmentOtherAssetsUnderOperatingLeases e:WithinOneYear 2023-12-31 06596875 e:PlantEquipmentOtherAssetsUnderOperatingLeases e:WithinOneYear 2022-12-31 06596875 e:PlantEquipmentOtherAssetsUnderOperatingLeases e:BetweenOneFiveYears 2023-12-31 06596875 e:PlantEquipmentOtherAssetsUnderOperatingLeases e:BetweenOneFiveYears 2022-12-31 06596875 e:CopyrightsPatentsTrademarksServiceOperatingRights e:ExternallyAcquiredIntangibleAssets 2023-01-01 2023-12-31 06596875 2 2023-01-01 2023-12-31 06596875 6 2023-01-01 2023-12-31 06596875 e:CopyrightsPatentsTrademarksServiceOperatingRights e:OwnedIntangibleAssets 2023-01-01 2023-12-31 06596875 f:Euro 2023-01-01 2023-12-31 iso4217:GBP xbrli:shares xbrli:pure

Registered number: 06596875









F.S. MACKENZIE INTERNATIONAL LIMITED









ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2023

 
F.S. MACKENZIE INTERNATIONAL LIMITED
 
 
COMPANY INFORMATION


Directors
A Stienen 
A Suchkov 




Registered number
06596875



Registered office
Leytonstone House
3 Hanbury Drive

Leytonstone

London

England

E11 1GA




Independent auditors
Barnes Roffe LLP
Chartered Accountants
Statutory Auditor

Leytonstone House

Leytonstone

London

E11 1GA





 
F.S. MACKENZIE INTERNATIONAL LIMITED
 

CONTENTS



Page
Strategic report
 
1
Directors' report
 
2 - 3
Independent auditors' report
 
4 - 7
Statement of comprehensive income
 
8
Balance sheet
 
9
Statement of changes in equity
 
10
Notes to the financial statements
 
11 - 25


 
F.S. MACKENZIE INTERNATIONAL LIMITED
 
 
STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023

Introduction
 
The directors present their strategic report for the year ended 31 December 2023.

Business review
 
The Company had strong results in 2023. The company had profits for the year at €689k (2022 €953k). The balance sheet declined to €1.9m from €4.4m from the previous year. This was primarily due to a group reorganisation in the year with a new group parent company.

Principal risks and uncertainties
 
The Company operations expose it to a variety of risks that include the effect of changes in customer credit risk and exchange rates.
Credit Risk
The Company has policies that require appropriate credit checks on selected potential customers before services are provided.
Foreign Exchange Risk
The Company is exposed to foreign exchange risk as certain transactions with group undertakings are involved in currencies other than the Euro.

Financial key performance indicators
 
The results of the Company are significantly driven by turnover. Gross Profit is additionally affected by the level of cost of sales which are subject to close scrutiny and control. These aspects and indicators of the Company’s performance are identifiable in the accounts which reflect an increase in the gross margin from 7.4% to 9.7%.

Other key performance indicators
 
The Company success depends on a strong customer base. The Directors actively monitor the quality of the Company’s customers.


This report was approved by the board on 12 August 2024 and signed on its behalf.



A Stienen
Director

Page 1

 
F.S. MACKENZIE INTERNATIONAL LIMITED
 
 
 
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023

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

Directors' responsibilities statement

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

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


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

make judgments and accounting estimates that are reasonable and prudent;

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

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the Company's transactions and disclose with reasonable accuracy at any time the financial position of the Company and to enable them to ensure that the financial statements comply with the Companies Act 2006They are also responsible for safeguarding the assets of the Company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Results and dividends

The profit for the year, after taxation, amounted to 688,646 (2022 - 953,280).

During the year, dividends were paid of €3,213,348 (2022 - €Nil).
The directors do not recommend a final dividend 
(2022 - €Nil).

Directors

The directors who served during the year were:

A Stienen 
A Suchkov 

Future developments

The Company is expanding in new markets and continues to look for future opportunities to expand.

Page 2

 
F.S. MACKENZIE INTERNATIONAL LIMITED
 
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023

Disclosure of information to auditors

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

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

Post balance sheet events

There have been no significant events affecting the Company since the year end.

Auditors

The auditorsBarnes Roffe LLPwill be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

This report was approved by the board on 12 August 2024 and signed on its behalf.
 





A Stienen
Director

Page 3

 
F.S. MACKENZIE INTERNATIONAL LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF F.S. MACKENZIE INTERNATIONAL LIMITED
 

Opinion


We have audited the financial statements of F.S. Mackenzie International Limited (the 'Company') for the year ended 31 December 2023, which comprise the Statement of comprehensive income, the Balance sheet, the Statement of changes in equity and the related notes, including a summary of significant accounting policiesThe financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).


In our opinion 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 United Kingdom, including the Financial Reporting Council's Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.


Conclusions relating to going concern


In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.


Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the Company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.


Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.


Page 4

 
F.S. MACKENZIE INTERNATIONAL LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF F.S. MACKENZIE INTERNATIONAL LIMITED (CONTINUED)


Other information


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


We have nothing to report in this regard.


Opinion 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 Directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the Strategic report and the Directors' report have been prepared in accordance with applicable legal requirements.


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 Directors' report.


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


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.


Responsibilities of directors
 

As explained more fully in the Directors' responsibilities statement set out on page 2, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.


In preparing the financial statements, the directors are responsible for assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the Company or to cease operations, or have no realistic alternative but to do so.


Page 5

 
F.S. MACKENZIE INTERNATIONAL LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF F.S. MACKENZIE INTERNATIONAL LIMITED (CONTINUED)


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 an Auditors' report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.


Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:

Identifying and assessing potential risks related to irregularities

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 extent to which our procedures are capable of detecting irregularities, including fraud is detailed below.

In identifying and assessing risks of material misstatement in respect of irregularities we considered the following:
Obtained an understanding of the nature of the industry and sector, including the legal and regulatory frameworks that the group and company operates in and how the group and company are complying with the legal and regulatory frameworks;
Enquired of management, and those charged with governance, about their own identification and assessment of the risks of irregularities, including any known actual, suspected or alleged instances of fraud;
Discussed matters about non-compliance with laws and regulations and how fraud might occur including assessment of how and where the financial statements may be susceptible to fraud.

All relevant laws and regulations identified at a group and company level and areas susceptible to fraud that could have a material effect on the financial statements were communicated to component auditors. Any instances of noncompliance with laws and regulations identified and communicated by a component auditor were considered in our audit approach. The most significant laws and regulations were determined as follows:
UK GAAP FRS 102 and Companies Act; and
Tax compliance regulations.

Additional audit procedures performed by the audit engagement team included:
Review of the financial statement disclosures and testing to supporting documentation;
Completion of disclosure checklists to identify areas of non-compliance; and
Review of component auditors’ work.

The areas that we identified as being susceptible to material misstatement due to fraud were:
Revenue Recognition;
Management Override;
Going concern given the conflict in Ukraine; and
Balances between group entities.
Page 6

 
F.S. MACKENZIE INTERNATIONAL LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF F.S. MACKENZIE INTERNATIONAL LIMITED (CONTINUED)


Audit procedures in response to the identified areas above:
Obtaining an understanding of the processes and controls around revenue recognition;
Detailed review of all intercompany balances;
Substantively testing revenue via various testing including transactional, cut off and sequencing;
Detailed discussions with management and review of post year end management information;
Detailed monitoring of the events in Ukraine and communication with management thereon;
Evaluation of the appropriateness of the accounting policies;
Testing the appropriateness of journal entries and other adjustments;
Assessing whether the judgements made in making accounting estimates are indicative of a potential bias;
Evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business; and
Inspection of all recent reports and certification from the relevant bodies.

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 Auditors' report.


Use of our report
 

This report is made solely to the Company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006Our audit work has been undertaken so that we might state to the Company's members those matters we are required to state to them in an Auditors' report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company and the Company's members, as a body, for our audit work, for this report, or for the opinions we have formed.





Stuart Moon (Senior statutory auditor)
for and on behalf of
Barnes Roffe LLP
Chartered Accountants
Statutory Auditor
Leytonstone House
Leytonstone
London
E11 1GA

 
Date: 
13 August 2024
Page 7

 
F.S. MACKENZIE INTERNATIONAL LIMITED
 
 
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2023

2023
2022
Note

  

Turnover
 4 
21,318,582
26,915,701

Cost of sales
  
(19,249,169)
(24,932,312)

Gross profit
  
2,069,413
1,983,389

Administrative expenses
  
(1,149,903)
(815,498)

Operating profit
 5 
919,510
1,167,891

Interest receivable and similar income
 9 
-
172

Interest payable and similar expenses
 10 
(22)
(114)

Profit before tax
  
919,488
1,167,949

Tax on profit
 11 
(230,842)
(214,669)

Profit for the financial year
  
688,646
953,280

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

The notes on pages 11 to 25 form part of these financial statements.

Page 8

 
F.S. MACKENZIE INTERNATIONAL LIMITED
REGISTERED NUMBER: 06596875

BALANCE SHEET
AS AT 31 DECEMBER 2023

2023
2022
Note

Fixed assets
  

Intangible assets
  
5,827
7,560

Tangible assets
 14 
12,326
1,542,315

Investments
 15 
191,959
192,059

  
210,112
1,741,934

Current assets
  

Debtors: amounts falling due within one year
 16 
2,830,500
3,266,068

Cash at bank and in hand
 17 
1,183,224
2,160,126

  
4,013,724
5,426,194

Creditors: amounts falling due within one year
 18 
(2,352,172)
(2,771,762)

Net current assets
  
 
 
1,661,552
 
 
2,654,432

  

Net assets
  
1,871,664
4,396,366


Capital and reserves
  

Called up share capital 
 19 
11,980
11,980

Profit and loss account
 20 
1,859,684
4,384,386

  
1,871,664
4,396,366


The financial statements were approved and authorised for issue by the board and were signed on its behalf on 12 August 2024.




A Stienen
Director

The notes on pages 11 to 25 form part of these financial statements.

Page 9

 
F.S. MACKENZIE INTERNATIONAL LIMITED
 

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


Called up share capital
Profit and loss account
Total equity



At 1 January 2022
11,980
3,431,106
3,443,086


Comprehensive income for the year

Profit for the year
-
953,280
953,280



At 1 January 2023
11,980
4,384,386
4,396,366


Comprehensive income for the year

Profit for the year
-
688,646
688,646


Contributions by and distributions to owners

Dividends: Equity capital
-
(3,213,348)
(3,213,348)


At 31 December 2023
11,980
1,859,684
1,871,664


The notes on pages 11 to 25 form part of these financial statements.

Page 10

 
F.S. MACKENZIE INTERNATIONAL LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

1.


General information

F.S. Mackenzie International Limited ("the Company") acts as a freight forwarder. The Company is a private company limited by shares and incorporated in England and Wales. The address of its registered office is Leytonstone House, 3 Hanbury Drive, Leytonstone, London, England, E11 1GA.

2.Accounting policies

 
2.1

Basis of preparation of financial statements

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

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the Company's accounting policies (see note 3).

The following principal accounting policies have been applied:

 
2.2

Financial Reporting Standard 102 - reduced disclosure exemptions

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

This information is included in the consolidated financial statements of FSM International Holdings Limited as at 31 December 2023 and these financial statements may be obtained from Leytonstone House, 3 Hanbury Drive, London, England, E11 1GA..

 
2.3

Exemption from preparing consolidated financial statements

The Company is a parent company that is also a subsidiary included in the consolidated financial statements of a larger group by a parent undertaking established under the law of any part of the United Kingdom and is therefore exempt from the requirement to prepare consolidated financial statements under section 400 of the Companies Act 2006.

 
2.4

Going concern

The directors have a reasonable expectation that the Company has adequate resources,including cash reserves and no debt, to continue in operational existence for the foreseeable future. They continue to adopt the going concern basis in preparing the financial statements.

Page 11

 
F.S. MACKENZIE INTERNATIONAL LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.5

Foreign currency translation

Functional and presentation currency

The Company's functional and presentational currency is Euros.

Transactions and balances

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

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

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

Foreign exchange gains and losses that relate to borrowings and cash and cash equivalents are presented in the Statement of comprehensive income within 'finance income or costs'. All other foreign exchange gains and losses are presented in profit or loss within 'other operating income'.

 
2.6

Revenue

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

Rendering of services

Revenue from a contract to provide services is recognised in the period in which the services are provided in accordance with the stage of completion of the contract when all of the following conditions are satisfied:
the amount of revenue can be measured reliably;
it is probable that the Company will receive the consideration due under the contract;
the stage of completion of the contract at the end of the reporting period can be measured reliably; and
the costs incurred and the costs to complete the contract can be measured reliably.

 
2.7

Operating leases: the Company as lessee

Rentals paid under operating leases are charged to profit or loss on a straight-line basis over thelease term.

Page 12

 
F.S. MACKENZIE INTERNATIONAL LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.8

Interest income

Interest income is recognised in profit or loss using the effective interest method.

 
2.9

Finance costs

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

 
2.10

Pensions

Defined contribution pension plan

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

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

 
2.11

Taxation

The tax expense for the year comprises current and deferred tax. Tax is recognised in profit or lossexcept that a charge attributable to an item of income and expense recognised as othercomprehensive income or to an item recognised directly in equity is also recognised in othercomprehensive income or directly in equity respectively.

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

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the balance sheet date, except that:
The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits;
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met; and
Where they relate to timing differences in respect of interests in subsidiaries, associates, branches and joint ventures and the Company can control the reversal of the timing differences and such reversal is not considered probable in the foreseeable future.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Page 13

 
F.S. MACKENZIE INTERNATIONAL LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.12

Intangible assets

Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.

 
2.13

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.

At each reporting date the Company assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined which is the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.

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, using the straight-line method.

Depreciation is provided on the following basis:

Motor vehicles
-
20%
Straight line
Fixtures and fittings
-
20%
Straight line

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

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

 
2.14

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment.

 
2.15

Debtors

Short-term debtors are measured at transaction price, less any impairment.

Page 14

 
F.S. MACKENZIE INTERNATIONAL LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.16

Cash and cash equivalents

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

 
2.17

Creditors

Short-term creditors are measured at the transaction price.

  
2.18

Provisions for liabilities

Provisions are made where an event has taken place that gives the Company a legal or constructive obligation that probably requires settlement by a transfer of economic benefit, and a reliable estimatecan be made of the amount of the obligation.
Provisions are charged as an expense to profit or loss in the year that the Company becomes aware of the obligation, and are measured at the best estimate at the balance sheet date of the expenditure required to settle the obligation, taking into account relevant risks and uncertainties.
When payments are eventually made, they are charged to the provision carried in the Balance sheet.

 
2.19

Financial instruments

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

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

Basic financial assets

Basic financial assets, which include trade and other receivables, cash and bank balances, are initially measured at their transaction price including transaction costs and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest.

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

Impairment of financial assets

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

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

If there is a favourable change in relation to the events surrounding the impairment loss then the
Page 15

 
F.S. MACKENZIE INTERNATIONAL LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)


2.19
Financial instruments (continued)

impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the profit or loss.

Financial liabilities

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

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

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

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

Derecognition of financial instruments

Derecognition of financial assets

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

Derecognition of financial liabilities

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

 
2.20

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

Page 16

 
F.S. MACKENZIE INTERNATIONAL LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

3.


Judgments in applying accounting policies 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, estimated and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may 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 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.
There are no judgements or areas of estimations uncertainty applied in these financial statements.


4.


Turnover

The whole of the turnover is attributable to freight forwarding.
Further analysis of turnover has been omitted on the basis that the directors feel it would be seriously prejudicial to the interests of the Company.


5.


Operating profit

The operating profit is stated after charging:

2023
2022

Exchange differences
(29,492)
(130,457)

Other operating lease rentals
24,827
22,439


6.


Auditors' remuneration

During the year, the Company obtained the following services from the Company's auditors:


2023
2022

Fees payable to the Company's auditors for the audit of the Company's financial statements
12,000
12,000

Page 17

 
F.S. MACKENZIE INTERNATIONAL LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

7.


Employees

Staff costs, including directors' remuneration, were as follows:


2023
2022

Wages and salaries
657,490
506,386

Social security costs
21,993
22,885

Cost of defined contribution scheme
11,639
12,392

691,122
541,663


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


        2023
        2022
            No.
            No.







Management
2
2



Production
1
1



Administrative
1
1

4
4


8.


Directors' remuneration

2023
2022

Directors' emoluments
471,374
308,780

Company contributions to defined contribution pension schemes
4,168
4,193

475,542
312,973


During the year retirement benefits were accruing to 1 director (2022 - 1) in respect of defined contribution pension schemes.

The highest paid director received remuneration of 354,613 (2022 - €265,748).

The value of the Company's contributions paid to a defined contribution pension scheme in respect of the highest paid director amounted to 4,168 (2022 - €4,193).

Page 18

 
F.S. MACKENZIE INTERNATIONAL LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

9.


Interest receivable and similar income

2023
2022


Other interest receivable
-
172


10.


Interest payable and similar expenses

2023
2022


Bank interest payable
22
114


11.


Taxation


2023
2022

Corporation tax


Current tax on profits for the year
230,842
214,669



Tax on profit
230,842
214,669
Page 19

 
F.S. MACKENZIE INTERNATIONAL LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
 
11.Taxation (continued)


Factors affecting tax charge for the year

The tax assessed for the year is higher than (2022 - lower than) the standard rate of corporation tax in the UK of 23.52% (2022 - 19%). The differences are explained below:

2023
2022


Profit on ordinary activities before tax
919,488
1,167,949


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 23.52% (2022 - 19%)
216,264
221,910

Effects of:


Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
13,906
295

Non-taxable income
(42)
-

Other differences leading to a difference in tax charge
-
(4,199)

Deferred tax not provided
714
(3,337)

Total tax charge for the year
230,842
214,669


Factors that may affect future tax charges

There were no factors that may affect future tax charges.


12.


Dividends

2023
2022


Dividends
3,213,348
-

Page 20

 
F.S. MACKENZIE INTERNATIONAL LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

13.


Intangible assets




Trademarks




Cost


At 1 January 2023
16,966


Additions
1,042



At 31 December 2023

18,008



Amortisation


At 1 January 2023
9,406


Charge for the year on owned assets
2,775



At 31 December 2023

12,181



Net book value



At 31 December 2023
5,827



At 31 December 2022
7,560



Page 21

 
F.S. MACKENZIE INTERNATIONAL LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

14.


Tangible fixed assets





Freehold property
Fixtures and fittings
Total




Cost or valuation


At 1 January 2023
1,526,452
41,772
1,568,224


Additions
-
3,648
3,648


Disposals
(1,526,452)
-
(1,526,452)



At 31 December 2023

-
45,420
45,420



Depreciation


At 1 January 2023
-
25,909
25,909


Charge for the year on owned assets
-
7,185
7,185



At 31 December 2023

-
33,094
33,094



Net book value



At 31 December 2023
-
12,326
12,326



At 31 December 2022
1,526,452
15,863
1,542,315




The net book value of land and buildings may be further analysed as follows:


2023
2022

Freehold
-
1,526,452


During the year the company transferred freehold property to a fellow group subsidiary, FSM Logistics Limited as part of a group reorganisation.

Page 22

 
F.S. MACKENZIE INTERNATIONAL LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

15.


Fixed asset investments





Investments in subsidiary companies




Cost or valuation


At 1 January 2023
192,059


Disposals
(100)



At 31 December 2023
191,959





Subsidiary undertakings


The following were subsidiary undertakings of the Company:

Name

Class of shares

Holding

F.S. Mackenzie Russia OOO
Ordinary
100%
F.S Mackenzie Georgia LLC
Ordinary
100%
F.S Mackenzie Azerbaijan
Ordinary
100%
F.S. Mackenzie LLP
Sole participant
100%

The subsidiaries are incorporated in Russia, Georgia, Azerbaijan and Kazakhstan respectively.
During the year, a subsidiary in the UK, FSM Logistics Limited was transferred to the new parent company, FSM International Holdings Limited as part of a group reorganisation.


16.


Debtors

As restated
2023
2022


Trade debtors
1,459,403
2,137,882

Amounts owed by group undertakings
60,341
285,099

Other debtors
646,728
14,465

Prepayments and accrued income
664,028
828,622

2,830,500
3,266,068


The Balance Sheet has been restated to more accurately reflect the classification of accrued and deferred income and costs in accordance with accounting standards. There has been no change to the aggregate figures.

Page 23

 
F.S. MACKENZIE INTERNATIONAL LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

17.


Cash and cash equivalents

2023
2022

Cash at bank and in hand
1,183,224
2,160,126



18.


Creditors: Amounts falling due within one year

As restated
2023
2022

Trade creditors
773,496
1,586,140

Amounts owed to group undertakings
576,621
-

Corporation tax
230,842
214,669

Other taxation and social security
6,945
14,495

Other creditors
99,096
99,096

Accruals and deferred income
665,172
857,362

2,352,172
2,771,762


The Balance Sheet has been restated to more accurately reflect the classification of accrued and deferred income and costs in accordance with accounting standards. There has been no change to the aggregate figures.


19.


Share capital

2023
2022
Allotted, called up and fully paid



5,990 (2022 - 5,990) Ordinary "A" shares of 1.00 each
5,990
5,990
5,990 (2022 - 5,990) Ordinary "B" shares of 1.00 each
5,990
5,990

11,980

11,980



20.


Reserves

Profit and loss account

The profit and loss account represents the cumulative distributable profits and losses net of dividends andforeign exchange differences.

Page 24

 
F.S. MACKENZIE INTERNATIONAL LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

21.


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 €11,639 (2022 - €12,392). There were no contriubtions payable to the fund at the balance sheet date.


22.


Commitments under operating leases

At 31 December 2023 the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:

2023
2022


Not later than 1 year
20,750
3,388

Later than 1 year and not later than 5 years
13,871
-

34,621
3,388

2023
2022



Not later than 1 year
789
772

Later than 1 year and not later than 5 years
936
1,690

1,725
2,462


23.


Related party transactions

The Company has taken advantage of the exemption in FRS 102 section 33 "Related Party Disclosures" from disclosing transactions with entities which are a wholly owned part of the group.
The Company made sales to entities under common control of €1,390,285 
(2022 - €530,834) and made purchases from these entities of €1,546,858 (2022 - €26,189). Balances outstanding at the balance sheet date from these entities were €468,322 (2022 - €2,098) and are included in other debtors.
The directors are considered to be key management personnel. Total remuneration received by the directors is shown in note 8. Included within other debtors are amounts owed by the directors of  €27,083 
(2022 - €2,559).


24.


Controlling party

The parent company and ultimate controlling party is considered to be FSM International Holdings Limited which is incoporated in England and Wales. Copies of the consolidated financial statements can be obtained from its registered office as described in Note 2.2.

 
Page 25