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Registration number: 00718441

Egbert H. Taylor & Company Limited

Annual Report and Financial Statements

for the Year Ended 31 December 2023

 

Egbert H. Taylor & Company Limited

Contents

Company Information

1

Strategic Report

2

Directors' Report

3 to 4

Statement of Directors' Responsibilities

5

Independent Auditor's Report

6 to 9

Profit and Loss Account

10

Balance Sheet

11

Statement of Changes in Equity

12

Notes to the Financial Statements

13 to 27

 

Egbert H. Taylor & Company Limited

Company Information

Directors

L R Bull

D J Williams

Company secretary

L R Bull

Registered office

Oak Park
Ryelands Lane
Elmley Lovett
Droitwich
Worcestershire
WR9 0QZ

Auditors

Clement Rabjohns Limited
Registered Auditors and Chartered Accountants
111/113 High Street
Evesham
Worcestershire
WR11 4XP

 

Egbert H. Taylor & Company Limited

Strategic Report for the Year Ended 31 December 2023

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

Principal activity

The principal activity of the company is the manufacture and supply of waste containers.

Fair review of the business

2023 was a successful year with the company achieving nearly £600K in EBITDA. However, turnover was reduced from £12.5M to £7.5M as customer budgets were stretched and orders deferred into 2024. With associated cost cutting the company actually increased the gross margin from 30% to 36% which resulted in the still profitable year.

2024 is expected to improve further with further expansions and acqusitions in the wider UK group.

The company's key financial and other performance indicators during the year were as follows:

Financial KPIs

Unit

2023

2022

Turnover

£

7,574,166

12,559,954

Profit/(loss) before tax

£

102,071

415,039

Gross profit

%

36

30

EBITDA (before non-recurring exceptional costs)

£

586,939

1,090,502

The cash position of the business remains strong and well managed.

The company continues its focus on health, safety and employee welfare and has a very good record of staff retention.

Principal risks and uncertainties

The key business risks and uncertainties affecting the company are considered to relate to competition from other waste container providers both, employee retention and product availability.

Approved and authorised by the Board on 9 May 2024 and signed on its behalf by:
 

.........................................
L R Bull
Company secretary and director

 

Egbert H. Taylor & Company 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 of the company

The directors who held office during the year were as follows:

BF Murphy (Resigned 21 December 2023)

L R Bull - Company secretary and director

H Allen (resigned 23 March 2023)

M J Braddock (appointed 2 October 2023 and resigned 26 January 2024)

The following director was appointed after the year end:

D J Williams (appointed 26 January 2024)

Financial instruments

Objectives and policies

The company’s activities expose it to a number of financial risks including price risk, credit risk, cash flow risk and liquidity risk. The use of financial derivatives is governed by the company’s policies approved by the board of directors. The company does not use derivative financial instruments for speculative purposes.

Price risk, credit risk, liquidity risk and cash flow risk

Commodity price risk
The company is exposed to commodity price risk, namely the prices steel and zinc, as a result of its operations. In order to manage these risks, the company has a policy of dual-sourcing raw materials and carries out regular supplier benchmarking exercises. The company is also able to use its buying power to gain price commitments from suppliers for periods between three and twelve months. This gives the company more time to react to unavoidable commodity price increases and to ensure that such increased costs are appropriately reflected in the company’s selling prices.

Export sales
Export sales are both an opportunity and a risk for the business which is now experiencing the need for increased foreign currency management, adherence to the terms of letters of credit, export carriage and transfer of ownership risk. To mitigate these risks, the business has increased its training expenditure on export related courses, holds regular currency reviews with its bankers and ensures that terms of sale are adequately communicated to customers.

Credit risk
The company’s customers generally have high quality credit ratings and trade debtor default is accordingly low. However, in the continuing subdued economic climate, the company acknowledges that there may be an increased risk of trade debtor default. The company manages this risk through maintaining a rigorous credit control and debtor collection policy. Aged debtor analyses are regularly reviewed, and credit is suspended if a customer fails to meet its obligations on a timely basis. The company makes extensive use of confirmed letters of credit when selling to overseas customers.

 

Egbert H. Taylor & Company Limited

Directors' Report for the Year Ended 31 December 2023

Funding risk
The funding risk for this entity is borne by Egbert Taylor Holdings Limited, the company’s parent company, which in turn is supported financially by its controlling shareholder. The company also uses its invoice discounting facility to finance its day-to-day working capital needs and therefore the continuing availability of this facility is an important source of funding for the company.

Capital spending plans of the major customers
The company is exposed to the buying patterns of its major customers many of which are public sector local authorities. The company maintains close relationships with customers with a view to predicting demand patterns. The company also seeks to track as far as possible the activities and supply quotations of its competitors.

Going concern

The financial statements have been prepared on a going concern basis with the support received from its parent organisation and wider UK group.

Directors' liabilities

As permitted by the Articles of Association, the directors have the benefit of an indemnity which is a qualifying third-party indemnity provision as defined by Section 234 of the Companies Act 2006. The indemnity was in force throughout the financial period and is currently in force. The company also purchased, and maintained throughout the financial period, directors and officers’ liability insurance in respect of itself and its directors.

Disclosure of information to the auditors

Each director has taken steps that they ought to have taken as a director in order to make themselves aware of any relevant audit information and to establish that the company's auditors are aware of that information. The directors confirm that there is no relevant information that they know of and of which they know the auditors are unaware.

Reappointment of auditors

In accordance with section 485 of the Companies Act 2006, a resolution for the re-appointment of Clement Rabjohns Limited as auditors of the company is to be proposed at the forthcoming Annual General Meeting.

Approved and authorised by the Board on 9 May 2024 and signed on its behalf by:
 

.........................................
L R Bull
Company secretary and director

 

Egbert H. Taylor & Company Limited

Statement of Directors' Responsibilities

The directors acknowledge their responsibilities for preparing the Annual 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 United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

select suitable accounting policies and apply them consistently;

make judgements and accounting estimates that are reasonable and prudent;

state whether applicable United Kingdom Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements; and

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

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

 

Egbert H. Taylor & Company Limited

Independent Auditor's Report to the Members of Egbert H. Taylor & Company Limited

Opinion

We have audited the financial statements of Egbert H. Taylor & Company Limited (the 'company') for the year ended 31 December 2023, which comprise the Profit and Loss Account, Balance Sheet, Statement of Changes in Equity, and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).

In our opinion the financial statements:

give a true and fair view of the state of the company's affairs as at 31 December 2023 and of its profit for the year then ended;

have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and

have been prepared in accordance with the requirements of the Companies Act 2006.

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the auditor responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

 

Egbert H. Taylor & Company Limited

Independent Auditor's Report to the Members of Egbert H. Taylor & Company Limited

Conclusions relating to going concern

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

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the original financial statements were 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 included in the annual report, other than the financial statements and our auditor’s report 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 there is a material misstatement in the financial statements or a material misstatement of the other information. 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 matter 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 Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and

the Strategic Report and 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 our 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 and the Directors' Report.

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

adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or

the financial statements are not in agreement with the accounting records and returns; or

certain disclosures of directors' remuneration specified by law are not made; or

we have not received all the information and explanations we require for our audit.

 

Egbert H. Taylor & Company Limited

Independent Auditor's Report to the Members of Egbert H. Taylor & Company Limited

Responsibilities of directors

As explained more fully in the Statement of Directors' Responsibilities [set out on page 5], the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

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

Auditor Responsibilities for the audit of the financial statements

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

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

Enquiry of management, those charged with governance around actual and potential litigation and claims.

Enquiry of entity staff in tax and compliance functions to identify any instances of non-compliance with laws and regulations.

Reviewing minutes of meetings of those charged with governance.

Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations.

Auditing the risk of management override of controls, including through testing journal entries and other adjustments for appropriateness, and evaluating the business rationale of significant transactions outside the normal course of business.

A further description of our responsibilities is available on the Financial Reporting Council’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s 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 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 an auditor’s report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company’s members as a body, for our audit work, for this report, or for the opinions we have formed.

 

Egbert H. Taylor & Company Limited

Independent Auditor's Report to the Members of Egbert H. Taylor & Company Limited

......................................
Philip Parsons FCA (Senior Statutory Auditor)
For and on behalf of Clement Rabjohns Limited, Statutory Auditor

111/113 High Street
Evesham
Worcestershire
WR11 4XP

9 May 2024

 

Egbert H. Taylor & Company Limited

Profit and Loss Account for the Year Ended 31 December 2023

Note

2023
£

2022
£

Turnover

3

7,574,166

12,559,954

Cost of sales

 

(4,828,243)

(8,734,914)

Gross profit

 

2,745,923

3,825,040

Distribution costs

 

(431,959)

(561,473)

Administrative expenses

 

(2,133,201)

(2,735,798)

Operating profit

4

180,763

527,769

Other interest receivable and similar income

5

9,000

-

Interest payable and similar expenses

6

(87,692)

(112,730)

   

(78,692)

(112,730)

Profit before tax

 

102,071

415,039

Tax on profit

10

(30,868)

(49,918)

Profit for the financial year

 

71,203

365,121

The above results were derived from continuing operations.

The company has no recognised gains or losses for the year other than the results above.

 

Egbert H. Taylor & Company Limited

(Registration number: 00718441)
Balance Sheet as at 31 December 2023

Note

2023
£

2022
£

Fixed assets

 

Tangible assets

12

511,128

487,233

Current assets

 

Stocks

13

2,102,079

1,226,466

Debtors

14

2,482,532

2,818,945

Cash at bank and in hand

 

190,199

222,149

 

4,774,810

4,267,560

Creditors: Amounts falling due within one year

16

(2,988,391)

(2,723,243)

Net current assets

 

1,786,419

1,544,317

Total assets less current liabilities

 

2,297,547

2,031,550

Creditors: Amounts falling due after more than one year

16

(3,058,011)

(2,809,357)

Provisions for liabilities

17

(154,182)

(208,042)

Net liabilities

 

(914,646)

(985,849)

Capital and reserves

 

Called up share capital

566,000

566,000

Retained earnings

(1,480,646)

(1,551,849)

Shareholders' deficit

 

(914,646)

(985,849)

Approved and authorised by the Board on 9 May 2024 and signed on its behalf by:
 

.........................................
L R Bull
Company secretary and director

 

Egbert H. Taylor & Company Limited

Statement of Changes in Equity for the Year Ended 31 December 2023

Share capital
£

Retained earnings
£

Total
£

At 1 January 2023

566,000

(1,551,849)

(985,849)

Profit for the year

-

71,203

71,203

At 31 December 2023

566,000

(1,480,646)

(914,646)

Share capital
£

Retained earnings
£

Total
£

At 1 January 2022

566,000

(1,916,970)

(1,350,970)

Profit for the year

-

365,121

365,121

At 31 December 2022

566,000

(1,551,849)

(985,849)

 

Egbert H. Taylor & Company Limited

Notes to the Financial Statements for the Year Ended 31 December 2023

1

General information

The company is a private company limited by share capital, incorporated in England and Wales, UK.

The address of its registered office is:
Oak Park
Ryelands Lane
Elmley Lovett
Droitwich
Worcestershire
WR9 0QZ
United Kingdom

These financial statements were authorised for issue by the Board on 9 May 2024.

2

Accounting policies

Summary of significant accounting policies and key accounting estimates

The principal accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all the years presented, unless otherwise stated.

Statement of compliance

These financial statements were prepared in accordance with Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the United Kingdom and Republic of Ireland and the Companies Act 2006'.

Basis of preparation

These financial statements have been prepared using the historical cost convention except that as disclosed in the accounting policies certain items are shown at fair value.

Summary of disclosure exemptions

The company meets the definition of a qualifying entity under FRS 102 and has therefore taken advantage of the disclosure exemptions available to it in respect of its financial statements. Exemptions have been taken in relation to the preparation of a statement of cash flows, financial instruments and key management compensation.

Going concern

The financial statements have been prepared on a going concern basis with the support received from its parent organisation and wider UK group.

Revenue recognition

Turnover comprises the fair value of the consideration received or receivable for the sale of goods and provision of services in the ordinary course of the company’s activities. Turnover is shown net of value added tax, returns, rebates and discounts.

The company recognises revenue when:
-the amount of revenue can be reliably measured;
-it is probable that future economic benefits will flow to the entity; and
-specific criteria have been met for each of the company's activities.

 

Egbert H. Taylor & Company Limited

Notes to the Financial Statements for the Year Ended 31 December 2023

Government grants

Grants which relate to revenue shall be recognised in income on a systematic basis over the periods in which the company recognises the related costs for which the grant is intended to compensate.

Foreign currency transactions and balances

Transactions in foreign currencies are initially recorded at the functional currency exchange rate prevailing at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are translated into sterling being the functional currency of the company at the rates prevailing on the reporting period date. Non-monetary items carried at fair value that are denominated in foreign currencies are translated at the exchange rate on the date when the fair value is measured.

Non-monetary items measured in terms of historical cost in a foreign currency are not retranslated.

Tax

The tax expense for the period comprises deferred tax. Tax is recognised in profit or loss, except that a change attributable to an item of income or expense recognised as other comprehensive income is also recognised directly in other comprehensive income.

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

Deferred tax is recognised in respect of all timing differences between taxable profits and profits reported in the financial statements.

Unrelieved tax losses and other deferred tax assets are recognised when it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date and that are expected to apply to the reversal of the timing difference.

Tangible assets

Tangible assets are stated in the balance sheet at cost, less any subsequent accumulated depreciation and subsequent accumulated impairment losses.

The cost of tangible assets includes directly attributable incremental costs incurred in their acquisition and installation.

Depreciation

Depreciation is charged so as to write off the cost of assets, other than land and properties under construction, over their estimated useful lives as follows:

Asset class

Depreciation rate and method

Leasehold improvements

straight line over the life of the lease

Plant and machinery, including tooling

10% - 20%, straight line

Office machinery, fixtures and fittings

10% or 33%, straight line

Motor vehicles

5% or 25%, straight line

 

Egbert H. Taylor & Company Limited

Notes to the Financial Statements for the Year Ended 31 December 2023

Amortisation

Amortisation is provided on intangible assets so as to write off the cost, less any estimated residual value, over their useful life as follows:

Asset class

Amortisation method and rate

Development costs

over 5 years, straight line

Trade debtors

Trade debtors are amounts due from customers for merchandise sold or services performed in the ordinary course of business.

Trade debtors are recognised initially at the transaction price. They are subsequently measured at amortised cost using the effective interest method, less provision for impairment. A provision for the impairment of trade debtors is established when there is objective evidence that the company will not be able to collect all amounts due according to the original terms of the receivables.

Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost is determined using the first-in, first-out (FIFO) method.

The cost of finished goods and work in progress comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the inventories to their present location and condition. At each reporting date, stocks are assessed for impairment. If stocks are impaired, the carrying amount is reduced to its selling price less costs to complete and sell; the impairment loss is recognised immediately in profit or loss.

Trade creditors

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Accounts payable are classified as current liabilities if the company does not have an unconditional right, at the end of the reporting period, to defer settlement of the creditor for at least twelve months after the reporting date. If there is an unconditional right to defer settlement for at least twelve months after the reporting date, they are presented as non-current liabilities.

Trade creditors are recognised initially at the transaction price and subsequently measured at amortised cost using the effective interest method.

Borrowings

Interest-bearing borrowings are initially recorded at fair value, net of transaction costs. Interest-bearing borrowings are subsequently carried at amortised cost, with the difference between the proceeds, net of transaction costs, and the amount due on redemption being recognised as a charge to the profit and loss account over the period of the relevant borrowing.

Interest expense is recognised on the basis of the effective interest method and is included in interest payable and similar charges.

Borrowings are classified as current liabilities unless the company has an unconditional right to defer settlement of the liability for at least twelve months after the reporting date.

Provisions

Provisions are recognised when the company has an obligation at the reporting date as a result of a past event, it is probable that the company will be required to settle that obligation and a reliable estimate can be made of the amount of the obligation.

 

Egbert H. Taylor & Company Limited

Notes to the Financial Statements for the Year Ended 31 December 2023

Leases

Leases in which substantially all the risks and rewards of ownership are retained by the lessor are classified as operating leases. Payments made under operating leases are charged to profit or loss on a straight-line basis over the period of the lease.

Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee.

Assets held under finance leases are recognised at the lower of their fair value at inception of the lease and the present value of the minimum lease payments. These assets are depreciated on a straight-line basis over the shorter of the useful life of the asset and the lease term. The corresponding liability to the lessor is included in the balance sheet as a finance lease obligation.

Lease payments are apportioned between finance costs in the profit and loss account and reduction of the lease obligation so as to achieve a constant periodic rate of interest on the remaining balance of the liability.

Share capital

Ordinary shares are classified as equity. Equity instruments are measured at the fair value of the cash or other resources received or receivable, net of the direct costs of issuing the equity instruments. If payment is deferred and the time value of money is material, the initial measurement is on a present value basis.

Defined contribution pension obligation

A defined contribution plan is a pension plan under which fixed contributions are paid into a pension fund and the company has no legal or constructive obligation to pay further contributions even if the fund does not hold sufficient assets to pay all employees the benefits relating to employee service in the current and prior periods.

Contributions to defined contribution plans are recognised as employee benefit expense when they are due. If contribution payments exceed the contribution due for service, the excess is recognised as a prepayment.

 

Egbert H. Taylor & Company Limited

Notes to the Financial Statements for the Year Ended 31 December 2023

3

Revenue

The analysis of the company's turnover for the year from continuing operations is as follows:

2023
£

2022
£

Sale of goods

7,053,666

12,199,254

Other revenue

520,500

360,700

7,574,166

12,559,954

The analysis of the company's turnover for the year by class of business is as follows:

2023
£

2022
£

Waste containers

7,053,666

12,199,254

Other revenue

520,500

360,700

7,574,166

12,559,954

The analysis of the company's turnover for the year by market is as follows:

2023
£

2022
£

UK

7,199,975

11,806,468

Europe

27,263

53,327

Rest of world

346,928

700,159

7,574,166

12,559,954

 

Egbert H. Taylor & Company Limited

Notes to the Financial Statements for the Year Ended 31 December 2023

4

Operating profit

Arrived at after charging/(crediting)

2023
£

2022
£

Depreciation expense

87,942

117,798

Research and development cost

3,670

2,083

Foreign exchange gains

(82,007)

(28,413)

Operating lease expense - plant and machinery

21,366

29,552

5

Other interest receivable and similar income

2023
£

2022
£

Interest income on bank deposits

9,000

-

6

Interest payable and similar expenses

2023
£

2022
£

Interest on bank overdrafts and borrowings

46,389

56,488

Interest on obligations under finance leases and hire purchase contracts

2,567

642

Interest expense on other finance liabilities

38,736

55,600

87,692

112,730

7

Staff costs

The aggregate payroll costs (including directors' remuneration) were as follows:

2023
£

2022
£

Wages and salaries

1,411,102

2,037,548

Social security costs

151,710

176,557

Other short-term employee benefits

16,861

18,178

Pension costs, defined contribution scheme

92,379

75,730

1,672,052

2,308,013

The average number of persons employed by the company (including directors) during the year, analysed by category was as follows:

2023
No.

2022
No.

Production

26

30

Administration and support

23

23

49

53

 

Egbert H. Taylor & Company Limited

Notes to the Financial Statements for the Year Ended 31 December 2023

8

Directors' remuneration

The directors' remuneration for the year was as follows:

2023
£

2022
£

Remuneration

364,522

318,457

Contributions paid to money purchase schemes

41,886

19,385

406,408

337,842

An additional bonus totalling £179,507 paid to directors is stated in exceptional costs.

During the year the number of directors who were receiving benefits and share incentives was as follows:

2023
No.

2022
No.

Accruing benefits under money purchase pension scheme

2

2

In respect of the highest paid director:

2023
£

2022
£

Remuneration

351,178

216,722

Company contributions to money purchase pension schemes

23,895

16,259

9

Auditors' remuneration

2023
£

2022
£

Audit of the financial statements

20,000

22,541


 

10

Taxation

Tax charged/(credited) in the profit and loss account

2023
£

2022
£

Deferred taxation

Arising from origination and reversal of timing differences

30,868

49,918

 

Egbert H. Taylor & Company Limited

Notes to the Financial Statements for the Year Ended 31 December 2023

The tax on profit before tax for the year is higher than the standard rate of corporation tax in the UK (2022 - lower than the standard rate of corporation tax in the UK) of 25.00% (2022 - 19.00%).

The differences are reconciled below:

2023
£

2022
£

Profit before tax

102,071

415,039

Corporation tax at standard rate

23,987

78,857

Effect of expense not deductible in determining taxable profit (tax loss)

1,427

818

Effect of tax losses

(15,098)

(26,451)

Tax increase from effect of capital allowances and depreciation

16,785

12,635

Tax increase/(decrease) from other short-term timing differences

3,767

(15,941)

Total tax charge

30,868

49,918

 

Egbert H. Taylor & Company Limited

Notes to the Financial Statements for the Year Ended 31 December 2023

Deferred tax

Deferred tax assets and liabilities

2023

Asset
£

Liability
£

Accelerated tax depreciation

-

61,292

Provisions

71,150

-

Tax losses carry-forwards

95,109

-

166,259

61,292

2022

Asset
£

Liability
£

Accelerated tax depreciation

-

40,792

Provisions

66,419

-

Tax losses carry-forwards

110,208

-

176,627

40,792

11

Intangible assets

Other intangible assets
 £

Total
£

Cost or valuation

At 1 January 2023

129,561

129,561

At 31 December 2023

129,561

129,561

Amortisation

At 1 January 2023

129,561

129,561

At 31 December 2023

129,561

129,561

Carrying amount

At 31 December 2023

-

-

At 31 December 2022

-

-

The aggregate amount of research and development expenditure recognised as an expense during the period is £3,670 (2022 - £2,083).
 

 

Egbert H. Taylor & Company Limited

Notes to the Financial Statements for the Year Ended 31 December 2023

12

Tangible assets

Leasehold improvements
£

Fixtures and fittings
£

Plant and machinery
£

Office equipment
£

Motor vehicles
 £

Total
£

Cost or valuation

At 1 January 2023

277,070

1,045,947

4,264,007

4,411

157,500

5,748,935

Additions

-

26,298

75,395

10,144

-

111,837

At 31 December 2023

277,070

1,072,245

4,339,402

14,555

157,500

5,860,772

Depreciation

At 1 January 2023

244,283

1,025,967

3,986,417

441

4,594

5,261,702

Charge for the year

5,311

10,339

62,352

2,065

7,875

87,942

At 31 December 2023

249,594

1,036,306

4,048,769

2,506

12,469

5,349,644

Carrying amount

At 31 December 2023

27,476

35,939

290,633

12,049

145,031

511,128

At 31 December 2022

32,787

19,980

277,590

3,970

152,906

487,233

Included within the net book value of land and buildings above is £27,476 (2022 - £32,787) in respect of short leasehold land and buildings.
 

 

Egbert H. Taylor & Company Limited

Notes to the Financial Statements for the Year Ended 31 December 2023

Assets held under finance leases and hire purchase contracts

The net carrying amount of tangible assets includes the following amounts in respect of assets held under finance leases and hire purchase contracts:

 

2023
£

2022
£

Plant and machinery

33,735

42,731

     

13

Stocks

2023
£

2022
£

Raw materials and consumables

1,876,767

855,549

Work in progress

132,147

326,203

Finished goods and goods for resale

93,165

44,714

2,102,079

1,226,466

14

Debtors

Current

Note

2023
£

2022
£

Trade debtors

 

1,225,980

1,706,066

Amounts owed by related parties

22

731,064

718,872

Other debtors

 

6,378

24,647

Prepayments

 

414,143

233,525

Deferred tax assets

10

104,967

135,835

   

2,482,532

2,818,945

Details of non-current trade and other debtors

£104,967 (2022 -£135,835) of Deferred tax assets is classified as non-current.

The carrying amount of trade debtors pledged as security for liabilities amounted to £775,747 (2022 - £1,368,133).

The UK book debts of the company are subject to a new invoice discounting facility from Santander and therefore, the receivables are pledged as security at the year end.

15

Cash and cash equivalents

2023
£

2022
£

Cash on hand

309

(18)

Cash at bank

189,890

222,167

190,199

222,149

 

Egbert H. Taylor & Company Limited

Notes to the Financial Statements for the Year Ended 31 December 2023

16

Creditors

Note

2023
£

2022
£

Due within one year

 

Loans and borrowings

20

175,693

474,564

Trade creditors

 

1,035,365

1,286,446

Amounts due to related parties

22

1,383,181

634,971

Social security and other taxes

 

353,923

21,483

Outstanding defined contribution pension costs

 

31,152

8,090

Accruals

 

9,077

297,689

 

2,988,391

2,723,243

Due after one year

 

Loans and borrowings

20

29,201

42,276

Other non-current financial liabilities

 

3,028,810

2,767,081

 

3,058,011

2,809,357

17

Provisions for liabilities

Warranties
£

Deferred tax
£

Other provisions
£

Total
£

At 1 January 2023

50,000

(135,835)

158,042

72,207

Increase (decrease) in existing provisions

-

30,868

-

30,868

Provisions used

-

-

(53,860)

(53,860)

At 31 December 2023

50,000

(104,967)

104,182

49,215

18

Pension and other schemes

Defined contribution pension scheme

The company operates a defined contribution pension scheme. The pension cost charge for the year represents contributions payable by the company to the scheme and amounted to £92,379 (2022 - £75,730).

Contributions totalling £31,152 (2022 - £8,090) were payable to the scheme at the end of the year and are included in creditors.

 

Egbert H. Taylor & Company Limited

Notes to the Financial Statements for the Year Ended 31 December 2023

19

Share capital

Allotted, called up and fully paid shares

 

2023

2022

 

No.

£

No.

£

Ordinary shares of £1 each

566,000

566,000

566,000

566,000

         

20

Loans and borrowings

2023
£

2022
£

Non-current loans and borrowings

Hire purchase contracts

29,201

42,276

2023
£

2022
£

Current loans and borrowings

Bank borrowings

165,107

466,468

Hire purchase contracts

10,586

8,096

175,693

474,564

Bank borrowings


Invoice discounting facility is denominated in GBP with a fixed interest rate of 2.5%. The carrying amount at year end is £165,743 (2022 - £432,171).

The invoice discounting facility with Santander UK plc is guaranteed by Egbert Taylor Holdings Ltd. The facility is secured against the trade debtor book.

Outstanding invoice facility has no fixed repayment schedule and are repayable on demand.


Bounceback loan is denominated in GBP with a fixed interest rate of 2.5%. The carrying amount at year end is £Nil (2022 - £34,298).

The loan has been repaid in full as at March 2023

 

Egbert H. Taylor & Company Limited

Notes to the Financial Statements for the Year Ended 31 December 2023

21

Obligations under leases and hire purchase contracts

Operating leases

The total of future minimum lease payments is as follows:

2023
£

2022
£

Not later than one year

250,000

292,514

Later than one year and not later than five years

1,000,000

1,000,000

Later than five years

291,667

541,667

1,541,667

1,834,181

The amount of non-cancellable operating lease payments recognised as an expense during the year was £310,393 (2022 - £532,392).

22

Related party transactions


Summary of transactions with other related parties

Egbert Taylor Middle East LLC
 The parent company, Egbert Taylor Holdings Limited, holds 49% of the issued share capital in Egbert Taylor Middle East LLC. During the year there were non-interest bearing inter-company loans advanced to Egbert Taylor Middle East LLC by the company. The outstanding loan balance at the year end was £731,064 (2022 - £718,872).
 

Income and receivables from related parties

2023

Other related parties
£

Sale of goods

41,462

Amounts receivable from related party

901,464

2022

Other related parties
£

Sale of goods

249,346

Amounts receivable from related party

718,872

Expenditure with and payables to related parties

2023

2022

Other related parties
£

Rendering of services

66,261

 

Egbert H. Taylor & Company Limited

Notes to the Financial Statements for the Year Ended 31 December 2023

Loans from related parties

2023

EHT Holdco Inc - US Parent
£

Total
£

At start of period

510,451

510,451

Advanced

227,246

227,246

Interest transactions

38,736

38,736

At end of period

776,433

776,433

2022

EHT Holdco Inc - US Parent
£

Total
£

At start of period

1,132,605

1,132,605

Repaid

(677,819)

(677,819)

Interest transactions

55,665

55,665

At end of period

510,451

510,451

Terms of loans from related parties

Loan facility created by EHT Holdco Inc, repayable in 5 years. Interest is chargeable at 5.5% accrued daily.
 

23

Parent and ultimate parent undertaking

Aurora Capital Partners have full control over Egbert Taylor Holdings Ltd since the acquisition from Rockwood Gp Iii, Llc on 23 March 2023.


 The company's immediate parent is Egbert Taylor Holdings Limited, incorporated in the United Kingdom.

 The ultimate parent is Impact Parent Corporation (DE C Corp), incorporated in the United States of America.

 The most senior parent entity producing publicly available financial statements is Egbert Taylor Holdings Limited.The ultimate controlling party is Aurora Capital Partners.