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REGISTERED NUMBER: 08707716 (England and Wales)











Granarolo UK Limited

Strategic Report, Report of the Directors and

Financial Statements

for the Year Ended 31 December 2023






Granarolo UK Limited (Registered number: 08707716)

Contents of the Financial Statements
for the Year Ended 31 December 2023










Page

Company Information 1

Strategic Report 2

Report of the Directors 4

Report of the Independent Auditors 6

Income Statement 10

Other Comprehensive Income 11

Balance Sheet 12

Statement of Changes in Equity 13

Cash Flow Statement 14

Notes to the Cash Flow Statement 15

Notes to the Financial Statements 16


Granarolo UK Limited

Company Information
for the Year Ended 31 December 2023







DIRECTORS: A G Bosco
F Marchi
F Fanetti





REGISTERED OFFICE: Brierly Place
New London Road
Chelmsford
Essex
CM2 0AP





REGISTERED NUMBER: 08707716 (England and Wales)





AUDITORS: Haines Watts Tamworth Limited
Chartered Accountants and Statutory Auditors
Sterling House
97 Lichfield Street
Tamworth
Staffordshire
B79 7QF

Granarolo UK Limited (Registered number: 08707716)

Strategic Report
for the Year Ended 31 December 2023


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

The principal activity of the company in the year under review was that of the retail and wholesale marketing of a wide range of Italian Cheeses including our own "Granarolo" range of produce.

Key financial highlights are as follows:


2023 2022 2021 (restated) 2020
12 months 12 months 12 months 12 months

Turnover (£   's) 25,475 20,520 14,496 12,303
Turnover growth (£   's) 4,955 6,024 2,193 2,642
Gross profit margin 5.18% 5.43% 6.44% 10.37%


REVIEW OF BUSINESS
In the UK, the Granarolo Group accounts for 11.1% of Italian export volumes. In addition, the Group is a leading player among the private label category as the producer of Italian fresh and hard cheeses for several retail chains. We continue to grow our volumes in the foodservice market by utilising and leveraging the distribution and warehousing of our subsidiary Midland Chilled Foods Limited.

Forecasts of market trends for the first part of 2023 were particularly negative due to the strong inflationary impact on sales prices, on shopping trolley costs in general, and even more so on dairy products which, compared to the average for other foodstuffs, experienced twice as much inflation in 2022 and 2023 as the other product categories.

We believe that constant monitoring of the right price-volume ratio is the basis for maintaining good turnover and ensuring adequate profit levels.

The Companies strategic objectives for 2024 are:

i) strengthen our strong position within the UK market via digital transformation and supply chain innovation;
ii) innovate with a view to providing new product solutions in an ever-changing market;
iii) further develop the Granarolo brand in the UK by leveraging our farm to fork credentials in line with consumer demand and expectations.

The 2024 operating profit target is expected to grow due to the maintenance of good prices, together with a stable market and good growth prospects in our market.

Sources: CLAL / ISTAT YTD data, September 2023, total cheese and dairy products, milk and cream, butter, infant formula.


Granarolo UK Limited (Registered number: 08707716)

Strategic Report
for the Year Ended 31 December 2023

PRINCIPAL RISKS AND UNCERTAINTIES
The company aims to manage the uncertainty of future revenue streams by focusing on its proven market leading service, maintaining strong relationships with all of its customers, and introducing the plant range of produce to the UK to diversify into new and emerging markets.

The principal credit risk arises from the trade debtors and is managed by credit reference and credit insurance together with robust procedures for the collection of monies due to the company.

ON BEHALF OF THE BOARD:





A G Bosco - Director


2 August 2024

Granarolo UK Limited (Registered number: 08707716)

Report of the Directors
for the Year Ended 31 December 2023


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

PRINCIPAL ACTIVITY
The principal activity of the company in the year under review was that of the retail and wholesale marketing of a wide range of Italian Cheeses including our own "Granarolo" range of produce.

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

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

A G Bosco
F Marchi

Other changes in directors holding office are as follows:

K F O'Leary - resigned 30 June 2023

F Fanetti was appointed as a director after 31 December 2023 but prior to the date of this report.

R S Piaggi ceased to be a director after 31 December 2023 but prior to the date of this report.

STATEMENT OF DIRECTORS' RESPONSIBILITIES
The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

-select suitable accounting policies and then apply them consistently;
-make judgements and accounting estimates that are reasonable and prudent;
-prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

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

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

Granarolo UK Limited (Registered number: 08707716)

Report of the Directors
for the Year Ended 31 December 2023


AUDITORS
The auditors, Haines Watts Tamworth Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:





A G Bosco - Director


2 August 2024

Report of the Independent Auditors to the Members of
Granarolo UK Limited


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

In our opinion the financial statements:
-give a true and fair view of the state of the company's affairs as at 31 December 2023 and of its profit for the year then ended;
-have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
-have been prepared in accordance with the requirements of the Companies Act 2006.

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

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

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

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

Other information
The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
- the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

Report of the Independent Auditors to the Members of
Granarolo UK Limited


Matters on which we are required to report by exception
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
- adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
- the financial statements are not in agreement with the accounting records and returns; or
- certain disclosures of directors' remuneration specified by law are not made; or
- we have not received all the information and explanations we require for our audit.

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

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

Report of the Independent Auditors to the Members of
Granarolo UK Limited


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

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

Identifying and assessing potential risks related to irregularities

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

- results of our enquiries of management about their own identification and assessment of the risks and irregularities
- any matters we identified having obtained an understanding of the company policies and procedures relating to
- identifying, evaluating and complying with laws and regulations and whether they are aware of any instances of
non-compliance
- detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or
alleged fraud
- the internal controls set up to mitigate risks of fraud or non-compliance with laws and regulations
- the matters discussed among the audit engagement team regarding how and where fraud might occur in the
financial statements and any potential indicators of fraud.
- obtaining an understanding of the legal and regulatory framework that the company operates in, focusing on those
laws and regulations that had a direct effect on the financial statements, including UK Companies Act 2006,
pensions and tax legislation
- provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance
with which may be fundamental to the company's ability to operate or to avoid material penalty. These include the
impact of import restrictions and adherence to food safety and hygiene standards.

As a result of performing the above, we did not identify any key audit matters related to the potential risk of fraud or non-compliance with laws and regulations.

Audit response to risks identified

Our procedures to respond to risks identified included the following:

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

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.

Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.

A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors.

Report of the Independent Auditors to the Members of
Granarolo UK Limited


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




Darren Barlow (Senior Statutory Auditor)
for and on behalf of Haines Watts Tamworth Limited
Chartered Accountants and Statutory Auditors
Sterling House
97 Lichfield Street
Tamworth
Staffordshire
B79 7QF

2 August 2024

Granarolo UK Limited (Registered number: 08707716)

Income Statement
for the Year Ended 31 December 2023

2023 2022
Notes £    £   

TURNOVER 25,474,852 20,519,666

Cost of sales 24,154,324 19,406,256
GROSS PROFIT 1,320,528 1,113,410

Administrative expenses 895,546 1,832,579
OPERATING PROFIT/(LOSS) 4 424,982 (719,169 )


Interest payable and similar expenses 6 336,164 177,331
PROFIT/(LOSS) BEFORE TAXATION 88,818 (896,500 )

Tax on profit/(loss) 7 17,087 (87,954 )
PROFIT/(LOSS) FOR THE FINANCIAL YEAR 71,731 (808,546 )

Granarolo UK Limited (Registered number: 08707716)

Other Comprehensive Income
for the Year Ended 31 December 2023

2023 2022
Notes £    £   

PROFIT/(LOSS) FOR THE YEAR 71,731 (808,546 )


OTHER COMPREHENSIVE INCOME - -
TOTAL COMPREHENSIVE INCOME FOR
THE YEAR

71,731
Prior year adjustment (375,992 )
TOTAL COMPREHENSIVE INCOME SINCE
LAST ANNUAL REPORT

(1,184,538

)

Granarolo UK Limited (Registered number: 08707716)

Balance Sheet
31 December 2023

2023 2022
Notes £    £    £    £   
FIXED ASSETS
Intangible assets 8 202,500 222,750
Investments 9 8,942,923 8,942,923
9,145,423 9,165,673

CURRENT ASSETS
Stocks 10 772,354 827,296
Debtors 11 11,745,981 8,022,420
Cash at bank 117,136 379,509
12,635,471 9,229,225
CREDITORS
Amounts falling due within one year 12 10,824,115 7,509,850
NET CURRENT ASSETS 1,811,356 1,719,375
TOTAL ASSETS LESS CURRENT
LIABILITIES

10,956,779

10,885,048

CREDITORS
Amounts falling due after more than one year 13 5,700,000 5,700,000
NET ASSETS 5,256,779 5,185,048

CAPITAL AND RESERVES
Called up share capital 15 100 100
Share premium 16 499,900 499,900
Retained earnings 16 4,756,779 4,685,048
SHAREHOLDERS' FUNDS 5,256,779 5,185,048

The financial statements were approved by the Board of Directors and authorised for issue on 2 August 2024 and were signed on its behalf by:





A G Bosco - Director


Granarolo UK Limited (Registered number: 08707716)

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

Called up
share Retained Share Total
capital earnings premium equity
£    £    £    £   
Balance at 1 January 2022 100 5,869,586 499,900 6,369,586
Prior year adjustment - (375,992 ) - (375,992 )
As restated 100 5,493,594 499,900 5,993,594

Changes in equity
Total comprehensive income - (808,546 ) - (808,546 )
Balance at 31 December 2022 100 4,685,048 499,900 5,185,048

Changes in equity
Total comprehensive income - 71,731 - 71,731
Balance at 31 December 2023 100 4,756,779 499,900 5,256,779

Granarolo UK Limited (Registered number: 08707716)

Cash Flow Statement
for the Year Ended 31 December 2023

2023 2022
Notes £    £   
Cash flows from operating activities
Cash generated from operations 1 457 (1,307,260 )
Interest paid (336,164 ) (177,331 )
Tax paid 73,334 (174,186 )
Net cash from operating activities (262,373 ) (1,658,777 )

Decrease in cash and cash equivalents (262,373 ) (1,658,777 )
Cash and cash equivalents at beginning of
year

2

379,509

2,038,286

Cash and cash equivalents at end of year 2 117,136 379,509

Granarolo UK Limited (Registered number: 08707716)

Notes to the Cash Flow Statement
for the Year Ended 31 December 2023


1. RECONCILIATION OF PROFIT/(LOSS) BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS
2023 2022
£    £   
Profit/(loss) before taxation 88,818 (896,500 )
Depreciation charges 20,250 20,250
Finance costs 336,164 177,331
445,232 (698,919 )
Decrease/(increase) in stocks 54,942 (380,899 )
Increase in trade and other debtors (898,435 ) (1,241,679 )
Increase in trade and other creditors 398,718 1,014,237
Cash generated from operations 457 (1,307,260 )

2. CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 31 December 2023
31.12.23 1.1.23
£    £   
Cash and cash equivalents 117,136 379,509
Year ended 31 December 2022
31.12.22 1.1.22
£    £   
Cash and cash equivalents 379,509 2,038,286


3. ANALYSIS OF CHANGES IN NET FUNDS

At 1.1.23 Cash flow At 31.12.23
£    £    £   
Net cash
Cash at bank 379,509 (262,373 ) 117,136
379,509 (262,373 ) 117,136
Total 379,509 (262,373 ) 117,136

Granarolo UK Limited (Registered number: 08707716)

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


1. STATUTORY INFORMATION

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

2. ACCOUNTING POLICIES

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

Preparation of consolidated financial statements
The financial statements contain information about Granarolo UK Limited as an individual company and do not contain consolidated financial information as the parent of a group. The company is exempt under Section 401 of the Companies Act 2006 from the requirements to prepare consolidated financial statements as it and its subsidiary undertaking are included by full consolidation in the consolidated financial statements of its parent, Granarolo S.P.A., Via Cadriano 27/2,40127 Bologna, Emilia Romagna, Italy.

Significant judgements and estimates
In the application of the company's accounting policies, the directors are required to make judgement, estimates and assumptions about carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of revision and future periods where the revision affects both current and future periods.

In preparing these financial statements the directors have made judgements including:

Useful economic lives of tangible fixed assets

The annual depreciation charge for tangible assets is sensitive to changes in the estimated useful economic lives and residual values of the assets. The useful economic lives and residual values are assessed annually. They are amended when necessary to reflect current estimates, based on technological advancement, future investments, economic utilisation and the physical condition of the assets.

Sales ledger bad debt provisions

Management review debts on a case by case basis to highlight deviation from terms and therefore possible provision requirement.

Stock provisions

Through experience over time, the management have formulated a standard policy of provisioning based on stock movement. This is monitored on an ongoing basis and judgement used on a line by line basis should trends change significantly.

Turnover
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Goodwill
Goodwill, being the amount paid in connection with the acquisition of a business in 2014, is being amortised evenly over its estimated useful life of twenty years.

Granarolo UK Limited (Registered number: 08707716)

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


2. ACCOUNTING POLICIES - continued

Intangible assets
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

Investments in subsidiaries
Investments in subsidiary undertakings are recognised at cost.

Stocks
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Taxation
Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

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

3. EMPLOYEES AND DIRECTORS

There were no staff costs for the year ended 31 December 2023 nor for the year ended 31 December 2022.

2023 2022
£    £   
Directors' remuneration - -

4. OPERATING PROFIT/(LOSS)

The operating profit (2022 - operating loss) is stated after charging:

2023 2022
£    £   
Goodwill amortisation 20,250 20,250

5. EXCEPTIONAL ITEMS
2023 2022
£    £   
Exceptional items - (878,795 )

Granarolo UK Limited (Registered number: 08707716)

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


Following a formal cost review and restructuring programme roll out in Italy, additional costs of production were recharged to the company. These are deemed one off catch up costs and as such reflected as exceptional items.

6. INTEREST PAYABLE AND SIMILAR EXPENSES
2023 2022
£    £   
Loan 336,164 177,331

7. TAXATION

Analysis of the tax charge/(credit)
The tax charge/(credit) on the profit for the year was as follows:
2023 2022
£    £   
Current tax:
UK corporation tax 558 (71,425 )

Deferred tax 16,529 (16,529 )
Tax on profit/(loss) 17,087 (87,954 )

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

2023 2022
£    £   
Profit/(loss) before tax 88,818 (896,500 )
Profit/(loss) multiplied by the standard rate of corporation tax in the UK of
23.519% (2022 - 19%)

20,889

(170,335

)

Effects of:
Expenses not deductible for tax purposes 129 6,650
Utilisation of tax losses (3,931 ) -
Adjustments to tax charge in respect of previous periods - (71,425 )
adjustment

Group relief - 147,156
Total tax charge/(credit) 17,087 (87,954 )

Granarolo UK Limited (Registered number: 08707716)

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


8. INTANGIBLE FIXED ASSETS
Goodwill
£   
COST
At 1 January 2023
and 31 December 2023 405,000
AMORTISATION
At 1 January 2023 182,250
Amortisation for year 20,250
At 31 December 2023 202,500
NET BOOK VALUE
At 31 December 2023 202,500
At 31 December 2022 222,750

9. FIXED ASSET INVESTMENTS
Shares in
group
undertakings
£   
COST
At 1 January 2023
and 31 December 2023 8,942,923
NET BOOK VALUE
At 31 December 2023 8,942,923
At 31 December 2022 8,942,923

The company's investments at the Balance Sheet date in the share capital of companies include the following:

Midland Chilled Foods Limited
Registered office: Brierly Place, New London Road, Chelmsford, Essex, CM2 0AP
Nature of business: Wholesale marketing of chilled foods
%
Class of shares: holding
Ordinary 100.00
2023 2022
£    £   
Aggregate capital and reserves 8,671,459 7,604,075
Profit for the year 1,067,384 890,718

10. STOCKS
2023 2022
£    £   
Stocks 772,354 827,296

Granarolo UK Limited (Registered number: 08707716)

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


11. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2023 2022
£    £   
Trade debtors 4,675,756 3,549,879
Amounts owed by group undertakings 7,021,671 4,108,591
Tax - 71,425
VAT 28,653 198,441
Deferred tax asset
Tax losses carried forward - 16,529
Prepayments and accrued income 19,901 77,555
11,745,981 8,022,420

12. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2023 2022
£    £   
Trade creditors 488,812 155,969
Amounts owed to group undertakings 10,314,331 7,332,389
Tax 4,472 2,005
Accrued expenses 16,500 19,487
10,824,115 7,509,850

13. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR
2023 2022
£    £   
Amounts owed to group undertakings 5,700,000 5,700,000

Group creditors more than one year include a loan attracting interest at a rate of Euribor 6M/360 + 2,5% and is repayable upon agreed terms, quarterly.

14. DEFERRED TAX
£   
Balance at 1 January 2023 (16,529 )
Provided during year 16,529
Balance at 31 December 2023 -

15. CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:
Number: Class: Nominal 2023 2022
value: £    £   
100 Ordinary £1 100 100

Granarolo UK Limited (Registered number: 08707716)

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


16. RESERVES
Retained Share
earnings premium Totals
£    £    £   

At 1 January 2023 4,685,048 499,900 5,184,948
Profit for the year 71,731 71,731
At 31 December 2023 4,756,779 499,900 5,256,679

17. CONTINGENT LIABILITIES

The company has given cross guarantees to Barclays Bank Plc in respect of amounts outstanding with its subsidiary. At the balance sheet date these amounted to £52,199 (2022 - £256,757).

18. ULTIMATE CONTROLLING PARTY

The company's immediate parent company is Granarolo S.P.A, a company registered in Italy. Granlatte Soc. Coop. Agricola heads the Granarolo Group and is registered in Italy. Granarolo S.P.A. prepare group accounts and these can be obtained from Via Cadriano 27/2, 40127 Bologna, Emilia-Romagna, Italy.