REGISTERED NUMBER: 01604732 (England and Wales) |
GROUP STRATEGIC REPORT, |
REPORT OF THE DIRECTORS AND |
AUDITED |
CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
FOR |
MEDICAL EXPRESS (U.K.) LIMITED |
REGISTERED NUMBER: 01604732 (England and Wales) |
GROUP STRATEGIC REPORT, |
REPORT OF THE DIRECTORS AND |
AUDITED |
CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
FOR |
MEDICAL EXPRESS (U.K.) LIMITED |
MEDICAL EXPRESS (U.K.) LIMITED (REGISTERED NUMBER: 01604732) |
CONTENTS OF THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Report of the Directors | 4 |
Report of the Independent Auditors | 5 |
Consolidated Statement of Comprehensive Income | 9 |
Consolidated Balance Sheet | 10 |
Company Balance Sheet | 11 |
Consolidated Statement of Changes in Equity | 12 |
Company Statement of Changes in Equity | 13 |
Consolidated Cash Flow Statement | 14 |
Notes to the Consolidated Cash Flow Statement | 15 |
Notes to the Consolidated Financial Statements | 16 |
MEDICAL EXPRESS (U.K.) LIMITED |
COMPANY INFORMATION |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
DIRECTORS: |
REGISTERED OFFICE: |
BUSINESS ADDRESS: |
REGISTERED NUMBER: |
AUDITORS: |
Statutory Auditors |
Chartered Accountants |
Pavilion View |
19 New Road |
Brighton |
East Sussex |
BN1 1EY |
MEDICAL EXPRESS (U.K.) LIMITED (REGISTERED NUMBER: 01604732) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
The directors present their strategic report for the year ended 31 December 2023. |
The business model |
Our objectives are to be the leading distributor of face masks and related products both in the UK and overseas and to profitably grow the business, through development of new product ranges, our strong relationships with major retailers and expansion into new territories. |
To meet the requirements of our customers the group needs to supply products of a high quality at a competitive price. |
The group maintains a strong ethical stance. All products are vegetarian and cruelty free and the group does not sell its products in countries where animal testing is mandated. |
REVIEW OF BUSINESS |
The group develops and produces a range of predominantly sachet-based beauty care products for the volume consumer market. The products are developed in house and manufactured by a network of third parties (mostly in the UK), for onward distribution to the grocery, pharmaceutical and online channels worldwide. |
The loss for the year, after taxation, amounted to £536,622 (2022: £1,554,568). |
The group continued to experience a downturn in performance, especially within the US and UK as a result of increased competition, stores closures and the withdrawal of underperforming ranges to make way for new products that resonate with the current market. The group made every effort to reduce operating costs and this was reflected in the improved year on year performance, driving an increase in cash and percentage margins. New products and repositioning of the current range will continue to be a focus as the business moves into the new financial year. The potential of new product lines only launched in the final months will be realised in the following financial year. |
Freight prices continued to ease vs the previous year, albeit still not to pre-pandemic levels, which continued to benefit the business. However, inflation driven by the war in Ukraine, had an adverse impact on raw material prices, coupled with the increased costs in labour through the supply chain. Stock levels were reduced during the period to allow the business to invest in new lines and have greater flexibility to take advantage of the changing market dynamics. |
The group has recognised the evolving economic pressures in both the UK and global markets and has instigated strategic and operational changes aimed at increasing sales and reducing costs. |
A change in management in 2023 allowed the business to reassess its partnerships withing the US and Canada, resulting in a change in personnel and the appointment of new brokers in both of those territories. This will improve the long-term prospects in these key overseas markets, but it will take time to take effect. |
As part of the groups initiative to reduce its carbon footprint and greenhouse gas emissions, as well as driving speed to market, UK production of sheet masks went live in 2023. The machine significantly reduced lead times vs the previous year, as well as allowing more manageable minimum order quantities, especially for new lines. This increased flexibility within the business and reduced costs. The full benefit of the machine will only be realised in the year to come. |
To aid the consumer pull through of new and existing products, the business aims to drive greater brand awareness through targeted through the line executions and strategic brand partnerships. The execution of these activities will be tailored to the relevant markets and will aim to increase weight of purchase from current consumers, whilst bringing new consumers into the brand. |
Increased focus is on selling slow moving stock before it is superseded by new product launches, whilst implementing more effective process controls to effectively manage new launches, run out of delisted lines and avoid overstock situations. |
Overheads are under review across all business areas to ensure committed spend is essential and will add value to the business. Particular scrutiny is being given to any contracts or licence agreements. |
The directors are looking for further improvements in processes, product development and technology to support the business strategy. |
MEDICAL EXPRESS (U.K.) LIMITED (REGISTERED NUMBER: 01604732) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
PRINCIPAL RISKS AND UNCERTAINTIES |
The principal risk is a downturn in consumer demand. The group mitigates this by working closely with its customers (retailers and distributors) to align production to demand and maintain an appreciation of current trends. The group also operates in a highly competitive market containing several large multi-national brands. With shelf space restricted, retailers can choose which products to sell. By maintaining close relationships with retail buyers and distributors the group has managed to retain major retailer listings for many years, as an established brand within its niche. |
Uncertainty surrounds the introduction of new products. To mitigate the risk of product failure, all new products go through an extensive development process involving formulation and testing in a sales environment. The directors believe that introducing new products is vital to maintaining the long-term health of the company. |
As a group trading internationally, it is exposed to foreign currency risk. The group is able to manage this by maintaining currency balances that are used to fund currency costs. |
FUTURE DEVELOPMENTS |
The group will continue to invest in Ecommerce in the UK, European and US markets in 2024. Cost of goods are expected to be controlled through the onshoring of purchasing and manufacturing where possible. Improvements in process controls and the core business management system will deliver efficiencies throughout the supply chain. |
FINANCIAL INSTRUMENTS |
The group has a normal level of exposure to price, credit, liquidity, and cash flow risks arising from trading activities which are conducted principally in sterling, euros, and US dollars. Balances of all three currencies are held and are used to fund operating costs arising in those currencies. The group does not enter into any formally designated hedging arrangements. |
RESEARCH AND DEVELOPMENT |
The group has an extensive product development team which is constantly working on innovation as well as reformulation of products. |
KEY PERFORMANCE INDICATORS |
The group has in place a number of key performance indicators which aid in the management of the group's business and allow the Board to review performance. The key performance indicators are as follows: |
2023 | 2022 | 2021 | 2020 |
Revenue | £12.93m | £15.71m | £18.72m | £21.17m |
Revenue growth/(decline) | (17.7% | ) | (16.1% | ) | (11.6% | ) | 23.2% |
Profit/(loss) Before Tax | (£0.52m | ) | (£1.55m | ) | (£1.50m | ) | 0.15m |
Cash generated from operations | £0.59m | £0.65m | (£0.13m | ) | £2.06m |
ON BEHALF OF THE BOARD: |
MEDICAL EXPRESS (U.K.) LIMITED (REGISTERED NUMBER: 01604732) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
The directors present their report with the financial statements of the company and the group for the year ended 31 December 2023. |
PRINCIPAL ACTIVITY |
The principal activity of the group in the year under review was that of the distribution of face packs and related products in both the UK and overseas. The Holding company provides warehousing and distribution services to its trading subsidiaries and in addition, it holds assets which are rented to its subsidiaries and other companies. |
DIVIDENDS |
No dividends were paid in the year ended 31 December 2023 and the directors recommend that no final dividend be paid in respect of the financial 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. |
Other changes in directors holding office are as follows: |
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Group Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations. |
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to: |
- | select suitable accounting policies and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the group's auditors are aware of that information. |
ON BEHALF OF THE BOARD: |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
MEDICAL EXPRESS (U.K.) LIMITED |
Opinion |
We have audited the financial statements of Medical Express (U.K.) Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2023 which comprise the Consolidated Statement of Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). |
In our opinion the financial statements: |
- | give a true and fair view of the state of the group's and of the parent company affairs as at 31 December 2023 and of the group's loss for the year then ended; |
- | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. |
Conclusions relating to going concern |
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's and the parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. |
Other information |
The directors are responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon. |
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. |
Opinions on other matters prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of the audit: |
- | the information given in the Group Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Group Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
MEDICAL EXPRESS (U.K.) LIMITED |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Directors. |
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
- | adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the parent company financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of directors' remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page four, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. |
In preparing the financial statements, the directors are responsible for assessing the group's and the parent company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the group or the parent company or to cease operations, or have no realistic alternative but to do so. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
MEDICAL EXPRESS (U.K.) 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: |
We identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and then design and perform audit procedures responsive to those risks. |
Audit approach to identifying and assessing potential risks related to irregularities |
Our procedures for identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, included the following: |
- Enquiring of management, including obtaining and reviewing supporting documentation, concerning the group's policies and procedures relating to: |
- identifying, evaluating and complying with laws and regulations and whether they were aware of any instances of non-compliance; |
- detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or alleged fraud; and |
- the internal controls established to mitigate risks related to fraud or non-compliance with laws and regulations. |
- Discussing among the 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 frameworks that the group operates in, focusing on those laws and regulations that had a direct effect on the financial statements or that had a fundamental effect on the operations of the group. |
The key laws and regulations we considered to have a direct effect on the financial statements included the Financial Reporting Standard FRS 102 "The Financial Reporting applicable in the UK and Republic of Ireland" and the Companies Act 2006, distributable profits legislation and taxation legislation and we assessed the extent of compliance with these laws and regulations as part of our procedures on the related financial statement items. |
Audit approach in response to identified risks |
Our procedures to respond to risks identified included the following: |
- Enquiring of management and, where appropriate, those charged with governance, as to whether the group is in compliance with such laws and regulations. |
- Inspecting correspondence, if any, with the relevant licensing or regulatory authorities. |
- Reviewing the financial statement disclosures and test to supporting documentation to assess compliance with reporting requirements. |
- Reviewing meeting minutes where available for any indication of non-compliance. |
- 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. 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. |
- Performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to fraud. |
Through these procedures, we have not become aware of any actual or suspected non-compliance. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
MEDICAL EXPRESS (U.K.) LIMITED |
Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements. This is particularly true for those laws and regulations far removed from transactions reflected in the financial statements. As with any audit, there remained a higher risk of non-detection of irregularities that result from fraud, due to an implied intent behind this, than from those that result from error. As stated in the audit standards, we are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations. |
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
for and on behalf of |
Statutory Auditors |
Chartered Accountants |
Pavilion View |
19 New Road |
Brighton |
East Sussex |
BN1 1EY |
MEDICAL EXPRESS (U.K.) LIMITED (REGISTERED NUMBER: 01604732) |
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
TURNOVER | 3 | 12,927,499 | 15,712,163 |
Cost of sales | 6,321,347 | 7,519,190 |
GROSS PROFIT | 6,606,152 | 8,192,973 |
Distribution costs | 1,567,168 | 2,663,202 |
Administrative expenses | 6,047,507 | 7,494,021 |
7,614,675 | 10,157,223 |
(1,008,523 | ) | (1,964,250 | ) |
Other operating income | 242,292 | 275,871 |
OPERATING LOSS | 5 | (766,231 | ) | (1,688,379 | ) |
Interest receivable and similar income | 262,044 | 142,621 |
(504,187 | ) | (1,545,758 | ) |
Interest payable and similar expenses | 6 | 16,240 | 8,810 |
LOSS BEFORE TAXATION | (520,427 | ) | (1,554,568 | ) |
Tax on loss | 7 | 16,195 | - |
LOSS FOR THE FINANCIAL YEAR | ( |
) | ( |
) |
OTHER COMPREHENSIVE INCOME |
Foreign exchange movement | (63,407 | ) | (23,794 | ) |
Income tax relating to other comprehensive income |
- |
- |
OTHER COMPREHENSIVE INCOME FOR THE YEAR, NET OF INCOME TAX |
(63,407 |
) |
(23,794 |
) |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
(600,029 |
) |
(1,578,362 |
) |
Loss attributable to: |
Owners of the parent | (536,622 | ) | (1,554,568 | ) |
Total comprehensive income attributable to: |
Owners of the parent | (600,029 | ) | (1,578,362 | ) |
MEDICAL EXPRESS (U.K.) LIMITED (REGISTERED NUMBER: 01604732) |
CONSOLIDATED BALANCE SHEET |
31 DECEMBER 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 9 | 2,303,797 | 2,449,781 |
Investments | 10 | - | - |
Investment property | 11 | 1,100,000 | 880,000 |
3,403,797 | 3,329,781 |
CURRENT ASSETS |
Stocks | 12 | 3,507,065 | 5,031,264 |
Debtors: amounts falling due within one year | 13 | 8,532,902 | 9,251,954 |
Debtors: amounts falling due after more than one year |
13 |
26,010 |
26,436 |
Cash at bank and in hand | 2,043,727 | 1,401,506 |
14,109,704 | 15,711,160 |
CREDITORS |
Amounts falling due within one year | 14 | 12,200,436 | 13,087,254 |
NET CURRENT ASSETS | 1,909,268 | 2,623,906 |
TOTAL ASSETS LESS CURRENT LIABILITIES |
5,313,065 |
5,953,687 |
CREDITORS |
Amounts falling due after more than one year |
15 |
182,695 |
223,288 |
NET ASSETS | 5,130,370 | 5,730,399 |
CAPITAL AND RESERVES |
Called up share capital | 19 | 5,000 | 5,000 |
Retained earnings | 5,125,370 | 5,725,399 |
SHAREHOLDERS' FUNDS | 5,130,370 | 5,730,399 |
The financial statements were approved by the Board of Directors and authorised for issue on 21 August 2024 and were signed on its behalf by: |
A K Bradley - Director |
MEDICAL EXPRESS (U.K.) LIMITED (REGISTERED NUMBER: 01604732) |
COMPANY BALANCE SHEET |
31 DECEMBER 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 9 |
Investments | 10 |
Investment property | 11 |
CURRENT ASSETS |
Debtors: amounts falling due within one year | 13 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 14 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CAPITAL AND RESERVES |
Called up share capital | 19 |
Retained earnings |
SHAREHOLDERS' FUNDS |
Company's profit for the financial year | 304,568 | 461,838 |
The financial statements were approved by the Board of Directors and authorised for issue on |
MEDICAL EXPRESS (U.K.) LIMITED (REGISTERED NUMBER: 01604732) |
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 January 2022 | 5,000 | 7,303,761 | 7,308,761 |
Changes in equity |
Total comprehensive income | - | (1,578,362 | ) | (1,578,362 | ) |
Balance at 31 December 2022 | 5,000 | 5,725,399 | 5,730,399 |
Changes in equity |
Total comprehensive income | - | (600,029 | ) | (600,029 | ) |
Balance at 31 December 2023 | 5,000 | 5,125,370 | 5,130,370 |
MEDICAL EXPRESS (U.K.) LIMITED (REGISTERED NUMBER: 01604732) |
COMPANY STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 January 2022 |
Changes in equity |
Total comprehensive income | - |
Balance at 31 December 2022 |
Changes in equity |
Total comprehensive income | - |
Balance at 31 December 2023 |
MEDICAL EXPRESS (U.K.) LIMITED (REGISTERED NUMBER: 01604732) |
CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
2023 | 2022 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | 592,224 | 652,079 |
Interest paid | (6,902 | ) | - |
Interest element of hire purchase or finance lease rental payments paid |
(9,338 |
) |
(8,810 |
) |
Tax paid | (19,335 | ) | 182,320 |
Net cash from operating activities | 556,649 | 825,589 |
Cash flows from investing activities |
Purchase of tangible fixed assets | (126,654 | ) | (594,882 | ) |
Sale of tangible fixed assets | 1,541 | (8,008 | ) |
Interest received | 262,044 | 142,621 |
Net cash from investing activities | 136,931 | (460,269 | ) |
Cash flows from financing activities |
Loan repayments in year | (51,359 | ) | (74,248 | ) |
Net cash from financing activities | (51,359 | ) | (74,248 | ) |
Increase in cash and cash equivalents | 642,221 | 291,072 |
Cash and cash equivalents at beginning of year |
2 |
1,401,506 |
1,110,434 |
Cash and cash equivalents at end of year |
2 |
2,043,727 |
1,401,506 |
MEDICAL EXPRESS (U.K.) LIMITED (REGISTERED NUMBER: 01604732) |
NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
1. | RECONCILIATION OF LOSS BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
2023 | 2022 |
£ | £ |
Loss before taxation | (520,427 | ) | (1,554,568 | ) |
Depreciation charges | 249,152 | 245,715 |
Loss on disposal of fixed assets | - | 190 |
Gain on revaluation of fixed assets | (220,000 | ) | - |
Foreign exchange movement | (63,406 | ) | (23,794 | ) |
Finance costs | 16,240 | 8,810 |
Finance income | (262,044 | ) | (142,621 | ) |
(800,485 | ) | (1,466,268 | ) |
Decrease in stocks | 1,524,199 | 1,112,297 |
Decrease in trade and other debtors | 719,478 | 1,511,478 |
Decrease in trade and other creditors | (850,968 | ) | (505,428 | ) |
Cash generated from operations | 592,224 | 652,079 |
2. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
Year ended 31 December 2023 |
31/12/23 | 1/1/23 |
£ | £ |
Cash and cash equivalents | 2,043,727 | 1,401,506 |
Year ended 31 December 2022 |
31/12/22 | 1/1/22 |
£ | £ |
Cash and cash equivalents | 1,401,506 | 1,110,434 |
3. | ANALYSIS OF CHANGES IN NET FUNDS |
At 1/1/23 | Cash flow | At 31/12/23 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 1,401,506 | 642,221 | 2,043,727 |
1,401,506 | 642,221 | 2,043,727 |
Debt |
Debts falling due within 1 year | (74,609 | ) | 32,710 | (41,899 | ) |
Debts falling due after 1 year | (223,288 | ) | 40,593 | (182,695 | ) |
(297,897 | ) | 73,303 | (224,594 | ) |
Total | 1,103,609 | 715,524 | 1,819,133 |
MEDICAL EXPRESS (U.K.) LIMITED (REGISTERED NUMBER: 01604732) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
1. | STATUTORY INFORMATION |
Medical Express (U.K.) Limited is a private company, limited by shares, incorporated in England and Wales. The company's registered number and registered office address can be found on the Company Information page. |
The presentation currency of the financial statements is the Pound Sterling (£). |
2. | ACCOUNTING POLICIES |
Statement of compliance and summary of significant accounting policies |
These financial statements have been prepared in accordance with Financial Reporting Standard FRS 102 "The Financial Reporting applicable in the UK and Republic of Ireland" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention, as modified by the recognition of certain financial assets and liabilities measured at fair value. |
The significant accounting policies applied in the preparation of these financial statement are set out below. These policies have been consistently applied to all years presented unless otherwise stated. |
Basis of consolidation |
The group financial statements are the result of the consolidation of the financial statements of the company and its subsidiaries drawn up to 31 December 2023. Intra-group transactions are eliminated on consolidation and all figures relate to external transactions only. |
Subsidiaries which present their accounts in a foreign currency are translated to sterling at the exchange rate prevailing at the balance sheet date. The functional currency of Montagne Jeunesse (Canada) Corporation is Canadian dollars, the functional currency of Montagne Jeunesse Spain Sociedad Limitada is the Euro and the functional currency of Montagne Jeunesse Incorporated and Montagne Jeunesse North America Inc. is American dollars. |
Related party exemption |
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group. |
Transactions between group entities which have been eliminated on consolidation are not disclosed within the financial statements. |
Significant judgements and estimates |
In the application of the group's accounting policies, which are described below, management is required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based in 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 if the revision affects only that period, or in the period of the revision and future periods if the revision affects both the current and future periods. |
The key sources of estimation uncertainty that have a significant effect on the amounts recognised in the financial statements are described below. |
(i) Bad debt provision |
The directors estimate the required bad debt provisions by reviewing outstanding debtors at the balance sheet date and taking in to account both amounts received post year-end and the perceived likelihood of the debtor balances being recovered. |
(ii) Stock provision |
The directors review the level of stocks each year, in order to make estimates of the appropriate provision of stocks for ageing and obsolescence. These provisions are based on criteria specified by the business, together with the directors' own experience on individual stock lines. |
MEDICAL EXPRESS (U.K.) LIMITED (REGISTERED NUMBER: 01604732) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
2. | ACCOUNTING POLICIES - continued |
Revenue recognition |
Turnover comprises the fair value of the consideration received or receivable for the provision of goods and services in the ordinary course of the group's activities. Turnover is shown net of value added tax, returns and rebates. |
The group had two main sources of revenue during the year: |
(i) Distribution of face packs and related products |
Revenue from the distribution of face packs and related products is recognised when all the following conditions are satisfied: |
- the group has transferred to the buyer the significant risks and rewards of ownership of the goods; |
- the group retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold; |
- the amount of revenue can be measured reliably; |
- it is probable that the economic benefits associated with the transaction will flow to the group; and |
- the costs incurred or to be incurred in respect of the transaction can be measured reliably. |
Specifically, revenue from the sale of goods is recognised when goods are delivered and legal title is passed. |
(ii) Rent, rates and service charges |
The group invoices its tenants for rent, rates and service charges for occupation of the investment property owned by the group, in accordance with the signed lease. Turnover is recognised, net of value added tax, when the rent and service charges are due to the group. |
Tangible fixed assets |
Plant and machinery | - |
Fixtures and fittings | - |
Motor vehicles | - |
Computer equipment | - |
Depreciation is not provided on the cost of freehold land. Long leasehold property is depreciated over 40 years on a straight-line basis. |
Tangible fixed assets are stated at cost less accumulated depreciation less accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended by management. |
At each balance sheet date, the group reviews the carrying amount of its tangible fixed assets to determine whether there is any indication that at items have suffered and impairment loss. If any such indication exists, the recoverable amount of an asset is estimated in order to determine the extent of the impairment loss, if any. |
If the recoverable amount of an asset is estimated to be less than its carrying amount, the carrying amount of the asset is reduced to its recoverable amount. Impairment loss is recognised as an expense immediately. |
Investment property |
Investment property is shown at the most recent valuation. Any aggregate surplus or deficit arising from changes in fair value is recognised in profit or loss. |
Stocks |
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell, after making due allowance for obsolete and slow moving items. |
When stocks are sold, the carrying amount of those stocks is recognised as an expense in the period in which the related revenue is recognised. The amount of any write-down of stocks to net realisable value and all losses of stocks are recognised as an expense in the period in which the write-down or loss occurs. The amount of any reversal of any write-down of stocks is recognised as a reduction in the amount of inventories recognised as an expense in the period in which the reversal occurs. |
MEDICAL EXPRESS (U.K.) LIMITED (REGISTERED NUMBER: 01604732) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
2. | ACCOUNTING POLICIES - continued |
Financial instruments |
(i) Financial assets |
Basic financial assets, including trade and other debtors, cash and bank balances and investments in commercial paper, are initially recognised at transaction price. |
At the end of each reporting period financial assets measured at amortised cost are assessed for objective evidence of impairment. If an asset is impaired the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss. |
If there is decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss. |
Financial assets are derecognised when (a) the contractual rights to the cash flows from the asset expire or are settled, or (b) substantially all the risks and rewards of the ownership of the asset are transferred to another party or (c) despite having retained some significant risks and rewards of ownership, control of the asset has been transferred to another party who has the practical ability to unilaterally sell the asset to an unrelated third party without imposing additional restrictions. |
(ii) Financial liabilities |
Basic financial liabilities, including trade and other creditors and bank loans are initially recognised at transaction price. |
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 payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method, unless the effect of discounting would be immaterial, in which case they are stated at cost. |
Financial liabilities are derecognised when the liability is extinguished, that is when the contractual obligation is discharged, cancelled or expires. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Statement of Comprehensive Income, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
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. |
MEDICAL EXPRESS (U.K.) LIMITED (REGISTERED NUMBER: 01604732) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
2. | ACCOUNTING POLICIES - continued |
Foreign currencies |
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. For management accounts purposes, transactions in foreign currencies are translated into sterling at a fixed rate of exchange determined by the director at the beginning of the accounting period, contrary to the requirements of Financial Reporting Standard 102. Exchange differences are taken into account in arriving at the operating result. In order that these financial statements comply with FRS 102 a final adjustment to transactions in foreign currencies is processed at the year end and included in the Statement of Comprehensive Income. |
Hire purchase and leasing commitments |
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. |
Pension costs and other post-retirement benefits |
The group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme are charged to profit or loss in the period to which they relate. |
Impairment |
Assets not measured at fair value are reviewed for any indication that the asset may be impaired at each balance sheet date. If such indication exists, the recoverable amount of the asset, or the asset's cash generating unit, is estimated and compared to the carrying amount. Where the carrying amount exceeds its recoverable amount, an impairment loss is recognised in the statement of comprehensive income unless the asset is carried at a revalued amount where the impairment loss is a revaluation decrease. |
3. | TURNOVER |
The turnover and loss before taxation are attributable to the one principal activity of the group. |
An analysis of turnover by geographical market is given below: |
2023 | 2022 |
£ | £ |
United Kingdom | 6,046,917 | 6,819,633 |
Europe | 4,581,667 | 4,455,789 |
Rest of the World | 2,298,915 | 4,436,741 |
12,927,499 | 15,712,163 |
4. | EMPLOYEES AND DIRECTORS |
2023 | 2022 |
£ | £ |
Wages and salaries | 2,072,986 | 2,414,247 |
Social security costs | 211,568 | 230,079 |
Other pension costs | 92,041 | 80,406 |
2,376,595 | 2,724,732 |
The average number of employees during the year was as follows: |
2023 | 2022 |
Directors and administration | 21 | 20 |
Sales and marketing | 6 | 6 |
Operations | 37 | 52 |
MEDICAL EXPRESS (U.K.) LIMITED (REGISTERED NUMBER: 01604732) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
4. | EMPLOYEES AND DIRECTORS - continued |
2023 | 2022 |
£ | £ |
Directors' remuneration | 385,056 | 392,661 |
Directors' pension contributions to money purchase schemes | 14,805 | 16,904 |
The number of directors to whom retirement benefits were accruing was as follows: |
Money purchase schemes | 5 | 4 |
Information regarding the highest paid director is as follows: |
2023 | 2022 |
£ | £ |
Emoluments etc | 127,942 | 129,985 |
Pension contributions to money purchase schemes | 6,290 | 6,290 |
There are no key management personnel other than the directors. |
5. | OPERATING LOSS |
The operating loss is stated after charging/(crediting): |
2023 | 2022 |
£ | £ |
Hire of plant and machinery | 24,925 | 21,232 |
Other operating leases | 40,139 | 59,951 |
Depreciation - owned assets | 249,152 | 245,715 |
Loss on disposal of fixed assets | - | 190 |
Auditors' remuneration | 31,560 | 40,800 |
Other non- audit services | 1,406 | 8,790 |
Foreign exchange differences | 151,677 | (403,228 | ) |
6. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2023 | 2022 |
£ | £ |
Interest on overdue taxation | 6,902 | - |
Hire purchase | 9,338 | 8,810 |
16,240 | 8,810 |
7. | TAXATION |
Analysis of the tax charge |
The tax charge on the loss for the year was as follows: |
2023 | 2022 |
£ | £ |
Current tax: |
UK corporation tax | 16,195 | - |
Tax on loss | 16,195 | - |
MEDICAL EXPRESS (U.K.) LIMITED (REGISTERED NUMBER: 01604732) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
7. | TAXATION - continued |
Reconciliation of total tax charge included in profit and loss |
The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below: |
2023 | 2022 |
£ | £ |
Loss before tax | (520,427 | ) | (1,554,568 | ) |
Loss multiplied by the standard rate of corporation tax in the UK of 23.500 % (2022 - 19 %) |
(122,300 |
) |
(295,368 |
) |
Effects of: |
Expenses not deductible for tax purposes | (11,650 | ) | 4,098 |
Capital allowances in excess of depreciation | - | (107,258 | ) |
Depreciation in excess of capital allowances | 56,605 | - |
Utilisation of tax losses | (9,122 | ) | (74,296 | ) |
consolidation |
Movement in general provisions | 1,759 | (2,600 | ) |
Losses carried forward | 100,903 | 475,424 |
Total tax charge | 16,195 | - |
Tax effects relating to effects of other comprehensive income |
2023 |
Gross | Tax | Net |
£ | £ | £ |
Foreign exchange movement | (63,407 | ) | - | (63,407 | ) |
2022 |
Gross | Tax | Net |
£ | £ | £ |
Foreign exchange movement | (23,794 | ) | - | (23,794 | ) |
At the year end the group had taxable losses carried forward of £4,580,418 (2022:£4,174,439) |
8. | INDIVIDUAL STATEMENT OF COMPREHENSIVE INCOME |
As permitted by Section 408 of the Companies Act 2006, the Statement of Comprehensive Income of the parent company is not presented as part of these financial statements. |
MEDICAL EXPRESS (U.K.) LIMITED (REGISTERED NUMBER: 01604732) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
9. | TANGIBLE FIXED ASSETS |
Group |
Fixtures |
Long | Plant and | and |
leasehold | machinery | fittings |
£ | £ | £ |
COST |
At 1 January 2023 | 2,587,842 | 3,188,615 | 334,351 |
Additions | - | 104,434 | 275 |
Disposals | - | (29,947 | ) | (2,792 | ) |
At 31 December 2023 | 2,587,842 | 3,263,102 | 331,834 |
DEPRECIATION |
At 1 January 2023 | 865,309 | 2,483,013 | 330,422 |
Charge for year | 52,546 | 184,780 | 2,805 |
Eliminated on disposal | - | (29,258 | ) | (2,792 | ) |
Transfer to ownership | - | - | - |
At 31 December 2023 | 917,855 | 2,638,535 | 330,435 |
NET BOOK VALUE |
At 31 December 2023 | 1,669,987 | 624,567 | 1,399 |
At 31 December 2022 | 1,722,533 | 705,602 | 3,929 |
Motor | Computer |
vehicles | equipment | Totals |
£ | £ | £ |
COST |
At 1 January 2023 | 8,752 | 200,944 | 6,320,504 |
Additions | 21,945 | - | 126,654 |
Disposals | - | (41,680 | ) | (74,419 | ) |
At 31 December 2023 | 30,697 | 159,264 | 6,372,739 |
DEPRECIATION |
At 1 January 2023 | 8,752 | 183,227 | 3,870,723 |
Charge for year | - | 9,021 | 249,152 |
Eliminated on disposal | - | (40,828 | ) | (72,878 | ) |
Transfer to ownership | 21,945 | - | 21,945 |
At 31 December 2023 | 30,697 | 151,420 | 4,068,942 |
NET BOOK VALUE |
At 31 December 2023 | - | 7,844 | 2,303,797 |
At 31 December 2022 | - | 17,717 | 2,449,781 |
Included in cost of land and buildings is freehold land of £455,000 (2022 - £455,000) which is not depreciated. |
MEDICAL EXPRESS (U.K.) LIMITED (REGISTERED NUMBER: 01604732) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
9. | TANGIBLE FIXED ASSETS - continued |
Company |
Fixtures |
Long | Plant and | and |
leasehold | machinery | fittings | Totals |
£ | £ | £ | £ |
COST |
At 1 January 2023 |
and 31 December 2023 |
DEPRECIATION |
At 1 January 2023 |
Charge for year |
At 31 December 2023 |
NET BOOK VALUE |
At 31 December 2023 |
At 31 December 2022 |
Included in cost of land and buildings is freehold land of £ 455,000 (2022 - £ 455,000 ) which is not depreciated. |
10. | FIXED ASSET INVESTMENTS |
Company |
Shares in |
group |
undertakings |
£ |
COST |
At 1 January 2023 |
and 31 December 2023 |
PROVISIONS |
At 1 January 2023 | 489,713 |
Provision for year | 154,874 |
At 31 December 2023 | 644,587 |
NET BOOK VALUE |
At 31 December 2023 |
At 31 December 2022 |
The group or the company's investments at the Balance Sheet date in the share capital of companies include the following: |
Subsidiaries |
Registered office: Astral Court Central Avenue, Baglan Energy Park, Port Talbot, SA12 7AX |
Nature of business: |
% |
Class of shares: | holding |
MEDICAL EXPRESS (U.K.) LIMITED (REGISTERED NUMBER: 01604732) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
10. | FIXED ASSET INVESTMENTS - continued |
Registered office: Astral Court Central Avenue, Baglan Energy Park, Port Talbot, SA12 7AX |
Nature of business: |
% |
Class of shares: | holding |
Registered office: Astral Court Central Avenue, Baglan Energy Park, Port Talbot, SA12 7AX |
Nature of business: |
% |
Class of shares: | holding |
Registered office: 1790 Hughes Landing Blvd Suite 550, The Woodlands, Texas, 77380, United States |
Nature of business: |
% |
Class of shares: | holding |
This shareholding is held indirectly through 7th Heaven Limited. |
The information is taken from unaudited financial statements prepared by Montagne Jeunesse Incorporated at the period end. |
Registered office: 52 Squire Bakers Lane, Markham, Ontario, L3P3G9, Canada |
Nature of business: |
% |
Class of shares: | holding |
The information is taken from unaudited financial statements prepared by Montagne Jeunesse (Canada) Corporation at the period end. |
Registered office: 6-8 Avenue de Creil, 60300 Senlis, France |
Nature of business: |
% |
Class of shares: | holding |
Registered office: Urb Loma del Rey 40,La Alcaidesa, La Linea de la Concepcion - San Roque, Cadiz 11360 |
Nature of business: |
% |
Class of shares: | holding |
Registered office: 850 New Burton Road, Suite 201, Dover, Delaware 19904, United States |
Nature of business: |
% |
Class of shares: | holding |
Each of the subsidiaries detailed above are included in the Group Financial Statements on consolidation. |
MEDICAL EXPRESS (U.K.) LIMITED (REGISTERED NUMBER: 01604732) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
11. | INVESTMENT PROPERTY |
Group |
Total |
£ |
FAIR VALUE |
At 1 January 2023 | 880,000 |
Revaluations | 220,000 |
At 31 December 2023 | 1,100,000 |
NET BOOK VALUE |
At 31 December 2023 | 1,100,000 |
At 31 December 2022 | 880,000 |
The investment property was professionally valued at £880,000 in January 2019 by Rees Richards & Partners Chartered Surveyors, an independent valuer. The property has subsequently been revalued upwards by the directors by assessing the capital market value per square foot of similar properties in a similar location taking into account the size, location and condition of the property. |
Company |
Total |
£ |
FAIR VALUE |
At 1 January 2023 |
Revaluations | 220,000 |
At 31 December 2023 |
NET BOOK VALUE |
At 31 December 2023 |
At 31 December 2022 |
Fair value at 31 December 2023 is represented by: |
£ |
Valuation in 2009 | (210,658 | ) |
Valuation in 2018 | (206,000 | ) |
Valuation in 2023 | 220,000 |
Cost | 1,296,658 |
1,100,000 |
The investment property was professionally valued at £880,000 in January 2019 by Rees Richards & Partners Chartered Surveyors, an independent valuer. The property has subsequently been revalued upwards by the directors by assessing the capital market value per square foot of similar properties in a similar location taking into account the size, location and condition of the property. |
MEDICAL EXPRESS (U.K.) LIMITED (REGISTERED NUMBER: 01604732) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
12. | STOCKS |
Group |
2023 | 2022 |
£ | £ |
Stocks | 3,507,065 | 5,031,264 |
The group recognised a net increase to the stock provision of £162,781 during the year, compared with a net decrease of £206,030 in 2022. |
13. | DEBTORS |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Amounts falling due within one year: |
Trade debtors | 2,604,602 | 3,643,876 |
Amounts owed by group undertakings | - | - |
Other debtors | 5,611,562 | 5,308,609 |
VAT | - | - |
Prepayments and accrued income | 316,738 | 299,469 |
8,532,902 | 9,251,954 |
Amounts falling due after more than one | year: |
Other debtors | 26,010 | 26,436 |
Aggregate amounts | 8,558,912 | 9,278,390 |
14. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Bank loans and overdrafts (see note 16) | 41,899 | 74,609 |
Trade creditors | 1,452,186 | 2,019,290 |
Amounts owed to group undertakings | - | - |
Tax | (5,569 | ) | (2,429 | ) |
Social security and other taxes | 92,375 | 63,137 |
VAT | 153,939 | 240,445 | 15,609 | - |
Other creditors | 10,159,831 | 10,162,808 |
Accrued expenses | 305,775 | 529,394 |
12,200,436 | 13,087,254 |
15. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
Group |
2023 | 2022 |
£ | £ |
Bank loans (see note 16) | 182,695 | 223,288 |
MEDICAL EXPRESS (U.K.) LIMITED (REGISTERED NUMBER: 01604732) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
16. | LOANS |
An analysis of the maturity of loans is given below: |
Group |
2023 | 2022 |
£ | £ |
Amounts falling due within one year or on | demand: |
Bank loans | 41,899 | 74,609 |
Amounts falling due between one and two | years: |
Bank loans | 25,029 | 46,062 |
Amounts falling due between two and five | years: |
Bank loans | 77,767 | 76,683 |
Amounts falling due in more than five years: |
Repayable by instalments |
Bank loans | 79,899 | 100,543 |
17. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Group |
Non-cancellable operating | leases |
2023 | 2022 |
£ | £ |
Within one year | 9,292 | 3,027 |
Between one and five years | 9,854 | 1,902 |
19,146 | 4,929 |
Within motor expenses there are operating lease payments totalling £15,379 (2022: £16,828). |
18. | SECURED DEBTS |
The following secured debts are included within creditors: |
Group |
2023 | 2022 |
£ | £ |
Bank loans | 224,594 | 297,897 |
The bank loans in the United Kingdom amounting to £224,594 (2022: £297,897) are secured by first legal charge dated 2 May 2006 in favour of Barclays Bank Plc over a long leasehold property and an investment property owned by the group. |
There exists a cross guarantee and debenture between Barclays Bank Plc and Medical Express (U.K.) Limited, Montagne Jeunesse International Limited and Cut from the Wild Limited, dated 12 May 2003. |
MEDICAL EXPRESS (U.K.) LIMITED (REGISTERED NUMBER: 01604732) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 DECEMBER 2023 |
19. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2023 | 2022 |
value: | £ | £ |
Ordinary | £1 | 5,000 | 5,000 |
Each share is entitled to one vote in any circumstances, pari passu to dividend payments or any other distribution, pari passu to participate in a distribution arising from a winding up of the company and no rights of redemption. |
20. | RELATED PARTY DISCLOSURES |
Entities under common control |
2023 | 2022 |
£ | £ |
Income | 474,296 | 1,668,945 |
Expenditure | 1,558,063 | 1,881,376 |
Amount due from related parties | 5,396,850 | 5,244,190 |
The outstanding balances with entities under common control are all interest-free and repayable on demand. |
Ultimate controlling party |
2023 | 2022 |
£ | £ |
Amount due to related party | 10,136,005 | 10,133,028 |
The loan due to the ultimate controlling party is interest-free and repayable on demand. |
21. | ULTIMATE CONTROLLING PARTY |
The controlling party is G M S Butcher. |