IRIS Accounts Production v24.2.0.383 NI032153 Board of Directors 1.1.23 31.12.23 31.12.23 the selling and distribution of digital set top boxes, residential gateway products and connected home devices to European markets. true true false true true false false true false Ordinary 1.00000 iso4217:GBPiso4217:USDiso4217:EURxbrli:sharesxbrli:pureutr:tonnesutr:kWhNI0321532022-12-31NI0321532023-12-31NI0321532023-01-012023-12-31NI0321532021-12-31NI0321532022-01-012022-12-31NI0321532022-12-31NI032153ns15:NorthernIreland2023-01-012023-12-31NI032153ns14:PoundSterling2023-01-012023-12-31NI032153ns10:Director12023-01-012023-12-31NI032153ns10:PrivateLimitedCompanyLtd2023-01-012023-12-31NI032153ns10:FRS1022023-01-012023-12-31NI032153ns10:Audited2023-01-012023-12-31NI032153ns10:LargeMedium-sizedCompaniesRegimeForDirectorsReport2023-01-012023-12-31NI032153ns10:LargeMedium-sizedCompaniesRegimeForAccounts2023-01-012023-12-31NI032153ns10:FullAccounts2023-01-012023-12-31NI032153ns10:OrdinaryShareClass12023-01-012023-12-31NI032153ns10:Director22023-01-012023-12-31NI032153ns10:CompanySecretary12023-01-012023-12-31NI032153ns10:RegisteredOffice2023-01-012023-12-31NI032153ns5:CurrentFinancialInstruments2023-12-31NI032153ns5:CurrentFinancialInstruments2022-12-31NI032153ns5:Non-currentFinancialInstruments2023-12-31NI032153ns5:Non-currentFinancialInstruments2022-12-31NI032153ns5:ShareCapital2023-12-31NI032153ns5:ShareCapital2022-12-31NI032153ns5:RetainedEarningsAccumulatedLosses2023-12-31NI032153ns5:RetainedEarningsAccumulatedLosses2022-12-31NI032153ns5:ShareCapital2021-12-31NI032153ns5:RetainedEarningsAccumulatedLosses2021-12-31NI032153ns5:RetainedEarningsAccumulatedLosses2022-01-012022-12-31NI032153ns5:RetainedEarningsAccumulatedLosses2023-01-012023-12-31NI03215312023-01-012023-12-31NI03215312023-01-012023-12-31NI03215312022-01-012022-12-31NI032153ns5:PlantEquipmentOtherAssetsUnderOperatingLeases2023-01-012023-12-31NI032153ns5:PlantEquipmentOtherAssetsUnderOperatingLeases2022-01-012022-12-31NI032153ns5:OwnedAssets2023-01-012023-12-31NI032153ns5:OwnedAssets2022-01-012022-12-31NI032153112023-01-012023-12-31NI032153112022-01-012022-12-31NI032153ns5:FurnitureFittings2022-12-31NI032153ns5:ComputerEquipment2022-12-31NI032153ns5:FurnitureFittings2023-01-012023-12-31NI032153ns5:ComputerEquipment2023-01-012023-12-31NI032153ns5:FurnitureFittings2023-12-31NI032153ns5:ComputerEquipment2023-12-31NI032153ns5:FurnitureFittings2022-12-31NI032153ns5:ComputerEquipment2022-12-31NI032153ns5:CostValuation2022-12-31NI032153ns5:Subsidiary12023-01-012023-12-31NI032153ns5:Subsidiary112023-01-012023-12-31NI032153ns5:Subsidiary12023-12-31NI032153ns5:Subsidiary12022-12-31NI032153ns5:Subsidiary12022-01-012022-12-31NI032153ns5:CurrentFinancialInstrumentsns5:WithinOneYear2023-12-31NI032153ns5:CurrentFinancialInstrumentsns5:WithinOneYear2022-12-31NI032153ns5:WithinOneYear2023-12-31NI032153ns5:WithinOneYear2022-12-31NI032153ns5:BetweenOneFiveYears2023-12-31NI032153ns5:BetweenOneFiveYears2022-12-31NI032153ns5:AllPeriods2023-12-31NI032153ns5:AllPeriods2022-12-31NI032153ns5:DeferredTaxation2022-12-31NI032153ns5:DeferredTaxation2023-12-31NI032153ns10:OrdinaryShareClass12023-12-31NI032153ns5:RetainedEarningsAccumulatedLosses2022-12-31
REGISTERED NUMBER: NI032153 (Northern Ireland)















Humax Electronics Co. Ltd

Strategic Report, Directors' Report and

Audited Financial Statements

for the Year Ended 31 December 2023






Humax Electronics Co. Ltd (Registered number: NI032153)

Contents of the Financial Statements
for the year ended 31 December 2023










Page

Company Information 1

Strategic Report 2

Directors' Report 4

Independent Auditors' Report 5

Income Statement 8

Other Comprehensive Income 9

Statement of Financial Position 10

Statement of Changes in Equity 11

Notes to the Financial Statements 12


Humax Electronics Co. Ltd

Company Information
for the year ended 31 December 2023







Directors: N W Kim
M Mcdonald





Secretary: J W Kim





Registered office: Forsyth House
Cromac Square
Belfast
BT2 8LA





Registered number: NI032153 (Northern Ireland)





Auditors: Cooper Parry Group Limited
Statutory Auditor
178 Buckingham Avenue
Slough
Berkshire
SL1 4RD

Humax Electronics Co. Ltd (Registered number: NI032153)

Strategic Report
for the year ended 31 December 2023


The company's principal activity is the selling and distribution of digital set top boxes, residential gateway products and connected home devices to European markets. There have been no significant changes in the company's principal activities in the year under review.

Business review
Overall the trading performance in 2023 was satisfactory. As shown in the company's Statement of Comprehensive Income, sales decreased by £22.4 million from the prior year whilst profit after tax has decreased by £298k. The main reason for the decrease in sales was due to slightly lower demand as we moved out of Covid, and a customer reallocation.

Principal risks and uncertainties
The key risks and uncertainties facing the business are as follows:

- Retention of key operational and executive staff;
- Ability of the group to continually develop new and innovative products at a competitive price to meet market demand.
- Ability to retain credit with key customers and to ensure constant supply of goods; and
- Ability to control exchange rate fluctuation and generate sufficient cash flows through sales to operations and growth.
- Impacts of COVID-19 on the wider business environment.

Foreign exchange risk
The company's activities expose it primarily to the financial risks of changes in foreign currency exchange rates.

Credit risk
The company's principal financial assets are bank balances, trade and other receivables.

The company's credit risk is primarily attributable to its trade receivables. The amounts presented in the balance sheet are net of allowances for doubtful receivables. An allowance for impairment is made where there is an identified loss event which, based on previous experience, is evidence of a reduction in the recoverability of the cash flows. The company has no significant concentration of credit risk, with exposure spread over a number of counterparties and customers.

Liquidity risk
In order to maintain liquidity to ensure that sufficient funds are available for ongoing operations and future developments, the company uses short term debt finance.

People and premises
The company continues to recruit and retain high quality and motivated staff. During the year, the overall staff reduced from 13 to 12.

Offices outside the UK
The company has an office in Russia (representative office) and in light of the sanctions posed upon Russia, management do not consider there to be significant impact on the Russian office. The French branch was officially liquidated on 31 May 2021, and has in effect moved to a Branch Office of our German legal entity.

Financial key performance indicators

The company will measure its performance in the year to 31 December 2024 based on the following key performance indicators:

- Introduction of a minimum of three to five new products in the market in 2024, including in a new EV Charger business segment.

- Significant growth in Revenues base, and based on higher demand from a key Operator and new EV Charger business segment.

- Improved Operating Margin compared to 2023, in the backdrop of economically challenging trading conditions.

- Control costs within budgeted parameter levels.


Humax Electronics Co. Ltd (Registered number: NI032153)

Strategic Report
for the year ended 31 December 2023

Section 172(1) statement
Directors take very seriously their duty to promote the success of the company for the benefit of the shareholders as a whole, having regard to a number of broader matters including the likely consequences of decisions for the long term, the need to act fairly between members of the company, and the company's wider relationships.

The company's culture and core values are believed to be particularly important in giving the board confidence that day-to-day corporate decisions are being approached with an appropriate mind-set.

The company's core values are the questions we continually ask ourselves:

- Integrity
Are my decisions, actions and intentions ethical and honest?

- Communication
Do I listen actively to other opinions and offer mine candidly?

- Commitment
Do I hold myself accountable for results and contribute to the well-being of others and the organisation?

- Innovation
Do I strive to improve myself, and do I see results?

The company is committed to being a responsible employer and aims to provide its employees systematically with information on matters of concern to them. Employees are central to the long-term success of the company and we invest in training and development to enable them to grow their skills and keep them motivated.

For our business to succeed we need to maintain strong client relationships, and our customers have a dedicated account manager to make sure we provide the highest standard of care and support.

Our main suppliers are companies within the group and as a distributor we have not much influence over the manufacturing process and its impact on the environment. However, we are confident that HUMAX as a group is fully committed to reducing negative effects on the environment and developing eco-friendly products. Our parent company has been participating in the Carbon Disclosure Project (CDP), and in 2015 became the first company in Korea to receive carbon footprint labelling on set-top boxes. Their environmental management activities go beyond merely complying with environmental regulations and expand into the whole supply chain to ensure sustainability for the next generations.

As a part of a bigger structure we are committed to openly engaging with our shareholders, as we recognise the importance of a continuing effective dialogue for the success of the whole group.

On behalf of the board:





N W Kim - Director


10 April 2024

Humax Electronics Co. Ltd (Registered number: NI032153)

Directors' Report
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.

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

Future developments
The directors are not aware, at the date of this report, of any likely major changes in the Company's activities in the next year. The Company keeps eyes on technical changes in the market, which it continues to discuss with its parent company. In accordance, the parent company continues to invest in research and development where appropriate. These activities have resulted in a number of enhancements to the products that it offers.

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

N W Kim
M Mcdonald

Streamlined energy and carbon reporting
Greenhouse gas emissions, energy consumption and energy efficiency disclosures not given as the company's UK consumption is less than 40,000 kWh of energy.

Directors' responsibilities statement
The directors are responsible for preparing the Strategic Report, the Directors' Report and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with 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;
-state whether applicable accounting standards have been followed, subject to any material departures disclosed and
explained in the financial statements;
-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.

On behalf of the board:





N W Kim - Director


10 April 2024

Independent Auditors' Report to the Members of
Humax Electronics Co. Ltd


Opinion
We have audited the financial statements of Humax Electronics Co. Ltd (the 'company') for the year ended 31 December 2023 which comprise the Income Statement, Other Comprehensive Income, Statement of Financial Position, 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 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 Directors' Report, but does not include the financial statements and our Auditors' 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 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 Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the Strategic Report and the Directors' Report have been prepared in accordance with applicable legal requirements.

Independent Auditors' Report to the Members of
Humax Electronics Co. Ltd


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

We have nothing to report in respect of the following matters 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 Directors' Responsibilities Statement, 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.

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

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

We gained an understanding of the legal and regulatory framework applicable to the company and the industry in which it operates, and considered the risk of acts by the company that were contrary to applicable laws and regulations, including fraud. We discussed with the directors the policies and procedures in place regarding compliance with laws and regulations. We discussed amongst the audit team the identified laws and regulations, and remained alert to any indications of non-compliance.

During the audit we focussed on laws and regulations which could reasonably be expected to give rise to a material misstatement in the financial statements, including, but not limited to, the Companies Act 2006 and UK tax legislation. Our tests included agreeing the financial statement disclosures to underlying supporting documentation and enquiries with management.

Our procedures in relation to fraud included but were not limited to: inquires of management whether they have any knowledge of any actual, suspected or alleged fraud, and discussions amongst the audit team regarding risk of fraud such as opportunities for fraudulent manipulation of financial statements. We determined that the principal risks related to posting manual journal entries to manipulate financial performance and management bias through judgements in accounting estimates. We also addressed the risk of management override of internal controls, including testing journals and evaluating whether there was evidence of bias by the directors that represented a risk of material misstatement due to fraud.

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 Auditors' Report.

Independent Auditors' Report to the Members of
Humax Electronics Co. Ltd


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 Auditors' Report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.




Jonathan Moughton (Senior Statutory Auditor)
for and on behalf of Cooper Parry Group Limited
Statutory Auditor
178 Buckingham Avenue
Slough
Berkshire
SL1 4RD

10 April 2024

Humax Electronics Co. Ltd (Registered number: NI032153)

Income Statement
for the year ended 31 December 2023

2023 2022
Notes £ £

Turnover 3 30,925,586 53,349,727

Cost of sales (29,104,318 ) (50,948,246 )
Gross profit 1,821,268 2,401,481

Distribution costs (21,799 ) (55,964 )
Administrative expenses (1,825,804 ) (1,788,180 )
(26,335 ) 557,337

Other operating income 517,598 36,151
Operating profit 491,263 593,488

Interest receivable and similar income 4,603 3,564
495,866 597,052
Amounts written off investments 7 - (17,294 )
495,866 579,758

Interest payable and similar expenses 8 (227,728 ) (7,482 )
Profit before taxation 9 268,138 572,276

Tax on profit 11 (104,239 ) (110,587 )
Profit for the financial year 163,899 461,689

Humax Electronics Co. Ltd (Registered number: NI032153)

Other Comprehensive Income
for the year ended 31 December 2023

2023 2022
Notes £ £

Profit for the year 163,899 461,689


Other comprehensive income - -
Total comprehensive income for the year 163,899 461,689

Humax Electronics Co. Ltd (Registered number: NI032153)

Statement of Financial Position
31 December 2023

2023 2022
Notes £ £ £ £
Fixed assets
Tangible assets 12 25,243 19,473
Investments 13 150,000 150,000
175,243 169,473

Current assets
Stocks 14 183,337 2,671,157
Debtors 15 10,885,677 17,270,081
Cash at bank and in hand 340,478 362,877
11,409,492 20,304,115
Creditors
Amounts falling due within one year 16 8,921,391 18,877,143
Net current assets 2,488,101 1,426,972
Total assets less current liabilities 2,663,344 1,596,445

Creditors
Amounts falling due after more than one
year

17

(903,000

)

-

Provisions for liabilities 21 (3,133 ) (3,133 )
Net assets 1,757,211 1,593,312

Capital and reserves
Called up share capital 22 982,877 982,877
Retained earnings 23 774,334 610,435
Shareholders' funds 1,757,211 1,593,312

The financial statements were approved by the Board of Directors and authorised for issue on 10 April 2024 and were signed on its behalf by:





N W Kim - Director


Humax Electronics Co. Ltd (Registered number: NI032153)

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 982,877 148,746 1,131,623

Changes in equity
Total comprehensive income - 461,689 461,689
Balance at 31 December 2022 982,877 610,435 1,593,312

Changes in equity
Total comprehensive income - 163,899 163,899
Balance at 31 December 2023 982,877 774,334 1,757,211

Humax Electronics Co. Ltd (Registered number: NI032153)

Notes to the Financial Statements
for the year ended 31 December 2023


1. Statutory information

Humax Electronics Co. Limited is a private limited company (limited by shares), which is incorporated and domiciled in Northern Ireland (registration number: NI032153).

The principal activity of the company is the selling and distribution of digital set top boxes to European markets.

The address of the Company's registered office is Forsyth House, Cromac Square, Belfast, Northern Ireland, BT2 8LA.

2. Accounting policies

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

Going concern
The directors monitor the management of the working capital and cash flow, and given their forecasts are confident that they will continue to maintain positive cash balances and have the ability to meet liabilities as they fall due.

The directors are satisfied that the cash and profit generated by the trading operations will enable them to continue to meet the liabilities as they fall due. Accordingly, the directors are satisfied that the financial statements should be prepared on a going concern basis.

Financial Reporting Standard 102 - reduced disclosure exemptions
The company has taken advantage of the following disclosure exemption in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":

the requirements of Section 7 Statement of Cash Flows.

Exemption from preparing consolidated financial statements
The Company is a parent Company that is also a subsidiary included in the consolidated financial statements of its immediate parent undertaking established under the law of a non-EEA state and is therefore exempt from the requirement to prepare consolidated financial statements under section 401 of the Companies Act 2006.

Critical accounting judgements and key sources of estimation uncertainty
In the application of the company's accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount 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 the revision and future periods where the revision affects both current and future periods.

Critical judgements
The following judgements (apart from those involving estimates) have had the most significant effect on amounts recognised in the financial statements.

Stock
The company's stock is included at the lower of costs and net realisable value. The directors have reviewed the year end stock and are satisfied that no impairment is necessary.

Humax Electronics Co. Ltd (Registered number: NI032153)

Notes to the Financial Statements - continued
for the year ended 31 December 2023


2. Accounting policies - continued

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

Sale of goods
Revenue from the sale of goods is recognised when all of the following conditions are satisfied:

- the Company has transferred the significant risks and rewards of ownership to the buyer;
- the Company 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 Company will receive the consideration due under the transaction; and
- the costs incurred or to be incurred in respect of the transaction can be measured reliably.

Revenue is recognised on delivery to customer.

Interest income
Interest income is recognised in the Statement of Comprehensive Income using the effective interest method.

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

Tangible fixed assets
Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, on a reducing balance basis.

Depreciation is provided on the following basis:

Fixtures & fittings20% reducing balance
Office equipment20% reducing balance

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

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in the Statement of comprehensive income.

Investments in subsidiaries
Investments in subsidiaries are measured at cost less accumulated impairment.

Stocks
Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. Cost is based on the cost of purchase on a weighted average basis.

At each reporting date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in the Statement of comprehensive income.

Humax Electronics Co. Ltd (Registered number: NI032153)

Notes to the Financial Statements - continued
for the year ended 31 December 2023


2. Accounting policies - continued

Financial instruments
Financial assets and financial liabilities are recognised in the balance sheet when the company becomes a party to the contractual provisions of the instrument.

Short term trade and other debtors and creditors are classified as basic financial instruments and measured at initial recognition at transaction price. A provision is established when there is objective evidence that the company will not be able to collect all amounts due.

Cash and cash equivalents are classified as basic financial instruments and comprise cash in hand and at bank and bank overdrafts which are an integral part of the company's cash management.

Financial liabilities and equity instruments issued by the company are classified in accordance with the substance of the contractual arrangements entered into and the definitions of a financial liability and an equity instrument. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities. Equity instruments issued by the company are recorded at the proceeds received, net of direct issue costs.

Foreign currencies
The Company's functional and presentational currency is GBP.

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

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

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

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

Operating leases
Rentals paid under operating leases are charged to the Statement of Comprehensive Income on a straight line basis over the lease term.

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

The contributions are recognised as an expense in the Statement of Comprehensive Income when they fall due. Amounts not paid are shown in accruals as a liability in the Statement of Financial Position. The assets of the plan are held separately from the Company in independently administered funds.

3. Turnover

All turnover in the current year and prior year arises from the UK and EU.

Humax Electronics Co. Ltd (Registered number: NI032153)

Notes to the Financial Statements - continued
for the year ended 31 December 2023


4. Employees and directors
2023 2022
£ £
Wages and salaries 983,605 964,541
Social security costs 98,537 89,317
Other pension costs 34,669 26,086
1,116,811 1,079,944

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

Selling, administration and distribution 12 13

5. Directors' remuneration

2023 2022
£    £   

Directors' emoluments 377,141 366,979
Benefits in kind 29,300 30,787
406,441 397,766

The highest paid director received remuneration of £255,108 (2022: £228,895).

6. Exceptional items
2023 2022
£ £
Release of accruals 433,610 -

Included in Other operating income is the release during the year of historical accruals of purchase-related costs which the directors no longer consider necessary.

7. Amounts written off investments
2023 2022
£ £
Investment write off - 17,294

8. Interest payable and similar expenses
2023 2022
£ £
Bank interest 409 7,482
Other interest 227,319 -
227,728 7,482

Humax Electronics Co. Ltd (Registered number: NI032153)

Notes to the Financial Statements - continued
for the year ended 31 December 2023


9. Profit before taxation

The profit is stated after charging/(crediting):

2023 2022
£ £
Hire of plant and machinery 4,427 3,246
Other operating leases 137,978 126,417
Depreciation - owned assets 3,187 3,380
Foreign exchange differences (97,930 ) (3,926 )
Defined contribution pension cost 34,669 26,086

10. Auditors' remuneration

2023 2022
£   
Fees payable to the Company's auditor and its associates for the audit of
the Company's annual accounts 26,500 22,000

Other services including taxation 3,500 5,000

11. Taxation

Analysis of the tax charge
The tax charge on the profit for the year was as follows:
2023 2022
£ £
Current tax:
UK corporation tax 104,239 110,708

Deferred tax - (121 )
Tax on profit 104,239 110,587

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

2023 2022
£ £
Profit before tax 268,138 572,276
Profit multiplied by the standard rate of corporation tax in the UK of 25%
(2022 - 19%)

67,035

108,732

Effects of:
Expenses not deductible for tax purposes 45,516 9,735
Income not taxable for tax purposes (1,151 ) (8,011 )
Capital allowances in excess of depreciation (1,755 ) -
Depreciation in excess of capital allowances - 131


Differences in tax rates (5,406 ) -
Total tax charge 104,239 110,587

Humax Electronics Co. Ltd (Registered number: NI032153)

Notes to the Financial Statements - continued
for the year ended 31 December 2023


12. Tangible fixed assets
Fixtures
and Office
fittings equipment Totals
£ £ £
Cost
At 1 January 2023 449,568 73,194 522,762
Additions 8,957 - 8,957
At 31 December 2023 458,525 73,194 531,719
Depreciation
At 1 January 2023 439,997 63,292 503,289
Charge for year 558 2,629 3,187
At 31 December 2023 440,555 65,921 506,476
Net book value
At 31 December 2023 17,970 7,273 25,243
At 31 December 2022 9,571 9,902 19,473

13. Fixed asset investments
Shares in
group
undertakings
£
Cost
At 1 January 2023
and 31 December 2023 150,000
Net book value
At 31 December 2023 150,000
At 31 December 2022 150,000

The company's investments at the Statement of Financial Position date in the share capital of companies include the following:

Humax Direct Ltd
Registered office: The Mille Building,1000 Great West Road,Brentford,Middlesex,TW8 9HH
Nature of business: Selling and distribution of digital set top boxes
%
Class of shares: holding
Ordinary 100.00
2023 2022
£ £
Aggregate capital and reserves 912,048 852,800
Profit for the year 59,248 39,366

14. Stocks
2023 2022
£ £
Finished goods 183,337 2,671,157

Humax Electronics Co. Ltd (Registered number: NI032153)

Notes to the Financial Statements - continued
for the year ended 31 December 2023


15. Debtors: amounts falling due within one year
2023 2022
£ £
Trade debtors 8,294,844 16,847,381
Amounts owed by group undertakings 2,406,471 215,572
Other debtors 97,140 142,296
Prepayments and accrued income 87,222 64,832
10,885,677 17,270,081

16. Creditors: amounts falling due within one year
2023 2022
£ £
Trade creditors 274,625 190,658
Amounts owed to group undertakings 3,879 14,496,917
Tax 53,441 30,302
Social security and other taxes 31,338 30,691
V.A.T 822,524 2,090,759
Other creditors 6,848,857 66,192
Accruals and deferred income 886,727 1,971,624
8,921,391 18,877,143

17. Creditors: amounts falling due after more than one year
2023 2022
£ £
Amounts owed to group undertakings 903,000 -

18. Leasing agreements

Minimum lease payments under non-cancellable operating leases fall due as follows:
2023 2022
£ £
Within one year 96,380 91,770
Between one and five years 61,344 138,700
157,724 230,470

19. Secured debts

There is a fixed and floating charge over all assets as security in the event of non-repayment by the company in relation to a financing facility.

Humax Electronics Co. Ltd (Registered number: NI032153)

Notes to the Financial Statements - continued
for the year ended 31 December 2023


20. Financial instruments

2023 2022
£    £   
Financial assets

Financial assets measured at fair value through profit or loss 340,478 404,410
Financial assets that are debt instruments measured at amortised cost 10,866,861 17,228,548
11,207,339 17,632,958

Financial liabilities

Financial liabilities measured at amortised cost 8,291,006 16,659,199

Financial assets measured at fair value through profit or loss comprise of cash balances and forward contract assets.

Financial assets measured at amortised cost comprise of trade debtors, other debtors, prepayments and accrued income and amounts owed by group undertakings.

Financial liabilities measured at amortised cost comprise of trade creditors, accruals and deferred income, financing facilities and amounts owed to group undertakings.

21. Provisions for liabilities
2023 2022
£ £
Deferred tax 3,133 3,133

Deferred tax
£
Balance at 1 January 2023 3,133
Balance at 31 December 2023 3,133

22. Called up share capital

Allotted, issued and fully paid:
Number: Class: Nominal 2023 2022
value: £ £
982,877 Ordinary £1.00 982,877 982,877

23. Reserves
Retained
earnings
£

At 1 January 2023 610,435
Profit for the year 163,899
At 31 December 2023 774,334

Humax Electronics Co. Ltd (Registered number: NI032153)

Notes to the Financial Statements - continued
for the year ended 31 December 2023


24. Pension commitments

The Company operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the Company in an independently administered fund. The pension cost charge represents contributions payable by the Company to the fund and amounted to £34,669 (2022 - £26,086). For the years ended 31 December 2022 and 2023 there were no contributions payable at the balance sheet date.

25. Related party disclosures

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.

Included within other debtors are amounts due from directors of £55,752 (2022 - £55,752).

Included within debtors is £nil (2022 - £119,472) owed by a fellow subsidiary that is not wholly owned.

26. Ultimate parent undertaking and controlling party

The directors regard Humax Company Limited, a company registered in South Korea, as the immediate and ultimate parent company. The company's results are included within the consolidated accounts of Humax Company Limited which is the largest and smallest company into which the results are consolidated.

The company's registered office is Humax Village, 216, Hwangsaeul-ro, Bundang-gu, Seongnam-si, Gyeonggi-do.