Acorah Software Products - Accounts Production 15.0.600 false true 31 December 2022 1 January 2022 false 28 August 2024 true 1 January 2023 31 December 2023 31 December 2023 07584473 Joie International Co. Limited Mr David Welsh Joie International Co. Limited true iso4217:GBP iso4217:EUR iso4217:USD xbrli:shares xbrli:pure xbrli:pure 07584473 2022-12-31 07584473 2023-12-31 07584473 2023-01-01 2023-12-31 07584473 frs-core:CurrentFinancialInstruments 2023-12-31 07584473 frs-core:Non-currentFinancialInstruments 2023-12-31 07584473 frs-core:FurnitureFittings 2023-12-31 07584473 frs-core:FurnitureFittings 2023-01-01 2023-12-31 07584473 frs-core:FurnitureFittings 2022-12-31 07584473 frs-core:LandBuildings frs-core:OwnedOrFreeholdAssets 2023-12-31 07584473 frs-core:LandBuildings frs-core:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 07584473 frs-core:LandBuildings frs-core:OwnedOrFreeholdAssets 2022-12-31 07584473 frs-core:MotorVehicles 2023-12-31 07584473 frs-core:MotorVehicles 2023-01-01 2023-12-31 07584473 frs-core:MotorVehicles 2022-12-31 07584473 frs-core:ShareCapital 2023-12-31 07584473 frs-core:RetainedEarningsAccumulatedLosses 2023-01-01 2023-12-31 07584473 frs-core:RetainedEarningsAccumulatedLosses 2023-12-31 07584473 frs-bus:HighestPaidDirector 2023-01-01 2023-12-31 07584473 frs-bus:PrivateLimitedCompanyLtd 2023-01-01 2023-12-31 07584473 frs-bus:FullAccounts 2023-01-01 2023-12-31 07584473 frs-bus:FRS102 2023-01-01 2023-12-31 07584473 frs-bus:Audited 2023-01-01 2023-12-31 07584473 frs-bus:LargeCompaniesRegimeForAccounts 2023-01-01 2023-12-31 07584473 frs-bus:LargeCompaniesRegimeForDirectorsReport 2023-01-01 2023-12-31 07584473 frs-bus:OrdinaryShareClass1 2023-01-01 2023-12-31 07584473 frs-bus:OrdinaryShareClass1 2023-12-31 07584473 1 2023-01-01 2023-12-31 07584473 frs-bus:Director1 2023-01-01 2023-12-31 07584473 frs-bus:Director2 2023-01-01 2023-12-31 07584473 frs-bus:CompanySecretary1 2023-01-01 2023-12-31 07584473 1 2023-01-01 2023-12-31 07584473 frs-countries:EnglandWales 2023-01-01 2023-12-31 07584473 frs-countries:CaymanIslands 2023-01-01 2023-12-31 07584473 2021-12-31 07584473 2022-12-31 07584473 2022-01-01 2022-12-31 07584473 frs-core:CurrentFinancialInstruments 2022-12-31 07584473 frs-core:Non-currentFinancialInstruments 2022-12-31 07584473 frs-core:ShareCapital 2021-12-31 07584473 frs-core:ShareCapital 2022-12-31 07584473 frs-core:RetainedEarningsAccumulatedLosses 2022-01-01 2022-12-31 07584473 frs-core:RetainedEarningsAccumulatedLosses frs-core:PreviouslyStatedAmount 2021-12-31 07584473 frs-core:RetainedEarningsAccumulatedLosses 2022-12-31 07584473 frs-bus:HighestPaidDirector 2022-01-01 2022-12-31 07584473 frs-bus:OrdinaryShareClass1 2022-01-01 2022-12-31 07584473 1 2022-01-01 2022-12-31
Registered number: 07584473
Allison Baby UK Limited
Strategic Report, Directors' Report and
Financial Statements
For The Year Ended 31 December 2023
Financial Statements
Contents
Page
Strategic Report 1
Directors' Report 2—3
Independent Auditor's Report 4—7
Profit and Loss Account 8
Statement of Comprehensive Income 9
Balance Sheet 10
Statement of Changes in Equity 11
Statement of Cash Flows 12
Notes to the Statement of Cash Flows 13
Notes to the Financial Statements 14—19
Page 1
Strategic Report
The directors present their strategic report for the year ended 31 December 2023.
Review of the Business
Although turnover fell by 4% in the year, the directors are very happy with the performance of the company in a very competitive segment and during a period of substantial economic uncertainty, which affected much of the retail sector.  However, despite this position, profitability actually rose during the year, showing an increase in gross margins from 21.6% to 25.4%, due to greater stability of base costs, in particular relating to freight charges.  As a result, pre-tax profits rose from £3,646,675 to £3,758,555.
The market has moved significantly away from traditional retail sales in store, to an internet-based order system, meaning that the company has focused on direct consumer delivery and invested in both systems and personnel to ensure that it is adequately placed to meet the requirements of this changing environment.
Cost bases and margin achievements are under constant review to make certain that the company remains profitable.  Although stock levels remain high, it is felt that this is beneficial in meeting demands of customers and consumers with a high degree of flexibility on timing and availability of goods.
Principal Risks and Uncertainties
Price remans a key driver in the market and control of costs is therefore vitally important in maintaining stability for the future.  The directors predict further expansion for the company over the coming years, so long-term high inflation rates, or any sudden changes in FX rates, may lead to a period of uncertainty, but the company benefits from a very sound financial base and a sustained positive cash position, which will help to mitigate the effects of any adverse conditions. 
Future Developments
The directors acknowledge that the company benefits from being part of a large multi-national group, which is dedicated to improvements in safety, design and practicality of its products.  This strength has helped to support the rapid growth in turnover levels achieved over the past years and provides the platform for expansion of the product range, delivering significant revenue growth for the future.
Key performance indicators
The directors continue to use both financial and non-financial key performance indicators to manage business activity, maintaining strong management information systems and reports which are focused on regular and accurate reporting.  Such reporting concentrates on core customer turnover, margins and overall profitability of the business.
Position of the company at the year end
All financial performance indicators are positive and in line with expectations, reflecting the activity of the company during the year.
On behalf of the board
Mr David Welsh
Director
28 August 2024
Page 1
Page 2
Directors' Report
The directors present their report and the financial statements for the year ended 31 December 2023.
Principal Activity
The company's principal activity continues to be the sale of children's products.
Directors
The directors who held office during the year were as follows:
Joie International Co. Limited
Mr David Welsh
Streamlined Energy and Carbon Reporting
The company qualifies as a low energy user and is exempt from reporting under SECR regulations.
Matters covered in the Strategic Report
Disclosures required under s416(4) of the Companies Act 2006 are commented upon in the Strategic Report as the directors consider them to be of strategic importance to the business.
Statement of Directors' Responsibilities
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, comprising FRS102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', 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 the financial statements the directors are required to:
  • select suitable accounting policies and then apply them consistently;
  • make judgments and accounting estimates that are reasonable and prudent;
  • state whether applicable United Kingdom Accounting Standards, comprising FRS102, 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.
The directors are responsible for the maintenance and integrity of the corporate and financial information included on the company's website. Legislation in the United Kingdom governing the preparation and dissemination of financial statements may differ from legislation in other jurisdictions.
Statement of Disclosure of Information to Auditors
In the case of each director in office at the date the Directors' Report is approved:
  • so far as the director is aware, there is no relevant audit information of which the company's auditors are unaware; and
  • they have taken all the steps that they ought to have taken as directors in order to make themselves aware of any relevant audit information and to establish that the company's auditors are aware of that information.
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Independent Auditors
The auditors, Nuvo Audit Limited, have indicated their willingness to continue in office and a resolution concerning their re-appointment will be proposed at the Annual General Meeting.
On behalf of the board
Mr David Welsh
Director
28 August 2024
Page 3
Page 4
Independent Auditor's Report
Opinion
We have audited the financial statements of Allison Baby UK Limited for the year ended 31 December 2023 which comprise the Profit and Loss Account, Statement of Comprehensive Income, Balance Sheet, Statement of Changes of Equity, Cash Flow Statement and the related notes, 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 (United Kingdom Generally Accepted Accounting Practice), including FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland".
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/(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 Auditor's 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 entity's ability to continue as a going concern for a period of at least 12 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 other information comprises the information included in the annual report, other than the financial statements and our auditor's report thereon. The directors are responsible for the other information contained within the annual report. 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 Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
  • the Strategic Report and Directors' Report have been prepared in accordance with applicable legal requirements.
Page 4
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Matters on Which We Are Required to Report by Exception
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Directors' Report.
We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:
  • adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
  • the financial statements are not in agreement with the accounting records or returns; or
  • certain disclosures of directors' remuneration specified by law are not made; or
  • we have not received all the information and explanations we require for our audit.
Responsibilities of Directors
As explained more fully in the Directors' Responsibilities Statement set out on page 2—3, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.
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Auditor's Responsibilities for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: 
The Company is subject to many laws and regulations within the country it operates, where the consequences of non-compliance could have a material effect on amounts or disclosures in the financial statements. We identified the following laws and regulations as the most likely to have a material effect if non-compliance were to occur; financial reporting legislation, Companies Act legislation, tax legislation, anti-bribery legislation and employment law;
We communicated relevant 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;
We understood how the Company is complying with those legal and regulatory frameworks by making enquiries of management. We corroborated our enquiries through our review of board minutes;
We assessed the susceptibility of the Company’s financial statements to material misstatement, including how fraud might occur by meeting with employees from different parts of the business to understand where it is considered there was susceptibility to fraud. We also considered performance targets and their propensity to influence efforts made by management to manage earnings. We considered the programs and controls that the Company has established to address risks identified, or that otherwise prevent, deter and detect fraud; and how senior management monitors those programs and controls. Where the risk was considered to be higher, we performed audit procedures to addressed identified fraud risk;
Our audit procedures involved: journal entry testing, with a focus on manual credits to revenue and journals indicating large or unusual transactions based on our understanding of the business and enquiries of management. In addition, we completed audit procedures to conclude on the compliance of disclosures in the annual report and accounts with applicable financial reporting requirements; 
Assessment and appropriateness of the collective competence and capabilities of the engagement team included consideration of the engagement team’s:
  • Knowledge of the industry in which the client operates
  • Understanding the legal and regulatory requirements specific to the entity including:
  • The provisions of the applicable legislation
  • The regulators rules and related guidance, including guidance issued by relevant authorities that interprets those rules
  • The provisions of the applicable legislation
  • The regulators rules and related guidance, including guidance issued by relevant authorities that interprets those rules
  • The applicable statutory provisions
We did not identify any matters relating to non-compliance with laws and regulations or relating to fraud. 
In assessing the potential risks of material misstatement, we obtained an understanding of:
  • The entity’s operations, including the nature of its revenue sources, products and services and of its objectives and strategies to understand classes of transactions, account balances, expected financial statement disclosures and business risks that may result in risks of material misstatement. 
  • The entity’s control environment, including policies and procedures implemented to comply with the entity’s relevant regulatory requirements, including the adequacy of procedures for authorisation of transactions, internal review procedures over the entity’s compliance with regulatory requirements and procedures to ensure that possible breaches of requirements are appropriately investigated and reported. 
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.
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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 that we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.
Mr Daniel Johnson FCCA (Senior Statutory Auditor)
for and on behalf of Nuvo Audit Limited , Statutory Auditor
28 August 2024
Nuvo Audit Limited
7 Faraday Court
First Avenue
Burton Upon Trent
Staffordshire
DE14 2WX
Page 7
Page 8
Profit and Loss Account
2023 2022
Notes £ £
TURNOVER 3 82,063,098 85,655,271
Cost of sales (61,105,558 ) (67,185,668 )
GROSS PROFIT 20,957,540 18,469,603
Distribution costs (5,698,295 ) (5,040,010 )
Administrative expenses (11,706,200 ) (9,825,338 )
Other operating income 264,851 116,519
Other operating expenses - -
OPERATING PROFIT 5 3,817,896 3,720,774
Profit on disposal of fixed assets - -
Interest payable and similar charges 10 (59,341 ) (74,099 )
PROFIT BEFORE TAXATION 3,758,555 3,646,675
Tax on Profit 11 (883,895 ) (715,192 )
PROFIT AFTER TAXATION BEING PROFIT FOR THE FINANCIAL YEAR 2,874,660 2,931,483
The notes on pages 13 to 19 form part of these financial statements.
Page 8
Page 9
Statement of Comprehensive Income
2023 2022
£ £
PROFIT FOR THE FINANCIAL YEAR 2,874,660 2,931,483
OTHER COMPREHENSIVE INCOME FOR THE YEAR - -
TOTAL COMPREHENSIVE INCOME FOR THE YEAR 2,874,660 2,931,483
Page 9
Page 10
Balance Sheet
Registered number: 07584473
2023 2022
Notes £ £ £ £
FIXED ASSETS
Tangible Assets 12 1,429,541 1,435,713
Investment Properties 13 1,242,080 1,242,080
2,671,621 2,677,793
CURRENT ASSETS
Stocks 14 19,669,630 18,558,188
Debtors 15 16,605,511 12,212,143
Cash at bank and in hand 10,307,515 13,879,178
46,582,656 44,649,509
Creditors: Amounts Falling Due Within One Year 16 (22,696,332 ) (14,644,017 )
NET CURRENT ASSETS (LIABILITIES) 23,886,324 30,005,492
TOTAL ASSETS LESS CURRENT LIABILITIES 26,557,945 32,683,285
Creditors: Amounts Falling Due After More Than One Year 17 - (9,000,000 )
NET ASSETS 26,557,945 23,683,285
CAPITAL AND RESERVES
Called up share capital 18 6,000,000 6,000,000
Profit and Loss Account 20,557,945 17,683,285
SHAREHOLDERS' FUNDS 26,557,945 23,683,285
On behalf of the board
Mr David Welsh
Director
28 August 2024
The notes on pages 13 to 19 form part of these financial statements.
Page 10
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Statement of Changes in Equity
Share Capital Profit and Loss Account Total
£ £ £
As at 1 January 2022 6,000,000 14,751,802 20,751,802
Profit for the year and total comprehensive income - 2,931,483 2,931,483
As at 31 December 2022 and 1 January 2023 6,000,000 17,683,285 23,683,285
Profit for the year and total comprehensive income - 2,874,660 2,874,660
As at 31 December 2023 6,000,000 20,557,945 26,557,945
Page 11
Page 12
Statement of Cash Flows
2023 2022
Notes £ £
Cash flows from operating activities
Net cash (used in)/generated from operations 1 (2,063,237 ) 7,810,142
Interest paid (59,342 ) (74,099 )
Tax paid (1,323,856 ) (773,200 )
Net cash (used in)/generated from operating activities (3,446,435 ) 6,962,843
Cash flows from investing activities
Purchase of tangible assets (125,228 ) (83,943 )
(Decrease)/increase in cash and cash equivalents (3,571,663 ) 6,878,900
Cash and cash equivalents at beginning of year 2 13,879,178 7,000,278
Cash and cash equivalents at end of year 2 10,307,515 13,879,178
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Notes to the Statement of Cash Flows
1. Reconciliation of profit for the financial year to cash (used in)/generated from operations
2023 2022
£ £
Profit for the financial year 2,874,660 2,931,483
Adjustments for:
Tax on profit 883,895 715,192
Interest expense 59,341 74,099
Depreciation of tangible assets 131,401 141,623
Movements in working capital:
Increase in stocks (1,111,442 ) (2,815,417 )
(Increase)/decrease in trade and other debtors (4,337,263 ) 1,864,527
(Decrease)/increase in trade and other creditors (563,829 ) 4,898,635
Net cash (used in)/generated from operations (2,063,237 ) 7,810,142
2. Cash and cash equivalents
Cash and cash equivalents, as stated in the Statement of Cash Flows, relates to the following items in the Balance Sheet:
2023 2022
£ £
Cash at bank and in hand 10,307,515 13,879,178
3. Analysis of changes in net funds
As at 1 January 2023 Cash flows As at 31 December 2023
£ £ £
Cash at bank and in hand 13,879,178 (3,571,663) 10,307,515
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Notes to the Financial Statements
1. General Information
Allison Baby UK Limited is a private company, limited by shares, incorporated in England & Wales, registered number 07584473 . The registered office is Third Floor, 20 Old Bailey, London, EC4M 7AN.
2. Accounting Policies
2.1. Basis of Preparation of Financial Statements
The financial statements have been prepared under the historical cost convention and in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland'' and the Companies Act 2006.
2.2. Turnover
Turnover is measured at the fair value of the consideration received or receivable, net of discounts and value added taxes. Turnover includes revenue earned from the sale of goods and from the rendering of services. Turnover is reduced for estimated customer returns, rebates and other similar allowances.
Sale of goods
Turnover from the sale of goods is recognised when the significant risks and rewards of ownership of the goods has transferred to the buyer. This is usually at the point that the customer has signed for the delivery of the goods.
Rendering of services
Turnover from the rendering of services is recognised by reference to the stage of completion of the contract. The stage of completion of a contract is measured by comparing the costs incurred for work performed to date to the total estimated contract costs. Turnover is only recognised to the extent of recoverable expenses when the outcome of a contract cannot be estimated reliably.
2.3. Tangible Fixed Assets and Depreciation
Tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. Depreciation is provided at rates calculated to write off the cost of the fixed assets, less their estimated residual value, over their expected useful lives on the following bases:
Freehold 50 years
Motor Vehicles 3-5 years
Fixtures & Fittings 3-5 years
2.4. Investment Properties
All investment properties are carried at fair value determined annually and derived from the current market rents and investment property yields for comparable real estate, adjusted if necessary for any difference in the nature, location or condition of the specific asset. No depreciation is provided for. Changes in fair value are recognised in the profit and loss account.
2.5. Stocks and Work in Progress
Stocks and work in progress are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks.
Cost is determined using the first-in, first-out method. Cost includes all direct costs and an appropriate proportion of fixed and variable overheads.
Work in progress is reflected in the accounts on a contract by contract basis by recording turnover and related costs as contract activity progresses.
At the end of each reporting period stocks are assessed for impairment. If an item of stock is impaired, the identified stock is reduced to its selling price less costs to complete and sell and an impairment charge is recognised in the profit and loss account. Where a reversal of the impairment is required the impairment charge is reversed, up to the original impairment loss, and is recognised as a credit in the profit and loss account.
2.6. Cash and Cash Equivalents
Cash and cash equivalents are basic financial assets and include cash in hand and deposits held at call with banks, other short-term highly liquid investments that mature in no more than three months from the date of acquisition and are readily convertible to a known amount of cash with insignificant risk of change in value, and bank overdrafts.
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2.7. Taxation
Income tax expense represents the sum of the tax currently payable and deferred tax.
The tax currently payable is based on taxable profit for the year. Taxable profit differs from profit as reported in the statement of comprehensive income because of items of income or expense that are taxable or deductible in other years and items that are never taxable or deductible. The company's liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the end of the reporting period.
Deferred tax is recognised on timing differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit. Deferred tax liabilities are generally recognised for all taxable timing differences. Deferred tax assets are generally recognised for all deductible temporary differences to the extent that it is probable that taxable profits will be available against which those deductible timing differences can be utilised. The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered.
Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the period in which the liability is settled or the asset realised, based on tax rates (and tax laws) that have been enacted or substantively enacted by the end of the reporting period. Deferred tax liabilities are presented within provisions for liabilities and deferred tax assets within debtors. The measurement of deferred tax liabilities and assets reflect the tax consequences that would follow from the manner in which the Company expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and liabilities.
Current or deferred tax for the year is recognised in profit or loss, except when they related to items that are recognised in other comprehensive income or directly in equity, in which case, the current and deferred tax is also recognised in other comprehensive income or directly in equity respectively.
3. Turnover
Analysis of turnover by class of business is as follows:
2023 2022
£ £
Sale of goods 82,063,098 85,655,271
In accordance with UKSI 2008/410, schedule 1, paragraph 68, the company has not disclosed an analysis of turnover by geographical market as the directors are of the opinion it would be seriously prejudicial to the interests of the company.
4. Other Operating Income
2023 2022
£ £
Royalties and similar income 28,454 -
Rental income 98,866 116,519
Other operating income 137,531 -
264,851 116,519
5. Operating Profit
The operating profit is stated after charging:
2023 2022
£ £
Depreciation of tangible fixed assets 131,401 141,623
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6. Auditor's Remuneration
Remuneration received by the company's auditors and their associates during the year was as follows:
2023 2022
£ £
Audit Services
Audit of the company's financial statements 14,500 13,200
Non-Audit Services
Other non-audit services 7,450 7,150
7. Staff Costs
Staff costs, including directors' remuneration, were as follows:
2023 2022
£ £
Wages and salaries 3,855,858 3,259,160
Social security costs 449,026 402,005
Other pension costs 61,738 50,499
4,366,622 3,711,664
8. Average Number of Employees
Average number of employees, including directors, during the year was as follows:
2023 2022
Office and administration 64 57
64 57
9. Directors' remuneration
2023 2022
£ £
Emoluments 486,262 460,724
486,262 460,724
The number of directors to whom retirement benefits were accruing was as follows:
2023 2022
Money purchase pension schemes 1 1
Information regarding the highest paid director was as follows:
2023 2022
£ £
Emoluments 486,262 460,724
Company contributions to money purchase pension schemes 1,320 1,320
487,582 462,044
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10. Interest Payable and Similar Charges
2023 2022
£ £
Interest payable on other loans 59,341 74,099
59,341 74,099
11. Tax on Profit
The tax charge on the profit for the year was as follows:
Tax Rate 2023 2022
2023 2022 £ £
Current tax
UK Corporation Tax 25.0% 19.0% 910,018 715,192
Deferred Tax
Deferred taxation (26,123 ) -
Total tax charge for the period 883,895 715,192
The actual charge for the year can be reconciled to the expected charge for the year based on the profit and the standard rate of corporation tax as follows:
2023 2022
£ £
Profit before tax 3,758,555 3,646,675
Tax on profit at 25% (UK standard rate) 884,033 692,868
Goodwill/depreciation not allowed for tax 30,906 -
Expenses not deductible for tax purposes 9,652 34,064
Capital allowances (14,573 ) (11,740 )
Short term timing differences (26,123 ) -
Total tax charge for the period 883,895 715,192
12. Tangible Assets
Land & Property
Freehold Motor Vehicles Fixtures & Fittings Total
£ £ £ £
Cost
As at 1 January 2023 1,501,012 215,164 321,296 2,037,472
Additions - 93,299 31,929 125,228
As at 31 December 2023 1,501,012 308,463 353,225 2,162,700
Depreciation
As at 1 January 2023 198,368 150,730 252,661 601,759
Provided during the period 54,067 53,531 23,802 131,400
As at 31 December 2023 252,435 204,261 276,463 733,159
...CONTINUED
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Net Book Value
As at 31 December 2023 1,248,577 104,202 76,762 1,429,541
As at 1 January 2023 1,302,644 64,434 68,635 1,435,713
13. Investment Property
2023
£
Fair Value
As at 1 January 2023 and 31 December 2023 1,242,080
Fair value adjustments -
As at 31 December 2023 1,242,080
14. Stocks
2023 2022
£ £
Stock 19,669,630 18,558,188
15. Debtors
2023 2022
£ £
Due within one year
Trade debtors 16,371,928 12,000,262
Other debtors 177,478 25,053
Corporation tax recoverable assets 29,982 -
Deferred tax current asset 26,123 -
Amounts owed by group undertakings - 186,828
16,605,511 12,212,143
16. Creditors: Amounts Falling Due Within One Year
2023 2022
£ £
Trade creditors 3,575,606 2,442,887
Amounts owed to group undertakings 12,015,612 6,797,894
Other creditors 3,842 69,460
Corporation tax - 383,856
Taxation and social security 2,193,328 1,395,510
Accruals and deferred income 4,907,944 3,554,410
22,696,332 14,644,017
17. Creditors: Amounts Falling Due After More Than One Year
2023 2022
£ £
Amounts owed to group undertakings - 9,000,000
- 9,000,000
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18. Share Capital
2023 2022
Allotted, called up and fully paid £ £
6,000,000 Ordinary Shares of £ 1.00 each 6,000,000 6,000,000
19. Pension Commitments
The company operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the company in an independently administered fund.
During the year the charge to profit or loss in respect of defined contribution schemes was £61,738 (2022: £50,499).
At the balance sheet date contributions of £0 (2022: £10,732) were due to the fund and are included in creditors.
20. Controlling Parties
The company's immediate parent undertaking is Joie International Co. Limited .
The ultimate parent undertaking is Joie Holding Co. Ltd (incorporated in Cayman Islands). Its registered office is P.O. Box 31119, Grand Cayman KY1-1205, Cayman Islands .
Copies of the group accounts may be obtained from the company's registered office.
The company's ultimate controlling party is Li Yu Cheng by virtue of their interest in the share capital of the company.
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