Company registration number 03189092 (England and Wales)
LEANDER INTERNATIONAL PET FOODS LIMITED
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
LEANDER INTERNATIONAL PET FOODS LIMITED
COMPANY INFORMATION
Directors
Mr M Hierling
Mr K J Jeswani
Ms R Connellan
(Appointed 14 December 2023)
Mr R Craig
(Appointed 14 December 2023)
Secretary
Ms R Connellan
Company number
03189092
Registered office
Danworth House
Jobs Lane
Sayers Common
BN6 9HE
Auditor
Knill James LLP
One Bell Lane
Lewes
East Sussex
BN7 1JU
LEANDER INTERNATIONAL PET FOODS LIMITED
CONTENTS
Page
Strategic report
1
Directors' report
2
Directors' responsibilities statement
3
Independent auditor's report
4 - 6
Statement of comprehensive income
7
Balance sheet
8
Statement of changes in equity
9
Notes to the financial statements
10 - 20
LEANDER INTERNATIONAL PET FOODS LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023
- 1 -
The directors present the strategic report for the year ended 31 December 2023.
Review of the business
The company considers turnover and profit to be key performance indicators of the business. Turnover for the year was £26,272,020 (£27,549,840 for prior period) and gross profit £7,499,202 (£6,349,950 for prior period). The profit before taxation was £3,551,566 (£3,774,937 for prior period)
The company prioritizes high-quality premium products made from natural ingredients, environmentally friendly production, and caters to different life stages of pets.
Ms R Connellan
Director
12 September 2024
LEANDER INTERNATIONAL PET FOODS LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023
- 2 -
The directors present their annual report and financial statements for the year ended 31 December 2023.
Principal activities
The principal activity of the company continued to be that of the manufacture and sale of pet food.
Results and dividends
The results for the year are set out on page 7.
Ordinary dividends were paid amounting to £4,225,000. The directors do not recommend payment of a further dividend.
Directors
The directors who held office during the year and up to the date of signature of the financial statements were as follows:
Mr M Hierling
Mr P Dykes
(Resigned 13 December 2023)
Mr K J Jeswani
Ms R Connellan
(Appointed 14 December 2023)
Mr R Craig
(Appointed 14 December 2023)
Future developments
Business development / forward looking
The Petfood category continues to offer a compelling and resilient macro-environment for the company to operate within. The company expects to be able to deliver its long-term business aspirations.
Auditor
The auditor, Knill James LLP, is deemed to be reappointed under section 487(2) of the Companies Act 2006.
Statement of disclosure to auditor
So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the company’s auditor is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the company’s auditor is aware of that information.
Medium-sized companies exemption
This report has been prepared in accordance with the provisions applicable to companies entitled to the medium-sized companies exemption.
On behalf of the board
Ms R Connellan
Mr R Craig
Director
Director
12 September 2024
LEANDER INTERNATIONAL PET FOODS LIMITED
DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2023
- 3 -
The directors are responsible for preparing the annual report and the financial statements in accordance with applicable law and regulations.
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:
select suitable accounting policies and then apply them consistently;
make judgements and accounting estimates that are reasonable and prudent;
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company’s transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
LEANDER INTERNATIONAL PET FOODS LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF LEANDER INTERNATIONAL PET FOODS LIMITED
- 4 -
Opinion
We have audited the financial statements of Leander International Pet Foods Limited (the 'company') for the year ended 31 December 2023 which comprise the statement of comprehensive income, the balance sheet, the statement of changes in equity and notes to the financial statements, including 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.
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 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.
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. 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 course of 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 our 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.
LEANDER INTERNATIONAL PET FOODS LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF LEANDER INTERNATIONAL PET FOODS LIMITED
- 5 -
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 and returns; or
certain disclosures of 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 is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.
Auditor'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.
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. In identifying and assessing the risk of material misstatement in respect of irregularities, including fraud, we:
obtained an understanding of the nature of the sector, including the legal and regulatory framework that the company operates in and how the company complies with the legal and regulatory framework;
inquired of management, and those charged with governance, about their own identification and assessment of the risks of irregularities, including any known actual, suspected or alleged instances of fraud; and
discussed matters about non-compliance with laws and regulations and how fraud might occur including assessment of how and where the financial statements may be susceptible to fraud.
As a result of these procedures we consider the most significant laws and regulations that have a direct impact on the financial statements are FRS 102, Companies Act 2006, the company's governing document and relevant tax legislation. We performed audit procedures to detect non-compliances which may have a material impact on the financial statements which included reviewing the financial statements, including the Directors' report, remaining alert to new or unusual transactions which may not be in accordance with the governing document.
The most significant laws and regulations that have an indirect impact on the financial statements are the compliance with relevant employment law and the UK General Data Protection Regulation (UK GDPR). We performed audit procedures to inquire of management and those charged with governance whether the company is in compliance with these laws and regulations and inspected correspondence with regulatory authorities.
We identified the risk of management override of controls as the area where the financial statements were most susceptible to material misstatement due to fraud. Audit procedures performed included, but were not limited to, testing manual journal entries and other adjustments, evaluating the business rationale in relation to significant, unusual transactions and transactions entered into outside the normal course of business and challenging judgments and estimates.
LEANDER INTERNATIONAL PET FOODS LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF LEANDER INTERNATIONAL PET FOODS LIMITED
- 6 -
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 is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.
David Martin FCA
Senior Statutory Auditor
For and on behalf of Knill James LLP
13 September 2024
Chartered Accountants
Statutory Auditor
One Bell Lane
Lewes
East Sussex
BN7 1JU
LEANDER INTERNATIONAL PET FOODS LIMITED
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2023
- 7 -
17 February
Year to
2022 to
31 December
31 December
2023
2022
Notes
£
£
Turnover
3
26,272,020
27,549,840
Cost of sales
(18,772,818)
(21,200,250)
Gross profit
7,499,202
6,349,590
Administrative expenses
(3,981,239)
(2,580,464)
Operating profit
4
3,517,963
3,769,126
Interest receivable and similar income
7
33,603
5,811
Profit before taxation
3,551,566
3,774,937
Tax on profit
8
(534,924)
(103,598)
Profit for the financial year
3,016,642
3,671,339
The profit and loss account has been prepared on the basis that all operations are continuing operations.
LEANDER INTERNATIONAL PET FOODS LIMITED
BALANCE SHEET
AS AT 31 DECEMBER 2023
31 December 2023
- 8 -
31 December
31 December
2023
2022
Notes
£
£
£
£
Fixed assets
Tangible assets
10
81,894
33,207
Current assets
Stocks
11
2,325,003
695,298
Debtors
12
4,917,235
5,847,086
Cash at bank and in hand
1,961,536
4,449,854
9,203,774
10,992,238
Creditors: amounts falling due within one year
13
(2,782,155)
(3,325,393)
Net current assets
6,421,619
7,666,845
Total assets less current liabilities
6,503,513
7,700,052
Provisions for liabilities
Deferred tax liability
14
12,765
946
(12,765)
(946)
Net assets
6,490,748
7,699,106
Capital and reserves
Called up share capital
16
2,950,099
2,950,099
Profit and loss reserves
3,540,649
4,749,007
Total equity
6,490,748
7,699,106
The financial statements were approved by the board of directors and authorised for issue on 12 September 2024 and are signed on its behalf by:
Ms R Connellan
Mr R Craig
Director
Director
Company Registration No. 03189092
LEANDER INTERNATIONAL PET FOODS LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023
- 9 -
Share capital
Profit and loss reserves
Total
Notes
£
£
£
Balance at 17 February 2022
2,950,099
2,077,668
5,027,767
Period ended 31 December 2022:
Profit and total comprehensive income
-
3,671,339
3,671,339
Dividends
9
-
(1,000,000)
(1,000,000)
Balance at 31 December 2022
2,950,099
4,749,007
7,699,106
Year ended 31 December 2023:
Profit and total comprehensive income
-
3,016,642
3,016,642
Dividends
9
-
(4,225,000)
(4,225,000)
Balance at 31 December 2023
2,950,099
3,540,649
6,490,748
LEANDER INTERNATIONAL PET FOODS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
- 10 -
1
Accounting policies
Company information
Leander International Pet Foods Limited is a private company limited by shares incorporated in England and Wales. The registered office is Danworth House, Jobs Lane, Sayers Common, BN6 9HE.
1.1
Reporting period
The company was sold as at 16 February 2022 and the prior year end was changed to 31 December 2022 to agree to the group's year end. Therefore, the comparative amounts presented in the financial statements (including the related notes) are not entirely comparable.
1.2
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.
The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
This company is a qualifying entity for the purposes of FRS 102, being a member of a group where the parent of that group prepares publicly available consolidated financial statements, including this company, which are intended to give a true and fair view of the assets, liabilities, financial position and profit or loss of the group. The company has therefore taken advantage of exemptions from the following disclosure requirements:
Section 7 ‘Statement of Cash Flows’: Presentation of a statement of cash flow and related notes and disclosures;
Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instrument Issues: Interest income/expense and net gains/losses for financial instruments not measured at fair value; basis of determining fair values; details of collateral, loan defaults or breaches, details of hedges, hedging fair value changes recognised in profit or loss and in other comprehensive income;
Section 26 ‘Share based Payment’: Share-based payment expense charged to profit or loss, reconciliation of opening and closing number and weighted average exercise price of share options, how the fair value of options granted was measured, measurement and carrying amount of liabilities for cash-settled share-based payments, explanation of modifications to arrangements;
Section 33 ‘Related Party Disclosures’: Compensation for key management personnel.
The financial statements of the company are consolidated in the financial statements of AlphaPet Ventures GmbH. These consolidated financial statements are available from its registered office, Landsberger Str.234, 80687 Munich, Germany.
1.3
Going concern
Atruet the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.
1.4
Turnover
Turnover is recognised at the fair value of the consideration received or receivable for pet food goods provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.
LEANDER INTERNATIONAL PET FOODS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 11 -
Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.
1.5
Research and development expenditure
Research expenditure is written off against profits in the year in which it is incurred. Identifiable development expenditure is capitalised to the extent that the technical, commercial and financial feasibility can be demonstrated.
1.6
Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Plant and equipment
25% straight line
Fixtures and fittings
25% straight line
Computers
33.33% straight line
Motor vehicles
25% straight line
Software
33.33% straight line
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.
1.7
Impairment of fixed assets
At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.
Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.
If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.
Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.
LEANDER INTERNATIONAL PET FOODS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 12 -
1.8
Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition.
At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.
1.9
Cash and cash equivalents
Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.10
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Impairment of financial assets
Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.
Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. 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 a 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.
Derecognition of financial assets
Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.
LEANDER INTERNATIONAL PET FOODS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 13 -
Classification of financial liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.
Basic financial liabilities
Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts 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.
Derecognition of financial liabilities
Financial liabilities are derecognised when the company’s contractual obligations expire or are discharged or cancelled.
1.11
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
1.12
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes 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 reporting end date.
Deferred tax
Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.
The carrying amount of deferred tax assets is reviewed at each reporting end date 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 is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.
LEANDER INTERNATIONAL PET FOODS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 14 -
1.13
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
1.14
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.15
Foreign exchange
Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.
2
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.
3
Turnover and other revenue
2023
2022
£
£
Turnover analysed by class of business
Sales of pet food
26,272,020
27,550,300
Boarding income
-
(460)
26,272,020
27,549,840
2023
2022
£
£
Turnover analysed by geographical market
United Kingdom
23,593,916
25,672,903
Europe
1,452,427
1,018,584
Rest of the World
1,225,677
858,353
26,272,020
27,549,840
LEANDER INTERNATIONAL PET FOODS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
3
Turnover and other revenue
(Continued)
- 15 -
2023
2022
£
£
Other revenue
Interest income
33,603
5,811
4
Operating profit
2023
2022
Operating profit for the year is stated after charging/(crediting):
£
£
Exchange gains
(24,455)
(20,309)
Research and development costs
37,214
81,594
Fees payable to the company's auditor for the audit of the company's financial statements
19,066
33,128
Depreciation of owned tangible fixed assets
18,386
25,714
Loss/(profit) on disposal of tangible fixed assets
1,562
(15,805)
5
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2023
2022
Number
Number
Finance and administration
6
7
Sales and marketing
18
14
Kennels
-
2
Other
13
8
Total
37
31
Their aggregate remuneration comprised:
2023
2022
£
£
Wages and salaries
1,701,355
1,174,279
Social security costs
170,720
138,793
Pension costs
132,757
56,832
2,004,832
1,369,904
LEANDER INTERNATIONAL PET FOODS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 16 -
6
Directors' remuneration
2023
2022
£
£
Remuneration for qualifying services
202,008
226,287
Company pension contributions to defined contribution schemes
67,323
13,476
269,331
239,763
The number of directors for whom retirement benefits are accruing under defined contribution schemes amounted to 2 (2022 - 3).
Remuneration disclosed above include the following amounts paid to the highest paid director:
2023
2022
£
£
Remuneration for qualifying services
121,990
105,571
Company pension contributions to defined contribution schemes
62,092
6,334
7
Interest receivable and similar income
2023
2022
£
£
Interest income
Interest on bank deposits
30,947
5,811
Other interest income
2,656
Total income
33,603
5,811
8
Taxation
2023
2022
£
£
Current tax
UK corporation tax on profits for the current period
523,105
100,699
Adjustments in respect of prior periods
170
Total current tax
523,105
100,869
Deferred tax
Origination and reversal of timing differences
11,819
2,729
Total tax charge
534,924
103,598
LEANDER INTERNATIONAL PET FOODS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
8
Taxation
(Continued)
- 17 -
The actual charge for the year can be reconciled to the expected charge for the year based on the profit or loss and the standard rate of tax as follows:
2023
2022
£
£
Profit before taxation
3,551,566
3,774,937
Expected tax charge based on the standard rate of corporation tax in the UK of 23.52% (2022: 19.00%)
835,348
717,238
Tax effect of expenses that are not deductible in determining taxable profit
16,010
(1,952)
Adjustments in respect of prior years
170
Group relief
(314,972)
(613,495)
Permanent capital allowances in excess of depreciation
(13,281)
(1,092)
Change in deferred tax
11,819
2,729
Taxation charge for the year
534,924
103,598
9
Dividends
2023
2022
£
£
Final paid
4,225,000
1,000,000
LEANDER INTERNATIONAL PET FOODS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 18 -
10
Tangible fixed assets
Plant and equipment
Fixtures and fittings
Computers
Motor vehicles
Software
Total
£
£
£
£
£
£
Cost
At 1 January 2023
47,984
1,526
50,895
17,402
77,797
195,604
Additions
51,500
7,206
11,428
70,134
Disposals
(47,984)
(47,984)
At 31 December 2023
53,026
58,101
17,402
89,225
217,754
Depreciation and impairment
At 1 January 2023
44,469
25,695
17,402
74,831
162,397
Depreciation charged in the year
454
2,499
12,393
3,040
18,386
Eliminated in respect of disposals
(44,923)
(44,923)
At 31 December 2023
2,499
38,088
17,402
77,871
135,860
Carrying amount
At 31 December 2023
50,527
20,013
11,354
81,894
At 31 December 2022
3,515
1,526
25,200
2,966
33,207
11
Stocks
2023
2022
£
£
Raw materials and consumables
1,114,991
584,472
Work in progress
5,153
-
Finished goods and goods for resale
1,204,859
110,826
2,325,003
695,298
12
Debtors
2023
2022
Amounts falling due within one year:
£
£
Trade debtors
3,818,193
5,422,135
Corporation tax recoverable
383,005
195,214
Amounts owed by group undertakings
338,082
61,375
Other debtors
34,058
14,125
Prepayments and accrued income
343,897
154,237
4,917,235
5,847,086
LEANDER INTERNATIONAL PET FOODS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 19 -
13
Creditors: amounts falling due within one year
2023
2022
£
£
Trade creditors
964,445
2,034,829
Amounts owed to group undertakings
541,476
Taxation and social security
390,656
458,732
Other creditors
135,475
19,388
Accruals and deferred income
750,103
812,444
2,782,155
3,325,393
14
Deferred taxation
The following are the major deferred tax liabilities and assets recognised by the company and movements thereon:
Liabilities
Liabilities
2023
2022
Balances:
£
£
Accelerated capital allowances
12,765
1,703
Retirement benefit obligations
-
(757)
12,765
946
2023
Movements in the year:
£
Liability at 1 January 2023
946
Charge to profit or loss
11,819
Liability at 31 December 2023
12,765
15
Retirement benefit schemes
2023
2022
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
132,757
56,832
The company operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the company in an independently administered fund.
16
Share capital
2023
2022
2023
2022
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
2,950,099
2,950,099
2,950,099
2,950,099
LEANDER INTERNATIONAL PET FOODS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
16
Share capital
(Continued)
- 20 -
The company has one class of ordinary share which carry equal voting rights, equal rights to a dividend entitlement and equal rights to a distribution on winding up.
17
Operating lease commitments
At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:
2023
2022
£
£
Within one year
124,342
24,879
Between two and five years
340,386
20,741
464,728
45,620
18
Ultimate controlling party
The parent undertaking is AlphaPet UK Ventures Limited.
The ultimate parent company is AlphaPet Ventures GMBH. Alphapet Ventures GMBH is the parent undertaking of the smallest and largest group to consolidate these financial statements.
The consolidated financial statements of AlphaPet Ventures GMBH are available to the public and may be obtained from the company secretary, AlphaPet Ventures GMBH, Landsberger Strabe 234, 80687 Munich, Germany.
The directors consider that there is no ultimate controlling party.
2023-12-312023-01-01falseCCH SoftwareCCH Accounts Production 2024.210Mr M HierlingMr P DykesMr K J JeswaniMr R CraigMr R CraigMs R Connellanfalsefalse031890922023-01-012023-12-3103189092bus:Director12023-01-012023-12-3103189092bus:Director32023-01-012023-12-3103189092bus:CompanySecretaryDirector12023-01-012023-12-3103189092bus:Director42023-01-012023-12-3103189092bus:CompanySecretary12023-01-012023-12-3103189092bus:Director22023-01-012023-12-3103189092bus:Director52023-01-012023-12-3103189092bus:RegisteredOffice2023-01-012023-12-31031890922023-12-31031890922022-02-172022-12-3103189092core:RetainedEarningsAccumulatedLosses2022-02-172022-12-3103189092core:RetainedEarningsAccumulatedLosses2023-01-012023-12-31031890922022-12-3103189092core:PlantMachinery2023-12-3103189092core:FurnitureFittings2023-12-3103189092core:ComputerEquipment2023-12-3103189092core:MotorVehicles2023-12-3103189092core:Non-standardPPEClass1ComponentTotalPropertyPlantEquipment2023-12-3103189092core:PlantMachinery2022-12-3103189092core:FurnitureFittings2022-12-3103189092core:ComputerEquipment2022-12-3103189092core:MotorVehicles2022-12-3103189092core:Non-standardPPEClass1ComponentTotalPropertyPlantEquipment2022-12-3103189092core:CurrentFinancialInstrumentscore:WithinOneYear2023-12-3103189092core:CurrentFinancialInstrumentscore:WithinOneYear2022-12-3103189092core:ShareCapital2023-12-3103189092core:ShareCapital2022-12-3103189092core:RetainedEarningsAccumulatedLosses2023-12-3103189092core:RetainedEarningsAccumulatedLosses2022-12-3103189092core:ShareCapital2022-02-1603189092core:RetainedEarningsAccumulatedLosses2022-02-1603189092core:PlantMachinery2023-01-012023-12-3103189092core:FurnitureFittings2023-01-012023-12-3103189092core:ComputerEquipment2023-01-012023-12-3103189092core:MotorVehicles2023-01-012023-12-3103189092core:Non-standardPPEClass1ComponentTotalPropertyPlantEquipment2023-01-012023-12-3103189092core:UKTax2023-01-012023-12-3103189092core:UKTax2022-02-172022-12-310318909212023-01-012023-12-310318909212022-02-172022-12-3103189092core:PlantMachinery2022-12-3103189092core:FurnitureFittings2022-12-3103189092core:ComputerEquipment2022-12-3103189092core:MotorVehicles2022-12-3103189092core:Non-standardPPEClass1ComponentTotalPropertyPlantEquipment2022-12-31031890922022-12-3103189092core:CurrentFinancialInstruments2023-12-3103189092core:CurrentFinancialInstruments2022-12-3103189092core:WithinOneYear2023-12-3103189092core:WithinOneYear2022-12-3103189092core:BetweenTwoFiveYears2023-12-3103189092core:BetweenTwoFiveYears2022-12-3103189092bus:PrivateLimitedCompanyLtd2023-01-012023-12-3103189092bus:FRS1022023-01-012023-12-3103189092bus:Audited2023-01-012023-12-3103189092bus:FullAccounts2023-01-012023-12-31xbrli:purexbrli:sharesiso4217:GBP