Caseware UK (AP4) 2023.0.135 2023.0.135 2023-12-312023-12-31false58truetruetruetruefalse59false2023-01-0113940 - Manufacture of cordage, rope, twine and netting SC272146 2023-01-01 2023-12-31 SC272146 2023-12-31 SC272146 2022-01-01 2022-12-31 SC272146 2022-12-31 SC272146 2022-01-01 SC272146 1 2023-01-01 2023-12-31 SC272146 1 2022-01-01 2022-12-31 SC272146 d:CompanySecretary1 2023-01-01 2023-12-31 SC272146 d:Director1 2023-01-01 2023-12-31 SC272146 d:Director1 2023-12-31 SC272146 d:Director2 2023-01-01 2023-12-31 SC272146 d:Director3 2023-01-01 2023-12-31 SC272146 d:Director4 2023-01-01 2023-12-31 SC272146 d:Director5 2023-01-01 2023-12-31 SC272146 d:Director6 2023-01-01 2023-12-31 SC272146 d:Director6 2023-12-31 SC272146 d:RegisteredOffice 2023-01-01 2023-12-31 SC272146 d:Agent1 2023-01-01 2023-12-31 SC272146 e:Buildings 2023-01-01 2023-12-31 SC272146 e:Buildings 2023-12-31 SC272146 e:Buildings 2022-12-31 SC272146 e:Buildings e:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 SC272146 e:PlantMachinery 2023-01-01 2023-12-31 SC272146 e:PlantMachinery 2023-12-31 SC272146 e:PlantMachinery 2022-12-31 SC272146 e:PlantMachinery e:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 SC272146 e:FurnitureFittings 2023-01-01 2023-12-31 SC272146 e:FurnitureFittings 2023-12-31 SC272146 e:FurnitureFittings 2022-12-31 SC272146 e:FurnitureFittings e:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 SC272146 e:OtherPropertyPlantEquipment 2023-01-01 2023-12-31 SC272146 e:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 SC272146 e:CurrentFinancialInstruments 2023-12-31 SC272146 e:CurrentFinancialInstruments 2022-12-31 SC272146 e:CurrentFinancialInstruments e:WithinOneYear 2023-12-31 SC272146 e:CurrentFinancialInstruments e:WithinOneYear 2022-12-31 SC272146 e:ReportableOperatingSegment1 2023-01-01 2023-12-31 SC272146 e:ReportableOperatingSegment1 2022-01-01 2022-12-31 SC272146 f:UnitedKingdom 2023-01-01 2023-12-31 SC272146 f:UnitedKingdom 2022-01-01 2022-12-31 SC272146 f:RestWorldOutsideUK 2023-01-01 2023-12-31 SC272146 f:RestWorldOutsideUK 2022-01-01 2022-12-31 SC272146 e:UKTax 2023-01-01 2023-12-31 SC272146 e:UKTax 2022-01-01 2022-12-31 SC272146 e:ShareCapital 2023-01-01 2023-12-31 SC272146 e:ShareCapital 2023-12-31 SC272146 e:ShareCapital 2022-01-01 2022-12-31 SC272146 e:ShareCapital 2022-12-31 SC272146 e:ShareCapital 2022-01-01 SC272146 e:SharePremium 2023-01-01 2023-12-31 SC272146 e:SharePremium 2023-12-31 SC272146 e:SharePremium 2022-01-01 2022-12-31 SC272146 e:SharePremium 2022-12-31 SC272146 e:SharePremium 2022-01-01 SC272146 e:RetainedEarningsAccumulatedLosses 2023-01-01 2023-12-31 SC272146 e:RetainedEarningsAccumulatedLosses 2023-12-31 SC272146 e:RetainedEarningsAccumulatedLosses 2022-01-01 2022-12-31 SC272146 e:RetainedEarningsAccumulatedLosses 2022-12-31 SC272146 e:RetainedEarningsAccumulatedLosses 2022-01-01 SC272146 e:FinancialAssetsDesignatedFairValueThroughProfitOrLoss 2023-12-31 SC272146 e:FinancialAssetsDesignatedFairValueThroughProfitOrLoss 2022-12-31 SC272146 e:FinancialAssetsAmortisedCost 2023-12-31 SC272146 e:FinancialAssetsAmortisedCost 2022-12-31 SC272146 e:FinancialLiabilitiesAmortisedCost 2023-12-31 SC272146 e:FinancialLiabilitiesAmortisedCost 2022-12-31 SC272146 e:AcceleratedTaxDepreciationDeferredTax 2023-12-31 SC272146 e:AcceleratedTaxDepreciationDeferredTax 2022-12-31 SC272146 e:RetirementBenefitObligationsDeferredTax 2023-12-31 SC272146 e:RetirementBenefitObligationsDeferredTax 2022-12-31 SC272146 d:OrdinaryShareClass1 2023-01-01 2023-12-31 SC272146 d:OrdinaryShareClass1 2023-12-31 SC272146 d:OrdinaryShareClass1 2022-12-31 SC272146 d:FRS102 2023-01-01 2023-12-31 SC272146 d:Audited 2023-01-01 2023-12-31 SC272146 d:FullAccounts 2023-01-01 2023-12-31 SC272146 d:PrivateLimitedCompanyLtd 2023-01-01 2023-12-31 SC272146 e:Subsidiary1 2023-01-01 2023-12-31 SC272146 e:Subsidiary1 1 2023-01-01 2023-12-31 SC272146 e:WithinOneYear 2023-12-31 SC272146 e:WithinOneYear 2022-12-31 SC272146 e:BetweenOneFiveYears 2023-12-31 SC272146 e:BetweenOneFiveYears 2022-12-31 SC272146 e:PlantEquipmentOtherAssetsUnderOperatingLeases 2023-12-31 SC272146 e:PlantEquipmentOtherAssetsUnderOperatingLeases 2022-12-31 SC272146 e:PlantEquipmentOtherAssetsUnderOperatingLeases e:WithinOneYear 2023-12-31 SC272146 e:PlantEquipmentOtherAssetsUnderOperatingLeases e:WithinOneYear 2022-12-31 SC272146 6 2023-01-01 2023-12-31 SC272146 g:PoundSterling 2023-01-01 2023-12-31 xbrli:shares iso4217:GBP xbrli:pure

Company Registration Number SC272146























W & J KNOX LIMITED





FINANCIAL STATEMENTS





 31 DECEMBER 2023


























img64e2.png

 
W & J KNOX LIMITED
 

COMPANY INFORMATION


Directors
David Hutchens (resigned 17 March 2023)
Finlay Mackenzie Oman 
David Orr Sloan 
Hans-Petter Selstad 
Petter Oksholen 
Julie Caldwell Macdonald (appointed 17 March 2023)




Company secretary
David Orr Sloan



Registered number
SC272146



Registered office
Mill Road
Kilbirnie

Ayrshire

KA25 7DZ




Independent auditors
Armstrong Watson Audit Limited
Chartered Accountants & Statutory Auditors

1st Floor

24 Blythswood Square

Glasgow

G2 4BG




Bankers
Clydesdale Bank
30 St Vincent Place

Glasgow

G1 2HL




Solicitors
MacRoberts LLP
Capella

60 York Street

Glasgow

G2 8JX





 
W & J KNOX LIMITED
 

CONTENTS



Page
Strategic Report
 
 
1
Directors' Report
 
 
2 - 3
Independent Auditors' Report
 
 
4 - 7
Statement of Comprehensive Income
 
 
8
Statement of Financial Position
 
 
9
Statement of Changes in Equity
 
 
10
Notes to the Financial Statements
 
 
11 - 26


 
W & J KNOX LIMITED
 

STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023

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

Business review
 
The Company’s principal activities are the service, manufacture and design of fish farm cage nets, and sports and camouflage netting. 
There have been no changes in the Company's activities in the year under review. The Company’s strategy is to ensure the long term future of the business. It pursues that strategy through the objectives of profitable operations and prudent management.
Turnover in 2023 increased by 47.1% (2022- 48.4% decrease) on the previous year, and the operating margin for the group was 8.80% in 2023 (2022- 4.03%). 
We are confident of a very good level of profitabilty in 2024. The group remains debt free. 
There have been no events since the balance sheet date which materially affect the position of the Company.

Principal risks and uncertainties
 
The market for the Company’s products and services is competitive, and the Company seeks to maintain and where possible improve market share by the provision of added value services to customers, improving response times and the handling of customer enquiries, and by maintaining strong relationships with key customers and suppliers. Where appropriate, the Company seeks to minimise exposure to certain future risks of cost increases.
The Company’s credit risk is primarily attributable to its trade debtors. Credit risk is managed by running credit checks on new customers, and by monitoring customers' payment patterns. The Company monitors cash flow as part of its day to day control procedures. The Board considers cash flow projections on a monthly basis and ensures that appropriate facilities are available to be drawn upon as necessary.

Financial key performance indicators
 
The financial key performance indicators are turnover and operating margin, as referred to in the business review above, and net margin, as evident from the statement of comprehensive income on page 8 of these financial statements. 


This report was approved by the board and signed on its behalf.



................................................
D Sloan
Director

Date: 26 April 2024

Page 1

 
W & J KNOX LIMITED
 

 
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023

The Directors present their report and the financial statements for the year ended 31 December 2023.

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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. 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 for the Company's financial statements and then apply them consistently;

make judgments 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 to enable them to ensure that the financial statements comply with the Companies Act 2006They 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.



Results and dividends

The profit for the year, after taxation, amounted to £813,277 (2022 - £339,998).

Dividends were declared and paid during the year totalling £1,694,326 (2022 - £525,751).

Directors

The Directors who served during the year were:

David Hutchens (resigned 17 March 2023)
Finlay Mackenzie Oman 
David Orr Sloan 
Hans-Petter Selstad 
Petter Oksholen 
Julie Caldwell Macdonald (appointed 17 March 2023)

Future developments

The directors aim to maintain the management policies which have resulted in the Company's profitability and growth in recent years. 

Page 2

 
W & J KNOX LIMITED
 

 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023

Disclosure of information to auditors

Each of the persons who are Directors at the time when this Directors' Report is approved has confirmed that:
 
so far as the Director is aware, there is no relevant audit information of which the Company's auditors are unaware, and

the Director has taken all the steps that ought to have been taken as a Director in order to be aware of any relevant audit information and to establish that the Company's auditors are aware of that information.

Post balance sheet events

There have been no significant events affecting the Company since the year end.

Auditors

The auditorsArmstrong Watson Audit Limitedwill be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

This report was approved by the board and signed on its behalf.
 





................................................
D Sloan
Director

Date: 26 April 2024

Page 3

 
W & J KNOX LIMITED
 

 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS, AS A BODY, OF W & J KNOX LIMITED
 

Opinion


We have audited the financial statements of W & J Knox Limited  (the 'Company') for the year ended 31 December 2023, which comprise the Statement of Comprehensive Income, the Statement of Financial Position, the Statement of Changes in Equity and the related notes, including a summary of significant accounting policiesThe 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 United Kingdom, including the Financial Reporting Council'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 other information comprises the information included in the Annual Report other than the financial statements and our Auditors' Report thereon. The Directors are responsible for the other information contained within the Annual ReportOur 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.


Page 4

 
W & J KNOX LIMITED
 

 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS, AS A BODY, OF W & J KNOX LIMITED (CONTINUED)


Opinion 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.


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 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, 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.


Page 5

 
W & J KNOX LIMITED
 

 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS, AS A BODY, OF W & J KNOX LIMITED (CONTINUED)


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:
Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:
• the engagement partner ensured that the engagement team collectively had the appropriate competence,         capabilities and knowledge of the Company to identify or recognise non-compliance with applicable laws    and regulations; 
• we identified the laws and regulations applicable to the company through discussions with directors and    other management and review of appropriate industry knowledge. Key laws and regulations we identified   during the audit were the UK Companies Act 2006 and tax legislation, UK employment legislation and UK   health and safety legislation;
• we assessed the extent of compliance with the laws and regulations identified above by making enquiries   of management; and
• identified laws and regulations were communicated within the audit team regularly and the team     remained alert to instances of non-compliance throughout the audit.
We assessed the susceptibility of the Company’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:
• making enquiries of management as to where they considered there was susceptibility to fraud, their      knowledge of actual, suspected and alleged fraud; and
• considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and    regulations.
To address the risk of fraud through management bias and override of controls, we:
• performed analytical procedures as a risk assessment tool to identify any unusual or unexpected     relationships;
• tested journal entries recorded on the Company’s finance system to identify unusual transactions that    may indicate override of controls;
• reviewed key judgements and estimates for any evidence of management bias.
• reviewed the application of accounting policies with focus on those with heightened estimation     uncertainty.
 
Page 6

 
W & J KNOX LIMITED
 

 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS, AS A BODY, OF W & J KNOX LIMITED (CONTINUED)



In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:
• agreeing financial statement disclosures to underlying supporting documentation and
• enquiring of management to identify actual and potential litigation and claims.
Due to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, as with any audit, there remains a higher risk of non-detection of irregularities, as these may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal controls. We are not responsible for preventing fraud or non-compliance with laws and regulations and cannot be expected to detect all fraud and non-compliance with laws and regulations.


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


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 2006Our 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.





Martin Johnston (Senior Statutory Auditor)
for and on behalf of
Armstrong Watson Audit Limited
Chartered Accountants & Statutory Auditors
1st Floor
24 Blythswood Square
Glasgow
G2 4BG

26 April 2024

Page 7

 
W & J KNOX LIMITED
 

STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2023

2023
2022
Note
£
£

  

Turnover
 4 
13,013,492
8,845,339

Cost of sales
  
(10,541,670)
(7,199,658)

Gross profit
  
2,471,822
1,645,681

Administrative expenses
  
(1,459,172)
(1,384,324)

Other operating income
 5 
115,006
94,964

Operating profit
 6 
1,127,656
356,321

Interest payable and similar expenses
 10 
9,510
3,013

Profit before tax
  
1,137,166
359,334

Tax on profit
 11 
(323,889)
(19,336)

Profit for the financial year
  
813,277
339,998

There were no recognised gains and losses for 2023 or 2022 other than those included in the statement of comprehensive income.

There was no other comprehensive income for 2023 (2022:£NIL).

The notes on pages 11 to 26 form part of these financial statements.

Page 8

 
W & J KNOX LIMITED
REGISTERED NUMBER: SC272146

STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2023

2023
2022
Note
£
£

Fixed assets
  

Tangible assets
 13 
1,532,494
1,739,510

Investments
 14 
2
2

  
1,532,496
1,739,512

Current assets
  

Stocks
 15 
979,962
575,663

Debtors: amounts falling due within one year
 16 
1,438,579
1,114,352

Cash at bank and in hand
 17 
1,151,194
5,283,065

  
3,569,735
6,973,080

Creditors: amounts falling due within one year
 18 
(1,942,738)
(4,667,694)

Net current assets
  
 
 
1,626,997
 
 
2,305,386

Total assets less current liabilities
  
3,159,493
4,044,898

Provisions for liabilities
  

Deferred tax
 20 
(176,747)
(181,103)

  
 
 
(176,747)
 
 
(181,103)

Net assets
  
2,982,746
3,863,795


Capital and reserves
  

Called up share capital 
 21 
110,102
110,102

Share premium account
 22 
29,953
29,953

Profit and loss account
 22 
2,842,691
3,723,740

  
2,982,746
3,863,795


The financial statements were approved and authorised for issue by the board and were signed on its behalf by: 




................................................
D Sloan
................................................
F Oman
Director
Director


Date: 26 April 2024
Date:26 April 2024

The notes on pages 11 to 26 form part of these financial statements.

Page 9

 
W & J KNOX LIMITED
 

STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023


Called up share capital
Share premium account
Profit and loss account
Total equity

£
£
£
£


At 1 January 2022
110,102
29,953
3,909,493
4,049,548


Comprehensive income for the year

Profit for the year
-
-
339,998
339,998
Total comprehensive income for the year
-
-
339,998
339,998


Contributions by and distributions to owners

Dividends: Equity capital
-
-
(525,751)
(525,751)



At 1 January 2023
110,102
29,953
3,723,740
3,863,795


Comprehensive income for the year

Profit for the year
-
-
813,277
813,277
Total comprehensive income for the year
-
-
813,277
813,277


Contributions by and distributions to owners

Dividends: Equity capital
-
-
(1,694,326)
(1,694,326)


At 31 December 2023
110,102
29,953
2,842,691
2,982,746


The notes on pages 11 to 26 form part of these financial statements.

Page 10

 
W & J KNOX LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

1.


General information

W & J Knox Limited is a private company limited by shares, registered in Scotland. The Company’s registered office address is 1 Mill Road, Kilbirnie, Ayrshire, Scotland, KA25 7DZ. The Company’s registered number is SC272146.
The principal activity of the Company for the year under review was the sale, service, manufacture, and design of fish farm cage nets, sports, and camouflage netting.
The financial statements have been prepared in pounds sterling, rounded to the nearest pound, as this is the currency of the primary economic environment in which the Company operates.

2.Accounting policies

 
2.1

Basis of preparation of 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.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the Company's accounting policies (see note 3).

The following principal accounting policies have been applied:

 
2.2

Financial Reporting Standard 102 - reduced disclosure exemptions

The Company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":
the requirements of Section 7 Statement of Cash Flows;
the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d);
the requirements of Section 33 Related Party Disclosures paragraph 33.7.

This information is included in the consolidated financial statements of Macrocom (1030) Limited as at 31 December 2023 and these financial statements may be obtained from Companies House.

  
2.3

Going Concern

In preparing these financial statements, the directors of the company have given careful consideration to current and anticipated future solvency requirements of the company and its ability to continue as a going concern for the foreseeable future. The Directors have prepared cash flow forecasts for a period of at least 12 months from the date of approval of these financial statements which indicate that, taking account of reasonably possible downturns, the company will have sufficient funds from its operating cash flows and cash reserves to meet its liabilities as they fall due for that period. Based on the above, the directors believe it remains appropriate to prepare the financial statements on a going concern basis.

Page 11

 
W & J KNOX LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.4

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.

Sale of goods under bill and hold arrangements
Revenue from the sale of goods sold under bill and hold arrangements are recognised when the following conditions are satisfied;
• It is probable that delivery will be made;
• The item is on hand, identified and ready for delivery to the buyer at the time the sale is recognised;
• The buyer specifically acknowledges the deferred delivery instructions; &
• The usual payment terms apply.

 
2.5

Operating leases: the Company as lessor

Rental income from operating leases is credited to profit or loss on a straight-line basis over the lease term.

 
2.6

Operating leases: the Company as lessee

Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term.

 
2.7

Finance costs

Finance costs are charged to profit or loss 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.

 
2.8

Pensions

Defined contribution pension plan

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 profit or loss 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.

Page 12

 
W & J KNOX LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.9

Current and deferred taxation

The tax expense for the year comprises current and deferred tax. Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the Company operates and generates income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the reporting date, except that:
The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.

 
2.10

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, using the straight-line method.

Depreciation is provided on the following basis:

Freehold property
-
2%
on cost
Plant and machinery
-
20%
on cost
Fixtures and fittings
-
20%
on cost
Assets under construction
-
n/a

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 profit or loss.

No depreciation is charged on assets under construction.

 
2.11

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment.

Page 13

 
W & J KNOX LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.12

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 first in, first out basis. Work in progress and finished goods include labour and attributable overheads.

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 profit or loss.

 
2.13

Debtors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

 
2.14

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

 
2.15

Creditors

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

 
2.16

Provisions for liabilities

Provisions are recognised when an event has taken place that gives rise to a legal or constructive obligation, a transfer of economic benefits is probable and a reliable estimate can be made.
Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.
 
Increases in provisions are generally charged as an expense to profit or loss.

 
2.17

Financial instruments

The Company has elected to apply the provisions of Section 11 “Basic Financial Instruments” of FRS 102 to all of its financial instruments.

The Company has elected to apply the recognition and measurement provisions of IFRS 9 Financial Instruments (as adopted by the UK Endorsement Board) with the disclosure requirements of Sections 11 and 12 and the other presentation requirements of FRS 102.

Financial instruments are recognised in the Company's Statement of Financial Position 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

Page 14

 
W & J KNOX LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)


2.17
Financial instruments (continued)

Basic financial assets, which include trade and other receivables, cash and bank balances, are initially measured at their transaction price including transaction costs and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, 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.

Discounting is omitted where the effect of discounting is immaterial. The Company's cash and cash equivalents, trade and most other receivables due with the operating cycle fall into this category of financial instruments.

Other financial assets

Other financial assets, which includes investments in equity instruments which are not classified as subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the recognised transaction price. Such assets are subsequently measured at fair value with the changes in fair value being recognised in the profit or loss. Where other financial assets are not publicly traded, hence their fair value cannot be measured reliably, they are measured at cost less impairment.

Impairment of financial assets

Financial assets are assessed for indicators of impairment at each reporting date. 

Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial asset(s) have been adversely impacted. The impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate.

If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the profit or loss.

Financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instruments any contract that evidences a residual interest in the assets of the Company after the deduction of all its liabilities.

Basic financial liabilities, which include trade and other payables, bank loans and other loans are initially measured at their transaction price after transaction costs. When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Discounting is omitted where the effect of discounting is immaterial.

Debt instruments are subsequently carried at their amortised cost using the effective interest rate method.

Trade payables are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade payables are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade payables are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.

Other financial instruments
Page 15

 
W & J KNOX LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)


2.17
Financial instruments (continued)


Derivatives, including forward exchange contracts, futures contracts and interest rate swaps, are not classified as basic financial instruments. These are initially recognised at fair value on the date the derivative contract is entered into, with costs being charged to the profit or loss. They are subsequently measured at fair value with changes in the profit or loss.

Debt instruments that do not meet the conditions as set out in FRS 102 paragraph 11.9 are subsequently measured at fair value through the profit or loss. This recognition and measurement would also apply to financial instruments where the performance is evaluated on a fair value basis as with a documented risk management or investment strategy.

Derecognition of financial instruments

Derecognition of financial assets

Financial assets are derecognised when their contractual right to future cash flow expire, or are settled, or when the Company transfers the asset and substantially all the risks and rewards of ownership to another party. If significant risks and rewards of ownership are retained after the transfer to another party, then the Company will continue to recognise the value of the portion of the risks and rewards retained.

Derecognition of financial liabilities

Financial liabilities are derecognised when the Company's contractual obligations expire or are discharged or cancelled.

 
2.18

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.


3.


Judgments in applying accounting policies and key sources of estimation uncertainty

Classification of property, plant and equipment
Within property, plant and equipment exists property with mixed use. Management have used judgement in determining that the property is classified as property, plant and equipment on the basis of the following:
The portions of the building could not be sold separately and the portion held for use in the production or supply of goods or services and administration purposes is not an insignificant proportion. 
 

Page 16

 
W & J KNOX LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

4.


Turnover

An analysis of turnover by class of business is as follows:


2023
2022
£
£

Turnover
13,013,492
8,845,339

13,013,492
8,845,339


Analysis of turnover by country of destination:

2023
2022
£
£

United Kingdom
12,893,500
7,411,952

Rest of the world
119,992
1,433,387

13,013,492
8,845,339



5.


Other operating income

2023
2022
£
£

Net rents receivable
86,200
94,964

Profit on disposal of tangible assets
28,806
-

115,006
94,964



6.


Operating profit

The operating profit is stated after charging:

2023
2022
£
£

Other operating lease rentals
63,352
47,441

Page 17

 
W & J KNOX LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

7.


Auditors' remuneration

During the year, the Company obtained the following services from the Company's auditors:


2023
2022
£
£

Fees payable to the Company's auditors for the audit of the Company's financial statements
18,000
15,500

The Company has taken advantage of the exemption not to disclose amounts paid for non-audit services as these are disclosed in the consolidated accounts of the parent Company.


8.


Employees

Staff costs, including Directors' remuneration, were as follows:


2023
2022
£
£

Wages and salaries
1,850,342
1,704,065

Social security costs
137,627
169,159

Cost of defined contribution scheme
40,246
64,909

2,028,215
1,938,133


The average monthly number of employees, including the Directors, during the year was as follows:


        2023
        2022
            No.
            No.







Average number of employees
58
59

Page 18

 
W & J KNOX LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

9.


Directors' remuneration

2023
2022
£
£

Directors' emoluments
251,654
276,858

Company contributions to defined contribution pension schemes
6,638
5,198

258,292
282,056


The highest paid Director received remuneration of £103,239 (2022 - £94,169).

The value of the Company's contributions paid to a defined contribution pension scheme in respect of the highest paid Director amounted to £2,894 (2022 - £2,700).

The value of the Company's contributions paid to a defined benefit pension scheme in respect of the highest paid Director amounted to £NIL (2022 - £NIL).

The total accrued pension provision of the highest paid Director at 31 December 2023 amounted to £NIL (2022 - £NIL).

The amount of the accrued lump sum in respect of the highest paid Director at 31 December 2023 amounted to £NIL (2022 - £NIL).


10.


Interest payable and similar expenses

2023
2022
£
£


Bank interest payable
(9,510)
(3,013)

(9,510)
(3,013)

Page 19

 
W & J KNOX LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

11.


Taxation


2023
2022
£
£

Corporation tax


Current tax on profits for the year
326,184
1,371

Adjustments in respect of previous periods
2,061
-


328,245
1,371


Total current tax
328,245
1,371

Deferred tax


Origination and reversal of timing differences
(4,356)
17,965

Total deferred tax
(4,356)
17,965


Taxation on profit on ordinary activities
323,889
19,336

Factors affecting tax charge for the year

The tax assessed for the year is higher than (2022 - lower than) the standard rate of corporation tax in the UK of 23.52% (2022 - 19%). The differences are explained below:

2023
2022
£
£


Profit on ordinary activities before tax
1,137,166
359,334


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 23.52% (2022 - 19%)
267,468
68,273

Effects of:


Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
912
1,472

Fixed asset differences
2,342
(11,235)

Adjustments to tax charge in respect of prior periods
2,061
-

Remeasurement of deferred tax for changes in tax rates
(3,488)
(39,174)

Movement in deferred tax not recognised
54,594
-

Total tax charge for the year
323,889
19,336


Factors that may affect future tax charges

There were no factors that may affect future tax charges.

Page 20

 
W & J KNOX LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
 
11.Taxation (continued)




12.


Dividends

2023
2022
£
£


Ordinary shares, shares 10 pence each
1,694,326
525,751

1,694,326
525,751


13.


Tangible fixed assets





Freehold property
Plant and machinery
Fixtures and fittings
Total

£
£
£
£



Cost or valuation


At 1 January 2023
997,440
2,063,488
214,233
3,275,161


Additions
-
107,239
-
107,239


Disposals
-
(160,398)
-
(160,398)



At 31 December 2023

997,440
2,010,329
214,233
3,222,002



Depreciation


At 1 January 2023
207,965
1,135,670
192,015
1,535,650


Charge for the year on owned assets
11,480
267,794
7,838
287,112


Disposals
-
(133,254)
-
(133,254)



At 31 December 2023

219,445
1,270,210
199,853
1,689,508



Net book value



At 31 December 2023
777,995
740,119
14,380
1,532,494



At 31 December 2022
789,475
927,818
22,218
1,739,511

At 31 December 2023, there was £423,440 (2022 - £423,440) of freehold land included within freehold property which was not depreciated.
Clydesdale Bank PLC hold a floating charge over all the property or undertakings of the company in
respect of deferred consideration owed on acquisition by the group parent company Selstad Holdings AS. This charge contains a negative pledge.

Page 21

 
W & J KNOX LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

14.


Fixed asset investments





Investments in subsidiary companies

£



Cost or valuation


At 1 January 2023
2



At 31 December 2023
2





Subsidiary undertaking


The following was a subsidiary undertaking of the Company:

Name

Registered office

Class of shares

Holding

East & West Mills Limited
Mill Road, Kilbirnie, Ayrshire, KA25 7DZ
Ordinary
100%

The aggregate of the share capital and reserves as at 31 December 2023 and the profit or loss for the year ended on that date for the subsidiary undertaking was as follows:

Name
Profit/(Loss)

East & West Mills Limited
2


15.


Stocks

2023
2022
£
£

Work in progress
55,194
75,811

Finished goods and goods for resale
924,768
499,852

979,962
575,663


Page 22

 
W & J KNOX LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

16.


Debtors

2023
2022
£
£


Trade debtors
1,338,100
876,961

Amounts owed by group undertakings
901
901

Other debtors
30,602
178,239

Prepayments and accrued income
68,976
58,251

1,438,579
1,114,352



17.


Cash and cash equivalents

2023
2022
£
£

Cash at bank and in hand
1,151,194
5,283,065

1,151,194
5,283,065



18.


Creditors: Amounts falling due within one year

2023
2022
£
£

Trade creditors
409,350
260,335

Amounts owed to group undertakings
-
6,487

Corporation tax
325,523
710

Other taxation and social security
144,077
659,494

Other creditors
50,830
57,715

Accruals and deferred income
1,012,958
3,682,953

1,942,738
4,667,694


Page 23

 
W & J KNOX LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

19.


Financial instruments

2023
2022
£
£

Financial assets


Financial assets measured at fair value through profit or loss
1,151,194
5,283,065

Financial assets that are debt instruments measured at amortised cost
1,369,603
1,056,102

2,520,797
6,339,167


Financial liabilities


Financial liabilities measured at amortised cost
(1,363,027)
(1,916,347)


Financial assets measured at fair value through profit or loss comprise of cash at bank.


Financial assets that are debt instruments are measured at amortised cost comprise of trade debtors, sundry debtors, and accrued income.


Financial liabilities that are measured at amortised cost comprise of bank loans, trade creditors, other creditors and accruals.


20.


Deferred taxation




2023


£






At beginning of year
(181,103)


Charged to profit or loss
4,356



At end of year
(176,747)

The provision for deferred taxation is made up as follows:

2023
2022
£
£


Accelerated capital allowances
(177,717)
(181,103)

Short term timing differences
970
-

(176,747)
(181,103)

Page 24

 
W & J KNOX LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

21.


Share capital

2023
2022
£
£
Allotted, called up and fully paid



1,101,020 (2022 - 1,101,020) Ordinary shares of £0.10 each
110,102
110,102



22.


Reserves

Share premium account

This reserve records the amount above the nominal value received for shares issued, less transaction costs.

Profit and loss account

The profit and loss account comprises of accumulated profits and losses of the company.


23.


Pension commitments

The Company operates a defined contributions pension scheme. The scheme assets 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 £44,673 (2022 - £106,565). Contributions totalling £3,882 (2022 - £10,847) were payable to the fund at the reporting date and are included in creditors.


24.


Commitments under operating leases

At 31 December 2023 the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:

2023
2022
£
£
Commitments due as a lesee




Not later than 1 year
55,682
68,524

Later than 1 year and not later than 5 years
110,386
104,723

166,068
173,247

2023
2022

£
£
Commitments due as a lessor




Not later than 1 year
64,025
84,950

64,025
84,950

Page 25

 
W & J KNOX LIMITED
 

 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

25.Other financial commitments

At the balance sheet date a floating charge was active over the company's assets. This charge relates to security against deferred consideration owed on the acquisition of the majority of the immediate parent company's ordinary share capital during the year ended 31/12/2023. This charge is expected to be satisfied during the year ended 31/12/2027.


26.


Related party transactions

The company has taken advantage of the exemption under the terms of FRS 102 not to disclose related party transactions with wholly owned subsidiaries within the group.


27.


Controlling party

The Company is a wholly owned subsidiary of Macrocom (1030) Limited which is incorporated in Scotland. The ultimate parent company is Selstad Holdings AS which is incorporated in Norway. At the balance sheet date the ultimate controlling party was Hans-Petter Selstad.
 
The largest group in which the company is consolidated are that headed by Selstad Holdings AS. Copies of the financial statements can be obtained from Øyna 39, 6700 Måløy.
The smallest group in which the company is consolidated are that headed by Macrocom (1030) Limited. Copies of the financial statements can be obtained from companies house.


Page 26