Caseware UK (AP4) 2023.0.135 2023.0.135 2023-12-312023-12-31false902023-01-01falsethe provision of plastic storage solutions101truefalse 02352523 2023-01-01 2023-12-31 02352523 2022-01-01 2022-12-31 02352523 2023-12-31 02352523 2022-12-31 02352523 2022-01-01 02352523 1 2023-01-01 2023-12-31 02352523 1 2022-01-01 2022-12-31 02352523 4 2023-01-01 2023-12-31 02352523 4 2022-01-01 2022-12-31 02352523 d:CompanySecretary1 2023-01-01 2023-12-31 02352523 d:Director1 2023-01-01 2023-12-31 02352523 d:Director2 2023-01-01 2023-12-31 02352523 d:RegisteredOffice 2023-01-01 2023-12-31 02352523 d:Agent1 2023-01-01 2023-12-31 02352523 e:Buildings 2023-01-01 2023-12-31 02352523 e:Buildings 2022-12-31 02352523 e:Buildings e:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 02352523 e:PlantMachinery 2023-01-01 2023-12-31 02352523 e:PlantMachinery 2022-12-31 02352523 e:PlantMachinery e:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 02352523 e:MotorVehicles 2023-01-01 2023-12-31 02352523 e:MotorVehicles 2022-12-31 02352523 e:MotorVehicles e:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 02352523 e:FurnitureFittings 2023-01-01 2023-12-31 02352523 e:FurnitureFittings 2022-12-31 02352523 e:FurnitureFittings e:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 02352523 e:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 02352523 e:PatentsTrademarksLicencesConcessionsSimilar 2023-01-01 2023-12-31 02352523 e:PatentsTrademarksLicencesConcessionsSimilar 2023-12-31 02352523 e:PatentsTrademarksLicencesConcessionsSimilar 2022-12-31 02352523 e:CurrentFinancialInstruments 2023-12-31 02352523 e:CurrentFinancialInstruments 2022-12-31 02352523 e:Non-currentFinancialInstruments 2023-12-31 02352523 e:Non-currentFinancialInstruments 2022-12-31 02352523 e:CurrentFinancialInstruments e:WithinOneYear 2023-12-31 02352523 e:CurrentFinancialInstruments e:WithinOneYear 2022-12-31 02352523 e:Non-currentFinancialInstruments e:AfterOneYear 2023-12-31 02352523 e:Non-currentFinancialInstruments e:AfterOneYear 2022-12-31 02352523 f:UnitedKingdom 2023-01-01 2023-12-31 02352523 f:UnitedKingdom 2022-01-01 2022-12-31 02352523 f:RestEuropeOutsideUK 2023-01-01 2023-12-31 02352523 f:RestEuropeOutsideUK 2022-01-01 2022-12-31 02352523 f:RestWorldOutsideUK 2023-01-01 2023-12-31 02352523 f:RestWorldOutsideUK 2022-01-01 2022-12-31 02352523 e:UKTax 2023-01-01 2023-12-31 02352523 e:UKTax 2022-01-01 2022-12-31 02352523 e:ShareCapital 2023-12-31 02352523 e:ShareCapital 2022-12-31 02352523 e:ShareCapital 2022-01-01 02352523 e:RetainedEarningsAccumulatedLosses 2023-01-01 2023-12-31 02352523 e:RetainedEarningsAccumulatedLosses 2023-12-31 02352523 e:RetainedEarningsAccumulatedLosses 2022-01-01 2022-12-31 02352523 e:RetainedEarningsAccumulatedLosses 2022-12-31 02352523 e:RetainedEarningsAccumulatedLosses 2022-01-01 02352523 e:FinancialAssetsDesignatedFairValueThroughProfitOrLoss 2023-12-31 02352523 e:FinancialAssetsDesignatedFairValueThroughProfitOrLoss 2022-12-31 02352523 e:FinancialAssetsAmortisedCost 2023-12-31 02352523 e:FinancialAssetsAmortisedCost 2022-12-31 02352523 e:FinancialLiabilitiesAmortisedCost 2023-12-31 02352523 e:FinancialLiabilitiesAmortisedCost 2022-12-31 02352523 d:OrdinaryShareClass1 2023-01-01 2023-12-31 02352523 d:OrdinaryShareClass1 2023-12-31 02352523 d:OrdinaryShareClass1 2022-12-31 02352523 d:FRS102 2023-01-01 2023-12-31 02352523 d:Audited 2023-01-01 2023-12-31 02352523 d:FullAccounts 2023-01-01 2023-12-31 02352523 d:PrivateLimitedCompanyLtd 2023-01-01 2023-12-31 02352523 e:Buildings e:PriorPeriodIncreaseDecrease 2023-01-01 2023-12-31 02352523 e:PlantMachinery e:PriorPeriodIncreaseDecrease 2023-01-01 2023-12-31 02352523 e:MotorVehicles e:PriorPeriodIncreaseDecrease 2023-01-01 2023-12-31 02352523 e:FurnitureFittings e:PriorPeriodIncreaseDecrease 2023-01-01 2023-12-31 02352523 e:BetweenOneFiveYears 2023-12-31 02352523 e:BetweenOneFiveYears 2022-12-31 02352523 e:AcceleratedTaxDepreciationDeferredTax 2023-12-31 02352523 e:AcceleratedTaxDepreciationDeferredTax 2022-12-31 02352523 e:TaxLossesCarry-forwardsDeferredTax 2023-12-31 02352523 e:TaxLossesCarry-forwardsDeferredTax 2022-12-31 02352523 e:PatentsTrademarksLicencesConcessionsSimilar e:ExternallyAcquiredIntangibleAssets 2023-01-01 2023-12-31 02352523 e:PatentsTrademarksLicencesConcessionsSimilar e:OwnedIntangibleAssets 2023-01-01 2023-12-31 02352523 g:PoundSterling 2023-01-01 2023-12-31 02352523 e:PriorPeriodErrorIncreaseDecrease 2023-01-01 2023-12-31 xbrli:shares iso4217:GBP xbrli:pure










GEORGE UTZ LIMITED









ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2023

 
GEORGE UTZ LIMITED
 
 
COMPANY INFORMATION


DIRECTORS
Axel Ritzberger 
Bruno Bucher 




COMPANY SECRETARY
Barbara Kapoor



REGISTERED NUMBER
02352523



REGISTERED OFFICE
Grange Close
Clover Nook Industrial Estate

Alfreton

Derbyshire

DE55 4QT




INDEPENDENT AUDITORS
Barnett & Turner Accountants Limited
Chartered Accountants & Statutory Auditor

Cromwell House

68 West Gate

Mansfield

Nottinghamshire

NG18 1RR




BANKERS
NatWest Bank plc
1 Chesterfield Road

Alfreton

Derbyshire

DE55 7ZR





 
GEORGE UTZ LIMITED
 

CONTENTS



Page
Strategic report
1 - 2
Directors' report
3 - 4
Independent auditors' report
5 - 8
Statement of comprehensive income
9
Balance sheet
10
Statement of changes in equity
11
Statement of cash flows
12
Notes to the financial statements
13 - 26


 
GEORGE UTZ LIMITED
 
 
STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023

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

INTRODUCTION
 
The objectives of the company are the production and sale of standard and bespoke plastic storage solutions.  These products are known as returnable transport packaging materials which are produced from injection moulding and vacuum forming technologies.

BUSINESS REVIEW
 
Against the backdrop of global geopolitical uncertainy and supply chain challenges, the company has continued operations uninterrupted to build and maintain strong relationships with customers across a broad range of operating markets including, but not limited to, storage automation, grocery, food processing, logistics and distribution sectors.
PRINCIPAL RISKS AND UNCERTAINTIES
A continuous review of business risks and uncertainties is carried out by management throughout the year.  The main risks to the business today are related to the impact of the macroeconomic environment and interruptions to the supply chain from international conflicts which could create limitations around the supply of raw materials  and cost of raw materials resulting from inflation and exchange rate fluctuations. 
The company trades directly with customers and suppliers primarily in the UK, Ireland and Europe.  Typically, the vast majority of customers are directly or indirectly involved in consumer facing business supply.  As such, these markets are affected by both interest rates and inflation which can and has, during the last year, significantly altered the business landscape.  This has resulted in risks and uncertainties around the delivery and execution of project sales at an unprecedented level, greater than that seen during the COVID pandemic, as all primary markets served have been impacted by the macroeconomic environment.
In the directors' opinion, the decline in sales is not unexpected. There is still a great deal of pent-up demand for automation, particularly in customer segments in UK and Nordic markets.  These projects are still expected to be realised but with a delay of one to two years. The company has already experienced a significant increase in project enquiries at the beginning of 2024.
George Utz Limited has taken the appropriate steps to address the current challenges. The support of the Utz Group is assured and trade relations with customers and suppliers are continuing in the normal way without any material impact.

FINANCIAL KEY PERFORMANCE INDICATORS
 
The performance of the company is summarised below:
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Page 1

 
GEORGE UTZ LIMITED
 

STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023


This report was approved by the board on 4 March 2024 and signed on its behalf.



Bruno Bucher
Director

Axel Ritzberger
Director

Page 2

 
GEORGE UTZ 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 loss for the year, after taxation, amounted to £1,439,000 (2022 - profit of £2,369,000).

The directors do not recommend the payment of a dividend.

DIRECTORS

The directors who served during the year were:

Axel Ritzberger 
Bruno Bucher 

FUTURE DEVELOPMENTS

To maintain future growth capability, the company is continuing to invest in the UK manufacturing business by upgrading and expanding the manufacturing capabilities, enhanced automation, updated site IT infrastructure, and continued reorganisation of manufacturing layout, to enhance production efficiency, enable additional automated procedures to be employed and to enable maximum output from the existing site to benefit from the current growth being seen in key markets such as e-commerce warehouse automation.  The company is well prepared for the future, with a strengthening orderbook for 2024.  Further production upgrades are planned and budgeted for installation in 2024 to maintain planned strategic growth and productivity.

The business will continue to offer a wider range of UK-produced products from small plastic containers and totes up to larger plastic parts and pallets for the modern supply chain.  Additionally, the company will continue to offer larger returnable transport packaging items from other group companies.  These are a mix of small,
Page 3

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

medium and large scale systems integration projects which can be realised during the coming year and extending into future years as some of the large warehouse infrastructure projects begin to be realised in the UK and Northern Europe.
 
Larger customer-specific projects, with longer time to market, are returning with execution anticipated during the second half of 2024 onwards, with full return of the largest opportunities further out into 2024 and 2025, which are already being acted on today.

This pipeline continues to be impacted by rising energy costs and general inflation.  This inflationary impact is expected to reduce during 2024, with more favourable electricity supplies available and a return to lower, more stable, raw material costs.  The company will expand sales activities both geographically and into the plastic pallet and pharma markets in coming years to expand the customer base and product mix further, in line with group strategy.
The company has invested in additional personnel in key areas and continues its ongoing commitment to have over 10% of the workforce as apprentices or in training to support the future growth strategy and development.

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 auditorsBarnett & Turner Accountants Limitedwill be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

This report was approved by the board on 4 March 2024 and signed on its behalf.
 





Bruno Bucher
Director
Axel Ritzberger
Director

Page 4

 
GEORGE UTZ LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF GEORGE UTZ LIMITED
 

OPINION


We have audited the financial statements of George Utz 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, the statement of cash flows 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 loss for the year then ended;
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
have been prepared in accordance with the requirements of the Companies Act 2006.


BASIS FOR OPINION


We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the 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.


Page 5

 
GEORGE UTZ LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF GEORGE UTZ LIMITED (CONTINUED)


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.


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 3, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.


In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.


Page 6

 
GEORGE UTZ LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF GEORGE UTZ 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:

As part of our planning process:

We enquired of management regarding the systems and controls the company has in place, the areas of the financial statements that are mostly susceptible to the risk of irregularities and fraud, and whether there was any known, suspected or alleged fraud.  The company did not inform us of any known, suspected or alleged fraud.

We obtained an understanding of the legal and regulatory frameworks applicable to the company. We determined that the following were most relevant: FRS 102, Companies Act 2006 and current tax legislation. 

We considered the incentives and opportunities that exist in the company, including the extent of management bias, which present a potential for irregularities and fraud to be perpetuated, and tailored our risk assessment accordingly.

Using our knowledge of the company, together with the discussions held with the company at the planning stage, we formed a conclusion on the risk of misstatement due to irregularities including fraud and tailored our procedures according to this risk assessment.

The key procedures we undertook to detect irregularities including fraud during the course of the audit included:

Identifying and testing journal entries and the overall accounting records, in particular those that were significant and unusual.

Reviewing the financial statement disclosures and determining whether accounting policies have been appropriately applied.

Reviewing and challenging the assumptions and judgements used by management in their significant accounting estimates, in particular in relation to the valuation of stock.

Testing key revenue lines, in particular cut-off, for evidence of management bias.

Performing a physical verification of key assets and stock items (including testing of the stock system).

Obtaining third-party confirmation of material bank and loan balances.

Documenting and verifying all significant related party balances and transactions.

 
Page 7

 
GEORGE UTZ LIMITED
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF GEORGE UTZ LIMITED (CONTINUED)


Reviewing documentation such as the company board minutes, correspondence with solicitors, for discussions of irregularities including fraud.

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements even though we have properly planned and performed our audit in accordance with auditing standards. The primary responsibility for the prevention and detection of irregularities and fraud rests with the directors.

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.





Jonathan Wilson FCA CTA (senior statutory auditor)
  
for and on behalf of
Barnett & Turner Accountants Limited
 
Chartered Accountants
Statutory Auditor
  
Cromwell House
68 West Gate
Mansfield
Nottinghamshire
NG18 1RR

4 March 2024
Page 8

 
GEORGE UTZ LIMITED
 
 
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2023

2023
2022
Note
£000
£000

  

Turnover
 4 
18,989
36,097

Cost of sales
  
(11,979)
(23,109)

Gross profit
  
7,010
12,988

Administrative expenses
  
(8,735)
(9,824)

Other operating income
 5 
41
23

Operating (loss)/profit
 6 
(1,684)
3,187

Interest receivable and similar income
 9 
36
3

Interest payable and similar expenses
 10 
(260)
(85)

(Loss)/profit before tax
  
(1,908)
3,105

Tax on (loss)/profit
 11 
469
(736)

(Loss)/profit for the financial year
  
(1,439)
2,369

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 13 to 26 form part of these financial statements.

Page 9

 
GEORGE UTZ LIMITED
REGISTERED NUMBER: 02352523

BALANCE SHEET
AS AT 31 DECEMBER 2023

2023
2023
2022
2022
Note
£000
£000
£000
£000

Fixed assets
  

Intangible assets
 12 
32
49

Tangible assets
 13 
10,981
10,212

  
11,013
10,261

Current assets
  

Stocks
 14 
3,392
3,530

Debtors: amounts falling due within one year
 15 
2,038
4,035

Cash at bank and in hand
 16 
3,047
4,770

  
8,477
12,335

Creditors: amounts falling due within one year
 17 
(3,262)
(5,446)

Net current assets
  
 
 
5,215
 
 
6,889

Total assets less current liabilities
  
16,228
17,150

Creditors: amounts falling due after more than one year
 18 
(3,725)
(2,610)

Provisions for liabilities
  

Deferred tax
 21 
(794)
(1,392)

Net assets
  
11,709
13,148


Capital and reserves
  

Called up share capital 
 23 
4,800
4,800

Profit and loss account
 22 
6,909
8,348

  
11,709
13,148


The financial statements were approved and authorised for issue by the board and were signed on its behalf on 4 March 2024.




Bruno Bucher
Axel Ritzberger
Director
Director


The notes on pages 13 to 26 form part of these financial statements.

Page 10

 
GEORGE UTZ LIMITED
 

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


Called up share capital
Profit and loss account
Total equity

£000
£000
£000


At 1 January 2022
4,800
5,979
10,779



Profit for the year
-
2,369
2,369



At 1 January 2023
4,800
8,348
13,148



Loss for the year
-
(1,439)
(1,439)


At 31 December 2023
4,800
6,909
11,709


The notes on pages 13 to 26 form part of these financial statements.

Page 11

 
GEORGE UTZ LIMITED
 

STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2023

2023
2022
£000
£000

Cash flows from operating activities

Operating (loss)/profit
(1,684)
3,187

Adjustments for:

Amortisation of intangible assets
28
29

Depreciation of tangible assets
1,439
1,196

Loss on disposal of tangible assets
(45)
(12)

Decrease in stocks
138
373

Decrease in debtors
1,872
1,336

(Increase)/decrease in amounts owed by groups
(3)
2

(Decrease) in creditors
(1,051)
(2,353)

(Decrease) in amounts owed to groups
(20)
(425)

Corporation tax received/(paid)
-
(39)

Net cash generated from operating activities

674
3,294


Cash flows from investing activities

Purchase of intangible fixed assets
(10)
(1)

Purchase of tangible fixed assets
(2,213)
(3,084)

Sale of tangible fixed assets
50
21

Interest received
36
3

Net cash from investing activities

(2,137)
(3,061)

Cash flows from financing activities

Interest paid
(260)
(85)

Net cash used in financing activities
(260)
(85)

Net (decrease)/increase in cash and cash equivalents
(1,723)
148

Cash and cash equivalents at beginning of year
4,770
4,622

Cash and cash equivalents at the end of year
3,047
4,770


Cash and cash equivalents at the end of year comprise:

Cash at bank and in hand
3,047
4,770


The notes on pages 13 to 26 form part of these financial statements.

Page 12

 
GEORGE UTZ LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

1.


GENERAL INFORMATION

George Utz Limited is a private limited company incorporated and domiciled in England.  Its registered office and princpal place of business is situated at Grange Close, Clover Nook Industrial Estate, Alfreton, Derbyshire DE55 4QT.
The principal activity of the company is the provision of plastic storage solutions.

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

GOING CONCERN

The directors are aware that the company continues to be affected by cost of living issues, the ongoing impact of Brexit and the wider geopolitical environment, both in the UK and overseas markets. 
Budgets and forecasts suggest positive results and cash flows are achievable in the coming year. On the basis of their assessment of the company's financial position, the directors have a reasonable expectation that the company will be able to continue in operational existence for the foreseeable future.  Thus they continue to adopt the going concern basis of preparation of the financial statements. 

 
2.3

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.

Page 13

 
GEORGE UTZ LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.ACCOUNTING POLICIES (CONTINUED)

 
2.4

INTANGIBLE ASSETS

Intangible assets are initially recognised at cost. After recognition, under the cost model, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

All intangible assets are considered to have a finite useful life. If a reliable estimate of the useful life cannot be made, the useful life shall not exceed ten years.

 The estimated useful lives range as follows:

Software
-
4
years

 
2.5

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.

Land is not depreciated. Depreciation on other assets 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:

Buildings
-
4%
straight line
Plant and machinery
-
10%
straight line or over fixed project life
Motor vehicles
-
25%
straight line
Fixtures and fittings
-
10%
and 25% straight line

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.

 
2.6

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 of finished goods is based on the cost of purchase or manufacture on a first in, first out basis, and includes labour and attributable overheads.. Raw materials are valued on a weighted average basis.

At each balance sheet 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.

 
2.7

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.

Page 14

 
GEORGE UTZ LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.ACCOUNTING POLICIES (CONTINUED)


2.7
FINANCIAL INSTRUMENTS (continued)

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 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.

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
Page 15

 
GEORGE UTZ LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.ACCOUNTING POLICIES (CONTINUED)


2.7
FINANCIAL INSTRUMENTS (continued)

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.

 
2.8

FOREIGN CURRENCY TRANSLATION

Functional and presentation currency

The company's functional and presentational currency is GBP.

Transactions and balances

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

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

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

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

 
2.9

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 balance sheet. The assets of the plan are held separately from the company in independently administered funds.

Page 16

 
GEORGE UTZ LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.ACCOUNTING POLICIES (CONTINUED)

 
2.10

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 balance sheet 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 balance sheet 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 balance sheet date.


3.



JUDGMENTS IN APPLYING ACCOUNTING POLICIES AND KEY SOURCES OF ESTIMATION UNCERTAINTY

Preparation of the financial statements requires management to make significant judgements and estimates.  The items in the financial statements where these judgements and estimates have been made include:
Depreciation of tangible fixed assets
Determining the appropriate rate of depreciation of tangible fixed assets requires an estimation of the useful economic life and ultimate net realisable value.  The useful economic life is determined to be the period during which each asset will generate positive cash flows for the company.
Stock valuation
Stock is valued at the lower of cost and net realisable value.  The nature and pattern of usage of raw materials stock is such that the most appropriate valuation method is average cost.  The average cost has been calculated over the period of use of each particular raw material.
Provision is made to reduce the value of stock for slow moving and obsolete stock.  Stock is deemed to be slow moving after a period of 180 days.  The rate of provision increases with time, with full provision being made after a period of two years.    

Page 17

 
GEORGE UTZ LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

4.


TURNOVER

Analysis of turnover by country of destination:

2023
2022
£000
£000

United Kingdom
11,737
17,763

Rest of Europe
4,128
14,150

Rest of the world
3,124
4,184

18,989
36,097



5.


OTHER OPERATING INCOME

2023
2022
£000
£000

Other operating income
41
23



6.


OPERATING (LOSS)/PROFIT

The operating profit is stated after charging/(crediting):

2023
2022
£000
£000

Exchange differences
34
(141)


7.


AUDITORS' REMUNERATION

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


2023
2022
£000
£000



Fees payable to the company's auditors for the audit of the company's financial statements
16
16

Fees payable to the company's auditors in respect of all other services
4
4

20
20

Page 18

 
GEORGE UTZ LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

8.


EMPLOYEES

Staff costs were as follows:


2023
2022
£000
£000

Wages and salaries
4,323
3,698

Cost of defined contribution scheme
268
199

4,591
3,897


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


        2023
        2022
            No.
            No.







Production and warehouse
81
72



Sales
15
10



Administration
5
8

101
90


9.


INTEREST RECEIVABLE

2023
2022
£000
£000


Other interest receivable
36
3


10.


INTEREST PAYABLE AND SIMILAR EXPENSES

2023
2022
£000
£000


Loans from group undertakings
260
85

Page 19

 
GEORGE UTZ LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

11.


TAXATION


2023
2022
£000
£000



Adjustments in respect of previous periods
130
(130)


Deferred tax


Origination and reversal of timing differences
(599)
866


Taxation on (loss)/profit on ordinary activities
(469)
736

FACTORS AFFECTING TAX CHARGE FOR THE YEAR

The tax assessed for the year is lower than (2022 - higher than) the standard rate of corporation tax in the UK of 23.5% (2022 - 19%). The differences are explained below:

2023
2022
£000
£000


(Loss)/profit on ordinary activities before tax
(1,908)
3,105


(Loss)/profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 23.5% (2022 - 19%)
(448)
590

Effects of:


Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
1
5

Capital allowances for year in excess of depreciation
30
(883)

Utilisation of tax losses
-
130

Adjustments to tax charge in respect of prior periods
130
(130)

Book profit on chargeable assets
29
1,061

Unrelieved tax losses carried forward
(211)
(37)

Total tax charge for the year
(469)
736


FACTORS THAT MAY AFFECT FUTURE TAX CHARGES

There were no factors that may affect future tax charges.

Page 20

 
GEORGE UTZ LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

12.


INTANGIBLE ASSETS




Software

£000



Cost


At 1 January 2023
137


Additions
10



At 31 December 2023

147



Amortisation


At 1 January 2023
87


Charge for the year on owned assets
28



At 31 December 2023

115



Net book value



At 31 December 2023
32



At 31 December 2022
49



Page 21

 
GEORGE UTZ LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

13.


TANGIBLE FIXED ASSETS





Freehold property
Plant and machinery
Motor vehicles
Fixtures and fittings
Total

£000
£000
£000
£000
£000



Cost or valuation


At 1 January 2023
4,439
15,510
270
1,300
21,519


Additions
178
1,939
-
95
2,212


Disposals
-
(197)
(47)
-
(244)



At 31 December 2023

4,617
17,252
223
1,395
23,487



Depreciation


At 1 January 2023
2,149
7,853
114
1,190
11,306


Charge for the year on owned assets
170
1,141
61
67
1,439


Disposals
-
(193)
(46)
-
(239)



At 31 December 2023

2,319
8,801
129
1,257
12,506



Net book value



At 31 December 2023
2,298
8,451
94
138
10,981



At 31 December 2022
2,289
7,657
156
110
10,212


14.


STOCKS

2023
2022
£000
£000

Raw materials and consumables
1,496
2,280

Finished goods and goods for resale
1,896
1,250

3,392
3,530


Page 22

 
GEORGE UTZ LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

15.


DEBTORS

2023
2022
£000
£000


Trade debtors
1,364
3,710

Amounts owed by group undertakings
3
-

Other debtors
412
161

Prepayments and accrued income
259
164

2,038
4,035



16.


CASH AND CASH EQUIVALENTS

2023
2022
£000
£000

Cash at bank and in hand
3,047
4,770



17.


CREDITORS: Amounts falling due within one year

2023
2022
£000
£000

Payments received on account
320
24

Trade creditors
1,127
2,014

Amounts owed to group undertakings
1,208
2,342

Other taxation and social security
111
90

Other creditors
159
192

Accruals and deferred income
337
784

3,262
5,446



18.


CREDITORS: Amounts falling due after more than one year

2023
2022
£000
£000

Amounts owed to group undertakings
3,725
2,610


Page 23

 
GEORGE UTZ LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

19.


LOANS

Analysis of the maturity of loans is given below:


2023
2022
£000
£000



Amounts falling due within one year
777
1,926

Amounts falling due in 1-2 years
2,325
461

Amounts falling due in 2-5 years
1,050
2,050

Amounts falling due after more than 5 years
350
100

4,502
4,537


20.


FINANCIAL INSTRUMENTS

2023
2022
£000
£000

Financial assets


Financial assets measured at fair value through profit or loss
3,047
4,770

Financial assets that are debt instruments measured at amortised cost
1,367
3,712

4,414
8,482


Financial liabilities


Financial liabilities measured at amortised cost
6,876
7,942


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


Financial assets that are debt instruments measured at amortised cost comprise trade and other debtors.


Financial liabilities measured at amortised cost comprise trade and other creditors, accruals and amounts owed to group undertakings.

Page 24

 
GEORGE UTZ LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

21.


DEFERRED TAXATION




2023


£000






At beginning of year
(1,392)


Charged/(credited) to the profit or loss
598



At end of year
(794)

The provision for deferred taxation is made up as follows:

2023
2022
£000
£000


Accelerated capital allowances
1,617
1,588

Tax losses carried forward
(823)
(196)

794
1,392


22.


RESERVES

Profit and loss account

Total comprehensive income for the year, after dividends, is retained and carried forward in the profit and loss account.


23.


SHARE CAPITAL

2023
2022
£000
£000
Allotted, called up and fully paid



48,000 (2022 - 48,000) Ordinary shares of £100.00 each
4,800
4,800



24.


CAPITAL COMMITMENTS


At 31 December 2023 the company had capital commitments as follows:

2023
2022
£000
£000


Contracted for but not provided in these financial statements
43
291

Page 25

 
GEORGE UTZ LIMITED
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023


25.


PENSION COMMITMENTS

The company operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the company in an independently administered fund. The pension cost charge represents contributions payable by the company to the fund and amounted to £268,000 (2022 - £199,000).  £29,000 (2022 - £25,000) was outstanding at the balance sheet date.


26.


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
£000
£000


Later than 1 year and not later than 5 years
83
36


27.


RELATED PARTY TRANSACTIONS

The following transactions took place between the company and its fellow group members during the year:


Sales
Debtor at balance sheet date
Purchases
Creditor at balance sheet date
£000
£000
£000
£000

2023
Transactions with parent
24
3
959
210
Transactions with fellow subsidiaries
163
-
1,242
221

-
-
-
-
2022
Transactions with parent
-
-
1,234
200
Transactions with fellow subsidiaries
116
-
1,603
216

At the balance sheet date there were outstanding loans due to the parent company amounting to £4,502,000 (2022 - £4,537,000).  Interest is charged at a normal commercial rate.
Key management personnel remuneration during the year amounted to £520,000 (2022 - £370,000).


28.


CONTROLLING PARTY

The company is a wholly owned subsidiary of Georg Utz Holding AG, a company incorporated in Switzerland.

 
Page 26