Company registration number 10880627 (England and Wales)
ULTIMA DISPLAYS HOLDINGS LIMITED
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
ULTIMA DISPLAYS HOLDINGS LIMITED
COMPANY INFORMATION
Directors
T Perutz
M Faulkner
S Khawaia
(Appointed 1 June 2023)
Secretary
S Khawaia
Company number
10880627
Registered office
49-50 Causeway Road
Earlstrees Industrial Estate
Corby
NN17 4DU
Auditor
Mercer & Hole LLP
The Pinnacle
170 Midsummer Boulevard
Milton Keynes
Buckinghamshire
MK9 1BP
ULTIMA DISPLAYS HOLDINGS LIMITED
CONTENTS
Page
Strategic report
1
Directors' report
2
Directors' responsibilities statement
3
Independent auditor's report
4 - 6
Profit and loss account
7
Statement of comprehensive income
8
Balance sheet
9
Statement of changes in equity
10
Notes to the financial statements
11 - 22
ULTIMA DISPLAYS HOLDINGS LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023
- 1 -
The directors present the strategic report for the year ended 31 December 2023.
Introduction
The principal activity of the group continues to be the manufacture and sale of portable display equipment and graphics in the UK and Europe.
Business review
The principal activity of the company is that of a holding company. The profit for the year after taxation amounted to £167,202 (2022: £5,551).
The full reporting period saw a slowdown on the prior year. Quarter 1 2023 remained strong in line with 2022 and saw revenue growth of 11%, however remaining quarters showed a slowdown to ultimately end full year revenue 4% behind 2022.
Similarly Quarter 1 remained impacted with high levels of volatility in commodity costs, shipping rates, currency exchange rates and these slowly levelled off during the remaining of 2023. Labour cost inflation however, remained high throughout 2023. Historical seasonal trading patterns did not return during 2023 and the trading environment remained challenging. The company has carefully navigated these challenges through close monitoring of market activity and a quick response with mitigating actions. With the Chinese covid restrictions lifting a little later than the rest of the world, long term strategic supplier relationships served to protect product supply and high rates of availability throughout the period. For the market as a whole general supply of product also improved in 2023 over 2022 putting more competitive pressure on pricing.
The Ultima Group company had transitioned to a European organisation with Europe-wide functional leads in 2021 and further embedded improvement process throughout the group during 2022 and 2023.
At the end of the period, the company is well placed to grow its market share and strengthen its presence. Key staff have been retained at the same time as the recruitment of new talent to help build a highly capable senior leadership team.
Principal risks and uncertainties
The company's principal financial instruments comprise various assets and liabilities. The existence of these instruments exposes the company to financial risk, the main one as a holding company is the underperformance of investments and their ability to pay a dividend.
Key performance indicators
The key performance indicator is growth in post-tax profits. The profit for the year after taxation amounted to £167,202 (2022: £5,551). Note that no dividends were paid by subsidiary companies during 2023 as the directors push local investment into strengthening local market share and enhancing local presence.
S Khawaia
Director
8 July 2024
ULTIMA DISPLAYS HOLDINGS LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023
- 2 -
The directors present their annual report and financial statements for the year ended 31 December 2023.
Results and dividends
The results for the year are set out on page 7.
No ordinary dividends were paid. The directors do not recommend payment of a final dividend.
Directors
The directors who held office during the year and up to the date of signature of the financial statements were as follows:
T Perutz
M Faulkner
S Khawaia
(Appointed 1 June 2023)
Auditor
The auditor, Mercer & Hole LLP, is deemed to be reappointed under section 487(2) of the Companies Act 2006.
Statement of disclosure to auditor
So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the company’s auditor is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the company’s auditor is aware of that information.
Medium-sized companies exemption
This report has been prepared in accordance with the provisions applicable to companies entitled to the medium-sized companies exemption.
On behalf of the board
S Khawaia
Director
8 July 2024
ULTIMA DISPLAYS HOLDINGS LIMITED
DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2023
- 3 -
The directors are responsible for preparing the annual report and the financial statements in accordance with applicable law and regulations.
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:
select suitable accounting policies and then apply them consistently;
make judgements and accounting estimates that are reasonable and prudent;
prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company’s transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.
ULTIMA DISPLAYS HOLDINGS LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF ULTIMA DISPLAYS HOLDINGS LIMITED
- 4 -
Opinion
We have audited the financial statements of Ultima Displays Holdings Limited (the 'company') for the year ended 31 December 2023 which comprise the profit and loss account, the statement of comprehensive income, the balance sheet, the statement of changes in equity and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice).
In our opinion the financial statements:
give a true and fair view of the state of the company's affairs as at 31 December 2023 and of its profit for the year then ended;
have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
have been prepared in accordance with the requirements of the Companies Act 2006.
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.
The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The directors are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.
We have nothing to report in this regard.
Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of our audit:
the information given in the strategic report and the directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the strategic report and the directors' report have been prepared in accordance with applicable legal requirements.
ULTIMA DISPLAYS HOLDINGS LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF ULTIMA DISPLAYS HOLDINGS LIMITED
- 5 -
Matters on which we are required to report by exception
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the strategic report or the directors' report.
We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:
adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
the financial statements are not in agreement with the accounting records and returns; or
certain disclosures of remuneration specified by law are not made; or
we have not received all the information and explanations we require for our audit.
Responsibilities of directors
As explained more fully in the directors' responsibilities statement, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.
Auditor's responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.
Explanation as to what extent the audit was considered capable of detecting irregularities, including fraud
We gained an understanding of the legal and regulatory framework applicable to the company and the industry in which it operates and considered the risk of acts by the company that were contrary to applicable laws and regulations, including fraud. These included, but were not limited to, the Companies Act 2006 and tax legislation.
We evaluated management's incentives and opportunities for fraudulent manipulation of the financial statements and the financial report (including the risk of override of controls), and determined that the principal risks were related to posting inappropriate entries including journals to overstate revenue or understate expenditure and management bias in accounting estimates.
Audit procedures performed by the engagement team included:
discussions with management, including considerations of known or suspected instances of non- compliance with laws and regulations and fraud;
gaining an understanding of management's controls designed to prevent and detect irregularities; and
identifying and testing journal entries.
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. For example, the further removed non-compliance with laws and regulations (irregularities) is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. In addition, as with any audit, there remained 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 non- compliance and cannot be expected to detect non-compliance with all laws and regulations.
ULTIMA DISPLAYS HOLDINGS LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF ULTIMA DISPLAYS HOLDINGS LIMITED
- 6 -
A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.
Steve Robinson FCA
Senior Statutory Auditor
For and on behalf of Mercer & Hole LLP
8 July 2024
Chartered Accountants
Statutory Auditor
The Pinnacle
170 Midsummer Boulevard
Milton Keynes
Buckinghamshire
MK9 1BP
ULTIMA DISPLAYS HOLDINGS LIMITED
PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31 DECEMBER 2023
- 7 -
2023
2022
Notes
£
£
Turnover
-
-
Other operating income
3,052,878
2,382,345
Staff costs
3
(2,070,955)
(2,018,618)
Depreciation and other amounts written off tangible and intangible fixed assets
(83,992)
(7,471)
Other operating expenses
(677,711)
(369,049)
Operating profit/(loss)
220,220
(12,793)
Interest receivable and similar income
5
93,525
132,931
Interest payable and similar expenses
6
(97,336)
(107,460)
Profit before taxation
216,409
12,678
Tax on profit
7
(49,207)
(7,127)
Profit for the financial year
167,202
5,551
The profit and loss account has been prepared on the basis that all operations are continuing operations.
ULTIMA DISPLAYS HOLDINGS LIMITED
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2023
- 8 -
2023
2022
£
£
Profit for the year
167,202
5,551
Other comprehensive income
-
-
Total comprehensive income for the year
167,202
5,551
ULTIMA DISPLAYS HOLDINGS LIMITED
BALANCE SHEET
AS AT
31 DECEMBER 2023
31 December 2023
- 9 -
2023
2022
Notes
£
£
£
£
Fixed assets
Intangible assets
8
290,607
101,141
Tangible assets
9
9,926
10,514
Investments
10
675,985
675,985
976,518
787,640
Current assets
Debtors
13
1,161,947
1,919,075
Cash at bank and in hand
62,488
244,393
1,224,435
2,163,468
Creditors: amounts falling due within one year
14
(1,745,091)
(2,706,216)
Net current liabilities
(520,656)
(542,748)
Total assets less current liabilities
455,862
244,892
Provisions for liabilities
Deferred tax liability
15
43,768
(43,768)
-
Net assets
412,094
244,892
Capital and reserves
Called up share capital
17
1,000
1,000
Share premium account
49,800
49,800
Profit and loss reserves
361,294
194,092
Total equity
412,094
244,892
These financial statements have been prepared in accordance with the provisions relating to medium-sized companies.
The financial statements were approved by the board of directors and authorised for issue on 8 July 2024 and are signed on its behalf by:
M Faulkner
Director
Company registration number 10880627 (England and Wales)
ULTIMA DISPLAYS HOLDINGS LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023
- 10 -
Share capital
Share premium account
Profit and loss reserves
Total
Notes
£
£
£
£
Balance at 1 January 2022
100
188,541
188,641
Year ended 31 December 2022:
Profit and total comprehensive income
-
-
5,551
5,551
Issue of share capital
17
900
49,800
-
50,700
Balance at 31 December 2022
1,000
49,800
194,092
244,892
Year ended 31 December 2023:
Profit and total comprehensive income
-
-
167,202
167,202
Balance at 31 December 2023
1,000
49,800
361,294
412,094
ULTIMA DISPLAYS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
- 11 -
1
Accounting policies
Company information
Ultima Displays Holdings Limited is a private company limited by shares incorporated in England and Wales. The registered office is 49-50 Causeway Road, Earlstrees Industrial Estate, Corby, NN17 4DU.
1.1
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.
The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.
This company is a qualifying entity for the purposes of FRS 102, being a member of a group where the parent of that group prepares publicly available consolidated financial statements, including this company, which are intended to give a true and fair view of the assets, liabilities, financial position and profit or loss of the group. The company has therefore taken advantage of exemptions from the following disclosure requirements:
Section 7 ‘Statement of Cash Flows’: Presentation of a statement of cash flow and related notes and disclosures;
Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instrument Issues’: Interest income/expense and net gains/losses for each category of financial instrument; basis of determining fair values; details of collateral, loan defaults or breaches, details of hedges, hedging fair value changes recognised in profit or loss and in other comprehensive income;
Section 33 ‘Related Party Disclosures’: Compensation for key management personnel.
The financial statements of the company are consolidated in the financial statements of P3 Group Europe Limited. These consolidated financial statements are available from Companies House.
1.2
Going concern
Atruet the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.
1.3
Intangible fixed assets other than goodwill
Intangible assets acquired separately from a business are recognised at cost and are subsequently measured at cost less accumulated amortisation and accumulated impairment losses.
Intangible assets acquired on business combinations are recognised separately from goodwill at the acquisition date where it is probable that the expected future economic benefits that are attributable to the asset will flow to the entity and the fair value of the asset can be measured reliably; the intangible asset arises from contractual or other legal rights; and the intangible asset is separable from the entity.
Amortisation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Software
3 years straight line
1.4
Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
ULTIMA DISPLAYS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 12 -
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Fixtures and fittings
3 years
Computers
3 years
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.
1.5
Fixed asset investments
Interests in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses. The investments are assessed for impairment at each reporting date and any impairment losses or reversals of impairment losses are recognised immediately in profit or loss.
A subsidiary is an entity controlled by the company. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.
An associate is an entity, being neither a subsidiary nor a joint venture, in which the company holds a long-term interest and where the company has significant influence. The company considers that it has significant influence where it has the power to participate in the financial and operating decisions of the associate.
Entities in which the company has a long term interest and shares control under a contractual arrangement are classified as jointly controlled entities.
1.6
Impairment of fixed assets
At each reporting period end date, the company reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.
Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.
If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.
Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.
ULTIMA DISPLAYS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 13 -
1.7
Cash and cash equivalents
Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
1.8
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Other financial assets
Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.
Impairment of financial assets
Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.
Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.
If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.
Derecognition of financial assets
Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.
ULTIMA DISPLAYS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 14 -
Classification of financial liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.
Basic financial liabilities
Basic financial liabilities, including creditors and loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
Other financial liabilities
Derivatives, including interest rate swaps and forward foreign exchange contracts, are not basic financial instruments. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss in finance costs or finance income as appropriate, unless hedge accounting is applied and the hedge is a cash flow hedge.
Debt instruments that do not meet the conditions in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. Debt instruments may be designated as being measured at fair value through profit or loss to eliminate or reduce an accounting mismatch or if the instruments are measured and their performance evaluated on a fair value basis in accordance with a documented risk management or investment strategy.
Derecognition of financial liabilities
Financial liabilities are derecognised when the company’s contractual obligations expire or are discharged or cancelled.
1.9
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
1.10
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
ULTIMA DISPLAYS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 15 -
Deferred tax
Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.
The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.
1.11
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.
The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
1.12
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.13
Foreign exchange
Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.
2
Auditor's remuneration
2023
2022
Fees payable to the company's auditor and associates:
£
£
For audit services
Audit of the financial statements of the company
1,675
1,550
For other services
Taxation compliance services
475
450
ULTIMA DISPLAYS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 16 -
3
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2023
2022
Number
Number
13
7
Their aggregate remuneration comprised:
2023
2022
£
£
Wages and salaries
1,882,658
1,872,365
Social security costs
160,158
131,211
Pension costs
28,139
15,042
2,070,955
2,018,618
4
Directors' remuneration
2023
2022
£
£
Remuneration for qualifying services
568,250
477,176
Remuneration disclosed above include the following amounts paid to the highest paid director:
2023
2022
£
£
Remuneration for qualifying services
370,646
477,176
5
Interest receivable and similar income
2023
2022
£
£
Interest income
Interest receivable from group companies
93,525
132,931
6
Interest payable and similar expenses
2023
2022
£
£
Interest payable to group undertakings
97,336
107,460
ULTIMA DISPLAYS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 17 -
7
Taxation
2023
2022
£
£
Current tax
UK corporation tax on profits for the current period
2,082
8,167
Adjustments in respect of prior periods
(38)
Total current tax
2,044
8,167
Deferred tax
Origination and reversal of timing differences
47,163
(1,040)
Total tax charge
49,207
7,127
The actual charge for the year can be reconciled to the expected charge for the year based on the profit or loss and the standard rate of tax as follows:
2023
2022
£
£
Profit before taxation
216,409
12,678
Expected tax charge based on the standard rate of corporation tax in the UK of 23.52% (2022: 19.00%)
50,899
2,409
Tax effect of expenses that are not deductible in determining taxable profit
17
5,497
Adjustments in respect of prior years
(38)
Deferred tax adjustments in respect of prior years
(3,549)
Marginal relief
(241)
Fixed asset differences
(882)
(529)
Remeasurement of deferred tax for changes in tax rates
3,001
(250)
Taxation charge for the year
49,207
7,127
ULTIMA DISPLAYS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 18 -
8
Intangible fixed assets
Software
£
Cost
At 1 January 2023
106,058
Additions
267,233
At 31 December 2023
373,291
Amortisation and impairment
At 1 January 2023
4,917
Amortisation charged for the year
77,767
At 31 December 2023
82,684
Carrying amount
At 31 December 2023
290,607
At 31 December 2022
101,141
9
Tangible fixed assets
Fixtures and fittings
Computers
Total
£
£
£
Cost
At 1 January 2023
13,977
13,977
Additions
1,998
3,639
5,637
At 31 December 2023
1,998
17,616
19,614
Depreciation and impairment
At 1 January 2023
3,463
3,463
Depreciation charged in the year
555
5,670
6,225
At 31 December 2023
555
9,133
9,688
Carrying amount
At 31 December 2023
1,443
8,483
9,926
At 31 December 2022
10,514
10,514
10
Fixed asset investments
2023
2022
Notes
£
£
Investments in subsidiaries
11
675,985
675,985
ULTIMA DISPLAYS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 19 -
11
Subsidiaries
Details of the company's subsidiaries at 31 December 2023 are as follows:
Name of undertaking
Registered office
Class of
% Held
shares held
Direct
Indirect
Ultima Displays Limited
49-50 Causeway Road, Earlstrees Industrial Estate, Corby, Northamtonshire, NN17 4DU
Ordinary
100.00
-
SAS Ultima Displays France
Greffe du Tribunal de commerce de Nantes, Immeuble Rhuys, 2 bis quai Francois Mitterrand, BP 86209,
Ordinary
60.00
-
Ultima Displays Polska SP z.o.o.
Bedzieszyn 103, 83-000 Bedzieszyn, Poland
Ordinary
100.00
-
Ultima Displays España, S.I.*
Travesía Barca, Nave B-3., Urb. Poligono industrial Alovera.,19208 Campiña, Guadalajara (ES)
Ordinary
-
60.00
*The investment in Ultima Displays Espana, S.l. is held indirectly as this company is a direct subsidiary of SAS Ultima Displays France.
12
Associates
Details of the company's associates at 31 December 2023 are as follows:
Name of undertaking
Registered office
Class of
% Held
shares held
Direct
Ultima Displays Italia S.R.L.
Via Emilia 39, Monselice PD, Italy 35043
Ordinary
30.00
The investment value was impaired to £nil.
13
Debtors
2023
2022
Amounts falling due within one year:
£
£
Amounts owed by group undertakings
1,090,000
1,683,221
Other debtors
17,783
Prepayments and accrued income
54,164
232,459
1,161,947
1,915,680
2023
2022
Amounts falling due after more than one year:
£
£
Deferred tax asset (note 15)
3,395
Total debtors
1,161,947
1,919,075
ULTIMA DISPLAYS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 20 -
14
Creditors: amounts falling due within one year
2023
2022
£
£
Trade creditors
96,837
78,176
Amounts owed to group undertakings
1,143,905
1,759,512
Corporation tax
2,082
10,903
Other taxation and social security
42,270
48,428
Other creditors
127,988
Accruals and deferred income
459,997
681,209
1,745,091
2,706,216
Amounts owed to group undertakings are repayable on demand.
15
Deferred taxation
The following are the major deferred tax liabilities and assets recognised by the company and movements thereon:
Liabilities
Liabilities
Assets
Assets
2023
2022
2023
2022
Balances:
£
£
£
£
Accelerated capital allowances
44,829
-
-
(2,629)
Short term timing differences
(1,061)
-
-
6,024
43,768
-
-
3,395
2023
Movements in the year:
£
Asset at 1 January 2023
(3,395)
Charge to profit or loss
47,163
Liability at 31 December 2023
43,768
16
Retirement benefit schemes
2023
2022
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
28,139
15,042
The company operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the company in an independently administered fund.
ULTIMA DISPLAYS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 21 -
17
Share capital
2023
2022
2023
2022
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary A shares of £1 each
800
800
800
800
Ordinary B shares of £1 each
200
200
200
200
1,000
1,000
1,000
1,000
18
Related party transactions
Transactions with related parties
The company has taken the exemption under FRS 102 from disclosing transactions with wholly owned subsidiaries. Transactions with non-wholly owned subsidiaries and other related parties were as follows:
During the year the company entered into the following transactions with related parties:
Description of transaction
Income
Payments
2023
2022
2023
2022
£
£
£
£
Interest charges due from parent
97,336
Interest recharges to fellow subsidiaries
Management recharge from fellow subsidiaries
215,359
Management recharge to fellow subsidiaries
1,282,583
1,228,145
ULTIMA DISPLAYS HOLDINGS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
18
Related party transactions
(Continued)
- 22 -
Balances with related parties
As at the year end date the company had the following balances with related parties:
Description of balance
Amounts owed by
Amounts owed to
related parties
related parties
2023
2022
2023
2022
£
£
£
£
Amounts due from/(to) fellow subsidiaries
(316,811)
Amounts due from/(to) parent company
(765,500)
(1,759,511)
19
Controlling party
The ultimate controlling party is Mr T Perutz, as a result of his ownership of share in P3 Group Europe Limited.
The smallest and largest group of undertakings for which group accounts have been drawn up is that headed by P3 Group Europe Limited, which are available from the Registrar of Companies House.
The company is exempt from producing consolidated accounts as it is included in the group accounts of P3 Group Europe Limited.
2023-12-312023-01-01falseCCH SoftwareCCH Accounts Production 2024.200No description of principal activityT PerutzM FaulknerS KhawaiaS Khawaiafalsefalse108806272023-01-012023-12-3110880627bus:Director12023-01-012023-12-3110880627bus:Director22023-01-012023-12-3110880627bus:CompanySecretaryDirector12023-01-012023-12-3110880627bus:CompanySecretary12023-01-012023-12-3110880627bus:Director32023-01-012023-12-3110880627bus:RegisteredOffice2023-01-012023-12-31108806272023-12-31108806272022-01-012022-12-3110880627core:RetainedEarningsAccumulatedLosses2022-01-012022-12-3110880627core:RetainedEarningsAccumulatedLosses2023-01-012023-12-3110880627core:OtherResidualIntangibleAssets2023-12-3110880627core:OtherResidualIntangibleAssets2022-12-3110880627core:ComputerSoftware2023-12-3110880627core:ComputerSoftware2022-12-31108806272022-12-3110880627core:FurnitureFittings2023-12-3110880627core:ComputerEquipment2023-12-3110880627core:FurnitureFittings2022-12-3110880627core:ComputerEquipment2022-12-3110880627core:CurrentFinancialInstrumentscore:WithinOneYear2023-12-3110880627core:CurrentFinancialInstrumentscore:WithinOneYear2022-12-3110880627core:CurrentFinancialInstruments2023-12-3110880627core:CurrentFinancialInstruments2022-12-3110880627core:ShareCapital2023-12-3110880627core:ShareCapital2022-12-3110880627core:SharePremium2023-12-3110880627core:SharePremium2022-12-3110880627core:RetainedEarningsAccumulatedLosses2023-12-3110880627core:RetainedEarningsAccumulatedLosses2022-12-3110880627core:ShareCapital2021-12-3110880627core:SharePremium2021-12-3110880627core:RetainedEarningsAccumulatedLosses2021-12-3110880627core:ShareCapitalOrdinaryShares2023-12-3110880627core:ShareCapitalOrdinaryShares2022-12-3110880627core:ShareCapital2022-01-012022-12-3110880627core:SharePremium2022-01-012022-12-3110880627core:IntangibleAssetsOtherThanGoodwill2023-01-012023-12-3110880627core:ComputerSoftware2023-01-012023-12-3110880627core:FurnitureFittings2023-01-012023-12-3110880627core:ComputerEquipment2023-01-012023-12-3110880627core:UKTax2023-01-012023-12-3110880627core:UKTax2022-01-012022-12-311088062712023-01-012023-12-311088062712022-01-012022-12-311088062722023-01-012023-12-311088062722022-01-012022-12-311088062732023-01-012023-12-311088062732022-01-012022-12-3110880627core:ComputerSoftware2022-12-3110880627core:ComputerSoftwarecore:ExternallyAcquiredIntangibleAssets2023-01-012023-12-3110880627core:FurnitureFittings2022-12-3110880627core:ComputerEquipment2022-12-31108806272022-12-3110880627core:Non-currentFinancialInstruments2023-12-3110880627core:Non-currentFinancialInstruments2022-12-3110880627bus:PrivateLimitedCompanyLtd2023-01-012023-12-3110880627bus:FRS1022023-01-012023-12-3110880627bus:Audited2023-01-012023-12-3110880627bus:FullAccounts2023-01-012023-12-31xbrli:purexbrli:sharesiso4217:GBP