Company Registration No. SC396956 (Scotland)
KINGSBOROUGH MARINE HOLDINGS LIMITED
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2023
KINGSBOROUGH MARINE HOLDINGS LIMITED
COMPANY INFORMATION
Directors
I Livingstone
A Brady
Secretary
I Livingstone
Company number
SC396956
Registered office
Mariner House
Watermark Business Park
355 Govan Road
Glasgow
G51 2SE
Auditor
Gillespie & Anderson CA
147 Bath Street
Glasgow
G2 4SN
KINGSBOROUGH MARINE HOLDINGS LIMITED
CONTENTS
Page
Strategic report
1 - 2
Directors' report
3 - 4
Directors' responsibilities statement
5
Independent auditor's report
6 - 9
Group statement of comprehensive income
10
Group balance sheet
11
Company balance sheet
12
Group statement of changes in equity
13
Company statement of changes in equity
14
Group statement of cash flows
15
Notes to the financial statements
16 - 32
KINGSBOROUGH MARINE HOLDINGS LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 31 MAY 2023
- 1 -

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

Fair review of the business

Kingsborough Marine Holdings Limited continues to perform well in a strong shipping market as the world emerged post covid. Many Kingsborough clients are engaged in work which was not significantly affected by covid as they provided key lifeline services, maintenance of shipping lanes and aggregate dredging operations.  UK politics and border control has provided both opportunity and difficulties in the UK market with inability to utilise European seafarers, apart from the finite number holding frontier worker status, since Brexit causing significant frustrations to ship owners operating the UK coastal fleet. Revenue from the supply of temporary seafarers and crew management operations was strong.

 

Critical to the success was the advancement in technology and move to a fully digital database which provided significant automations, vastly reduced the amount of manual administrative tasks and allowed business continuity when required to operate home working.

 

The business saw an influx of new clients. During the period we saw over a dozen new clients using both temporary manning solutions and crew management. Some of these were historical clients that returned to us as they required UK personnel resource and were very happy with the historical service provision.

 

Clyde Marine Recruitment Limited, one of the company's subsidiary undertakings, benefited from the influx of new clients and the continued requirement for the provision of UK temporary seafarers. Much of this work was facilitated by our ability to leverage the resources of the group's Polish and Latvian operations where appropriate.

 

Both Clyde Marine Recruitment (Poland) and (Latvia) continued long standing relationships in supporting key blue chip operators with crew management support for European and UK business. This is coupled to supporting requirements flowing from Glasgow head office.  

Principal risks and uncertainties

The continued supply of UK seafarers and ageing demographic of UK ratings continues to provide all UK coastal operations a significant risk. It also provides Clyde Marine Recruitment an opportunity to support these operators in the provision of temporary seafarer provision where gaps require filling. Significant pressure is being applied through the UK chamber of shipping to review the border control policies given the unique set of circumstances applicable to seafarers. Seafarers working on most vessels reside onboard, are fully insured for all risks, spend their leave at home in their country of domicile and have no need for UK state support nor UK residence. As operators of lifeline services struggle to maintain services we will most probably see a change to legislation as it is impossible to train UK resource in a short time frame to cover the requirements of the industry. Given the precedent set in farming and other key areas where there is a lack of UK resource there have been exceptions provided.

 

Traditionally we have seen longstanding relationships with all key clients but outside influence of churn of clients ships, where ships are sold, scrapped or repositioned cannot be foreseen. We continue to have a broad range of clients, ships and geographic areas of supply de risking any losses which are often replaced by new routes or ships with the same or new clients.

Future developments

The directors are unware of any further future developments anticipated to impact the group at the time of approving these financial statements.

KINGSBOROUGH MARINE HOLDINGS LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2023
- 2 -
Key performance indicators

The directors regard the following metrics as the group's key financial performance indicators and are satisfied with these measures for the year ended 31 May 2023:

 

 

2023

2022

 

£

£

Turnover

15,554,248

13,725,455

Gross profit

915,097

957,649

Profit after tax

393,999

488,239

Net assets

973,518

829,519

 

On behalf of the board

I Livingstone
Director
20 September 2024
KINGSBOROUGH MARINE HOLDINGS LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 MAY 2023
- 3 -

The directors present their annual report and financial statements for the year ended 31 May 2023.

Principal activities

The principal activity of the company continued to be that of a holding company. The principal activity of the group continued to be the provision of marine recruitment and crew management services.

Results and dividends

The results for the year are set out on page 10.

Ordinary dividends were paid amounting to £250,000. The directors do not recommend payment of a further dividend.

Directors

The directors who held office during the year and up to the date of signature of the financial statements were as follows:

I Livingstone
A Brady
Qualifying third party indemnity provisions

The company has made qualifying third party indemnity provisions for the benefit of its directors during the year. These provisions remain in force at the reporting date.

Financial instruments

The group does not use derivatives for either financial risk management or for speculative purposes. The group's financial risk management objectives, policies and exposure to financial risks are not considered material for the assessment of the group's assets, liabilities, financial position or result for the year and as such, no further disclosure is considered necessary.

Disabled persons

Applications for employment by disabled persons are always fully considered, bearing in mind the aptitudes of the applicant concerned. In the event of members of staff becoming disabled, every effort is made to ensure that their employment within the group continues and that the appropriate training is arranged. It is the policy of the group that the training, career development and promotion of disabled persons should, as far as possible, be identical to that of other employees.

Employee involvement

The group's policy is to consult and discuss with employees matters likely to affect employees' interests.

 

Information about matters of concern to employees is given through information bulletins and reports which seek to achieve a common awareness on the part of all employees of the financial and economic factors affecting the group's performance.

Future developments

The group has chosen in accordance with Companies Act 2006, s. 414C(11) to set out in the group's strategic report information required by Large and Medium-sized Companies and Groups (Accounts and Reports) Regulations 2008, Sch. 7 to be contained in the directors' report. It has done so in respect of future developments to the extent applicable.

Auditor

Gillespie & Anderson CA were appointed as auditor to the company during the year and are deemed to be reappointed under section 487(2) of the Companies Act 2006.

KINGSBOROUGH MARINE HOLDINGS LIMITED
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2023
- 4 -
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 auditor of the company 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 auditor of the company is aware of that information.

On behalf of the board
I Livingstone
Director
20 September 2024
KINGSBOROUGH MARINE HOLDINGS LIMITED
DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 31 MAY 2023
- 5 -

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 group and company, and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:

 

 

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the group’s and company’s transactions and disclose with reasonable accuracy at any time the financial position of the group and 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 group and company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

KINGSBOROUGH MARINE HOLDINGS LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF KINGSBOROUGH MARINE HOLDINGS LIMITED
- 6 -
Opinion

We have audited the financial statements of Kingsborough Marine Holdings Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 May 2023 which comprise the group statement of comprehensive income, the group balance sheet, the company balance sheet, the group statement of changes in equity, the company statement of changes in equity, the group statement of cash flows 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:

 

Basis for opinion

We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor responsibilities for the audit of the financial statements section of our report. We are independent of the group 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 group's and parent company’s ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

 

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

 

Other matters

In the previous accounting period, the group did not require an audit, therefore, the prior period financial statements are unaudited.

Other information

The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The directors are responsible for the other information contained within the annual report. Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. 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.

KINGSBOROUGH MARINE HOLDINGS LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF KINGSBOROUGH MARINE HOLDINGS LIMITED
- 7 -

Opinions on other matters prescribed by the Companies Act 2006

In our opinion, based on the work undertaken in the course of our audit:

 

Matters on which we are required to report by exception

In the light of our knowledge and understanding of the group and the parent company and their environment obtained in the course of the audit, we have not identified material misstatements in the strategic report and 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:

 

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 parent 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 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.

 

A further description of our responsibilities for the audit of the financial statements is located on the FRC’s website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor’s report.

Extent to which the audit is considered capable of detecting irregularities, including fraud

Our approach and assessment were as follows:

 

The engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations.

 

Enquire of management and review supporting documentation concerning the company's policies and procedures relating to:

 

KINGSBOROUGH MARINE HOLDINGS LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF KINGSBOROUGH MARINE HOLDINGS LIMITED
- 8 -

Extent to which the audit was considered capable of detecting irregularities, including fraud (continued)

 

Obtain an understanding of the legal and regulatory framework that the group and parent company operates in, focusing on those laws and regulations that had a direct effect on the financial statements or that had a fundamental effect on the operations of the group and parent company. The key laws and regulations we considered in this context included the Companies Act 2006 and Financial Reporting Standard 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland”, together with health and safety regulations, money laundering regulations, employment legislation and data protection legislation.

 

Discuss among the engagement team how and where irregularities might occur in the financial statements and potential indicators of fraud. Identify potential audit risks in relation to income recognition, authorisation of expenses and possible management override of controls.

 

Communicate relevant identified laws and regulations and potential irregularity risks to all engagement team members and remain alert to any indications of unusual items, fraud or non-compliance with laws and regulations throughout the audit.

 

Review all Minutes of Meetings of those charged with governance, reports and correspondence with HMRC and legal advisers.

 

Perform audit testing which covers the audit assumptions of: existence, completeness, rights and obligations, accuracy and valuation in respect of income recognition and expenditure incurred.

 

Evaluate the overall presentation, structure and content of the financial statements, including disclosures, by performing analytical procedures to identify any unusual or unexpected relationships that may indicate risks of material misstatement due to an irregularity or fraud. Agree financial statement disclosures to underlying documents.

 

Assess whether the financial statements represent the underlying transactions and events in a manner that achieves compliance with relevant laws and regulations.

 

To address the risk of fraud through management override of controls and management bias, we: assess the rationale behind significant or unusual transactions identified through audit testing and assess where management judgement used in determining accounting estimates were indicative of potential bias.

 

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the Directors and other management and the inspection of regulatory and legal correspondence.

 

Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.

 

In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override. In addressing the risk of fraud through management override of controls, testing the appropriateness of journal entries and other adjustments; assessing whether the judgements made in making accounting estimates are indicative of a potential bias; and evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business.

KINGSBOROUGH MARINE HOLDINGS LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF KINGSBOROUGH MARINE HOLDINGS LIMITED
- 9 -

Extent to which the audit was considered capable of detecting irregularities, including fraud (continued)

 

In addition to the above, our procedures to respond to the risks identified included the following:

 

Use of our report

This report is made solely to the company’s members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company’s members those matters 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.

Alastair Stewart BA (Hons) CA (Senior Statutory Auditor)
For and on behalf of Gillespie & Anderson
20 September 2024
Chartered Accountants
Statutory Auditor
Eligible to act as an auditor in terms of Section 1212 of the Companies Act 2006
147 Bath Street
Glasgow
G2 4SN
KINGSBOROUGH MARINE HOLDINGS LIMITED
GROUP STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 MAY 2023
- 10 -
2023
2022
Unaudited
Notes
£
£
Turnover
3
15,554,248
13,725,455
Cost of sales
(14,639,151)
(12,767,806)
Gross profit
915,097
957,649
Administrative expenses
(400,834)
(354,625)
Other operating income
12,746
7,258
Operating profit
4
527,009
610,282
Interest receivable and similar income
8
426
-
Interest payable and similar expenses
9
(50,446)
(15,661)
Profit before taxation
476,989
594,621
Tax on profit
10
(82,990)
(106,382)
Profit and total comprehensive income for the financial year
24
393,999
488,239
Profit for the financial year is all attributable to the owners of the parent company.
Total comprehensive income for the year is all attributable to the owners of the parent company.
KINGSBOROUGH MARINE HOLDINGS LIMITED
GROUP BALANCE SHEET
AS AT 31 MAY 2023
31 May 2023
- 11 -
2023
2022
Unaudited
Notes
£
£
£
£
Fixed assets
Intangible assets
12
72,385
81,044
Tangible assets
13
94,458
99,865
166,843
180,909
Current assets
Debtors
16
1,582,947
1,290,482
Cash at bank and in hand
693,813
906,999
2,276,760
2,197,481
Creditors: amounts falling due within one year
17
(1,184,055)
(1,082,536)
Net current assets
1,092,705
1,114,945
Total assets less current liabilities
1,259,548
1,295,854
Creditors: amounts falling due after more than one year
18
(256,305)
(433,915)
Provisions for liabilities
Deferred tax liability
21
29,725
32,420
(29,725)
(32,420)
Net assets
973,518
829,519
Capital and reserves
Called up share capital
23
2
2
Profit and loss reserves
24
973,516
829,517
Total equity
973,518
829,519
The financial statements were approved by the board of directors and authorised for issue on 20 September 2024 and are signed on its behalf by:
20 September 2024
I Livingstone
Director
KINGSBOROUGH MARINE HOLDINGS LIMITED
COMPANY BALANCE SHEET
AS AT 31 MAY 2023
31 May 2023
- 12 -
2023
2022
Unaudited
Notes
£
£
£
£
Fixed assets
Investments
14
1,221,971
1,221,971
Current assets
Debtors
16
21,407
-
0
Cash at bank and in hand
564
5,147
21,971
5,147
Creditors: amounts falling due within one year
17
(1,242,094)
(887,041)
Net current liabilities
(1,220,123)
(881,894)
Total assets less current liabilities
1,848
340,077
Creditors: amounts falling due after more than one year
18
-
(133,168)
Net assets
1,848
206,909
Capital and reserves
Called up share capital
23
2
2
Profit and loss reserves
24
1,846
206,907
Total equity
1,848
206,909

As permitted by s408 Companies Act 2006, the company has not presented its own profit and loss account and related notes. The company’s profit after tax for the year was £44,939 (2022 - £9,313 profit).

The financial statements were approved by the board of directors and authorised for issue on 20 September 2024 and are signed on its behalf by:
20 September 2024
I Livingstone
Director
Company Registration No. SC396956
KINGSBOROUGH MARINE HOLDINGS LIMITED
GROUP STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MAY 2023
- 13 -
Share capital
Profit and loss reserves
Total
Notes
£
£
£
Balance at 1 June 2021
2
591,278
591,280
Year ended 31 May 2022:
Profit and total comprehensive income for the year
-
488,239
488,239
Dividends
11
-
(250,000)
(250,000)
Balance at 31 May 2022
2
829,517
829,519
Year ended 31 May 2023:
Profit and total comprehensive income for the year
-
393,999
393,999
Dividends
11
-
(250,000)
(250,000)
Balance at 31 May 2023
2
973,516
973,518
KINGSBOROUGH MARINE HOLDINGS LIMITED
COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MAY 2023
- 14 -
Share capital
Profit and loss reserves
Total
Notes
£
£
£
Balance at 1 June 2021
2
447,594
447,596
Year ended 31 May 2022:
Profit and total comprehensive income for the year
-
9,313
9,313
Dividends
11
-
(250,000)
(250,000)
Balance at 31 May 2022
2
206,907
206,909
Year ended 31 May 2023:
Profit and total comprehensive income for the year
-
44,939
44,939
Dividends
11
-
(250,000)
(250,000)
Balance at 31 May 2023
2
1,846
1,848
KINGSBOROUGH MARINE HOLDINGS LIMITED
GROUP STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 MAY 2023
- 15 -
2023
2022
Unaudited
Notes
£
£
£
£
Cash flows from operating activities
Cash generated from operations
29
240,830
589,573
Interest paid
(50,446)
(15,661)
Income taxes paid
(102,480)
(1,156)
Net cash inflow from operating activities
87,904
572,756
Investing activities
Purchase of intangible assets
-
(45,000)
Purchase of tangible fixed assets
(20,382)
(67,221)
Proceeds on disposal of tangible fixed assets
98
83,198
Interest received
426
-
Net cash used in investing activities
(19,858)
(29,023)
Financing activities
Proceeds from other borrowings
60,000
390,000
Repayment of other borrowings
(82,702)
(50,708)
Repayment of bank loans
-
(250,000)
Payment of finance leases obligations
(8,530)
(61,110)
Dividends paid to equity shareholders
(250,000)
(250,000)
Net cash used in financing activities
(281,232)
(221,818)
Net (decrease)/increase in cash and cash equivalents
(213,186)
321,915
Cash and cash equivalents at beginning of year
906,999
585,084
Cash and cash equivalents at end of year
693,813
906,999
KINGSBOROUGH MARINE HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MAY 2023
- 16 -
1
Accounting policies
Company information

Kingsborough Marine Holdings Limited (“the company”) is a private limited company domiciled and incorporated in Scotland. The registered office is Mariner House, Watermark Business Park, 355 Govan Road, Glasgow, G51 2SE.

 

The group consists of Kingsborough Marine Holdings Limited and all of its subsidiaries.

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.

The 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 for parent company information presented within the consolidated financial statements (where applicable):

 

1.2
Basis of consolidation

The consolidated group financial statements consist of the financial statements of the parent company Kingsborough Marine Holdings Limited together with all material entities controlled by the parent company (its subsidiaries).

 

All financial statements are made up to 31 May 2023. Where necessary, adjustments are made to the financial statements of subsidiaries to bring the accounting policies used into line with those used by other members of the group.

 

All intra-group transactions, balances and unrealised gains on transactions between group companies are eliminated on consolidation. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred.

Subsidiaries are consolidated in the group’s financial statements from the date that control commences until the date that control ceases.

 

As outlined at note 15, the company has taken advantage of the option to exclude certain immaterial subsidiary undertakings from the consolidated financial statements in accordance with s405(2) of the Companies Act 2006.

KINGSBOROUGH MARINE HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2023
1
Accounting policies
(Continued)
- 17 -
1.3
Going concern

At the time of approving the financial statements, the directors have a reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

1.4
Turnover

Turnover relates to the provision of marine recruitment and crew management services and is recognised at the fair value of the consideration received or receivable for the services provided. Turnover is recognised as services are provided and is stated net of VAT and other sales related taxes.

1.5
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 of assets less their residual values over their useful lives on the following bases:

Software
10 years straight line
1.6
Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost of assets less their residual values over their useful lives on the following bases:

Plant and equipment
3 years straight line
Motor vehicles
5 years straight line

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the statement of comprehensive income.

1.7
Fixed asset investments

In the parent company financial statements, investments in subsidiaries are initially measured at cost and subsequently measured at cost less any accumulated impairment losses.

A subsidiary is an entity controlled by the group. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.

1.8
Impairment of fixed assets

At each reporting period end date, the group 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.

KINGSBOROUGH MARINE HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2023
1
Accounting policies
(Continued)
- 18 -

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 the statement of comprehensive income.

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 the statement of comprehensive income.

1.9
Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand and deposits held at call with banks.

1.10
Financial instruments

The group 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 group's balance sheet when the group becomes party to the contractual provisions of the instrument.

 

Financial assets and liabilities are offset and 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 certain debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Impairment of financial assets

Financial assets 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 the statement of comprehensive income.

 

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 the statement of comprehensive income.

KINGSBOROUGH MARINE HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2023
1
Accounting policies
(Continued)
- 19 -
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 group 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.

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 group after deducting all of its liabilities.

Basic financial liabilities

Basic financial liabilities, including certain creditors, bank and other loans and loans from fellow group companies, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

 

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

 

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Derecognition of financial liabilities

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

1.11
Equity instruments

Equity instruments issued by the group 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 group.

1.12
Taxation

The tax expense represents the sum of the tax currently payable and deferred tax.

Current tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the statement of comprehensive income 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 group’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

KINGSBOROUGH MARINE HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2023
1
Accounting policies
(Continued)
- 20 -
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 statement of comprehensive income, 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 if, and only if, there is 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.

1.13
Employee benefits

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

 

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

 

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.14
Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

1.15
Leases

Leases are classified as finance leases whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessees. All other leases are classified as operating leases.

 

Assets held under finance leases are recognised as assets at the lower of the asset's fair value at the date of inception and the present value of the minimum lease payments. The related liability is included in the balance sheet as a finance lease obligation. Lease payments are treated as consisting of capital and interest elements. The interest is charged to profit or loss so as to produce a constant periodic rate of interest on the remaining balance of the liability.

Rentals payable under operating leases, including any lease incentives received, are charged to the statement of comprehensive income on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leased asset are consumed.

1.16
Government grants

Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurance that the grant conditions will be met and the grants will be received.

 

Government grants relating to turnover are recognised as income over the periods when the related costs are incurred. Grants relating to an asset are recognised in income systematically over the asset's expected useful life. If part of such a grant is deferred it is recognised as deferred income rather than being deducted from the asset's carrying amount.

KINGSBOROUGH MARINE HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2023
1
Accounting policies
(Continued)
- 21 -
1.17
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 the statement of comprehensive income.

2
Judgements and key sources of estimation uncertainty

In the application of the group’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

 

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

Key sources of estimation uncertainty

The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are as follows.

Carrying value of trade and other debtors

Trade and other debtors are reviewed periodically and assumptions are based on historical experience and expectation of future events. Any judgements made regarding provisions for bad debts are specific.

 

The carrying value of the group's trade and other debtors at the reporting date are outlined within note 16.

3
Turnover and other revenue
2023
2022
£
£
Turnover analysed by class of business
Payroll income
14,050,878
12,198,074
Placement fees
136,149
158,307
Management fees
1,333,621
1,335,474
Other
33,600
33,600
15,554,248
13,725,455
2023
2022
£
£
Turnover analysed by geographical market
United Kingdom & Ireland
12,875,923
10,371,307
Europe
2,670,325
3,340,647
Rest of World
8,000
13,501
15,554,248
13,725,455
KINGSBOROUGH MARINE HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2023
3
Turnover and other revenue
(Continued)
- 22 -
2023
2022
£
£
Other significant revenue
Interest income
426
-
Grants received
12,746
2,500
4
Operating profit
2023
2022
£
£
Operating profit for the year is stated after charging/(crediting):
Exchange differences
(1,211)
1,349
Government grants
(12,746)
(2,500)
Depreciation of owned tangible fixed assets
13,387
10,975
Depreciation of tangible fixed assets held under finance leases
12,309
10,258
(Profit)/loss on disposal of tangible fixed assets
(5)
6,224
Amortisation of intangible assets
8,659
4,159
Operating lease charges
52,986
49,819
5
Auditor's remuneration
2023
2022
Fees payable to the company's auditor and associates:
£
£
For audit services
Audit of the financial statements of the group and company
30,000
-

No audit remuneration was payable in the comparative reporting period as the group's financial statements for the year ended 31 May 2022 were unaudited.

6
Employees

The average monthly number of persons (including directors) employed by the group and company during the year was:

Group
Company
2023
2022
2023
2022
Number
Number
Number
Number
Directors
2
2
2
2
Administrative
16
16
12
12
Crew
332
330
-
-
Total
350
348
14
14
KINGSBOROUGH MARINE HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2023
6
Employees
(Continued)
- 23 -

Their aggregate remuneration comprised:

Group
Company
2023
2022
2023
2022
£
£
£
£
Wages and salaries
14,257,249
12,461,678
415,574
388,186
Social security costs
89,477
77,381
34,699
25,170
Pension costs
87,241
75,649
8,974
16,570
14,433,967
12,614,708
459,247
429,926
7
Directors' remuneration
2023
2022
£
£
Remuneration for qualifying services
70,750
72,307
Company pension contributions to defined contribution schemes
1,319
1,283
72,069
73,590

The number of directors for whom retirement benefits are accruing under defined contribution schemes amounted to 1 (2022 - 1).

8
Interest receivable and similar income
2023
2022
£
£
Interest income
Interest on bank deposits
1
-
0
Other interest income
425
-
Total income
426
-
0
9
Interest payable and similar expenses
2023
2022
£
£
Interest on bank overdrafts and loans
2,187
3,676
Interest on finance leases and hire purchase contracts
1,308
2,800
Other interest
46,951
9,185
Total finance costs
50,446
15,661
KINGSBOROUGH MARINE HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2023
- 24 -
10
Taxation
2023
2022
£
£
Current tax
UK corporation tax on profits for the current period
85,685
102,480
Deferred tax
Origination and reversal of timing differences
(2,695)
3,902
Total tax charge
82,990
106,382

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
476,989
594,621
Expected tax charge based on the standard rate of corporation tax in the UK of 20.00% (2022: 19.00%)
95,398
112,978
Tax effect of expenses that are not deductible in determining taxable profit
5,565
5,155
Change in unrecognised deferred tax assets
-
0
1,268
Effect of change in corporation tax rate
(17,124)
(9,880)
Other permanent differences
11
(1)
Fixed asset differences
(860)
(3,138)
Taxation charge
82,990
106,382

A change in the UK Corporation tax rate to 25% took effect from 1 April 2023. This change has had a consequential effect on the tax charge with the standard rate of tax in the current year reflective of a marginal tax rate arising from the period straddling the 19% and 25% tax rates. Deferred tax has been calculated at 25%.

11
Dividends
2023
2022
Recognised as distributions to equity holders:
£
£
Interim paid
250,000
250,000
KINGSBOROUGH MARINE HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2023
- 25 -
12
Intangible fixed assets
Group
Software
£
Cost
At 1 June 2022 and 31 May 2023
86,589
Amortisation and impairment
At 1 June 2022
5,545
Amortisation charged for the year
8,659
At 31 May 2023
14,204
Carrying amount
At 31 May 2023
72,385
At 31 May 2022
81,044
The company had no intangible fixed assets at 31 May 2023 or 31 May 2022.
13
Tangible fixed assets
Group
Plant and equipment
Motor vehicles
Total
£
£
£
Cost
At 1 June 2022
255,708
65,545
321,253
Additions
19,882
500
20,382
Disposals
(98)
-
0
(98)
At 31 May 2023
275,492
66,045
341,537
Depreciation and impairment
At 1 June 2022
210,597
10,791
221,388
Depreciation charged in the year
12,587
13,109
25,696
Eliminated in respect of disposals
(5)
-
0
(5)
At 31 May 2023
223,179
23,900
247,079
Carrying amount
At 31 May 2023
52,313
42,145
94,458
At 31 May 2022
45,111
54,754
99,865
The company had no tangible fixed assets at 31 May 2023 or 31 May 2022.
KINGSBOROUGH MARINE HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2023
13
Tangible fixed assets
(Continued)
- 26 -

The net carrying value of tangible fixed assets includes the following in respect of assets held under finance leases or hire purchase contracts.

Group
Company
2023
2022
2023
2022
£
£
£
£
Motor vehicles
38,979
51,288
-
0
-
0
14
Fixed asset investments
Group
Company
2023
2022
2023
2022
Notes
£
£
£
£
Investments in subsidiaries
15
-
0
-
0
1,221,971
1,221,971
Movements in fixed asset investments
Company
Shares in subsidiaries
£
Cost or valuation
At 1 June 2022 and 31 May 2023
1,221,971
Carrying amount
At 31 May 2023
1,221,971
At 31 May 2022
1,221,971
15
Subsidiaries

Details of the company's subsidiaries at 31 May 2023 are as follows:

Name of undertaking
Registered office
Nature of business
Class of
% Held
shares held
Direct
Clyde Marine Recruitment Limited
Mariner House, Watermark Business Park, 355 Govan Road, Glasgow, G51 2SE
Marine recruitment and crew management
Ordinary
100.00
Marine Manning (Guernsey) Limited
22 Havilland Street, St Peter Port, Guernsey, GY1 2QB
Marine recruitment and crew management
Ordinary
100.00
Clyde Marine Recruitment Poland Sp. z o.o.
Swietojanska 66/5, 81-393 Gdynia, Poland
Marine recruitment and crew management
Ordinary
100.00
Clyde Marine Recruitment (Latvia)
Krisjana Valdemara 33-52, Riga, Latvia LV-1010
Marine recruitment and crew management
Ordinary
100.00

The company has taken advantage of the option to exclude certain immaterial subsidiary undertakings from the consolidated financial statements in accordance with s405(2) of the Companies Act 2006. It has done so in respect of Clyde Marine Recruitment Poland Sp. z o.o. and Clyde Marine Recruitment (Latvia).

KINGSBOROUGH MARINE HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2023
- 27 -
16
Debtors
Group
Company
2023
2022
2023
2022
Amounts falling due within one year:
£
£
£
£
Trade debtors
604,969
596,988
-
0
-
0
Other debtors
924,392
646,436
21,407
-
0
Prepayments and accrued income
53,586
47,058
-
0
-
0
1,582,947
1,290,482
21,407
-

Included within other debtors is amounts owed by related undertakings of £549,396 (2022 - £414,629) as well as amounts owed by group directors of £21,407 (2022 - £Nil). Further details of transactions with related parties and directors are outlined at notes 26 and 27 respectively.

17
Creditors: amounts falling due within one year
Group
Company
2023
2022
2023
2022
Notes
£
£
£
£
Obligations under finance leases
20
9,260
20,219
-
0
-
0
Other borrowings
19
111,281
87,112
-
0
-
0
Trade creditors
102,674
86,011
-
0
-
0
Amounts owed to group undertakings
77,225
13,065
1,177,990
831,690
Corporation tax payable
85,685
102,480
11,237
2,484
Other taxation and social security
131,316
150,068
-
-
Other creditors
469,966
504,771
-
0
-
0
Accruals and deferred income
196,648
118,810
52,867
52,867
1,184,055
1,082,536
1,242,094
887,041

Obligations under finance leases are secured against the underlying assets concerned.

 

Amounts owed to group undertakings are unsecured, interest free and repayable on demand.

18
Creditors: amounts falling due after more than one year
Group
Company
2023
2022
2023
2022
Notes
£
£
£
£
Obligations under finance leases
20
2,429
-
0
-
0
-
0
Other borrowings
19
253,876
300,747
-
0
-
0
Other creditors
-
0
133,168
-
0
133,168
256,305
433,915
-
133,168

Obligations under finance leases are secured against the underlying assets concerned.

 

Included within other creditors falling due after one year is amounts owed to group directors of £Nil (2022 - £133,168). Further details of transactions with directors are outlined at note 27.

KINGSBOROUGH MARINE HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2023
- 28 -
19
Loans and overdrafts
Group
Company
2023
2022
2023
2022
£
£
£
£
Other loans
365,157
387,859
-
0
-
0
Payable within one year
111,281
87,112
-
0
-
0
Payable after one year
253,876
300,747
-
0
-
0

Other loans are unsecured.

20
Finance lease obligations
Group
Company
2023
2022
2023
2022
£
£
£
£
Future minimum lease payments due under finance leases:
Within one year
9,260
20,219
-
0
-
0
In two to five years
2,429
-
0
-
0
-
0
11,689
20,219
-
-

Finance lease payments represent rentals payable by the group for certain motor vehicles. Leases include purchase options at the end of the lease period, and no restrictions are placed on the use of the assets. The average lease term is 3 years. All leases are on a fixed repayment basis and no arrangements have been entered into for contingent rental payments.

21
Deferred taxation

The following are the major deferred tax liabilities and assets recognised by the group and company, and movements thereon:

Liabilities
Liabilities
2023
2022
Group
£
£
Accelerated capital allowances
29,970
32,500
Short term timing differences
(245)
(80)
29,725
32,420
The company has no deferred tax assets or liabilities.
KINGSBOROUGH MARINE HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2023
21
Deferred taxation
(Continued)
- 29 -
Group
Company
2023
2023
Movements in the year:
£
£
Liability at 1 June 2022
32,420
-
Credit to statement of comprehensive income
(2,695)
-
Liability at 31 May 2023
29,725
-
22
Retirement benefit schemes
2023
2022
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
88,560
76,932

A defined contribution pension scheme is operated for all qualifying employees. The assets of the scheme are held separately from those of the group in an independently administered fund. At the reporting date, pension contributions of £16,183 (2022 - £79,538) remained outstanding and included in creditors due within one year.

23
Share capital
Group and company
2023
2022
2023
2022
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
2
2
2
2
KINGSBOROUGH MARINE HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2023
- 30 -
24
Reserves
Profit and loss reserves

The profit and loss account reserve includes all current and prior period retained profits and losses, net of dividends paid.

25
Operating lease commitments
Lessee

At the reporting end date the group had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

Group
Company
2023
2022
2023
2022
£
£
£
£
Within one year
40,700
40,700
-
-
Between two and five years
98,358
139,058
-
-
139,058
179,758
-
-
26
Related party transactions
Transactions with related parties

During the year the group entered into the following transactions with related parties:

Recharges and services provided to related parties
Fees from related parties
2023
2022
2023
2022
£
£
£
£
Group
Other related parties
33,389
39,678
12,000
12,000

The following amounts were outstanding at the reporting end date:

Amounts due to related parties
2023
2022
£
£
Group
Other related parties
19,532
19,532

The following amounts were outstanding at the reporting end date:

Amounts due from related parties
2023
2022
Balance
Balance
£
£
Group
Other related parties
549,396
414,629
KINGSBOROUGH MARINE HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2023
26
Related party transactions
(Continued)
- 31 -
Other information

The group has taken advantage of disclosure exemptions available under Section 33 of FRS 102 whereby it has not disclosed transactions entered into with any wholly-owned subsidiary of the group.

 

Key management personnel remuneration

The directors regard key management as being those individuals who held office as directors during the reporting period. Details of directors' remuneration charged in the reporting period is outlined at note 7.

27
Directors' transactions

Dividends totalling £250,000 (2022 - £250,000) were paid in the year in respect of shares held by the company's directors.

The following amounts were advanced to/(repaid by) directors during the current reporting period:

Description
% Rate
Opening balance
Amounts advanced
Interest charged
Amounts repaid
Closing balance
£
£
£
£
£
Director's loan account
2.25
(133,168)
404,150
425
(250,000)
21,407
(133,168)
404,150
425
250,000
21,407
28
Controlling party

The ultimate controlling party of the group is I Livingstone.

29
Cash generated from group operations
2023
2022
Unaudited
£
£
Profit for the year after tax
393,999
488,239
Adjustments for:
Taxation charged
82,990
106,382
Finance costs
50,446
15,661
Investment income
(426)
-
0
(Gain)/loss on disposal of tangible fixed assets
(5)
6,224
Amortisation of loan arrangement fees
-
5,400
Amortisation and impairment of intangible assets
8,659
4,159
Depreciation and impairment of tangible fixed assets
25,696
21,233
Movements in working capital:
Increase in debtors
(292,465)
(121,957)
(Decrease)/increase in creditors
(28,064)
64,232
Cash generated from operations
240,830
589,573
KINGSBOROUGH MARINE HOLDINGS LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MAY 2023
- 32 -
30
Analysis of changes in net funds - group
1 June 2022
Cash flows
31 May 2023
£
£
£
Cash at bank and in hand
906,999
(213,186)
693,813
Borrowings excluding overdrafts
(387,859)
22,702
(365,157)
Obligations under finance leases
(20,219)
8,530
(11,689)
498,921
(181,954)
316,967
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