Company registration number SC419975 (Scotland)
FLINTSTONE TECHNOLOGY LIMITED
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
FLINTSTONE TECHNOLOGY LIMITED
COMPANY INFORMATION
Directors
D Boffe
(Appointed 30 November 2023)
B Cluydts
(Appointed 30 November 2023)
R Rentmeesters
(Appointed 30 November 2023)
Company number
SC419975
Registered office
Constable Works
Fowler Road
West Pitkerro Industrial Estate
Broughty Ferry
Dundee
DD5 3RU
Auditor
Henderson Black & Co
Edenbank House
Cupar
Fife
KY15 5HW
Business address
Constable Works
Fowler Road
West Pitkerro Industrial Estate
Broughty Ferry
Dundee
DD5 3RU
FLINTSTONE TECHNOLOGY LIMITED
CONTENTS
Page
Directors' report
1
Directors' responsibilities statement
2
Independent auditor's report
3 - 5
Profit and loss account
6
Statement of comprehensive income
7
Balance sheet
8
Statement of changes in equity
9
Statement of cash flows
10
Notes to the financial statements
11 - 23
FLINTSTONE TECHNOLOGY LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023
- 1 -
The directors present their annual report and financial statements for the year ended 31 December 2023.
Principal activities
The principal activity of the company continued to be the development and supply of subsea systems.
Directors
The directors who held office during the year and up to the date of signature of the financial statements were as follows:
A Clayson
(Resigned 30 November 2023)
R Taylor
(Resigned 30 November 2023)
N Benbernou
(Resigned 30 November 2023)
E Landaas-Nilsen
(Resigned 27 October 2023)
E Stensland
(Resigned 27 October 2023)
G Vabo
(Resigned 30 November 2023)
U Wiklund
(Appointed 27 October 2023 and resigned 30 November 2023)
M Halvorsen
(Appointed 27 October 2023 and resigned 30 November 2023)
D Boffe
(Appointed 30 November 2023)
B Cluydts
(Appointed 30 November 2023)
R Rentmeesters
(Appointed 30 November 2023)
Auditor
Henderson Black & Co were appointed as auditor to the company and in accordance with section 485 of the Companies Act 2006, a resolution proposing that they be re-appointed will be put at a General Meeting.
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.
Exemption from Stategic Report
The directors have taken advantage of the special provisions of Section 415 of the Companies Act 2006 from undertaking the disclosures required in Section 414 of the Companies Act 2006.
This report has been prepared in accordance with the provisions applicable to companies entitled to the small companies exemption.
On behalf of the board
B Cluydts
Director
18 August 2024
FLINTSTONE TECHNOLOGY LIMITED
DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 31 DECEMBER 2023
- 2 -
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.
FLINTSTONE TECHNOLOGY LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF FLINTSTONE TECHNOLOGY LIMITED
- 3 -
Opinion
We have audited the financial statements of Flintstone Technology 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, the statement of cash flows and notes to the financial statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including FRS 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 relation 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 directors are responsible for the other information. The other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. 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.
In connection with our audit of the financial statements, 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 directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the directors' report has been prepared in accordance with applicable legal requirements.
FLINTSTONE TECHNOLOGY LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF FLINTSTONE TECHNOLOGY LIMITED
- 4 -
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 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; or
the directors were not entitled to take advantage of the small companies exemption from the requirement to prepare a strategic report.
Responsibilities of directors
As explained more fully in the Directors' Responsibilities Statement set out on page 2, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the directors are responsible for assessing the company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.
Auditor's responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below:
- Inquiry of management about any known or suspected instances of non-compliance with laws and regulations and fraud;
- Reviewing minutes of meetings of those charged with governance, where necessary;
- Reviewing correspondence with regulators;
- Challenging assumptions and judgements made by management in their significant accounting estimates; and
- Auditing the risk of management override of controls, including testing journal entries and other adjustments for appropriateness.
We obtained an understanding of the legal and regulatory frameworks that are applicable to the entity and determined that the most significant are: Companies Act 2006, FRS 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland, regulations relating to employment and employment taxes and health and safety legislation.
Owing to the inherent limitations of an audit, there is an unavoidable risk that some material misstatements in the financial statements may not be detected, even though the audit is propertly planned and performed in accordance with the ISAs (UK). For instance, the further removed non-compliance is from the events and transactions reflected in the financial statements, the less likely the auditor is to become aware of it and to recognise the non-compliance.
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.
FLINTSTONE TECHNOLOGY LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF FLINTSTONE TECHNOLOGY LIMITED
- 5 -
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.
Matthew Struthers BA CA (Senior Statutory Auditor)
for and on behalf of Henderson Black & Co
19 September 2024
Chartered Accountants
Statutory Auditor
Edenbank House
Cupar
Fife
KY15 5HW
FLINTSTONE TECHNOLOGY LIMITED
PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31 DECEMBER 2023
- 6 -
2023
2022
Notes
£
£
Turnover
3
1,142,136
813,740
Cost of sales
(918,085)
(596,859)
Gross profit
224,051
216,881
Administrative expenses
(1,386,334)
(1,524,765)
Other operating income
30,158
Operating loss
4
(1,162,283)
(1,277,726)
Interest receivable and similar income
7
3,300
38
Interest payable and similar expenses
8
(140,178)
(56,652)
Other finance income
9
3,226,374
(3,068)
Profit/(loss) before taxation
1,927,213
(1,337,408)
Tax on profit/(loss)
10
524,752
263,916
Profit/(loss) for the financial year
2,451,965
(1,073,492)
The notes on pages 11 to 23 form part of these financial statements.
FLINTSTONE TECHNOLOGY LIMITED
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 DECEMBER 2023
- 7 -
2023
2022
£
£
Profit/(loss) for the year
2,451,965
(1,073,492)
Other comprehensive income
Cash flow hedge reserve gain/(loss) arising in the year
12,269
(67,221)
Tax relating to other comprehensive income
(2,331)
12,772
Other comprehensive income for the year
9,938
(54,449)
Total comprehensive income for the year
2,461,903
(1,127,941)
FLINTSTONE TECHNOLOGY LIMITED
BALANCE SHEET
AS AT
31 DECEMBER 2023
31 December 2023
- 8 -
2023
2022
Notes
£
£
£
£
Fixed assets
Intangible assets
11
452,585
479,937
Tangible assets
12
134,422
293,383
587,007
773,320
Current assets
Debtors
14
1,895,841
1,864,258
Cash at bank and in hand
22,868
445
1,918,709
1,864,703
Creditors: amounts falling due within one year
15
(108,121)
(3,507,958)
Net current assets/(liabilities)
1,810,588
(1,643,255)
Total assets less current liabilities
2,397,595
(869,935)
Creditors: amounts falling due after more than one year
16
(805,627)
Net assets/(liabilities)
1,591,968
(869,935)
Capital and reserves
Called up share capital
20
146
146
Share premium account
846,454
846,454
Hedging reserve
(9,938)
Profit and loss reserves
745,368
(1,706,597)
Total equity
1,591,968
(869,935)
The financial statements were approved by the board of directors and authorised for issue on 11 September 2024 and are signed on its behalf by:
B Cluydts
Director
Company Registration No. SC419975
The notes on pages 11 to 23 form part of these financial statements.
FLINTSTONE TECHNOLOGY LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023
- 9 -
Share capital
Share premium account
Hedging reserve
Profit and loss reserves
Total
£
£
£
£
£
Balance at 1 January 2022
146
846,454
44,511
(633,105)
258,006
Year ended 31 December 2022:
Loss for the year
-
-
-
(1,073,492)
(1,073,492)
Other comprehensive income:
Cash flow hedges gains/(losses)
-
-
(67,221)
-
(67,221)
Tax relating to other comprehensive income
-
-
12,772
12,772
Total comprehensive income for the year
(54,449)
(1,073,492)
(1,127,941)
Balance at 31 December 2022
146
846,454
(9,938)
(1,706,597)
(869,935)
Year ended 31 December 2023:
Profit for the year
-
-
-
2,451,965
2,451,965
Other comprehensive income:
Cash flow hedges gains/(losses)
-
-
(12,269)
-
12,269
Tax relating to other comprehensive income
-
-
2,331
(2,331)
Total comprehensive income for the year
9,938
2,451,965
2,461,903
Balance at 31 December 2023
146
846,454
745,368
1,591,968
FLINTSTONE TECHNOLOGY LIMITED
STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2023
- 10 -
2023
2022
Notes
£
£
£
£
Cash flows from operating activities
Cash absorbed by operations
24
(396,739)
(1,328,540)
Interest paid
(140,178)
(56,652)
Income taxes refunded
46,041
9,334
Net cash outflow from operating activities
(490,876)
(1,375,858)
Investing activities
Purchase of intangible assets
(60,961)
(132,598)
Purchase of tangible fixed assets
(75,172)
(169,357)
Interest received
3,300
38
Net cash used in investing activities
(132,833)
(301,917)
Financing activities
Loans from group undertakings
805,627
Amounts written off related party loans
3,227,683
Net cash generated from/(used in) financing activities
4,033,310
Net increase/(decrease) in cash and cash equivalents
3,409,601
(1,677,775)
Cash and cash equivalents at beginning of year
(3,386,733)
(1,708,958)
Cash and cash equivalents at end of year
22,868
(3,386,733)
Relating to:
Cash at bank and in hand
22,868
445
Bank overdrafts included in creditors payable within one year
(3,387,178)
FLINTSTONE TECHNOLOGY LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
- 11 -
1
Accounting policies
Company information
Flintstone Technology Limited is a private company limited by shares incorporated in Scotland. The registered office is Constable Works, Fowler Road, West Pitkerro Industrial Estate, Broughty Ferry, Dundee, DD5 3RU.
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.
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
Turnover
Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.
When cash inflows are deferred and represent a financing arrangement, the fair value of the consideration is the present value of the future receipts. The difference between the fair value of the consideration and the nominal amount received is recognised as interest income.
Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.
Revenue from contracts for the provision of professional services is recognised by reference to the stage of completion when the stage of completion, costs incurred and costs to complete can be estimated reliably. The stage of completion is calculated by comparing costs incurred, mainly in relation to contractual hourly staff rates and materials, as a proportion of total costs. Where the outcome cannot be estimated reliably, revenue is recognised only to the extent of the expenses recognised that it is probable will be recovered.
1.4
Research and development expenditure
Research and development expenditure is written off against profits in the year in which it is incurred.
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.
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:
Patents & licences
evenly over estimated useful life of 10 years
FLINTSTONE TECHNOLOGY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 12 -
1.6
Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Plant and equipment
33.3% straight line
Office equipment
20% straight line
Computers
20% straight line
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.
1.7
Impairment of fixed assets
At each reporting period end date, the company reviews the carrying amounts of its tangible 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.
1.8
Cash at bank and in hand
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.
1.9
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.
FLINTSTONE TECHNOLOGY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 13 -
Fair value measurement of financial instruments
Derivatives are initially recognised at fair value at the date a derivative contract is entered into and are subsequently remeasured to fair value at each reporting end date. The resulting gain or loss is recognised in profit or loss immediately unless the derivative is designated and effective as a hedging instrument, in which event the timing of the recognition in profit or loss depends on the nature of the hedge relationship.
A derivative with a positive fair value is recognised as a financial asset, whereas a derivative with a negative fair value is recognised as a financial liability.
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.
Classification of financial liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.
Basic financial liabilities
Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
1.10
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.
FLINTSTONE TECHNOLOGY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 14 -
Hedge accounting
The company designates certain hedging instruments, including derivatives, as a hedge against cash flow risk from a change in exchange rates.
At the inception of the hedge relationship, the company documents the relationship between the hedging instrument and the hedged item along with the risk management objectives and strategy for undertaking various hedge transactions. At the inception of the hedge and on an ongoing basis, the company documents whether the hedging instrument is effective in offsetting changes in cashflows of the hedged item.
The effective portion of changes in the fair value of derivatives that are designated and qualify as cashflow hedges is recognised directly in equity and forms part of the hedge reserve in other comprehensive income.
The gain or loss relating to the ineffective portion is recognised immediately in profit and loss account, and is included in 'other gains and losses' within this. For hedges that relate to an underlying transaction which results in a financial asset or liability, amounts deferred in equity are recognised in the income statement in the same period in which the hedged item affects the income statement.
Changes in the fair value of derivatives that are designated and qualify as fair value hedges are recognised in profit or loss immediately, together with any changes in the fair value of the hedged asset or liability that are attributable to the hedged risk.
1.11
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
Deferred tax
Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.
The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.
FLINTSTONE TECHNOLOGY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 15 -
1.12
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.
1.13
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.14
Leases
Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss 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 leases asset are consumed.
1.15
Foreign exchange
Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.
2
Judgements and key sources of estimation uncertainty
In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
3
Turnover and other revenue
2023
2022
£
£
Turnover analysed by class of business
Sale of goods
1,142,136
813,740
2023
2022
£
£
Turnover analysed by geographical market
United Kingdom
135,250
8,000
Rest of World
1,006,886
805,740
1,142,136
813,740
FLINTSTONE TECHNOLOGY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 16 -
4
Operating loss
2023
2022
Operating loss for the year is stated after charging/(crediting):
£
£
Exchange (gains)/losses
(4,419)
3,960
Research and development costs
1,576
58,317
Auditors' remuneration
4,500
3,000
Depreciation of owned tangible fixed assets
234,133
182,379
Amortisation of intangible assets
86,935
96,458
Loss on disposal of intangible assets
1,378
52,965
Cost of stocks recognised as an expense
835,661
495,865
Operating lease charges
106,886
106,698
5
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2023
2022
Number
Number
11
11
Their aggregate remuneration comprised:
2023
2022
£
£
Wages and salaries
693,150
709,951
Social security costs
77,631
82,658
Pension costs
23,401
24,202
794,182
816,811
6
Directors' remuneration
2023
2022
£
£
Remuneration for qualifying services
206,250
225,000
Remuneration disclosed above include the following amounts paid to the highest paid director:
2023
2022
£
£
Remuneration for qualifying services
119,167
130,000
The directors are considered to be the key management personnel.
FLINTSTONE TECHNOLOGY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 17 -
7
Interest receivable and similar income
2023
2022
£
£
Interest income
Interest on bank deposits
3,300
38
2023
2022
Investment income includes the following:
£
£
Interest on financial assets not measured at fair value through profit or loss
3,300
38
8
Interest payable and similar expenses
2023
2022
£
£
Interest on financial liabilities measured at amortised cost:
Interest on bank overdrafts and loans
134,551
56,652
Interest payable to group undertakings
5,627
140,178
56,652
9
Other finance income
2023
2022
£
£
Fair value gains/(losses) on financial instruments
Hedge ineffectiveness on a cash flow hedge
(1,309)
(3,068)
Other gains/(losses)
Amounts written off related party loans
3,227,683
-
3,226,374
(3,068)
10
Taxation
2023
2022
£
£
Deferred tax
Origination and reversal of timing differences
(524,752)
(263,916)
FLINTSTONE TECHNOLOGY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
10
Taxation
(Continued)
- 18 -
The actual credit for the year can be reconciled to the expected charge/(credit) for the year based on the profit or loss and the standard rate of tax as follows:
2023
2022
£
£
Profit/(loss) before taxation
1,927,213
(1,337,408)
Expected tax charge/(credit) based on the standard rate of corporation tax in the UK of 25.00% (2022: 19.00%)
481,803
(254,108)
Tax effect of expenses that are not deductible in determining taxable profit
58,533
(8,045)
Tax effect of income not taxable in determining taxable profit
(806,921)
Unutilised tax losses carried forward
286,591
262,153
Other non-reversing timing differences
(96)
Deferred tax movement - losses
(248,011)
(262,153)
Deferred tax - pension accrual change
711
Deferred tax - capital allowances movement
(19,910)
(2,474)
Deferred tax movement - tax rate change
(276,741)
Taxation credit for the year
(524,752)
(263,916)
In addition to the amount credited to the profit and loss account, the following amounts relating to tax have been recognised directly in other comprehensive income:
2023
2022
£
£
Deferred tax arising on:
Revaluation of financial instruments treated as cash flow hedges
2,331
(12,772)
There were unused tax losses of £4,746,773 at 31 December 2023 (2022 - £3,600,412).
FLINTSTONE TECHNOLOGY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 19 -
11
Intangible fixed assets
Patents & licences
£
Cost
At 1 January 2023
852,855
Additions - internally developed
60,961
Disposals
(1,724)
At 31 December 2023
912,092
Amortisation and impairment
At 1 January 2023
372,918
Amortisation charged for the year
86,935
Disposals
(346)
At 31 December 2023
459,507
Carrying amount
At 31 December 2023
452,585
At 31 December 2022
479,937
12
Tangible fixed assets
Plant and equipment
Office equipment
Computers
Total
£
£
£
£
Cost
At 1 January 2023
1,361,250
20,607
77,049
1,458,906
Additions
75,172
75,172
At 31 December 2023
1,436,422
20,607
77,049
1,534,078
Depreciation and impairment
At 1 January 2023
1,071,720
20,588
73,215
1,165,523
Depreciation charged in the year
231,538
19
2,576
234,133
At 31 December 2023
1,303,258
20,607
75,791
1,399,656
Carrying amount
At 31 December 2023
133,164
1,258
134,422
At 31 December 2022
289,530
19
3,834
293,383
FLINTSTONE TECHNOLOGY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 20 -
13
Financial instruments
2023
2022
£
£
Carrying amount of financial assets
Debt instruments measured at cost
256,535
1,076,399
Instruments measured at fair value through profit or loss
-
10,960
Measured at cost
75,335
3,454,863
14
Debtors
2023
2022
Amounts falling due within one year:
£
£
Trade debtors
246,869
1,049,312
Amounts due from contract customers
309,596
Corporation tax recoverable
5,668
34,288
Other debtors
112,882
81,700
Prepayments and accrued income
67,738
68,291
742,753
1,233,591
Deferred tax asset (note 18)
1,153,088
630,667
1,895,841
1,864,258
15
Creditors: amounts falling due within one year
2023
2022
Notes
£
£
Bank loans and overdrafts
17
3,387,178
Trade creditors
75,335
42,792
Taxation and social security
25,177
25,039
Derivative financial instruments
-
10,960
Other creditors
-
24,893
Accruals and deferred income
7,609
17,096
108,121
3,507,958
16
Creditors: amounts falling due after more than one year
2023
2022
Notes
£
£
Loans from group undertakings
17
805,627
FLINTSTONE TECHNOLOGY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 21 -
17
Loans and overdrafts
2023
2022
£
£
Bank overdrafts
3,387,178
Loans from group undertakings
805,627
805,627
3,387,178
Payable within one year
3,387,178
Payable after one year
805,627
18
Deferred taxation
The following are the major deferred tax liabilities and assets recognised by the company and movements thereon:
Assets
Assets
2023
2022
Balances:
£
£
Tax losses
1,153,088
628,336
Short term timing differences
-
2,331
1,153,088
630,667
2023
Movements in the year:
£
Asset at 1 January 2023
(630,667)
Credit to profit or loss
(524,752)
Charge to other comprehensive income
2,331
Asset at 31 December 2023
(1,153,088)
19
Retirement benefit schemes
2023
2022
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
23,401
24,202
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.
FLINTSTONE TECHNOLOGY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 22 -
20
Share capital
2023
2022
2023
2022
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary of 0.1p each
146,000
146,000
146
146
21
Operating lease commitments
Lessee
At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:
2023
2022
£
£
Within one year
99,669
90,861
Between two and five years
414,300
30,619
In over five years
34,525
548,494
121,480
22
Related party transactions
Transactions with related parties
On 1 December 2023 Bridon International Limited acquired 75.33% of the capital shares of Flinstone Technology Limited, resulting in a transfer of control to Bridon International Limited.
At the year end date there was £805,627 due to group companies (2022 - nil). All transactions were undertaken and balances are due under normal commercial terms.
Until 30 November 2023 MacGregor (GBR) Limited controlled Flintstone Technology Limited, owning 51% of the ordinary share capital issued.
Until 30 November 2023 the company invoiced £nil (2022 - £2,295,933) to MacGregor group companies in relation to sales projects. The company was invoiced for recharged costs of £nil (2022 - £nil) from MacGregor group companies. £nil was owed to the company by MacGregor group companies at 30 November 2023 (2022 - £1,050,315). During the year MacGregor offered conversion of a bank overdraft of £3,227,683 to a short term loan. This loan was later waived by deed of release.
23
Ultimate controlling party
The ultimate controlling party at the year end date was NV Bekaert SA, a company incorporated in Belgium, whose registered office is Bekaertstraat 2, 8550 Zwevegem, Belgium.
FLINTSTONE TECHNOLOGY LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 23 -
24
Cash generated from operations
2023
2022
£
£
Profit/(loss) for the year after tax
2,451,965
(1,073,492)
Adjustments for:
Taxation credited
(524,752)
(263,916)
Finance costs
140,178
56,652
Investment income
(3,300)
(38)
Loss on disposal of intangible assets
1,378
52,965
Amortisation and impairment of intangible assets
86,935
96,458
Depreciation and impairment of tangible fixed assets
234,133
182,379
Other finance income
(3,226,374)
3,068
Movements in working capital:
(Increase)/decrease in stocks
-
8
Decrease in debtors
444,797
757,224
(Decrease) in creditors
(1,699)
(1,139,848)
Cash absorbed by operations
(396,739)
(1,328,540)
The above are the only components of net debt.
25
Analysis of changes in net debt
1 January 2023
Cash flows
31 December 2023
£
£
£
Cash at bank and in hand
445
22,423
22,868
Bank overdrafts
(3,387,178)
3,387,178
(3,386,733)
3,409,601
22,868
Borrowings excluding overdrafts
-
(805,627)
(805,627)
(3,386,733)
2,603,974
(782,759)
2023-12-312023-01-01falseCCH SoftwareCCH Accounts Production 2024.200A ClaysonR TaylorN BenbernouE Landaas-NilsenE StenslandG VaboU WiklundM HalvorsenD BoffeB CluydtsR RentmeestersfalsefalseSC4199752023-01-012023-12-31SC419975bus:Director92023-01-012023-12-31SC419975bus:Director102023-01-012023-12-31SC419975bus:Director112023-01-012023-12-31SC419975bus:Director12023-01-012023-12-31SC419975bus:Director22023-01-012023-12-31SC419975bus:Director32023-01-012023-12-31SC419975bus:Director42023-01-012023-12-31SC419975bus:Director52023-01-012023-12-31SC419975bus:Director62023-01-012023-12-31SC419975bus:Director72023-01-012023-12-31SC419975bus:Director82023-01-012023-12-31SC419975bus:RegisteredOffice2023-01-012023-12-31SC4199752023-12-31SC4199752022-01-012022-12-31SC419975core:RetainedEarningsAccumulatedLosses2022-01-012022-12-31SC419975core:RetainedEarningsAccumulatedLosses2023-01-012023-12-31SC419975core:HedgingReserve2023-01-012023-12-31SC419975core:HedgingReserve2022-01-012022-12-31SC419975core:RevenueReservesInvestmentFundsOnly2022-01-012022-12-31SC419975core:ShareCapital2022-01-012022-12-31SC419975core:SharePremium2022-01-012022-12-31SC419975core:ShareCapital2023-01-012023-12-31SC419975core:SharePremium2023-01-012023-12-31SC419975core:OtherResidualIntangibleAssets2023-12-31SC419975core:OtherResidualIntangibleAssets2022-12-31SC419975core:PatentsTrademarksLicencesConcessionsSimilar2023-12-31SC419975core:PatentsTrademarksLicencesConcessionsSimilar2022-12-31SC4199752022-12-31SC419975core:PlantMachinery2023-12-31SC419975core:FurnitureFittings2023-12-31SC419975core:ComputerEquipment2023-12-31SC419975core:PlantMachinery2022-12-31SC419975core:FurnitureFittings2022-12-31SC419975core:ComputerEquipment2022-12-31SC419975core:CurrentFinancialInstrumentscore:WithinOneYear2023-12-31SC419975core:CurrentFinancialInstrumentscore:WithinOneYear2022-12-31SC419975core:CurrentFinancialInstruments2023-12-31SC419975core:CurrentFinancialInstruments2022-12-31SC419975core:Non-currentFinancialInstruments2023-12-31SC419975core:Non-currentFinancialInstruments2022-12-31SC419975core:ShareCapital2023-12-31SC419975core:ShareCapital2022-12-31SC419975core:SharePremium2023-12-31SC419975core:SharePremium2022-12-31SC419975core:HedgingReserve2023-12-31SC419975core:HedgingReserve2022-12-31SC419975core:RetainedEarningsAccumulatedLosses2023-12-31SC419975core:RetainedEarningsAccumulatedLosses2022-12-31SC41997512022-01-012022-12-31SC4199752022-12-31SC4199752021-12-31SC419975core:WithinOneYear2023-12-31SC419975core:WithinOneYear2022-12-31SC419975core:IntangibleAssetsOtherThanGoodwill2023-01-012023-12-31SC419975core:PlantMachinery2023-01-012023-12-31SC419975core:FurnitureFittings2023-01-012023-12-31SC419975core:ComputerEquipment2023-01-012023-12-31SC419975core:OwnedAssets2023-01-012023-12-31SC419975core:OwnedAssets2022-01-012022-12-31SC419975core:UKTax2023-01-012023-12-31SC419975core:UKTax2022-01-012022-12-31SC41997512023-01-012023-12-31SC41997522023-01-012023-12-31SC41997522022-01-012022-12-31SC41997532023-01-012023-12-31SC41997532022-01-012022-12-31SC41997542023-01-012023-12-31SC41997542022-01-012022-12-31SC419975core:PatentsTrademarksLicencesConcessionsSimilar2022-12-31SC419975core:PatentsTrademarksLicencesConcessionsSimilarcore:InternallyGeneratedIntangibleAssets2023-01-012023-12-31SC419975core:PatentsTrademarksLicencesConcessionsSimilar2023-01-012023-12-31SC419975core:PlantMachinery2022-12-31SC419975core:FurnitureFittings2022-12-31SC419975core:ComputerEquipment2022-12-31SC419975core:BetweenTwoFiveYears2023-12-31SC419975core:BetweenTwoFiveYears2022-12-31SC419975core:MoreThanFiveYears2023-12-31SC419975core:MoreThanFiveYears2022-12-31SC419975bus:PrivateLimitedCompanyLtd2023-01-012023-12-31SC419975bus:FRS1022023-01-012023-12-31SC419975bus:Audited2023-01-012023-12-31SC419975bus:FullAccounts2023-01-012023-12-31xbrli:purexbrli:sharesiso4217:GBP