REGISTERED NUMBER: 04176516 (England and Wales) |
Report of the Directors and |
Consolidated Financial Statements |
For The Year Ended 31 December 2023 |
for |
Global Essence UK Ltd |
REGISTERED NUMBER: 04176516 (England and Wales) |
Report of the Directors and |
Consolidated Financial Statements |
For The Year Ended 31 December 2023 |
for |
Global Essence UK Ltd |
Global Essence UK Ltd (Registered number: 04176516) |
Contents of the Consolidated Financial Statements |
For The Year Ended 31 December 2023 |
Page |
Company Information | 1 |
Report of the Directors | 2 |
Report of the Independent Auditors | 3 |
Consolidated Statement of Comprehensive Income | 6 |
Consolidated Statement of Financial Position | 7 |
Company Statement of Financial Position | 8 |
Consolidated Statement of Changes in Equity | 9 |
Company Statement of Changes in Equity | 10 |
Notes to the Consolidated Financial Statements | 11 |
Global Essence UK Ltd |
Company Information |
For The Year Ended 31 December 2023 |
DIRECTORS: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Registered Auditor |
10-12 Mulberry Green |
Old Harlow |
Essex |
CM17 0ET |
Global Essence UK Ltd (Registered number: 04176516) |
Report of the Directors |
For The Year Ended 31 December 2023 |
The directors present their report with the financial statements of the company and the group for the year ended 31 December 2023. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 January 2023 to the date of this report. |
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Report of the Directors 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 the group and of the profit or loss of the group 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 and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group 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 the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the group's auditors are aware of that information. |
AUDITORS |
The auditors, Giess Wallis Crisp LLP, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
This report has been prepared in accordance with the provisions of Part 15 of the Companies Act 2006 relating to small companies. |
ON BEHALF OF THE BOARD: |
Report of the Independent Auditors to the Members of |
Global Essence UK Ltd |
Opinion |
We have audited the financial statements of Global Essence UK Ltd (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2023 which comprise the Consolidated Statement of Comprehensive Income, Consolidated Statement of Financial Position, Company Statement of Financial Position, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity 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 Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). |
In our opinion the financial statements: |
- | give a true and fair view of the state of the group's and of the parent company affairs as at 31 December 2023 and of the group's profit for the year then ended; |
- | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the 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 the 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 information |
The directors are responsible for the other information. The other information comprises the information in the Report of the Directors, but does not include the financial statements and our Report of the Auditors 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 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 the audit: |
- | the information given in the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Report of the Directors has been prepared in accordance with applicable legal requirements. |
Report of the Independent Auditors to the Members of |
Global Essence UK Ltd |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Report of the Directors. |
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
- | adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the parent company financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of directors' remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit; or |
- | the directors were not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies' exemption from the requirement to prepare a Group Strategic Report or in preparing the Report of the Directors. |
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page two, 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 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 group's and 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 group or the parent company or to cease operations, or have no realistic alternative but to do so. |
Auditors' responsibilities for the audit of the financial statements |
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
Based on our understanding of the the company and the industry in which they operate, we identified the significant laws and regulations in relation to this company as being: financial reporting legislation (including Companies Act 2006) and taxation legislation (including corporation tax act 2010), and we considered the extent to which non-compliance might have a material effect on the financial statements. These laws and regulations could have a direct impact on the financial statements. As part of the planning process we evaluated the management's incentives and opportunities for fraudulent manipulation of the financial statements and concluded that the principal risk is related to the possible override of controls by management. The results of the above assessment were communicated to the engagement team during the engagement team briefing prior to the commencement of the audit field work. |
Audit procedures performed in response to the potential risks relating to irregularities, fraud and non-compliance with laws and regulations comprised of: |
- Enquiries of management and those charged with governance. |
- Evaluation and testing of the effectiveness of internal controls via a combination of walkthrough testing and detailed controls testing. |
- Testing the appropriateness of entries in the nominal ledger, including journal entries. |
- Review and testing of transactions either side of the end of the reporting period. |
- Analytical review of the financial statements at both planning and completion stage to identify any anomalies or unexpected movements in account balances which may be indicative of fraud. |
- Inspection and examination of legal invoices and correspondence. |
The results of the above audit procedures were that no instances of non-compliance with laws and regulations were identified and no instances of material fraud were identified. |
Report of the Independent Auditors to the Members of |
Global Essence UK Ltd |
There are inherent limitations in the audit procedures described above. We are less likely to become aware of instances of non-compliance with laws and regulations that are not closely related to events and transactions reflected in the financial statements. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion. There is therefore an unavoidable risk that material misstatements may not be detected, even though the audit has been planned and performed in accordance with ISA's (UK). |
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
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 a Report of the Auditors 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. |
for and on behalf of |
Registered Auditor |
10-12 Mulberry Green |
Old Harlow |
Essex |
CM17 0ET |
Global Essence UK Ltd (Registered number: 04176516) |
Consolidated Statement of Comprehensive Income |
For The Year Ended 31 December 2023 |
2023 | 2022 |
Notes | £ | £ |
TURNOVER | 9,509,170 | 12,326,012 |
Cost of sales | 7,945,746 | 10,055,669 |
GROSS PROFIT | 1,563,424 | 2,270,343 |
Administrative expenses | 1,389,945 | 1,430,351 |
173,479 | 839,992 |
Other operating income | - | 52,082 |
OPERATING PROFIT | 5 | 173,479 | 892,074 |
Interest receivable and similar income | 845 | 17 |
174,324 | 892,091 |
Interest payable and similar expenses | 48,992 | 46,941 |
PROFIT BEFORE TAXATION | 125,332 | 845,150 |
Tax on profit | 6 | 20,846 | 121,602 |
PROFIT FOR THE FINANCIAL YEAR |
OTHER COMPREHENSIVE INCOME |
Foreign translation | (51,312 | ) | 17,041 |
Income tax relating to other comprehensive income |
- |
- |
OTHER COMPREHENSIVE INCOME FOR THE YEAR, NET OF INCOME TAX |
(51,312 |
) |
17,041 |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
53,174 |
740,589 |
Profit attributable to: |
Owners of the parent | 104,486 | 723,548 |
Total comprehensive income attributable to: |
Owners of the parent | 53,174 | 740,589 |
Global Essence UK Ltd (Registered number: 04176516) |
Consolidated Statement of Financial Position |
31 December 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 9 | 14,099 | 17,340 |
Investments | 10 | - | - |
14,099 | 17,340 |
CURRENT ASSETS |
Stocks | 11 | 2,539,649 | 3,229,703 |
Debtors | 12 | 1,901,415 | 1,908,231 |
Cash at bank and in hand | 269,890 | 210,495 |
4,710,954 | 5,348,429 |
CREDITORS |
Amounts falling due within one year | 13 | 2,025,728 | 2,571,299 |
NET CURRENT ASSETS | 2,685,226 | 2,777,130 |
TOTAL ASSETS LESS CURRENT LIABILITIES |
2,699,325 |
2,794,470 |
CREDITORS |
Amounts falling due after more than one year |
14 |
(17,500 |
) |
(35,000 |
) |
PROVISIONS FOR LIABILITIES | 17 | - | (4,075 | ) |
NET ASSETS | 2,681,825 | 2,755,395 |
CAPITAL AND RESERVES |
Called up share capital | 18 | 640 | 640 |
Capital redemption reserve | 360 | 360 |
Other reserves | (13,474 | ) | 37,838 |
Retained earnings | 2,694,299 | 2,716,557 |
SHAREHOLDERS' FUNDS | 2,681,825 | 2,755,395 |
The financial statements have been prepared in accordance with the provisions applicable to companies subject to the small companies regime. |
The financial statements were approved by the Board of Directors and authorised for issue on 13 August 2024 and were signed on its behalf by: |
A E York - Director |
Global Essence UK Ltd (Registered number: 04176516) |
Company Statement of Financial Position |
31 December 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 9 |
Investments | 10 |
CURRENT ASSETS |
Stocks | 11 |
Debtors | 12 |
Cash at bank and in hand |
CREDITORS |
Amounts falling due within one year | 13 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year |
14 |
( |
) |
( |
) |
PROVISIONS FOR LIABILITIES | 17 | ( |
) |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 18 |
Capital redemption reserve |
Retained earnings |
SHAREHOLDERS' FUNDS |
Company's (loss)/profit for the financial year | (26,537 | ) | 368,318 |
The financial statements were approved by the Board of Directors and authorised for issue on |
Global Essence UK Ltd (Registered number: 04176516) |
Consolidated Statement of Changes in Equity |
For The Year Ended 31 December 2023 |
Called up | Capital |
share | Retained | redemption | Other | Total |
capital | earnings | reserve | reserves | equity |
£ | £ | £ | £ | £ |
Balance at 1 January 2022 | 640 | 2,363,483 | 360 | 20,797 | 2,385,280 |
Changes in equity |
Dividends | - | (370,474 | ) | - | - | (370,474 | ) |
Total comprehensive income | - | 723,548 | - | 17,041 | 740,589 |
Balance at 31 December 2022 | 640 | 2,716,557 | 360 | 37,838 | 2,755,395 |
Changes in equity |
Dividends | - | (126,744 | ) | - | - | (126,744 | ) |
Total comprehensive income | - | 104,486 | - | (51,312 | ) | 53,174 |
Balance at 31 December 2023 | 640 | 2,694,299 | 360 | (13,474 | ) | 2,681,825 |
Global Essence UK Ltd (Registered number: 04176516) |
Company Statement of Changes in Equity |
For The Year Ended 31 December 2023 |
Called up | Capital |
share | Retained | redemption | Total |
capital | earnings | reserve | equity |
£ | £ | £ | £ |
Balance at 1 January 2022 |
Changes in equity |
Dividends | - | ( |
) | - | ( |
) |
Total comprehensive income | - |
Balance at 31 December 2022 |
Changes in equity |
Dividends | - | ( |
) | - | ( |
) |
Total comprehensive income | - | ( |
) | ( |
) |
Balance at 31 December 2023 |
Global Essence UK Ltd (Registered number: 04176516) |
Notes to the Consolidated Financial Statements |
For The Year Ended 31 December 2023 |
1. | STATUTORY INFORMATION |
Global Essence UK Ltd is a |
The presentation currency of the financial statements is the Pound Sterling (£). |
2. | STATEMENT OF COMPLIANCE |
These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" including the provisions of Section 1A "Small Entities" and the Companies Act 2006. |
3. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Basis of consolidation |
The Group financial statements incorporate the financial statements of Global Essence UK Ltd (the 'Company') and entities controlled by the Company (its subsidiaries) made up to 31 December each year. |
The results of subsidiaries are included in the consolidated income statement for the entire year. |
Where subsidiary functional currency differs to the presentation currency of pound sterling, the monetary assets and liabilities have been translated at the closing rate, the income statement has been translated using the average rate, with the difference being reported in other comprehensive income within equity. |
Related party exemption |
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group. |
Transactions between group entities which have been eliminated on consolidation are not disclosed within the financial statements. |
Significant judgements and estimates |
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 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. |
There are no estimates and assumptions which have had a significant risk of causing a material adjustment to the carrying amount of assets and liabilities |
Turnover |
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. |
Turnover is usually recognised when the goods are invoiced, which is the same day on which the goods are delivered and hence the point at which the risks and rewards of ownership pass to the buyer. |
Occasionally, the shipping arrangements agreed with the customer may stipulate that the risk and rewards of ownership pass at specified points during transit. At this point, the invoice is raised and the turnover is recognised. |
Global Essence UK Ltd (Registered number: 04176516) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 31 December 2023 |
3. | ACCOUNTING POLICIES - continued |
Tangible fixed assets |
Computer equipment | - |
Recognition and impairment of tangible fixed assets |
Tangible fixed assets are initially measured at cost and subsequently measured at cost net of depreciation and any impairment losses. |
The entity reviews the carrying value's of its tangible fixed assets at each reporting date, to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the estimated recoverable value of the asset is used to determine the extent of the impairment loss (if any). |
Fixed assets are depreciated for a full year in the year of acquisition. |
Stocks |
Inventory is valued at the lower of cost and estimated selling price less costs to complete and sell. |
Cost is calculated using a weighted average cost formula. The formula includes all costs incurred in bringing the inventories into their present location and condition. |
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 statement of financial position when the company becomes party to the contractual provisions of the instrument. |
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously. |
Basic financial assets |
Basic financial assets, which include trade and other receivables and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised. |
Other financial assets |
Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment. |
Impairment of financial assets |
Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date. |
Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset's original effective interest rate. The impairment loss is recognised in profit or loss. |
Global Essence UK Ltd (Registered number: 04176516) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 31 December 2023 |
3. | ACCOUNTING POLICIES - continued |
If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss. |
Derecognition of financial assets |
Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party. |
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 trade and other payables, 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 receipts discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised. |
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method. |
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method. |
Other financial liabilities |
Derivatives, including interest rate swaps and forward foreign exchange contracts, are not basic financial instruments. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss In finance costs or finance income as appropriate unless hedge accounting is applied and the hedge is a cash flow hedge. |
Debt instruments that do not meet the conditions in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. Debt instruments may be designated as being measured at fair value though profit or loss to eliminate or reduce an accounting mismatch or if the instruments are measured and their performance evaluated on a fair value basis in accordance with a documented risk management or investment strategy. |
Derecognition of financial liabilities |
Financial liabilities are derecognised when the company's contractual obligations expire or are discharged or cancelled. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the statement of financial position date. |
Global Essence UK Ltd (Registered number: 04176516) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 31 December 2023 |
3. | ACCOUNTING POLICIES - continued |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
Research and development |
Expenditure on research and development is written off in the year in which it is incurred. |
Foreign currencies |
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the statement of financial position date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result. |
Hire purchase and leasing commitments |
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. |
Pension costs and other post-retirement benefits |
The group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme are charged to profit or loss in the period to which they relate. |
4. | EMPLOYEES AND DIRECTORS |
The average number of employees during the year was |
The average number of employees by undertakings that were proportionately consolidated during the year was NIL (2022 - NIL). |
5. | OPERATING PROFIT |
The operating profit is stated after charging: |
2023 | 2022 |
£ | £ |
Depreciation - owned assets | 4,700 | 8,451 |
Global Essence UK Ltd (Registered number: 04176516) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 31 December 2023 |
6. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
2023 | 2022 |
£ | £ |
Current tax: |
UK corporation tax | 81 | 90,197 |
Foreign corporate tax | 26,946 | 31,591 |
Total current tax | 27,027 | 121,788 |
Deferred tax | (6,181 | ) | (186 | ) |
Tax on profit | 20,846 | 121,602 |
UK corporation tax has been charged at 20.19 % (2022 - 19 %). |
Tax effects relating to effects of other comprehensive income |
2023 |
Gross | Tax | Net |
£ | £ | £ |
Foreign translation | (51,312 | ) | - | (51,312 | ) |
2022 |
Gross | Tax | Net |
£ | £ | £ |
Foreign translation | 17,041 | - | 17,041 |
Included within the taxation charge is corporate taxes due in non-UK jurisdictions of £26,946 (2022: £31,591.) |
7. | INDIVIDUAL STATEMENT OF COMPREHENSIVE INCOME |
As permitted by Section 408 of the Companies Act 2006, the Statement of Comprehensive Income of the parent company is not presented as part of these financial statements. |
8. | DIVIDENDS |
2023 | 2022 |
£ | £ |
"A" Ordinary shares of £1 each |
Interim | 24,300 | 158,256 |
"C" Ordinary shares of £1 each |
Interim | - | 28,855 |
"D" Ordinary shares of £1 each |
Interim | 102,444 | 139,707 |
"E" Ordinary shares of £1 each |
Interim | - | 13,750 |
"F" Ordinary shares of £1 each |
Interim | - | 13,750 |
"G" Ordinary shares of £1 each |
Interim | - | 5,156 |
"H" Ordinary shares of £1 each |
Interim | - | 11,000 |
126,744 | 370,474 |
Global Essence UK Ltd (Registered number: 04176516) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 31 December 2023 |
9. | TANGIBLE FIXED ASSETS |
Group |
Computer |
equipment |
£ |
COST |
At 1 January 2023 | 115,582 |
Additions | 1,459 |
At 31 December 2023 | 117,041 |
DEPRECIATION |
At 1 January 2023 | 98,242 |
Charge for year | 4,700 |
At 31 December 2023 | 102,942 |
NET BOOK VALUE |
At 31 December 2023 | 14,099 |
At 31 December 2022 | 17,340 |
Company |
Computer |
equipment |
£ |
COST |
At 1 January 2023 |
Additions |
At 31 December 2023 |
DEPRECIATION |
At 1 January 2023 |
Charge for year |
At 31 December 2023 |
NET BOOK VALUE |
At 31 December 2023 |
At 31 December 2022 |
10. | FIXED ASSET INVESTMENTS |
Company |
Shares in |
group |
undertakings |
£ |
COST |
At 1 January 2023 |
and 31 December 2023 |
NET BOOK VALUE |
At 31 December 2023 |
At 31 December 2022 |
Global Essence UK Ltd (Registered number: 04176516) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 31 December 2023 |
10. | FIXED ASSET INVESTMENTS - continued |
The group or the company's investments at the Statement of Financial Position date in the share capital of companies include the following: |
Subsidiary |
Registered office: Sleeuwijk, Municipality of Altena, Netherlands |
Nature of business: |
% |
Class of shares: | holding |
Global Essence BV is a subsidiary on the basis of control, obtained through ownership of 100% of the share capital. The subsidiary is included within these consolidated financial statements. |
11. | STOCKS |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Stocks | 2,539,649 | 3,229,703 |
12. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Trade debtors | 1,845,268 | 1,834,922 |
Amounts due from group company | - | - | - | 283,449 |
Deferred tax asset | 2,106 | - | 2,106 | - |
Prepayments | 54,041 | 73,309 |
1,901,415 | 1,908,231 |
13. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Bank loans and overdrafts | - | 175,000 |
Trade creditors | 759,351 | 610,831 |
Amounts owed to group undertakings | - | - |
Tax | 496 | 121,707 |
Social security and other taxes | 23,676 | - |
VAT | 12,665 | 35,799 | 11,093 | 34,968 |
Other creditors | 738,186 | 825,013 |
Accrued expenses | 491,354 | 802,949 |
2,025,728 | 2,571,299 |
Global Essence UK Ltd (Registered number: 04176516) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 31 December 2023 |
14. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Other creditors over 1 year | 17,500 | 35,000 |
15. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
The total financial commitments and guarantees at the date of the Statement of Financial Position is £7,875 (2022: £9,450) |
The total operating lease expense in the current period is £2,100 (2022: £6,165). |
16. | SECURED DEBTS |
The following secured debts are included within creditors: |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Bank loans | - | - |
Other creditors | 703,365 | 800,050 | 703,365 | 800,042 |
703,365 | 800,050 |
The bank holds a floating charge over the assets of the company. The other creditors value is the sum of invoice discounting balances secured on the book debts. |
17. | PROVISIONS FOR LIABILITIES |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Deferred tax |
Accelerated capital allowances | - | 4,075 |
Group |
Deferred |
tax |
£ |
Balance at 1 January 2023 | 4,075 |
Credit to Income Statement during year | (6,181 | ) |
Balance at 31 December 2023 | (2,106 | ) |
Company |
Deferred |
tax |
£ |
Balance at 1 January 2023 |
Credit to Statement of Income and Retained Earnings during year | ( |
) |
Balance at 31 December 2023 | ( |
) |
Global Essence UK Ltd (Registered number: 04176516) |
Notes to the Consolidated Financial Statements - continued |
For The Year Ended 31 December 2023 |
17. | PROVISIONS FOR LIABILITIES - continued |
The rate in which the temporary timing differences are expected to unwind is at the rate that has been calculated based on the current level of taxable profits of 20.62% (2022: 23.5%). |
18. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2023 | 2022 |
value: | £ | £ |
"A" Ordinary | £1 | 319 | 319 |
"C" Ordinary | £1 | 100 | 100 |
"D" Ordinary | £1 | 94 | 94 |
40 | "E" Ordinary | £1 | 40 | 40 |
40 | "F" Ordinary | £1 | 40 | 40 |
15 | "G" Ordinary | £1 | 15 | 15 |
32 | "H" Ordinary | £1 | 32 | 32 |
640 | 640 |