Caseware UK (AP4) 2023.0.135 2023.0.135 2023-12-312024-05-302023-12-312024-05-302023-01-01truetruetruetruetruefalse63false63true 05682479 2023-01-01 2023-12-31 05682479 2022-01-01 2022-12-31 05682479 2023-12-31 05682479 2022-12-31 05682479 c:CompanySecretary1 2023-01-01 2023-12-31 05682479 c:Director1 2023-01-01 2023-12-31 05682479 c:Director2 2023-01-01 2023-12-31 05682479 c:Director2 2023-12-31 05682479 c:Director3 2023-01-01 2023-12-31 05682479 c:Director4 2023-01-01 2023-12-31 05682479 c:Director5 2023-01-01 2023-12-31 05682479 c:RegisteredOffice 2023-01-01 2023-12-31 05682479 d:PlantMachinery 2023-01-01 2023-12-31 05682479 d:PlantMachinery 2023-12-31 05682479 d:PlantMachinery 2022-12-31 05682479 d:PlantMachinery d:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 05682479 d:MotorVehicles 2023-01-01 2023-12-31 05682479 d:MotorVehicles 2023-12-31 05682479 d:MotorVehicles 2022-12-31 05682479 d:MotorVehicles d:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 05682479 d:FurnitureFittings 2023-01-01 2023-12-31 05682479 d:FurnitureFittings 2023-12-31 05682479 d:FurnitureFittings 2022-12-31 05682479 d:FurnitureFittings d:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 05682479 d:OtherPropertyPlantEquipment 2023-01-01 2023-12-31 05682479 d:OtherPropertyPlantEquipment 2023-12-31 05682479 d:OtherPropertyPlantEquipment 2022-12-31 05682479 d:OtherPropertyPlantEquipment d:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 05682479 d:OwnedOrFreeholdAssets 2023-01-01 2023-12-31 05682479 d:CurrentFinancialInstruments 2023-12-31 05682479 d:CurrentFinancialInstruments 2022-12-31 05682479 d:CurrentFinancialInstruments d:WithinOneYear 2023-12-31 05682479 d:CurrentFinancialInstruments d:WithinOneYear 2022-12-31 05682479 e:UnitedKingdom 2023-01-01 2023-12-31 05682479 e:UnitedKingdom 2022-01-01 2022-12-31 05682479 e:RestEuropeOutsideUK 2023-01-01 2023-12-31 05682479 e:RestEuropeOutsideUK 2022-01-01 2022-12-31 05682479 d:UKTax 2023-01-01 2023-12-31 05682479 d:UKTax 2022-01-01 2022-12-31 05682479 d:ShareCapital 2023-12-31 05682479 d:ShareCapital 2022-12-31 05682479 d:RetainedEarningsAccumulatedLosses 2023-01-01 2023-12-31 05682479 d:RetainedEarningsAccumulatedLosses 2023-12-31 05682479 d:RetainedEarningsAccumulatedLosses 2022-01-01 2022-12-31 05682479 d:RetainedEarningsAccumulatedLosses 2022-12-31 05682479 d:RetainedEarningsAccumulatedLosses 2022-01-01 05682479 d:AcceleratedTaxDepreciationDeferredTax 2023-12-31 05682479 d:AcceleratedTaxDepreciationDeferredTax 2022-12-31 05682479 d:OtherDeferredTax 2023-12-31 05682479 d:OtherDeferredTax 2022-12-31 05682479 c:OrdinaryShareClass1 2023-01-01 2023-12-31 05682479 c:OrdinaryShareClass1 2023-12-31 05682479 c:OrdinaryShareClass2 2023-01-01 2023-12-31 05682479 c:OrdinaryShareClass2 2022-12-31 05682479 c:FRS102 2023-01-01 2023-12-31 05682479 c:Audited 2023-01-01 2023-12-31 05682479 c:FullAccounts 2023-01-01 2023-12-31 05682479 c:PrivateLimitedCompanyLtd 2023-01-01 2023-12-31 05682479 d:Subsidiary1 2023-01-01 2023-12-31 05682479 d:Subsidiary1 1 2023-01-01 2023-12-31 05682479 d:Subsidiary2 2023-01-01 2023-12-31 05682479 d:Subsidiary2 1 2023-01-01 2023-12-31 05682479 d:WithinOneYear 2023-12-31 05682479 d:WithinOneYear 2022-12-31 05682479 d:BetweenOneFiveYears 2023-12-31 05682479 d:BetweenOneFiveYears 2022-12-31 05682479 2 2023-01-01 2023-12-31 05682479 6 2023-01-01 2023-12-31 05682479 f:PoundSterling 2023-01-01 2023-12-31 xbrli:shares iso4217:GBP xbrli:pure

Registered number: 05682479










NTG EBREX UK LTD










ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2023

 
NTG EBREX UK LTD
 
 
COMPANY INFORMATION


Directors
A F Burnett 
H J De Waal (resigned 31 January 2024)
C P D Jakobsen 
M Larsen 
J E Petersen 




Company secretary
D Ward



Registered number
05682479



Registered office
Unit 1 Liberty Park
Burton Old Road

Lichfield

WS14 9HY




Independent auditors
Larking Gowen LLP
Chartered Accountants & Statutory Auditors

1st Floor Prospect House

Rouen Road

Norwich

Norfolk

NR1 1RE





 
NTG EBREX UK LTD
 

CONTENTS



Page
Strategic Report
1 - 3
Directors' Report
4 - 6
Independent Auditors' Report
7 - 10
Statement of Income and Retained Earnings
11
Statement of Financial Position
12
Notes to the Financial Statements
13 - 28


 
NTG EBREX UK LTD
 
 
STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023

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

Business review
 
The directors and senior staff are pleased and satisfied with the performance of the business and the staff throughout 2023.
2023 saw a calmer start to year with no new Brexit rules or pandemic implications meaning it was the first year since 2019 with no significant impactors directly affecting business at the start of the year.
The first six months of the year saw the business continue along forecasted trajectory both in terms of shipment volume, revenue and EBIT. In August we moved into our new head office facility in Lichfield. This was a significant step forward in our business plan as it will enable growth of the business, something that had become impossible at our Aldridge facility, with a larger cross dock, more loading doors and the capacity to store over 9,000 pallets.
This also enabled us to bring the Shared Service Centre and the customs team into the same office as the operations team; bringing more NTG staff under one roof has provided a range of benefits to the business.
Throughout the second half of the year, we managed to secure significant short-term storage from JLR as well onboard new longer term storage accounts from two new customers. NTG Ebrex continued to develop and strengthen our European groupage road offering which in conjunction with our new facility will place us in a strong position moving into 2024.
In conjunction with this we have for the first time, employed a dedicated commercial team with the sole aim of growing our core markets by on-boarding new business.
The results for 2023 saw an increase in turnover from 2022 of 5.1 % to £ 30.20m. Gross profit also saw an increase of 6.2% to £8.2m. These increases were driven by onboarding new business, developing existing business and making cost savings in the supply chain where possible. The directors feel NTG Ebrex is well placed to take advance of the opportunities the new facility and teams will bring as well as being conscious of the potential risks.
Finally, the directors are very proud of our dedicated, professional, and talented employees, and would like to thank them for all their continued hard work and commitment.

Page 1

 
NTG EBREX UK LTD
 

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

Principal risks and uncertainties
 
The UK fell into a technical recession during Q3 and Q4 of 2023, this is in conjunction with interest rates being the highest in over 16 years (5.9%) which is hampering an economic recovery.
In the UK we are seeing a twofold increase in logistics and haulage companies going out of business compared to “normal” levels. This is in part being driven by cost prices remaining at post pandemic levels while sales pricing is currently at pre pandemic / Brexit levels. This is having a significant knock on effect on businesses ability to win new work at profitable levels similar to “industry standard”. As a significant portion of our business is “spot quoted” we are not immune to these effects and it will have an impact on our continued ability to win new work throughout 2024.
Our new facility has increased our overheads and we have taken on additional staff to help drive the business forward, we expect to win additional sales to drive growth and bring the new facility to capacity which will more than off-set these increases and enable us to meet budgetary expectations.
The aim of the directors is to minimise exposure to risk wherever possible but common risks to businesses within our industry include credit, liquidity and foreign exchange rates.
Credit Risk
The company's credit risk is primarily attributable to its trade debtors. The amounts presented in the Statement of Financial Position are net of funds received from the debt factoring facility and provision for doubtful debts. The company manages its concentration of credit risk through use of a debt factoring facility and creditsafe software with exposure spread over a number of customers.
Liquidity Risk
In order to maintain liquidity to ensure that sufficient funds are available for ongoing operations and future developments, the company uses its reserves but also has access to a debt factoring facility alongside the group overdraft and loan facilities. The company's activities do expose it to the financial risks of changes in foreign currency exchange which is monitored closely.
Foreign Exchange Risk
The company operates worldwide and is exposed to foreign exchange risk arising from currency exposure to the Euro. The company manages this risk by holding reserves in Sterling and Euros.
Other Key Risks
Other than risks already identified the key risks which will effect the business relate to the competitiveness and capacity within the industry. We are currently seeing an abundance of warehousing storage capacity as well as capacity in groupage and FLT markets. All of which is having a significant impact on market competitiveness.
The company continues to monitor the impact of the decision for the UK to leave the EU with the directors feeling well placed to react to and mitigate any changes in risks to the business. This being said companies across the UK are now “waiving” some customs charges in a bid to win new business.
The company's management are heavily involved in the day to day running of the business and aims to mitigate these other risks by working closely with its customers and providers.

Page 2

 
NTG EBREX UK LTD
 

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

Financial key performance indicators
 
The directors consider the key performance indicators to be those submitted for the annual budget with monthly results reflecting the financial strength and performance of the business as a whole.
These are discussed and agreed upon internally with monthly reviews to monitor performance. The directors are satisfied that performance is in line with these expectations and is continuing in a positive direction.

2023
2022
        £
        £
Turnover

30,204,028

28,739,718
 
Gross profit

7,197,093

6,816,542
 
Gross profit margin

23.8%

23.7%
 


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





................................................
A F Burnett
Director

Date: 30 May 2024

Page 3

 
NTG EBREX UK LTD
 
 
 
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023

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

Principal activity

The principal activity of the company in the year under review was that of freight forwarding and storage, repacking and transport.

Results and dividends

The profit for the year, after taxation, amounted to £1,786,425 (2022 - £1,708,204).

Dividends of £3,500,000 (2022 - £950,000) were declared and paid during the year. The directors do not recommend the payment of a final dividend (2022 - £Nil).

Directors

The directors who served during the year were:

A F Burnett 
H J De Waal (resigned 31 January 2024)
C P D Jakobsen 
M Larsen 
J E Petersen 

Future developments

The company is well established and well respected and whilst the commercial environment is expected to remain challenging, the directors anticipate an improved performance in the year ahead.

Qualifying third party indemnity provisions

During the year and to the date of signing these financial statements, the company had in force an indemnity provision in favour of the directors of NTG Ebrex UK Ltd against liability in respect of proceedings brought by third parties, subject to the conditions set out In the Companies Act 2006.

Matters covered in the Strategic Report

Information on exposure to risks is covered in the strategic report.

Page 4

 
NTG EBREX UK LTD
 
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023

Directors' responsibilities statement

The directors are responsible for preparing the Strategic Report, the Directors' Report and the financial statements in accordance with applicable law and regulations.
 
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period.

 In preparing these financial statements, the directors are required to:


select suitable accounting policies for the company's financial statements and then apply them consistently;

make judgments and accounting estimates that are reasonable and prudent;

prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and to enable them to ensure that the financial statements comply with the Companies Act 2006They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Disclosure of information to auditors

Each of the persons who are directors at the time when this Directors' Report is approved has confirmed that:
 
so far as the director is aware, there is no relevant audit information of which the company's auditors are unaware, and

the director has taken all the steps that ought to have been taken as a director in order to be aware of any relevant audit information and to establish that the company's auditors are aware of that information.

Auditors

The auditorsLarking Gowen LLPwill be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

Page 5

 
NTG EBREX UK LTD
 
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023

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





................................................
A F Burnett
Director

Date: 30 May 2024

Page 6

 
NTG EBREX UK LTD
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF NTG EBREX UK LTD
 

Opinion


We have audited the financial statements of NTG Ebrex UK Ltd (the 'company') for the year ended 31 December 2023, which comprise the Statement of Income and Retained Earnings, the Statement of Financial Position and the related notes, including a summary of significant accounting policiesThe financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 ‘The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).


In our opinion the financial statements:


give a true and fair view of the state of the company's affairs as at 31 December 2023 and of its 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 company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council's Ethical Standard and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.


Conclusions relating to going concern


In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.


Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.


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


Page 7

 
NTG EBREX UK LTD
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF NTG EBREX UK LTD (CONTINUED)


Other information


The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' Report thereon. The directors are responsible for the other information contained within the Annual ReportOur opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.


We have nothing to report in this regard.


Opinion on other matters prescribed by the Companies Act 2006
 

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


the information given in the Strategic Report and the Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the Strategic Report and the Directors' Report have been prepared in accordance with applicable legal requirements.


Matters on which we are required to report by exception
 

In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Directors' Report.


We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:


adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
the financial statements are not in agreement with the accounting records and returns; or
certain disclosures of directors' remuneration specified by law are not made; or
we have not received all the information and explanations we require for our audit.


Responsibilities of directors
 

As explained more fully in the Directors' Responsibilities Statement set out on page 5, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.


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


Page 8

 
NTG EBREX UK LTD
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF NTG EBREX UK LTD (CONTINUED)


Auditors' responsibilities for the audit of the financial statements
 

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditors' Report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.


Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. 

Due to the field in which the company operates, we identified the areas most likely to have a direct material impact on the financial statements as compliance with UK tax legislation, UK accounting standards and the Companies Act 2006. In addition, we considered the provisions of other laws and regulations which whilst not having a direct impact on the financial statements, are fundamental to the company's ability to operate including health and safety, employment law and compliance with various other regulations relevant to the operation of the company.
Our approach to identifying and assessing the risk of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, included the following:
 
Enquiries with management about any known or suspected instances of non-compliance with laws and regulations, accidents in the workplace, potential litigation or claims and fraud;
Reviewing legal and professional fees to confirm matters where the company engaged lawyers during the year;
Reviewing financial statement disclosures and testing to supporting documentation to assess compliance with applicable laws and regulations;
Reviewing board minutes and any relevant correspondence with external authorities;
Challenging assumptions and judgements made by management in their significant accounting estimates, specifically surrounding anticipated freight costs; and
Auditing the risk of management override of controls, including through testing journal entries and other adjustments for appropriateness, and evaluating the business rationale of any significant transactions outside the normal course of business.


Due to the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.


A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' Report.


Page 9

 
NTG EBREX UK LTD
 
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF NTG EBREX UK LTD (CONTINUED)


Use of our report
 

This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in an Auditors' Report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members, as a body, for our audit work, for this report, or for the opinions we have formed.





John Atkins ACA FCCA (Senior Statutory Auditor)
  
for and on behalf of
Larking Gowen LLP
 
Chartered Accountants
Statutory Auditors
  
1st Floor Prospect House
Rouen Road
Norwich
Norfolk
NR1 1RE

17 September 2024
Page 10

 
NTG EBREX UK LTD
 
 
STATEMENT OF INCOME AND RETAINED EARNINGS
FOR THE YEAR ENDED 31 DECEMBER 2023

As restated
2023
2022
Note
£
£

  

Turnover
 4 
30,204,028
28,739,718

Cost of sales
  
(23,006,935)
(21,923,176)

Gross profit
  
7,197,093
6,816,542

Administrative expenses
  
(4,785,921)
(4,734,592)

Operating profit
 6 
2,411,172
2,081,950

Interest receivable and similar income
  
49,485
14,918

Interest payable and similar expenses
 10 
(8,213)
(5,519)

Profit before tax
  
2,452,444
2,091,349

Tax on profit
 11 
(666,019)
(383,145)

Profit after tax
  
1,786,425
1,708,204

  

  

Retained earnings at the beginning of the year
  
4,649,850
3,891,646

Profit for the year
  
1,786,425
1,708,204

Dividends declared and paid
  
(3,500,000)
(950,000)

Retained earnings at the end of the year
  
2,936,275
4,649,850
The notes on pages 13 to 28 form part of these financial statements.

Page 11

 
NTG EBREX UK LTD
REGISTERED NUMBER: 05682479

STATEMENT OF FINANCIAL POSITION
AS AT 31 DECEMBER 2023

2023
2022
Note
£
£

Fixed assets
  

Tangible assets
 13 
598,528
43,360

Investments
 14 
431,539
431,539

  
1,030,067
474,899

Current assets
  

Stocks
 15 
-
197,029

Debtors
 16 
4,142,700
9,400,585

Cash at bank and in hand
 17 
3,306,548
514,706

  
7,449,248
10,112,320

Creditors: amounts falling due within one year
 18 
(5,394,774)
(5,923,788)

Net current assets
  
 
 
2,054,474
 
 
4,188,532

Total assets less current liabilities
  
3,084,541
4,663,431

Provisions for liabilities
  

Deferred tax
 19 
(148,166)
(13,481)

  
 
 
(148,166)
 
 
(13,481)

Net assets
  
2,936,375
4,649,950


Capital and reserves
  

Called up share capital 
 20 
100
100

Profit and loss account
 21 
2,936,275
4,649,850

  
2,936,375
4,649,950


The financial statements were approved and authorised for issue by the board and were signed on its behalf by: 


................................................
A F Burnett
Director

Date: 30 May 2024

The notes on pages 13 to 28 form part of these financial statements.

Page 12

 
NTG EBREX UK LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

1.


General information

NTG Ebrex UK Ltd is a private company, limited by shares, registered in England and Wales. The company's registered number and registered office address can be found on the company Information page.

2.Accounting policies

 
2.1

Basis of preparation of financial statements

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the company's accounting policies (see note 3).

The following principal accounting policies have been applied:

 
2.2

Financial Reporting Standard 102 - reduced disclosure exemptions

The company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":
the requirements of Section 7 Statement of Cash Flows;
the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d);
the requirements of Section 11 Financial Instruments paragraphs 11.42, 11.44 to 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c);
the requirements of Section 12 Other Financial Instruments paragraphs 12.26 to 12.27, 12.29(a), 12.29(b) and 12.29A;
the requirements of Section 33 Related Party Disclosures paragraph 33.7.

This information is included in the consolidated financial statements of NTG Nordic Transport Group A/S as at 31 December 2023 and these financial statements may be obtained from Danish Central Business Register.

 
2.3

Exemption from preparing consolidated financial statements

The company is a parent company that is also a subsidiary included in the consolidated financial statements of a larger group by a parent undertaking established under the law of a state other than the United Kingdom and is therefore exempt from the requirement to prepare consolidated financial statements under section 401 of the Companies Act 2006.

Page 13

 
NTG EBREX UK LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.4

Going concern

The directors have considered the company’s position at the time of signing the financial statements, and in particular the continued economic uncertainty and its impact on the company. As part of their assessment, they have prepared forecasts which take a prudent account of expectations around trading performance and profitability in light of the above. As part of this the directors have considered the company’s financial strength, together with the range of measures they have taken to mitigate the current economic uncertainty, and the financial support available from the wider group if required.
Based on this, the directors have concluded that they have a reasonable expectation that the company will have adequate resources to continue in operational existence for the foreseeable future, being at least twelve months from the date of signing these financial statements, and they therefore continue to adopt the going concern basis of accounting in preparing these financial statements.

 
2.5

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:
Rendering of services
Revenue from a contract to provide services is recognised in the period in which the services are provided and the company has discharged its responsibilities, being the departure date for export services and arrival date for import services and when all of the following conditions are satisfied:
 
the amount of revenue can be measured reliably;
it is probable that the company will receive the consideration due under the contract;
the stage of completion of the contract at the end of the reporting period can be measured reliably; and
the costs incurred and the costs to complete the contract can be measured reliably.

Warehouse revenue is recognised over the period in which the services are provided.

 
2.6

Operating leases: the company as lessee

Rentals paid under operating leases are charged to profit or loss on a straight-line basis over the lease term.

Benefits received and receivable as an incentive to sign an operating lease are recognised on a straight-line basis over the lease term, unless another systematic basis is representative of the time pattern of the lessee's benefit from the use of the leased asset.

Page 14

 
NTG EBREX UK LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.7

Foreign currency translation

Functional and presentation currency

The company's functional and presentational currency is GBP.

Transactions and balances

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

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

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

 
2.8

Interest income

Interest income is recognised in profit or loss using the effective interest method.

 
2.9

Borrowing costs

All borrowing costs are recognised in profit or loss in the year in which they are incurred.

 
2.10

Pensions

Defined contribution pension plan

The company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the company pays fixed contributions into a separate entity. Once the contributions have been paid the company has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Statement of Financial Position. The assets of the plan are held separately from the company in independently administered funds.

Page 15

 
NTG EBREX UK LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.11

Share-based payments

Certain key employees have been granted share options by the ultimate parent company. The fair value of the options at the date of grant is charged to profit or loss over the vesting period. Non-market vesting conditions are taken into account by adjusting the number of equity instruments expected to vest at each reporting date so that, ultimately, the cumulative amount recognised over the vesting period is based on the number of options that eventually vest. Market vesting conditions are factored into the fair value of the options granted. The cumulative expense is not adjusted for failure to achieve a market vesting condition.
The fair value of the award also takes into account non-vesting conditions. These are either factors beyond the control of either party (such as a target based on an index) or factors which are within the control of one or other of the parties (such as the group keeping the scheme open).

 
2.12

Current and deferred taxation

The tax expense for the year comprises current and deferred tax. Tax is recognised in profit or loss except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the company operates and generates income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the reporting date, except that:
The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.

Page 16

 
NTG EBREX UK LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.13

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

At each reporting date the company assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined which is the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided on the following basis:

Plant and machinery
-
20 to 33%
Motor vehicles
-
over one year
Fixtures and fittings
-
20%
Assets in the course of construction
-
Not depreciated until brought into use

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

 
2.14

Valuation of investments

Investments in subsidiaries are measured at cost less accumulated impairment.

 
2.15

Stocks

Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less costs to complete and sell. 

 
2.16

Debtors

Short-term debtors are measured at transaction price, less any impairment.

 
2.17

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

Page 17

 
NTG EBREX UK LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

2.Accounting policies (continued)

 
2.18

Creditors

Short-term creditors are measured at the transaction price.

 
2.19

Financial instruments

The Company only enters into basic financial instruments that result in the recognition of financial assets and liabilities like trade and other debtors and creditors and loans from and to related parties.

 
2.20

Dividends

Equity dividends are recognised when they become legally payable. Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.

  
2.21

Invoice factoring

During the year the company has entered into a non-recourse factoring arrangement. The amounts owed by customers to the company are included within trade debtors net of the amounts received from the debt factoring company. The interest element of the factoring charges and other related costs are recognised as they accrue and are included in the statement of income and retained earnings with other interest charges.


3.


Judgments in applying accounting policies and key sources of estimation uncertainty

In applying the company's accounting policies, the Directors are required to make judgements, estimates and assumptions. These are continually evaluated and are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and assumptions are reviewed on an ongoing basis. Revisions to estimates are recognised in the period in which the estimate is revised if the revision affects only that period or in the period of revision and future periods, if the revision affects both current and future periods.
The estimates and assumptions which have a significant risk of causing a material adjustment to the carrying amount of assets and liabilities are:
Anticipated freight costs
The directors make an estimate of the anticipated freight income and associated costs for all contracts. These are included within prepayments and accrued income and trade creditors respectively.

Page 18

 
NTG EBREX UK LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

4.


Turnover

The whole of the turnover is attributable to the principal activity of the company of freight forwarding and storage, repacking and transport.

Analysis of turnover by country of destination:

2023
2022
£
£

United Kingdom
27,874,201
26,149,777

Rest of Europe
2,329,827
2,589,941

30,204,028
28,739,718



5.


Cost reclassification

During the year there has been a reclassification of certain expenses to cost of sales from administrative expenses. The comparatives have been updated for this.  Overall, there has been an increase in cost of sales and reduction in administrative expenses amounting to £984,264 (2022 - £887,155).


6.


Operating profit

The operating profit is stated after charging:

2023
2022
£
£

Exchange differences
3,285
(92,601)

Other operating lease rentals
766,763
715,925

Equipment hire
16,615
31,601


7.


Auditors' remuneration

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


2023
2022
£
£

Fees payable to the company's auditors for the audit of the company's financial statements
22,250
24,750

Page 19

 
NTG EBREX UK LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

8.


Employees

Staff costs, including directors' remuneration, were as follows:


As restated
2023
2022
£
£

Wages and salaries
2,109,548
1,736,158

Social security costs
199,779
221,595

Cost of defined contribution scheme
122,390
105,422

2,431,717
2,063,175


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


        2023
        2022
            No.
            No.







Administration staff
42
42



Other staff
21
21

63
63


9.


Directors' remuneration

2023
2022
£
£

Directors' emoluments
96,994
77,615

Company contributions to defined contribution pension schemes
7,911
5,602

104,905
83,217


During the year retirement benefits were accruing to 1 director (2022 - 1) in respect of defined contribution pension schemes.

Only one director was remunerated through the company. This director received share options in the current year and previous year in the parent's shares.

Page 20

 
NTG EBREX UK LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

10.


Interest payable and similar expenses

2023
2022
£
£


Interest payable to group undertakings
1,729
-

Finance leases and hire purchase contracts
1,656
5,476

Other interest payable
4,828
43

8,213
5,519


11.


Taxation


2023
2022
£
£

Corporation tax


Current tax on profits for the year
476,334
405,237

Adjustments in respect of previous periods
55,000
(26,184)


Total current tax
531,334
379,053

Deferred tax


Origination and reversal of timing differences
134,685
4,092

Total deferred tax
134,685
4,092


Tax on profit
666,019
383,145
Page 21

 
NTG EBREX UK LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
 
11.Taxation (continued)


Factors affecting tax charge for the year

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

2023
2022
£
£


Profit on ordinary activities before tax
2,452,444
2,091,349


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 23.5% (2022 - 19%)
576,324
397,356

Effects of:


Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
34,695
6,856

Adjustments to tax charge in respect of prior periods
55,000
(26,184)

Deferred tax unprovided in prior year
-
2,098

Adjustment due to change in tax rate
-
3,019

Total tax charge for the year
666,019
383,145


Factors that may affect future tax charges

From 1 April 2023 the corporation tax rate increased to 25% from 19% so for the financial year ended 31 December 2023 the current weighted averaged tax rate was 23.5% and in future will be 25%.
Deferred taxes at the balance sheet date have been measured using the 25% tax rate.


12.


Dividends

2023
2022
£
£


Dividends paid
3,500,000
950,000

3,500,000
950,000

Page 22

 
NTG EBREX UK LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

13.


Tangible fixed assets





Plant and machinery
Motor vehicles
Fixtures and fittings
Assets in the course of construction
Total

£
£
£
£
£



Cost or valuation


At 1 January 2023
86,072
1,408
61,478
-
148,958


Additions
39,124
10,392
409,723
145,993
605,232


Disposals
(9,141)
(1,408)
-
-
(10,549)



At 31 December 2023

116,055
10,392
471,201
145,993
743,641



Depreciation


At 1 January 2023
63,030
-
42,568
-
105,598


Charge for the year on owned assets
17,947
1,847
28,862
-
48,656


Disposals
(9,141)
-
-
-
(9,141)



At 31 December 2023

71,836
1,847
71,430
-
145,113



Net book value



At 31 December 2023
44,219
8,545
399,771
145,993
598,528



At 31 December 2022
23,042
1,408
18,910
-
43,360

Page 23

 
NTG EBREX UK LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

14.


Fixed asset investments





Investments in subsidiary companies

£



Cost or valuation


At 1 January 2023
431,539



At 31 December 2023
431,539





Subsidiary undertakings


The following were subsidiary undertakings of the company:

Name

Registered office

Class of shares

Holding

Chad Holdings Limited
Unit 1 Liberty Park, Burton Old Road, Lichfield WS14 9HY
Ordinary
100%
Twente Express Limited (indirect through Chad Holdings Limited)
Unit 1 Liberty Park, Burton Old Road, Lichfield WS14 9HY
Ordinary
100%

Page 24

 
NTG EBREX UK LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

15.


Stocks

2023
2022
£
£

Finished goods
-
197,029

-
197,029



16.


Debtors

2023
2022
£
£



Trade debtors
1,448,056
5,064,627

Amounts owed by group undertakings
216,741
2,654,687

Other debtors
833,635
1,259,201

Prepayments and accrued income
1,644,268
422,070

4,142,700
9,400,585


Included within other debtors are amounts totalling £121,524 (2022 - £121,924) relating to amounts falling due greater than one year.
Included within other debtors is £484,293 (2022 - £1,086,720) relating to cash held within a designated bank account, in relation to a guarantee.
Trade debtors are stated after a bad debt provision of £84,933 (2022 - £402,405).
Included within trade debtors is £Nil (2022 - £5,474,753) which is receivable through the company's invoice discounting facility.


17.


Cash and cash equivalents

2023
2022
£
£

Cash at bank and in hand
3,306,548
514,706

Less: bank overdrafts
(230,622)
-

3,075,926
514,706


Page 25

 
NTG EBREX UK LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

18.


Creditors: Amounts falling due within one year

2023
2022
£
£

Bank overdrafts
230,622
-

Trade creditors
2,879,946
2,302,307

Amounts owed to group undertakings
1,954,702
2,614,974

Corporation tax
219,334
213,487

Other taxation and social security
51,887
33,532

Other creditors
5,361
408,143

Accruals and deferred income
52,922
351,345

5,394,774
5,923,788


Included in trade creditors is £41,610 (2022 - £18,510) of VAT due to HMRC under the Duty Deferment Guarantee scheme which is secured.


19.


Deferred taxation




2023


£






At beginning of year
13,481


Charged to profit or loss
134,685



At end of year
148,166

The provision for deferred taxation is made up as follows:

2023
2022
£
£


Accelerated capital allowances
146,967
10,216

Other timing differences
1,199
3,265

148,166
13,481


The net deferred tax liability expected to reverse in 2024 is £41,835.

Page 26

 
NTG EBREX UK LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

20.


Share capital

2023
2022
£
£
Allotted, called up and fully paid



1,000 (2022 - Nil) Ordinary shares of £0.10 each
100
-
Nil (2022 - 100) Ordinary shares of £1.00 each
-
100

100

100

During 2023 a sub-division of shares took place, converting 100 ordinary shares with a nominal value of £1 each, to 1,000 ordinary shares with a nominal value of £0.10 each.



21.


Reserves

Profit and loss account

The profit and loss account includes all current and prior period retained profits and losses.


22.


Pension commitments

The company operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the company  in an independently administered fund. The pension cost charge represents contributions payable by the company  to the fund and amounted to £122,390 (2022 - £105,422). Contributions totalling £4,797 (2022 - £13,058) were payable to the fund at the reporting date and are included in creditors.


23.


Commitments under operating leases

At 31 December 2023 the company had future minimum lease payments owed under non-cancellable operating leases for each of the following periods:

2023
2022
£
£


Not later than 1 year
1,198,362
125,577

Later than 1 year and not later than 5 years
3,895,344
53,533

5,093,706
179,110

Page 27

 
NTG EBREX UK LTD
 
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023

24.


Related party transactions

The following transactions have been completed by the company with group companies:


2023
2022
£
£

Sales
917,196
798,845
Purchases
9,453,804
9,207,580
Debtor balances
218,186
2,654,687
Creditor balances
2,100,947
2,614,974
Dividends paid
3,500,000
950,000


25.


Controlling party

The parent company and ultimate controlling party is NTG Nordic Transport Group A/S. NTG Nordic Transport Group A/S is incorporated in Denmark, registered office Hammerholmen 47, DK-2650 Hvidovre, Denmark
The smallest and largest group to consolidate these financial statements is NTG Nordic Transport Group A/S. Their accounts are available from the Danish Central Business Register.

 
Page 28