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REGISTERED NUMBER: 01793834 (England and Wales)


























STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 DECEMBER 2023

FOR

ABBEY MASTERBATCH LIMITED

ABBEY MASTERBATCH LIMITED (REGISTERED NUMBER: 01793834)

CONTENTS OF THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023










Page

Company Information 1

Strategic Report 2

Report of the Directors 3

Report of the Independent Auditors 4

Statement of Comprehensive Income 6

Balance Sheet 7

Statement of Changes in Equity 8

Notes to the Financial Statements 9


ABBEY MASTERBATCH LIMITED

COMPANY INFORMATION
FOR THE YEAR ENDED 31 DECEMBER 2023







DIRECTORS: Mr J M Shirt
Mrs R J Shirt
Mrs L C Mather
Mr M A Shirt
Mr R J Shirt





SECRETARIES: Mr J M Shirt
Mrs L C Mather





REGISTERED OFFICE: Whitelands Mill
Whitelands Road
Ashton Under Lyne
Lancashire
OL6 6UG





REGISTERED NUMBER: 01793834 (England and Wales)





AUDITORS: Livesey Spottiswood Ltd
Chartered Accountants and
Statutory Auditors
17 George Street
St Helens
Merseyside
WA10 1DB

ABBEY MASTERBATCH LIMITED (REGISTERED NUMBER: 01793834)

STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023


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

During the year, the company's main activities continued to be the production of thermoplastic compounds, powders and resins for the plastics industry, together with pigment dispersions and concentrates for the paint and ink industries.

REVIEW OF BUSINESS
The directors consider both turnover and gross profit percentage to be key indicators of it's performance.

Turnover in the year has reduced to £9,144,519 in the current year from £11,191,286 in the previous year. The directors believe that this is due to the current worldwide economic climate as all geographical markets appear to be reflecting a downturn.

The directors are, however, pleased to report that despite the current inflationary pressures faced by the company, gross profit margin has increased slightly from 20.1% in the previous year to 21.6% in the current year.

Unfortunately, due to the reduction in turnover, the company's gross profit in monetary terms has reduced by £281,191 in the current year.

The impact of the reduction in gross profit has, in part, been offset by the directors placing surplus funds on longer term deposit in order to take advantage of rising interest rates and the directors are pleased to have achieved a return of £157,554 on these funds.

Net profit for the year amounts to £303,939 compared with £729,797 in the previous year.

The directors are satisfied with the results given the current economic climate.

PRINCIPAL RISKS AND UNCERTAINTIES
The directors consider the company's principal business risks and uncertainties to be the increasing competition from emerging markets and the volatility of currency exchange rates.

As the Asian economies continue to expand further into world markets, there will undoubtedly become increased competition across all industries. However, the directors are confident that the products manufactured by the company will be of sufficiently higher quality than those produced by any new entrants to the marketplace to negate any potential loss of market share.

The directors believe that the current political climate could have a further detrimental effect on the exchange rates between Sterling and other currencies. At present the directors do not consider this to be a major risk, however, should circumstances change the directors would consider strategies to mitigate these risks.

ON BEHALF OF THE BOARD:





Mr J M Shirt - Director


16 September 2024

ABBEY MASTERBATCH LIMITED (REGISTERED NUMBER: 01793834)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 31 DECEMBER 2023


The directors present their report with the financial statements of the company for the year ended 31 December 2023.

DIVIDENDS
The total distribution of dividends for the year ended 31 December 2023 is £200,000.

DIRECTORS
The directors shown below have held office during the whole of the period from 1 January 2023 to the date of this report.

Mr J M Shirt
Mrs R J Shirt
Mrs L C Mather
Mr M A Shirt
Mr R J Shirt

QUALIFYING THIRD PARTY INDEMNITY PROVISIONS
A qualifying third party indemnity provision as defined in section 234 of the Companies Act 2006, applicable to all of the company's directors was in place during the financial year and continues to be in force as at the date these financial statements were approved.

STATEMENT OF DIRECTORS' RESPONSIBILITIES
The directors are responsible for preparing the Strategic Report, 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), 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 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.

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 company'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 company's auditors are aware of that information.

ON BEHALF OF THE BOARD:





Mr J M Shirt - Director


16 September 2024

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
ABBEY MASTERBATCH LIMITED


Opinion
We have audited the financial statements of Abbey Masterbatch Limited (the 'company') for the year ended 31 December 2023 which comprise the Statement of Comprehensive Income, Balance Sheet, 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 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 UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

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

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

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

Other information
The directors are responsible for the other information. The other information comprises the information in the Strategic Report and 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 Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the Strategic Report and the Report of the Directors 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 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, 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.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
ABBEY MASTERBATCH LIMITED


Responsibilities of directors
As explained more fully in the Statement of Directors' Responsibilities set out on page three, 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 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.

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:

- Discussions with management and those involved in the financial reporting process including consideration of known or suspected instances of non-compliance with laws and regulations central to the company's ability to operate, and fraud;
- Review of the company's communication with ISO auditors to identify any instances of non-compliance with laws and regulations central to the company's ability to operate;
- Evaluation and testing of the operating effectiveness of management's controls designed to prevent and detect irregularities; and
- Identifying and testing journal entries, in particular any journal entries posted with unusual account combinations or of significant monetary amounts.

There are inherent limitations in the audit procedures described above. The further removed non-compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely we would become aware of it. 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.

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.




David Hudd BA FCA (Senior Statutory Auditor)
for and on behalf of Livesey Spottiswood Ltd
Chartered Accountants and
Statutory Auditors
17 George Street
St Helens
Merseyside
WA10 1DB

24 September 2024

ABBEY MASTERBATCH LIMITED (REGISTERED NUMBER: 01793834)

STATEMENT OF COMPREHENSIVE
INCOME
FOR THE YEAR ENDED 31 DECEMBER 2023

2023 2022
Notes £    £   

TURNOVER 3 9,144,519 11,191,286

Cost of sales (7,168,779 ) (8,934,355 )
GROSS PROFIT 1,975,740 2,256,931

Distribution costs (142,438 ) (155,103 )
Administrative expenses (1,686,917 ) (1,372,035 )
OPERATING PROFIT 5 146,385 729,793

Interest receivable and similar income 157,554 4
PROFIT BEFORE TAXATION 303,939 729,797

Tax on profit 6 (56,449 ) (32,014 )
PROFIT FOR THE FINANCIAL YEAR 247,490 697,783

OTHER COMPREHENSIVE INCOME - -
TOTAL COMPREHENSIVE INCOME FOR
THE YEAR

247,490

697,783

ABBEY MASTERBATCH LIMITED (REGISTERED NUMBER: 01793834)

BALANCE SHEET
31 DECEMBER 2023

2023 2022
Notes £    £   
FIXED ASSETS
Tangible assets 8 1,636,806 1,758,270

CURRENT ASSETS
Stocks 9 2,153,159 2,276,576
Debtors 10 1,245,968 1,297,344
Cash at bank and in hand 6,255,395 5,369,526
9,654,522 8,943,446
CREDITORS
Amounts falling due within one year 11 (1,480,193 ) (909,620 )
NET CURRENT ASSETS 8,174,329 8,033,826
TOTAL ASSETS LESS CURRENT
LIABILITIES

9,811,135

9,792,096

PROVISIONS FOR LIABILITIES 13 (316,652 ) (345,103 )
NET ASSETS 9,494,483 9,446,993

CAPITAL AND RESERVES
Called up share capital 14 47,000 47,000
Freehold property revaluation reserve 15 846,840 856,651
Retained earnings 15 8,600,643 8,543,342
SHAREHOLDERS' FUNDS 9,494,483 9,446,993

The financial statements were approved by the Board of Directors and authorised for issue on 16 September 2024 and were signed on its behalf by:





Mr J M Shirt - Director


ABBEY MASTERBATCH LIMITED (REGISTERED NUMBER: 01793834)

STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 DECEMBER 2023

Freehold
Called up property
share Retained revaluation Total
capital earnings reserve equity
£    £    £    £   
Balance at 1 January 2022 47,000 7,836,857 894,023 8,777,880

Changes in equity
Profit for the year - 697,783 - 697,783
Other comprehensive income - 37,372 (37,372 ) -
Total comprehensive income - 735,155 (37,372 ) 697,783
Dividends - (28,670 ) - (28,670 )
Balance at 31 December 2022 47,000 8,543,342 856,651 9,446,993

Changes in equity
Profit for the year - 247,490 - 247,490
Other comprehensive income - 9,811 (9,811 ) -
Total comprehensive income - 257,301 (9,811 ) 247,490
Dividends - (200,000 ) - (200,000 )
Balance at 31 December 2023 47,000 8,600,643 846,840 9,494,483

ABBEY MASTERBATCH LIMITED (REGISTERED NUMBER: 01793834)

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023


1. STATUTORY INFORMATION

Abbey Masterbatch Limited 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

Basis of preparing the financial statements
The nature of the company's operations and principal activities are as detailed in the Strategic report on page 2.

The financial statements have been prepared in accordance with applicable accounting standards including Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and Republic of Ireland (FRS 102) and the Companies Act 2006. The financial statements have been prepared on a going concern basis under the historical cost convention except for the modification to fair value of certain fixed assets. The financial statements are presented in sterling which is the functional currency of the company.

The significant accounting policies applied in the preparation of these financial statements are set out below. These policies have been consistently applied to all years unless otherwise stated.

Critical accounting judgements and key sources of estimation uncertainty
In the application of the company's accounting policies as set out below, management is required to make judgements, estimates and assumptions about the carrying values of assets and liabilities that are not readily apparent from other sources. The estimates and underlying 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 if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

The key sources of estimation uncertainty that have a significant effect on the amounts recognised in the financial statements are described below.

Valuation of freehold property
As described in note 8 to the financial statements, freehold property is stated at deemed cost on transition to FRS102 based on a valuation performed by an independent professional valuer with experience in the location and category of property valued. The valuer used an open market basis for the valuation.

Useful economic lives of tangible fixed assets
The annual depreciation charge for tangible fixed assets is sensitive to changes in the estimated useful economic lives of the assets. These are amended when necessary to reflect current estimates based on technological advancement, future investment, economic utilisation and the physical condition of the assets. See note 8 for the carrying amount of the tangible fixed assets and the accounting policies for the depreciation rates for each class of assets.

Provisions for future repairs
The company makes provision for the significant overhaul of plant and machinery as a result of past usage together with provision for major works in respect of it's freehold property.

Financial Reporting Standard 102 - reduced disclosure exemptions
The company has taken advantage of the following disclosure exemption in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":

the requirements of Section 7 Statement of Cash Flows.

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 its parent company, ATL Industries Limited or other wholly owned subsidiaries within the group.

Turnover
Turnover is measured at the fair value of the consideration received or receivable net of VAT and trade discounts.

Turnover from the sale of goods is recognised when the significant risks and rewards of ownership have transferred to the buyer, the amount of turnover can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the company and the costs incurred or to be incurred in respect of the transaction can be measured reliably. This is usually on dispatch of the goods.

ABBEY MASTERBATCH LIMITED (REGISTERED NUMBER: 01793834)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 DECEMBER 2023


2. ACCOUNTING POLICIES - continued

Tangible fixed assets
Tangible fixed assets are stated at cost (or deemed cost) or valuation less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended.

Depreciation is provided on all tangible fixed assets (except freehold land) at rates calculated to write off the cost, less estimated residual value, of each asset on a systematic basis over its expected useful life as follows:

Freehold property-2% straight line
Plant and machinery-15% straight line
Office equipment-15% straight line

Assets are reviewed for any indication that the asset may be impaired at each balance sheet date. If such indication exists, the recoverable amount of the asset is estimated and compared to the carrying amount. Where the carrying amount exceeds its recoverable amount, an impairment loss is recognised in profit and loss unless the asset is carried at a revalued amount, where the impairment loss is a revaluation decrease.

Stocks
Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost includes all direct production costs, costs of conversion and other costs incurred in bringing stock to its present location and condition. Cost is calculated using the first-in-first-out formula. Provision is made for damaged, obsolete and slow moving stock where appropriate.

Taxation
Current tax represents the amount of tax payable or receivable in respect of the taxable profit (or loss) for the current or past reporting periods. It is measured at the amount expected to be paid or recovered using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.

Deferred tax represents the future tax consequences of transactions and events recognised in the financial statements of current and previous periods. It is recognised in respect of all timing differences, with certain exceptions. Timing differences are differences between taxable profits and total comprehensive income as stated in the financial statements that arise from the inclusion of income and expense in tax assessments in periods different from those in which they are recognised in the financial statements. 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.

Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date that are expected to apply to the reversal of timing differences.

Related parties
For the purposes of these financial statements, a party is considered to be related to the company if:
1. the party has the ability, directly or indirectly, through one or more intermediaries, to control the company or exercise significant influence over the company in making financial and operating decisions, or has joint control over the company;
2. the company and the party are subject to common control;
3. the party is an associate of the company or a joint venture in which the company is a venturer;
4. the party is a member of key management personnel of the company or the company's parent, or close family member of such an individual, or is an entity under the control, joint control or significant influence of such individuals;
5. the party is a close family member of a party referred to in (1) or is an entity under the control, joint control or significant influence of such individuals; or
6. the party is a post-employment benefit plan which is for the benefit of employees of the company or of any entity that is a related party of the company.

Close family members of an individual are those family members who may be expected to influence, or be influenced by, that individual in their dealings with the entity.

Foreign currencies
Transactions in currencies, other than the functional currency of the company, are recorded at the rate of exchange on the date the transaction occurred. Monetary items denominated in other currencies are translated at the rate prevailing at the end of the reporting period. All differences are taken to the profit and loss account.

Research and development
Research and development expenditure is written off as incurred.

ABBEY MASTERBATCH LIMITED (REGISTERED NUMBER: 01793834)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 DECEMBER 2023


2. ACCOUNTING POLICIES - continued

Employee benefits
When employees have rendered services to the company, short-term employee benefits to which the employees are entitled are recognised at the undiscounted amount expected to be paid for that service.

The company operates a defined contribution plan for the benefit of its directors and employees. Contributions are expensed as they become payable.

Leased assets
Assets that are held by the company under leases which transfer to the company substantially all the risks and rewards of ownership are classified as being held under finance leases. Leases which do not transfer substantially all the risks and rewards of ownership to the company are classified as operating leases.

Assets held under finance leases are initially recognised as assets of the Company at their fair value at the inception of the lease or, if lower, at the present value of the minimum lease payments. The corresponding liability to the lessor is included in the statement of financial position as a finance lease obligation. Lease payments are apportioned between finance expenses and reduction of the lease obligation so as to achieve a constant rate of interest on the remaining balance of the liability. Finance expenses are recognised immediately in profit or loss. Contingent rentals are recognised as expenses in the periods in which they are incurred.

Operating lease payments are recognised as an expense on a straight-line basis over the lease term, except where another systematic basis is more representative of the time pattern in which economic benefits from the leased asset are consumed. Contingent rentals arising under operating leases are recognised as an expense in the period in which they are incurred.

In the event that lease incentives are received to enter into operating leases, such incentives are recognised as a liability. The aggregate benefit of incentives is recognised as a reduction of rental expense on a straight-line basis, except where another systematic basis is more representative of the time pattern in which economic benefits from the leased asset are consumed.

Debtors and creditors receivable/ payable within one year
Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment are recognised in the profit and loss account in administrative expenses.

3. TURNOVER

The turnover was derived from the company's principal activities.

During the year, the company exported 51% of its turnover (2022 - 55%).

4. EMPLOYEES AND DIRECTORS
2023 2022
£    £   
Wages and salaries 1,831,027 1,481,836
Social security costs 215,076 178,228
Other pension costs 70,327 71,673
2,116,430 1,731,737

The average number of employees during the year was as follows:
2023 2022

Management and administration 11 12
Production 28 27
39 39

2023 2022
£    £   
Directors' remuneration 1,022,783 694,787
Directors' pension contributions to money purchase schemes 32,044 30,800

ABBEY MASTERBATCH LIMITED (REGISTERED NUMBER: 01793834)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 DECEMBER 2023


4. EMPLOYEES AND DIRECTORS - continued

The number of directors to whom retirement benefits were accruing was as follows:

Money purchase schemes 3 3

Information regarding the highest paid director is as follows:
2023 2022
£    £   
Emoluments etc 332,365 222,908
Pension contributions to money purchase schemes 10,000 10,000

5. OPERATING PROFIT

The operating profit is stated after charging:

2023 2022
£    £   
Depreciation - owned assets 175,600 188,205
Auditors' remuneration 9,350 8,500
Operating lease payments 76,937 79,176
Foreign currency exchange rate variances - 41,867

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 84,900 -

Deferred tax:
In respect of accelerated capital allowances (21,574 ) 11,330
In respect of revalued property (6,877 ) 20,684
Total deferred tax (28,451 ) 32,014
Tax on profit 56,449 32,014

Reconciliation of total tax charge included in profit and loss
The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below:

2023 2022
£    £   
Profit before tax 303,939 729,797
Profit multiplied by the standard rate of corporation tax in the UK of 25% (2022 -
19%)

75,985

138,661

Effects of:
Expenses not deductible for tax purposes 5,662 4,102
Depreciation in excess of capital allowances 24,028 4,462
Utilisation of tax losses (14,759 ) -
Research and development claim - (148,308 )
Group relief (676 ) 1,083
Changes in tax rates (5,340 ) -
Movement on deferred tax provision (28,451 ) 32,014
Total tax charge 56,449 32,014

ABBEY MASTERBATCH LIMITED (REGISTERED NUMBER: 01793834)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 DECEMBER 2023


7. DIVIDENDS
2023 2022
£    £   
Dividends paid 200,000 28,670

8. TANGIBLE FIXED ASSETS
Freehold Plant and Office
property machinery equipment Totals
£    £    £    £   
COST
At 1 January 2023 1,517,696 4,152,776 165,219 5,835,691
Additions - 51,081 3,055 54,136
At 31 December 2023 1,517,696 4,203,857 168,274 5,889,827
DEPRECIATION
At 1 January 2023 227,819 3,700,617 148,985 4,077,421
Charge for year 27,507 140,112 7,981 175,600
At 31 December 2023 255,326 3,840,729 156,966 4,253,021
NET BOOK VALUE
At 31 December 2023 1,262,370 363,128 11,308 1,636,806
At 31 December 2022 1,289,877 452,159 16,234 1,758,270

The freehold property is included at deemed cost to reflect its valuation on transition to FRS102.

The historical cost of the freehold property at 31 December 2023 amounts to £567,061 (2022 - £567,061) and the accumulated depreciation thereon amounts to £88,446 (2022 - £77,627).

The historical cost of the freehold property includes land with a value of £26,145 (2022 - £26,145) on which no depreciation charge is made.

9. STOCKS
2023 2022
£    £   
Raw materials 1,128,637 1,316,165
Finished goods 1,024,522 960,411
2,153,159 2,276,576

10. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2023 2022
£    £   
Trade debtors 1,197,522 1,269,406
Amounts owed by group undertakings - 36
Other debtors 324 324
Prepayments 48,122 27,578
1,245,968 1,297,344

ABBEY MASTERBATCH LIMITED (REGISTERED NUMBER: 01793834)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 DECEMBER 2023


11. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2023 2022
£    £   
Trade creditors 167,618 189,903
Amounts owed to group undertakings 158,680 -
Corporation tax 84,900 -
Social security and other taxes 90,508 100,132
Other creditors 10,341 8,113
Accrued expenses 968,146 611,472
1,480,193 909,620

12. LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:
2023 2022
£    £   
Within one year 2,542 36,638
Between one and five years 16,652 -
In more than five years 420,000 455,000
439,194 491,638

The company leases one of the buildings from which it operates, from The Shirt Family Pension Fund, at an amount of £35,000 per annum until 31 December 2035.

13. PROVISIONS FOR LIABILITIES
2023 2022
£    £   
Deferred tax
Accelerated capital allowances 93,821 115,395
On revalued property 101,081 107,958
194,902 223,353

Other provisions
Repairs provision 121,750 121,750

Aggregate amounts 316,652 345,103

Deferred Repairs
tax provision
£    £   
Balance at 1 January 2023 223,353 121,750
Movement in the year (28,451 ) -
Balance at 31 December 2023 194,902 121,750

14. CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:
Number: Class: Nominal 2023 2022
value: £    £   
47,000 Ordinary £1 47,000 47,000

ABBEY MASTERBATCH LIMITED (REGISTERED NUMBER: 01793834)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31 DECEMBER 2023


15. OTHER RESERVES
Freehold
property
Retained revaluation
earnings reserve Totals
£    £    £   

At 1 January 2023 8,543,342 856,651 9,399,993
Profit for the year 247,490 - 247,490
Dividends (200,000 ) - (200,000 )
Transfer for depreciation charged on
revalued assets

16,688

(16,688

)

-

Deferred tax movement on revalued
property

(6,877

)

6,877

-

At 31 December 2023 8,600,643 846,840 9,447,483

16. PENSION COMMITMENTS

The company operates defined contribution pension schemes on behalf of certain employees and directors. The assets of the schemes are held separately from those of the company in independently administered funds. Contributions paid during the year amounted to £70,327 (2022 - £71,673). At 31 December 2023, £7,419 (2022 - £5,480) was payable in respect of outstanding pension contributions.

17. ULTIMATE PARENT COMPANY

The company's ultimate parent company is ATL Industries Limited, a company incorporated in England and Wales. The registered office of ATL Industries Limited is Whitelands Mill, Whitelands Road, Ashton Under Lyne, Lancashire, OL6 6UG.

ATL Industries Limited holds 100% of the issued share capital of the company.

18. RELATED PARTY DISCLOSURES

During the year the company has purchased goods amounting to £343,200 (2022 - £326,725) from Abbey Vietnam Limited, a joint venture in which the company's parent, ATL Industries Limited has an interest. Normal commercial terms applied.

Also during the year, the company has paid rent amounting to £35,000 (2022 - £35,000) to The Shirt Family Pension Fund, a fund in which the directors Mr M A Shirt and Mr R J Shirt are beneficiaries. Normal commercial terms applied.

During the year, a total of key management personnel compensation of £ 1,054,827 (2022 - £ 725,587 ) was paid.

19. ULTIMATE CONTROLLING PARTY

The ultimate controlling party is the director, Mr J M Shirt by virtue of his controlling interest in the company's ultimate parent company, ATL Industries Limited.