REGISTERED NUMBER: 12744628 (England and Wales) |
Group Strategic Report, Report of the Director and |
Consolidated Financial Statements for the Year Ended 31 December 2023 |
for |
Comms Capital Holdings Ltd |
REGISTERED NUMBER: 12744628 (England and Wales) |
Group Strategic Report, Report of the Director and |
Consolidated Financial Statements for the Year Ended 31 December 2023 |
for |
Comms Capital Holdings Ltd |
Comms Capital Holdings Ltd (Registered number: 12744628) |
Contents of the Consolidated Financial Statements |
for the Year Ended 31 December 2023 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Report of the Director | 3 |
Report of the Independent Auditors | 5 |
Consolidated Income Statement | 8 |
Consolidated Other Comprehensive Income | 9 |
Consolidated Balance Sheet | 10 |
Company Balance Sheet | 11 |
Consolidated Statement of Changes in Equity | 12 |
Company Statement of Changes in Equity | 13 |
Consolidated Cash Flow Statement | 14 |
Notes to the Consolidated Cash Flow Statement | 15 |
Notes to the Consolidated Financial Statements | 16 |
Comms Capital Holdings Ltd |
Company Information |
for the Year Ended 31 December 2023 |
DIRECTOR: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
The Old Grange |
Warren Estate |
Lordship Road |
Writtle |
Essex |
CM1 3WT |
Comms Capital Holdings Ltd (Registered number: 12744628) |
Group Strategic Report |
for the Year Ended 31 December 2023 |
The director presents her strategic report of the company and the group for the year ended 31 December 2023. |
REVIEW OF BUSINESS |
The directors are pleased to report on another very positive financial year as the group continues to build on the foundations laid in previous years, despite a very competitive market place. The strong performance in 2022 has continued into the current financial year. |
The turnover of the group has increased by 3% in the year and the group has maintained its gross profit margin. |
There continues to be a general global shortage of raw materials and component parts, but the group has maintained its higher stock levels, built up in 2021, to provide it with security against longer lead times. |
The directors remain confident in the team they have developed and they are confident that the group will continue strongly going forward. |
The growth of the group is underpinned by the following key principles: |
- Competitive pricing |
- Increasing online customer awareness |
- Regular training of sales staff, to ensure they have the knowledge to advise customers accordingly |
- Securing large contractor sales |
- Maintaining a good relationship with new customers to ensure repeat business |
PRINCIPAL RISKS AND UNCERTAINTIES |
The group's main risks arise from the continued general shortage of raw materials. The group has however continued to trade well because of increased stock levels and has maintained a good level of cash reserves and a strong balance sheet position. The directors are optimistic for the future. |
ON BEHALF OF THE BOARD: |
13 September 2024 |
Comms Capital Holdings Ltd (Registered number: 12744628) |
Report of the Director |
for the Year Ended 31 December 2023 |
The director presents his report with the financial statements of the company and the group for the year ended 31 December 2023. |
PRINCIPAL ACTIVITY |
The principal activity of the group in the year under review was that of retail of computer networking equipment. |
DIVIDENDS |
The total distribution of dividends for the period will be £380,647 (2022: £358,005). |
DIRECTORS |
Other changes in directors holding office are as follows: |
POLITICAL DONATIONS AND EXPENDITURE |
During the year, the group made donations of £4,666 to national charities. |
STATEMENT OF DIRECTOR'S RESPONSIBILITIES |
The director is responsible for preparing the Group Strategic Report, the Report of the Director and the financial statements in accordance with applicable law and regulations. |
Company law requires the director to prepare financial statements for each financial year. Under that law the director has 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 director must not approve the financial statements unless she is 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 director is 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 director is 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 her to ensure that the financial statements comply with the Companies Act 2006. She is 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 director is 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 she has taken all the steps that she ought to have taken as a director in order to make herself aware of any relevant audit information and to establish that the group's auditors are aware of that information. |
Comms Capital Holdings Ltd (Registered number: 12744628) |
Report of the Director |
for the Year Ended 31 December 2023 |
AUDITORS |
The auditors, Xeinadin Audit Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
ON BEHALF OF THE BOARD: |
Report of the Independent Auditors to the Members of |
Comms Capital Holdings Ltd |
Opinion |
We have audited the financial statements of Comms Capital Holdings Ltd (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 December 2023 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, 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 director's 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 director with respect to going concern are described in the relevant sections of this report. |
Other information |
The director is responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Director, 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 Group Strategic Report and the Report of the Director for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Group Strategic Report and the Report of the Director have been prepared in accordance with applicable legal requirements. |
Report of the Independent Auditors to the Members of |
Comms Capital Holdings 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 Group Strategic Report or the Report of the Director. |
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 director's remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
Responsibilities of director |
As explained more fully in the Statement of Director's Responsibilities set out on page three, the director is 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 director determines 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 director is 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 director either intends to liquidate the group or the parent company or to cease operations, or has no realistic alternative but to do so. |
Report of the Independent Auditors to the Members of |
Comms Capital Holdings Ltd |
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. |
We gained an understanding of the legal and regulatory framework applicable to the company and the industry in which it operates and considered the risk of the company of not complying with such laws and regulations, including fraud, where non-compliance could have a material impact on the financial statements. This included those regulations directly related to the financial statements, including financial reporting and tax legislation. In relation to the industry, this included health and safety and employment legislation. |
The risks were discussed with the audit team and we remained alert to any indications of non-compliance throughout the audit. We carried out specific procedures to address the risks identified as follows: |
- Review of the control environment |
- Meeting key personal responsible for specific functions relating to laws and regulations |
- Review of legal fees incurred |
- Agreeing the financial statement disclosures to underlying supporting documentation |
- Reviewing the key accounting policies and estimates |
To address the risk of management override of controls, we carried out testing of journal entries and other adjustments for appropriateness and evaluated the business rationale of significant transactions outside of the normal course of business. |
Because of 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 and 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 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 |
The Old Grange |
Warren Estate |
Lordship Road |
Writtle |
Essex |
CM1 3WT |
Comms Capital Holdings Ltd (Registered number: 12744628) |
Consolidated |
Income Statement |
for the Year Ended 31 December 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
TURNOVER | 20,721,671 | 20,151,730 |
Cost of sales | 15,857,133 | 15,458,648 |
GROSS PROFIT | 4,864,538 | 4,693,082 |
Distribution costs | 264,077 | 263,107 |
Administrative expenses | 3,526,695 | 3,158,775 |
3,790,772 | 3,421,882 |
OPERATING PROFIT | 4 | 1,073,766 | 1,271,200 |
Interest receivable and similar income | 22,501 | 2,108 |
PROFIT BEFORE TAXATION | 1,096,267 | 1,273,308 |
Tax on profit | 5 | 303,444 | 275,574 |
PROFIT FOR THE FINANCIAL YEAR |
Profit attributable to: |
Owners of the parent | 792,823 | 997,734 |
Comms Capital Holdings Ltd (Registered number: 12744628) |
Consolidated |
Other Comprehensive Income |
for the Year Ended 31 December 2023 |
2023 | 2022 |
Notes | £ | £ |
PROFIT FOR THE YEAR | 792,823 | 997,734 |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
792,823 |
997,734 |
Total comprehensive income attributable to: |
Owners of the parent | 792,823 | 997,734 |
Comms Capital Holdings Ltd (Registered number: 12744628) |
Consolidated Balance Sheet |
31 December 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 8 | 1,431,485 | 1,627,178 |
Tangible assets | 9 | 42,364 | 52,230 |
Investments | 10 | - | - |
1,473,849 | 1,679,408 |
CURRENT ASSETS |
Stocks | 11 | 1,673,518 | 2,074,017 |
Debtors | 12 | 1,509,119 | 1,545,053 |
Cash at bank and in hand | 1,777,578 | 1,586,740 |
4,960,215 | 5,205,810 |
CREDITORS |
Amounts falling due within one year | 13 | 1,937,509 | 2,717,975 |
NET CURRENT ASSETS | 3,022,706 | 2,487,835 |
TOTAL ASSETS LESS CURRENT LIABILITIES |
4,496,555 |
4,167,243 |
CREDITORS |
Amounts falling due after more than one year | 14 | - | (83,465 | ) |
PROVISIONS FOR LIABILITIES | 17 | (9,700 | ) | (9,100 | ) |
NET ASSETS | 4,486,855 | 4,074,678 |
CAPITAL AND RESERVES |
Called up share capital | 18 | 100 | 100 |
Share premium | 19 | 2,862,194 | 2,862,194 |
Retained earnings | 19 | 1,624,561 | 1,212,384 |
SHAREHOLDERS' FUNDS | 4,486,855 | 4,074,678 |
The financial statements were approved by the director and authorised for issue on 13 September 2024 and were signed by: |
Mr J Ellis - Director |
Comms Capital Holdings Ltd (Registered number: 12744628) |
Company Balance Sheet |
31 December 2023 |
2023 | 2022 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 8 |
Tangible assets | 9 |
Investments | 10 |
CURRENT ASSETS |
Debtors | 12 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 13 |
NET CURRENT LIABILITIES | ( |
) | ( |
) |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year | 14 |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 18 |
Share premium | 19 |
Retained earnings | 19 |
SHAREHOLDERS' FUNDS |
Company's profit for the financial year | 688,649 | 1,083,006 |
The financial statements were approved by the director and authorised for issue on |
Comms Capital Holdings Ltd (Registered number: 12744628) |
Consolidated Statement of Changes in Equity |
for the Year Ended 31 December 2023 |
Called up |
share | Retained | Share | Total |
capital | earnings | premium | equity |
£ | £ | £ | £ |
Balance at 1 January 2022 | 100 | 572,658 | 2,862,194 | 3,434,952 |
Changes in equity |
Dividends | - | (358,008 | ) | - | (358,008 | ) |
Total comprehensive income | - | 997,734 | - | 997,734 |
Balance at 31 December 2022 | 100 | 1,212,384 | 2,862,194 | 4,074,678 |
Changes in equity |
Dividends | - | (380,646 | ) | - | (380,646 | ) |
Total comprehensive income | - | 792,823 | - | 792,823 |
Balance at 31 December 2023 | 100 | 1,624,561 | 2,862,194 | 4,486,855 |
Comms Capital Holdings Ltd (Registered number: 12744628) |
Company Statement of Changes in Equity |
for the Year Ended 31 December 2023 |
Called up |
share | Retained | Share | Total |
capital | earnings | premium | 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 |
Comms Capital Holdings Ltd (Registered number: 12744628) |
Consolidated Cash Flow Statement |
for the Year Ended 31 December 2023 |
2023 | 2022 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | 961,045 | 761,166 |
Tax paid | (340,661 | ) | (206,137 | ) |
Net cash from operating activities | 620,384 | 555,029 |
Cash flows from investing activities |
Purchase of intangible fixed assets | (71,400 | ) | (252,385 | ) |
Purchase of tangible fixed assets | - | (3,552 | ) |
Sale of tangible fixed assets | - | 3,906 |
Interest received | 22,501 | 2,108 |
Net cash from investing activities | (48,899 | ) | (249,923 | ) |
Cash flows from financing activities |
Share issue | - | (49 | ) |
Equity dividends paid | (380,647 | ) | (358,008 | ) |
Net cash from financing activities | (380,647 | ) | (358,057 | ) |
Increase/(decrease) in cash and cash equivalents | 190,838 | (52,951 | ) |
Cash and cash equivalents at beginning of year |
2 |
1,586,740 |
1,639,691 |
Cash and cash equivalents at end of year | 2 | 1,777,578 | 1,586,740 |
Comms Capital Holdings Ltd (Registered number: 12744628) |
Notes to the Consolidated Cash Flow Statement |
for the Year Ended 31 December 2023 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
2023 | 2022 |
£ | £ |
Profit before taxation | 1,096,267 | 1,273,308 |
Depreciation charges | 276,961 | 201,461 |
Finance income | (22,501 | ) | (2,108 | ) |
1,350,727 | 1,472,661 |
Decrease/(increase) in stocks | 400,499 | (61,936 | ) |
Decrease/(increase) in trade and other debtors | 35,934 | (116,855 | ) |
Decrease in trade and other creditors | (826,115 | ) | (532,704 | ) |
Cash generated from operations | 961,045 | 761,166 |
2. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
Year ended 31 December 2023 |
31.12.23 | 1.1.23 |
£ | £ |
Cash and cash equivalents | 1,777,578 | 1,586,740 |
Year ended 31 December 2022 |
31.12.22 | 1.1.22 |
£ | £ |
Cash and cash equivalents | 1,586,740 | 1,639,691 |
3. | ANALYSIS OF CHANGES IN NET FUNDS |
At 1.1.23 | Cash flow | At 31.12.23 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 1,586,740 | 190,838 | 1,777,578 |
1,586,740 | 190,838 | 1,777,578 |
Total | 1,586,740 | 190,838 | 1,777,578 |
Comms Capital Holdings Ltd (Registered number: 12744628) |
Notes to the Consolidated Financial Statements |
for the Year Ended 31 December 2023 |
1. | STATUTORY INFORMATION |
Comms Capital Holdings Ltd is a |
The presentation currency of the financial statements is the Pound Sterling (£). |
The company holds the entire share capital of Comms Express Limited. |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Basis of consolidation |
The group financial statements consolidate the financial statements of Comms Capital Holdings Limited and its wholly owned subsidiary Comms Express Limited. |
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 |
Estimates and judgements are continually evaluated and are based on historical experience and other factors,including reasonable expectation of future events. No significant estimates or judgments have been applied in these financial statements. |
Turnover |
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 at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales tax. |
Goodwill |
Intangible assets |
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. |
Amortisation is provided at the following annual rates, in order to write off each asset over its estimated useful life. |
Website development costs - Straight line over 3 years |
Comms Capital Holdings Ltd (Registered number: 12744628) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
2. | ACCOUNTING POLICIES - continued |
Tangible fixed assets |
Tangible fixed assets are initially measured at cost. After initial recognition, tangible fixed assets are measured at cost, less any accumulated depreciation and any accumulated impairment losses. Depreciation is provided at the following annual rates, in order to write off each asset over its estimated useful life: |
Plant and machinery - 15% on reducing balance |
Fixtures and fittings - 15% on reducing balance |
Computer equipment - Straight line over 3 years |
Stocks |
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
Financial instruments |
The company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other debtors and creditors, loans from banks and other third parties, loans to related parties and investments in ordinary shares. |
Debt instruments typically trade debtors and creditors, are all payable or receivable within one year and are measured, initially and subsequently, at the undiscounted amount of cash or other consideration expected to be paid or received. |
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 balance sheet date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet 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. |
Foreign currencies |
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet 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. |
Comms Capital Holdings Ltd (Registered number: 12744628) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
2. | ACCOUNTING POLICIES - continued |
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. |
Debtors |
Short term debtors are measured at the transaction price, less any impairment. |
Creditors |
Short term creditors are measured at the transaction price. |
Other financial liabilities are also measured at transaction price since the difference between this basis and the amortised cost basis is not material. |
Investments in subsidiaries |
Investments in subsidiaries are recognised at cost. |
Going concern |
The accounts have been prepared on the going concern basis which assumes the continued support of the directors and shareholders. The directors have confirmed that this support will continue and believe that no adjustments relating to the group's ability to continue as a going concern need to be made to these financial statements. |
3. | EMPLOYEES AND DIRECTORS |
2023 | 2022 |
£ | £ |
Wages and salaries | 1,490,004 | 1,456,053 |
Social security costs | 157,794 | 165,613 |
Other pension costs | 22,487 | 22,872 |
1,670,285 | 1,644,538 |
The average number of employees during the year was as follows: |
2023 | 2022 |
Employees |
2023 | 2022 |
£ | £ |
Directors' remuneration | 341,095 | 338,750 |
Directors' pension contributions to money purchase schemes | 2,642 | 2,642 |
Information regarding the highest paid director is as follows: |
2023 | 2022 |
£ | £ |
Emoluments etc | 197,750 | 190,100 |
Pension contributions to money purchase schemes | 1,321 | 1,321 |
Comms Capital Holdings Ltd (Registered number: 12744628) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
4. | OPERATING PROFIT |
The operating profit is stated after charging: |
2023 | 2022 |
£ | £ |
Hire of plant and machinery | 7,375 | 5,807 |
Depreciation - owned assets | 9,868 | 13,838 |
Goodwill amortisation | 173,602 | 173,602 |
Website amortisation | 93,491 | 14,021 |
Auditors' remuneration | 12,500 | 15,000 |
Foreign exchange differences | 2,751 | 6,061 |
5. | 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 | 302,844 | 279,074 |
Deferred tax | 600 | (3,500 | ) |
Tax on profit | 303,444 | 275,574 |
Reconciliation of total tax charge included in profit and loss |
The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below: |
2023 | 2022 |
£ | £ |
Profit before tax | 1,096,267 | 1,273,308 |
Profit multiplied by the standard rate of corporation tax in the UK of 25 % (2022 - 19 %) |
274,067 |
241,929 |
Effects of: |
Expenses not deductible for tax purposes | 45,359 | 34,429 |
Depreciation in excess of capital allowances | 2,467 | 2,716 |
Deferred tax | 600 | (3,500 | ) |
FY 2022 charged at 19% | (19,049 | ) | - |
Total tax charge | 303,444 | 275,574 |
6. | INDIVIDUAL INCOME STATEMENT |
As permitted by Section 408 of the Companies Act 2006, the Income Statement of the parent company is not presented as part of these financial statements. |
Comms Capital Holdings Ltd (Registered number: 12744628) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
7. | DIVIDENDS |
2023 | 2022 |
£ | £ |
Ordinary shares of £1 each |
Interim | - | 177,602 |
Ordinary A shares of £1 each |
Interim | 218,292 | 119,004 |
Ordinary B shares of £1 each |
Interim | 162,354 | 61,402 |
380,646 | 358,008 |
8. | INTANGIBLE FIXED ASSETS |
Group |
Goodwill | Website | Totals |
£ | £ | £ |
COST |
At 1 January 2023 | 1,736,018 | 252,385 | 1,988,403 |
Additions | - | 71,400 | 71,400 |
At 31 December 2023 | 1,736,018 | 323,785 | 2,059,803 |
AMORTISATION |
At 1 January 2023 | 347,204 | 14,021 | 361,225 |
Amortisation for year | 173,602 | 93,491 | 267,093 |
At 31 December 2023 | 520,806 | 107,512 | 628,318 |
NET BOOK VALUE |
At 31 December 2023 | 1,215,212 | 216,273 | 1,431,485 |
At 31 December 2022 | 1,388,814 | 238,364 | 1,627,178 |
Comms Capital Holdings Ltd (Registered number: 12744628) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
9. | TANGIBLE FIXED ASSETS |
Group |
Fixtures |
Plant and | and | Computer |
machinery | fittings | equipment | Totals |
£ | £ | £ | £ |
COST |
At 1 January 2023 | 65,658 | 20,136 | 64,326 | 150,120 |
Disposals | - | (12,195 | ) | - | (12,195 | ) |
At 31 December 2023 | 65,658 | 7,941 | 64,326 | 137,925 |
DEPRECIATION |
At 1 January 2023 | 46,218 | 13,740 | 37,932 | 97,890 |
Charge for year | 2,723 | 3,444 | 3,701 | 9,868 |
Eliminated on disposal | - | (12,197 | ) | - | (12,197 | ) |
At 31 December 2023 | 48,941 | 4,987 | 41,633 | 95,561 |
NET BOOK VALUE |
At 31 December 2023 | 16,717 | 2,954 | 22,693 | 42,364 |
At 31 December 2022 | 19,440 | 6,396 | 26,394 | 52,230 |
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 |
11. | STOCKS |
Group |
2023 | 2022 |
£ | £ |
Stocks | 1,673,518 | 2,074,017 |
Comms Capital Holdings Ltd (Registered number: 12744628) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
12. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Trade debtors | 1,288,998 | 1,370,754 |
Other debtors | 143,010 | 98,979 |
Called up share capital not paid | 49 | 49 |
Prepayments | 77,062 | 75,271 |
1,509,119 | 1,545,053 |
13. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Trade creditors | 1,264,226 | 1,232,965 |
Tax | 121,933 | 159,750 |
Social security and other taxes | 46,602 | 45,457 |
VAT | 194,385 | 270,847 | - | - |
Other creditors | 158,924 | 616,711 |
Accruals and deferred income | 151,439 | 392,245 |
1,937,509 | 2,717,975 |
14. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
Group | Company |
2023 | 2022 | 2023 | 2022 |
£ | £ | £ | £ |
Other creditors | - | 83,465 |
15. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Group |
Non-cancellable operating | leases |
2023 | 2022 |
£ | £ |
Within one year | 175,549 | 175,549 |
Between one and five years | 497,389 | 672,938 |
672,938 | 848,487 |
The annual operating lease commitments shown above relate to the rental of the premises occupied by the group. |
Comms Capital Holdings Ltd (Registered number: 12744628) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
16. | SECURED DEBTS |
Nat West Bank plc holds a debenture dated 23 April 2013 over all assets of Comms Express Limited. |
17. | PROVISIONS FOR LIABILITIES |
Group |
2023 | 2022 |
£ | £ |
Deferred tax | 9,700 | 9,100 |
Group |
Deferred |
tax |
£ |
Balance at 1 January 2023 | 9,100 |
Charge to Income Statement during year | 600 |
Balance at 31 December 2023 | 9,700 |
The entire deferred tax provision relates to accelerated capital allowances. |
18. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2023 | 2022 |
value: | £ | £ |
96 | A | £1 | 96 | 98 |
4 | B | £1 | 4 | 2 |
100 | 100 |
During the year two A shares were re-designated as B shares. |
There are two classes of share in issue. The shares rank pari passu in all respects, save for the right to pay differing dividends on each of the two classes of share. |
19. | RESERVES |
Group |
Retained | Share |
earnings | premium | Totals |
£ | £ | £ |
At 1 January 2023 | 1,212,384 | 2,862,194 | 4,074,578 |
Profit for the year | 792,823 | 792,823 |
Dividends | (380,646 | ) | (380,646 | ) |
At 31 December 2023 | 1,624,561 | 2,862,194 | 4,486,755 |
Comms Capital Holdings Ltd (Registered number: 12744628) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 31 December 2023 |
19. | RESERVES - continued |
Company |
Retained | Share |
earnings | premium | Totals |
£ | £ | £ |
At 1 January 2023 | 5,260,594 |
Profit for the year |
Dividends | ( |
) | ( |
) |
At 31 December 2023 | 5,568,596 |
20. | PENSION COMMITMENTS |
At the balance sheet date, unpaid contributions of £4,362 (2022: £4,828) were due to the pension fund. These amounts are included in other creditors. |
21. | ULTIMATE CONTROLLING PARTY |
The company's ultimate controlling party is S Wilkin. |