Company registration number 05727897 (England and Wales)
NMT INTERNATIONAL SHIPPING UK LIMITED
FINANCIAL STATEMENTS
FOR THE YEAR ENDED
31 DECEMBER 2023
3 Acorn Business Centre
Northarbour Road
Cosham
Portsmouth
Hampshire
PO6 3TH
NMT INTERNATIONAL SHIPPING UK LIMITED
CONTENTS
Page
Company information
1
Strategic report
2
Director's report
3 - 4
Independent auditor's report
5 - 8
Statement of income and retained earnings
9
Balance sheet
10
Statement of cash flows
11
Notes to the financial statements
12 - 21
NMT INTERNATIONAL SHIPPING UK LIMITED
COMPANY INFORMATION
- 1 -
Director
Mr H J Nilsson
Secretary
Mr. G Callaway
Company number
05727897
Registered office
First Floor, 5 Town Quay
Southampton
Hampshire
SO14 2AQ
Auditor
TC Group
3 Acorn Business Centre
Northarbour Road
Cosham
Portsmouth
Hampshire
PO6 3TH
NMT INTERNATIONAL SHIPPING UK LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023
- 2 -
The director presents the strategic report and financial statements for the year ended 31 December 2023.
Principal activities and business review
The principal activity of the company during the year continued to be that of acting as shipping and freight forwarding agents.
Fair review of the business
The company operates closely with the NMT International Shipping Group (the NMT Group) as an international roll-on/roll-off (RoRo) shipping and transport logistics provider, with a network of NMT group offices currently located in over 20 strategically placed countries and agent offices in another twenty five countries.
The past year posed significant challenges for NMT UK. With a dynamic global political landscape, freight rates remained persistently high, leading to ongoing shifts in logistics patterns for our valued customers. Furthermore, a scarcity of available RoRo space across all trading routes compounded our trading complexities. Turnover (up 6.6% over 2022) and profit before tax was up in response to changes in our pricing strategies.
Anticipating another demanding year in 2024 due to continued reduced capacity and continuing geopolitical events, we remain optimistic. Our expectation is that we will continue building upon the resilience and adaptability that define our track record.
Principal risks and uncertainties
Credit risk - the company's principle credit risk arises predominantly from its trade debtors, this is monitored closely to ensure they keep within the terms agreed and for those who wish to trade on credit terms are subject to credit vetting procedures in order to mitigate credit risk exposure.
Liquidity risk seeks to manage financial risk by ensuring sufficient liquidity is available to meet foreseeable needs and to increase cash assets safely and profitable. Annual budgets, forecasts and cash flow projections are monitored on a monthly basis.
Key performance indicators
Financial Key performance indicators are monthly turnover and profit before tax.
Mr H J Nilsson
Director
2 May 2024
NMT INTERNATIONAL SHIPPING UK LIMITED
DIRECTOR'S REPORT
FOR THE YEAR ENDED 31 DECEMBER 2023
- 3 -
The director presents his annual report and financial statements for the year ended 31 December 2023.
Principal activities
The principal activity of the company during the year continued to be that of acting as shipping and freight forwarding agents.
Director
The director who held office during the year and up to the date of signature of the financial statements was as follows:
Mr S T Reeves
(Resigned 31 January 2024)
Mr H J Nilsson
Statement of director's responsibilities
The director is responsible for preparing the annual report 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 he is 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 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 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. He is 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.
Auditor
The auditor, TC Group, is deemed to be reappointed under section 487(2) of the Companies Act 2006.
Statement of disclosure to auditor
So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the company’s auditor is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the company’s auditor is aware of that information.
NMT INTERNATIONAL SHIPPING UK LIMITED
DIRECTOR'S REPORT (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 4 -
On behalf of the board
Mr H J Nilsson
Director
2 May 2024
NMT INTERNATIONAL SHIPPING UK LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF NMT INTERNATIONAL SHIPPING UK LIMITED
- 5 -
Opinion
We have audited the financial statements of NMT International Shipping UK Limited (the 'company') for the year ended 31 December 2023 which comprise the statement of income and retained earnings, the balance sheet, the statement of cash flows and notes to the financial statements, including 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.
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC’s Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Conclusions relating to going concern
In auditing the financial statements, we have concluded that the 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 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.
The other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The director is responsible for the other information contained within the annual report. 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. 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.
NMT INTERNATIONAL SHIPPING UK LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF NMT INTERNATIONAL SHIPPING UK LIMITED
- 6 -
Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of our audit:
the information given in the strategic report and the director's report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
the strategic report and the director's 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 and the director's report. We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:
adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
the financial statements are not in agreement with the accounting records and returns; or
certain disclosures of remuneration specified by law are not made; or
we have not received all the information and explanations we require for our audit; or
the director was not entitled to prepare the financial statements in accordance with the small companies regime and take advantage of the small companies' exemption in preparing the director's report.
Responsibilities of director
As explained more fully in the director's responsibilities statement, 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 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 director is 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 director either intends to liquidate the company or to cease operations, or has no realistic alternative but to do so.
Auditor's responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.
Extent to which the audit was considered capable of detecting irregularities, including fraud
The objectives of our audit, in respect to fraud, are: to identify and assess the risks of material misstatement of the financial statements due to fraud; to obtain sufficient appropriate audit evidence regarding the assessed risks of material misstatement due to fraud, through designing and implementing appropriate responses; and to respond appropriately to fraud or suspected fraud identified during the audit. However, the primary responsibility for the prevention and detection of fraud rests with both those charged with governance of the entity and its management.
NMT INTERNATIONAL SHIPPING UK LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF NMT INTERNATIONAL SHIPPING UK LIMITED
- 7 -
Our approach was as follows:
We identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our general commercial and sector experience, and through discussion with the directors and other management (as required by auditing standards), and discussed with the directors and other management the policies and procedures regarding compliance with laws and regulations;
We considered the legal and regulatory frameworks directly applicable to the financial statements reporting framework (FRS 102 and the Companies Act 2006) and the relevant tax compliance regulations in the UK;
We considered the nature of the industry, the control environment and business performance, including the key drivers for management’s remuneration;
We communicated identified laws and regulations throughout our team and remained alert to any indications of non-compliance throughout the audit;
We considered the procedures and controls that the company has established to address risks identified, or that otherwise prevent, deter and detect fraud; and how senior management monitors those programmes and controls.
Based on this understanding we designed our audit procedures to identify non-compliance with such laws and regulations. Where the risk was considered to be higher, we performed audit procedures to address each identified fraud risk. These procedures included: testing manual journals; reviewing the financial statement disclosures and testing to supporting documentation; performing analytical procedures; and enquiring of management, and were designed to provide reasonable assurance that the financial statements were free from fraud or error.
Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. For example, the further removed non-compliance with laws and regulations (irregularities) is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.
A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/Our-Work/Audit/Audit-and-assurance/Standards-and-guidance/Standards-and-guidance-for-auditors/Auditors-responsibilities-for-audit/Description-of-auditors-responsibilities-for-audit.aspx. This description forms part of our auditor’s report.
NMT INTERNATIONAL SHIPPING UK LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF NMT INTERNATIONAL SHIPPING UK LIMITED
- 8 -
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.
James Blake FCA (Senior Statutory Auditor)
For and on behalf of TC Group
Statutory Auditor
29 May 2024
Office: Portsmouth
NMT INTERNATIONAL SHIPPING UK LIMITED
STATEMENT OF INCOME AND RETAINED EARNINGS
FOR THE YEAR ENDED 31 DECEMBER 2023
- 9 -
2023
2022
Notes
£
£
Turnover
3
36,211,582
33,971,523
Cost of sales
(32,840,049)
(30,958,838)
Gross profit
3,371,533
3,012,685
Administrative expenses
(2,860,349)
(2,596,070)
Operating profit
511,184
416,615
Interest receivable and similar income
14,259
2,931
Profit before taxation
525,443
419,546
Taxation
7
(131,890)
(185,127)
Profit for the financial year
393,553
234,419
Retained earnings brought forward
1,956,134
2,721,715
Dividends
(430,945)
(1,000,000)
Retained earnings carried forward
1,918,742
1,956,134
The notes on pages 12 to 21 form part of these financial statements
NMT INTERNATIONAL SHIPPING UK LIMITED
BALANCE SHEET
AS AT
31 DECEMBER 2023
31 December 2023
- 10 -
2023
2022
Notes
£
£
£
£
Fixed assets
Tangible assets
8
95,329
142,141
Current assets
Debtors
9
5,154,773
5,054,920
Cash at bank and in hand
1,109,533
1,303,034
6,264,306
6,357,954
Creditors: amounts falling due within one year
10
(4,380,893)
(4,483,961)
Net current assets
1,883,413
1,873,993
Total assets less current liabilities
1,978,742
2,016,134
Capital and reserves
Called up share capital
12
60,000
60,000
Profit and loss reserves
1,918,742
1,956,134
Total equity
1,978,742
2,016,134
The financial statements were approved by the board of directors and authorised for issue on 2 May 2024 and are signed on its behalf by:
Mr H J Nilsson
Director
Company Registration No. 05727897
NMT INTERNATIONAL SHIPPING UK LIMITED
STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 DECEMBER 2023
- 11 -
2023
2022
Notes
£
£
£
£
Cash flows from operating activities
Cash generated from operations
16
498,138
961,360
Income taxes paid
(255,493)
(165,856)
Net cash inflow from operating activities
242,645
795,504
Investing activities
Purchase of tangible fixed assets
(19,460)
(37,116)
Proceeds from disposal of tangible fixed assets
39
Interest received
14,259
2,931
Net cash used in investing activities
(5,201)
(34,146)
Financing activities
Dividends paid
(430,945)
(1,000,000)
Net cash used in financing activities
(430,945)
(1,000,000)
Net decrease in cash and cash equivalents
(193,501)
(238,642)
Cash and cash equivalents at beginning of year
1,303,034
1,541,676
Cash and cash equivalents at end of year
1,109,533
1,303,034
NMT INTERNATIONAL SHIPPING UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
- 12 -
1
Accounting policies
Company information
NMT International Shipping UK Limited is a limited company domiciled and incorporated in England and Wales. The registered office is First Floor, 5 Town Quay, Southampton, Hampshire, SO14 2AQ.
1.1
Accounting convention
These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.
The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.
The financial statements have been prepared on the historical cost convention. The principal accounting policies adopted are set out below.
1.2
Turnover
Turnover represents amounts receivable from the principal activity of shipping and freight forwarding net of value added tax. Turnover is recognised on a shipping date basis, being the date when the amount of revenue can be reliably measured and when it is probable that future economic benefit will flow to the company.
1.3
Tangible fixed assets
Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.
Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:
Fixtures, fittings & equipment
15% straight line
Computer equipment
33.33% straight line
Motor vehicles
25% straight line
The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is credited or charged to profit or loss.
1.4
Cash and cash equivalents
Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.
NMT INTERNATIONAL SHIPPING UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 13 -
1.5
Financial instruments
The company has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.
Financial instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.
Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.
Basic financial assets
Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.
Classification of financial liabilities
Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.
Basic financial liabilities
Basic financial liabilities are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.
Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.
Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.
1.6
Equity instruments
Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.
NMT INTERNATIONAL SHIPPING UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 14 -
1.7
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
Current tax
The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.
Deferred tax
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date where transactions or events have occurred at that date that will result in an obligation to pay more, or a right to pay less or to receive more tax.
Deferred tax assets are recognised only to the extent that the directors consider that it is more likely than not that there will be suitable taxable profits from which the future reversal of the underlying timing differences can be deducted.
Deferred tax is measured on an undiscounted basis at the tax rates that are expected to apply in the periods in which timing differences reverse, based on tax rates and laws enacted or substantively enacted at the balance sheet date.
1.8
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense. The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.
Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.
1.9
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.10
Leases
Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.
1.11
Foreign exchange
Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.
NMT INTERNATIONAL SHIPPING UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 15 -
2
Judgements and key sources of estimation uncertainty
In the application of the company’s accounting policies, the director is required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised, 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 directors have considered whether there are any critical judgements required in the preparation of these accounts and have concluded that there are none requiring disclosure.
3
Turnover and other revenue
An analysis of the company's turnover is as follows:
2023
2022
£
£
Turnover analysed by geographical market
United Kingdom
19,235,652
19,170,303
Rest of the world
16,975,930
14,801,220
36,211,582
33,971,523
4
Auditor's remuneration
2023
2022
Fees payable to the company's auditor and associates:
£
£
For audit services
Audit of the financial statements of the company
16,425
15,250
NMT INTERNATIONAL SHIPPING UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 16 -
5
Employees
The average monthly number of persons (including directors) employed by the company during the year were:
2023
2022
Number
Number
Number of administrative staff
8
8
Number of operations staff
3
3
Number of commercial staff
33
31
Number of directors
1
1
45
43
Their aggregate remuneration comprised:
2023
2022
£
£
Wages and salaries
1,592,737
1,451,080
Social security costs
170,355
164,848
Pension costs
123,829
97,796
1,886,921
1,713,724
6
Director's remuneration
2023
2022
£
£
Remuneration for qualifying services
191,169
170,403
Company pension contributions to defined contribution schemes
10,992
9,790
202,161
180,193
7
Taxation
2023
2022
£
£
Current tax
UK corporation tax on profits for the current period
144,249
90,374
Adjustments in respect of prior periods
102,140
Total current tax
144,249
192,514
NMT INTERNATIONAL SHIPPING UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
7
Taxation
2023
2022
£
£
(Continued)
- 17 -
Deferred tax
Origination and reversal of timing differences
(12,359)
(7,387)
Total tax charge
131,890
185,127
The actual charge for the year can be reconciled to the expected charge for the year based on the profit or loss and the standard rate of tax as follows:
2023
2022
£
£
Profit before taxation
525,443
419,546
Expected tax charge based on the standard rate of corporation tax in the UK of 23.52% (2022: 19.00%)
123,584
79,714
Tax effect of expenses that are not deductible in determining taxable profit
9,061
3,273
Effect of change in corporation tax rate
(729)
Group consortium loss relief claims and adjustments in respect of prior years
102,140
Effect of enhanced capital allowances
(26)
Taxation charge for the year
131,890
185,127
NMT INTERNATIONAL SHIPPING UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 18 -
8
Tangible fixed assets
Fixtures, fittings & equipment
Computer equipment
Motor vehicles
Total
£
£
£
£
Cost
At 1 January 2023
171,694
75,967
235,014
482,675
Additions
2,522
16,938
19,460
At 31 December 2023
174,216
92,905
235,014
502,135
Depreciation and impairment
At 1 January 2023
94,342
59,426
186,766
340,534
Depreciation charged in the year
22,208
15,660
28,404
66,272
At 31 December 2023
116,550
75,086
215,170
406,806
Carrying amount
At 31 December 2023
57,666
17,819
19,844
95,329
At 31 December 2022
77,352
16,541
48,248
142,141
9
Debtors
2023
2022
Amounts falling due within one year:
£
£
Trade debtors
4,911,346
4,876,792
Corporation tax recoverable
7,176
Other debtors
117,741
88,691
Prepayments and accrued income
98,598
81,884
5,134,861
5,047,367
Deferred tax asset
19,912
7,553
5,154,773
5,054,920
NMT INTERNATIONAL SHIPPING UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 19 -
10
Creditors: amounts falling due within one year
2023
2022
£
£
Trade creditors
3,117,110
3,121,705
Corporation tax
104,068
Other taxation and social security
84,472
81,963
Other creditors
229,576
282,813
Accruals and deferred income
949,735
893,412
4,380,893
4,483,961
11
Retirement benefit schemes
2023
2022
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
123,829
97,796
The company contributes to self-administered defined contribution schemes of certain employees. The assets of the scheme are held separately from those of the company in independently administered funds.
12
Called up share capital
2023
2022
£
£
Ordinary share capital
Issued and fully paid
60,000 Ordinary shares of £1 each
60,000
60,000
13
Operating lease commitments
Lessee
At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, as follows:
2023
2022
£
£
Within one year
89,880
102,271
Between two and five years
149,800
239,680
In over five years
239,680
341,951
NMT INTERNATIONAL SHIPPING UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 20 -
14
Related party transactions
Transactions with related parties
During the year the company entered into the following transactions with related parties:
Sale of goods
Purchase of goods
2023
2022
2023
2022
£
£
£
£
Entities with control, joint control or significant influence over the company
10,220,943
9,358,081
12,370,652
11,507,393
Balances with related parties
Entities under common control
At the year end the company was due £1,171,553 (2022 - £1,396,031) from related parties and owed £960,304 (2022 - £547,893) to related parties.
No guarantees have been given or received.
15
Parent company
Throughout the year the company was wholly owned by NMT Holdings BV, a company registered in the Netherlands. Stena AB is considered to be the ultimate parent company as holds a controlling interest in NMT Holdings BV via its subsidiary Stena Logistics Holding AB, both companies registered in Sweden. The ultimate controlling party is considered to be Mr D. Sten Olsson, by virtue of his controlling interest in Stena AB.
NMT INTERNATIONAL SHIPPING UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 21 -
16
Cash generated from operations
2023
2022
£
£
Profit for the year after tax
393,553
234,419
Adjustments for:
Taxation charged
131,890
185,127
Investment income
(14,259)
(2,931)
(Gain)/loss on disposal of tangible fixed assets
-
40
Depreciation and impairment of tangible fixed assets
66,272
87,590
Movements in working capital:
(Increase)/decrease in debtors
(80,318)
214,100
Increase in creditors
1,000
243,015
Cash generated from operations
498,138
961,360
17
Analysis of changes in net funds
1 January 2023
Cash flows
31 December 2023
£
£
£
Cash at bank and in hand
1,303,034
(193,501)
1,109,533
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