Company registration number 10949960 (England and Wales)
ENEL X WAY UK LIMITED
FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
PAGES FOR FILING WITH REGISTRAR
ENEL X WAY UK LIMITED
CONTENTS
Page
Balance sheet
1
Notes to the financial statements
2 - 7
ENEL X WAY UK LIMITED
BALANCE SHEET
AS AT
31 DECEMBER 2023
31 December 2023
- 1 -
2023
2022
Notes
£
£
£
£
Fixed assets
Tangible assets
4
8,267
Current assets
Stocks
5
1,022,335
1,325,849
Debtors
6
474,838
962,495
Cash at bank and in hand
77,678
1,436,333
1,574,851
3,724,677
Creditors: amounts falling due within one year
7
(1,186,183)
(2,052,567)
Net current assets
388,668
1,672,110
Net assets
388,668
1,680,377
Capital and reserves
Called up share capital
1
1
Other reserves
5,383,515
4,383,515
Profit and loss reserves
(4,994,848)
(2,703,139)
Total equity
388,668
1,680,377
These financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.
The director of the company has elected not to include a copy of the profit and loss account within the financial statements.true
The financial statements were approved by the board of directors and authorised for issue on 17 September 2024 and are signed on its behalf by:
M Garland
Director
Company registration number 10949960 (England and Wales)
ENEL X WAY UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 DECEMBER 2023
- 2 -
1
Accounting policies
Company information
ENEL X WAY UK LIMITED is a private company limited by shares incorporated in England and Wales. The company's registered number and registered office address can be found on the Company Information page.
1.1
Accounting convention
These financial statements have been prepared in accordance with FRS 102 section 1A “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102 s1A”) and the requirements of the Companies Act 2006 as applicable to companies subject to the small companies regime. The disclosure requirements of section 1A of FRS 102 have been applied other than where additional disclosure is required to show a true and fair view.
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 under the historical cost convention. The principal accounting policies adopted are set out below.
1.2
Going concern
At the time of approving the financial statements, the directors have a reasonable expectation that the company does not have the adequate resources to continue in operational existence for the foreseeable future. The company ceased trading post year end and the directors have taken the decision to dissolve the company before the end of 2024.
Thus the directors have adopted a basis other than that of the going concern basis of accounting in preparing the financial statements. This basis includes, where applicable, writing down the company's assets to net realisable value as well as reclassifying fixed assets and long-term liabilities as current. No provision has been made for the future costs of terminating the business unless such costs were committed at the reporting date.
1.3
Turnover
Turnover represents goods sold net of value added tax and discounts. Turnover is recognised at the point of dispatch of goods.
1.4
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 and fittings
25%
Computer equipment
20%
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.
1.5
Impairment of fixed assets
At each reporting period end date, the company reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.
ENEL X WAY UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 3 -
1.6
Stocks
Stocks are valued at the lower of cost and estimated selling price less costs to complete and sell after making due allowance for obsolete and slow moving items.
1.7
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.
1.8
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, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future 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.
1.9
Taxation
The tax expense represents the sum of the tax currently payable and deferred tax.
ENEL X WAY UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
1
Accounting policies
(Continued)
- 4 -
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 liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.
The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.
1.10
Employee benefits
The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.
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.
1.11
Retirement benefits
Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.
1.12
Leases
Rentals payable under operating leases are charged to profit or loss on a straight-line basis over the lease term.
1.13
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.
ENEL X WAY UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 5 -
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 where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.
In the opinion of the directors there were no key accounting estimates that needed to be disclosed in the accounts.
3
Employees
The average monthly number of persons (including directors) employed by the company during the year was:
2023
2022
Number
Number
Total
6
4
4
Tangible fixed assets
Fixtures and fittings
Computer equipment
Total
£
£
£
Cost
At 1 January 2023
11,782
666
12,448
Additions
6,953
6,953
Disposals
(11,782)
(11,782)
Transfers
(7,619)
(7,619)
At 31 December 2023
Depreciation and impairment
At 1 January 2023
3,682
499
4,181
Depreciation charged in the year
1,217
1,217
Eliminated in respect of disposals
(3,682)
(3,682)
Transfers
(1,716)
(1,716)
At 31 December 2023
Carrying amount
At 31 December 2023
At 31 December 2022
8,100
167
8,267
ENEL X WAY UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 6 -
5
Stocks
2023
2022
£
£
Stocks
1,022,335
1,325,849
Stock recognised in cost of sales during the period as an expense was £1,191,696 (2022: £1,119,552).
A £656,378 impairment was recognised during the year in respect of slow-moving and obsolete stock.
Stock balance also includes the net book value of computer equipment that will be transferred at net book value to the parent company within 12 months subsequent to year end (£5,903).
6
Debtors
2023
2022
Amounts falling due within one year:
£
£
Trade debtors
215,124
770,289
Other debtors
127,669
177,149
Prepayments and accrued income
132,045
15,057
474,838
962,495
During the year, no impairment provisions have been made against any class of debtor.
7
Creditors: amounts falling due within one year
2023
2022
£
£
Trade creditors
316,297
1,573,542
Taxation and social security
15,401
130,456
Other creditors
23,045
12,004
Accruals and deferred income
831,440
336,565
1,186,183
2,052,567
8
Reserves
Called-up share capital represents the nominal value of shares that have been issued.
Retained earnings includes all current and prior period retained profits and losses, all of which are distributable reserves.
Other reserves represents capital contribution received from the group undertaking which are non repayable.
ENEL X WAY UK LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 DECEMBER 2023
- 7 -
9
Ultimate Parent Company
Enel S.P.A. (incorporated in Italy) is regarded by the director as being the company's ultimate parent company.
The consolidated accounts are located at 137 Viale Regina Margherita, Rome, Italy, 00198
10
Audit report information
As the income statement has been omitted from the filing copy of the financial statements, the following information in relation to the audit report on the statutory financial statements is provided in accordance with s444(5B) of the Companies Act 2006:
The auditor's report was unqualified.
We draw attention to note 11 of the financial statements, which describes the decision taken by the director to dissolve the company before the end of 2024. The company has ceased trading after year end and the financial statements have been prepared on a basis other than that of the going concern basis. This basis includes, where applicable, writing down the company's assets to net realisable value as well as reclassifying fixed assets and long-term liabilities as current. No provision has been made for the future costs of terminating the business unless such costs were committed at the reporting date. Our opinion is not modified in this respect.
Senior Statutory Auditor:
Herman Hang ACCA
Statutory Auditor:
Grunberg & Co Limited
Date of audit report:
18 September 2024
11
Events after the reporting date
During the 2024 financial year, the company ceased trading. As a result, the director has made the decision to dissolve the company before the end of 2024. All outstanding creditors will be paid in full, and the remaining assets and reserves will be transferred to the parent and other group companies.