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REGISTERED NUMBER: 02766797 (England and Wales)















Strategic Report, Directors' Report and

Financial Statements for the Year Ended 31 December 2023

for

Huntsman IFS Polyurethanes Limited

Huntsman IFS Polyurethanes Limited (Registered number: 02766797)

Contents of the Financial Statements
for the Year Ended 31 December 2023










Page

Company Information 1

Strategic Report 2

Directors' Report 3

Report of the Independent Auditors 6

Statement of Income and Retained Earnings 10

Balance Sheet 11

Notes to the Financial Statements 12


Huntsman IFS Polyurethanes Limited

Company Information
for the Year Ended 31 December 2023







Directors: Mr S P Baker
Mr N Coward
Ms A L Polastri





Registered office: 22-26 King Street
King's Lynn
Norfolk
PE30 1HJ





Registered number: 02766797 (England and Wales)





Auditors: Stephenson Smart (East Anglia) Limited
Chartered accountants & statutory auditor
22-26 King Street
King's Lynn
Norfolk
PE30 1HJ

Huntsman IFS Polyurethanes Limited (Registered number: 02766797)

Strategic Report
for the Year Ended 31 December 2023


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

Review of business
The company's principal activity continued to be that of manufacturing and selling polyurethane chemicals. The directors consider that the principal activity of the business will remain largely the same for the foreseeable future, although greater emphasis will be placed on expanding the range of products being developed.

As shown below, the gross margin has increased in 2023 to 19.45% (from 10.12% in 2022). This reflects strong negotiations on raw material prices, whilst the business has effectively managed sales prices.

The company continues to make capital investments on the site in King's Lynn to improve both products and services offered.

Principal risks and uncertainties
In common with other businesses in this sector, the principal risks and uncertainties faced by the company include the availability, price and quality of raw materials. The impact of high energy prices and high inflation has driven manufacturing costs up throughout the supply chain. The business is also seeing increasing competition within the UK market. Other risk factors, together with the company's financial risk management objectives and policies are detailed in the Directors' Report.

Key performance indicators
2023 2022 2021

Gross Margin (%) 19.45 10.12 22.83
Net Profit Margin (%) 8.46 - 12.22
Return on Capital Employed (excl interest) (%) 0.11 - 0.43
Net Asset Turnover 1.41 2.39 2.26
Current Ratio 4.64 2.40 3.26
Quick Ratio 3.66 1.97 2.54


Future developments
The business will continue to make inroads into mainland Europe and develop our processes to create new products.

On behalf of the board:





Mr N Coward - Director


24 September 2024

Huntsman IFS Polyurethanes Limited (Registered number: 02766797)

Directors' Report
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.

Principal activity
The principal activity of the company in the year under review was that of that of manufacturing and selling polyurethane chemicals.

Dividends
No dividends will be distributed for the year ended 31 December 2023.

Research and development
The company has undertaken research and development of new products and new forms of production using new and existing materials during the year, to continually ensure that the products meet customer expectations and requirements.

Future developments
The company is continually developing new systems for both its existing and new customers. New equipment was installed in 2023 to enable us to compete in the highly filled Elastomer market. The company will invest in new stirring equipment during 2024, to optimise manufacturing efficiencies.

The raw material cost down programme will continue into 2024, to enable the company to retain its competitive edge.

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 S P Baker
Ms A L Polastri

Other changes in directors holding office are as follows:

Mr J I Stanton - resigned 30 June 2023
Mr N Coward - appointed 14 July 2023


Huntsman IFS Polyurethanes Limited (Registered number: 02766797)

Directors' Report
for the Year Ended 31 December 2023

Financial instruments
Financial risk management objectives and policies

The company uses various financial instruments including loans and cash, and items such as trade debtors and trade creditors that arise directly from its operations. The main purpose of these financial instruments is to raise finance for the company's operations.

The existence of these financial instruments exposes the company to a number of financial risks, which are described in more detail below. The main risks arising from the company's financial instruments are currency risk and credit risk. The directors review and agree policies for managing each of these risks and they are summarised below. These policies have remained unchanged from previous years.

Currency risk
The company has some exposure to translation and transaction foreign exchange risk. The risk is mitigated by group cash transfers and exchanges where appropriate.

Liquidity risk
The company manages its cash and borrowing requirements in order to maximise interest income and minimise interest expense, whilst ensuring the company has sufficient liquid resources to meet the operating needs of the business. The company has very little exposure to liquidity risk as there is a group cash pool.

Credit risk
The company's principal credit risk relates to the recovery of amounts owed by trade debtors. In order to manage credit risk, credit limits are set based on credit check reviews and customer payment history. Credit limits are reviewed regularly, with a focus on aged debt profile. Outstanding debtors are actively followed up by our customer service team.

Disclosure of information in the strategic report
In accordance with the Companies Act 2006 (Strategic Report and Directors' Report) Regulations 2013, the review of the development and performance of the business, including key performance indicators, is now contained in the Strategic Report on page 2.

Statement of directors' responsibilities
The directors are responsible for preparing the Strategic Report, the Directors' Report and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with 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.


Huntsman IFS Polyurethanes Limited (Registered number: 02766797)

Directors' Report
for the Year Ended 31 December 2023

Statement of directors' responsibilities - continued
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.

Auditors
The auditors, Stephenson Smart (East Anglia) Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.

On behalf of the board:





Mr N Coward - Director


24 September 2024

Report of the Independent Auditors to the Members of
Huntsman IFS Polyurethanes Limited


Opinion
We have audited the financial statements of Huntsman IFS Polyurethanes Limited (the 'company') for the year ended 31 December 2023 which comprise the Statement of Income and Retained Earnings, Balance Sheet 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 Directors' Report, 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.

Report of the Independent Auditors to the Members of
Huntsman IFS Polyurethanes Limited


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

Matters on which we are required to report by exception
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Directors' Report.

We have nothing to report in respect of the following matters 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.

Responsibilities of directors
As explained more fully in the Statement of Directors' Responsibilities set out on pages four and five, 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.

Report of the Independent Auditors to the Members of
Huntsman IFS Polyurethanes Limited


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 and enquiries of management and those charged with governance were held with a view to identifying those laws and regulations that could be expected to have a material impact on the financial statements. During the engagement team briefing, the outcomes of these discussions and enquiries were shared with the team, as well as consideration as to where and how fraud may occur in the entity.

The following laws and regulations were identified as being of significance to the entity:

a) Those laws and regulations considered to have a direct effect on the financial statements include UK Financial Reporting Standards, Company law, tax and pensions legislation and distributable profits legislation.

b) Those laws and regulations for which non-compliance may be fundamental to the operating aspects of the business and therefore may have a material effect on the financial statements include environmental regulations (including UK REACH regulations regarding the packaging and labelling of chemicals) and other health and safety legislation.

Audit procedures undertaken in response to the potential risks relating to irregularities (which include fraud and non-compliance with laws and regulations) comprised of: inquiries of management and those charged with governance as to whether the entity complies with such laws and regulations; enquiries with the same concerning any actual or potential litigation or claims; inspection of relevant legal correspondence; review of board minutes; testing the appropriateness of journal entries; and the performance of analytical review to identify unexpected movements in account balances which may be indicative of fraud.

No instances of material non-compliance were identified. However, the likelihood of detecting irregularities, including fraud, is limited by the inherent difficulty in detecting irregularities, the effectiveness of the entity's controls, and the nature, timing and extent of the audit procedures performed. Irregularities that result from fraud may be inherently more difficult to detect than irregularities that result from error. As explained above, there is an unavoidable risk that material misstatements may not be detected, even though the audit has been planned and performed in accordance with ISAs (UK).

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.

Report of the Independent Auditors to the Members of
Huntsman IFS Polyurethanes Limited


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.




Mr Christopher Goad FCA (Senior Statutory Auditor)
for and on behalf of Stephenson Smart (East Anglia) Limited
Chartered accountants & statutory auditor
22-26 King Street
King's Lynn
Norfolk
PE30 1HJ

24 September 2024

Huntsman IFS Polyurethanes Limited (Registered number: 02766797)

Statement of Income and Retained Earnings
for the Year Ended 31 December 2023

31.12.23 31.12.22
Notes £ £

Turnover 4 20,645,184 25,953,775

Cost of sales (16,630,075 ) (23,328,317 )
Gross profit 4,015,109 2,625,458

Administrative expenses (2,608,185 ) (3,844,932 )
Operating profit/(loss) 6 1,406,924 (1,219,474 )

Interest receivable and similar income 339,232 67,739
Profit/(loss) before taxation 1,746,156 (1,151,735 )

Tax on profit/(loss) 7 (32,330 ) (13,670 )
Profit/(loss) for the financial year 1,713,826 (1,165,405 )

Retained earnings at beginning of year 10,566,240 11,731,645

Retained earnings at end of year 12,280,066 10,566,240

Huntsman IFS Polyurethanes Limited (Registered number: 02766797)

Balance Sheet
31 December 2023

31.12.23 31.12.22
Notes £ £
Fixed assets
Intangible assets 8 11,174 21,434
Tangible assets 9 2,908,910 2,835,342
2,920,084 2,856,776

Current assets
Stocks 10 2,651,264 2,482,004
Debtors 11 2,940,582 3,780,154
Cash at bank and in hand 6,865,400 7,628,909
12,457,246 13,891,067
Creditors
Amounts falling due within one year 12 (2,682,084 ) (5,798,753 )
Net current assets 9,775,162 8,092,314
Total assets less current liabilities 12,695,246 10,949,090

Provisions for liabilities 14 (109,500 ) (77,170 )
Net assets 12,585,746 10,871,920

Capital and reserves
Called up share capital 15 305,680 305,680
Retained earnings 16 12,280,066 10,566,240
Shareholders' funds 12,585,746 10,871,920

The financial statements were approved by the Board of Directors and authorised for issue on 24 September 2024 and were signed on its behalf by:





Mr N Coward - Director


Huntsman IFS Polyurethanes Limited (Registered number: 02766797)

Notes to the Financial Statements
for the Year Ended 31 December 2023


1. Statutory information

Huntsman IFS Polyurethanes 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.

The presentation currency of the financial statements is the Pound Sterling (£).


2. Statement of compliance

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" and the Companies Act 2006.

3. Accounting policies

Basis of preparing the financial statements
The financial statements have been prepared under the historical cost convention.

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 wholly owned subsidiaries within the group.

Critical accounting judgements and key sources of estimation uncertainty
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances.

Accounting estimates and assumptions are made concerning the future and, by their nature, will rarely equal the related actual outcome. The key assumptions and other sources of estimation uncertainty that have a significant effect upon the figures reported in the financial statements are in respect of the rates applied for amortisation and depreciation, as described below.

Turnover
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Revenue is recognised at the point of despatch of product to customers.

Goodwill
Goodwill, being the amount paid in connection with the acquisition of a business in 2017, is being amortised evenly over its estimated useful life of five years.

Huntsman IFS Polyurethanes Limited (Registered number: 02766797)

Notes to the Financial Statements - continued
for the Year Ended 31 December 2023


3. Accounting policies - continued

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.

Computer software is being amortised evenly over its estimated useful life of five years.

Tangible fixed assets
Depreciation is provided at the following annual rates in order to write off the cost less estimated residual value of each asset over its estimated useful life.
Freehold property - 2% straight line
Plant and machinery - 5% on cost
Fixtures and fittings - 10% on cost
Motor vehicles - 20% on cost
Computer equipment - 20% on cost

Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses.

Stocks
Stocks and work in progress are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Cost is calculated using the first-in, first-out method and includes all purchase, transport, and handling costs in bringing stocks to their present location and condition.

Huntsman IFS Polyurethanes Limited (Registered number: 02766797)

Notes to the Financial Statements - continued
for the Year Ended 31 December 2023


3. Accounting policies - continued

Financial instruments
A financial asset or a financial liability is recognised only when the entity becomes a party to the contractual provisions of the instrument.

Basic financial instruments are initially recognised at the transaction price, unless the arrangement constitutes a financing transaction, where it is recognised at the present value of the future payments discounted at a market rate of interest for a similar debt instrument.

Debt instruments are subsequently measured at amortised cost.

Financial assets that are measured at cost or amortised cost are reviewed for objective evidence of impairment at the end of each reporting date. If there is objective evidence of impairment, an impairment loss is recognised in profit or loss immediately.

For all equity instruments regardless of significance, and other financial assets that are individually significant, these are assessed individually for impairment. Other financial assets are either assessed individually or grouped on the basis of similar credit risk characteristics.

Any reversals of impairment are recognised in profit or loss immediately, to the extent that the reversal does not result in a carrying amount of the financial asset that exceeds what the carrying amount would have been had the impairment not previously been recognised. 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 entity after deducting all of its financial liabilities.

Where the contractual obligations of financial instruments (including share capital) are equivalent to a similar debt instrument, those financial instruments are classed as financial liabilities. Financial liabilities are presented as such in the balance sheet. Finance costs and gains or losses relating to financial liabilities are included in the profit and loss account. Finance costs are calculated so as to produce a constant rate of return on the outstanding liability.

Where the contractual terms of share capital do not have any terms meeting the definition of a financial liability then this is classed as an equity instrument. Dividends and distributions relating to equity instruments are debited direct to equity.

Taxation
Taxation for the year comprises current and deferred tax. Tax is recognised in the 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.


Huntsman IFS Polyurethanes Limited (Registered number: 02766797)

Notes to the Financial Statements - continued
for the Year Ended 31 December 2023


3. Accounting policies - continued
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.

Research and development
Expenditure on research and development is written off in the year in which it is incurred.


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.

Assets held under finance leases and hire purchase contracts are recognised in the balance sheet as assets and liabilities at the lower of the fair value of the assets and the present value of the minimum lease payments, which is determined at the inception of the lease term. Any initial direct costs of the lease are added to the amount recognised as an asset.

Lease payments are apportioned between the finance charges and reduction of the outstanding lease liability using the effective interest method. Finance charges are allocated to each period so as to produce a constant rate of interest on the remaining balance of the liability.

Pension costs and other post-retirement benefits
The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

Huntsman IFS Polyurethanes Limited (Registered number: 02766797)

Notes to the Financial Statements - continued
for the Year Ended 31 December 2023


4. Turnover

The turnover and profit (2022 - loss) before taxation are attributable to the one principal activity of the company.

An analysis of turnover by geographical market is given below:

31.12.23 31.12.22
£ £
United Kingdom 19,964,151 24,573,402
Europe 681,033 1,380,373
20,645,184 25,953,775

5. Employees and directors
31.12.23 31.12.22
£ £
Wages and salaries 1,241,251 1,192,038
Social security costs 132,737 137,569
Other pension costs 24,659 25,670
1,398,647 1,355,277

The average number of employees during the year was as follows:
31.12.23 31.12.22

Production staff 12 14
Administrative staff 15 16
Management staff 3 3
30 33

Directors' Remuneration

The remuneration of one of the directors is recharged from other group
companies.

Directors' aggregate emoluments in the year amounted to:

31.12.23 31.12.22
£    £   

Remuneration and benefits in kind 102,251 143,656
Pension contributions 15,499 15,704


.............

.............

117,750 159,360



Huntsman IFS Polyurethanes Limited (Registered number: 02766797)

Notes to the Financial Statements - continued
for the Year Ended 31 December 2023


6. Operating profit/(loss)

The operating profit (2022 - operating loss) is stated after charging:

31.12.23 31.12.22
£ £
Hire of plant and machinery 37,592 30,589
Other operating leases - 23,954
Depreciation - owned assets 137,000 138,138
Loss on disposal of fixed assets 1,126 -
Goodwill amortisation - 20,000
Computer software amortisation 10,260 10,289
Auditors' remuneration 12,000 10,000
Foreign exchange differences 13,704 22,423

7. Taxation

Analysis of the tax charge
The tax charge on the profit for the year was as follows:
31.12.23 31.12.22
£ £
Deferred tax 32,330 13,670
Tax on profit/(loss) 32,330 13,670

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:

31.12.23 31.12.22
£ £
Profit/(loss) before tax 1,746,156 (1,151,735 )
Profit/(loss) multiplied by the standard rate of corporation tax in the UK
of 25% (2022 - 19%)

436,539

(218,830

)

Effects of:
Expenses not deductible for tax purposes 3,050 146,464
Depreciation in excess of capital allowances 11,970 24,089
Group Relief (claimed)/surrendered (421,779 ) 73,349
Other timing differences 2,550 (11,402 )
Total tax charge 32,330 13,670

Huntsman IFS Polyurethanes Limited (Registered number: 02766797)

Notes to the Financial Statements - continued
for the Year Ended 31 December 2023


8. Intangible fixed assets
Computer
Goodwill software Totals
£ £ £
Cost
At 1 January 2023
and 31 December 2023 300,000 65,590 365,590
Amortisation
At 1 January 2023 300,000 44,156 344,156
Amortisation for year - 10,260 10,260
At 31 December 2023 300,000 54,416 354,416
Net book value
At 31 December 2023 - 11,174 11,174
At 31 December 2022 - 21,434 21,434

Goodwill arose during the period ended 31 December 2017 on the acquisition of the trade of a chemicals company. This is being amortised over 5 years. Goodwill was fully amortised at 31 December 2022.

Website development costs, which benefit the company in future years, are being amortised over 5 years.

The amortisation charge for the year is included within administrative expenses in the Statement of Income and Retained Earnings.

9. Tangible fixed assets
Fixtures
Freehold Plant and and
property machinery fittings
£ £ £
Cost
At 1 January 2023 2,272,442 1,326,996 532,747
Additions - 211,693 -
Disposals - - (256 )
At 31 December 2023 2,272,442 1,538,689 532,491
Depreciation
At 1 January 2023 194,300 870,715 267,065
Charge for year 50,561 30,198 39,702
Eliminated on disposal - - (94 )
At 31 December 2023 244,861 900,913 306,673
Net book value
At 31 December 2023 2,027,581 637,776 225,818
At 31 December 2022 2,078,142 456,281 265,682

Huntsman IFS Polyurethanes Limited (Registered number: 02766797)

Notes to the Financial Statements - continued
for the Year Ended 31 December 2023


9. Tangible fixed assets - continued

Motor Computer
vehicles equipment Totals
£ £ £
Cost
At 1 January 2023 32,782 47,401 4,212,368
Additions - - 211,693
Disposals - (3,015 ) (3,271 )
At 31 December 2023 32,782 44,386 4,420,790
Depreciation
At 1 January 2023 12,723 32,223 1,377,026
Charge for year 8,195 8,344 137,000
Eliminated on disposal - (2,052 ) (2,146 )
At 31 December 2023 20,918 38,515 1,511,880
Net book value
At 31 December 2023 11,864 5,871 2,908,910
At 31 December 2022 20,059 15,178 2,835,342

10. Stocks
31.12.23 31.12.22
£ £
Raw materials 2,122,084 1,709,007
Work-in-progress 11,279 8,936
Finished goods 517,901 764,061
2,651,264 2,482,004

11. Debtors: amounts falling due within one year
31.12.23 31.12.22
£ £
Trade debtors 2,722,088 3,659,062
Doubtful debt provision (73,603 ) (116,239 )
Other debtors 16 -
Tax 199,591 199,591
Prepayments and accrued income 92,490 37,740
2,940,582 3,780,154

Huntsman IFS Polyurethanes Limited (Registered number: 02766797)

Notes to the Financial Statements - continued
for the Year Ended 31 December 2023


12. Creditors: amounts falling due within one year
31.12.23 31.12.22
£ £
Trade creditors 378,352 608,702
Amounts owed to group undertakings 1,804,916 4,027,546
Other taxes & social security 157,552 189,252
Other creditors 77,425 -
Accrued expenses 263,839 973,253
2,682,084 5,798,753

13. Leasing agreements

Minimum lease payments under non-cancellable operating leases fall due as follows:
31.12.23 31.12.22
£ £
Within one year 25,741 51,449
Between one and five years 33,215 44,430
58,956 95,879

14. Provisions for liabilities
31.12.23 31.12.22
£ £
Deferred tax
Accelerated capital allowances 109,500 77,170

Deferred tax
£
Balance at 1 January 2023 77,170
Provided during year 32,330
Balance at 31 December 2023 109,500

15. Called up share capital

Allotted, issued and fully paid:
Number: Class: Nominal 31.12.23 31.12.22
value: £ £
300,000 Ordinary A £1.00 300,000 300,000
5,680 Ordinary B £1.00 5,680 5,680
305,680 305,680

Ordinary "A" shares are fully voting, entitled to the first £30,000 of dividends declared in any one year, and unrestricted as regards the repayment of capital. Ordinary "B" shares are fully voting, participate in dividends declared in any one year except for the first £30,000, and are unrestricted as regards the repayment of capital.

Huntsman IFS Polyurethanes Limited (Registered number: 02766797)

Notes to the Financial Statements - continued
for the Year Ended 31 December 2023


16. Reserves
Retained
earnings
£

At 1 January 2023 10,566,240
Profit for the year 1,713,826
At 31 December 2023 12,280,066

Profit and loss account - This reserve records distributable retained earnings and accumulated losses.

17. Ultimate parent company

Huntsman Corporation (incorporated in United States ) is regarded by the directors as being the company's ultimate parent company.

The company is a 100% subsidiary of Huntsman (Holdings) UK, an unlimited company registered in England and Wales. This is an intermediate holding company. Its Registered Office up to 1 January 2024 was Concordia House, Glenarm Road, Wyng yard Business Park, Billingham, TS22 5FB. From 2 January 2024, its Registered Office is Ickleton Road, Duxford, Cambridgeshire, CB22 4XQ. The ultimate holding company is Huntsman Corporation.

Huntsman International LLC, a company registered in the United States, is the parent of the smallest group of which Huntsman IFS Polyurethanes Limited is a member and for which consolidated financial statements are prepared. Huntsman Corporation, a company registered in the United States, is the parent of the largest group of which Huntsman IFS Polyurethanes Limited is a member and for which consolidated financial statements are prepared. Copies of the consolidated financial statements of Huntsman International LLC and Huntsman Corporation can be obtained from the group's website at www,huntsman,com. Huntsman International LLC and Huntsman Corporation have their registered address at 10003 Woodloch Forest Drive, The Woodlands, Texas 77380, USA.

18. Capital commitments
31.12.23 31.12.22
£ £
Contracted but not provided for in the
financial statements 32,621 -