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COMPANY REGISTRATION NUMBER: 03722788
Alloy Wire International Limited
Financial Statements
31 March 2024
Alloy Wire International Limited
Financial Statements
Year ended 31 March 2024
Contents
Pages
Officers and professional advisers
1
Strategic report
2
Directors' report
3 to 5
Independent auditor's report to the members
6 to 9
Statement of income and retained earnings
10
Statement of financial position
11 to 12
Statement of cash flows
13
Notes to the financial statements
14 to 24
Alloy Wire International Limited
Officers and Professional Advisers
The board of directors
Mr M Venables
Mr A Shaw
Mr T Mander
Mr A du Plessis
Registered office
5a Narrowboat Way
Hurst Business Park
Brierley Hill
West Midlands
DY5 1UF
Auditor
BSN Associates Limited
Chartered Accountants & statutory auditor
3B Swallowfield Courtyard
Wolverhampton Road
Oldbury
West Midlands
B69 2JG
Alloy Wire International Limited
Strategic Report
Year ended 31 March 2024
The principal activity of the company during the year was that of the manufacturing of round, shaped wire from high performance nickel alloys. The directors are pleased with the continued success of the business and the trading results achieved in the year and are satisfied with the overall position of the company at the year end. Turnover has increased by £539,406 on the prior year. The directors measure the business's financial performance against certain key performance indicators (KPIs). These KPIs include sales levels, gross margins and added value, which are measured against break even levels, are deemed to be acceptable. Gross profit margin for 2024 was 52% (2023: 57.00%). The directors are satisfied with the results achieved in the year in comparison to prior periods. The company has continued to pursue new research and development opportunities by capitalising on their extensive knowledge of the industry as a way of entering into potential new markets. The Board of Directors regularly review the risks and uncertainties facing the company and consider this in line with their strategic business plan. There are mitigating strategies in place for the key risks and uncertainties and in the short term there are no higher risk areas that are of serious concern to the Board of Directors. Going forward the directors are confident that the company will be able to trade at the same capacity as it has done in recent years and will continue to be profitable. The company will strive towards maintaining productivity levels and efficiency of its operations to produce orders to the highest quality.
This report was approved by the board of directors on 2 October 2024 and signed on behalf of the board by:
Mr M Venables
Director
Registered office:
5a Narrowboat Way
Hurst Business Park
Brierley Hill
West Midlands
DY5 1UF
Alloy Wire International Limited
Directors' Report
Year ended 31 March 2024
The directors present their report and the financial statements of the company for the year ended 31 March 2024 .
Directors
The directors who served the company during the year were as follows:
Mr M Venables
Mr A Shaw
Mr T Mander
Mr A du Plessis
Dividends
Particulars of recommended dividends are detailed in note 11 to the financial statements.
Future developments
The directors are confident that the company will continue to be profitable and that this current level of turnover will be maintained.
Employment of disabled persons
The company is an equal opportunities employer and believes that everyone should have full and fair consideration for all vacancies, promotions, training and development. Should an employee become disabled during their employment at Alloy Wire International Limited, where possible, the company will actively retrain and adjust the environment to allow them to maximise the employee's potential.
Research and development
The company has carried out research and development activities in the year and will submit a claim for research and development tax credits.
Financial risk management objectives and policies
Credit risk
The company monitors credit risk closely and considers that its current policies of credit checks meets its objectives of managing exposure to credit risk.
The company has no significant concentrations of credit risk. Amounts shown in the balance sheet best represent the maximum credit risk exposure in the event other parties fail to perform their obligations under financial instruments.
Currency risk
The company monitors currency risk closely and considers that its current policies meets its objectives of managing exposure to currency risk. There is no exchange rate hedging in place for the company for the year ended 31 March 2024.
Disclosure of information in the strategic report
The strategic report is detailed on page 2 of the financial statements.
Directors' responsibilities statement
The directors are responsible for preparing the strategic report, 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). 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 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 judgments and accounting estimates that are reasonable and prudent; - prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. Auditor
Each of the persons who is a director at the date of approval of this report confirms that:
- so far as they are aware, there is no relevant audit information of which the company's auditor is unaware; and - they have taken all steps that they ought to have taken as a director to make themselves aware of any relevant audit information and to establish that the company's auditor is aware of that information.
This report was approved by the board of directors on 2 October 2024 and signed on behalf of the board by:
Mr M Venables
Director
Registered office:
5a Narrowboat Way
Hurst Business Park
Brierley Hill
West Midlands
DY5 1UF
Alloy Wire International Limited
Independent Auditor's Report to the Members of Alloy Wire International Limited
Year ended 31 March 2024
Opinion
We have audited the financial statements of Alloy Wire International Limited (the 'company') for the year ended 31 March 2024 which comprise the statement of income and retained earnings, statement of financial position, statement of cash flows and the related notes, 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 FRS 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 March 2024 and of its profit for the year then ended; - have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; - 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 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 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 other information comprises the information included in the annual report, other than the financial statements and our auditor’s report thereon. The directors are responsible for the other information. 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 there is a material misstatement in the financial statements or a material misstatement of the other information. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.
Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
- the information given in the strategic report and the 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 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 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 directors' responsibilities statement, 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 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 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.
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. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: We have reviewed financial statement disclosures and tested these to supporting documentation to assess compliance with applicable laws and regulations. We have audited the risk of management override of controls, including through testing journal entries and other adjustments for appropriateness, and evaluating the business rationale of significant transactions outside the normal course of business. We have also made enquiries of entity staff in tax and compliance functions to identify any instances of non-compliance with laws and regulations. As part of an audit in accordance with ISAs (UK), we exercise professional judgment and maintain professional scepticism throughout the audit. We also: - Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. - Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the internal control. - Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the directors. - Conclude on the appropriateness of the directors' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the company to cease to continue as a going concern. - Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation. We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. 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 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.
Philippa Miller-Hawkes BA CA
(Senior Statutory Auditor)
For and on behalf of
BSN Associates Limited
Chartered Accountants & statutory auditor
3B Swallowfield Courtyard
Wolverhampton Road
Oldbury
West Midlands
B69 2JG
2 October 2024
Alloy Wire International Limited
Statement of Income and Retained Earnings
Year ended 31 March 2024
2024
2023
Note
£
£
Turnover
4
18,490,247
17,950,841
Cost of sales
8,934,114
7,720,775
-------------
-------------
Gross profit
9,556,133
10,230,066
Distribution costs
790,647
851,715
Administrative expenses
3,924,834
3,491,815
------------
-------------
Operating profit
5
4,840,652
5,886,536
Interest receivable
9
28,781
5,421
------------
-------------
Profit before taxation
4,869,433
5,891,957
Taxation on ordinary activities
10
832,551
856,307
------------
------------
Profit for the financial year and total comprehensive income
4,036,882
5,035,650
------------
------------
Dividends paid and payable
11
( 1,000,000)
( 1,250,000)
Retained earnings at the start of the year
10,516,944
6,731,294
-------------
-------------
Retained earnings at the end of the year
13,553,826
10,516,944
-------------
-------------
All the activities of the company are from continuing operations.
Alloy Wire International Limited
Statement of Financial Position
31 March 2024
2024
2023
Note
£
£
£
Fixed assets
Tangible assets
13
1,663,524
1,429,518
Investments
14
200
200
------------
------------
1,663,724
1,429,718
Current assets
Stocks
15
4,906,618
3,421,623
Debtors
16
7,053,922
6,713,003
Cash at bank and in hand
4,668,890
3,350,203
-------------
-------------
16,629,430
13,484,829
Creditors: amounts falling due within one year
17
4,040,049
3,768,766
-------------
-------------
Net current assets
12,589,381
9,716,063
-------------
-------------
Total assets less current liabilities
14,253,105
11,145,781
Provisions
Taxation including deferred tax
18
211,627
141,185
-------------
-------------
Net assets
14,041,478
11,004,596
-------------
-------------
Alloy Wire International Limited
Statement of Financial Position (continued)
31 March 2024
2024
2023
Note
£
£
£
Capital and reserves
Called up share capital
22
274,549
274,549
Share premium account
23
179,903
179,903
Capital redemption reserve
23
33,200
33,200
Profit and loss account
23
13,553,826
10,516,944
-------------
-------------
Shareholders funds
14,041,478
11,004,596
-------------
-------------
These financial statements have been prepared in accordance with the provisions applicable to companies subject to the medium companies regime.
These financial statements were approved by the board of directors and authorised for issue on 2 October 2024 , and are signed on behalf of the board by:
Mr M Venables
Director
Company registration number: 03722788
Alloy Wire International Limited
Statement of Cash Flows
Year ended 31 March 2024
2024
2023
£
£
Cash flows from operating activities
Profit for the financial year
4,036,882
5,035,650
Adjustments for:
Depreciation of tangible assets
197,647
158,396
Interest receivable
( 28,781)
( 5,421)
Loss on disposal of tangible assets
639
Taxation on ordinary activities
832,551
856,307
Changes in:
Stocks
( 1,484,995)
( 1,124,633)
Trade and other debtors
( 340,919)
( 4,441,322)
Trade and other creditors
548,889
734,438
------------
------------
Cash generated from operations
3,761,274
1,214,054
Interest received
28,781
5,421
Tax paid
( 1,039,715)
( 459,692)
------------
------------
Net cash from operating activities
2,750,340
759,783
------------
------------
Cash flows from investing activities
Purchase of tangible assets
( 431,653)
( 597,999)
Proceeds from sale of tangible assets
25,999
------------
------------
Net cash used in investing activities
( 431,653)
( 572,000)
------------
------------
Cash flows from financing activities
Dividends paid
( 1,000,000)
( 1,250,000)
------------
------------
Net cash used in financing activities
( 1,000,000)
( 1,250,000)
------------
------------
Net increase/(decrease) in cash and cash equivalents
1,318,687
( 1,062,217)
Cash and cash equivalents at beginning of year
3,350,203
4,412,420
------------
------------
Cash and cash equivalents at end of year
4,668,890
3,350,203
------------
------------
Alloy Wire International Limited
Notes to the Financial Statements
Year ended 31 March 2024
1. General information
The company is a private company limited by shares, registered in England and Wales. The address of the registered office is 5a Narrowboat Way, Hurst Business Park, Brierley Hill, West Midlands, DY5 1UF.
2. Statement of compliance
These financial statements have been prepared in compliance with FRS 102, 'The Financial Reporting Standard applicable in the UK and the Republic of Ireland'.
3. Accounting policies
Basis of preparation
The financial statements have been prepared on the historical cost basis, as modified by the revaluation of certain financial assets and liabilities and investment properties measured at fair value through profit or loss.
The financial statements are prepared in sterling, which is the functional currency of the entity.
Disclosure exemptions
The entity satisfies the criteria of being a qualifying entity as defined in FRS 102. Its financial statements are consolidated into the financial statements of Alloy Wire Holding 2022 Limited which can be obtained from Companies House. As such, advantage has been taken of the following disclosure exemptions available under paragraph 1.12 of FRS 102: Disclosures in respect of financial instruments have not been presented. No disclosure has been given for the aggregate remuneration of key management personnel.
Consolidation
The entity has taken advantage of the exemption from preparing consolidated financial statements contained in Section 400 of the Companies Act 2006 on the basis that it is a subsidiary undertaking and its immediate parent undertaking is established under the Companies Act 2006 in the UK.
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. Stock provision Management are required to exercise judgement in estimating the slow moving stock provision which takes into account the aging of stock, its likelihood of being sold or used in the future and its estimated realisable value.
Revenue recognition
Turnover is measured at the fair value of the consideration received or receivable and represents amounts receivable for goods supplied and services rendered, stated net of discounts and of Value Added Tax.
Income tax
The taxation expense represents the aggregate amount of current and deferred tax recognised in the reporting period. Tax is recognised in profit or loss, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. In this case, tax is recognised in other comprehensive income or directly in equity, respectively. Current tax is recognised on taxable profit for the current and past periods. Current tax is measured at the amounts of tax expected to pay or recover using the tax rates and laws that have been enacted or substantively enacted at the reporting date. Deferred tax is recognised in respect of all timing differences at the reporting date. Unrelieved tax losses and other 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. Deferred tax is measured using the tax rates and laws that have been enacted or substantively enacted by the reporting date that are expected to apply to the reversal of the timing difference.
Foreign currencies
Foreign currency transactions are initially recorded in the functional currency, by applying a fixed budget exchange rate at the date of the transaction. Monetary assets and liabilities denominated in foreign currencies are translated at the exchange rate ruling at the reporting date, with any gains or losses being taken to the profit and loss account. The transactions are then retranslated at the prevailing exchange rate at the year end.
Goodwill
Goodwill is measured at cost less accumulated amortisation and accumulated impairment losses.
Amortisation
Amortisation is calculated so as to write off the cost of an asset, less its estimated residual value, over the useful life of that asset as follows:
Goodwill
-
20 years straight Line
If there is an indication that there has been a significant change in amortisation rate, useful life or residual value of an intangible asset, the amortisation is revised prospectively to reflect the new estimates.
Tangible assets
Tangible assets are initially recorded at cost, and subsequently stated at cost less any accumulated depreciation and impairment losses.
Depreciation
Depreciation is calculated so as to write off the cost or valuation of an asset, less its residual value, over the useful economic life of that asset as follows:
Freehold property
-
No depreciation charged
Leasehold property improvement
-
20% straight line
Plant and machinery
-
10%-20% straight Line
Motor vehicles
-
20% straight line
Freehold property is not depreciated as it is the policy of the board to maintain the property in a good condition with costs being charged to revenue as they are incurred. The estimated residual value of the premises would result in any depreciation charge being of little significance.
Investments
Fixed asset investments are initially recorded at cost, and subsequently stated at cost less any accumulated impairment losses.
Impairment of fixed assets
A review for indicators of impairment is carried out at each reporting date, with the recoverable amount being estimated where such indicators exist. Where the carrying value exceeds the recoverable amount, the asset is impaired accordingly. Prior impairments are also reviewed for possible reversal at each reporting date. For the purposes of impairment testing, when it is not possible to estimate the recoverable amount of an individual asset, an estimate is made of the recoverable amount of the cash-generating unit to which the asset belongs. The cash-generating unit is the smallest identifiable group of assets that includes the asset and generates cash inflows that largely independent of the cash inflows from other assets or groups of assets. For impairment testing of goodwill, the goodwill acquired in a business combination is, from the acquisition date, allocated to each of the cash-generating units that are expected to benefit from the synergies of the combination, irrespective of whether other assets or liabilities of the company are assigned to those units.
Stocks
Stocks are valued at the lower of cost and net realisable value. Cost is determined on a lowest cost price for the outstanding stock and includes labour and overhead where relevant. Net realisable value represents estimated selling price less costs to complete and sell. Provision is made for slow moving, obsolete or damaged stock where the net realisable value is less than cost.
Provisions
Provisions are recognised when the entity has an obligation at the reporting date as a result of a past event, it is probable that the entity will be required to transfer economic benefits in settlement and the amount of the obligation can be estimated reliably. Provisions are recognised as a liability in the statement of financial position and the amount of the provision as an expense. Provisions are initially measured at the best estimate of the amount required to settle the obligation at the reporting date and subsequently reviewed at each reporting date and adjusted to reflect the current best estimate of the amount that would be required to settle the obligation. Any adjustments to the amounts previously recognised are recognised in profit or loss unless the provision was originally recognised as part of the cost of an asset. When a provision is measured at the present value of the amount expected to be required to settle the obligation, the unwinding of the discount is recognised as a finance cost in profit or loss in the period it arises.
Defined contribution plans
Contributions to defined contribution plans are recognised as an expense in the period in which the related service is provided. Prepaid contributions are recognised as an asset to the extent that the prepayment will lead to a reduction in future payments or a cash refund. When contributions are not expected to be settled wholly within 12 months of the end of the reporting date in which the employees render the related service, the liability is measured on a discounted present value basis. The unwinding of the discount is recognised as a finance cost in profit or loss in the period in which it arises.
Research and development
Research and development expenditure is written off in the year in which it is incurred.
Financial instruments
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.
4. Turnover
Turnover arises from:
2024
2023
£
£
Sale of goods
18,490,247
17,950,841
-------------
-------------
The turnover is attributable to the one principal activity of the company. An analysis of turnover by the geographical markets that substantially differ from each other is given below:
2024
2023
£
£
United Kingdom
7,825,169
6,801,360
Europe
6,340,442
5,659,007
Asia
1,269,727
923,635
America
2,832,145
4,134,994
Australasia
187,733
332,885
Africa
2,193
17,732
Middle East
32,838
81,228
-------------
-------------
18,490,247
17,950,841
-------------
-------------
5. Operating profit
Operating profit or loss is stated after charging:
2024
2023
£
£
Depreciation of tangible assets
197,647
158,396
Loss on disposal of tangible assets
639
Impairment of trade debtors
10,644
3,909
Foreign exchange differences
283,657
116,319
Operating lease rental
103,884
103,630
---------
---------
6. Auditor's remuneration
2024
2023
£
£
Fees payable for the audit of the financial statements
26,500
22,500
--------
--------
Fees payable to the company's auditor and its associates for other services:
Other non-audit services
2,504
5,148
--------
--------
7. Particulars of employees
The average number of persons employed by the company during the year, including the directors, amounted to:
2024
2023
No.
No.
Production staff
22
21
Administrative staff
12
12
----
----
34
33
----
----
The aggregate payroll costs incurred during the year, relating to the above, were:
2024
2023
£
£
Wages and salaries
4,255,400
4,141,759
Social security costs
566,190
530,306
Other pension costs
103,998
80,979
------------
------------
4,925,588
4,753,044
------------
------------
8. Directors' remuneration
The directors' aggregate remuneration in respect of qualifying services was:
2024
2023
£
£
Remuneration
1,783,834
1,659,040
Company contributions to defined contribution pension plans
24,044
27,665
------------
------------
1,807,878
1,686,705
------------
------------
The number of directors who accrued benefits under company pension plans was as follows:
2024
2023
No.
No.
Defined contribution plans
4
6
----
----
Remuneration of the highest paid director in respect of qualifying services:
2024
2023
£
£
Aggregate remuneration
465,649
378,469
Company contributions to defined contribution pension plans
7,107
7,072
---------
---------
472,756
385,541
---------
---------
9. Interest receivable
2024
2023
£
£
Interest on cash and cash equivalents
28,781
5,421
--------
-------
10. Taxation on ordinary activities
Major components of tax expense
2024
2023
£
£
Current tax:
UK current tax expense
784,094
796,136
Adjustments in respect of prior periods
( 21,985)
---------
---------
Total current tax
762,109
796,136
---------
---------
Deferred tax:
Origination and reversal of timing differences
70,442
60,171
---------
---------
Taxation on ordinary activities
832,551
856,307
---------
---------
Reconciliation of tax expense
The tax assessed on the profit on ordinary activities for the year is lower than (2023: lower than) the standard rate of corporation tax in the UK of 25 % (2023: 19 %).
2024
2023
£
£
Profit on ordinary activities before taxation
4,869,433
5,891,957
------------
------------
Profit on ordinary activities by rate of tax
1,217,357
1,119,472
Adjustment to tax charge in respect of prior periods
( 21,985)
Effect of expenses not deductible for tax purposes
2,896
5,443
Effect of capital allowances and depreciation
10,826
1,576
Utilisation of tax losses
( 122,186)
Research and development claims
(254,357)
(304,068)
Rate difference on deferred tax
33,884
------------
------------
Tax on profit
832,551
856,307
------------
------------
11. Dividends
Dividends paid during the year (excluding those for which a liability existed at the end of the prior year):
2024
2023
£
£
Dividends on equity shares
1,000,000
1,250,000
------------
------------
12. Intangible assets
Goodwill
£
Cost
At 1 April 2023 and 31 March 2024
300,000
---------
Amortisation
At 1 April 2023 and 31 March 2024
300,000
---------
Carrying amount
At 31 March 2024
---------
At 31 March 2023
---------
13. Tangible assets
Freehold property
Leasehold property improvements
Plant and machinery
Motor vehicles
Total
£
£
£
£
£
Cost
At 1 April 2023
272,084
868,361
1,771,966
6,983
2,919,394
Additions
20,806
410,847
431,653
Disposals
( 4,400)
( 4,400)
---------
---------
------------
-------
------------
At 31 March 2024
272,084
889,167
2,178,413
6,983
3,346,647
---------
---------
------------
-------
------------
Depreciation
At 1 April 2023
2,638
184,801
1,295,454
6,983
1,489,876
Charge for the year
55,731
141,916
197,647
Disposals
( 4,400)
( 4,400)
---------
---------
------------
-------
------------
At 31 March 2024
2,638
240,532
1,432,970
6,983
1,683,123
---------
---------
------------
-------
------------
Carrying amount
At 31 March 2024
269,446
648,635
745,443
1,663,524
---------
---------
------------
-------
------------
At 31 March 2023
269,446
683,560
476,512
1,429,518
---------
---------
------------
-------
------------
Capital commitments
2024
2023
£
£
Contracted for but not provided for in the financial statements
82,905
268,875
--------
---------
14. Investments
Shares in group undertakings
£
Cost
At 1 April 2023 and 31 March 2024
70,100
--------
Impairment
At 1 April 2023 and 31 March 2024
69,900
--------
Carrying amount
At 31 March 2024
200
--------
At 31 March 2023
200
--------
The company owns 100% of the issued share capital of Resistance Wires Limited in which it holds 100 £1 ordinary shares. The company owns 100% of the issued share capital of Precision Shaped Wires Limited in which it holds 100 £1 ordinary shares.
The net asset values, profits and activities of the subsidiaries for the year are as listed below:
Aggregate capital and reserves
2024
2023
£
£
Resistance Wires Limited (dormant)
100
100
Precision Shaped Wires Limited (dormant)
100
100
Profit and (loss) for the year
2024
2023
£
£
Resistance Wires Limited (dormant) - -
Precision Shaped Wires Limited (dormant) - -
Precision Shaped Wires Limited and Resistance Wires Limited are both registered in England & Wales. Both companies were dormant for the year ended 31 March 2024.
15. Stocks
2024
2023
£
£
Raw materials
4,906,618
3,421,623
------------
------------
16. Debtors
2024
2023
£
£
Trade debtors
2,414,845
2,943,763
Amounts owed by group undertakings
4,441,910
3,389,139
Prepayments and accrued income
197,167
380,101
------------
------------
7,053,922
6,713,003
------------
------------
17. Creditors: amounts falling due within one year
2024
2023
£
£
Trade creditors
1,784,661
1,503,910
Amounts owed to group undertakings
200
200
Accruals and deferred income
1,627,543
1,371,799
Corporation tax
269,531
547,137
Social security and other taxes
358,114
345,720
------------
------------
4,040,049
3,768,766
------------
------------
There is a fixed and floating charge over the assets of the Company.
18. Provisions
Deferred tax (note 19)
£
At 1 April 2023
141,185
Additions
70,442
---------
At 31 March 2024
211,627
---------
19. Deferred tax
The deferred tax included in the statement of financial position is as follows:
2024
2023
£
£
Included in provisions (note 18)
211,627
141,185
---------
---------
The deferred tax account consists of the tax effect of timing differences in respect of:
2024
2023
£
£
Accelerated capital allowances
211,627
141,185
---------
---------
20. Employee benefits
Defined contribution plans
The amount recognised in profit or loss as an expense in relation to defined contribution plans was £ 103,998 (2023: £ 80,979 ).
21. Financial instruments
Financial assets measured at amortised cost comprise cash at bank, trade, group and other debtors and amounted to £11,525,645 (2023: £9,683,105). Financial liabilities measured at amortised cost comprise trade, group and other creditors and amounted to £1,784,861 (2023: £1,504,110).
22. Called up share capital
Issued, called up and fully paid
2024
2023
No.
£
No.
£
Ordinary Class A shares of £ 1 each
181,400
181,400
181,400
181,400
Ordinary Class B shares of £ 1 each
93,149
93,149
93,149
93,149
---------
---------
---------
---------
274,549
274,549
274,549
274,549
---------
---------
---------
---------
All shares rank pari pasu with regards to voting rights, dividends and capital in a winding up.
23. Reserves
Share premium account - This reserve records the amount above the nominal value received for shares sold, less transaction costs. Capital redemption reserve - This reserve records the nominal value of shares repurchased by the company. Profit and loss account - This reserve records retained earnings and accumulated losses.
24. Analysis of changes in net debt
At 1 Apr 2023
Cash flows
At 31 Mar 2024
£
£
£
Cash at bank and in hand
3,350,203
1,318,687
4,668,890
------------
------------
------------
25. Commitments under operating leases
The total future minimum lease payments under non-cancellable operating leases are as follows:
2024
2023
£
£
Not later than 1 year
80,845
83,380
Later than 1 year and not later than 5 years
280,000
320,845
Later than 5 years
40,000
---------
---------
360,845
444,225
---------
---------
26. Related party transactions
Under FRS 102 the company is exempt from disclosing transactions with fellow group companies on the basis that consolidated accounts are prepared which are publicly available.
27. Controlling party
The company was under the control of Mr A Shaw , Mr A du Plessis and Mr T Mander in the year. No one individual has overall control. The parent company is Alloy Wire Holdings Limited. The registered address is Unit 5a Narrowboat Way, Hurst Business Park, Brierley Hill, West Midlands, United Kingdom, DY5 1UF. The ultimate parent company is Alloy Wire Holding 2022 Limited, a company registered in England and Wales.