Caseware UK (AP4) 2023.0.135 2023.0.135 2024-03-312024-03-31truetruetruetruetruetruetruefalse512023-04-01falseNo description of principal activity54false 07393831 2023-04-01 2024-03-31 07393831 2022-04-01 2023-03-31 07393831 2024-03-31 07393831 2023-03-31 07393831 2022-04-01 07393831 1 2023-04-01 2024-03-31 07393831 1 2022-04-01 2023-03-31 07393831 d:Director2 2023-04-01 2024-03-31 07393831 d:Director4 2023-04-01 2024-03-31 07393831 d:Director6 2023-04-01 2024-03-31 07393831 d:Director8 2023-04-01 2024-03-31 07393831 d:Director9 2023-04-01 2024-03-31 07393831 e:FurnitureFittings 2023-04-01 2024-03-31 07393831 e:FurnitureFittings 2024-03-31 07393831 e:FurnitureFittings 2023-03-31 07393831 e:FurnitureFittings e:OwnedOrFreeholdAssets 2023-04-01 2024-03-31 07393831 e:ComputerEquipment 2023-04-01 2024-03-31 07393831 e:ComputerEquipment 2024-03-31 07393831 e:ComputerEquipment 2023-03-31 07393831 e:ComputerEquipment e:OwnedOrFreeholdAssets 2023-04-01 2024-03-31 07393831 e:OwnedOrFreeholdAssets 2023-04-01 2024-03-31 07393831 e:CurrentFinancialInstruments 2024-03-31 07393831 e:CurrentFinancialInstruments 2023-03-31 07393831 e:Non-currentFinancialInstruments 2024-03-31 07393831 e:Non-currentFinancialInstruments 2023-03-31 07393831 e:CurrentFinancialInstruments e:WithinOneYear 2024-03-31 07393831 e:CurrentFinancialInstruments e:WithinOneYear 2023-03-31 07393831 f:UnitedKingdom 2023-04-01 2024-03-31 07393831 f:UnitedKingdom 2022-04-01 2023-03-31 07393831 e:RetainedEarningsAccumulatedLosses 2023-04-01 2024-03-31 07393831 e:RetainedEarningsAccumulatedLosses 2024-03-31 07393831 e:RetainedEarningsAccumulatedLosses 2022-04-01 2023-03-31 07393831 e:RetainedEarningsAccumulatedLosses 2023-03-31 07393831 e:RetainedEarningsAccumulatedLosses 2022-04-01 07393831 d:OrdinaryShareClass1 2023-04-01 2024-03-31 07393831 d:OrdinaryShareClass1 2024-03-31 07393831 d:OrdinaryShareClass1 2023-03-31 07393831 d:FRS102 2023-04-01 2024-03-31 07393831 d:Audited 2023-04-01 2024-03-31 07393831 d:FullAccounts 2023-04-01 2024-03-31 07393831 d:PrivateLimitedCompanyLtd 2023-04-01 2024-03-31 07393831 e:WithinOneYear 2024-03-31 07393831 e:WithinOneYear 2023-03-31 07393831 e:BetweenOneFiveYears 2024-03-31 07393831 e:BetweenOneFiveYears 2023-03-31 07393831 e:AcceleratedTaxDepreciationDeferredTax 2024-03-31 07393831 e:AcceleratedTaxDepreciationDeferredTax 2023-03-31 07393831 7 2023-04-01 2024-03-31 07393831 g:PoundSterling 2023-04-01 2024-03-31 xbrli:shares iso4217:GBP xbrli:pure

Registered number: 07393831










JAMES WALKER UK LIMITED










ANNUAL REPORT AND FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31 MARCH 2024


CONTENTS



Page
Strategic Report
1 - 2
Directors' Report
3 - 4
Independent Auditors' Report
5 - 8
Statement of Comprehensive Income
9
Statement of Financial Position
10
Statement of Changes in Equity
11
Notes to the Financial Statements
12 - 22


 
STRATEGIC REPORT
FOR THE YEAR ENDED 31 MARCH 2024

Business review
 
James Walker UK Limited's ("the Company") strategic focus continues to be core James Walker sealing product sales into new and existing markets. 
The Company faced a number of issues during the financial year, including inflation, manufacturing labour shortages and supply chain material shortages. Despite these challenges the Company's sales increased primarily in relation to the Oil & Gas, Power Generation and Defence markets.
The Company continues to focus on working capital and credit control. The implementation of a hybrid working policy has proved to be effective and offers employees an improved work life balance with no negative effect on customer relationships.
For the financial year ended 31 March 2024 the Company recorded an operating profit of £1,542,000 (2023: £1,196,000).

Financial key performance indicators
 
The following key performance indicators are measured and reviewed on a regular basis and enable the business to set and communicate its performance targets and monitor its performance against these targets:
Revenue growth - annual growth rate of revenue decreased by: 1.7% (2023: Growth - 23.4%).
Operating margin - operating profit before special items as a percentage of revenue: 6.2% (2023: 4.8%).
Average working capital levels - trade and other receivables less trade and other payables as a percentage of revenue: 3.9% (2023:2.6%).
Shareholders' funds: £2,569,000 (2023: £2,449,000).
Principal risks and uncertainties
Product innovation 
The Company supplies products which include materials that are subject to regulations and in some cases customer certifications. Specifically, there is a risk around poly and perfluoroalkyl substances (PFAS) and if these materials are prohibited or withdrawn this could stop the supply of certain products into the market place.
We are identifying materials that could be at risk as well as researching and developing alternative solutions.

Page 1


STRATEGIC REPORT
FOR THE YEAR ENDED 31 MARCH 2024

Principal risks and uncertainties (continued)
 
Supply chain disruption 
Disruption of supply of raw and semi-finished materials has improved during the year, partly due to a number of measures which the Company has implemented. We continue to communicate closely with our suppliers, review critical raw material needs and monitor logistics partners.
Climate change
A warming, changing climate presents both medium and long-term risks and opportunities for the Company. The transition towards net zero, including policies to encourage decarbonisation, will, in future, require us to provide additional support and products to customers as they shift away from fossil fuel based operation. Customers’ environmental expectations of their supply chains are expected to become more demanding.  The Company is responding to the UN Sustainable Development Goals and is developing projects to reduce our energy intensity through better energy management, more efficient equipment and investment in sustainable energy sources.
Keystone programme
The company plans to go live on its new ERP system, with minimal disruption. The project leadership aims to achieve this through rigorous project management controls and system testing. Should the risk materialise, sales could be disrupted.


This report was approved by the Board of Directors on 11 July 2024 and signed on its behalf.





D Jackson
Director
Page 2


The Directors present their report and the financial statements for the year ended 31 March 2024.

Directors' responsibilities statement

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 applicable law and United Kingdom Accounting Standards (United Kingdom Generally Accepted Accounting Practice), 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 for the Company's financial statements and then apply them consistently;

make judgments and accounting estimates that are reasonable and prudent;

state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;

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 to enable them to ensure that the financial statements comply with the Companies Act 2006They 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.

Results and dividends

The profit for the year, after taxation, amounted to £1,620,000 (2023: £1,228,000).

The Directors have approved the payment of an interim dividend of £1,750,000 (2023: £1,500,000) which was paid on 20 June 2024.

Directors

The Directors who served during the year were:

S Corfield 
D Jackson 
D Neeb 
J Simms 
C Durnall 

Future prospects

The Directors are confident that the that the Company can continue as a going concern. The Board feels that the Company is in a sound financial position to maximise any opportunities throughout the year as it actively seeks to expand through organic growth.

Disclosure of information to auditors

Each of the persons who are Directors at the time when this Directors' Report is approved has confirmed that:
 
so far as the Director is aware, there is no relevant audit information of which the Company's auditors are unaware, and

the Director has taken all the steps that ought to have been taken as a Director in order to be aware of any relevant audit information and to establish that the Company's auditors are aware of that information.

Page 3

Auditors

The auditorsHaysmacintyre LLPwill be proposed for reappointment in accordance with section 485 of the Companies Act 2006.

This report was approved by the Board of Directors on 11 July 2024 and signed on its behalf.
 





D Jackson
Director

Page 4

Opinion


We have audited the financial statements of James Walker UK Limited (the 'Company') for the year ended 31 March 2024, which comprise the Statement of Comprehensive Income, the Statement of Financial Position, the Statement of Changes in Equity and the related notes, including a summary of significant accounting policiesThe 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 March 2024 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 United Kingdom, including the Financial Reporting Council'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 Auditors' Report thereon. The Directors are responsible for the other information contained within the Annual ReportOur opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. Our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the course of the audit, or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.


We have nothing to report in this regard.


Page 5

Opinion 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 set out on page 3, 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.


Page 6

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 an Auditors' 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:

Explanation as to what extent the audit was considered capable of detecting irregularities, including fraud.
Based on our understanding of the Company and industry, we identified that the principal risks of non-compliance with laws and regulations related to regulatory requirements for manufacturing businesses such as health and safety and trade regulations, and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as the Companies Act 2006, income tax, payroll tax and sales tax.
 
We evaluated management's incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls), and determined that the principal risks were related to posting inappropriate journal entries to revenue and management bias in accounting estimates. Audit procedures performed by the engagement team included: 
• Inspecting correspondence with regulators and tax authorities;
• Discussion with management including consideration of known or suspected instances of non-compliance  with laws and regulations and fraud;
• Evaluating managements’ controls designed to prevent and detect irregularities;
• Identifying and testing journals, in particular journal entries posted with unusual account combinations,   postings by unusual users or with unusual descriptions; and
• Challenging assumptions and judgements made by management in their critical accounting estimates.


Because of the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those leading to a material misstatement in the financial statements or non-compliance with regulation. This risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion, omission or misrepresentation.


A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our Auditors' Report.


Page 7

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 2006Our 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 Auditors' 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.





Christopher Cork (Senior Statutory Auditor)
for and on behalf of
Haysmacintyre LLP
Statutory Auditors
10 Queen Street Place
London
EC4R 1AG

11 July 2024
Page 8

 
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 MARCH 2024

2024
2023
Note
£000
£000

  

Turnover
 3 
24,691
25,125

Cost of sales
  
(17,966)
(19,065)

Administrative expenses
  
(5,166)
(4,873)

Other operating income
 4 
(17)
9

Operating profit
 5 
1,542
1,196

Interest receivable and similar income
 9 
78
32

Profit before tax
  
1,620
1,228

Tax on profit
 10 
-
-

Other comprehensive income for the year
  

Total comprehensive income for the year
  
1,620
1,228

Page 9


STATEMENT OF FINANCIAL POSITION
AS AT 31 MARCH 2024

2024
2023
Note
£000
£000

Fixed assets
  

Tangible assets
 11 
20
16

  
20
16

Current assets
  

Debtors: amounts falling due after more than one year
 12 
10
10

Debtors: amounts falling due within one year
 12 
6,262
6,084

Cash at bank and in hand
 13 
1
7

  
6,273
6,101

Creditors: amounts falling due within one year
 14 
(3,724)
(3,668)

Net current assets
  
 
 
2,549
 
 
2,433

Total assets less current liabilities
  
2,569
2,449

  

Net assets
  
2,569
2,449


Capital and reserves
  

Profit and loss account
  
2,569
2,449

  
2,569
2,449


The financial statements were approved and authorised for issue by the Board of Directors and were signed on its behalf on 11 July 2024.





D Jackson
Director

Page 10


STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MARCH 2024


Profit and loss account
Total equity

£000
£000


At 1 April 2022
3,821
3,821


Comprehensive income for the year

Profit for the year
1,228
1,228

Dividends: equity capital
(2,600)
(2,600)



At 1 April 2023
2,449
2,449


Comprehensive income for the year

Profit for the year
1,620
1,620

Dividends: equity capital
(1,500)
(1,500)


At 31 March 2024
2,569
2,569


Page 11


1.Accounting policies

 
1.1

Basis of preparation of financial statements

James Walker UK Limited is a private company, limited by shares, registered in England and Wales. 
The registered office is: 
Lion House
Oriental Road
Woking
Surrey
GU22 8AP
The principal place of business is:
Gawsworth House
Westmere Drive
Crewe
Cheshire
CW1 6XB

The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.

The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgment in applying the Company's accounting policies (see note 2).

The following principal accounting policies have been applied:

 
1.2

Financial Reporting Standard 102 - Reduced Disclosure Exemptions

The Company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":
the requirements of Section 7 Statement of Cash Flows;
the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d);
the requirements of Section 11 Financial Instruments paragraphs 11.42, 11.44 to 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c);
the requirements of Section 12 Other Financial Instruments paragraphs 12.26 to 12.27, 12.29(a), 12.29(b) and 12.29A;
the requirements of Section 26 Share-based Payment paragraphs 26.18(b), 26.19 to 26.21 and 26.23;
the requirements of Section 33 Related Party Disclosures paragraph 33.7.

This information is included in the consolidated financial statements of James Walker Group Limited as at 31 March 2024 and these financial statements may be obtained from Companies House.

 
1.3

Going concern

After reviewing the Company’s forecasts and projections, the Directors have a reasonable expectation that the Company has adequate resources to continue in operational existence for the foreseeable future. The Company therefore continues to adopt the going concern basis in preparing its financial statements.

Page 12

 
1.4

Revenue

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. The following criteria must also be met before revenue is recognised:

Sale of goods

Revenue from the sale of goods is recognised when all of the following conditions are satisfied:
the Company has transferred the significant risks and rewards of ownership to the buyer;
the Company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;
the amount of revenue can be measured reliably;
it is probable that the Company will receive the consideration due under the transaction; and
the costs incurred or to be incurred in respect of the transaction can be measured reliably.

 
1.5

Tangible fixed assets

Tangible fixed assets under the cost model are stated at historical cost less accumulated depreciation and any accumulated impairment losses. Historical cost includes expenditure that is directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.

Depreciation is provided as follows:

Fixtures and fittings
-
over 10 years
Computer equipment
-
over 3-5 years

The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.

Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.

Depreciation needs to be assessed for each entity to see whether a material disclosure is required. 

 
1.6

Operating leases: Lessee

Rentals paid under operating leases are charged to the Income Statement on a straight-line basis over the lease term.

 
1.7

Debtors

Short-term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

 
1.8

Cash and cash equivalents

Cash is represented by cash in hand and deposits with financial institutions repayable without penalty on notice of not more than 24 hours. Cash equivalents are highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value.

 
1.9

Creditors

Short-term creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

Page 13

 
1.10

Government grants

Grants are accounted under the accruals model as permitted by FRS 102. Grants relating to expenditure on tangible fixed assets are credited to the Statement of Comprehensive Income at the same rate as the depreciation on the assets to which the grant relates. The deferred element of grants is included in creditors as deferred income.
Grants of a revenue nature are recognised in the Statement of Comprehensive Income in the same period as the related expenditure.

 
1.11

Foreign currency translation

Functional and presentation currency

The Company's functional and presentational currency is GBP.

Transactions and balances

Foreign currency transactions are translated into the functional currency using the spot exchange rates at the dates of the transactions.

At each period end foreign currency monetary items are translated using the closing rate. Non-monetary items measured at historical cost are translated using the exchange rate at the date of the transaction and non-monetary items measured at fair value are measured using the exchange rate when fair value was determined.

Foreign exchange gains and losses resulting from the settlement of transactions and from the translation at period-end exchange rates of monetary assets and liabilities denominated in foreign currencies are recognised in the Income Statement except when deferred in other comprehensive income as qualifying cash flow hedges.

Foreign exchange gains and losses that relate to borrowings and cash and cash equivalents are presented in the Statement of Comprehensive Income within 'finance income or costs'. All other foreign exchange gains and losses are presented in the Income Statement within 'other operating income'.

 
1.12

Pensions

Defined contribution pension scheme

The Company operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Company pays fixed contributions into a separate entity. Once the contributions have been paid the Company has no further payment obligations.

The contributions are recognised as an expense in profit or loss when they fall due. Amounts not paid are shown in accruals as a liability in the Statement of Financial Position. The assets of the plan are held separately from the Company in independently administered funds.

Defined benefit pension scheme

Where the risks of a defined benefit plan are shared between entities under common control, the net defined benefit cost is recognised in the financial statements of the Group entity which is legally responsible for the plan and all other Group entities recognise a cost equal to their contribution payable for the period.

 
1.13

Holiday pay accrual

A liability is recognised to the extent of any unused holiday pay entitlement which is accrued at the
Statement of Financial Position date and carried forward to future periods.

Page 14

 
1.14

Current and deferred taxation

The tax expense for the year comprises current and deferred tax. Tax is recognised in the Income Statement except that a charge attributable to an item of income and expense recognised as other comprehensive income or to an item recognised directly in equity is also recognised in other comprehensive income or directly in equity respectively.

The current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting date in the countries where the Company operates and generates income.

Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the reporting date, except that:
The recognition of deferred tax assets is limited to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits; and
Any deferred tax balances are reversed if and when all conditions for retaining associated tax allowances have been met.

Deferred tax balances are not recognised in respect of permanent differences except in respect of business combinations, when deferred tax is recognised on the differences between the fair values of assets acquired and the future tax deductions available for them and the differences between the fair values of liabilities acquired and the amount that will be assessed for tax. Deferred tax is determined using tax rates and laws that have been enacted or substantively enacted by the reporting date.


2.


Judgements in applying accounting policies and key sources of estimation uncertainty

In the process of applying its accounting policies, the Company is required to make certain estimates,
judgements and assumptions that it believes are reasonable based on the information available. These judgements, estimates and assumptions affect the amounts of assets and liabilities at the date of the financial statements and the amounts of revenues and expenses recognised during the reporting periods presented.
On an ongoing basis, the Company evaluates its estimates using historical experience, consultation with experts and other methods considered reasonable in the particular circumstances. Actual results may differ significantly from the estimates, the effect of which is recognised in the period in which the facts that give rise to the revision become known.
The following paragraphs detail the estimates and judgements the Company believes to have the most significant impact on the annual results under FRS 102.
Property, plant and equipment (PPE)
The estimated useful economic lives of PPE are based on management's judgement and experience. When management identifies that actual useful economic lives differ materially from the estimates used to calculate depreciation, that charge is adjusted prospectively. Due to the significance of PPE investment to the Group, variations between actual and estimated useful economic lives could impact operating results both positively and negatively, although historically few changes to estimated useful economic lives have been required.
The Company is required to evaluate the carrying values of PPE for impairment whenever circumstances indicate, in management's judgement, that the carrying value of such assets may not be recoverable. An impairment review requires management to make subjective judgements concerning the cash flows, growth rates and discount rates of the cash generating units under review.
Page 15


3.


Turnover

The whole of the turnover is attributable to sales of sealing products and services for a number of the UK manufacturers in the James Walker Group.

Analysis of turnover by country of destination:

2024
2023
£000
£000

United Kingdom
24,691
25,125

24,691
25,125



4.


Other operating income

2024
2023
£000
£000

Other operating income
(17)
9

(17)
9



5.


Operating profit

The operating profit is stated after charging:

2024
2023
£000
£000

Other operating lease rentals
105
101

Depreciation on tangible fixed assets
12
19


6.


Auditors' remuneration

2024
2023
£000
£000

Fees payable to the Company's auditors for the audit of the Company's annual accounts
21
19

Other services relating to taxation
3
3

Page 16


7.


Employees

Staff costs, including Directors' remuneration, were as follows:


2024
2023
£000
£000

Wages and salaries
2,129
2,002

Social security costs
227
221

Cost of defined contribution scheme
76
72

2,432
2,295


The average monthly number of employees, including the Directors, during the year was as follows:


        2024
        2023
            No.
            No.







Sales
41
38



Office and management
13
13

54
51


8.


Directors' remuneration

2024
2023
£000
£000

Directors' emoluments
119
93

Company contributions to defined contribution pension schemes
4
4

123
97


During the year retirement benefits were accruing to one Director (2023: one) in respect of defined contribution pension schemes.
Pension arrangements with regards to two Directors who were also Directors of the parent company are disclosed in the parent company accounts. The other Directors' pensions are dealt with in the accounts of their employing company.
The Company does not consider any individuals other than the Directors to be Key Management Personnel.


9.


Interest receivable

2024
2023
£000
£000


Other interest receivable
78
32

78
32

Page 17


10.


Taxation


2024
2023
£000
£000



Total current tax
-
-

Deferred tax

Total deferred tax
-
-


Taxation on profit on ordinary activities
-
-

Factors affecting tax charge for the year

The tax assessed for the year is higher than (2023 - higher than) the standard rate of corporation tax in the UK of23.5% (2023 - 19%). The differences are explained below:

2024
2023
£000
£000


Profit on ordinary activities before tax
1,620
1,228


Profit on ordinary activities multiplied by standard rate of corporation tax in the UK of 23.5% (2023 - 19%)
405
233

Effects of:


Expenses not deductible for tax purposes, other than goodwill amortisation and impairment
3
1

Capital allowances for year in excess of depreciation
(6)
4

Other timing differences leading to a decrease in taxation
1
1

Group relief
(403)
(239)

Total tax charge for the year
-
-


Factors that may affect future tax charges

As of April 2023 the standard corporation tax rate in the UK rose to 25%. The Directors have reviewed the Company's anticipated future profitability, and in view of this a deferred tax asset of £10,000 (2023: £10,000) has been recognised in the Statement of Financial Position. 
Page 18


11.


Tangible fixed assets





Fixtures and fittings
Computer equipment
Total

£000
£000
£000



Cost or valuation


At 1 April 2023
139
113
252


Additions
-
16
16


Disposals
-
(7)
(7)



At 31 March 2024

139
122
261



Depreciation


At 1 April 2023
132
104
236


Charge for the year on owned assets
3
9
12


Disposals
-
(7)
(7)



At 31 March 2024

135
106
241



Net book value



At 31 March 2024
4
16
20



At 31 March 2023
7
9
16

Page 19


12.


Debtors

2024
2023
£000
£000

Due after more than one year

Deferred tax asset
10
10

10
10


2024
2023
£000
£000

Due within one year

Trade debtors
5,363
5,922

Amounts owed by group undertakings
623
36

Other debtors
-
10

Prepayments and accrued income
276
116

6,262
6,084



13.


Cash and cash equivalents

2024
2023
£000
£000

Cash at bank and in hand
1
7

1
7



14.


Creditors: Amounts falling due within one year

2024
2023
£000
£000

Trade creditors
295
151

Amounts owed to group undertakings
1,469
1,490

Other taxation and social security
1,383
1,475

Other creditors
94
43

Accruals and deferred income
483
509

3,724
3,668


Page 20


15.


Deferred taxation




2024


£000






At 1 April 2023
10



At 31 March 2024
10

The deferred tax asset is made up as follows:

2024
2023
£000
£000


Accelerated capital allowances
10
10

10
10


16.


Share capital

2024
2023
£000
£000
Allotted, called up and fully paid



100 (2024 - 100) Ordinary shares of £1.00 each
-
-



17.


Reserves

Profit and loss account
The profit and loss account includes all current and prior period retained profits and losses.


18.


Pension commitments

The Company participates in a group defined benefit plan, the James Walker Pension Scheme ("JWPS"). For the purposes of FRS102 s28 the Company cannot identify its share of the underlying assets and liabilities of the defined benefit scheme in which it participates and the Company's pension contributions are assessed in accordance with the advice of a qualified independent actuary whose calculations are based upon total scheme membership. There is no contractual agreement or stated policy for charging the cost of the plan to the individual companies. In overall terms at 31 March 2024 there was nil deficit in respect of the UK scheme. The JWPS was closed to future accrual with effect from 30 April 2016 and active members of the scheme at that date were auto-enrolled into the James Walker Group Personal Pension Plan, a defined contribution scheme. Further information is included in the financial statements of the parent undertaking.

Page 21


19.


Commitments under operating leases

At 31 March 2024 the Company had future minimum lease payments due under non-cancellable operating leases for each of the following periods:

2024
2023
£000
£000


Not later than 1 year
74
75

Later than 1 year and not later than 5 years
95
70

169
145


20.


Contingent liabilities

At 31 March 2024 the Company was party to a multilateral guarantee in respect of the indebtedness of other group companies to the value of £2,000,000 (2023: £2,000,000).


21.


Related party transactions

The Company has taken advantage of exemptions from disclosing transactions with related companies under the provisions of Section 33 of Financial Reporting Standard 102.


22.


Controlling party

The ultimate parent undertaking is James Walker Group Limited. Its registered office is Lion House, Oriental Road, Woking, Surrey, GU22 8AP.
Group financial statements for James Walker Group Limited are available to the public from Companies House, Crown Way, Cardiff, for which there may be a fee, if applicable.

Page 22