Caseware UK (AP4) 2023.0.135 2023.0.135 2024-01-202024-01-202024-01-20The tax expense for the year comprises current and deferred tax. Tax is recognised in the Consolidated Statement of Comprehensive Income 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 and the Group operate and generate 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.1149At the reporting date, the Company was owed £214,387 (2023 - £209,387) by Blackstone Design Limited, a company jointly-owned by the Company and E M Abraham. Interest of £7,264 (2023 - £4,067) was charged on the loan. a company jointly-owned by the Company and E M Abraham During the year, the Company paid rent of £500,000 (2023 - £500,000) to Eric M Abraham. At the reporting date, the Company was owed £5,303,800 (2023 - £5,264,992) by Curtain Road Properties Limited, included in other debtors. Curtain Road Properties Limited is a joint venture company registered in Guernsey in which Eric Abraham has an interest. There are no repayment terms or interest charges for this balance. During the year, the Company made sales amounting to £50,894 (2023 - £4,761) to its subsidiary, Sock Ons Limited. At the reporting date, the Company was owed £15,953 (2023 - £4,017) by Sock Ons Limited, included within trade debtors. At the reporting date, the Company was owed £20,379 (2023 - £20,379) by E M Abraham Limited, a company in which Eric M Abraham has a material interest. During the year the Company paid a dividend of £10,150,000 (2023 - £Nil) to Eric M Abraham, a director of the Company.5554519Blackstone Design Limited Eric M Abraham Curtain Road Properties Limited Sock Ons Limited E M Abraham Limited Eric M Abraham1065000038falsefalse2023-01-21falsewholesale of clothing37false 00955238 2023-01-21 2024-01-20 00955238 2022-01-21 2023-01-20 00955238 2024-01-20 00955238 2023-01-20 00955238 2022-01-21 00955238 c:Director2 2023-01-21 2024-01-20 00955238 c:Director3 2023-01-21 2024-01-20 00955238 c:Director4 2023-01-21 2024-01-20 00955238 c:RegisteredOffice 2023-01-21 2024-01-20 00955238 d:Buildings d:LongLeaseholdAssets 2023-01-21 2024-01-20 00955238 d:Buildings d:LongLeaseholdAssets 2024-01-20 00955238 d:Buildings d:LongLeaseholdAssets 2023-01-20 00955238 d:PlantMachinery 2023-01-21 2024-01-20 00955238 d:PlantMachinery 2024-01-20 00955238 d:PlantMachinery 2023-01-20 00955238 d:PlantMachinery d:OwnedOrFreeholdAssets 2023-01-21 2024-01-20 00955238 d:PlantMachinery d:LeasedAssetsHeldAsLessee 2023-01-21 2024-01-20 00955238 d:MotorVehicles 2023-01-21 2024-01-20 00955238 d:MotorVehicles 2024-01-20 00955238 d:MotorVehicles 2023-01-20 00955238 d:MotorVehicles d:OwnedOrFreeholdAssets 2023-01-21 2024-01-20 00955238 d:MotorVehicles d:LeasedAssetsHeldAsLessee 2023-01-21 2024-01-20 00955238 d:FurnitureFittings 2023-01-21 2024-01-20 00955238 d:FurnitureFittings 2024-01-20 00955238 d:FurnitureFittings 2023-01-20 00955238 d:FurnitureFittings d:OwnedOrFreeholdAssets 2023-01-21 2024-01-20 00955238 d:FurnitureFittings d:LeasedAssetsHeldAsLessee 2023-01-21 2024-01-20 00955238 d:OwnedOrFreeholdAssets 2023-01-21 2024-01-20 00955238 d:LeasedAssetsHeldAsLessee 2023-01-21 2024-01-20 00955238 d:FreeholdInvestmentProperty 2023-01-21 2024-01-20 00955238 d:FreeholdInvestmentProperty 2024-01-20 00955238 d:FreeholdInvestmentProperty 2023-01-20 00955238 d:FreeholdInvestmentProperty 2 2023-01-21 2024-01-20 00955238 d:CurrentFinancialInstruments 2024-01-20 00955238 d:CurrentFinancialInstruments 2023-01-20 00955238 d:Non-currentFinancialInstruments 2024-01-20 00955238 d:Non-currentFinancialInstruments 2023-01-20 00955238 d:CurrentFinancialInstruments d:WithinOneYear 2024-01-20 00955238 d:CurrentFinancialInstruments d:WithinOneYear 2023-01-20 00955238 d:Non-currentFinancialInstruments d:AfterOneYear 2024-01-20 00955238 d:Non-currentFinancialInstruments d:AfterOneYear 2023-01-20 00955238 d:ShareCapital 2024-01-20 00955238 d:ShareCapital 2023-01-20 00955238 d:ShareCapital 2022-01-21 00955238 d:RetainedEarningsAccumulatedLosses 2023-01-21 2024-01-20 00955238 d:RetainedEarningsAccumulatedLosses 2024-01-20 00955238 d:RetainedEarningsAccumulatedLosses 2022-01-21 2023-01-20 00955238 d:RetainedEarningsAccumulatedLosses 2023-01-20 00955238 d:RetainedEarningsAccumulatedLosses 2022-01-21 00955238 d:AcceleratedTaxDepreciationDeferredTax 2024-01-20 00955238 d:AcceleratedTaxDepreciationDeferredTax 2023-01-20 00955238 d:TaxLossesCarry-forwardsDeferredTax 2024-01-20 00955238 d:TaxLossesCarry-forwardsDeferredTax 2023-01-20 00955238 c:OrdinaryShareClass1 2023-01-21 2024-01-20 00955238 c:OrdinaryShareClass1 2024-01-20 00955238 c:OrdinaryShareClass1 2023-01-20 00955238 c:OrdinaryShareClass2 2023-01-21 2024-01-20 00955238 c:OrdinaryShareClass2 2024-01-20 00955238 c:OrdinaryShareClass2 2023-01-20 00955238 c:FRS102 2023-01-21 2024-01-20 00955238 c:Audited 2023-01-21 2024-01-20 00955238 c:FullAccounts 2023-01-21 2024-01-20 00955238 c:PrivateLimitedCompanyLtd 2023-01-21 2024-01-20 00955238 d:Subsidiary1 2023-01-21 2024-01-20 00955238 d:Subsidiary1 1 2023-01-21 2024-01-20 00955238 d:PlantEquipmentOtherAssetsUnderOperatingLeases 2024-01-20 00955238 d:PlantEquipmentOtherAssetsUnderOperatingLeases 2023-01-20 00955238 d:PlantEquipmentOtherAssetsUnderOperatingLeases d:WithinOneYear 2024-01-20 00955238 d:PlantEquipmentOtherAssetsUnderOperatingLeases d:WithinOneYear 2023-01-20 00955238 d:PlantEquipmentOtherAssetsUnderOperatingLeases d:BetweenOneFiveYears 2024-01-20 00955238 d:PlantEquipmentOtherAssetsUnderOperatingLeases d:BetweenOneFiveYears 2023-01-20 00955238 d:PlantEquipmentOtherAssetsUnderOperatingLeases d:MoreThanFiveYears 2024-01-20 00955238 d:PlantEquipmentOtherAssetsUnderOperatingLeases d:MoreThanFiveYears 2023-01-20 00955238 d:HirePurchaseContracts d:WithinOneYear 2024-01-20 00955238 d:HirePurchaseContracts d:WithinOneYear 2023-01-20 00955238 d:HirePurchaseContracts d:BetweenOneFiveYears 2024-01-20 00955238 d:HirePurchaseContracts d:BetweenOneFiveYears 2023-01-20 00955238 c:Consolidated 2024-01-20 00955238 c:ConsolidatedGroupCompanyAccounts 2023-01-21 2024-01-20 00955238 2 2023-01-21 2024-01-20 00955238 6 2023-01-21 2024-01-20 00955238 3 2024-01-20 00955238 4 2024-01-20 00955238 3 2023-01-20 00955238 4 2023-01-20 00955238 f:PoundSterling 2023-01-21 2024-01-20 xbrli:shares iso4217:GBP xbrli:pure
Registered number: 00955238














EMA TEXTILES LIMITED
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 20 JANUARY 2024

 
EMA TEXTILES LIMITED
 
 
COMPANY INFORMATION


Directors
Eric M Abraham 
N C Ross-Field 
L C Zelkha 




Registered number
00955238



Registered office
62-72 Tabernacle Street

London

EC2A 4LR




Independent auditors
Sopher + Co LLP
Chartered Accountants & Statutory Auditors

5 Elstree Gate

Elstree Way

Borehamwood

Hertfordshire

WD6 1JD





 
EMA TEXTILES LIMITED
 

CONTENTS



Page
Group Strategic Report
 
1 - 2
Directors' Report
 
3 - 4
Independent Auditors' Report
 
5 - 8
Consolidated Statement of Comprehensive Income
 
9
Consolidated Statement of Financial Position
 
10 - 11
Company Statement of Financial Position
 
12
Consolidated Statement of Changes in Equity
 
13
Company Statement of Changes in Equity
 
13
Consolidated Statement of Cash Flows
 
14 - 15
Consolidated Analysis of Net Debt
 
15
Notes to the Financial Statements
 
16 - 35


 
EMA TEXTILES LIMITED
 
 
GROUP STRATEGIC REPORT
FOR THE YEAR ENDED 20 JANUARY 2024

Introduction
 
The directors present their Group Strategic Report for the year ended 20 January 2024. 

Business review
 
Overall trading conditions in the UK clothing market have remained difficult and the Group has suffered from an increased shift to direct sourcing by some of its key customers. 
The main highlights for the year are as follows:

Group turnover has decreased from £23.6m to £15.4m and with a high level of fixed costs the Group's  gross margins have suffered accordingly;

Administrative expenses have increased by 2%, after stripping out the effect of exchange rate losses (2023 - gains);

Fair value movements have resulted in a surplus of £0.4m this year compared to a deficit of almost £4m in 2023. This comprises an uplift in current asset investment values in the year of  £1.6m offset by a deficit of £1.2m on revaluation of the Group's investment property portfolio ;

Other investment income has increased this year from £1.86m to £2.22m.

Financial Position
The financial position of the Group remains strong with Group net assets of approximately £74m (2023 - £84m) and minimal debt.
The management of the business and the execution of the Group's strategy are, of course, subject to the normal commercial risks affecting the retail clothing industry in the UK. As a very long-established business EMA Textiles Limited has built strong associations with leading retailers and developed enduring relationships with reputable overseas suppliers who continue to work closely with the Company.

Principal risks and uncertainties
 
The principal risks and uncertainties faced by the Group comprise: 
• Economic Downturns: Economic downturns can lead to reduced consumer spending, which may affect demand.
• Customer retention: The textiles industry is highly competitive. It can be challenging to retain key customers so it is important to continue to provide high quality products and customer service levels with competitive pricing.
• Supplier Reliability:  financial problems or operational issues encountered by a supplier can disrupt the supply chain.
• Fluctuating Currency Exchange Rates: Exchange rate fluctuations can affect costs of imports.
• Quality Control and Product Consistency: Maintaining consistent quality in imported textiles is crucial for customer satisfaction. 
• Increased awareness of global environmental issues and employer’s responsibilities to their workforce has led to stricter enforcement of regulations. The consequences of any failure to comply may cause a risk to  both the supply and sale of product. 
• Logistical Challenges: Shipping and logistics issues, including port congestion, strikes, and transportation capacity shortages, can disrupt the flow of goods
• Tariffs and Trade Policies: Changes in international trade policies, tariffs, and trade agreements can impact the cost and availability of textiles from specific regions or countries.

Page 1

 
EMA TEXTILES LIMITED
 

GROUP STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 20 JANUARY 2024

Financial key performance indicators
 
The directors consider the key performance indicators of the business to be gross margin, operating profit and returns on investments as set out in the Consolidated Statement of Comprehensive Income on page 9.

 

This report was approved by the board on 17 October 2024 and signed on its behalf.



Eric M Abraham
Director

Page 2

 
EMA TEXTILES LIMITED
 
 
DIRECTORS' REPORT
FOR THE YEAR ENDED 20 JANUARY 2024

The directors present their report and the financial statements for the year ended 20 January 2024.

Directors

The directors who served during the year were:

Eric M Abraham 
N C Ross-Field 
L C Zelkha 
E M Abraham
The directors report with great regret that E M Abraham sadly passed away on 5 May 2024.

Results and dividends

The profit for the year, after taxation and minority interests, amounted to £957,925 (2023 - loss £1,131,715).

During the year, dividends of £10,150,000 (2023 - £Nil) were paid to the controlling shareholders and £24,500 (2023 - £51,450) paid to non-controlling interests.

Directors' responsibilities statement

The directors are responsible for preparing the Group Strategic Report, the Directors' Report and the consolidated 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 the Group and of the profit or loss of the Group for that period.

 In preparing these financial statements, the directors are required to:


select suitable accounting policies for the Group's financial statements 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 Group 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 the Group 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 the Group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

Future developments

The directors are hopeful that they will be able to maintain the Group's trading activities in the ensuing year and that the Group is well placed to take advantage of new market opportunities.

Page 3

 
EMA TEXTILES LIMITED
 
 
DIRECTORS' REPORT (CONTINUED)
FOR THE YEAR ENDED 20 JANUARY 2024

Engagement with employees

Management encourage the involvement and participation of the employees in the Group and make every effort to ensure regular contact and exchange of information with staff. It is the Group's policy to give full and fair consideration to suitable applications from disabled persons for employment. 

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 and the Group'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 and the Group's auditors are aware of that information.

Events after the reporting date

There have been no significant events affecting the Group since the year end.

Auditors

Under section 487(2) of the Companies Act 2006Sopher + Co LLP will be deemed to have been reappointed as auditors 28 days after these financial statements were sent to members or 28 days after the latest date prescribed for filing the accounts with the registrar, whichever is earlier.

This report was approved by the board on 17 October 2024 and signed on its behalf.
 





Eric M Abraham
Director

Page 4

 
EMA TEXTILES LIMITED
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF EMA TEXTILES LIMITED
 

Opinion


We have audited the financial statements of EMA Textiles Limited (the 'parent Company') and its subsidiaries (the 'Group') for the year ended 20 January 2024, which comprise the Group Statement of Comprehensive Income, the Group and Company Statements of Financial Position, the Group Statement of Cash Flows, the Group and Company 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 Group's and of the parent Company's affairs as at 20 January 2024 and of the Group's 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 Group 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 Group's or the parent 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 included in the Annual Report, other than the financial statements and our Auditors' Report 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 statementsour 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. 
 
Page 5

 
EMA TEXTILES LIMITED
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF EMA TEXTILES LIMITED (CONTINUED)

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.


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 Group 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 Group 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 Group and the parent Company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group 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 by the parent Company, or returns adequate for our audit have not been received from branches not visited by us; or
the parent Company 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 Group's and the parent 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 Group or the parent Company or to cease operations, or have no realistic alternative but to do so.


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 Group financial statements.



 
Page 6

 
EMA TEXTILES LIMITED
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF EMA TEXTILES LIMITED (CONTINUED)

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:

the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations; 
we identified the laws and regulations applicable to the Group through discussions with directors and other management, and from our commercial knowledge and experience of the clothing, property and equity investment sectors;
we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the Group, including the Companies Act 2006, taxation legislation and data protection, anti-bribery, employment, environmental and health and safety legislation;
we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and 
identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit. 

We assessed the susceptibility of the Group’s financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by: 
 
making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; 
considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations; and 
understanding the design of the Group’s remuneration policies. 

To address the risk of fraud through management bias and override of controls, we: 
 
performed analytical procedures to identify any unusual or unexpected relationships;
tested journal entries to identify unusual transactions; 
assessed whether judgements and assumptions made in determining the accounting estimates were indicative of potential bias; and 
investigated the rationale behind significant or unusual transactions. 

In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to: 
 
agreeing financial statement disclosures to underlying supporting documentation; 
enquiring of management as to actual and potential litigation and claims; and 
reviewing correspondence with HMRC and relevant regulators.

There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any. 
Material misstatements that arise due to fraud can be harder to detect than those that arise from error as they may involve deliberate concealment or collusion.


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

 
EMA TEXTILES LIMITED
 
 
INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF EMA TEXTILES LIMITED (CONTINUED)


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.





Stephen Iseman FCA (Senior Statutory Auditor)
  
for and on behalf of
Sopher + Co LLP
 
Chartered Accountants
Statutory Auditors
  
5 Elstree Gate
Elstree Way
Borehamwood
Hertfordshire
WD6 1JD

17 October 2024
Page 8

 
EMA TEXTILES LIMITED
 
 
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 20 JANUARY 2024

2024
2023
Note
£
£

Turnover
 4 
15,395,755
23,565,682

Cost of sales
  
(15,089,398)
(22,307,594)

Gross profit
  
306,357
1,258,088

Administrative expenses
  
(2,158,960)
(1,483,016)

Other operating income
 5 
703,160
840,456

Operating (loss)/profit
 6 
(1,149,443)
615,528

Income from participating interests
  
25,000
-

Income from fixed assets investments
  
1,277,081
1,572,064

Profit/(loss) on disposal of investments
  
11,339
(125,679)

Interest receivable and similar income
 11 
885,605
415,069

Interest payable and similar expenses
 12 
(4,150)
-

Other finance income
  
396,191
(3,961,708)

Profit/(loss) before taxation
  
1,441,623
(1,484,726)

Tax on profit/(loss)
 13 
(502,417)
334,233

Profit/(loss) for the financial year
  
939,206
(1,150,493)

Profit/(loss) for the year attributable to:
  

Non-controlling interests
  
(18,719)
(18,778)

Owners of the parent Company
  
957,925
(1,131,715)

  
939,206
(1,150,493)

There were no recognised gains and losses for 2024 or 2023 other than those included in the consolidated statement of comprehensive income.

There was no other comprehensive income for 2024 (2023:£NIL).

The notes on pages 16 to 35 form part of these financial statements.

Page 9

 
EMA TEXTILES LIMITED
REGISTERED NUMBER:00955238

CONSOLIDATED STATEMENT OF FINANCIAL POSITION
AS AT 20 JANUARY 2024

2024
As restated (note 30)
2023
Note
£
£

Fixed assets
  

Intangible assets
 16 
-
12,319

Tangible assets
 17 
147,283
68,161

Investments
 18 
710,000
410,000

Investment property
 19 
10,844,250
11,800,251

  
11,701,533
12,290,731

Current assets
  

Stocks
 20 
534,750
640,228

Debtors: amounts falling due within one year
 21 
11,628,315
18,834,969

Current asset investments
 22 
49,352,493
45,957,191

Cash at bank and in hand
 23 
8,561,181
10,486,679

  
70,076,739
75,919,067

Current liabilities
  

Creditors: amounts falling due within one year
 24 
(4,454,155)
(2,249,661)

Net current assets
  
 
 
65,622,584
 
 
73,669,406

Total assets less current liabilities
  
77,324,117
85,960,137

Creditors: amounts falling due after more than one year
 25 
(168,686)
(110,000)

Provisions for liabilities
  

Deferred taxation
 27 
(2,707,539)
(2,166,951)

Net assets
  
74,447,892
83,683,186


Capital and reserves
  

Called up share capital 
 28 
1,000,541
1,000,541

Profit and loss account
 29 
73,176,950
82,369,025

Equity attributable to owners of the parent Company
  
74,177,491
83,369,566

Non-controlling interests
  
270,401
313,620

  
74,447,892
83,683,186


Page 10

 
EMA TEXTILES LIMITED
REGISTERED NUMBER:00955238
    
CONSOLIDATED STATEMENT OF FINANCIAL POSITION (CONTINUED)
AS AT 20 JANUARY 2024

The financial statements were approved and authorised for issue by the board and were signed on its behalf on 17 October 2024.



Eric M Abraham
Director

The notes on pages 16 to 35 form part of these financial statements.
Page 11

 
EMA TEXTILES LIMITED
REGISTERED NUMBER:00955238

COMPANY STATEMENT OF FINANCIAL POSITION
AS AT 20 JANUARY 2024

2024
As restated (Note 30)
2023
Note
£
£

Fixed assets
  

Tangible assets
 17 
142,522
64,203

Investments
 18 
1,120,040
820,040

Investment property
 19 
10,844,250
11,800,251

  
12,106,812
12,684,494

Current assets
  

Stocks
 20 
30,221
35,149

Debtors: amounts falling due within one year
 21 
11,347,392
18,533,326

Current asset investments
 22 
49,352,493
45,957,190

Cash at bank and in hand
 23 
8,386,705
10,278,735

  
69,116,811
74,804,400

Current liabilities
  

Creditors: amounts falling due within one year
 24 
(4,114,120)
(1,843,894)

Net current assets
  
 
 
65,002,691
 
 
72,960,506

Total assets less current liabilities
  
77,109,503
85,645,000

  

Creditors: amounts falling due after more than one year
 25 
(168,686)
(110,000)

Provisions for liabilities
  

Deferred taxation
 27 
(2,707,539)
(2,166,951)

Net assets
  
74,233,278
83,368,049


Capital and reserves
  

Called up share capital 
 28 
1,000,541
1,000,541

Profit and loss account carried forward
  
73,232,737
82,367,508

  
74,233,278
83,368,049


The financial statements were approved and authorised for issue by the board and were signed on its behalf on 17 October 2024.


Eric M Abraham
Director

The notes on pages 16 to 35 form part of these financial statements.

Page 12

 
EMA TEXTILES LIMITED
 

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 20 JANUARY 2024


Called up share capital
Profit and loss account
Equity attributable to owners of parent Company
Non-controlling interests
Total equity

£
£
£
£
£


At 21 January 2022
1,000,541
83,500,740
84,501,281
383,848
84,885,129



Loss for the year
-
(1,131,715)
(1,131,715)
(18,778)
(1,150,493)

Dividends: paid to non-controlling interests
-
-
-
(51,450)
(51,450)



At 21 January 2023 (as restated - note 30)
1,000,541
82,369,025
83,369,566
313,620
83,683,186



Profit for the year
-
957,925
957,925
(18,719)
939,206

Dividends: Equity capital
-
(10,150,000)
(10,150,000)
-
(10,150,000)

Dividends: paid to non-controlling interests
-
-
-
(24,500)
(24,500)


At 20 January 2024
1,000,541
73,176,950
74,177,491
270,401
74,447,892



 
COMPANY STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 20 JANUARY 2024


Called up share capital
Profit and loss account
Total equity

£
£
£


At 21 January 2022
1,000,541
83,446,398
84,446,939



Loss for the year
-
(1,078,890)
(1,078,890)



At 21 January 2023 (as restated - note 30)
1,000,541
82,367,508
83,368,049



Profit for the year
-
1,015,229
1,015,229

Dividends: Equity capital
-
(10,150,000)
(10,150,000)


At 20 January 2024
1,000,541
73,232,737
74,233,278


The notes on pages 16 to 35 form part of these financial statements.

Page 13

 
EMA TEXTILES LIMITED
 

CONSOLIDATED STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 20 JANUARY 2024

2024
As restated (Note 30)
2023
£
£

Cash flows from/(used in) operating activities

Profit/(loss) for the financial year
939,206
(1,150,493)

Adjustments for:

Amortisation of intangible assets
12,319
12,920

Depreciation of tangible assets
28,458
9,532

Interest payable
4,150
-

Taxation charge
502,417
(334,233)

Decrease in stocks
105,478
151,894

Decrease/(increase) in debtors
7,206,657
(7,727,571)

Decrease in creditors
2,199,963
(484,104)

Net fair value (gains)/losses recognised in P&L
(396,191)
3,961,708

Corporation tax receivable/(paid)
38,171
(37,135)

Income from investments
(2,187,686)
(1,987,137)

Net cash generated from/(used in) operating activities

8,452,942
(7,584,619)

Cash flows from investing activities

Purchase of tangible fixed assets
(107,580)
(1,843)

Purchase of investment properties
(223,869)
-

Purchase of unlisted and other investments
(300,000)
-

HP interest paid
(4,150)
-

Income from investments
2,187,686
1,987,137

Net (purchase)/sale of listed investments
(1,819,241)
1,740,626

Net cash (used in)/from investing activities

(267,154)
3,725,920
Page 14

 
EMA TEXTILES LIMITED
 

CONSOLIDATED STATEMENT OF CASH FLOWS (CONTINUED)
FOR THE YEAR ENDED 20 JANUARY 2024


2024
2023

£
£



Cash flows from/(used in) financing activities

New finance lease
63,214
-

Dividends paid
(10,150,000)
-

Dividends paid to non-controlling interests
(24,500)
(51,450)

Net cash used in financing activities
(10,111,286)
(51,450)

Net (decrease) in cash and cash equivalents
(1,925,498)
(3,910,149)

Cash and cash equivalents at beginning of year
10,486,679
14,396,828

Cash and cash equivalents at the end of year
8,561,181
10,486,679


Cash and cash equivalents at the end of year comprise:

Cash at bank and in hand
8,561,181
10,486,679



CONSOLIDATED ANALYSIS OF NET DEBT
FOR THE YEAR ENDED 20 JANUARY 2024




At 21 January 2023
Cash flows
At 20 January 2024
£

£

£

Cash at bank and in hand

10,486,679

(1,925,498)

8,561,181

Debt due within 1 year

-

(2,373,490)

(2,373,490)

Finance leases

-

(63,214)

(63,214)

Liquid investments

45,957,191

3,395,302

49,352,493


56,443,870
(966,900)
55,476,970

The notes on pages 16 to 35 form part of these financial statements.

Page 15

 
EMA TEXTILES LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 20 JANUARY 2024

1.


General information

EMA Textiles Limited is a private limited liability company incorporated in England and Wales. The registered office address and principal place of business is at 62-72 Tabernacle Street, London, EC2A 4LR.
The principal activity of the Group during the year continued to be the import and wholesale of clothing.

2.Accounting policies

 
2.1

Basis of preparation of financial statements

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 Group management to exercise judgment in applying the Group's accounting policies (see note 3).

The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of Comprehensive Income in these financial statements.

The following principal accounting policies have been applied:

 
2.2

Basis of consolidation

The consolidated financial statements present the results of the Company and its own subsidiaries ("the Group") as if they form a single entity. Intercompany transactions and balances between group companies are therefore eliminated in full.

 
2.3

Turnover

Turnover is the amount receivable for the supply of goods falling within the Group's ordinary activities, exclusive of Value Added Tax.
Sales of goods are recognised when the goods are delivered and title has been passed.

 
2.4

Operating leases: the Group as lessee

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

 
2.5

Interest income

Interest income is recognised in the Consolidated Statement of Comprehensive Income using the effective interest method.

 
2.6

Finance costs

Finance costs are charged to profit or loss over the term of the debt using the effective interest method so that the amount charged is at a constant rate on the carrying amount. Issue costs are initially recognised as a reduction in the proceeds of the associated capital instrument.

Page 16

 
EMA TEXTILES LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 20 JANUARY 2024

2.Accounting policies (continued)

 
2.7

Pensions

Defined contribution pension plan
The Group operates a defined contribution plan for its employees. A defined contribution plan is a pension plan under which the Group pays fixed contributions into a separate entity. Once the contributions have been paid the Group has no further payment obligations.
The contributions are recognised as an expense in the Consolidated Statement of Comprehensive Income 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 Group in independently administered funds.

 
2.8

Foreign currency translation

Functional and presentation currency

The Company's functional and presentational currency is £ Sterling.

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 profit or loss except when deferred in other comprehensive income as qualifying cash flow hedges.

Foreign exchange gains and losses that relate to cash and cash equivalents are presented in the Consolidated Statement of Comprehensive Income within administration expenses.
On consolidation, the results of overseas operations are translated into Sterling at rates approximating to those ruling when the transactions took place. All assets and liabilities of overseas operations are translated at the rate ruling at the reporting date.

 
2.9

Current and deferred taxation

The tax expense for the year comprises current and deferred tax. Tax is recognised in the Consolidated Statement of Comprehensive Income 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 and the Group operate and generate income.
Deferred tax balances are recognised in respect of all timing differences that have originated but not reversed by the reporting date, except that:
Page 17

 
EMA TEXTILES LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 20 JANUARY 2024

2.Accounting policies (continued)


2.9
Current and deferred taxation (continued)


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.

 
2.10

Intangible assets

Goodwill represents the difference between amounts paid on the acquisition of a business and the fair value of the identifiable assets and liabilities. Goodwill is amortised on a straight-line basis to the Consolidated Statement of Comprehensive Income over its estimated useful economic life of 10 years.

 
2.11

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.

At each reporting date the Group assesses whether there is any indication of impairment. If such indication exists, the recoverable amount of the asset is determined which is the higher of its fair value less costs to sell and its value in use. An impairment loss is recognised where the carrying amount exceeds the recoverable amount.

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 on the following basis:

Long-term leasehold property
-
50 years
Plant and machinery
-
6 to 10 years
Motor vehicles
-
4 years
Fixtures and fittings
-
3 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.

 
2.12

Investment property

Investment property is carried at fair value determined annually and derived from the current market rents and investment property yields for comparable real estate, adjusted if necessary for any difference in the nature, location or condition of the specific asset. No depreciation is provided. Changes in fair value are recognised in the Consolidated Statement of Comprehensive Income.

Page 18

 
EMA TEXTILES LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 20 JANUARY 2024

2.Accounting policies (continued)

 
2.13

Investments

Investments in subsidiaries and unlisted investments held as fixed assets are valued at cost less provision for impairment.
Current asset listed investments are measured at their fair value at the reporting date and changes in their fair value from the previous year end are recognised in the Consolidated Statement of Comprehensive Income.

 
2.14

Stocks

Stocks are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks.
Stock includes expenditure incurred in acquiring stocks and other costs in bringing them to their existing location and condition.

 
2.15

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.

 
2.16

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.

In the Consolidated Statement of Cash Flows, cash and cash equivalents are shown net of bank overdrafts that are repayable on demand and form an integral part of the Group's cash management.

 
2.17

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.

 
2.18

Financial instruments

Basic financial assets, including trade and other receivables, and cash and bank balances, are initially recognised at transaction price, unless the arrangement constitutes a financing transaction, where the transaction is remeasured at the present value of the future receipts discounted at a market rate of interest if material.
Such assets are subsequently carried at amortised cost using the effective interest method. 
Financial assets that are measured at cost and amortised cost are assessed at the end of each reporting period for objective evidence of impairment. If objective evidence of impairment is found, an impairment loss is recognised in the Consolidated Statement of Comprehensive Income.
Financial liabilities, including trade and other creditors are initially recognised at cost price. 
 
Page 19

 
EMA TEXTILES LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 20 JANUARY 2024

2.Accounting policies (continued)


2.18
Financial instruments (continued)

If evidence identified of changes to the liabilities, an impairment gain is recognised in the Consolidated Statement of Comprehensive Income.

 
2.19

Dividends

Interim equity dividends are recognised when paid. Final equity dividends are recognised when approved by the shareholders at an annual general meeting.


3.


Judgments in applying accounting policies and key sources of estimation uncertainty

In preparing these financial statements, the directors have made the following judgements:

a)To determine whether there are indicators of impairment of the Group’s tangible assets, intangible assets, fixed asset investments and investment properties. Factors taken into consideration in reaching such a decision include the economic viability and expected future financial performance of the asset.

b)To determine whether there are indicators of impairment of the Group's trading stock. Factors taken into consideration in reaching such decision include net realisable value of the items in normal day to day trading.

In preparing these financial statements, the directors have considered the following key sources of estimation uncertainty:
Tangible and intangible assets are depreciated over their useful lives taking into account residual values, where appropriate. The actual lives of the assets and residual values are assessed annually and may vary depending on a number of factors. In re-assessing asset lives, factors such as technological innovation and maintenance programmes are taken into account. Residual value assessments consider issues such as future market conditions, the remaining life of the asset and estimated disposal values.


4.


Turnover

The whole of the turnover is attributable to the business activity of the Group.

Analysis of turnover by country of destination:

2024
2023
£
£

United Kingdom
14,065,235
21,794,634

Rest of Europe
1,330,520
1,770,948

Rest of the world
-
100

15,395,755
23,565,682


Page 20

 
EMA TEXTILES LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 20 JANUARY 2024

5.


Other operating income

2024
2023
£
£

Net rents receivable
628,533
840,456

Insurance claims receivable
74,627
-

703,160
840,456



6.


Operating loss

The operating loss is stated after charging:

2024
2023
£
£

Exchange differences
295,113
(395,422)

Other operating lease rentals
7,177
7,796

(287,936)
403,218


7.


Auditors' remuneration

During the year, the Group obtained the following services from the Company's auditors:


2024
2023
£
£


Audit of the consolidated and parent Company's financial statements
25,000
25,000

Financial and taxation matters
107,500
137,236


8.


Employees

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


Group
Group
Company
Company
2024
2023
2024
2023
£
£
£
£


Wages and salaries
1,635,007
1,960,947
1,581,007
1,909,021

Social security costs
181,123
228,548
174,926
222,363

Cost of defined contribution scheme
23,532
25,586
23,532
25,586

1,839,662
2,215,081
1,779,465
2,156,970


Page 21

 
EMA TEXTILES LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 20 JANUARY 2024

8.Employees (continued)

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



Group
Group
Company
Company
        2024
        2023
        2024
        2023
            No.
            No.
            No.
            No.









Sales and distribution
27
28
27
28



Administration
10
11
10
10

37
39
37
38


9.


Directors' remuneration

2024
2023
£
£

Directors' emoluments
240,616
336,874


The highest paid director received remuneration of £200,000 (2023 - £200,000).


10.


Income from investments

2024
2023
£
£


Income from current asset investments
1,277,081
1,572,064




11.


Interest receivable

2024
2023
£
£


Other interest receivable
885,605
415,069


12.


Interest payable and similar expenses

2024
2023
£
£


Hire purchase contracts
4,150
-

Page 22

 
EMA TEXTILES LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 20 JANUARY 2024

13.


Taxation


2024
2023
£
£

Corporation tax


Current tax on profits for the year

(38,171)
192,201

Deferred tax


Origination and reversal of timing differences
(1,076)
14,762

Deferred tax on fair value movements
541,664
(541,196)

Total deferred tax

540,588
(526,434)


Taxation on profit/(loss) on ordinary activities
502,417
(334,233)

Factors affecting tax charge for the year

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

2024
2023
£
£


Profit/(loss) on ordinary activities before tax
1,441,623
(1,484,726)


Profit/(loss) on ordinary activities multiplied by the small profits (2023 - standard) rate of corporation tax in the UK of 19% (2023 - 19%)
273,908
(282,098)

Effects of:


Non-tax deductible amortisation of goodwill and impairment
2,341
2,455

Expenses not deductible for tax purposes
2,123
4,342

Difference between capital allowances and depreciation for the year
888
(13,951)

Non-taxable book (gain)/losses on disposal of investments
(2,154)
23,879

Short-term timing difference leading to a decrease in taxation
(12)
(29)

Non-taxable movement in fair value
(75,276)
752,725

Non-taxable dividends receivable
(247,395)
(298,692)

Unrelieved tax losses carried forward
7,406
3,570

Deferred tax
540,588
(526,434)

Total tax charge for the year
502,417
(334,233)


Factors that may affect future tax charges

There were no factors that may affect future tax charges.

Page 23

 
EMA TEXTILES LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 20 JANUARY 2024

14.


Dividends

2024
2023
£
£


Ordinary shares
10,150,000
-


15.


Parent company profit for the year

The Company has taken advantage of the exemption allowed under section 408 of the Companies Act 2006 and has not presented its own Statement of Comprehensive Income in these financial statements. The profit after tax of the parent Company for the year was £1,015,229 (2023 - loss £1,078,890).


16.


Intangible assets

Group





Goodwill

£



Cost


At 21 January 2023
129,200



At 20 January 2024

129,200



Amortisation


At 21 January 2023
116,881


Charge for the year on owned assets
12,319



At 20 January 2024

129,200



Net book value



At 20 January 2024
-



At 20 January 2023
12,319



Page 24

 
EMA TEXTILES LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 20 JANUARY 2024

17.


Tangible fixed assets

Group






Long-term leasehold property
Plant and machinery
Motor vehicles
Fixtures and fittings
Total

£
£
£
£
£



Cost


At 21 January 2023
57,426
205,042
-
144,223
406,691


Additions
-
-
106,000
1,580
107,580



At 20 January 2024

57,426
205,042
106,000
145,803
514,271



Depreciation


At 21 January 2023
25,307
174,518
-
138,705
338,530


Charge for the year on owned assets
1,149
5,550
-
1,884
8,583


Charge for the year on financed assets
-
-
19,875
-
19,875



At 20 January 2024

26,456
180,068
19,875
140,589
366,988



Net book value



At 20 January 2024
30,970
24,974
86,125
5,214
147,283



At 20 January 2023
32,119
30,524
-
5,518
68,161

Page 25

 
EMA TEXTILES LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 20 JANUARY 2024

           17.Tangible fixed assets (continued)


Company






Long-term leasehold property
Plant and machinery
Motor vehicles
Fixtures and fittings
Total

£
£
£
£
£

Cost


At 21 January 2023
57,426
205,042
-
133,765
396,233


Additions
-
-
106,000
-
106,000



At 20 January 2024

57,426
205,042
106,000
133,765
502,233



Depreciation


At 21 January 2023
25,307
174,518
-
132,205
332,030


Charge for the year on owned assets
1,149
5,550
-
1,107
7,806


Charge for the year on financed assets
-
-
19,875
-
19,875



At 20 January 2024

26,456
180,068
19,875
133,312
359,711



Net book value



At 20 January 2024
30,970
24,974
86,125
453
142,522



At 20 January 2023
32,119
30,524
-
1,560
64,203






The net book value of assets held under finance leases or hire purchase contracts, included above, are as follows:


2024
2023
£
£


Motor vehicles
86,125
-

Page 26

 
EMA TEXTILES LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 20 JANUARY 2024

18.


Fixed asset investments

Group





Unlisted investments
Other fixed asset investments
Total

£
£
£



Cost


At 21 January 2023
1,934,825
-
1,934,825


Additions
-
300,000
300,000



At 20 January 2024

1,934,825
300,000
2,234,825



Impairment


At 21 January 2023
1,524,825
-
1,524,825



At 20 January 2024

1,524,825
-
1,524,825



Net book value



At 20 January 2024
410,000
300,000
710,000



At 20 January 2023
410,000
-
410,000

Page 27

 
EMA TEXTILES LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 20 JANUARY 2024
Company





Investments in subsidiary companies
Unlisted investments
Other fixed asset investments
Total

£
£
£
£



Cost


At 21 January 2023
410,040
1,934,825
-
2,344,865


Additions
-
-
300,000
300,000



At 20 January 2024

410,040
1,934,825
300,000
2,644,865



Impairment


At 21 January 2023
-
1,524,825
-
1,524,825



At 20 January 2024

-
1,524,825
-
1,524,825



Net book value



At 20 January 2024
410,040
410,000
300,000
1,120,040



At 20 January 2023
410,040
410,000
-
820,040


Direct subsidiary undertaking


The following was a direct subsidiary undertaking of the Company:

Name

Registered office

Principal activity

Class of shares

Holding

Sock Ons Limited
74 Mount Pleasant Road, London, NW10 3EJ
Wholesale of babywear
Ordinary
51%


Indirect subsidiary undertaking


The following was an indirect subsidiary undertaking of the Company:

Name

Registered office

Principal activity

Class of shares

Holding

Sock Ons Inc.
1205 Manor Drive, Suite 100, Mechanicsburg, PA17055-4894
Wholesale of babywear
Ordinary
51%

Page 28

 
EMA TEXTILES LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 20 JANUARY 2024

19.


Investment property

Group


Freehold investment property

£



Valuation


At 21 January 2023
11,800,251


Additions at cost
223,869


Deficit on revaluation
(1,179,870)



At 20 January 2024
10,844,250

The 2024 valuations were made by the directors, on an open market value for existing use basis.



At 20 January 2024



If the Investment properties had been accounted for under the historic cost accounting rules, the properties would have been measured as follows:

2024
2023
£
£


Cost
12,079,825
11,855,956

Company





Freehold investment property

£



Valuation


At 21 January 2023
11,800,251


Additions at cost
223,869


Surplus on revaluation
(1,179,870)



At 20 January 2024
10,844,250

The 2024 valuations were made by the directors, on an open market value for existing use basis.


Page 29

 
EMA TEXTILES LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 20 JANUARY 2024

20.


Stocks

Group
Group
Company
Company
2024
2023
2024
2023
£
£
£
£

Finished goods and goods for resale
534,750
640,228
30,221
35,149


The difference between purchase price or production cost of stocks and their replacement cost is not material.


21.


Debtors

Group
Group
Company
Company
2024
2023
2024
2023
£
£
£
£

Trade debtors
4,135,708
4,930,939
3,857,772
4,638,913

Other debtors
7,174,311
13,684,128
7,171,324
13,676,404

Prepayments and accrued income
318,296
219,902
318,296
218,009

11,628,315
18,834,969
11,347,392
18,533,326



22.


Current asset investments

Group
Group
Company
Company
2024
2023
2024
2023
£
£
£
£

Listed investments
49,352,493
45,957,191
49,352,493
45,957,190



23.


Cash and cash equivalents

Group
Group
Company
Company
2024
2023
2024
2023
£
£
£
£

Cash at bank and in hand
8,561,181
10,486,679
8,386,705
10,278,735


Page 30

 
EMA TEXTILES LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 20 JANUARY 2024

24.


Creditors: Amounts falling due within one year

Group
Group
Company
Company
2024
2023
2024
2023
£
£
£
£

Trade creditors
1,221,201
1,084,736
904,753
761,258

Other taxation and social security
59,966
63,210
58,281
61,223

Obligations under finance lease and hire purchase contracts
4,528
-
4,528
-

Other creditors
2,652,295
403,842
2,639,193
330,740

Accruals and deferred income
516,165
697,873
507,365
690,673

4,454,155
2,249,661
4,114,120
1,843,894



25.


Creditors: Amounts falling due after more than one year

Group
Group
Company
Company
2024
2023
2024
2023
£
£
£
£

Net obligations under finance leases and hire purchase contracts
58,686
-
58,686
-

Other creditors
110,000
110,000
110,000
110,000

168,686
110,000
168,686
110,000




26.


Hire purchase and finance leases


Minimum lease payments under hire purchase fall due as follows:

Group
Group
Company
Company
2024
2023
2024
2023
£
£
£
£

Within one year
4,527
-
4,527
-

Between 1-5 years
58,686
-
58,686
-

63,213
-
63,213
-

Page 31

 
EMA TEXTILES LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 20 JANUARY 2024

27.


Deferred taxation


Group



2024


£



At beginning of year
2,166,951


Charged to profit or loss
540,588



At end of year
2,707,539

Company


2024


£



At beginning of year
2,166,951


Charged to profit or loss
540,588



At end of year
2,707,539

Group
Group
Company
Company
2024
2023
2024
2023
£
£
£
£

Accelerated capital allowances
2,572
3,648
2,572
3,648

Fair value movements
2,704,967
2,163,303
2,704,967
2,163,303

2,707,539
2,166,951
2,707,539
2,166,951


28.


Share capital

2024
2023
£
£
Allotted, called up and fully paid



1,000,000 (2023 - 1,000,000) Deferred ordinary shares of £1 each
1,000,000
1,000,000
1,000 (2023 - 1,000) Ordinary shares of $1 each
541
541

1,000,541

1,000,541

The deferred ordinary shares have no voting rights or entitlement to a distribution of profit and have restricted rights in the event of a winding up.
The ordinary shares have full voting rights and the holders of the shares shall receive the whole of any dividend paid. In the event of winding up the holders will be the first to receive any distribution.


Page 32

 
EMA TEXTILES LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 20 JANUARY 2024

29.


Reserves

Profit and loss account

Includes all current and prior period retained profits including net fair value movements in relation to current asset investments and investment properties. As at the reporting date, the total distributable profits amounted to £66,305,549 (2023 - £72,791,543).


30.


Prior year adjustment

A proposed dividend of £7,000,000 declared in the previous was incorrectly treated as paid in the financial statements for year ended 20 January 2023. In order to rectify this position the comparative figures have been amended resulting in an increase of £7 million in reserves as at 20 January 2023 with a corresponding increase in debtors at the same date.


31.


Contingent liabilities

The following contingent liabilities existed at the reporting date:

a)£1,643,587 (2023 - £1,341,024) in respect of irrevocable documentary credits at sight.

b)£250,000 (2023 - £250,000) guarantee in favour of H M Revenue and Customs.

The above contingent liabilities, together with bank advances, are secured on certain listed investments.


32.


Pension commitments

The Company contributes to a defined contributions pension scheme. The assets of the scheme are held separately from those of the Company in an independently administered fund. The pension cost charge represents contributions payable by the Company to the fund and amounted to £23,532 (2023 - £25,586). Contributions totalling £1,923 (2023 - £1,986) were payable to the fund at the reporting date and are included in creditors.

Page 33

 
EMA TEXTILES LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 20 JANUARY 2024

33.


Commitments under operating leases

Lessee
The Group and the Company had no commitments under non-cancellable operating leases at the reporting date.


Lessor
The Group lease out the investment properties under non-cancellable operating leases for the following future minimum lease payments. There are no contingent rents.

Group
Group
Company
Company
2024
2023
2024
2023
£
£
£
£

Not later than 1 year
798,833
978,692
798,833
978,692

Later than 1 year and not later than 5 years
1,426,250
1,923,167
1,426,250
1,923,167

Later than 5 years
416,667
601,917
416,667
601,917

2,641,750
3,503,776
2,641,750
3,503,776


34.


Related party transactions

At the reporting date, the Company was owed £214,387 (2023 - £209,387) by Blackstone Design Limiteda company jointly-owned by the Company and E M Abraham. Interest of £7,264 (2023 - £4,067) was charged on the loan.

During the year, the Company paid rent of £500,000 (2023 - £500,000) to Eric M Abraham

At the reporting date, the Company was owed £5,303,800 (2023 - £5,264,992) by Curtain Road Properties Limited, included in other debtors. Curtain Road Properties Limited is a joint venture company registered in Guernsey in which Eric Abraham has an interest. There are no repayment terms or interest charges for this balance. 

During the year, the Company made sales amounting to £50,894 (2023 - £4,761) to its subsidiary, Sock Ons Limited. At the reporting date, the Company was owed £15,953 (2023 - £4,017) by Sock Ons Limited, included within trade debtors.

At the reporting date, the Company was owed £20,379 (2023 - £20,379) by E M Abraham Limiteda company in which Eric M Abraham has a material interest.

During the year the Company paid a dividend of £10,150,000 (2023 - £Nil) to Eric M Abraham, a director of the Company.
 
Key management personnel
The aggregate remuneration payable to key management personnel amounted to £672,739 (2023 - £660,874).

Page 34

 
EMA TEXTILES LIMITED
 
 
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 20 JANUARY 2024

35.


Controlling party

The Company is controlled by Eric M Abraham, a director of the Company, by virtue of his shareholding.

 
Page 35