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REGISTERED NUMBER: 07876622 (England and Wales)











Strategic Report, Report of the Directors and

Financial Statements for the Year Ended 31 March 2024

for

Thornton Sugar Limited

Thornton Sugar Limited (Registered number: 07876622)






Contents of the Financial Statements
for the Year Ended 31 March 2024




Page

Company Information 1

Strategic Report 2

Report of the Directors 4

Report of the Independent Auditors 6

Income Statement 10

Other Comprehensive Income 11

Balance Sheet 12

Statement of Changes in Equity 13

Cash Flow Statement 14

Notes to the Cash Flow Statement 15

Notes to the Financial Statements 17


Thornton Sugar Limited

Company Information
for the Year Ended 31 March 2024







DIRECTORS: A Thornton
Miss L I Thornton
Z D Thornton
Miss F Thornton





REGISTERED OFFICE: Unit 2A, Greenwood Court
Skyliner Way
Suffolk Business Park
Bury St Edmunds
Suffolk
IP32 7GY





REGISTERED NUMBER: 07876622 (England and Wales)





AUDITORS: Knights Lowe Limited
Eldo House
Kempson Way
Suffolk Business Park
Bury St Edmunds
Suffolk
IP32 7AR

Thornton Sugar Limited (Registered number: 07876622)

Strategic Report
for the Year Ended 31 March 2024

The directors present their strategic report for the year ended 31 March 2024.

REVIEW OF BUSINESS
During the year Thornton Sugar Limited has continued to grow as an independent supplier to clients in both manufacturing and wholesale. Both turnover and EBITDA experienced growth. Turnover was £45m in the year to 31/03/2024 an increase of 13.5%

PRINCIPAL RISKS AND UNCERTAINTIES
Thornton Sugar Limited operating in sugar industry face several principal risks and uncertainties, these
include:

Sugar Prices

Principal risk being volatile commodity prices.

Weather

Poor growing conditions.

Financial/Political Events

Consumer demand being impacted.

Supply Chain Issues

Cost increases due to fuel/driver/vehicle shortages.

KEY PERFORMANCE INDICATORS
This is Thornton Sugar's second year trading as a medium sized company. The director considers the key performance indicators for the business are turnover, gross profit and pre-tax profit.

Turnover amounted to £45.81m (2023: £40.36m)

Gross profit amounted to £4.46m (2023: £3.11m)

Profit / (loss) before tax amounted to £3.29m (2023: £1.95m)

FINANCIAL INSTRUMENTS
The financial instruments used by the company arise wholly and directly from its activities. The financial instruments comprise trade debtors, cash at bank and trade creditors. The company has put in place the following measures to manage financial risks arising from these financial instruments:

1. The company utilises Credit Insurance and also monitors clients via a third-party rating agency; regularly monitoring the level of debtors to ensure that they are kept at reasonable levels within a predetermined strict credit limit.

2. The company carefully manages its cash position by regularly monitoring its cash flow.

3. The company regularly monitors the trade balance and credit terms for all suppliers.

4. Currency risk is managed principally using currency contracts, both on a spot and forward basis.


Thornton Sugar Limited (Registered number: 07876622)

Strategic Report
for the Year Ended 31 March 2024

FUTURE DEVELOPMENT
The directors plan to continue to grow the business by maintaining strong relationships with both clients, suppliers and employees.

ON BEHALF OF THE BOARD:





A Thornton - Director


12 November 2024

Thornton Sugar Limited (Registered number: 07876622)

Report of the Directors
for the Year Ended 31 March 2024

The directors present their report with the financial statements of the company for the year ended 31 March 2024.

PRINCIPAL ACTIVITY
The principal activity of the company in the year under review was that of wholesale of sugar and sugar confectionery.

DIVIDENDS
An interim dividend of £11,905 per share on the shares was paid on 31 March 2024. The directors recommend that no final dividend be paid on these shares.

The total distribution of dividends for the year ended 31 March 2024 will be £ 833,333 .

DIRECTORS
A Thornton has held office during the whole of the period from 1 April 2023 to the date of this report.

Other changes in directors holding office are as follows:

Miss L I Thornton - appointed 9 February 2024
Z D Thornton - appointed 9 February 2024
Miss F Thornton - appointed 9 February 2024

STATEMENT OF DIRECTORS' RESPONSIBILITIES
The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations.

Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to:

-select suitable accounting policies and then apply them consistently;
-make judgements and accounting estimates that are reasonable and prudent;
-prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business.

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

Thornton Sugar Limited (Registered number: 07876622)

Report of the Directors
for the Year Ended 31 March 2024


AUDITORS
The auditors, Knights Lowe Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting.

ON BEHALF OF THE BOARD:





A Thornton - Director


12 November 2024

Report of the Independent Auditors to the Members of
Thornton Sugar Limited

Opinion
We have audited the financial statements of Thornton Sugar Limited (the 'company') for the year ended 31 March 2024 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).
_
In our opinion the financial statements:
-give a true and fair view of the state of the company's affairs as at 31 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 UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Conclusions relating to going concern
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate.

Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue.

Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report.

Other information
The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon.

Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Opinions on other matters prescribed by the Companies Act 2006
In our opinion, based on the work undertaken in the course of the audit:
- the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and
- the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements.

Report of the Independent Auditors to the Members of
Thornton Sugar Limited


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 Report of the Directors.

We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion:
- adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or
- the financial statements are not in agreement with the accounting records and returns; or
- certain disclosures of directors' remuneration specified by law are not made; or
- we have not received all the information and explanations we require for our audit.

Responsibilities of directors
As explained more fully in the Statement of Directors' Responsibilities set out on page four, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so.

Report of the Independent Auditors to the Members of
Thornton Sugar Limited


Auditors' responsibilities for the audit of the financial statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

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 misstatement in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities including fraud is detailed below:

Our approach to identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, was as follows:

- 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 company through discussions with the director and other management, and from our commercial knowledge and experience of the companies operating sector;
- 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 company, including the Companies Act 2006, taxation legislation, 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 company'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;

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;
- 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;
- reading the minutes of meetings of those charged with governance;
- enquiring of management as to actual and potential litigation and claims;
- reviewing correspondence with HMRC, relevant regulators including the Environment Agency and the company's legal advisors;


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.


Report of the Independent Auditors to the Members of
Thornton Sugar Limited

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

Use of our report
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.




James Knights ACA BSc (Senior Statutory Auditor)
for and on behalf of Knights Lowe Limited
Eldo House
Kempson Way
Suffolk Business Park
Bury St Edmunds
Suffolk
IP32 7AR

15 November 2024

Thornton Sugar Limited (Registered number: 07876622)

Income Statement
for the Year Ended 31 March 2024

2024 2023
Notes £    £   

TURNOVER 45,806,506 40,358,529

Cost of sales 41,348,735 37,253,501
GROSS PROFIT 4,457,771 3,105,028

Administrative expenses 1,083,130 1,100,512
3,374,641 2,004,516

Other operating income 22,047 -
OPERATING PROFIT 4 3,396,688 2,004,516

Interest receivable and similar income 8,178 5,318
3,404,866 2,009,834

Interest payable and similar expenses 5 118,527 63,970
PROFIT BEFORE TAXATION 3,286,339 1,945,864

Tax on profit 6 825,980 377,026
PROFIT FOR THE FINANCIAL YEAR 2,460,359 1,568,838

Thornton Sugar Limited (Registered number: 07876622)

Other Comprehensive Income
for the Year Ended 31 March 2024

2024 2023
Notes £    £   

PROFIT FOR THE YEAR 2,460,359 1,568,838


OTHER COMPREHENSIVE INCOME - -
TOTAL COMPREHENSIVE INCOME FOR THE
YEAR

2,460,359

1,568,838

Thornton Sugar Limited (Registered number: 07876622)

Balance Sheet
31 March 2024

2024 2023
Notes £    £    £    £   
FIXED ASSETS
Intangible assets 8 - -
Tangible assets 9 10,867 8,206
10,867 8,206

CURRENT ASSETS
Stocks 10 1,389,661 1,883,230
Debtors 11 7,026,700 5,355,774
Cash at bank 1,149,967 971,936
9,566,328 8,210,940
CREDITORS
Amounts falling due within one year 12 5,764,423 5,209,158
NET CURRENT ASSETS 3,801,905 3,001,782
TOTAL ASSETS LESS CURRENT LIABILITIES 3,812,772 3,009,988

CAPITAL AND RESERVES
Called up share capital 16 116 133
Share premium 17 1,249,967 1,249,967
Capital redemption reserve 17 17 -
Retained earnings 17 2,562,672 1,759,888
3,812,772 3,009,988

The financial statements were approved by the Board of Directors and authorised for issue on 12 November 2024 and were signed on its behalf by:




A Thornton - Director Miss F Thornton - Director




Miss L I Thornton - Director Z D Thornton - Director


Thornton Sugar Limited (Registered number: 07876622)

Statement of Changes in Equity
for the Year Ended 31 March 2024

Called up Capital
share Retained Share redemption Total
capital earnings premium reserve equity
£    £    £    £    £   
Balance at 1 April 2022 133 691,050 1,249,967 - 1,941,150

Changes in equity
Profit for the year - 1,568,838 - - 1,568,838
Total comprehensive income - 1,568,838 - - 1,568,838
Dividends - (500,000 ) - - (500,000 )
Balance at 31 March 2023 133 1,759,888 1,249,967 - 3,009,988

Changes in equity
Profit for the year - 2,460,359 - - 2,460,359
Total comprehensive income - 2,460,359 - - 2,460,359
Dividends - (833,333 ) - - (833,333 )
Purchase of own shares (17 ) (824,242 ) - 17 (824,242 )
Balance at 31 March 2024 116 2,562,672 1,249,967 17 3,812,772

Thornton Sugar Limited (Registered number: 07876622)

Cash Flow Statement
for the Year Ended 31 March 2024

2024 2023
Notes £    £   
Cash flows from operating activities
Cash generated from operations 1 3,277,857 765,061
Interest paid (114,866 ) (56,724 )
Finance costs paid (3,661 ) (7,246 )
Tax paid (567,078 ) (77,655 )
Net cash from operating activities 2,592,252 623,436

Cash flows from investing activities
Purchase of tangible fixed assets (5,883 ) (3,633 )
Interest received 8,178 5,318
Net cash from investing activities 2,295 1,685

Cash flows from financing activities
New loans in year 292,723 668,322
Amount introduced by directors 6,851 756,240
Amount withdrawn by directors (1,050,844 ) (602,192 )
Share buyback (824,242 ) -
Equity dividends paid (833,333 ) (500,000 )
Net cash from financing activities (2,408,845 ) 322,370

Increase in cash and cash equivalents 185,702 947,491
Cash and cash equivalents at beginning of
year

2

964,265

16,774

Cash and cash equivalents at end of year 2 1,149,967 964,265

Thornton Sugar Limited (Registered number: 07876622)

Notes to the Cash Flow Statement
for the Year Ended 31 March 2024

1. RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS

2024 2023
£    £   
Profit before taxation 3,286,339 1,945,864
Depreciation charges 2,367 1,239
Loss on disposal of fixed assets 855 -
Finance costs 118,527 63,970
Finance income (8,178 ) (5,318 )
3,399,910 2,005,755
Decrease/(increase) in stocks 493,569 (1,563,358 )
Increase in trade and other debtors (998,202 ) (1,672,042 )
Increase in trade and other creditors 382,580 1,994,706
Cash generated from operations 3,277,857 765,061

2. CASH AND CASH EQUIVALENTS

The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts:

Year ended 31 March 2024
31.3.24 1.4.23
£    £   
Cash and cash equivalents 1,149,967 971,936
Bank overdrafts - (7,671 )
1,149,967 964,265
Year ended 31 March 2023
31.3.23 1.4.22
£    £   
Cash and cash equivalents 971,936 16,774
Bank overdrafts (7,671 ) -
964,265 16,774


Thornton Sugar Limited (Registered number: 07876622)

Notes to the Cash Flow Statement
for the Year Ended 31 March 2024

3. ANALYSIS OF CHANGES IN NET FUNDS/(DEBT)

At 1.4.23 Cash flow At 31.3.24
£    £    £   
Net cash
Cash at bank 971,936 178,031 1,149,967
Bank overdrafts (7,671 ) 7,671 -
964,265 185,702 1,149,967
Debt
Debts falling due within 1 year (928,242 ) (292,723 ) (1,220,965 )
(928,242 ) (292,723 ) (1,220,965 )
Total 36,023 (107,021 ) (70,998 )

Thornton Sugar Limited (Registered number: 07876622)

Notes to the Financial Statements
for the Year Ended 31 March 2024

1. STATUTORY INFORMATION

Thornton Sugar Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

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


2. ACCOUNTING POLICIES

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

Turnover
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.

Intangible assets
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses.

Tangible fixed assets
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
Fixtures and fittings - 25% on reducing balance
Computer equipment - 25% on reducing balance

Stocks
Stocks are stated at the lower of cost and net realisable value, being the estimated selling price less
costs to complete and sell. Cost is based on the cost of purchase on a first in, first out basis. Work in
progress and finished goods include labour and attributable overheads.

At each balance sheet date, stocks are assessed for impairment. If stock is impaired, the carrying
amount is reduced to its selling price less costs to complete and sell. The impairment loss is
recognised immediately in profit or loss.

Thornton Sugar Limited (Registered number: 07876622)

Notes to the Financial Statements - continued
for the Year Ended 31 March 2024

2. ACCOUNTING POLICIES - continued

Financial instruments
The Company enters into basic financial instrument transactions that result in the recognition of
financial assets and liabilities like trade and other debtors and creditors, loans from banks and other
third parties, loans to related parties and investments in ordinary shares.

Debt instruments (other than those wholly repayable or receivable within one year), including loans
and other accounts receivable and payable, are initially measured at present value of the future cash
flows and subsequently at amortised cost using the effective interest method. Debt instruments that
are payable or receivable within one year, typically trade debtors and creditors, are measured, initially
and subsequently, at the undiscounted amount of the cash or other consideration expected to be paid
or received. However, if the arrangements of a short-term instrument constitute a financing
transaction, like the payment of a trade debt deferred beyond normal business terms or in case of an
out-right short-term loan that is not at market rate, the financial asset or liability is measured, initially
at the present value of future cash flows discounted at a market rate of interest for a similar debt
instrument and subsequently at amortised cost, unless it qualifies as a loan from a director in the
case of a small company, or a public benefit entity concessionary loan.

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 Statement of Income and Retained Earnings.

For financial assets measured at amortised cost, the impairment loss is measured as the difference
between an asset's carrying amount and the present value of estimated cash flows discounted at the asset's original effective interest rate. If a financial asset has a variable interest rate, the discount rate
for measuring any impairment loss is the current effective interest rate determined under the
contract.

For financial assets measured at cost less impairment, the impairment loss is measured as the
difference between an asset's carrying amount and best estimate of the recoverable amount, which is
an approximation of the amount that the Company would receive for the asset if it were to be sold at
the balance sheet date.

Financial assets and liabilities are offset and the net amount reported in the Balance Sheet when
there is an enforceable right to set off the recognised amounts and there is an intention to settle on a
net basis or to realise the asset and settle the liability simultaneously.

Taxation
Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity.

Current or deferred taxation assets and liabilities are not discounted.

Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date.


Thornton Sugar Limited (Registered number: 07876622)

Notes to the Financial Statements - continued
for the Year Ended 31 March 2024

2. ACCOUNTING POLICIES - continued
Deferred tax
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date.

Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference.

Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits.

Defined contribution pension plan
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 independent administered funds.

Goodwill
Goodwill represents the difference between amounts paid on the cost of a business combination and the acquirer's interest in the fair value of identifiable assets and liabilities of the acquiree at the date of acquisition. Subsequent to initial recognition, goodwill is measured at cost less accumulated amortisation and accumulated impairment losses. Goodwill is amortised on a straight-line basis to the Statement of Income and Retained Earnings over its useful economic life.

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 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 borrowings and cash and cash equivalents are presented in the Statement of Income and Retained Earnings within 'finance income or costs'. All other foreign exchange gains and losses are presented in profit or loss within 'other operating income'.

3. EMPLOYEES AND DIRECTORS
2024 2023
£    £   
Wages and salaries 1,080,840 757,346
Social security costs 110,516 91,108
Other pension costs 5,827 5,248
1,197,183 853,702

Thornton Sugar Limited (Registered number: 07876622)

Notes to the Financial Statements - continued
for the Year Ended 31 March 2024

3. EMPLOYEES AND DIRECTORS - continued

The average number of employees during the year was as follows:
2024 2023

Directors 4 1
Admin 6 10
10 11

2024 2023
£    £   
Directors' remuneration 968,565 250,000
Directors' pension contributions to money purchase schemes 2,642 1,370

The number of directors to whom retirement benefits were accruing was as follows:

Money purchase schemes 2 1

Information regarding the highest paid director is as follows:
2024 2023
£    £   
Emoluments etc 534,565 250,000
Pension contributions to money purchase schemes 1,321 1,370

4. OPERATING PROFIT

The operating profit is stated after charging/(crediting):

2024 2023
£    £   
Depreciation - owned assets 2,367 1,239
Loss on disposal of fixed assets 855 -
Auditors' remuneration 6,750 6,750
Foreign exchange differences (416,750 ) 84,238

5. INTEREST PAYABLE AND SIMILAR EXPENSES
2024 2023
£    £   
Factoring charges 114,697 56,550
Interest payable 169 174
Bank charges 3,661 7,246
118,527 63,970

Thornton Sugar Limited (Registered number: 07876622)

Notes to the Financial Statements - continued
for the Year Ended 31 March 2024

6. TAXATION

Analysis of the tax charge
The tax charge on the profit for the year was as follows:
2024 2023
£    £   
Current tax:
UK corporation tax 825,980 373,078

Deferred tax - 3,948
Tax on profit 825,980 377,026

UK corporation tax has been charged at 25% (2023 - 19%).

Reconciliation of total tax charge included in profit and loss
The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below:

2024 2023
£    £   
Profit before tax 3,286,339 1,945,864
Profit multiplied by the standard rate of corporation tax in the UK of 25%
(2023 - 19%)

821,585

369,714

Effects of:
Expenses not deductible for tax purposes 5,365 4,272
Income not taxable for tax purposes 214 -
Capital allowances in excess of depreciation (1,184 ) (908 )
Deferred tax - 3,948
Total tax charge 825,980 377,026

7. DIVIDENDS
2024 2023
£    £   
shares of each
Interim 833,333 500,000

Thornton Sugar Limited (Registered number: 07876622)

Notes to the Financial Statements - continued
for the Year Ended 31 March 2024

8. INTANGIBLE FIXED ASSETS
Goodwill
£   
COST
At 1 April 2023
and 31 March 2024 3,500,000
AMORTISATION
At 1 April 2023
and 31 March 2024 3,500,000
NET BOOK VALUE
At 31 March 2024 -
At 31 March 2023 -

9. TANGIBLE FIXED ASSETS
Fixtures
and Computer
fittings equipment Totals
£    £    £   
COST
At 1 April 2023 6,009 18,754 24,763
Additions 189 5,694 5,883
Disposals - (10,307 ) (10,307 )
At 31 March 2024 6,198 14,141 20,339
DEPRECIATION
At 1 April 2023 4,826 11,731 16,557
Charge for year 93 2,274 2,367
Eliminated on disposal - (9,452 ) (9,452 )
At 31 March 2024 4,919 4,553 9,472
NET BOOK VALUE
At 31 March 2024 1,279 9,588 10,867
At 31 March 2023 1,183 7,023 8,206

10. STOCKS
2024 2023
£    £   
Stocks 1,389,661 1,883,230

Thornton Sugar Limited (Registered number: 07876622)

Notes to the Financial Statements - continued
for the Year Ended 31 March 2024

11. DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2024 2023
£    £   
Trade debtors 6,126,298 5,263,697
Other debtors 159,845 50,000
Directors' loan accounts 672,724 -
VAT 51,581 31,689
Prepayments 16,252 10,388
7,026,700 5,355,774

12. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2024 2023
£    £   
Bank loans and overdrafts (see note 13) 1,220,965 935,913
Trade creditors 3,496,257 3,062,529
Corporation tax 631,980 373,078
Social security and other taxes 99,029 31,365
Other creditors 134,451 223,709
Directors' loan accounts 6,851 378,120
Accruals 174,890 204,444
5,764,423 5,209,158

13. LOANS

An analysis of the maturity of loans is given below:

2024 2023
£    £   
Amounts falling due within one year or on demand:
Bank overdrafts - 7,671
Bank loans 1,220,965 928,242
1,220,965 935,913

14. LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:
2024 2023
£    £   
Within one year 48,761 14,500
Between one and five years 86,080 46,000
134,841 60,500

Thornton Sugar Limited (Registered number: 07876622)

Notes to the Financial Statements - continued
for the Year Ended 31 March 2024

15. SECURED DEBTS

The following secured debts are included within creditors:

2024 2023
£    £   
Bank loans 1,220,965 928,242

Bank Loans of £1,220,965 (2023: £928,242) are secured against the assets of the Company.

16. CALLED UP SHARE CAPITAL

No. Allotted Value
Ordinary A 70 70
Ordinary B 15 15
Ordinary C 15 15
Ordinary D 16 16

116 116

The buy back of 17 Ordinary D Shares took place on 13th October 2023 for £824,242.

17. RESERVES
Capital
Retained Share redemption
earnings premium reserve Totals
£    £    £    £   

At 1 April 2023 1,759,888 1,249,967 - 3,009,855
Profit for the year 2,460,359 2,460,359
Dividends (833,333 ) (833,333 )
Purchase of own shares (824,242 ) - 17 (824,225 )
At 31 March 2024 2,562,672 1,249,967 17 3,812,656

18. DIRECTORS' ADVANCES, CREDITS AND GUARANTEES

The following advances and credits to a director subsisted during the years ended 31 March 2024 and 31 March 2023:

2024 2023
£    £   
A Thornton
Balance outstanding at start of year (378,120 ) 224,072
Amounts advanced 1,884,177 313,180
Amounts repaid (833,333 ) (915,372 )
Amounts written off - -
Amounts waived - -
Balance outstanding at end of year 672,724 (378,120 )

Thornton Sugar Limited (Registered number: 07876622)

Notes to the Financial Statements - continued
for the Year Ended 31 March 2024

19. RELATED PARTY DISCLOSURES

The Company is owed £536,308 (2023: the Company owed shareholders £597,923) from shareholders. These loans are interest free, with £536,308 (2023 - £597,923) repayable within 1 year and £NIL (2023 - £NIL) repayable after more than 1 year. These amounts are included within other creditors.

A purchase of own shares was carried out in the year by the company to buyback 17 ordinary D shares from David Thornton for £824,242.