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REGISTERED NUMBER: 07536149 (England and Wales)















FORUM PACKAGING LIMITED

STRATEGIC REPORT,

REPORT OF THE DIRECTOR AND

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 30 APRIL 2024






FORUM PACKAGING LIMITED (REGISTERED NUMBER: 07536149)






CONTENTS OF THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2024




Page

Company Information 1

Strategic Report 2

Report of the Director 3

Report of the Independent Auditors 4 to 6

Statement of Income and Retained Earnings 7

Statement of Financial Position 8

Notes to the Financial Statements 9 to 18


FORUM PACKAGING LIMITED

COMPANY INFORMATION
FOR THE YEAR ENDED 30 APRIL 2024







DIRECTOR: R G Massey



REGISTERED OFFICE: Forum Packaging
Mareham Road
Horncastle
Lincolnshire
LN9 6NG



REGISTERED NUMBER: 07536149 (England and Wales)



AUDITORS: Duncan & Toplis Audit Limited, Statutory Auditor
5 Resolution Close
Endeavour Park
Boston
Lincolnshire
PE21 7TT



SOLICITORS: Freeth Cartwright LLP
Cumberland Court
80 Mount Street
Nottingham
NG1 6HH

FORUM PACKAGING LIMITED (REGISTERED NUMBER: 07536149)

STRATEGIC REPORT
FOR THE YEAR ENDED 30 APRIL 2024

The director presents his strategic report for the year ended 30 April 2024.

REVIEW OF BUSINESS
The results of the company for the year are as shown in the annexed financial statements and show a pre-tax profit of £1,102,563 (2023 - £342,589) for the year and sales of £14,087,971 (2023 - £13,744,120). The company has net assets of £2,963,564 (2023 - £2,271,300).

The director is satisfied with the overall performance of the business.

The director considers that it has been a challenging trading year and measures have been taken within the year to improve the performance of the business and to adapt to changes within the market place.

This financial year has seen many challenges and has been a difficult one to navigate through. Raw material prices at last started to stabilise and remained relatively unchanged throughout the year but did show signs of increasing for the new financial year. Supply chains for paper improved substantially with lead times now at more acceptable levels and dual sourcing of paper became easier. Inflationary pressures on other raw materials and services continue to be a cause for concern and this will mean, inevitably, price increases to customers. Margins remain very tight on paper sacks and we continue to look for ways to improve these without,necessarily, passing these onto customers.

The company continues to invest in plant and machinery as the director deems appropriate.

PRINCIPAL RISKS AND UNCERTAINTIES
Key business risks and uncertainties affecting the company are considered to relate to product availability, debtor risk, exchange rates and fluctuating costs of raw materials due to world demand. Following the conflict in Ukraine global paper supplies seem now to have found an equilibrium as Russian paper moves to the Far East and Africa with European mills able to pick up the shortfall.

KEY PERFORMANCE INDICATORS ("KPIS")
Given the straightforward nature of the business, the company's director is of the opinion that a detailed analysis using KPI's is not necessary for an understanding of the development, performance or position of the business. The company uses gross profit % and EBITDA as its primary measures.


Key financial results 2024 2023
Turnover (£'000) 14,088 13,744
Gross profit/(loss) (£'000) 2,227 1,587
Gross profit margin 15.8% 11.6%
Profit/(loss) after tax (£'000) 812 279
EBITDA (£'000) 1,430 682

SUMMARY
The director is satisfied with the overall results. The director considers that the business made an acceptable result and foresees the future to be challenging with the company in a good position to be able to cope with what will be, no doubt, an uncertain year.

ON BEHALF OF THE BOARD:





R G Massey - Director


7 November 2024

FORUM PACKAGING LIMITED (REGISTERED NUMBER: 07536149)

REPORT OF THE DIRECTOR
FOR THE YEAR ENDED 30 APRIL 2024

The director presents his report with the financial statements of the company for the year ended 30 April 2024.

PRINCIPAL ACTIVITY
The principal activity of the company in the year under review was that of the manufacture and design of paper sacks.

DIVIDENDS
Interim dividends of £120,000 were paid in respect of the year ended 30 April 2024.

The director recommends that no final dividend be paid.

RESEARCH AND DEVELOPMENT
Continued development of new products and innovation of manufacturing processes is an ongoing part of the business which the director is keen to continue.

FUTURE DEVELOPMENTS
Going forward, the director will continue to explore new markets and opportunities for the benefit of the business.

DIRECTOR
R G Massey held office during the whole of the period from 1 May 2023 to the date of this report.

DIRECTORS INDEMNITY INSURANCE
During the year the company has made payments for directors indemnity insurance.

STATEMENT OF DIRECTOR'S RESPONSIBILITIES
The director is responsible for preparing the Strategic Report, the Report of the Director and the financial statements in accordance with applicable law and regulations.

Company law requires the director to prepare financial statements for each financial year. Under that law the director has 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 director must not approve the financial statements unless he is 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 director is 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 director is 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 him to ensure that the financial statements comply with the Companies Act 2006. He is 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 director is 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 he has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information.

ON BEHALF OF THE BOARD:





R G Massey - Director


7 November 2024

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
FORUM PACKAGING LIMITED

Opinion
We have audited the financial statements of Forum Packaging Limited (the 'company') for the year ended 30 April 2024 which comprise the Statement of Income and Retained Earnings, Statement of Financial Position and Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice).
_
In our opinion the financial statements:
-give a true and fair view of the state of the company's affairs as at 30 April 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 director's 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 director with respect to going concern are described in the relevant sections of this report.

Other information
The director is responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Director, 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 Director 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 Director have been prepared in accordance with applicable legal requirements.

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

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 director's remuneration specified by law are not made; or
- we have not received all the information and explanations we require for our audit.

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
FORUM PACKAGING LIMITED


Responsibilities of director
As explained more fully in the Statement of Director's Responsibilities set out on page three, the director is 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 director determines 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 director is 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 director either intends to liquidate the company or to cease operations, or has 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 a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.

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

We have identified areas of laws and regulations that could reasonably be expected to have a material effect on the financial statements from our general commercial experience, knowledge of the sector, a review of regulatory and legal correspondence and through discussions with Directors and other management obtained as part of the work required by auditing standards. We have also discussed with the Directors and other management the policies and procedures relating to compliance with laws and regulations. We communicated laws and regulations throughout the team and remained alert to any indications of non-compliance throughout the audit.

The potential impact of different laws and regulations varies considerably. Firstly, the company is subject to laws and regulations that directly impact the financial statements (for example financial reporting legislation) and we have assessed the extent of compliance with such laws as part of our financial statements audit. We evaluated management’s incentives and opportunities for fraudulent manipulation of the financial statements (including risk of override of controls) and determined that the principal risks were related to management bias in accounting estimates and judgemental areas of the financial statements such as valuation of WIP and Finished Goods Stock, as well as the risk of inappropriate journal entries to manipulate profitability. Audit procedures performed by the engagement team included the identification and testing of material and unusual journal entries and challenging management on key accounting estimates, assumptions and judgements made in the preparation of the financial statements. We carried out detailed substantive testing on accounting estimates, including reviewing the method used by management to make those estimates, re-performing the calculation, and reviewing the outcome post year-end.

Secondly, the company is subject to other laws and regulations where the consequence for non- compliance could have a material effect on the amounts or disclosures in the financial statements. We identified the following areas as those most likely to have such an effect: Employment legislation and Health & Safety regulations.

Auditing standards limit the required audit procedures to identify non-compliance with these legislation and regulations to enquiry of the Directors and other management and inspection. This inspection included discussion with senior management around whether any incidents occurred in the year, a review of Health & Safety policies in place and a review of legal and professional fees for evidence of non-compliance. Through these procedures, if we became aware of any non-compliance, we considered the impact on the procedures performed on the related financial statement items.

Owing to the inherent limitations of an audit, there is an unavoidable risk that we may not have detected some material misstatements in the financial statements, even though we have properly planned and performed our audit in accordance with auditing standards. The further removed non- compliance with laws and regulations is from the events and transactions reflected in the financial statements, the less likely the inherently limited procedures required by auditing standards would identify it. As with any audit, there is a greater risk of non-detection of irregularities as these may involve collusion, intentional omissions of the override of internal controls. We are not responsible for preventing non-compliance and cannot be expected to detect non-compliance with all laws and regulations.

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

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
FORUM PACKAGING LIMITED


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




Adrian Reynolds BA FCA (Senior Statutory Auditor)
for and on behalf of Duncan & Toplis Audit Limited, Statutory Auditor
5 Resolution Close
Endeavour Park
Boston
Lincolnshire
PE21 7TT

7 November 2024

FORUM PACKAGING LIMITED (REGISTERED NUMBER: 07536149)

STATEMENT OF INCOME AND RETAINED EARNINGS
FOR THE YEAR ENDED 30 APRIL 2024

2024 2023
Notes £    £   

TURNOVER 3 14,087,971 13,744,120

Cost of sales 11,861,120 12,156,656
GROSS PROFIT 2,226,851 1,587,464

Administrative expenses 1,098,273 1,172,253
1,128,578 415,211

Other operating income 65,007 -
OPERATING PROFIT 5 1,193,585 415,211

Interest receivable and similar income 66 648
1,193,651 415,859

Interest payable and similar expenses 6 91,088 73,270
PROFIT BEFORE TAXATION 1,102,563 342,589

Tax on profit 7 290,299 63,837
PROFIT FOR THE FINANCIAL YEAR 812,264 278,752

Retained earnings at beginning of year 2,171,300 2,012,548

Dividends 8 (120,000 ) (120,000 )

RETAINED EARNINGS AT END OF YEAR 2,863,564 2,171,300

FORUM PACKAGING LIMITED (REGISTERED NUMBER: 07536149)

STATEMENT OF FINANCIAL POSITION
30 APRIL 2024

2024 2023
Notes £    £    £    £   
FIXED ASSETS
Intangible assets 9 - -
Tangible assets 10 1,887,606 1,878,282
1,887,606 1,878,282

CURRENT ASSETS
Stocks 11 1,534,176 2,219,624
Debtors 12 3,518,619 3,259,571
Cash at bank and in hand 250,334 14,057
5,303,129 5,493,252
CREDITORS
Amounts falling due within one year 13 2,736,234 3,378,394
NET CURRENT ASSETS 2,566,895 2,114,858
TOTAL ASSETS LESS CURRENT LIABILITIES 4,454,501 3,993,140

CREDITORS
Amounts falling due after more than one year 14 (1,160,409 ) (1,444,850 )

PROVISIONS FOR LIABILITIES 18 (330,528 ) (276,990 )
NET ASSETS 2,963,564 2,271,300

CAPITAL AND RESERVES
Called up share capital 19 100,000 100,000
Retained earnings 20 2,863,564 2,171,300
SHAREHOLDERS' FUNDS 2,963,564 2,271,300

The financial statements were approved by the director and authorised for issue on 7 November 2024 and were signed by:





R G Massey - Director


FORUM PACKAGING LIMITED (REGISTERED NUMBER: 07536149)

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 30 APRIL 2024

1. STATUTORY INFORMATION

Forum Packaging 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.

Financial Reporting Standard 102 - reduced disclosure exemptions
The company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":

the requirements of Section 7 Statement of Cash Flows;
the requirements of paragraphs 11.42, 11.44, 11.45, 11.47, 11.48(a)(iii), 11.48(a)(iv), 11.48(b) and 11.48(c);
the requirements of paragraphs 12.26, 12.27, 12.29(a), 12.29(b) and 12.29A.

The company is a subsidiary of RM217 Limited. Consolidated financial statements of RM217 Limited can be obtained from Mareham Road, Horcastle, Lincolnshire, LN9 6NG.

Preparation of consolidated financial statements
The financial statements contain information about Forum Packaging Limited as an individual company and do not contain consolidated financial information as the parent of a group. The company is exempt under Section 400 of the Companies Act 2006 from the requirements to prepare consolidated financial statements as it and its subsidiary undertaking are included by full consolidation in the consolidated financial statements of its parent, RM217 Limited, Mareham Road, Horncastle, Lincolnshire, LN9 6NG.

Significant judgements and estimates
In the application of the Company's accounting policies, management is required to make judgements, estimates and assumptions about the carrying value of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future periods if the revision affects both current and future periods.

There are currently no key sources of estimation uncertainty that have a significant effect on the amounts recognised in the financial statements.

Turnover
Turnover represents the amounts (excluding Value Added Tax) derived from the provision of goods and services to customers during the financial period. Revenue is recognised upon delivery of the goods and services.

Intangible assets including goodwill
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.

Goodwill, relates to the amount paid in connection with the following acquisitions:

- Acquisition of a business in 2011, amortised evenly over its estimated useful life of four years.
- Acquisition of a business in 2017, amortised evenly over its estimated useful life of 20 months.

FORUM PACKAGING LIMITED (REGISTERED NUMBER: 07536149)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 APRIL 2024

2. ACCOUNTING POLICIES - continued

Tangible fixed assets
Fixed assets are stated at cost or valuation less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended.

Depreciation is provided at the following annuals rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is shorter.
Freehold property-Not provided on land, and straight line over 20 years on buildings
Plant & machinery-Straight line over 3-20 years and over the term of the lease
Motor vehicles-Straight line over 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.

Government grants
Government grants are recognised at the fair value of the asset received or receivable when there is reasonable assurances that the company will comply with conditions attached to them and the grants will be received using the accruals model.

Stocks
Stocks are stated at the lower of cost and estimated selling price, less further costs expected to be incurred to completion and disposal. Cost includes materials, direct labour and an attributable proportion of manufacturing overheads based on normal levels of activity. Provision is made for obsolete, slow-moving or defective items where appropriate.

Financial instruments
The company only enters into basic financial instrument transactions that result in the recognition of financial assets and liabilities like trade and other accounts receivable and payable, loans from banks, other third parties and related parties.

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 income statement.

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, which is an approximation of the amount that the company would receive for the asset if it were to be sold at the financial reporting date.

Financial assets and liabilities are offset and the net amount reported in the statement of financial position when there is as 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 statement of financial position date.


FORUM PACKAGING LIMITED (REGISTERED NUMBER: 07536149)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 APRIL 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 statement of financial position 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.

Foreign currencies
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the statement of financial position date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result.

Hire purchase and leasing commitments
Assets obtained under hire purchase contracts or finance leases are capitalised in the statement of financial position. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to the income statement over the relevant period. The capital element of the future payments is treated as a liability.

Rentals paid under operating leases are charged to the income statement on a straight line basis over the period of the lease.

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

Impairment
Assets not measured at fair value are reviewed for any indication that the asset may be impaired at each balance sheet date. If such indication exists, the recoverable amount of the asset, or the asset's cash generating unit, is estimated and compared to the carrying amount. Where the carrying amount exceeds its recoverable amount, an impairment loss is recognised in profit or loss unless the asset is carried at a revalued amount where the impairment loss is a revaluation decrease.

3. TURNOVER

The turnover and profit before taxation are attributable to the one principal activity of the company.

4. EMPLOYEES AND DIRECTORS
2024 2023
£    £   
Wages and salaries 2,351,730 2,285,052
Social security costs 216,880 204,235
Other pension costs 154,883 244,039
2,723,493 2,733,326

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

Directors 1 1
Production 74 76
Administration 8 11
83 88

FORUM PACKAGING LIMITED (REGISTERED NUMBER: 07536149)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 APRIL 2024

4. EMPLOYEES AND DIRECTORS - continued

2024 2023
£    £   
Director's remuneration 34,675 38,331
Director's pension contributions to money purchase schemes 5,220 98,277

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

Money purchase schemes 1 1

5. OPERATING PROFIT

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

2024 2023
£    £   
Hire of plant and machinery 46,925 38,242
Other operating leases 41,709 25,624
Depreciation - owned assets 109,532 138,711
Depreciation - assets on hire purchase contracts 127,306 127,306
Auditors' remuneration 13,400 12,650
Foreign exchange differences (17,106 ) 12,688

6. INTEREST PAYABLE AND SIMILAR EXPENSES
2024 2023
£    £   
Loan interest 67,325 44,403
Hire purchase interest 23,763 28,867
91,088 73,270

7. 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 236,761 81,468
Adjustment re previous years - (11,146 )
Total current tax 236,761 70,322

Deferred tax 53,538 (6,485 )
Tax on profit 290,299 63,837

FORUM PACKAGING LIMITED (REGISTERED NUMBER: 07536149)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 APRIL 2024

7. TAXATION - continued

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 1,102,563 342,589
Profit multiplied by the standard rate of corporation tax in the UK of 25% (2023 -
25%)

275,641

85,647

Effects of:
Expenses not deductible for tax purposes 14,658 14,175
Adjustments to tax charge in respect of previous periods - (11,146 )

Change in rate - (23,015 )
Super deduction - (1,824 )
Total tax charge 290,299 63,837

Factors that may affect future tax charges

The statutory UK corporation tax rate is currently 25%, with a small profits rate of 19%.

Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled, or the asset is realised, based on tax law and the corporation tax rates that have been enacted, or substantially enacted, at the year end date.

8. DIVIDENDS
2024 2023
£    £   
Ordinary shares of £1 each
Interim 120,000 120,000

9. INTANGIBLE FIXED ASSETS
Goodwill
£   
COST
At 1 May 2023
and 30 April 2024 386,301
AMORTISATION
At 1 May 2023
and 30 April 2024 386,301
NET BOOK VALUE
At 30 April 2024 -
At 30 April 2023 -

FORUM PACKAGING LIMITED (REGISTERED NUMBER: 07536149)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 APRIL 2024

10. TANGIBLE FIXED ASSETS
Freehold Plant and Motor
property machinery vehicles Totals
£    £    £    £   
COST
At 1 May 2023 1,099,543 2,908,365 24,000 4,031,908
Additions - 246,162 - 246,162
At 30 April 2024 1,099,543 3,154,527 24,000 4,278,070
DEPRECIATION
At 1 May 2023 671,556 1,476,736 5,334 2,153,626
Charge for year 56,916 171,922 8,000 236,838
At 30 April 2024 728,472 1,648,658 13,334 2,390,464
NET BOOK VALUE
At 30 April 2024 371,071 1,505,869 10,666 1,887,606
At 30 April 2023 427,987 1,431,629 18,666 1,878,282

Included in cost of land and buildings is freehold land of £ 260,000 (2023 - £ 260,000 ) which is not depreciated.

The net book value of tangible fixed assets includes £ 848,705 (2023 - £ 976,011 ) in respect of assets held under hire purchase contracts.

11. STOCKS
2024 2023
£    £   
Raw materials 1,038,714 1,559,941
Work-in-progress 125,948 130,955
Finished goods 369,514 528,728
1,534,176 2,219,624

12. DEBTORS
2024 2023
£    £   
Amounts falling due within one year:
Trade debtors 2,421,692 2,290,108
Other debtors 132,931 -
Prepayments 121,870 127,337
2,676,493 2,417,445

Amounts falling due after more than one year:
Amounts owed by group undertakings 842,126 842,126

Aggregate amounts 3,518,619 3,259,571

Amounts owed by group undertakings are unsecured and interest free.

FORUM PACKAGING LIMITED (REGISTERED NUMBER: 07536149)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 APRIL 2024

13. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
2024 2023
£    £   
Bank loans and overdrafts (see note 15) 37,183 1,284,430
Hire purchase contracts (see note 16) 139,739 134,556
Trade creditors 1,302,222 1,341,952
Taxation 236,761 81,468
Other taxes and social security 69,034 46,199
VAT 582,206 403,437
Other creditors 20,704 13,571
Accrued expenses 348,385 72,781
2,736,234 3,378,394

14. CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR
2024 2023
£    £   
Bank loans (see note 15) 748,159 887,522
Hire purchase contracts (see note 16) 412,250 557,328
1,160,409 1,444,850

15. LOANS

An analysis of the maturity of loans is given below:

2024 2023
£    £   
Amounts falling due within one year or on demand:
Bank overdrafts - 1,181,030
Bank loans 37,183 103,400
37,183 1,284,430

Amounts falling due between one and two years:
Bank loans - 1-2 years 40,010 104,559

Amounts falling due between two and five years:
Bank loans - 2-5 years 708,149 782,963

FORUM PACKAGING LIMITED (REGISTERED NUMBER: 07536149)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 APRIL 2024

16. LEASING AGREEMENTS

Minimum lease payments fall due as follows:

Hire purchase contracts
2024 2023
£    £   
Gross obligations repayable:
Within one year 158,246 158,246
Between one and five years 435,177 598,341
593,423 756,587

Finance charges repayable:
Within one year 18,507 23,690
Between one and five years 22,927 41,013
41,434 64,703

Net obligations repayable:
Within one year 139,739 134,556
Between one and five years 412,250 557,328
551,989 691,884

The hire purchase contracts relate to a number of fixed assets. The remaining lease term is three years and nine months. At the end of the lease, title of the assets passes to the company for a nominal fee.

Non-cancellable operating leases
2024 2023
£    £   
Within one year 61,786 10,162
Between one and five years 155,744 -
217,530 10,162

17. SECURED DEBTS

The following secured debts are included within creditors:

2024 2023
£    £   
Bank overdraft - 1,181,030
Bank loans 785,342 990,922
Hire purchase contracts 551,989 691,884
1,337,331 2,863,836

The bank loans comprise two separate bank loans which are payable in monthly instalments. These loans are secured over the company's property.

A cross guarantee is in place, as described in the contingent liabilities note to the financial statements.

Hire purchase contracts are secured on the assets to which they relate.

FORUM PACKAGING LIMITED (REGISTERED NUMBER: 07536149)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 APRIL 2024

18. PROVISIONS FOR LIABILITIES
2024 2023
£    £   
Deferred tax
Accelerated capital allowances 330,528 276,990

Deferred
tax
£   
Balance at 1 May 2023 276,990
Charge to Income Statement during year 53,538
Balance at 30 April 2024 330,528

19. CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:
Number: Class: Nominal 2024 2023
value: £    £   
100,000 Ordinary £1 100,000 100,000

20. RESERVES
Retained
earnings
£   

At 1 May 2023 2,171,300
Profit for the year 812,264
Dividends (120,000 )
At 30 April 2024 2,863,564

21. ULTIMATE PARENT COMPANY

RM217 Limited is regarded by the directors as being the company's ultimate parent company.

The company is a wholly owned subsidiary of RM217 Limited, a company incorporated and registered in England and Wales. Consolidated accounts are prepared for RM217 Limited and are available from Companies House, Cardiff, CF14 3UZ.

The company is under the ultimate control of Rob Massey, a director who controls a majority of the shares in the holding company.

22. CONTINGENT LIABILITIES

Under the composite accounting agreement the company has guaranteed the bank borrowing of group undertakings which amounted to £785,342 (2023 - £2,171,952) and the company's assets are subject to a debenture in favour of the bank.

23. CAPITAL COMMITMENTS
2024 2023
£    £   
Contracted but not provided for in the
financial statements - 178,233

FORUM PACKAGING LIMITED (REGISTERED NUMBER: 07536149)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 30 APRIL 2024

24. RELATED PARTY DISCLOSURES

Entities with control, joint control or significant influence over the entity
2024 2023
£    £   
Dividends paid 120,000 120,000

Other related parties
2024 2023
£    £   
Amount due from related party 132,931 -

The amounts owed from the other related party represent a short-term loan.

The loan is unsecured, interest-free and repayable on demand.

During the year, a total of key management personnel compensation of £ 131,724 (2023 - £ 210,045 ) was paid.