REGISTERED NUMBER: |
STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
AUDITED FINANCIAL STATEMENTS |
FOR THE PERIOD |
27 FEBRUARY 2023 TO 25 FEBRUARY 2024 |
FOR |
FUTON LIMITED |
REGISTERED NUMBER: |
STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
AUDITED FINANCIAL STATEMENTS |
FOR THE PERIOD |
27 FEBRUARY 2023 TO 25 FEBRUARY 2024 |
FOR |
FUTON LIMITED |
FUTON LIMITED (REGISTERED NUMBER: 01848362) |
CONTENTS OF THE FINANCIAL STATEMENTS |
FOR THE PERIOD 27 FEBRUARY 2023 TO 25 FEBRUARY 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 | 16 |
FUTON LIMITED |
COMPANY INFORMATION |
FOR THE PERIOD 27 FEBRUARY 2023 TO 25 FEBRUARY 2024 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
SENIOR STATUTORY AUDITOR: |
AUDITORS: |
Chartered Accountants & Statutory Auditors |
Swatton Barn |
Badbury |
Swindon |
Wiltshire |
SN4 0EU |
BANKERS: |
1 Churchill Place |
London |
E14 5HP |
FUTON LIMITED (REGISTERED NUMBER: 01848362) |
STRATEGIC REPORT |
FOR THE PERIOD 27 FEBRUARY 2023 TO 25 FEBRUARY 2024 |
The directors present their strategic report for the period 27 February 2023 to 25 February 2024. |
REVIEW OF BUSINESS |
Futon Limited's principal activity is that of manufacturers, retailers and wholesalers of modern styles of bedding and furniture. |
The results for the year and financial position of the company are as shown in the annexed accounts. The key financial highlights are as follows: |
52 weeks ended | 52 weeks ended | 52 weeks ended |
25 Feb 2024 | 26 Feb 2023 | 27 Feb 2022 |
£'000 | £'000 | £'000 |
Gross profit | 9,924 | 8,902 | 9,051 |
Profit before tax | 875 | 1,522 | 2,861 |
Dividends paid | (689) | (629) | (1,689) |
Retained profit for period | (49) | 603 | 629 |
Shareholders funds | 4,144 | 4,193 | 3,590 |
PRINCIPAL RISKS AND UNCERTAINTIES |
There are a number of potential risks and uncertainties which could have a material impact on the company's long term performance. |
The Board and management team consider the risk implications of all significant business decisions and risks are re-assessed on a regular basis to ensure that any changes in the company's operations, or the external environment, are identified and appropriately managed. The key risks affecting the business are as follows: |
Operating Risk - The company's reputation and continued success depends on its ability to provide products to customers safely, efficiently and cost effectively. The company operates under industry standard quality control systems supported by third party testing to ensure that production standards are maintained. Appropriate staff training is undertaken in key areas such as customer care, health and safety and production processes. |
Market Risk - The company operates in a specialised market and seeks to maintain a competitive advantage by offering an appropriate product range and providing a high level of customer service from professional and dedicated staff. The company keeps abreast of developments in the market by maintaining good relationships with both its suppliers and customers, together with awareness of current trends in interior design. |
Personnel Risk - The company is a privately owned business and places great emphasis on recruiting and training high quality competent staff. The directors consider succession planning issues on a regular basis. |
Financial Risk - As a privately owned company, Futon Limited is principally funded from retained profits and is reliant on converting these profits into cash. Financial monitoring, forecasting and planning are continuous processes, with particular emphasis on balancing the maintenance of the gross profit margin with the delivery of a high quality service to customers, combined with carefully managing stock levels. Trading uncertainty from market conditions can always impact the company's financial position and thereby its profitability which in turn impacts the company's cashflow. |
GOING CONCERN |
The directors have prepared cash flow forecasts for a period extending to at least twelve months from the date of approval of these financial statements. The directors are satisfied that those forecasts, which take account trading performance, provide a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. For this reason, the company continues to adopt the going concern basis. |
FUTON LIMITED (REGISTERED NUMBER: 01848362) |
STRATEGIC REPORT |
FOR THE PERIOD 27 FEBRUARY 2023 TO 25 FEBRUARY 2024 |
DISCLOSURES IN THE REPORT OF THE DIRECTORS |
The financial instrument disclosure has been included within the report of the directors. |
ON BEHALF OF THE BOARD: |
FUTON LIMITED (REGISTERED NUMBER: 01848362) |
REPORT OF THE DIRECTORS |
FOR THE PERIOD 27 FEBRUARY 2023 TO 25 FEBRUARY 2024 |
The directors present their report with the financial statements of the company for the period 27 February 2023 to 25 February 2024. |
PRINCIPAL ACTIVITY |
The principal activity of the company in the period under review was that of manufacturers, retailers and wholesalers of modern styles of bedding and furniture. |
DIVIDENDS |
The directors recommend that no final dividend be paid. |
The total distribution of dividends for the period ended 25 February 2024 will be £689,492. |
FUTURE DEVELOPMENTS |
Market conditions remain difficult in the retail sector but the directors continue the development of the company's range of products and ecommerce, together with opportunities for additional outlets. |
The directors also seek to carefully manage the company's financial resources. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 27 February 2023 to the date of this report. |
FINANCIAL INSTRUMENTS |
The company's principal financial instruments comprise bank balances and trade creditors. The main purpose of these instruments are to raise funds for the company's operations and to finance the company's operations. |
Due to the nature of the financial instruments used by the company there is no exposure to price risk. The company's approach to managing other risks applicable to the financial instruments concerned is shown below. |
Trade creditors liquidity risk is managed by ensuring that sufficient funds are available to meet liabilities as they fall due in conjunction with working closely with suppliers to ensure the company maintains adequate stock levels. |
DIRECTORS' QUALIFYING THIRD PARTY INDEMNITY PROVISION |
The company has granted an indemnity to its directors against liability in respect of proceedings brought by third parties, subject to the conditions set out in the Companies Act 2006. Such a qualifying third party indemnity provision remains in force as at the date of approving the director's report. |
DISCLOSURE IN THE STRATEGIC REPORT |
The review of the business review disclosure has been included in the strategic report. |
FUTON LIMITED (REGISTERED NUMBER: 01848362) |
REPORT OF THE DIRECTORS |
FOR THE PERIOD 27 FEBRUARY 2023 TO 25 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 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. |
AUDITORS |
The auditors, the dt group, are deemed to be reappointed under section 487(2) of the Companies Act 2006. |
ON BEHALF OF THE BOARD: |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
FUTON LIMITED |
Opinion |
We have audited the financial statements of Futon Limited (the 'company') for the period ended 25 February 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 25 February 2024 and of its profit for the period 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 |
FUTON 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 five, 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 |
FUTON 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. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
The primary responsibility for the prevention and detection of fraud rests with both those charged with governance of the company and management. |
- We obtained an understanding of the legal and regulatory frameworks that are applicable to the company, and determined that the most significant frameworks which are directly relevant to specific assertions in the financial statements are those that relate to the reporting framework and the Companies Act 2006 and the relevant tax compliance regulations in the UK. |
- We understood how Futon Limited is complying with those frameworks by making enquiries of management, Internal Audit, those responsible for legal and compliance procedures and the company Directors. We corroborated our enquiries through our review of board minutes and papers provided by the Company. |
- We assessed the susceptibility of the Company's financial statements to material misstatements, including how fraud might occur by meeting with management from various parts of the business to understand where it considered there was a susceptibility to fraud. We also considered performance targets and their propensity to influence efforts made by management to manage earnings. We considered the programmes and controls that the Company has established to address risks identified, or that otherwise prevent, deter and detect fraud, and how senior management monitors those programmes and controls. Where the risk was considered to be higher, we performed audit procedures to address each identified fraud risk. These procedures included testing manual journals and were designed to provide reasonable assurance that the financial statements were free from fraud and error. |
- Based on this understanding we designed our audit procedures to identify non-compliance with such laws and regulations. Our procedures involved journal entry testing, with a focus on large or unusual transactions based on our understanding of the business, and focused testing, as referred to in the key audit matters section above. In addition, we completed procedures to conclude on the compliance of the disclosures in the Annual Report and Accounts with the requirements of the relevant accounting standards. |
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 |
FUTON 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. |
for and on behalf of |
Chartered Accountants & Statutory Auditors |
Swatton Barn |
Badbury |
Swindon |
Wiltshire |
SN4 0EU |
FUTON LIMITED (REGISTERED NUMBER: 01848362) |
INCOME STATEMENT |
FOR THE PERIOD 27 FEBRUARY 2023 TO 25 FEBRUARY 2024 |
PERIOD | PERIOD |
27.2.23 TO 25.2.24 | 28.2.22 TO 26.2.23 |
Notes | £ | £ | £ | £ |
TURNOVER | 3 |
Cost of sales |
GROSS PROFIT |
Distribution costs |
Administrative expenses |
9,120,325 | 7,380,629 |
OPERATING PROFIT | 5 |
Interest receivable and similar income |
875,043 | 1,522,945 |
Interest payable and similar expenses | 6 |
PROFIT BEFORE TAXATION |
Tax on profit | 7 |
PROFIT FOR THE FINANCIAL PERIOD |
FUTON LIMITED (REGISTERED NUMBER: 01848362) |
OTHER COMPREHENSIVE INCOME |
FOR THE PERIOD 27 FEBRUARY 2023 TO 25 FEBRUARY 2024 |
PERIOD | PERIOD |
27.2.23 | 28.2.22 |
TO | TO |
25.2.24 | 26.2.23 |
Notes | £ | £ |
PROFIT FOR THE PERIOD |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE PERIOD |
FUTON LIMITED (REGISTERED NUMBER: 01848362) |
BALANCE SHEET |
25 FEBRUARY 2024 |
2024 | 2023 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 9 |
CURRENT ASSETS |
Stocks | 10 |
Debtors | 11 |
Cash at bank and in hand |
CREDITORS |
Amounts falling due within one year | 12 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CAPITAL AND RESERVES |
Called up share capital | 16 |
Share premium | 17 |
Capital redemption reserve | 17 |
Retained earnings | 17 |
SHAREHOLDERS' FUNDS |
The financial statements were approved by the Board of Directors and authorised for issue on |
FUTON LIMITED (REGISTERED NUMBER: 01848362) |
STATEMENT OF CHANGES IN EQUITY |
FOR THE PERIOD 27 FEBRUARY 2023 TO 25 FEBRUARY 2024 |
Called up | Capital |
share | Retained | Share | redemption | Total |
capital | earnings | premium | reserve | equity |
£ | £ | £ | £ | £ |
Balance at 28 February 2022 |
Changes in equity |
Dividends | - | ( |
) | - | - | ( |
) |
Total comprehensive income | - | - |
Balance at 26 February 2023 |
Changes in equity |
Dividends | - | ( |
) | - | - | ( |
) |
Total comprehensive income | - | - |
Balance at 25 February 2024 |
FUTON LIMITED (REGISTERED NUMBER: 01848362) |
CASH FLOW STATEMENT |
FOR THE PERIOD 27 FEBRUARY 2023 TO 25 FEBRUARY 2024 |
PERIOD | PERIOD |
27.2.23 | 28.2.22 |
TO | TO |
25.2.24 | 26.2.23 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 |
Interest paid | ( |
) |
Tax paid | ( |
) | ( |
) |
Net cash from operating activities |
Cash flows from investing activities |
Purchase of tangible fixed assets | ( |
) | ( |
) |
Sale of tangible fixed assets |
Interest received |
Net cash from investing activities | ( |
) |
Cash flows from financing activities |
Amount withdrawn by directors | (60,124 | ) | (33,121 | ) |
Equity dividends paid | ( |
) | ( |
) |
Net cash from financing activities | ( |
) | ( |
) |
Increase in cash and cash equivalents |
Cash and cash equivalents at beginning of period |
2 |
1,301,928 |
Cash and cash equivalents at end of period |
2 |
2,362,922 |
2,329,203 |
FUTON LIMITED (REGISTERED NUMBER: 01848362) |
NOTES TO THE CASH FLOW STATEMENT |
FOR THE PERIOD 27 FEBRUARY 2023 TO 25 FEBRUARY 2024 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
PERIOD | PERIOD |
27.2.23 | 28.2.22 |
TO | TO |
25.2.24 | 26.2.23 |
£ | £ |
Profit before taxation |
Depreciation charges |
Profit on disposal of fixed assets | ( |
) |
Finance costs | - | 1,167 |
Finance income | (72,587 | ) | (1,469 | ) |
854,187 | 1,566,407 |
Decrease in stocks |
Decrease in trade and other debtors |
Increase in trade and other creditors |
Cash generated from operations |
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: |
Period ended 25 February 2024 |
25.2.24 | 27.2.23 |
£ | £ |
Cash and cash equivalents | 2,362,922 | 2,329,203 |
Period ended 26 February 2023 |
26.2.23 | 28.2.22 |
£ | £ |
Cash and cash equivalents | 2,329,203 | 1,301,928 |
3. | ANALYSIS OF CHANGES IN NET FUNDS |
At 27.2.23 | Cash flow | At 25.2.24 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 2,329,203 | 33,719 | 2,362,922 |
2,329,203 | 2,362,922 |
Total | 2,329,203 | 33,719 | 2,362,922 |
FUTON LIMITED (REGISTERED NUMBER: 01848362) |
NOTES TO THE FINANCIAL STATEMENTS |
FOR THE PERIOD 27 FEBRUARY 2023 TO 25 FEBRUARY 2024 |
1. | STATUTORY INFORMATION |
Futon Limited is a |
The presentation currency of the financial statements is the Pound Sterling (£). |
2. | ACCOUNTING POLICIES |
BASIS OF PREPARING THE FINANCIAL STATEMENTS |
TURNOVER |
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. |
Income is recognised upon despatch of goods to the customer. |
TANGIBLE FIXED ASSETS |
Short leasehold | - |
Fixtures and fittings | - |
Motor vehicles | - |
STOCKS |
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
Cost of manufactured goods represents materials, direct labour and attributable production overheads. Net realisable value is based on estimated selling price less any further costs expected to be incurred to completion. |
TAXATION |
Taxation for the period 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. |
FUTON LIMITED (REGISTERED NUMBER: 01848362) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 27 FEBRUARY 2023 TO 25 FEBRUARY 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 period 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 balance sheet 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. |
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 profit or loss in the period to which they relate. |
LEASE RENEWALS |
It is the company's policy that any stamp duty that is incurred when entering into new or the renewal of leases are not capitalised. The expense is allocated to the profit and loss account when the costs are incurred. |
DILAPIDATION COSTS |
It is the company's policy to provide where appropriate for dilapidations in respect of leasehold premises occupied by the company. In respect of properties currently occupied, a specific provision has been made based upon the length of the lease, the square footage of the premises that the company occupies, and historically agreed dilapidation costs. |
3. | TURNOVER |
The turnover and profit before taxation are attributable to the one principal activity of the company. |
The directors consider that a geographical analysis of turnover would be seriously prejudicial to the company's interest in terms of commercial sensitivity, and as such have not included a split of geographical turnover. |
4. | EMPLOYEES AND DIRECTORS |
PERIOD | PERIOD |
27.2.23 | 28.2.22 |
TO | TO |
25.2.24 | 26.2.23 |
£ | £ |
Wages and salaries |
Social security costs |
Other pension costs |
FUTON LIMITED (REGISTERED NUMBER: 01848362) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 27 FEBRUARY 2023 TO 25 FEBRUARY 2024 |
4. | EMPLOYEES AND DIRECTORS - continued |
The average number of employees during the period was as follows: |
PERIOD | PERIOD |
27.2.23 | 28.2.22 |
TO | TO |
25.2.24 | 26.2.23 |
Production and distribution | 22 | 22 |
Sales | 78 | 74 |
Administration | 18 | 18 |
PERIOD | PERIOD |
27.2.23 | 28.2.22 |
TO | TO |
25.2.24 | 26.2.23 |
£ | £ |
Directors' remuneration |
Directors' pension contributions to money purchase schemes |
The number of directors to whom retirement benefits were accruing was as follows: |
Money purchase schemes |
Information regarding the highest paid director is as follows: |
PERIOD | PERIOD |
27.2.23 | 28.2.22 |
TO | TO |
25.2.24 | 26.2.23 |
£ | £ |
Emoluments etc |
Pension contributions to money purchase schemes |
5. | OPERATING PROFIT |
The operating profit is stated after charging/(crediting): |
PERIOD | PERIOD |
27.2.23 | 28.2.22 |
TO | TO |
25.2.24 | 26.2.23 |
£ | £ |
Depreciation - owned assets |
Profit on disposal of fixed assets | ( |
) |
Auditors' remuneration |
Auditors' remuneration for non audit work |
Operating lease rentals - Land and buildings |
Operating lease rentals - Plant and machinery |
Foreign exchange loss / (profit) | ( |
) |
FUTON LIMITED (REGISTERED NUMBER: 01848362) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 27 FEBRUARY 2023 TO 25 FEBRUARY 2024 |
6. | INTEREST PAYABLE AND SIMILAR EXPENSES |
PERIOD | PERIOD |
27.2.23 | 28.2.22 |
TO | TO |
25.2.24 | 26.2.23 |
£ | £ |
Other interest |
7. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the period was as follows: |
PERIOD | PERIOD |
27.2.23 | 28.2.22 |
TO | TO |
25.2.24 | 26.2.23 |
£ | £ |
Current tax: |
UK corporation tax |
Over provision prior periods | - | (1,050 | ) |
Tax on profit |
UK corporation tax has been charged at 24.45% (2023 - 19%). |
RECONCILIATION OF TOTAL TAX CHARGE INCLUDED IN PROFIT AND LOSS |
The tax assessed for the period is higher than the standard rate of corporation tax in the UK. The difference is explained below: |
PERIOD | PERIOD |
27.2.23 | 28.2.22 |
TO | TO |
25.2.24 | 26.2.23 |
£ | £ |
Profit before tax |
Profit multiplied by the standard rate of corporation tax in the UK of |
Effects of: |
Expenses not deductible for tax purposes |
Capital allowances in excess of depreciation | - | ( |
) |
Depreciation in excess of capital allowances | - |
Adjustments to tax charge in respect of previous periods | ( |
) |
Total tax charge | 234,162 | 290,169 |
8. | DIVIDENDS |
The total distribution of dividends for the period ended 25 February 2024 will be £689,492 (2023 £629,399). |
FUTON LIMITED (REGISTERED NUMBER: 01848362) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 27 FEBRUARY 2023 TO 25 FEBRUARY 2024 |
9. | TANGIBLE FIXED ASSETS |
Fixtures |
Short | and | Motor |
leasehold | fittings | vehicles | Totals |
£ | £ | £ | £ |
COST |
At 27 February 2023 |
Additions |
Disposals | ( |
) | ( |
) |
At 25 February 2024 |
DEPRECIATION |
At 27 February 2023 |
Charge for period |
Eliminated on disposal | ( |
) | ( |
) |
At 25 February 2024 |
NET BOOK VALUE |
At 25 February 2024 |
At 26 February 2023 |
10. | STOCKS |
2024 | 2023 |
£ | £ |
Raw materials |
Finished goods |
11. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2024 | 2023 |
£ | £ |
Trade debtors |
Other debtors |
Prepayments and accrued income |
FUTON LIMITED (REGISTERED NUMBER: 01848362) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 27 FEBRUARY 2023 TO 25 FEBRUARY 2024 |
12. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2024 | 2023 |
£ | £ |
Trade creditors |
Tax |
Social security and other taxes |
VAT | 309,569 | 218,595 |
Other creditors |
Net wages | 293,335 | 198,943 |
Directors' current accounts | 8,004 | 68,128 |
Accruals and deferred income |
13. | LEASING AGREEMENTS |
Minimum lease payments under non-cancellable operating leases fall due as follows: |
2024 | 2023 |
£ | £ |
Within one year |
Between one and five years |
In more than five years |
Hire purchase contracts are secured against the asset to which they relate. |
14. | SECURED DEBTS |
Barclays Bank Plc have a fixed and floating charge on the company's present and future assets in a debenture dated 28 November 2000. |
Barclays Bank Plc have issued a guarantee in favour of Mail Order Protection Scheme for £15,000. |
FUTON LIMITED (REGISTERED NUMBER: 01848362) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 27 FEBRUARY 2023 TO 25 FEBRUARY 2024 |
15. | FINANCIAL INSTRUMENTS |
The Company's financial instruments may be analysed as follows: |
2024 | 2023 |
Financial assets | £ | £ |
Financial assets measured at fair value through profit or loss | - | - |
Financial assets measured at amortised cost | 161,136 | 315,088 |
161,136 | 315,088 |
2024 | 2023 |
Financial liabilities | £ | £ |
Financial liabilities measured at fair value through profit or loss | - | - |
Financial liabilities measured at amortised cost | 1,762,643 | 1,680,378 |
1,762,643 | 1,680,378 |
Financial assets measured at amortised cost comprises of trade debtors and other debtors. |
Financial liabilities measured at amortised cost comprise of trade creditors, social security and other taxes, and other creditors. |
16. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2024 | 2023 |
value: | £ | £ |
A Ordinary | £1 | 58,304 | 58,304 |
B Ordinary | £1 | 56,446 | 56,446 |
C Ordinary | £1 | 1,500 | 1,500 |
D Ordinary | £1 | 1,500 | 1,500 |
1,500 | E Ordinary | £1 | 1,500 | 1,500 |
200 | F Ordinary | 1p | 2 | 2 |
119,252 | 119,252 |
17. | RESERVES |
Capital |
Retained | Share | redemption |
earnings | premium | reserve | Totals |
£ | £ | £ | £ |
At 27 February 2023 | 4,073,309 |
Profit for the period |
Dividends | ( |
) | ( |
) |
At 25 February 2024 | 4,024,698 |
FUTON LIMITED (REGISTERED NUMBER: 01848362) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE PERIOD 27 FEBRUARY 2023 TO 25 FEBRUARY 2024 |
18. | PENSION COMMITMENTS |
The company operates a defined contribution pension scheme. At the period end, the amount outstanding and not yet paid over total £15,592 (2023 £13,559), and is shown in other creditors. |
19. | RELATED PARTY DISCLOSURES |
During the period, the company entered into transactions with the following related parties: |
A director provided an interest free loan to the company. At the balance sheet date the amount due to this director was £7,904. |
A director provided an interest free loan to the company. At the balance sheet date the amount due to this director was £100. |
M J Marketing (An entity owned by close family of one of the company directors) |
During the year the company purchased marketing services of £23,065 from M J Marketing. At the balance sheet date, £1,910 was owed to M J Marketing. |
During the period, a total of key management personnel compensation of £ |
20. | ULTIMATE CONTROLLING PARTY |
The company does not consider there is an ultimate controlling party of the company, due to the shareholding structure. |
21. | POST BALANCE SHEET EVENTS |
A new store was opened, which is trading in line with expectations. |