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REGISTERED NUMBER: 02000951 (England and Wales)












STRATEGIC REPORT, REPORT OF THE DIRECTORS AND

FINANCIAL STATEMENTS

FOR THE YEAR ENDED 31ST DECEMBER 2023

FOR

PRECISION ENGINEERING PLASTICS LTD

PRECISION ENGINEERING PLASTICS LTD (REGISTERED NUMBER: 02000951)

CONTENTS OF THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31ST DECEMBER 2023










Page

Company Information 1

Strategic Report 2

Report of the Directors 3

Report of the Independent Auditors 5

Statement of Comprehensive Income 8

Statement of Financial Position 9

Statement of Changes in Equity 10

Notes to the Financial Statements 11


PRECISION ENGINEERING PLASTICS LTD

COMPANY INFORMATION
FOR THE YEAR ENDED 31ST DECEMBER 2023







DIRECTORS: Mr P Doheny
Mr V Marino





SECRETARY: Mr P Doheny





REGISTERED OFFICE: 1063 Mollison Avenue
Enfield
Middlesex
EN3 7NJ





REGISTERED NUMBER: 02000951 (England and Wales)





AUDITORS: Mountsides Limited
Chartered Accountants
& Statutory Auditors
2 Mountside
Stanmore
Middlesex
HA7 2DT

PRECISION ENGINEERING PLASTICS LTD (REGISTERED NUMBER: 02000951)

STRATEGIC REPORT
FOR THE YEAR ENDED 31ST DECEMBER 2023


The directors present their strategic report for the year ended 31st December 2023.

REVIEW OF BUSINESS
The directors consider that the key financial performance indicators (KPIs) are those that communicate the financial performance and strength of the company as a whole to its members. These KPIs comprise turnover, operating profit and shareholders' funds. The company is exempt from the requirement to disclose details of non-financial key performance indicators as it is a medium sized company.

During the year turnover decreased by 12% due to reduced demand and this has contributed to a 39% decrease in operating profit. At the year end, shareholders' funds increased by 2% and net assets per ordinary share were £64.

The company expects profitability to remain under pressure in the future due to continuing world and inflation uncertainties and their impact on costs.

PRINCIPAL RISKS AND UNCERTAINTIES
The company's financial risk management objectives consist of identifying and monitoring those risks which have an adverse impact on the value of the company's financial assets and liabilities or on reported profitability and on the cash flows of the company.

The company's principal financial instruments comprise cash balances and various items such as trade debtors and trade creditors which arise directly from trading operations. The main purpose of these financial instruments is to provide finance for the company's operations. The existence of these financial instruments exposes the company to a number of financial risks.

LIQUIDITY RISK
The company minimises its exposure to liquidity risk by managing cash generation by its operations with cash collection targets set. In this way the company ensures that sufficient funds are available for day to day operations and planned expansions.

CREDIT RISK
The principal credit risk arises from trade debtors. Management has a credit policy in place and the exposure to credit risk is monitored on an ongoing basis, based on a combination of payment history and third party references.

FUTURE DEVELOPMENTS
The directors are satisfied with the results achieved during the year. Their plan for the future is to continue in their efforts to secure new orders, both in the United Kingdom and overseas, and to continue to invest in new plant and machinery. Brexit and events outside the company's control have created significant uncertainties which are likely to dampen the company's future growth, but in the directors' opinion, the company is well positioned to meet these challenges.

ON BEHALF OF THE BOARD:





Mr P Doheny - Director


28th November 2024

PRECISION ENGINEERING PLASTICS LTD (REGISTERED NUMBER: 02000951)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 31ST DECEMBER 2023


The directors present their report with the financial statements of the company for the year ended 31st December 2023.

PRINCIPAL ACTIVITY
The principal activity of the company in the year under review was that of manufacturers of precision plastic mouldings.

DIVIDENDS
Interim dividends per share were paid during the year as follows:
Ordinary £1.00 £1 - £1.86031 - 30th December 2023
Ordinary 10p 10p - 18.607p - 30th December 2023

The total distribution of dividends for the year ended 31st December 2023 will be £ 190,000 .

DIRECTORS
The directors shown below have held office during the whole of the period from 1st January 2023 to the date of this report.

Mr P Doheny
Mr V Marino

DISCLOSURE IN THE STRATEGIC REPORT
The company has set out the business review, the principal risks and uncertainties and future developments in the strategic report on page 2 of these financial statements.

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.

The directors of a company must, in determining how amounts are presented within items in the profit and loss account and balance sheet, have regard to the substance of the reported transaction or arrangement, in accordance with generally accepted accounting principles and practice.

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.

PRECISION ENGINEERING PLASTICS LTD (REGISTERED NUMBER: 02000951)

REPORT OF THE DIRECTORS
FOR THE YEAR ENDED 31ST DECEMBER 2023


AUDITORS
The auditors, Mountsides Limited, are deemed to be reappointed under s487(2) of the Companies Act 2006.

ON BEHALF OF THE BOARD:





Mr P Doheny - Director


28th November 2024

REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF
PRECISION ENGINEERING PLASTICS LTD


Opinion
We have audited the financial statements of Precision Engineering Plastics Ltd (the 'company') for the year ended 31st December 2023 which comprise the Statement of Comprehensive Income, Statement of Financial Position, Statement of Changes in Equity 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 31st December 2023 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
PRECISION ENGINEERING PLASTICS LTD


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 three, 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.

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:

Based on our understanding of the company and the environment in which it operates, we identified that the principal risks of non-compliance with laws and regulations related to but not limited to, Companies Act 2006 and UK tax legislation, and we considered the extent to which non-compliance might have a material effect on the financial statements. We also considered those laws and regulations that have a direct impact on the financial statements such as the Companies Act 2006. We evaluated management's incentives and opportunities for fraudulent manipulation of the financial statements (including the risk of override of controls), and determined that the principal risks were related to posting inappropriate journal entries to increase revenue or reduce expenditure, and management bias in accounting estimates. Audit procedures performed included:
- Enquiries with management, including consideration of known or suspected instances of non-compliance with laws and regulations and fraud.
- Designing audit procedures to incorporate unpredictability around the nature, timing or extent of our testing.
- Identifying and testing journal entries, in particular any journal entries posted with unusual account combinations.
- Reviewing the financial statements for compliance with the Companies Act 2006.
- Evaluating and challenging the reasonableness of accounting estimates.

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
PRECISION ENGINEERING PLASTICS LTD


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.




Christopher Andrews ACA (Senior Statutory Auditor)
for and on behalf of Mountsides Limited
Chartered Accountants
& Statutory Auditors
2 Mountside
Stanmore
Middlesex
HA7 2DT

28th November 2024

PRECISION ENGINEERING PLASTICS LTD (REGISTERED NUMBER: 02000951)

STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31ST DECEMBER 2023

31.12.23 31.12.22
Notes £    £   

TURNOVER 4 5,921,914 6,702,933

Cost of sales (3,819,705 ) (4,347,561 )
GROSS PROFIT 2,102,209 2,355,372

Administrative expenses (1,703,929 ) (1,700,122 )
OPERATING PROFIT 6 398,280 655,250

Interest receivable and similar income 24,683 -
PROFIT BEFORE TAXATION 422,963 655,250

Tax on profit 7 (42,631 ) (57,942 )
PROFIT FOR THE FINANCIAL YEAR 380,332 597,308

OTHER COMPREHENSIVE INCOME - -
TOTAL COMPREHENSIVE INCOME
FOR THE YEAR

380,332

597,308

PRECISION ENGINEERING PLASTICS LTD (REGISTERED NUMBER: 02000951)

STATEMENT OF FINANCIAL POSITION
31ST DECEMBER 2023

31.12.23 31.12.22
Notes £    £   
FIXED ASSETS
Tangible assets 10 246,184 396,897

CURRENT ASSETS
Stocks 11 495,309 698,674
Debtors 12 5,869,236 6,037,731
Cash at bank and in hand 1,970,313 1,398,680
8,334,858 8,135,085
CREDITORS
Amounts falling due within one year 13 (735,812 ) (847,645 )
NET CURRENT ASSETS 7,599,046 7,287,440
TOTAL ASSETS LESS CURRENT
LIABILITIES

7,845,230

7,684,337

PROVISIONS FOR LIABILITIES 15 (18,005 ) (47,444 )
NET ASSETS 7,827,225 7,636,893

CAPITAL AND RESERVES
Called up share capital 16 102,133 102,133
Share premium 13,867 13,867
Retained earnings 7,711,225 7,520,893
SHAREHOLDERS' FUNDS 7,827,225 7,636,893

The financial statements were approved by the Board of Directors and authorised for issue on 28th November 2024 and were signed on its behalf by:




Mr P Doheny - Director



Mr V Marino - Director


PRECISION ENGINEERING PLASTICS LTD (REGISTERED NUMBER: 02000951)

STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31ST DECEMBER 2023

Called up
share Retained Share Total
capital earnings premium equity
£    £    £    £   
Balance at 1st January 2022 102,133 7,093,585 13,867 7,209,585

Changes in equity
Dividends - (170,000 ) - (170,000 )
Total comprehensive income - 597,308 - 597,308
Balance at 31st December 2022 102,133 7,520,893 13,867 7,636,893

Changes in equity
Dividends - (190,000 ) - (190,000 )
Total comprehensive income - 380,332 - 380,332
Balance at 31st December 2023 102,133 7,711,225 13,867 7,827,225

PRECISION ENGINEERING PLASTICS LTD (REGISTERED NUMBER: 02000951)

NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31ST DECEMBER 2023


1. STATUTORY INFORMATION

Precision Engineering Plastics Ltd 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. STATEMENT OF COMPLIANCE

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.

3. ACCOUNTING POLICIES

BASIS OF PREPARING THE FINANCIAL STATEMENTS
The financial statements have been prepared under the historical cost convention.

FINANCIAL REPORTING STANDARD 102 - REDUCED DISCLOSURE EXEMPTIONS
The company satisfies the criteria of being a qualifying entity as defined by the Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'. Its financial statements are consolidated into the financial statements of its immediate and ultimate parent company, Precision Engineering Plastics (Holdings) Limited, a company registered in England and Wales. Copies of the financial statements of Precision Engineering Plastics (Holdings) Limited are publicly available from Companies House.

Advantage has been taken of the following disclosure exemptions available under paragraph 1.12 of the Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland':

(a) the requirements of Section 4 Statement of Financial Position paragraph 4.12(a)(iv)
(b) the requirements of Section 7 Statement of Cash Flows
(c) the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d)
(d) the requirements of Section 33 Related Party Disclosures paragraph 33.7

SIGNIFICANT JUDGEMENTS AND ESTIMATES
The preparation of the financial statements requires management to make significant judgements, estimates and assumptions that affect the amounts reported. These estimates, judgements and assumptions are continually reviewed and are based on experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. The items in the financial statements where judgements, estimates and assumptions have been made include:

Debtors
Management applies judgements in evaluating the recoverability of debtors. To the extent that the directors believe debtors not to be recoverable, they have been provided for in the financial statements.

Stock
Management applies judgements in evaluating stock for obsolete and slow moving items. This judgement is based on management knowledge of the stock and customer demand, as well as stock age. At each balance sheet date, stocks are assessed for impairment and written down as appropriate.

PRECISION ENGINEERING PLASTICS LTD (REGISTERED NUMBER: 02000951)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST DECEMBER 2023


3. ACCOUNTING POLICIES - continued

TURNOVER
The turnover shown in the profit and loss account represents revenue recognised by the company in respect of goods and services supplied during the year.Turnover is measured at the fair value of the consideration received or receivable net of value added tax and trade discounts. The policies adopted for the recognition of turnover are as follows:

Sale of goods
Turnover from the sale of goods is recognised when significant risks and rewards of ownership of the goods have transferred to the buyer, the amount of turnover can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the company and the costs incurred or to be incurred in respect of the transaction can be measured reliably. This is usually on dispatch of the goods.

Rendering of services
When the outcome of a transaction can be estimated reliably, turnover from rendering of services is recognised by reference to the stage of completion at the balance sheet date. Stage of completion is measured by reference to actual time spent to the total budgeted time.

Where the outcome cannot be measured reliably, turnover is recognised only to the extent of the expenses recognised that are recoverable.

TANGIBLE FIXED ASSETS
Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life.
Plant and machinery - 20% on cost
Fixtures and fittings - 20% on cost
Motor vehicles - 25% on cost

STOCKS
Stocks and work in progress are valued at the lower of cost and net realisable value, after making due allowances for obsolete and slow moving items. Cost includes all direct expenditure and an appropriate proportion of fixed and variable overheads.

FINANCIAL INSTRUMENTS
The company only enters into basic financial instruments that result in the recognition of financial assets and liabilities like trade and other accounts receivable and payable and loans to related parties.

Debtors and creditors with no stated interest rate and receivable or payable within one year are recorded at transaction price. Any losses arising from impairment of assets are recognised in the profit and loss account in other administrative expenses.

TAXATION
Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income, 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.


PRECISION ENGINEERING PLASTICS LTD (REGISTERED NUMBER: 02000951)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST DECEMBER 2023


3. 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.

LEASING COMMITMENTS
Leases that do not transfer all the risks and rewards of ownership are classified as operating leases. Payments under operating leases are charged to the profit and loss account 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 profit or loss in the period to which they relate.

4. TURNOVER

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

An analysis of turnover by geographical market is given below:

31.12.23 31.12.22
£    £   
United Kingdom 4,755,406 5,313,272
Europe 825,211 1,008,803
Rest of the World 341,297 380,858
5,921,914 6,702,933

5. EMPLOYEES AND DIRECTORS
31.12.23 31.12.22
£    £   
Wages and salaries 2,116,171 2,278,801
Social security costs 208,648 235,375
Other pension costs 294,761 229,599
2,619,580 2,743,775

PRECISION ENGINEERING PLASTICS LTD (REGISTERED NUMBER: 02000951)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST DECEMBER 2023


5. EMPLOYEES AND DIRECTORS - continued

The average number of employees during the year was as follows:
31.12.23 31.12.22

Administration and management 14 16
Production 56 62
70 78

31.12.23 31.12.22
£    £   
Directors' remuneration 102,944 96,920
Directors' pension contributions to money purchase schemes 219,200 150,600

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

Money purchase schemes 2 2

6. OPERATING PROFIT

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

31.12.23 31.12.22
£    £   
Depreciation - owned assets 160,794 152,923
Depreciation - assets on hire purchase contracts or finance leases - 17,141
Profit on disposal of fixed assets - (4,250 )
Auditors' remuneration 5,000 5,000
Foreign exchange differences 5,714 (21,278 )
Operating leases - land and buildings 375,000 420,000

7. TAXATION

Analysis of the tax charge
The tax charge on the profit for the year was as follows:
31.12.23 31.12.22
£    £   
Current tax:
UK corporation tax 72,070 65,391

Deferred tax (29,439 ) (7,449 )
Tax on profit 42,631 57,942

UK corporation tax has been charged at 23.52% (2022 - 19%).

PRECISION ENGINEERING PLASTICS LTD (REGISTERED NUMBER: 02000951)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST DECEMBER 2023


7. TAXATION - continued

RECONCILIATION OF TOTAL TAX CHARGE INCLUDED IN PROFIT AND LOSS
The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below:

31.12.23 31.12.22
£    £   
Profit before tax 422,963 655,250
Profit multiplied by the standard rate of corporation tax in the UK of
23.520% (2022 - 19%)

99,481

124,498

Effects of:
Expenses not deductible for tax purposes 205 976
Change in rate of deferred taxation provision - 20,059
R&D relief claims (55,282 ) (77,561 )
Origination and reversal of timing differences (1,773 ) (10,030 )
Total tax charge 42,631 57,942

8. DIVIDENDS
31.12.23 31.12.22
£    £   
Ordinary £1.00 shares of £1 each
Interim dividend 186,032 166,449
Ordinary 10p shares of 10p each
Interim dividend 3,968 3,551
190,000 170,000

9. PENSION COSTS

The company operates a defined contribution pension scheme for some of its employees. The assets of the scheme are held separately from those of the company in an independently administered fund. The pension cost charge in the profit and loss account represents contributions payable to the fund and amounted to £294,761 (2022: £229,599).

PRECISION ENGINEERING PLASTICS LTD (REGISTERED NUMBER: 02000951)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST DECEMBER 2023


10. TANGIBLE FIXED ASSETS
Fixtures
Plant and and Motor
machinery fittings vehicles Totals
£    £    £    £   
COST
At 1st January 2023 3,017,450 160,667 147,303 3,325,420
Additions - 10,081 - 10,081
At 31st December 2023 3,017,450 170,748 147,303 3,335,501
DEPRECIATION
At 1st January 2023 2,720,040 144,149 64,334 2,928,523
Charge for year 115,630 9,767 35,397 160,794
At 31st December 2023 2,835,670 153,916 99,731 3,089,317
NET BOOK VALUE
At 31st December 2023 181,780 16,832 47,572 246,184
At 31st December 2022 297,410 16,518 82,969 396,897

11. STOCKS
31.12.23 31.12.22
£    £   
Raw materials and consumables 279,852 386,943
Finished goods 215,457 311,731
495,309 698,674

12. DEBTORS
31.12.23 31.12.22
£    £   
Amounts falling due within one year:
Trade debtors 995,976 1,243,356
Amounts owed by group company 2,948,420 2,875,905
Other debtors 5 5
Prepayments 69,835 63,465
4,014,236 4,182,731

Amounts falling due after more than one year:
Directors' loan accounts 1,400,000 1,400,000
Corporation Tax recoverable 455,000 455,000
1,855,000 1,855,000

Aggregate amounts 5,869,236 6,037,731

PRECISION ENGINEERING PLASTICS LTD (REGISTERED NUMBER: 02000951)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST DECEMBER 2023


13. CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR
31.12.23 31.12.22
£    £   
Trade creditors 286,156 384,118
Corporation Tax 72,070 65,473
Social security and other taxes 29,607 38,813
VAT 141,566 141,395
Other creditors 81,715 50,726
Accrued expenses 124,698 167,120
735,812 847,645

14. LEASING AGREEMENTS

Minimum lease payments under non-cancellable operating leases fall due as follows:
31.12.23 31.12.22
£    £   
Within one year 375,000 375,000
Between one and five years 1,500,000 1,500,000
In more than five years 656,250 1,031,250
2,531,250 2,906,250

15. PROVISIONS FOR LIABILITIES
31.12.23 31.12.22
£    £   
Deferred tax 18,005 47,444

Deferred
tax
£   
Balance at 1st January 2023 47,444
Credit to Statement of Comprehensive Income during year (29,439 )
Balance at 31st December 2023 18,005

The deferred tax balance represents timing differences on capital allowances.

16. CALLED UP SHARE CAPITAL

Allotted, issued and fully paid:
Number: Class: Nominal 31.12.23 31.12.22
value: £    £   
100,000 Ordinary £1.00 £1 100,000 100,000
21,330 Ordinary 10p 10p 2,133 2,133
102,133 102,133

PRECISION ENGINEERING PLASTICS LTD (REGISTERED NUMBER: 02000951)

NOTES TO THE FINANCIAL STATEMENTS - continued
FOR THE YEAR ENDED 31ST DECEMBER 2023


16. CALLED UP SHARE CAPITAL - continued

The rights attaching to the two classes of shares shall be as follows:

(1) The holders of £1 shares shall be entitled to one vote for every share held but the holders of the 10p shares shall be entitled to one vote for every 10 shares held.

(2) On a declaration of dividend or return of capital, the amount paid or payable to the shareholders of the Company or the entitlement to capital shall be divided in such a manner that the holder of each £1 share is entitled to 10 times the amount per share compared to the holder of each 10p share.

17. ULTIMATE PARENT COMPANY

The immediate and ultimate parent undertaking is Precision Engineering Plastics (Holdings) Limited, a company registered in England and Wales.

The largest and smallest group of which the company is a member and for which consolidated financial statements are drawn up is headed by Precision Engineering Plastics (Holdings) Limited. Copies of these financial statements are publicly available from Companies House.

18. RELATED PARTY DISCLOSURES

The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries of the group.

Included in debtors are loans totalling £1,400,000 (2022:£1,400,000) made to the directors, which remain unpaid at the balance sheet date. The loans are interest free and have no fixed repayment dates.

19. ULTIMATE CONTROLLING PARTY

The ultimate controlling parties are the directors and their families, acting in concert, who hold the entire issued share capital of the parent company, Precision Engineering Plastics (Holdings) Limited.