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Registered number: 01530620
Isothermal Technology Limited
Strategic Report, Directors' Report and
Financial Statements
For The Year Ended 31 March 2024
Pennington Silver
Contents
Page
Strategic Report 1—2
Directors' Report 3—4
Independent Auditor's Report 5—7
Profit and Loss Account 8
Statement of Comprehensive Income 9
Balance Sheet 10
Statement of Changes in Equity 11
Statement of Cash Flows 12
Notes to the Statement of Cash Flows 13
Notes to the Financial Statements 14—19
Page 1
Strategic Report
The directors present their strategic report for the year ended 31 March 2024.
Review of the Business
The company’s ongoing commitment to research and development of new products along with the continued success of established product ranges has yielded significant progress. The phased implementation of new ERP software has improved overall operational efficiency, which will continue in the coming year. These factors are clearly reflected in a 16% increase in turnover and an 89% surge in operating profits from the previous year, along with a notable 5.2% rise in the operating profit margin. These achievements underscore the effectiveness of the directors' long-term strategic vision, demonstrating that their focus on innovation, investment and efficiency is not only driving revenue growth but also enhancing overall profitability.
Research and Development and Product Launches
Throughout the past year the company has continued to focus on research and development. Collaboration projects with leading academic institutions and industry experts along with internal investment in resources and staff have advanced our product development program. This has culminated in the launch of new products on the market with further products due for launch during 2024 and into 2025. These new products will address the evolving needs of our clients and industry, solidifying our position as leaders in the field.
Improved services
In line with our strategy of continuous investment and improvement, we have enhanced our existing calibration services and introduced new offerings that complement our current schedule of accreditation. These additions will provide our clients with the opportunity to improve their own capability whilst reinforcing our prominence in the traceability chain as a trusted provider of calibration services to laboratories of all sizes both within the UK and worldwide.
Benefit of Increased Stock Spending
The company continues to invest in stock, this has helped mitigate supply chain issues whilst ensuring fulfilment of customer orders and delivery schedules in a timely manner. As the company currently operates with a significant head of orders, stock planning is simplified and the risks associated with holding large volumes of stock are minimised.
Financial Stability and Future Outlook
The company maintains a robust financial position, with ample liquid assets to meet its operational needs and financial obligations. Backed by a substantial head of orders and promising new opportunities, we anticipate sustained positive operating profits in the upcoming period.
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Principal Risks and Uncertainties
Inflation Concerns
Production costs across all suppliers continue to rise albeit at a reduced rate compared to the previous period. Implementation of the new ERP software provides greater control over costs which further supports strategic price planning to ensure profit margins are maintained.
Supply Chain Volatility
The company has experienced some difficulties in stock procurement, however maintaining large volumes of stock and using multiple source suppliers has helped alleviate these problems. With a healthy head of orders and strong financial position the benefits associated with holding large quantities of stock outweigh the risks.
Market Competition
The temperature metrology market is in a state of constant evolution. As the landscape shifts, we remain committed to adapting and innovating to meet emerging demands. By continually enhancing our product portfolio and services, we not only meet current market demands but also anticipate future trends. The company's established reputation for providing high quality complete solutions ensure that we remain at the forefront of the industry.
Economic and Geopolitical Uncertainties
Post Brexit administration continues to create export delays; however, the company has operated globally for many years, and it is this vast experience that has us well placed to cope with these additional administrative demands. The ongoing geopolitical situation is continually monitored by the company and regional distribution partners to help establish working strategies. This along with the company’s global presence helps reduce the impact of economic fluctuations, geopolitical issues, or market changes in any one area.
Key performance indicators
The directors monitor the performance of the company on the following Key Performance Indicators (''KPIs'') - sales, profit margins, overall company profitability and cash generated.
2024
2023
Sales
£6.56m
£5.64m
Gross profit margin
44.64%
44.2%
Operating profit margin
13.5%
8.3%
Operating profit
£0.89m
£0.47m
Bank and cash balances at year end
£3.8m
£3.2m
On behalf of the board
Mrs I F Tavener
Director
31/10/2024
Page 2
Page 3
Directors' Report
The directors present their report and the financial statements for the year ended 31 March 2024.
Principal Activity
Based in Southport, UK, Isotech is a world leader in the design, development, and manufacture of precision temperature metrology equipment. Our focus on quality, customer service, investment and innovation drive our comprehensive product range. With operations in over 125 countries through an extensive distributor network, we are committed to providing complete temperature metrology solutions to a diverse array of clients.
With over 40 years of experience in the industry, we have built a trusted reputation for delivering high-quality products and services. Our commitment to excellence has made us a preferred partner for numerous National Metrology Institutes around the globe.
Dividends
The value of dividends paid amounted to £300,000 .
Directors
The directors who held office during the year were as follows:
Mr J Brown
Mr N Davies
Mrs L Ousey
Mr D Southworth
Mrs I F Tavener
Mr S J Tavener
Mr S C Tavener
Statement of Directors' Responsibilities
The directors are responsible for preparing the Strategic Report, the Directors' Report 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, comprising FRS102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', 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 the financial statements the directors are required to:
  • select suitable accounting policies and then apply them consistently;
  • make judgments and accounting estimates that are reasonable and prudent;
  • state whether applicable United Kingdom Accounting Standards, comprising FRS102, have been followed subject to any material departures disclosed and explained in the financial statements;
  • 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 of Disclosure of Information to Auditors
In the case of each director in office at the date the Directors' Report is approved:
  • so far as the director is aware, there is no relevant audit information of which the company's auditors are unaware; and
  • they have taken all the steps that they ought to have taken as directors in order to make themselves aware of any relevant audit information and to establish that the company's auditors are aware of that information.
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Independent Auditors
The auditors, Harrison Latham & Company, have indicated their willingness to continue in office and a resolution concerning their re-appointment will be proposed at the Annual General Meeting.
On behalf of the board
Mrs I F Tavener
Director
31/10/2024
Page 4
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Independent Auditor's Report
Opinion
We have audited the financial statements of Isothermal Technology Limited for the year ended 31 March 2024 which comprise the Profit and Loss Account, Statement of Comprehensive Income, Balance Sheet, Statement of Changes of Equity, Cash Flow Statement and the related notes, 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 (United Kingdom Generally Accepted Accounting Practice), including FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland".
In our opinion the financial statements:
  • give a true and fair view of the state of the company's affairs as at 31 March 2024 and of its profit for the year then ended;
  • have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and
  • have been prepared in accordance with the requirements of the Companies Act 2006.
Basis for Opinion
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's 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 entity's ability to continue as a going concern for a period of at least 12 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 other information comprises the information included in the annual report, other than the financial statements and our auditor's report thereon. The directors are responsible for the other information contained within the annual report. 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 Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
  • the Strategic Report and Directors' Report have been prepared in accordance with applicable legal requirements.
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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 Directors' Report.
We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion:
  • adequate accounting records have not been kept, 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 or returns; or
  • certain disclosures of directors' remuneration specified by law are not made; or
  • we have not received all the information and explanations we require for our audit.
Responsibilities of Directors
As explained more fully in the Directors' Responsibilities Statement set out on page 3—4, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the directors are responsible for assessing the 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.
Auditor's Responsibilities for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: 
• the engagement partner ensured that the engagement team collectively had the appropriate competence, capabilities and skills to identify or recognise non-compliance with applicable laws and regulations;
• we identified the laws and regulations applicable to the company through discussions with directors and other management, and from our commercial knowledge and experience of the sector;
• we focused on specific laws and regulations which we considered may have a direct material effect on the financial statements or the operations of the company, including the Companies Act 2006, taxation legislation and data protection, anti-bribery, employment, environmental and health and safety legislation;
• we assessed the extent of compliance with the laws and regulations identified above through making enquiries of management and inspecting legal correspondence; and
• identified laws and regulations were communicated within the audit team regularly and the team remained alert to instances of non-compliance throughout the audit.
We assessed the susceptibility of the company's financial statements to material misstatement, including obtaining an understanding of how fraud might occur, by:
• making enquiries of management as to where they considered there was susceptibility to fraud, their knowledge of actual, suspected and alleged fraud; and
• considering the internal controls in place to mitigate risks of fraud and non-compliance with laws and regulations.
• To address the risk of fraud through management bias and override of controls, we:
• performed analytical procedures to identify any unusual or unexpected relationships;
• tested journal entries to identify unusual transactions.
In response to the risk of irregularities and non-compliance with laws and regulations, we designed procedures which included, but were not limited to:
• agreeing financial statement disclosures to underlying supporting documentation;
• reading the minutes of meetings of those charged with governance; 
• enquiring of management as to actual and potential litigation and claims; and
• reviewing correspondence with HMRC, relevant regulators including the Health and Safety Executive, and the company's legal advisors.
There are inherent limitations in our audit procedures described above. The more removed that laws and regulations are from financial transactions, the less likely it is that we would become aware of non-compliance. Auditing standards also limit the audit procedures required to identify non-compliance with laws and regulations to enquiry of the directors and other management and the inspection of regulatory and legal correspondence, if any.
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.
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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 that we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed.
Neil Latham (Senior Statutory Auditor)
for and on behalf of Harrison Latham & Company , Statutory Auditor
31/10/2024
Harrison Latham & Company
Chartered Accountants and Registered Auditors
97 Tulketh Street
Southport
PR8 1AW
Page 7
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Profit and Loss Account
2024 2023
Notes £ £
TURNOVER 6,564,042 5,637,265
Cost of sales (3,633,884 ) (3,143,427 )
GROSS PROFIT 2,930,158 2,493,838
Distribution costs (59,256 ) (60,061 )
Administrative expenses (2,079,818 ) (2,007,688 )
Other operating income 94,305 37,477
OPERATING PROFIT 4 885,389 463,566
Other interest receivable and similar income 9 43,210 5,279
Interest payable and similar charges 10 - (91 )
PROFIT BEFORE TAXATION 928,599 468,754
Tax on Profit 11 (241,412 ) (47,786 )
PROFIT AFTER TAXATION BEING PROFIT FOR THE FINANCIAL YEAR 687,187 420,968
The notes on pages 13 to 19 form part of these financial statements.
Page 8
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Statement of Comprehensive Income
2024 2023
£ £
PROFIT FOR THE FINANCIAL YEAR 687,187 420,968
OTHER COMPREHENSIVE INCOME FOR THE YEAR - -
TOTAL COMPREHENSIVE INCOME FOR THE YEAR 687,187 420,968
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Balance Sheet
Registered number: 01530620
2024 2023
Notes £ £ £ £
FIXED ASSETS
Tangible Assets 12 793,238 785,407
793,238 785,407
CURRENT ASSETS
Stocks 13 3,420,383 3,438,057
Debtors 14 1,047,212 1,163,466
Cash at bank and in hand 3,775,484 3,201,778
8,243,079 7,803,301
Creditors: Amounts Falling Due Within One Year 15 (727,302 ) (678,403 )
NET CURRENT ASSETS (LIABILITIES) 7,515,777 7,124,898
TOTAL ASSETS LESS CURRENT LIABILITIES 8,309,015 7,910,305
PROVISIONS FOR LIABILITIES
Deferred Taxation 16 (18,858 ) (7,335 )
NET ASSETS 8,290,157 7,902,970
CAPITAL AND RESERVES
Called up share capital 18 8,000 8,000
Profit and Loss Account 8,282,157 7,894,970
SHAREHOLDERS' FUNDS 8,290,157 7,902,970
On behalf of the board
Mrs I F Tavener
Director
31/10/2024
The notes on pages 13 to 19 form part of these financial statements.
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Statement of Changes in Equity
Share Capital Profit and Loss Account Total
£ £ £
As at 1 April 2022 8,000 7,774,002 7,782,002
Profit for the year and total comprehensive income - 420,968 420,968
Dividends paid - (300,000) (300,000)
As at 31 March 2023 and 1 April 2023 8,000 7,894,970 7,902,970
Profit for the year and total comprehensive income - 687,187 687,187
Dividends paid - (300,000) (300,000)
As at 31 March 2024 8,000 8,282,157 8,290,157
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Statement of Cash Flows
2024 2023
Notes £ £
Cash flows from operating activities
Net cash generated from operations 1 928,609 273,211
Interest paid - (91 )
Tax paid (50,979 ) (112,582 )
Net cash generated from operating activities 877,630 160,538
Cash flows from investing activities
Purchase of tangible assets (53,323 ) (17,195 )
Grants received 6,189 -
Interest received 43,210 5,279
Net cash used in investing activities (3,924 ) (11,916 )
Cash flows from financing activities
Equity dividends paid (300,000 ) (300,000 )
Increase/(decrease) in cash and cash equivalents 573,706 (151,378 )
Cash and cash equivalents at beginning of year 2 3,201,778 3,353,156
Cash and cash equivalents at end of year 2 3,775,484 3,201,778
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Notes to the Statement of Cash Flows
1. Reconciliation of profit for the financial year to cash generated from operations
2024 2023
£ £
Profit for the financial year 687,187 420,968
Adjustments for:
Tax on profit 241,412 47,786
Interest expense - 91
Interest income (43,210 ) (5,279 )
Depreciation of tangible assets 45,492 37,063
Grant income (6,189) -
Movements in working capital:
Decrease/(increase) in stocks 17,674 (66,612 )
Decrease/(increase) in trade and other debtors 116,254 (217,711 )
(Decrease)/increase in trade and other creditors (130,011 ) 56,905
Net cash generated from operations 928,609 273,211
2. Cash and cash equivalents
Cash and cash equivalents, as stated in the Statement of Cash Flows, relates to the following items in the Balance Sheet:
2024 2023
£ £
Cash at bank and in hand 3,775,484 3,201,778
3. Analysis of changes in net funds
As at 1 April 2023 Cash flows As at 31 March 2024
£ £ £
Cash at bank and in hand 3,201,778 573,706 3,775,484
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Notes to the Financial Statements
1. General Information
Isothermal Technology Limited is a private company, limited by shares, incorporated in England & Wales, registered number 01530620 . The registered office is 14a Pine Grove, Southport, Merseyside, PR9 9AG.
2. Accounting Policies
2.1. Basis of Preparation of Financial Statements
The financial statements have been prepared under the historical cost convention and in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland'' and the Companies Act 2006.
2.2. Turnover
Turnover is measured at the fair value of the consideration received or receivable, net of discounts and value added taxes. Turnover includes revenue earned from the sale of goods.
Sale of goods
Turnover from the sale of goods is recognised when the significant risks and rewards of ownership of the goods has transferred to the buyer. This is usually at the point that the customer has signed for the delivery of the goods.
Payments in advance
Where the company receives payment in advance of goods being dispatched, the sale is deferred in the balance sheet as deferred income and is included within creditors amounts falling due within one year. 
2.3. Tangible Fixed Assets and Depreciation
Tangible fixed assets are measured at cost less accumulated depreciation and any accumulated impairment losses. Depreciation is provided at rates calculated to write off the cost of the fixed assets, less their estimated residual value, over their expected useful lives on the following bases:
Freehold property 2% on reducing balance
Plant & Machinery 25% on reducing balance
Fixtures & Fittings 25% on reducing balance
Computer Equipment 33% on cost
2.4. Stocks and Work in Progress
Stocks and work in progress are valued at the lower of cost and net realisable value after making due allowance for obsolete and slow-moving stocks.
Cost is determined using the first-in, first-out method. Cost includes all direct costs and an appropriate proportion of fixed and variable overheads.
At the end of each reporting period stocks are assessed for impairment. If an item of stock is impaired, the identified stock is reduced to its selling price less costs to complete and sell and an impairment charge is recognised in the profit and loss account. Where a reversal of the impairment is required the impairment charge is reversed, up to the original impairment loss, and is recognised as a credit in the profit and loss account.
2.5. Cash and Cash Equivalents
Cash and cash equivalents are basic financial assets and include cash in hand and deposits held at call with banks, other short-term highly liquid investments that mature in no more than three months from the date of acquisition and are readily convertible to a known amount of cash with insignificant risk of change in value, and bank overdrafts.
2.6. Financial Instruments
Financial instruments are recognised when the company becomes party to the contractual provisions of the instrument. Basic financial assets, which include debtors, prepayments and bank balances, are initially measured at transaction price and are subsequently carried at cost unless the arrangement indicates otherwise and then the asset is measured at the present value of the future receipts discounted at a market rate of interest. Basic financial liabilities, which include creditors, accruals are initially recognised at transaction price and are subsequently carried at cost unless the arrangement indicates otherwise and then the liability is measured at the present value of the future obligations discounted at a market rate of interest.
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2.7. Taxation
Income tax expense represents the sum of the tax currently payable and deferred tax.
The tax currently payable is based on taxable profit for the year. Taxable profit differs from profit as reported in the statement of comprehensive income because of items of income or expense that are taxable or deductible in other years and items that are never taxable or deductible. The company's liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the end of the reporting period.
Deferred tax is recognised on timing differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit. Deferred tax liabilities are generally recognised for all taxable timing differences. Deferred tax assets are generally recognised for all deductible temporary differences to the extent that it is probable that taxable profits will be available against which those deductible timing differences can be utilised. The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered.
Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the period in which the liability is settled or the asset realised, based on tax rates (and tax laws) that have been enacted or substantively enacted by the end of the reporting period. Deferred tax liabilities are presented within provisions for liabilities and deferred tax assets within debtors. The measurement of deferred tax liabilities and assets reflect the tax consequences that would follow from the manner in which the Company expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and liabilities.
Current or deferred tax for the year is recognised in profit or loss, except when they related to items that are recognised in other comprehensive income or directly in equity, in which case, the current and deferred tax is also recognised in other comprehensive income or directly in equity respectively.
2.8. Pensions
The company operates a defined pension contribution scheme. Contributions payable to the company's pension scheme are charged to the profit and loss account in the period to which they relate.
2.9. Government Grant
Government grants are recognised in the profit and loss account in an appropriate manner that matches them with the expenditure towards which they are intended to contribute.
Grants for immediate financial support or to cover costs already incurred are recognised immediately in the profit and loss account. Grants towards general activities of the entity over a specific period are recognised in the profit and loss account over that period.
Grants towards fixed assets are recognised over the expected useful lives of the related assets and are treated as deferred income and released to the profit and loss account over the useful life of the asset concerned.
All grants in the profit and loss account are recognised when all conditions for receipt have been complied with.
2.10. Research and development
Expenditure on research and development is written off in the year in which it is incurred.
3. Other Operating Income
2024 2023
£ £
Grant income 6,189 -
Other operating income 88,116 37,477
94,305 37,477
4. Operating Profit
The operating profit is stated after charging:
2024 2023
£ £
Research and Development Costs 535 18,487
Depreciation of tangible fixed assets 45,492 37,063
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5. Auditor's Remuneration
Remuneration received by the company's auditors and their associates during the year was as follows:
2024 2023
£ £
Audit Services
Audit of the company's financial statements 10,000 7,500
6. Staff Costs
Staff costs, including directors' remuneration, were as follows:
2024 2023
£ £
Wages and salaries 2,162,701 2,016,153
Social security costs 226,319 220,654
Other pension costs 60,123 52,996
2,449,143 2,289,803
7. Average Number of Employees
Average number of employees, including directors, during the year was as follows:
2024 2023
Office and administration 25 24
Manufacturing 29 30
54 54
8. Directors' remuneration
2024 2023
£ £
Emoluments 465,760 618,556
Company contributions to money purchase pension schemes 10,468 10,383
476,228 628,939
The number of directors to whom retirement benefits were accruing was as follows:
2024 2023
Defined benefit pension schemes 4 4
Information regarding the highest paid director was as follows:
2024 2023
£ £
Emoluments 100,800 130,301
Company contributions to defined benefit pension schemes - 2,599
100,800 132,900
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9. Interest Receivable and Similar Income
2024 2023
£ £
Bank interest receivable 43,187 5,279
Other interest receivable 23 -
43,210 5,279
10. Interest Payable and Similar Charges
2024 2023
£ £
Late payment tax charges - 91
11. Tax on Profit
The tax charge on the profit for the year was as follows:
Tax Rate 2024 2023
2024 2023 £ £
Current tax
UK Corporation Tax 25.0% 19.0% 229,889 50,979
Deferred Tax
Deferred taxation 11,523 (3,193 )
Total tax charge for the period 241,412 47,786
The actual charge for the year can be reconciled to the expected charge for the year based on the profit and the standard rate of corporation tax as follows:
2024 2023
£ £
Profit before tax 928,599 468,754
Tax on profit at 25% (UK standard rate) 232,150 89,063
Goodwill/depreciation not allowed for tax 11,373 7,042
Capital allowances (13,634 ) (3,548 )
Deferred tax from unrecognised tax loss or credit 11,523 (3,193 )
Exercise of employee share options - (41,578 )
Total tax charge for the period 241,412 47,786
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12. Tangible Assets
Land & Property
Freehold property Plant & Machinery Fixtures & Fittings Computer Equipment Total
£ £ £ £ £
Cost
As at 1 April 2023 967,918 773,870 270,267 11,548 2,023,603
Additions - 36,462 798 16,063 53,323
As at 31 March 2024 967,918 810,332 271,065 27,611 2,076,926
Depreciation
As at 1 April 2023 241,102 723,791 265,198 8,105 1,238,196
Provided during the period 14,536 21,635 1,467 7,854 45,492
As at 31 March 2024 255,638 745,426 266,665 15,959 1,283,688
Net Book Value
As at 31 March 2024 712,280 64,906 4,400 11,652 793,238
As at 1 April 2023 726,816 50,079 5,069 3,443 785,407
13. Stocks
2024 2023
£ £
Stock 2,857,831 2,776,903
Work in progress 562,552 661,154
3,420,383 3,438,057
14. Debtors
2024 2023
£ £
Due within one year
Trade debtors 962,901 1,006,178
Prepayments and accrued income 69,080 150,854
Other debtors 15,231 6,434
1,047,212 1,163,466
15. Creditors: Amounts Falling Due Within One Year
2024 2023
£ £
Trade creditors 200,002 242,312
Other creditors 40,674 111,419
Corporation tax 229,889 50,979
Taxation and social security 58,312 173,785
Accruals and deferred income 198,425 99,908
727,302 678,403
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16. Deferred Taxation
The provision for deferred tax is made up as follows:
2024 2023
£ £
Accelerated capital allowances 18,858 7,335
17. Provisions for Liabilities
Deferred Tax Total
£ £
As at 1 April 2023 7,335 7,335
Additions 11,523 11,523
Balance at 31 March 2024 18,858 18,858
18. Share Capital
2024 2023
Allotted, called up and fully paid £ £
7,040 Ordinary Shares of £ 1.00 each 7,040 7,040
960 Ordinary A shares of £ 1.00 each 960 960
8,000 8,000
19. Pension Commitments
The company operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the company in an independently administered fund.
During the year the charge to profit or loss in respect of defined contribution schemes was £60,123 (2023: £52,996).
At the balance sheet date contributions of £15,092 (2023: £12,734) were due to the fund and are included in creditors.
20. Dividends
2024 2023
£ £
On equity shares:
Interim dividend paid 300,000 300,000
21. Related Party Disclosures
Key management personnel (including directors) received compensation of £476,228 (2023: £628,939)
476,228 628,939
During the year, total dividends of £300,000 (2023 £300,000) were paid to the directors.
During the year rent of £14,400 (2023 £14,400) was paid to Mrs I F Tavener a director of the company.
22. Controlling Parties
The company's ultimate controlling party is Mrs I F Tavener by virtue of her interest in the share capital of the company.
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