Company registration number 01694905 (England and Wales)
SCOTLINE LIMITED
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
SCOTLINE LIMITED
COMPANY INFORMATION
Directors
Mr Peter Millatt
Ms Cindy Crancher
Mr Jonathan Millatt
Mr Robert Millatt
Secretary
Mr Peter Millatt
Company number
01694905
Registered office
75 Main Road
Gidea Park
Essex
RM2 5EL
Auditor
Caton Fry & Co Ltd
Essex House
7-8 The Shrubberies
George Lane
South Woodford
London
E18 1BD
Bankers
Barclays Bank Plc
Priory Place
Level 3
New London Road
Chelmford
Essex
England
CM2 0PP
SCOTLINE LIMITED
CONTENTS
Page
Strategic report
1 - 3
Directors' report
4
Directors' responsibilities statement
5
Independent auditor's report
6 - 9
Group profit and loss account
10
Group statement of comprehensive income
11
Group balance sheet
12
Company balance sheet
13
Group statement of changes in equity
14
Group statement of cash flows
15
Notes to the financial statements
16 - 32
SCOTLINE LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 31 MARCH 2024
- 1 -

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

 

Scotline Ltd is a maritime logistics company operating a modern fleet of 10 vessels across three terminals. The business structure includes three wholly-owned subsidiaries: Scotline Ship Owners Limited, Riverside Ace Ltd, and Riverside Dart Ltd, alongside a 25% shareholding in the associated company Scotline Marine Holding Ltd.

 

Financial Overview

For the year ended 31 March 2024, the group's operating profit amounted to £760,542 (2023: £2,179,482). The balance sheet highlights net assets of £14,043,437 (2023: £14,104,564), with a cash position of £2,322,670 (2023: £4,985,958).

Sustainability and Social Responsibility

Scotline remains committed to sustainability by exceeding environmental compliance standards ahead of regulatory timelines. The company actively invests in the adoption of cleaner fuels and modern eco-friendly equipment, including ballast water treatment systems, ensuring compliance with future maritime safety and environmental regulations. Additionally, Scotline’s partnerships with local port authorities and suppliers foster robust community engagement and support regional economies.

 

Principal risks and uncertainties

Scotline faces various financial risks, including currency fluctuations, credit risk, liquidity risk, and interest rate risk. Currency risk is the primary concern, as exchange rate changes can impact voyage expenses across Europe. The company has mitigated this through agreements with major clients, such as a large Swedish customer paying freight in sterling, and the use of a multi-currency bank account. Scotline's risk management program monitors debt and finance costs to reduce adverse effects on financial performance.

The company does not engage in derivative financial instruments to manage interest rate costs, and no hedge accounting is applied. Future risks, such as stricter carbon emissions legislation, have been addressed through investments in modern vessels and technology.

The directors directly oversee financial risk management, ensuring timely and direct responses to emerging challenges.

Liquidity Risk

Scotline actively manages short-term debt finance to ensure sufficient funds are available for operations and planned expansions.

Interest Rate Risk

The company has interest-bearing liabilities and follows a policy of maintaining a mix of fixed and floating rates to ensure predictability in interest cash flows. The directors will reassess this policy if the company's operations significantly change in size or scope.

Employees

Scotline is committed to attracting and retaining the most qualified individuals, regardless of age, religion, gender, sexual orientation, ethnic origin, or other non-work-related factors. Employees are provided with relevant business information before their start date through an induction process that includes a health questionnaire, health and safety training, an anti-bribery policy, and a skills and qualifications assessment. Regular training is provided to meet Shipping Industry Standards.

SCOTLINE LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 2 -
Key performance indicators

 

The key financial performance indicators for the group are as follows:

 

Indicator

2024

2023

Change (%)

Turnover

£58,451,836

£63,388,138

(7.79%)

Gross Profit

£4,485,655

£5,146,636

(12.8%)

Operating Profit

£760,542

£2,179,482

(65.1%)

Net Assets

£14,043,437

£14,104,564

(0.43%)

Cash Position

£2,322,670

£4,985,958

(53.42%)

 

Company Performance

Client satisfaction has steadily improved, largely due to the strong relationships built with existing customers. Scotline has successfully grown its customer base, increasing both its size and profitability. Scotline strengthens its supplier relationships by securing long-term agreements, ensuring consistent collaboration and supply chain reliability for future operations.

Employee Satisfaction

Staff retention remains high, strengthened by regular training and skills development programs tailored to meet industry standards, ensuring a well-qualified workforce capable of meeting operational demands.

General Overview

As the effects of the pandemic subside, the ongoing conflict between Russia and Ukraine has led to significant increases in the cost of oil and other resources, causing a ripple effect throughout the industry. Scotline's directors have managed the situation as best as possible.

SCOTLINE LIMITED
STRATEGIC REPORT (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 3 -
Corporate Governance Statement

 

At Scotline Ltd, we are committed to maintaining high standards of corporate governance, reflecting our responsibility to stakeholders and our goal of long-term sustainable success.

1. Board Leadership and Company Purpose

Our board is dedicated to leading Scotline in a manner that aligns with our core values of sustainability, operational excellence, and ethical conduct. The board’s primary role is to set the company’s strategic direction, ensuring it is aligned with both our commercial objectives and our responsibilities toward environmental stewardship.

We are committed to fostering a culture of integrity and transparency within the company, encouraging open communication, and promoting best practices throughout our organisation.

2. Division of Responsibilities

We ensure a clear division of responsibilities at the organisation's top to provide effective leadership and oversight.

3. Composition, Succession, and Evaluation

The board of directors at Scotline Ltd comprises individuals with a diverse range of expertise, including logistics, maritime operations, sustainability, and risk management. This diversity enables us to consider multiple perspectives in decision-making and enhances our ability to respond to the challenges of a rapidly evolving industry.

We are committed to reviewing the performance of the board annually and to ensuring that we have the right skills and succession plans in place to lead the company effectively into the future.

4. Audit, Risk, and Internal Control

We take a proactive approach to managing risk and ensuring the robustness of our internal controls. We actively monitor key risks such as fuel price volatility, regulatory changes, and supply chain disruptions, and take steps to mitigate these risks through long-term planning and strategic partnerships.

5. Stakeholder Engagement

In accordance with Section 172 of the Companies Act, we are committed to engaging with a broad range of stakeholders, including employees, customers, suppliers, and local communities. We aim to balance the interests of these stakeholders in our decision-making processes to ensure long-term value creation and operational sustainability.

On behalf of the board

Mr Peter Millatt
Director
17 December 2024
SCOTLINE LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 MARCH 2024
- 4 -

The directors present their annual report and financial statements for the year ended 31 March 2024.

Principal activities

The principal activity of the company continued to be that of the provision of ship-chartering services for the transporting of steel and timber products from Scandinavia and the Baltic to the UK and Republic of Ireland.

Results and dividends

The results for the year are set out on page 10.

Ordinary dividends were paid amounting to £6,000. The directors do not recommend payment of a further dividend.

Directors

The directors who held office during the year and up to the date of signature of the financial statements were as follows:

Mr Peter Millatt
Ms Cindy Crancher
Mr Roy Brooks
(Resigned 31 May 2024)
Miss Marion Osborne
(Resigned 2 February 2024)
Mr Jonathan Millatt
Mr Robert Millatt
Auditor

The auditor, Caton Fry & Co Ltd, is deemed to be reappointed under section 487(2) of the Companies Act 2006.

Energy and carbon report

As the group has not consumed more than 40,000 kWh of energy in this reporting period, it qualifies as a low energy user under these regulations and is not required to report on its emissions, energy consumption or energy efficiency activities.

Statement of disclosure to auditor

So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the auditor of the company is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the auditor of the company is aware of that information.

On behalf of the board
Mr Peter Millatt
Director
17 December 2024
SCOTLINE LIMITED
DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 31 MARCH 2024
- 5 -

The directors are responsible for preparing the Annual 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 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 group and company, and of the profit or loss of the group for that period. In preparing these financial statements, the directors are required to:

 

 

The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the group’s and company’s transactions and disclose with reasonable accuracy at any time the financial position of the group and 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 group and company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities.

SCOTLINE LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF SCOTLINE LIMITED
- 6 -
Opinion

We have audited the financial statements of Scotline Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 31 March 2024 which comprise the group profit and loss account, the group statement of comprehensive income, the group balance sheet, the company balance sheet, the group statement of cash flows and notes to the financial statements, including 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:

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 group and parent 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 group's and parent 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 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. 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 course of 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 our audit:

SCOTLINE LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF SCOTLINE LIMITED
- 7 -
Matters on which we are required to report by exception

In the light of the knowledge and understanding of the group and the parent company and their 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:

Responsibilities of directors

As explained more fully in the directors' responsibilities statement, 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 parent 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 parent 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.

SCOTLINE LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF SCOTLINE LIMITED
- 8 -

Irregularities, including fraud, are instances of non-compliance with laws and regulations. 

 

We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud.  The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below.

 

Our approach was as follows:

The key laws and regulations we have considered in this context included the Companies Act and tax legislation.  In addition, we have considered provisions of other laws and regulation that do not have a direct effect on the financial statements but compliance with which may be fundamental to the company’s ability to operate or to avoid a material penalty.

 

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

- Carrying out an accounts disclosure checklist to confirm that the financial statements comply with the      financial reporting framework.

    - reviewed the accounting policies adopted by the entity were in line with standard practice and were     being followed appropriately by the company.

 

The engagement partner considers the engagement team collectively had the appropriate competence and capabilities to identify or recognise non-compliance with laws and regulations.

 

There are inherent limitations in the audit procedures, described above and the further removed non-compliance with laws and regulations is from events and transactions reflected in the financial statements, the less likely we would become aware of it.  Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion

 

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report.

SCOTLINE LIMITED
INDEPENDENT AUDITOR'S REPORT (CONTINUED)
TO THE MEMBERS OF SCOTLINE LIMITED
- 9 -

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 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.

Mr Jonathan Caton (Statutory Auditor)
For and on behalf of Caton Fry & Co Ltd
17 December 2024
Chartered Accountants
Statutory Auditor
Essex House
7-8 The Shrubberies
George Lane
South Woodford
London
E18 1BD
SCOTLINE LIMITED
GROUP PROFIT AND LOSS ACCOUNT
FOR THE YEAR ENDED 31 MARCH 2024
- 10 -
2024
2023
Notes
£
£
Turnover
3
58,451,836
63,388,138
Cost of sales
(53,966,181)
(58,241,502)
Gross profit
4,485,655
5,146,636
Administrative expenses
(3,725,113)
(2,966,794)
Other operating expenses
-
(360)
Operating profit
4
760,542
2,179,482
Interest receivable and similar income
36,007
-
0
Profit before taxation
796,549
2,179,482
Tax on profit
8
(222,572)
(316,466)
Profit for the financial year
573,977
1,863,016
Profit for the financial year is all attributable to the owners of the parent company.

The profit and loss account has been prepared on the basis that all operations are continuing operations.

SCOTLINE LIMITED
GROUP STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 MARCH 2024
- 11 -
2024
2023
£
£
Profit for the year
573,977
1,863,016
Other comprehensive income
Revaluation of tangible fixed assets
-
0
1,366,214
Other comprehensive income of associates accounted for using the equity method
161,194
112,385
Tax relating to other comprehensive income
(40,298)
(325,467)
Other comprehensive income for the year
120,896
1,153,132
Total comprehensive income for the year
694,873
3,016,148
Total comprehensive income for the year is all attributable to the owners of the parent company.
SCOTLINE LIMITED
GROUP BALANCE SHEET
AS AT
31 MARCH 2024
31 March 2024
- 12 -
2024
2023
Notes
£
£
£
£
Fixed assets
Tangible assets
10
3,402,865
3,585,298
Investments
11
5,527,749
5,366,555
8,930,614
8,951,853
Current assets
Debtors
14
13,372,991
13,374,458
Cash at bank and in hand
2,322,670
4,985,958
15,695,661
18,360,416
Creditors: amounts falling due within one year
15
(9,031,119)
(11,690,753)
Net current assets
6,664,542
6,669,663
Total assets less current liabilities
15,595,156
15,621,516
Provisions for liabilities
Deferred tax liability
16
1,551,719
1,516,952
(1,551,719)
(1,516,952)
Net assets
14,043,437
14,104,564
Capital and reserves
Called up share capital
18
30,302
31,802
Revaluation reserve
3,608,876
3,487,980
Capital redemption reserve
1,500
-
0
Profit and loss reserves
10,402,759
10,584,782
Total equity
14,043,437
14,104,564
The financial statements were approved by the board of directors and authorised for issue on 17 December 2024 and are signed on its behalf by:
17 December 2024
Mr Peter Millatt
Director
Company registration number 01694905 (England and Wales)
SCOTLINE LIMITED
COMPANY BALANCE SHEET
AS AT 31 MARCH 2024
31 March 2024
- 13 -
2024
2023
Notes
£
£
£
£
Fixed assets
Tangible assets
10
552,865
585,298
Investments
11
3,693,297
3,783,297
4,246,162
4,368,595
Current assets
Debtors
14
13,320,884
13,258,938
Cash at bank and in hand
2,309,947
4,980,360
15,630,831
18,239,298
Creditors: amounts falling due within one year
15
(8,920,410)
(11,401,769)
Net current assets
6,710,421
6,837,529
Total assets less current liabilities
10,956,583
11,206,124
Provisions for liabilities
Deferred tax liability
16
129,525
135,701
(129,525)
(135,701)
Net assets
10,827,058
11,070,423
Capital and reserves
Called up share capital
18
30,302
31,802
Capital redemption reserve
1,500
-
0
Profit and loss reserves
10,795,256
11,038,621
Total equity
10,827,058
11,070,423

As permitted by s408 Companies Act 2006, the company has not presented its own profit and loss account and related notes. The company’s profit for the year, after tax, was £512,636 (2023 - £1,464,323 profit).

The financial statements were approved by the board of directors and authorised for issue on 17 December 2024 and are signed on its behalf by:
17 December 2024
Mr Peter Millatt
Director
Company registration number 01694905 (England and Wales)
SCOTLINE LIMITED
GROUP STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 MARCH 2024
- 14 -
Share capital
Revaluation reserve
Capital redemption reserve
Profit and loss reserves
Total
Notes
£
£
£
£
£
Balance at 1 April 2022
31,802
2,334,848
-
0
8,735,766
11,102,416
Year ended 31 March 2023:
Profit for the year
-
-
-
1,863,016
1,863,016
Other comprehensive income:
Revaluation of tangible fixed assets
-
1,366,214
-
-
1,366,214
Other comprehensive income of associates and jointly controlled entities accounted for using the equity method
-
112,385
-
-
112,385
Tax relating to other comprehensive income
-
(325,467)
-
-
0
(325,467)
Total comprehensive income for the year
-
1,153,132
-
1,863,016
3,016,148
Dividends
9
-
-
-
(14,000)
(14,000)
Balance at 31 March 2023
31,802
3,487,980
-
0
10,584,782
14,104,564
Year ended 31 March 2024:
Profit for the year
-
-
-
573,977
573,977
Other comprehensive income:
Other comprehensive income of associates and jointly controlled entities accounted for using the equity method
-
161,194
-
-
161,194
Tax relating to other comprehensive income
-
(40,298)
-
-
0
(40,298)
Total comprehensive income for the year
-
120,896
-
573,977
694,873
Dividends
9
-
-
-
(6,000)
(6,000)
Own shares acquired
-
-
-
(750,000)
(750,000)
Redemption of shares
18
(1,500)
-
1,500
-
-
Balance at 31 March 2024
30,302
3,608,876
1,500
10,402,759
14,043,437
SCOTLINE LIMITED
GROUP STATEMENT OF CASH FLOWS
FOR THE YEAR ENDED 31 MARCH 2024
- 15 -
2024
2023
Notes
£
£
£
£
Cash flows from operating activities
Cash (absorbed by)/generated from operations
22
(1,427,924)
3,279,580
Income taxes (paid)/refunded
(505,038)
56,308
Net cash (outflow)/inflow from operating activities
(1,932,962)
3,335,888
Investing activities
Purchase of tangible fixed assets
(10,334)
(721)
Purchase of investments
-
(200)
Interest received
36,007
-
0
Net cash generated from/(used in) investing activities
25,673
(921)
Financing activities
Redemption of shares
(750,000)
-
0
Payment of finance leases obligations
-
(14,165)
Dividends paid to equity shareholders
(6,000)
(14,000)
Net cash used in financing activities
(756,000)
(28,165)
Net (decrease)/increase in cash and cash equivalents
(2,663,288)
3,306,802
Cash and cash equivalents at beginning of year
4,985,958
1,679,156
Cash and cash equivalents at end of year
2,322,670
4,985,958
SCOTLINE LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 MARCH 2024
- 16 -
1
Accounting policies
Company information

Scotline Limited (“the company”) is a private limited company domiciled and incorporated in England and Wales. The registered office is 75 Main Road, Gidea Park, Romford, Essex, RM2 5EL.

 

The group consists of Scotline Limited and all of its subsidiaries.

1.1
Accounting convention

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.

The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £.

The financial statements have been prepared under the historical cost convention, modified to include the revaluation of plant and machinery and investments in associates at fair value. The principal accounting policies adopted are set out below.

1.2
Business combinations

In the parent company financial statements, the cost of a business combination is the fair value at the acquisition date of the assets given, equity instruments issued and liabilities incurred or assumed, plus costs directly attributable to the business combination. The excess of the cost of a business combination over the fair value of the identifiable assets, liabilities and contingent liabilities acquired is recognised as goodwill. The cost of the combination includes the estimated amount of contingent consideration that is probable and can be measured reliably, and is adjusted for changes in contingent consideration after the acquisition date. Provisional fair values recognised for business combinations in previous periods are adjusted retrospectively for final fair values determined in the 12 months following the acquisition date. Investments in subsidiaries, joint ventures and associates are accounted for at cost less impairment.

 

Deferred tax is recognised on differences between the value of assets (other than goodwill) and liabilities recognised in a business combination accounted for using the purchase method and the amounts that can be deducted or assessed for tax, considering the manner in which the carrying amount of the asset or liability is expected to be recovered or settled. The deferred tax recognised is adjusted against goodwill or negative goodwill.

1.3
Basis of consolidation

The consolidated group financial statements consist of the financial statements of the parent company Scotline Limited together with all entities controlled by the parent company (its subsidiaries) and the group’s share of its interests in joint ventures and associates.

 

All financial statements are made up to 31 March 2024. Where necessary, adjustments are made to the financial statements of subsidiaries to bring the accounting policies used into line with those used by other members of the group.

 

All intra-group transactions, balances and unrealised gains on transactions between group companies are eliminated on consolidation. Unrealised losses are also eliminated unless the transaction provides evidence of an impairment of the asset transferred.

Subsidiaries are consolidated in the group’s financial statements from the date that control commences until the date that control ceases.

SCOTLINE LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 17 -

Entities in which the group holds an interest and which are jointly controlled by the group and one or more other venturers under a contractual arrangement are treated as joint ventures. Entities other than subsidiary undertakings or joint ventures, in which the group has a participating interest and over whose operating and financial policies the group exercises a significant influence, are treated as associates.

Investments in joint ventures and associates are carried in the group balance sheet at cost plus post-acquisition changes in the group’s share of the net assets of the entity, less any impairment in value. The carrying values of investments in joint ventures and associates include acquired goodwill.

 

If the group’s share of losses in a joint venture or associate equals or exceeds its investment in the joint venture or associate, the group does not recognise further losses unless it has incurred obligations to do so or has made payments on behalf of the joint venture or associate.

 

Unrealised gains arising from transactions with joint ventures and associates are eliminated to the extent of the group’s interest in the entity.

1.4
Going concern

At the time of approving the financial statements, the directors have a reasonable expectation that the group has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

1.5
Turnover

Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.

 

When cash inflows are deferred and represent a financing arrangement, the fair value of the consideration is the present value of the future receipts. The difference between the fair value of the consideration and the nominal amount received is recognised as interest income.

Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.

1.6
Tangible fixed assets

Other than as stated in Note 10 Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Plant and equipment
25% on cost
Computers
25% on cost

The gain or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset, and is recognised in the profit and loss account.

SCOTLINE LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 18 -
1.7
Fixed asset investments

Equity investments are measured at fair value through profit or loss, except for those equity investments that are not publicly traded and whose fair value cannot otherwise be measured reliably, which are recognised at cost less impairment until a reliable measure of fair value becomes available.

 

In the parent company financial statements, investments in subsidiaries, associates and jointly controlled entities are initially measured at cost and subsequently measured at cost less any accumulated impairment losses.

A subsidiary is an entity controlled by the group. Control is the power to govern the financial and operating policies of the entity so as to obtain benefits from its activities.

An associate is an entity, being neither a subsidiary nor a joint venture, in which the company holds a long-term interest and where the company has significant influence. The group considers that it has significant influence where it has the power to participate in the financial and operating decisions of the associate.

 

In the consolidated financial statements Investments in associates are initially recognised at the transaction price (including transaction costs) and are subsequently adjusted to reflect the group’s share of the profit or loss, other comprehensive income and equity of the associate using the equity method. Any difference between the cost of acquisition and the share of the fair value of the net identifiable assets of the associate on acquisition is recognised as goodwill. Any unamortised balance of goodwill is included in the carrying value of the investment in associates.

 

Losses in excess of the carrying amount of an investment in an associate are recorded as a provision only when the company has incurred legal or constructive obligations or has made payments on behalf of the associate.

 

In the parent company financial statements, investments in associates are accounted for at cost less impairment.

Entities in which the group has a long term interest and shares control under a contractual arrangement are classified as jointly controlled entities.

1.8
Impairment of fixed assets

At each reporting period end date, the group reviews the carrying amounts of its tangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

 

The carrying amount of the investments accounted for using the equity method is tested for impairment as a single asset. Any goodwill included in the carrying amount of the investment is not tested separately for impairment.

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

 

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

SCOTLINE LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 19 -

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

1.9
Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.10
Financial instruments

The group has elected to apply the provisions of Section 11 ‘Basic Financial Instruments’ and Section 12 ‘Other Financial Instruments Issues’ of FRS 102 to all of its financial instruments.

 

Financial instruments are recognised in the group's balance sheet when the group becomes party to the contractual provisions of the instrument.

 

Financial assets and liabilities are offset and the net amounts presented in the financial statements when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors and cash and bank balances, are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method unless the arrangement constitutes a financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Other financial assets

Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.

Impairment of financial assets

Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.

 

Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.

 

If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.

SCOTLINE LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 20 -
Derecognition of financial assets

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the group transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

Classification of financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the group after deducting all of its liabilities.

Basic financial liabilities

Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

 

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

 

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Other financial liabilities

Derivatives, including interest rate swaps and forward foreign exchange contracts, are not basic financial instruments. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss in finance costs or finance income as appropriate, unless hedge accounting is applied and the hedge is a cash flow hedge.

 

Debt instruments that do not meet the conditions in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. Debt instruments may be designated as being measured at fair value through profit or loss to eliminate or reduce an accounting mismatch or if the instruments are measured and their performance evaluated on a fair value basis in accordance with a documented risk management or investment strategy.

Derecognition of financial liabilities

Financial liabilities are derecognised when the group's contractual obligations expire or are discharged or cancelled.

1.11
Equity instruments

Equity instruments issued by the group are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the group.

SCOTLINE LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
1
Accounting policies
(Continued)
- 21 -
1.12
Derivatives

Derivatives are initially recognised at fair value at the date a derivative contract is entered into and are subsequently remeasured to fair value at each reporting end date. The resulting gain or loss is recognised in profit or loss immediately unless the derivative is designated and effective as a hedging instrument, in which event the timing of the recognition in profit or loss depends on the nature of the hedge relationship.

 

A derivative with a positive fair value is recognised as a financial asset, whereas a derivative with a negative fair value is recognised as a financial liability.

1.13
Taxation

The tax expense represents the sum of the tax currently payable and deferred tax.

Current tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The group’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

Deferred tax

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

 

The carrying amount of deferred tax assets is reviewed at each reporting end date 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 is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset if, and only if, there is a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.

1.14
Employee benefits

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

 

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

 

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.15
Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

1.16
Foreign exchange

Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.

SCOTLINE LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 22 -
2
Judgements and key sources of estimation uncertainty

In the application of the group’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

 

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

 

The judgements that will have the most significant effect on the amounts recognised in the financial statements are as follows:

 

 

3
Turnover and other revenue

An analysis of the group's turnover is as follows:

2024
2023
£
£
Turnover analysed by geographical market
Scandanavia
21,750,529
22,767,756
UK
29,559,004
31,887,000
Rest of World
7,142,303
8,733,382
58,451,836
63,388,138
2024
2023
£
£
Other revenue
Interest income
36,007
-
4
Operating profit
2024
2023
£
£
Operating profit for the year is stated after charging:
Depreciation of owned tangible fixed assets
192,767
131,692
5
Auditor's remuneration
2024
2023
Fees payable to the company's auditor and associates:
£
£
For audit services
Audit of the financial statements of the group and company
33,200
41,100
SCOTLINE LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
5
Auditor's remuneration
(Continued)
- 23 -
For other services
Taxation compliance services
1,215
1,435
All other non-audit services
5,955
7,035
7,170
8,470
6
Employees

The average monthly number of persons (including directors) employed by the group and company during the year was:

Group
Company
2024
2023
2024
2023
Number
Number
Number
Number
Employees
32
34
32
28
Directors
6
6
6
6
Total
38
40
38
34

Their aggregate remuneration comprised:

Group
Company
2024
2023
2024
2023
£
£
£
£
Wages and salaries
2,849,589
2,629,723
2,433,310
2,264,634
Social security costs
284,004
282,173
284,004
282,173
Pension costs
116,308
27,159
116,308
27,159
3,249,901
2,939,055
2,833,622
2,573,966
7
Directors' remuneration
2024
2023
£
£
Remuneration for qualifying services
858,020
825,679
Company pension contributions to defined contribution schemes
85,614
3,963
943,634
829,642

The number of directors for whom retirement benefits are accruing under defined contribution schemes amounted to 3 (2023 - 3).

SCOTLINE LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
7
Directors' remuneration
(Continued)
- 24 -
Remuneration disclosed above includes the following amounts paid to the highest paid director:
2024
2023
£
£
Remuneration for qualifying services
140,100
136,800
8
Taxation
2024
2023
£
£
Current tax
UK corporation tax on profits for the current period
242,083
346,798
Adjustments in respect of prior periods
(13,980)
(37,306)
Total current tax
228,103
309,492
Deferred tax
Origination and reversal of timing differences
(5,531)
6,974
Total tax charge
222,572
316,466

The actual charge for the year can be reconciled to the expected charge for the year based on the profit or loss and the standard rate of tax as follows:

2024
2023
£
£
Profit before taxation
796,549
2,179,482
Expected tax charge based on the standard rate of corporation tax in the UK of 25.00% (2023: 19.00%)
199,137
414,102
Tax effect of expenses that are not deductible in determining taxable profit
93,445
10,095
Change in unrecognised deferred tax assets
5,491
6,974
Permanent capital allowances in excess of depreciation
(61,521)
(116,117)
Depreciation on assets not qualifying for tax allowances
-
0
1,412
Under/(over) provided in prior years
(13,980)
-
0
Taxation charge
222,572
316,466
SCOTLINE LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
8
Taxation
(Continued)
- 25 -

In addition to the amount charged to the profit and loss account, the following amounts relating to tax have been recognised directly in other comprehensive income:

2024
2023
£
£
Deferred tax arising on:
Revaluation of property
-
324,237
Revaluation of investments
40,298
-
40,298
324,237
9
Dividends
2024
2023
Recognised as distributions to equity holders:
£
£
Interim paid
6,000
14,000
10
Tangible fixed assets
Group
Plant and equipment
Computers
Total
£
£
£
Cost or valuation
At 1 April 2023
4,685,798
8,782
4,694,580
Additions
-
0
10,334
10,334
At 31 March 2024
4,685,798
19,116
4,704,914
Depreciation and impairment
At 1 April 2023
1,101,277
8,005
1,109,282
Depreciation charged in the year
190,709
2,058
192,767
At 31 March 2024
1,291,986
10,063
1,302,049
Carrying amount
At 31 March 2024
3,393,812
9,053
3,402,865
At 31 March 2023
3,584,521
777
3,585,298
SCOTLINE LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
10
Tangible fixed assets
(Continued)
- 26 -
Company
Plant and equipment
Computers
Total
£
£
£
Cost or valuation
At 1 April 2023
1,685,798
8,782
1,694,580
Additions
-
0
10,334
10,334
At 31 March 2024
1,685,798
19,116
1,704,914
Depreciation and impairment
At 1 April 2023
1,101,277
8,005
1,109,282
Depreciation charged in the year
40,709
2,058
42,767
At 31 March 2024
1,141,986
10,063
1,152,049
Carrying amount
At 31 March 2024
543,812
9,053
552,865
At 31 March 2023
584,521
777
585,298

The Scot Bay Ship, reflected in Plant and Equipment, with a carrying amount of £1,633,786, was revalued at 31 March 2023 by JR Ship Brokers & Consultants, independent valuers not connected with the company on the basis of market value. The valuation conforms to International Valuation Standards and was based on recent market transactions on arm's length terms for similar vessels.

The Scot Bay is an asset of the subsidiary company, Scotline Ship Owners Limited, and so is not reflected in the company accounts.

 

The Scot Bay is carried at valuation. If it was measured using the cost model, the carrying amounts for the group would have been as per the below.

 

 

2024
2023
£
£
Group
Cost
1,815,318
1,815,318
Accumulated depreciation
(272,298)
(181,532)
Carrying value
1,543,020
1,633,786
SCOTLINE LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 27 -
11
Fixed asset investments
Group
Company
2024
2023
2024
2023
Notes
£
£
£
£
Investments in subsidiaries
12
200
200
300
300
Loans to subsidiaries
12
-
0
-
0
1,552,198
1,642,198
Investments in associates
13
3,586,750
3,425,556
200,000
200,000
Loans to associates
13
1,940,799
1,940,799
1,940,799
1,940,799
5,527,749
5,366,555
3,693,297
3,783,297
Movements in fixed asset investments
Group
Shares in subsidiaries and associates
Loans to associates
Total
£
£
£
Cost or valuation
At 1 April 2023
3,425,756
1,940,799
5,366,555
Valuation changes
161,194
-
161,194
At 31 March 2024
3,586,950
1,940,799
5,527,749
Carrying amount
At 31 March 2024
3,586,950
1,940,799
5,527,749
At 31 March 2023
3,425,756
1,940,799
5,366,555

As stated in Note 13 Scotline has a 25% holding in Scotline Marine Holdings Limited. The fair value of this holding is reflected in the consolidated financial statements as the share in the proportion of the net assets of Scotline Marine Holdings at 31 March 2024.

Movements in fixed asset investments
Company
Shares in subsidiaries and associates
Loans to subsidiaries and associates
Total
£
£
£
Cost or valuation
At 1 April 2023
200,300
3,582,997
3,783,297
Repayments
-
(90,000)
(90,000)
At 31 March 2024
200,300
3,492,997
3,693,297
Carrying amount
At 31 March 2024
200,300
3,492,997
3,693,297
At 31 March 2023
200,300
3,582,997
3,783,297
SCOTLINE LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 28 -
12
Subsidiaries

Details of the company's subsidiaries at 31 March 2024 are as follows:

Name of undertaking
Registered office
Nature of business
Class of
% Held
shares held
Direct
Scotline Ship Owners Limited
England & Wales
Freight and Shipping
Ordinary
100.00
Riverside Ace Limited
England & Wales
Freight and Shipping
Ordinary
100.00
Riverside Dart Limited
England & Wales
Freight and Shipping
Ordinary
100.00

Riverside Ace Limited and Riverside Dart Limited were incorporated in March 2023 with Scotline Ltd owning £100 of ordinary shares in both companies. The first set of financial statements due for both companies will be for the period ended 31 March 2024. As both companies were dormant to the 31 March 2024, these companies are not included in the consolidated financial statements. All other subsidiaries have been included in the consolidation.

 

Scotline Ship Owners Limited is exempt from the requirements of the Companies Act 2006 relating to the audit of its individual accounts by virtue of section 479A.

13
Associates

These financial statements are separate company financial statements for Scotline Marine Holdings Limited.

Details of associates at 31 March 2024 are as follows:

Name of undertaking
Registered office
Nature of business
Class of
% Held
shares held
Direct
Scotline Marine Holdings Limited
Scotland
Freight Shipping
Ordinary
25
14
Debtors
Group
Company
2024
2023
2024
2023
Amounts falling due within one year:
£
£
£
£
Trade debtors
8,377,592
9,116,330
8,377,590
9,116,330
Corporation tax recoverable
113,051
-
0
113,051
-
0
Other debtors
4,713,091
4,150,150
4,755,069
4,142,608
Prepayments and accrued income
169,257
107,978
75,174
-
0
13,372,991
13,374,458
13,320,884
13,258,938
SCOTLINE LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 29 -
15
Creditors: amounts falling due within one year
Group
Company
2024
2023
2024
2023
£
£
£
£
Trade creditors
4,099,955
6,768,886
4,112,752
6,713,200
Corporation tax payable
39,521
203,405
-
0
176,117
Other taxation and social security
124,317
205,620
124,317
205,620
Other creditors
4,759,283
4,486,758
4,683,341
4,306,832
Accruals and deferred income
8,043
26,084
-
0
-
0
9,031,119
11,690,753
8,920,410
11,401,769
16
Deferred taxation

Deferred tax assets and liabilities are offset where the group or company has a legally enforceable right to do so. The following is the analysis of the deferred tax balances (after offset) for financial reporting purposes:

Liabilities
Liabilities
2024
2023
Group
£
£
Accelerated capital allowances
408,861
414,393
Revaluations
1,142,858
1,102,559
1,551,719
1,516,952
Liabilities
Liabilities
2024
2023
Company
£
£
Accelerated capital allowances
129,525
135,701
Group
Company
2024
2024
Movements in the year:
£
£
Liability at 1 April 2023
1,516,952
135,701
Credit to profit or loss
(4,888)
(6,176)
Charge to other comprehensive income
40,299
-
Liability at 31 March 2024
1,552,363
129,525
Balance per TB
1,551,719
129,525
Warning - Difference exists; check stat db entries
(644)
-

 

SCOTLINE LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
- 30 -
17
Retirement benefit schemes
2024
2023
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
116,308
27,159

A defined contribution pension scheme is operated for all qualifying employees. The assets of the scheme are held separately from those of the group in an independently administered fund.

18
Share capital
Group and company
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary "A" of £1 each
30,302
31,802
30,302
31,802
19
Financial commitments, guarantees and contingent liabilities

The group is subject to issued cross corporate guarantees for the bank borrowings due to Barclays Bank plc for the following associated companies, whose bank borrowings from loans and overdrafts in use at 31 March 2024 were as follows:

Scotline Terminal (Transit) Limited: £949,928.

Intrada Engineering Limited, Intrada Chartering Limited, Intrada Ships Management Limited: £nil

20
Related party transactions
Transactions with related parties

During the year the group entered into the following transactions with related parties:

Sales
Sales
Purchases
Purchases
2024
2023
2024
2023
£
£
£
£
Group
Entities with control, joint control or significant influence over the group
412,773
444,712
2,930,063
2,699,420
Other related parties
3,450,761
866,415
-
-
Company
Entities with control, joint control or significant influence over the company
412,773
442,712
2,881,321
2,699,420
Other related parties
3,450,761
866,415
-
-
SCOTLINE LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
20
Related party transactions
(Continued)
- 31 -

The following amounts were outstanding at the reporting end date:

Amounts due to related parties
2024
2023
£
£
Group
Entities with control, joint control or significant influence over the group
3,847,615
4,382,586
Other related parties
46,385
-
Company
Entities with control, joint control or significant influence over the company
3,800,199
4,382,856
Other related parties
46,385
-

The following amounts were outstanding at the reporting end date:

Amounts due from related parties
2024
2023
Balance
Balance
£
£
Group
Entities with control, joint control or significant influence over the group
5,706,744
5,101,418
Other related parties
1,825,236
890,887
Company
Entities with control, joint control or significant influence over the company
7,287,567
6,745,351
Other related parties
1,825,236
890,887
Other information

A deed of guarantee and debenture dated 10 March 2015 securing all monies due or to become due from the company or its associated companies Scotline Terminal (Transit) Limited, Intrada Ships Management Limited, Intrada Engineering Limited and Intrada Chartering Limited to Barclays Bank plc on any account were registered at Companies House on 13 March 2015.

SCOTLINE LIMITED
NOTES TO THE GROUP FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 MARCH 2024
20
Related party transactions
(Continued)
- 32 -

Mr P T Millatt, a director of the company, and Mrs B J Milllatt also controls the following companies:

 

Scotline Terminal (Medway) Limited

Scotline Terminal (Transit) Limited

Intrada Engineering Limited

Intrada Ships Management Limited

Intrada Chartering Limited

 

During the year the company traded with the above companies as well as Koyo Trading Limited a company of which Mr P T Millatt and Ms M T F Osborne are also director off. The company also traded with Scotline Marine Holdings Limited, a company in which Mr P T Millatt, Mr R Millatt, Mr J J Millatt, Mr R W Millatt, Mr R J Brooks and Ms M T F Osborne are directors and Scotline Limited and Intrada Chartering Limited each own 25% of the issued share capital of Scotline Marine Holdings Limited.

 

Scotline Marine Holdings Limited also wholly own the following subsidiaries of which the company also traded with. The other related party companies are Hohebank Shipping Limited, Scot Carrier Shipping Limited, Scot Explorer Shipping Limited, Scot Leader Shipping Limited, Scot Mariner Shipping Limited, Scot Navigator Shipping Limited, Scot Pioneer Shipping Limited, Scot Ranger Shipping Limited, Scot Trader Shipping Limited and Scot Venture Shipping Limited.

 

21
Controlling party

The company is controlled by Mr P T & Mrs B J Millatt.

22
Cash (absorbed by)/generated from group operations
2024
2023
£
£
Profit for the year after tax
573,977
1,863,016
Adjustments for:
Taxation charged
222,572
316,466
Investment income
(36,007)
-
0
Depreciation and impairment of tangible fixed assets
192,767
131,692
Movements in working capital:
Decrease/(increase) in debtors
114,518
(639,632)
(Decrease)/increase in creditors
(2,495,751)
1,608,038
Cash (absorbed by)/generated from operations
(1,427,924)
3,279,580
23
Analysis of changes in net funds - group
1 April 2023
Cash flows
31 March 2024
£
£
£
Cash at bank and in hand
4,985,958
(2,663,288)
2,322,670
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