REGISTERED NUMBER: 10873223 (England and Wales) |
Group Strategic Report, |
Report of the Director and |
Consolidated Financial Statements |
for the Year Ended 30 April 2024 |
for |
Touch Global Holding Limited |
REGISTERED NUMBER: 10873223 (England and Wales) |
Group Strategic Report, |
Report of the Director and |
Consolidated Financial Statements |
for the Year Ended 30 April 2024 |
for |
Touch Global Holding Limited |
Touch Global Holding Limited (Registered number: 10873223) |
Contents of the Consolidated Financial Statements |
for the Year Ended 30 April 2024 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Report of the Director | 4 |
Report of the Independent Auditors | 5 |
Consolidated Income Statement | 7 |
Consolidated Other Comprehensive Income | 8 |
Consolidated Balance Sheet | 9 |
Company Balance Sheet | 10 |
Consolidated Statement of Changes in Equity | 11 |
Company Statement of Changes in Equity | 12 |
Consolidated Cash Flow Statement | 13 |
Notes to the Consolidated Cash Flow Statement | 14 |
Notes to the Consolidated Financial Statements | 15 |
Touch Global Holding Limited |
Company Information |
for the Year Ended 30 April 2024 |
DIRECTOR: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
SENIOR STATUTORY AUDITOR: | James Sewell BA(Hons) FCA CTA |
AUDITORS: |
Statutory Auditors |
Chartered Accountants & Business Advisers |
15 Newland |
Lincoln |
Lincolnshire |
LN1 1XG |
Touch Global Holding Limited (Registered number: 10873223) |
Group Strategic Report |
for the Year Ended 30 April 2024 |
The director presents his strategic report of the company and the group for the year ended 30 April 2024. |
REVIEW OF BUSINESS |
The results for the year and financial position of the group are as shown in the annexed financial statements. |
Year ended | Year ended |
30.04.2024 | 30.04.2023 |
£ | £ |
Turnover | 19,726,899 | 21,074,872 |
Cost of sales | 17,044,089 | 18,337,537 |
Gross profit | 2,682,810 | 2,737,335 |
Gross profit margin % | 13.60 | 12.99 |
Profit on ordinary activities before taxation | 2,795,820 | 2,666,905 |
% of profit on ordinary activities before taxation | 14.17 | 12.65 |
Sales are down by 6.4% and administrative expenses have increased in comparison to the previous year. This can be mainly attributed to the cost of living crisis. |
Other operating income has remained constant in line with last year and expectations. |
The group's operations and assets are well diversified and as such the levels of operational and other risks are |
considered by the directors to be acceptable. The group does have some exposure to high risk market geographical areas however, the directors are aware of the risks and impact this may bring to the group but having assessed the situation, they believe the position the group finds itself in will enable them to mitigate the risks for the long term protection of the business. |
The directors consider the group to be in a solid financial position at the financial position date, with accumulated |
distributable reserves of approximately £20.89 million. |
Management remain mindful of the competitive environment in which the company operates and the need to maintain close control over the group's working capital and financial position. |
PRINCIPAL RISKS AND UNCERTAINTIES |
The group is affected by a number of factors, the principal ones of which are: |
- The group is exposed to the risk of negative developments in financial markets and the sectors in which it operates, either directly or through the impact of the company's bankers, suppliers or customers. These developments can result in recession, inflation, deflation, restrictions in the availability of credit, impact on demand from customers, problems in the supplier bases, increases in financing costs or in the cost of utilities and raw materials. Such developments might increase operating costs, reduce revenues, lower asset values or result in the businesses being unable to meet in full their strategic objectives, |
- The group's principal supply lines include those from China and the far east and disruption to shipping routes can impact on availability of stocks and delivery times. |
- The group operates in a competitive market, and failure to compete effectively in terms of price, product specification and quality can have an adverse effect on demand and / or margins. |
The group mitigates risk in several ways: |
- The group has in place an organisational structure with clearly defined lines of responsibility and delegation of authority. There are established policies and procedures for the setting of corporate strategies; financial planning and budgeting; for information and reporting systems; for systems of operational and financial internal control; for assessment of risk; and for monitoring operations and performance. |
- Management and staff at all levels work closely with customers and suppliers to operate as effectively and efficiently as possible, whilst maintaining long term working relationships, innovation and good lines of communication. |
- The group operates a recruitment and selection process to ensure employees are experienced and competent in their work. The workforce is trained to be alert, responsive to customer needs, and to operate in line with the company's corporate objectives. |
Touch Global Holding Limited (Registered number: 10873223) |
Group Strategic Report |
for the Year Ended 30 April 2024 |
FUTURE DEVELOPMENTS |
The company's strategy is to continue organic growth using the existing business model. |
ON BEHALF OF THE BOARD: |
Touch Global Holding Limited (Registered number: 10873223) |
Report of the Director |
for the Year Ended 30 April 2024 |
The director presents his report with the financial statements of the company and the group for the year ended 30 April 2024. |
PRINCIPAL ACTIVITY |
The principal activity of the group in the year under review was that of retail sales via mail order houses and the internet. |
DIVIDENDS |
The director recommends that no final dividend be paid. |
DIRECTOR |
STATEMENT OF DIRECTOR'S RESPONSIBILITIES |
The director is responsible for preparing the Group Strategic Report, the Report of the Director and the financial statements in accordance with applicable law and regulations. |
Company law requires the director to prepare financial statements for each financial year. Under that law the director has elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the director must not approve the financial statements unless he is satisfied that they give a true and fair view of the state of affairs of the company and the group and of the profit or loss of the group for that period. In preparing these financial statements, the director is required to: |
- | select suitable accounting policies and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The director is responsible for keeping adequate accounting records that are sufficient to show and explain the company's and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group and enable him to ensure that the financial statements comply with the Companies Act 2006. He is also responsible for safeguarding the assets of the company and the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the director is aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and he has taken all the steps that he ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the group's auditors are aware of that information. |
AUDITORS |
The auditors, Wright Vigar Limited, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
ON BEHALF OF THE BOARD: |
Report of the Independent Auditors to the Members of |
Touch Global Holding Limited |
Opinion |
We have audited the financial statements of Touch Global Holding Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 30 April 2024 which comprise the Consolidated Income Statement, Consolidated Other Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). |
In our opinion the financial statements: |
- | give a true and fair view of the state of the group's and of the parent company affairs as at 30 April 2024 and of the group's 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 of opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. |
Conclusions relating to going concern |
In auditing the financial statements, we have concluded that the director's use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's and the 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 director with respect to going concern are described in the relevant sections of this report. |
Other information |
The director is responsible for the other information. The other information comprises the information in the Group Strategic Report and the Report of the Director, but does not include the financial statements and our Report of the Auditors thereon. |
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. |
Opinions on other matters prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of the audit: |
- | the information given in the Group Strategic Report and the Report of the Director for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Group Strategic Report and the Report of the Director have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the Director. |
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
- | adequate accounting records have not been kept by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the parent company financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of director's remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
Report of the Independent Auditors to the Members of |
Touch Global Holding Limited |
Responsibilities of director |
As explained more fully in the Statement of Director's Responsibilities set out on page four, the director is responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the director determines necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. |
In preparing the financial statements, the director is responsible for assessing the group's and 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 director either intends to liquidate the group or the parent company or to cease operations, or has no realistic alternative but to do so. |
Auditors' responsibilities for the audit of the financial statements |
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below: |
Our work is performed to include an assessment of the susceptibility of the entity's financial statements to material misstatement, including the risk of fraud. Owing to the inherent limitations of an audit, there is an unavoidable risk that material misstatements in the financial statements may not be detected, even though the audit is properly planned and performed in accordance with the ISAs (UK). |
In identifying and assessing risk of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, our procedures included the following: |
- | We plan our work to gain an understanding of the significant laws and regulations that are of significance to the entity and the sector in which they operate. We perform our work to ensure that the entity is complying with its legal and regulatory framework. |
- | We obtained an understanding of how the company is complying with those legal and regulatory frameworks by making inquiries to the management and people charged with governance. |
We assessed the susceptibility of the Company's financial statements to material misstatement, including how fraud might occur. Audit procedures performed by the engagement team included: |
- | Substantive procedures performed in accordance with the ISAs (UK). |
- | Challenging assumptions and judgments made by management in its significant accounting estimates. |
- | Identifying and testing journal entries, in particular material journal entries and an assessment of year end journals. |
- | Assessing the extent of compliance with the relevant laws and regulations. |
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
for and on behalf of |
Statutory Auditors |
Chartered Accountants & Business Advisers |
15 Newland |
Lincoln |
Lincolnshire |
LN1 1XG |
Touch Global Holding Limited (Registered number: 10873223) |
Consolidated |
Income Statement |
for the Year Ended 30 April 2024 |
2024 | 2023 |
Notes | £ | £ |
TURNOVER | 19,726,899 | 21,074,872 |
Cost of sales | 17,044,089 | 18,337,537 |
GROSS PROFIT | 2,682,810 | 2,737,335 |
Administrative expenses | 2,209,942 | 1,862,427 |
472,868 | 874,908 |
Other operating income | 1,582,811 | 1,587,075 |
OPERATING PROFIT | 4 | 2,055,679 | 2,461,983 |
Interest receivable and similar income | 740,432 | 213,378 |
2,796,111 | 2,675,361 |
Interest payable and similar expenses | 5 | 291 | 8,456 |
PROFIT BEFORE TAXATION | 2,795,820 | 2,666,905 |
Tax on profit | 6 | 649,310 | 476,360 |
PROFIT FOR THE FINANCIAL YEAR |
Profit attributable to: |
Owners of the parent | 2,146,510 | 2,190,545 |
Touch Global Holding Limited (Registered number: 10873223) |
Consolidated |
Other Comprehensive Income |
for the Year Ended 30 April 2024 |
2024 | 2023 |
Notes | £ | £ |
PROFIT FOR THE YEAR | 2,146,510 | 2,190,545 |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
2,146,510 |
2,190,545 |
Total comprehensive income attributable to: |
Owners of the parent | 2,146,510 | 2,190,545 |
Touch Global Holding Limited (Registered number: 10873223) |
Consolidated Balance Sheet |
30 April 2024 |
2024 | 2023 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 8 | (758,171 | ) | (962,531 | ) |
Tangible assets | 9 | 852,703 | 929,636 |
Investments | 10 | - | - |
94,532 | (32,895 | ) |
CURRENT ASSETS |
Stocks | 11 | 1,000 | 1,000 |
Debtors | 12 | 24,064,841 | 17,307,552 |
Cash at bank and in hand | 9,721,720 | 7,874,225 |
33,787,561 | 25,182,777 |
CREDITORS |
Amounts falling due within one year | 13 | 12,796,842 | 6,198,411 |
NET CURRENT ASSETS | 20,990,719 | 18,984,366 |
TOTAL ASSETS LESS CURRENT LIABILITIES |
21,085,251 |
18,951,471 |
PROVISIONS FOR LIABILITIES | 16 | 196,296 | 209,026 |
NET ASSETS | 20,888,955 | 18,742,445 |
CAPITAL AND RESERVES |
Called up share capital | 17 | 265 | 265 |
Retained earnings | 18 | 20,888,690 | 18,742,180 |
SHAREHOLDERS' FUNDS | 20,888,955 | 18,742,445 |
The financial statements were approved by the director and authorised for issue on 24 January 2025 and were signed by: |
S S Mei - Director |
Touch Global Holding Limited (Registered number: 10873223) |
Company Balance Sheet |
30 April 2024 |
2024 | 2023 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 8 |
Tangible assets | 9 |
Investments | 10 |
CURRENT ASSETS |
Debtors | 12 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 13 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CAPITAL AND RESERVES |
Called up share capital | 17 |
Retained earnings |
SHAREHOLDERS' FUNDS |
Company's profit for the financial year | 3,307,346 | 11,812 |
The financial statements were approved by the director and authorised for issue on |
Touch Global Holding Limited (Registered number: 10873223) |
Consolidated Statement of Changes in Equity |
for the Year Ended 30 April 2024 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 May 2022 | 265 | 16,551,635 | 16,551,900 |
Changes in equity |
Total comprehensive income | - | 2,190,545 | 2,190,545 |
Balance at 30 April 2023 | 265 | 18,742,180 | 18,742,445 |
Changes in equity |
Total comprehensive income | - | 2,146,510 | 2,146,510 |
Balance at 30 April 2024 | 265 | 20,888,690 | 20,888,955 |
Touch Global Holding Limited (Registered number: 10873223) |
Company Statement of Changes in Equity |
for the Year Ended 30 April 2024 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 May 2022 |
Changes in equity |
Total comprehensive income | - |
Balance at 30 April 2023 |
Changes in equity |
Total comprehensive income | - |
Balance at 30 April 2024 |
Touch Global Holding Limited (Registered number: 10873223) |
Consolidated Cash Flow Statement |
for the Year Ended 30 April 2024 |
2024 | 2023 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | 1,438,849 | (2,348,319 | ) |
Interest paid | (291 | ) | (8,456 | ) |
Tax paid | (174,890 | ) | (697,241 | ) |
Net cash from operating activities | 1,263,668 | (3,054,016 | ) |
Cash flows from investing activities |
Purchase of tangible fixed assets | (138,181 | ) | (312,629 | ) |
Sale of tangible fixed assets | 12,266 | 598 |
Interest received | 740,432 | 213,378 |
Net cash from investing activities | 614,517 | (98,653 | ) |
Cash flows from financing activities |
Amount introduced by directors | 148,000 | 203,105 |
Amount withdrawn by directors | (178,690 | ) | (80,939 | ) |
Net cash from financing activities | (30,690 | ) | 122,166 |
Increase/(decrease) in cash and cash equivalents | 1,847,495 | (3,030,503 | ) |
Cash and cash equivalents at beginning of year |
2 |
7,874,225 |
10,904,728 |
Cash and cash equivalents at end of year | 2 | 9,721,720 | 7,874,225 |
Touch Global Holding Limited (Registered number: 10873223) |
Notes to the Consolidated Cash Flow Statement |
for the Year Ended 30 April 2024 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
2024 | 2023 |
£ | £ |
Profit before taxation | 2,795,820 | 2,666,905 |
Depreciation charges | (4,746 | ) | 18,595 |
Loss on disposal of fixed assets | 3,234 | 97 |
Finance costs | 291 | 8,456 |
Finance income | (740,432 | ) | (213,378 | ) |
2,054,167 | 2,480,675 |
Increase in stocks | - | (1,000 | ) |
Increase in trade and other debtors | (6,715,679 | ) | (6,418,018 | ) |
Increase in trade and other creditors | 6,100,361 | 1,590,024 |
Cash generated from operations | 1,438,849 | (2,348,319 | ) |
2. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
Year ended 30 April 2024 |
30.4.24 | 1.5.23 |
£ | £ |
Cash and cash equivalents | 9,721,720 | 7,874,225 |
Year ended 30 April 2023 |
30.4.23 | 1.5.22 |
£ | £ |
Cash and cash equivalents | 7,874,225 | 10,904,728 |
3. | ANALYSIS OF CHANGES IN NET FUNDS |
At 1.5.23 | Cash flow | At 30.4.24 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 7,874,225 | 1,847,495 | 9,721,720 |
7,874,225 | 1,847,495 | 9,721,720 |
Total | 7,874,225 | 1,847,495 | 9,721,720 |
Touch Global Holding Limited (Registered number: 10873223) |
Notes to the Consolidated Financial Statements |
for the Year Ended 30 April 2024 |
1. | STATUTORY INFORMATION |
Touch Global Holding Limited is a |
The presentation currency of the financial statements is the Pound Sterling (£). |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Basis of consolidation |
The group financial statements consolidate the financial statements of Touch Global Holding Limited and the entities it controls (its subsidiaries) drawn up to 30 April each year. Control comprises the power to govern the financial and operating policies of the investee via control of the issued share capital of those companies. |
Subsidiaries are consolidated from the date of their acquisition, being the date on which the group gains control, and continue to be consolidated until the date that such control ceases. |
The financial statements of subsidiaries are prepared for the same reporting year as the parent company, using consistent accounting policies. |
Subsidiaries acquired during the year are consolidated under the acquisition method of accounting, whereby underlying assets and liabilities, and the consideration paid , are recorded at their fair values. The premium of the fair value of consideration paid over the fair value of net assets acquired is presented as consolidated goodwill. |
Intercompany balances and transactions, including unrealised profits arising from intra group transactions, have been eliminated. |
Significant judgements and estimates |
In the application of the group's accounting policies, management is required to make judgements, estimates and assumptions about the carrying value of assets and liabilities that are not readily apparent from other sources. The estimates and underlying assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates. |
The estimates and underlying assumptions are reviewed on an ongoing basis and are covered within the accounting policies: |
(i) The annual depreciation charge for tangible fixed assets is sensitive to changes in the estimated useful economic lives and residue values of the assets. The useful economic lives and residual values are re-assessed annually. They are amended when necessary to reflect current estimates, based on technological advancement, future investments, economic utilisation and the physical condition of the assets See note 10 for the carrying amount of the property, plant and equipment, and accounting policy note fo the useful economic lives of each class of assets. |
(ii) When calculating the stock provision, management considers the nature and condition of the stock, as well as applying assumptions around anticipated saleability of finished goods and future usage of raw materials. See note 11 for the net carrying amount of the stock and associated provision. |
(iii) The group makes an estimate of the recoverable value of trade and other debtors. When assessing impairment of trade and other debtors, management considers factors including the current credit rating of the debtor, ageing profile of debtors and historical experience. See note 12 for the net carrying amount of the debtors and associated impairment provision. |
Revisions to accounting estimates are recognised in the period in which the estimate is revised. |
Turnover |
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes. |
Goodwill |
Negative goodwill arising on consolidation has been capitalised and released over a period of ten years. |
Touch Global Holding Limited (Registered number: 10873223) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 30 April 2024 |
2. | ACCOUNTING POLICIES - continued |
Intangible assets |
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. |
Tangible fixed assets |
Improvements to property | - |
Plant and machinery | - |
Fixtures and fittings | - |
Motor vehicles | - |
Computer equipment | - |
Tangible fixed assets are stated at cost (or deemed cost) or valuation less accumulated depreciation and accumulated impairment losses. Cost includes costs directly attributable to making the asset capable of operating as intended. |
Stocks |
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
Foreign currencies |
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result. |
Hire purchase and leasing commitments |
Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease. |
Pension costs and other post-retirement benefits |
The group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme are charged to profit or loss in the period to which they relate. |
3. | EMPLOYEES AND DIRECTORS |
2024 | 2023 |
£ | £ |
Wages and salaries | 1,478,944 | 1,337,474 |
Social security costs | 130,273 | 107,084 |
Other pension costs | 47,723 | 38,019 |
1,656,940 | 1,482,577 |
Touch Global Holding Limited (Registered number: 10873223) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 30 April 2024 |
3. | EMPLOYEES AND DIRECTORS - continued |
The average number of employees during the year was as follows: |
2024 | 2023 |
Warehouse | 41 | 21 |
Administration | 15 | 35 |
Directors | 2 | 2 |
2024 | 2023 |
£ | £ |
Director's remuneration | 40,000 | 40,000 |
Director's pension contributions to money purchase schemes | 4,752 | 11,902 |
4. | OPERATING PROFIT |
The operating profit is stated after charging/(crediting): |
2024 | 2023 |
£ | £ |
Other operating leases | 585,423 | 519,435 |
Depreciation - owned assets | 199,614 | 222,955 |
Loss on disposal of fixed assets | 3,234 | 97 |
Goodwill amortisation | (204,360 | ) | (204,360 | ) |
Auditors' remuneration | 23,750 | 20,429 |
5. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2024 | 2023 |
£ | £ |
Late payment interest | 291 | 8,456 |
6. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
2024 | 2023 |
£ | £ |
Current tax: |
UK corporation tax | 662,040 | 450,735 |
Deferred tax | (12,730 | ) | 25,625 |
Tax on profit | 649,310 | 476,360 |
UK corporation tax has been charged at 25 % (2023 - 19.49 %). |
Touch Global Holding Limited (Registered number: 10873223) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 30 April 2024 |
6. | TAXATION - continued |
Reconciliation of total tax charge included in profit and loss |
The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is explained below: |
2024 | 2023 |
£ | £ |
Profit before tax | 2,795,820 | 2,666,905 |
Profit multiplied by the standard rate of corporation tax in the UK of 25 % (2023 - 19.493 %) |
698,955 |
519,860 |
Effects of: |
Expenses not deductible for tax purposes | 1,445 | 4,901 |
Capital allowances in excess of depreciation | - | (34,177 | ) |
Depreciation in excess of capital allowances | 12,730 | - |
Movement in deferred tax | (12,730 | ) | 25,625 |
Amortisation of negative goodwill | (51,090 | ) | (39,836 | ) |
Marginal Relief | - | (13 | ) |
Total tax charge | 649,310 | 476,360 |
7. | INDIVIDUAL INCOME STATEMENT |
As permitted by Section 408 of the Companies Act 2006, the Income Statement of the parent company is not presented as part of these financial statements. |
8. | INTANGIBLE FIXED ASSETS |
Group |
Goodwill |
£ |
COST |
At 1 May 2023 |
and 30 April 2024 | (2,043,606 | ) |
AMORTISATION |
At 1 May 2023 | (1,081,075 | ) |
Amortisation for year | (204,360 | ) |
At 30 April 2024 | (1,285,435 | ) |
NET BOOK VALUE |
At 30 April 2024 | (758,171 | ) |
At 30 April 2023 | (962,531 | ) |
Touch Global Holding Limited (Registered number: 10873223) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 30 April 2024 |
9. | TANGIBLE FIXED ASSETS |
Group |
Improvements | Fixtures |
to | Plant and | and |
property | machinery | fittings |
£ | £ | £ |
COST |
At 1 May 2023 | 877,504 | 242,358 | 455,261 |
Additions | - | 28,569 | 106,848 |
Disposals | (29,508 | ) | (32,100 | ) | (499 | ) |
At 30 April 2024 | 847,996 | 238,827 | 561,610 |
DEPRECIATION |
At 1 May 2023 | 360,925 | 172,455 | 319,751 |
Charge for year | 84,800 | 22,370 | 40,533 |
Eliminated on disposal | (19,002 | ) | (29,701 | ) | (418 | ) |
At 30 April 2024 | 426,723 | 165,124 | 359,866 |
NET BOOK VALUE |
At 30 April 2024 | 421,273 | 73,703 | 201,744 |
At 30 April 2023 | 516,579 | 69,903 | 135,510 |
Motor | Computer |
vehicles | equipment | Totals |
£ | £ | £ |
COST |
At 1 May 2023 | 155,965 | 210,743 | 1,941,831 |
Additions | - | 2,764 | 138,181 |
Disposals | (10,600 | ) | (8,184 | ) | (80,891 | ) |
At 30 April 2024 | 145,365 | 205,323 | 1,999,121 |
DEPRECIATION |
At 1 May 2023 | 95,075 | 63,989 | 1,012,195 |
Charge for year | 15,222 | 36,689 | 199,614 |
Eliminated on disposal | (8,868 | ) | (7,402 | ) | (65,391 | ) |
At 30 April 2024 | 101,429 | 93,276 | 1,146,418 |
NET BOOK VALUE |
At 30 April 2024 | 43,936 | 112,047 | 852,703 |
At 30 April 2023 | 60,890 | 146,754 | 929,636 |
10. | FIXED ASSET INVESTMENTS |
Company |
Shares in |
group |
undertakings |
£ |
COST |
At 1 May 2023 |
and 30 April 2024 |
NET BOOK VALUE |
At 30 April 2024 |
At 30 April 2023 |
Touch Global Holding Limited (Registered number: 10873223) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 30 April 2024 |
10. | FIXED ASSET INVESTMENTS - continued |
The group or the company's investments at the Balance Sheet date in the share capital of companies include the following: |
Subsidiaries |
Touch Global (UK) Limited |
Registered office: 15 Newland,Lincoln, LN1 1XG |
Nature of business: Retail sale via mail order house or internet |
% |
Class of shares: | holding |
Ordinary | 100.00 |
2024 | 2023 |
£ | £ |
Aggregate capital and reserves | 4,936,945 | 6,351,681 |
Profit for the year | 1,585,264 | 1,952,794 |
Jackdaw International Limited |
Registered office: 15 Newland,Lincoln, LN1 1XG |
Nature of business: Dormant company |
% |
Class of shares: | holding |
Ordinary | 100.00 |
2024 | 31.12.22 |
£ | £ |
Aggregate capital and reserves | 112,557 | 112,557 |
FJN Management Services Limited |
Registered office: 15 Newland,Lincoln, LN1 1XG |
Nature of business: Recruitment services |
% |
Class of shares: | holding |
Ordinary | 100.00 |
2024 | 2023 |
£ | £ |
Aggregate capital and reserves | 170,079 | 120,539 |
Profit for the year | 49,540 | 21,578 |
11. | STOCKS |
Group |
2024 | 2023 |
£ | £ |
Stocks | 1,000 | 1,000 |
12. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2024 | 2023 | 2024 | 2023 |
£ | £ | £ | £ |
Trade debtors | 879,367 | 820,343 |
Amounts owed by group undertakings | - | - |
Other debtors | 22,276,463 | 15,581,769 |
Directors' current accounts | 125,639 | 94,949 | 125,639 | 98,588 |
Tax | 128,794 | 117,874 |
Prepayments and accrued income | 654,578 | 692,617 |
24,064,841 | 17,307,552 |
Touch Global Holding Limited (Registered number: 10873223) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 30 April 2024 |
13. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2024 | 2023 | 2024 | 2023 |
£ | £ | £ | £ |
Trade creditors | 1,158,878 | 1,676,049 |
Tax | 687,545 | 189,475 |
Social security and other taxes | 35,678 | 27,743 |
VAT | 372,510 | 258,217 | - | - |
Other creditors | 10,301,676 | 3,770,352 |
Accrued expenses | 240,555 | 276,575 |
12,796,842 | 6,198,411 |
14. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Group |
Non-cancellable | operating leases |
2024 | 2023 |
£ | £ |
Within one year | 549,996 | 494,996 |
Between one and five years | 111,664 | 441,660 |
661,660 | 936,656 |
15. | SECURED DEBTS |
The group's bank holds a fixed and floating legal charge over the assets of the group by way of an unlimited debenture and a cross guarantee between the Bank, Touch Global (UK) Limited, Touch Global Holding Limited, FJN Asset Limited and Jackdaw International Limited. |
16. | PROVISIONS FOR LIABILITIES |
Group |
2024 | 2023 |
£ | £ |
Deferred tax |
Accelerated capital allowances | 196,296 | 209,026 |
Group |
Deferred |
tax |
£ |
Balance at 1 May 2023 | 209,026 |
Provided during year | (12,730 | ) |
Balance at 30 April 2024 | 196,296 |
17. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2024 | 2023 |
value: | £ | £ |
Ordinary | £1 | 265 | 265 |
Touch Global Holding Limited (Registered number: 10873223) |
Notes to the Consolidated Financial Statements - continued |
for the Year Ended 30 April 2024 |
18. | RESERVES |
Group |
Retained |
earnings |
£ |
At 1 May 2023 | 18,742,180 |
Profit for the year | 2,146,510 |
At 30 April 2024 | 20,888,690 |
19. | PENSION COMMITMENTS |
The group operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the group in an independently administered fund. The pension cost charge represents contributions payable by the group to the fund and amounted to £37,491 (2023: £38,017). Contributions totalling £8,870 (2023: £3,948) were payable to the fund at the year end. |
20. | DIRECTOR'S ADVANCES, CREDITS AND GUARANTEES |
The following advances and credits to a director subsisted during the years ended 30 April 2024 and 30 April 2023: |
2024 | 2023 |
£ | £ |
S S Mei |
Balance outstanding at start of year | 94,949 | 217,115 |
Amounts advanced | 178,691 | 80,939 |
Amounts repaid | (148,000 | ) | (203,105 | ) |
Amounts written off | - | - |
Amounts waived | - | - |
Balance outstanding at end of year | 125,640 | 94,949 |
21. | RELATED PARTY DISCLOSURES |
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group. |
Transactions between group entities which have been eliminated on consolidation are not disclosed within the financial statements. |
Other related parties (Group) |
2024 | 2023 |
£ | £ |
Sales | 6,669,792 | 7,468,438 |
Purchases | 17,932,463 | 13,552,873 |
Amount due from related party | 21,979,070 | 15,467,548 |
Amount due to related party | 10,209,683 | 3,659,272 |
Other related parties (Company) |
Included within the amounts above are the following balances that relate to the holding company only; |
Amounts due from related party £4,970,792 (2023: £4,730,675). |
22. | ULTIMATE CONTROLLING PARTY |
S S Mei, the director, controls the group by virtue of his shareholdings in the parent company Touch Global Holding Limited. |