REGISTERED NUMBER: |
STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 |
FOR |
SIDDHARTH JEWELLERY (U.K.) LIMITED |
REGISTERED NUMBER: |
STRATEGIC REPORT, REPORT OF THE DIRECTORS AND |
FINANCIAL STATEMENTS FOR THE YEAR ENDED 31 MARCH 2024 |
FOR |
SIDDHARTH JEWELLERY (U.K.) LIMITED |
SIDDHARTH JEWELLERY (U.K.) LIMITED (REGISTERED NUMBER: 05099284) |
CONTENTS OF THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 MARCH 2024 |
Page |
Company Information | 1 |
Strategic Report | 2 |
Report of the Directors | 3 |
Report of the Independent Auditors | 4 |
Income Statement | 7 |
Other Comprehensive Income | 8 |
Balance Sheet | 9 |
Statement of Changes in Equity | 10 |
Cash Flow Statement | 11 |
Notes to the Cash Flow Statement | 12 |
Notes to the Financial Statements | 13 |
SIDDHARTH JEWELLERY (U.K.) LIMITED |
COMPANY INFORMATION |
FOR THE YEAR ENDED 31 MARCH 2024 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Chartered Accountants |
and Statutory Auditors |
7 St John's Road |
Harrow |
Middlesex |
HA1 2EY |
SIDDHARTH JEWELLERY (U.K.) LIMITED (REGISTERED NUMBER: 05099284) |
STRATEGIC REPORT |
FOR THE YEAR ENDED 31 MARCH 2024 |
The directors present their strategic report for the year ended 31 March 2024. |
REVIEW OF BUSINESS |
The results for the year and the financial position of the company are shown in the financial statements. |
The key areas for comment are stated below: |
During the year ended 31 March 2024, the sales were £17,630,860 (2023 - £17,069,101) an increase of 3.29%. The corresponding purchase costs for the year were £16,679,574 (2023 - £16,300,788) an increase of 2.33%. |
The turnover of the company has improved compared to prior year and this has given rise to a profit on ordinary activities before taxation of £500,978 (2023 - £423,531). |
PRINCIPAL RISKS AND UNCERTAINTIES |
The management of the business and the nature of the company's strategy are subject to a number of risks. |
The directors have set out below the principal risks facing the business. |
The directors are of the opinion that a thorough risk management process is adopted which involves the formal review of all the risks identified below. Where possible, processes are in place to monitor and mitigate such risks. |
Economic conditions |
The performance of the business continues to be reliant on market conditions within the gold bullion market and the influence on demand within the UK and Europe, which are the main markets targeted by the company. In response to this risk, the Directors keep abreast of other markets and regularly communicate with their main UK customers to attain a pulse on what levels of demand they are anticipating. |
Financial risk management, market risk objectives and policies |
The company has a close working relationship with its bankers due to the debt factoring facility and with its clients who are generally low risk. The key risks are the difficulty of forecasting accurately how much stock to buy ahead of any increase in sales and also possible exchange rate fluctuations. |
Liquidity risk |
The company monitors cash-flow on a daily basis due to the factoring arrangements that it has secured. This liquidity risk is also minimised due to arrangements where customers pay monthly which helps with cash-flow. In this way the company is able to manage financial risk by ensuring sufficient liquidity is available to meet foreseeable needs. |
Currency risk |
The company seeks to fix prices with its suppliers due to the daily fluctuation in the gold market. Key company purchases are made in US dollars and although the foreign exchange risk is present, this is reduced as the company carefully monitors the exchange rates. |
ON BEHALF OF THE BOARD: |
SIDDHARTH JEWELLERY (U.K.) LIMITED (REGISTERED NUMBER: 05099284) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 31 MARCH 2024 |
The directors present their report with the financial statements of the company for the year ended 31 March 2024. |
DIVIDENDS |
An interim dividend of £ |
The total distribution of dividends for the year ended 31 March 2024 will be £ |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 April 2023 to the date of this report. |
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Strategic Report, the Report of the Directors and the financial statements in accordance with applicable law and regulations. |
Company law requires the directors to prepare financial statements for each financial year. Under that law the directors have elected to prepare the financial statements in accordance with United Kingdom Generally Accepted Accounting Practice (United Kingdom Accounting Standards and applicable law). Under company law the directors must not approve the financial statements unless they are satisfied that they give a true and fair view of the state of affairs of the company and of the profit or loss of the company for that period. In preparing these financial statements, the directors are required to: |
- | select suitable accounting policies and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
- | prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will continue in business. |
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the company's transactions and disclose with reasonable accuracy at any time the financial position of the company and enable them to ensure that the financial statements comply with the Companies Act 2006. They are also responsible for safeguarding the assets of the company and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the company's auditors are unaware, and each director has taken all the steps that he or she ought to have taken as a director in order to make himself or herself aware of any relevant audit information and to establish that the company's auditors are aware of that information. |
AUDITORS |
The auditors, Macalvins 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 |
SIDDHARTH JEWELLERY (U.K.) LIMITED |
Opinion |
We have audited the financial statements of Siddharth Jewellery (U.K.) Limited (the 'company') for the year ended 31 March 2024 which comprise the Income Statement, Other Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). |
In our opinion the financial statements: |
- | give a true and fair view of the state of the company's affairs as at 31 March 2024 and of its profit for the year then ended; |
- | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. |
Conclusions relating to going concern |
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
Our responsibilities and the responsibilities of the directors with respect to going concern are described in the relevant sections of this report. |
Other information |
The directors are responsible for the other information. The other information comprises the information in the Strategic Report and the Report of the Directors, but does not include the financial statements and our Report of the Auditors thereon. |
Our opinion on the financial statements does not cover the other information and, except to the extent otherwise explicitly stated in our report, we do not express any form of assurance conclusion thereon. |
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or apparent material misstatements, we are required to determine whether this gives rise to a material misstatement in the financial statements themselves. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. |
Opinions on other matters prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of the audit: |
- | the information given in the Strategic Report and the Report of the Directors for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the Strategic Report and the Report of the Directors have been prepared in accordance with applicable legal requirements. |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors. |
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
- | adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of directors' remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
SIDDHARTH JEWELLERY (U.K.) LIMITED |
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page three, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. |
In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so. |
Auditors' responsibilities for the audit of the financial statements |
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
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. |
In identifying and assessing risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, we considered the following: |
- the nature of the industry and sector, control environment and business performance including the design of the |
company's remuneration policies, key drivers for directors’ remuneration, bonus levels and performance targets; |
- results of our enquiries of management about their own identification and assessment of the risks of irregularities; |
- identifying, evaluating and complying with laws and regulations and whether they were aware of any instances of |
non compliance; |
- detecting and responding to the risks of fraud and whether they have knowledge of any actual, suspected or |
alleged fraud; |
- the internal controls established to mitigate risks of fraud or non-compliance with laws and regulations; |
These matters were discussed among the audit engagement team regarding how and where fraud might occur in the financial statements and any potential indicators of fraud. |
As a result of these procedures, we considered the opportunities and incentives that may exist within the organisation for fraud. In common with all audits under ISAs (UK), we are also required to perform specific procedures to respond to the risk of management override. |
We also obtained an understanding of the legal and regulatory frameworks that the company operates in, focusing on provisions of those laws and regulations that had a direct effect on the determination of material amounts and disclosures in the financial statements. The key laws and regulations we considered in this context included the UK Companies Act and local tax legislation. |
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
SIDDHARTH JEWELLERY (U.K.) LIMITED |
Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
for and on behalf of |
Chartered Accountants |
and Statutory Auditors |
7 St John's Road |
Harrow |
Middlesex |
HA1 2EY |
SIDDHARTH JEWELLERY (U.K.) LIMITED (REGISTERED NUMBER: 05099284) |
INCOME STATEMENT |
FOR THE YEAR ENDED 31 MARCH 2024 |
31.3.24 | 31.3.23 |
Notes | £ | £ |
TURNOVER | 3 |
Cost of sales |
GROSS PROFIT |
Administrative expenses |
559,117 | 466,635 |
Other operating income |
OPERATING PROFIT | 5 |
Interest payable and similar expenses | 6 |
PROFIT BEFORE TAXATION |
Tax on profit | 7 |
PROFIT FOR THE FINANCIAL YEAR |
SIDDHARTH JEWELLERY (U.K.) LIMITED (REGISTERED NUMBER: 05099284) |
OTHER COMPREHENSIVE INCOME |
FOR THE YEAR ENDED 31 MARCH 2024 |
31.3.24 | 31.3.23 |
Notes | £ | £ |
PROFIT FOR THE YEAR |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
SIDDHARTH JEWELLERY (U.K.) LIMITED (REGISTERED NUMBER: 05099284) |
BALANCE SHEET |
31 MARCH 2024 |
31.3.24 | 31.3.23 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 10 |
Tangible assets | 11 |
CURRENT ASSETS |
Stocks | 12 |
Debtors | 13 |
Cash at bank and in hand |
CREDITORS |
Amounts falling due within one year | 14 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year | 15 | ( |
) | ( |
) |
PROVISIONS FOR LIABILITIES | 19 | ( |
) | ( |
) |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 20 |
Retained earnings | 21 |
SHAREHOLDERS' FUNDS |
The financial statements were approved by the Board of Directors and authorised for issue on |
SIDDHARTH JEWELLERY (U.K.) LIMITED (REGISTERED NUMBER: 05099284) |
STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 31 MARCH 2024 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 April 2022 |
Changes in equity |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - |
Balance at 31 March 2023 |
Changes in equity |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - |
Balance at 31 March 2024 |
SIDDHARTH JEWELLERY (U.K.) LIMITED (REGISTERED NUMBER: 05099284) |
CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 MARCH 2024 |
31.3.24 | 31.3.23 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 |
Interest paid | ( |
) | ( |
) |
Interest element of hire purchase payments paid | ( |
) | ( |
) |
Tax paid | ( |
) |
Net cash from operating activities |
Cash flows from investing activities |
Purchase of intangible fixed assets | ( |
) | ( |
) |
Purchase of tangible fixed assets | ( |
) | ( |
) |
Net cash from investing activities | ( |
) | ( |
) |
Cash flows from financing activities |
Loan repayments in year | ( |
) | ( |
) |
Capital repayments in year | ( |
) | ( |
) |
Amount introduced by directors | 69,447 | - |
Amount withdrawn by directors | - | (32,815 | ) |
Equity dividends paid | ( |
) | ( |
) |
Net cash from financing activities | ( |
) | ( |
) |
Increase/(decrease) in cash and cash equivalents | ( |
) |
Cash and cash equivalents at beginning of year | 2 | (2,042,354 | ) | (1,864,302 | ) |
Cash and cash equivalents at end of year | 2 | ( |
) | ( |
) |
SIDDHARTH JEWELLERY (U.K.) LIMITED (REGISTERED NUMBER: 05099284) |
NOTES TO THE CASH FLOW STATEMENT |
FOR THE YEAR ENDED 31 MARCH 2024 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
31.3.24 | 31.3.23 |
£ | £ |
Profit before taxation |
Depreciation charges |
Finance costs | 88,139 | 73,104 |
683,357 | 497,184 |
Increase in stocks | ( |
) | ( |
) |
Decrease/(increase) in trade and other debtors | ( |
) |
Increase in trade and other creditors |
Cash generated from operations |
2. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
Year ended 31 March 2024 |
31.3.24 | 1.4.23 |
£ | £ |
Cash and cash equivalents | 2,256 | 17,767 |
Bank overdrafts | ( |
) | ( |
) |
(1,810,752 | ) | (2,042,354 | ) |
Year ended 31 March 2023 |
31.3.23 | 1.4.22 |
£ | £ |
Cash and cash equivalents | 17,767 | 2,076 |
Bank overdrafts | ( |
) | ( |
) |
(2,042,354 | ) | (1,864,302 | ) |
3. | ANALYSIS OF CHANGES IN NET DEBT |
At 1.4.23 | Cash flow | At 31.3.24 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 17,767 | (15,511 | ) | 2,256 |
Bank overdrafts | (2,060,121 | ) | 247,113 | (1,813,008 | ) |
(2,042,354 | ) | (1,810,752 | ) |
Debt |
Finance leases | (4,583 | ) | 4,583 | - |
Debts falling due within 1 year | (311,332 | ) | - | (311,332 | ) |
Debts falling due after 1 year | (833,919 | ) | 312,003 | (521,916 | ) |
(1,149,834 | ) | 316,586 | (833,248 | ) |
Total | (3,192,188 | ) | 548,188 | (2,644,000 | ) |
SIDDHARTH JEWELLERY (U.K.) LIMITED (REGISTERED NUMBER: 05099284) |
NOTES TO THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 31 MARCH 2024 |
1. | STATUTORY INFORMATION |
Siddharth Jewellery (U.K.) Limited is a |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Turnover |
Revenue is measured at the fair value of the consideration received or receivable for goods 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 discounts and rebates. |
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 transactions will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably. |
Intangible assets |
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any impairment losses. |
Patents and licences are being amortised evenly over their estimated useful life of ten years. |
Tangible fixed assets |
Plant and machinery | - |
Fixtures and fittings | - |
No depreciation is provided in respect of freehold property. This is a departure from the requirements of the Companies Act 2006 which requires all properties to be depreciated. The directors consider that the freehold property does not reduce in value and that to depreciate the freehold property would not give a true and fair view. Accordingly the directors have decided to record freehold property at cost less any provision for impairment. The directors consider that this policy results in the accounts giving a true and fair view. |
Stocks |
Inventories and work in progress are valued at the lower of cost and net realisable value, after making due |
allowance for obsolete and slow moving items. |
Cost of gold and precious jewellery is calculated using the first-in, first-out method and includes all purchase, transport, and handling costs in bringing inventories to their present location and condition. |
Work in progress of development property includes all direct expenditure, construction costs and other material directly attributable overheads incurred in bringing the products to their present condition. Where work in progress is included in the financial statements at net realisable value, these are at open market values based on the valuations carried out by the directors. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Income Statement, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. |
Current or deferred taxation assets and liabilities are not discounted. |
Current tax is recognised at the amount of tax payable using the tax rates and laws that have been enacted or substantively enacted by the balance sheet date. |
SIDDHARTH JEWELLERY (U.K.) LIMITED (REGISTERED NUMBER: 05099284) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2024 |
2. | ACCOUNTING POLICIES - continued |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance sheet date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the 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. |
Financial instruments |
Financial instruments are classified and accounted for, according to the substance of the contractual arrangement, as either financial assets, financial liabilities or equity instruments. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities. |
Debtors |
Basic financial assets, including trade and other debtors, are initially recognised at transaction price, 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. Such assets are subsequently carried at amortised cost using the effective interest method, less any impairment. |
Cash and cash equivalents |
Cash and cash equivalents are represented by cash in hand, deposits held at call with financial institutions, and other short-term highly liquid investments that mature in no more than three months from the date of acquisition and that are readily convertible to known amounts of cash with insignificant risk of change in value. |
Creditors |
Basic financial liabilities, including trade and other creditors, loans from third parties and loans from related parties, 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. Such instruments are subsequently carried at amortised cost using the effective interest method, less any impairment. |
Factoring |
The company uses factoring services where its debts are discounted to a factoring bank who provide a set percentage of debt as advance to the company once the invoice is raised. The risks and rewards of the debts are borne by the company and therefore, the debtors are still recognised by the company in its books. The amounts owed to the factoring bank are shown as part of bank loans and overdrafts. |
Going concern |
Where total liabilities exceed current assets the directors considers the ability of the company to meet its liabilities from liquid assets as and when they fall due. The directors also consider the support given to the company by its directors, associates and suppliers. |
If the directors are of the opinion that the company can meet its liabilities as and when they fall due, and has sufficient support from its directors, associates and suppliers, the financial statements are prepared on a going concern basis. |
SIDDHARTH JEWELLERY (U.K.) LIMITED (REGISTERED NUMBER: 05099284) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2024 |
3. | TURNOVER |
The turnover and profit before taxation are attributable to the one principal activity of the company. |
An analysis of turnover by class of business is given below: |
31.3.24 | 31.3.23 |
£ | £ |
An analysis of turnover by geographical market is given below: |
31.3.24 | 31.3.23 |
£ | £ |
United Kingdom |
Europe |
Rest of the world | 17,629 | - |
4. | EMPLOYEES AND DIRECTORS |
31.3.24 | 31.3.23 |
£ | £ |
Wages and salaries |
The average number of employees during the year was as follows: |
31.3.24 | 31.3.23 |
31.3.24 | 31.3.23 |
£ | £ |
Directors' remuneration |
5. | OPERATING PROFIT |
The operating profit is stated after charging/(crediting): |
31.3.24 | 31.3.23 |
£ | £ |
Depreciation - owned assets |
Patents and licences amortisation |
Auditors' remuneration |
Foreign exchange differences | ( |
) | ( |
) |
SIDDHARTH JEWELLERY (U.K.) LIMITED (REGISTERED NUMBER: 05099284) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2024 |
6. | INTEREST PAYABLE AND SIMILAR EXPENSES |
31.3.24 | 31.3.23 |
£ | £ |
Bank interest |
Interest payable |
Hire purchase |
7. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
31.3.24 | 31.3.23 |
£ | £ |
Current tax: |
UK corporation tax |
Deferred tax | ( |
) |
Tax on profit |
Reconciliation of total tax charge included in profit and loss |
The tax assessed for the year is higher than the standard rate of corporation tax in the UK. The difference is explained below: |
31.3.24 | 31.3.23 |
£ | £ |
Profit before tax |
Profit multiplied by the standard rate of corporation tax in the UK of |
Effects of: |
Capital allowances in excess of depreciation | ( |
) | - |
Depreciation in excess of capital allowances | - |
Deferred tax charge | 78,324 | (97 | ) |
Total tax charge | 138,116 | 80,495 |
8. | DIVIDENDS |
31.3.24 | 31.3.23 |
£ | £ |
Ordinary shares of 1 each |
Interim |
SIDDHARTH JEWELLERY (U.K.) LIMITED (REGISTERED NUMBER: 05099284) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2024 |
9. | RECLASSIFICATION OF COMPARATIVES |
The financial statements for the year ended 31 March 2023 recorded exploration and evaluation assets of £319,562 within plant and machinery. |
The directors believe that it is more appropriate to classify the exploration and evaluation assets as patents and licences. |
The balance sheet within the financial statements for the year ended 31 March 2023 recorded net book value of plant and machinery at £370,238 and no patents and licences. |
The balance sheet within these financial statements records opening net book value for plant and machinery of £50,676 and opening net book value for patents and licences of £319,562. |
The financial statements for the year ended 31 March 2023 recorded trade creditors payable after more than one year of £1,500,000. |
The directors believe that this classification was incorrect as all trade creditors were payable within one year. |
The balance sheet within the financial statements for the year ended 31 March 2023 recorded trade creditors payable within one year as £1,987,953 and trade creditors payable after more than one year as £1,500,000. |
The balance sheet within these financial statements records opening balance for trade creditors payable within one year as £3,487,953 and opening value for trade creditors payable after more than one year as nil. |
Neither of these reclassifications affect profits recorded within the income statement or retained earnings within the balance sheet. |
10. | INTANGIBLE FIXED ASSETS |
Patents |
and |
licences |
£ |
COST |
At 1 April 2023 |
Additions |
At 31 March 2024 |
AMORTISATION |
Amortisation for year |
At 31 March 2024 |
NET BOOK VALUE |
At 31 March 2024 |
At 31 March 2023 |
SIDDHARTH JEWELLERY (U.K.) LIMITED (REGISTERED NUMBER: 05099284) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2024 |
11. | TANGIBLE FIXED ASSETS |
Fixtures |
Freehold | Plant and | and |
property | machinery | fittings | Totals |
£ | £ | £ | £ |
COST |
At 1 April 2023 |
Additions |
At 31 March 2024 |
DEPRECIATION |
At 1 April 2023 |
Charge for year |
At 31 March 2024 |
NET BOOK VALUE |
At 31 March 2024 |
At 31 March 2023 |
12. | STOCKS |
31.3.24 | 31.3.23 |
£ | £ |
Stocks |
Work-in-progress |
13. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
31.3.24 | 31.3.23 |
£ | £ |
Trade debtors |
Other debtors |
Amounts owed by related companies | 246,001 | 146,096 |
Prepayments |
14. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
31.3.24 | 31.3.23 |
£ | £ |
Bank loans and overdrafts (see note 16) |
Hire purchase contracts (see note 17) |
Trade creditors |
Corporation Tax payable |
Social security and other taxes |
VAT | 304,227 | 689,555 |
Other creditors |
Director's current account | 70,132 | 685 |
Accrued expenses |
SIDDHARTH JEWELLERY (U.K.) LIMITED (REGISTERED NUMBER: 05099284) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2024 |
15. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
31.3.24 | 31.3.23 |
£ | £ |
Bank loans (see note 16) |
16. | LOANS |
An analysis of the maturity of loans is given below: |
31.3.24 | 31.3.23 |
£ | £ |
Amounts falling due within one year or on demand: |
Bank overdrafts |
Bank loans |
Amounts falling due between one and two years: |
Bank loans - 1-2 years |
Amounts falling due between two and five years: |
Bank loans - 2-5 years |
17. | LEASING AGREEMENTS |
Minimum lease payments under hire purchase fall due as follows: |
31.3.24 | 31.3.23 |
£ | £ |
Net obligations repayable: |
Within one year |
18. | SECURED DEBTS |
The following secured debts are included within creditors: |
31.3.24 | 31.3.23 |
£ | £ |
Bank overdrafts |
Bank loans |
The bank loans and overdrafts are secured by way of a fixed charge over the company's freehold property and by way of a charge over the fixed and floating assets of the company. The directors have also provided personal guarantees. |
19. | PROVISIONS FOR LIABILITIES |
31.3.24 | 31.3.23 |
£ | £ |
Deferred tax | 78,884 | 560 |
SIDDHARTH JEWELLERY (U.K.) LIMITED (REGISTERED NUMBER: 05099284) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2024 |
19. | PROVISIONS FOR LIABILITIES - continued |
Deferred |
tax |
£ |
Balance at 1 April 2023 |
Charge to Income Statement during year |
Balance at 31 March 2024 |
20. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 31.3.24 | 31.3.23 |
value: | £ | £ |
Ordinary | 1 | 200,000 | 200,000 |
21. | RESERVES |
Retained |
earnings |
£ |
At 1 April 2023 |
Profit for the year |
Dividends | ( |
) |
At 31 March 2024 |
22. | RELATED PARTY DISCLOSURES |
During the year under review the directors were in receipt of salaries totalling £36,000 (2023: £36,000) and dividends of £60,000 (2023: £78,000) |
In addition the directors pay rent of £30,000 (2023 - £30,000) for occupying part of a property owned by the company. |
During the year the company made purchases from Bridal Jewellery Mfg. Pvt. Ltd in the amount of £15,653,360 (2023: £15,343,289). |
As at the balance sheet date the company owed Bridal Jewellery Mfg. Pvt. Ltd a total of £4,986,203 (2023: £3,188,731). |
Bridal Jewellery Mfg. Pvt. Ltd is a company incorporated in India and is wholly owned by two of the directors. |
During the year the company made unsecured interest-free loans to A-One Tex Tech Private Limited of £100,807 (2023: £146,096). |
As at the balance sheet date A-One Tex Tech Private Limited owed the company £246,903 (2023: £146,096). |
A-One Tex Tech Private Limited is a company incorporated in India and two of the directors hold a majority of the shares. |
23. | ULTIMATE CONTROLLING PARTY |
The company is controlled by the Directors, R Kohli and Mrs N Kohli. |
SIDDHARTH JEWELLERY (U.K.) LIMITED (REGISTERED NUMBER: 05099284) |
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 31 MARCH 2024 |
24. | GOING CONCERN |
The directors have reviewed the going concern position of the company and are confident that the company can continue to operate as a going concern. As at the balance sheet date the company had net current assets of £1,900,497 (2023: £2,304,675) and net assets of £3,500,875 (2023: £3,198,013). |
The directors also consider the company has sufficient support from its directors, associates and suppliers. |
The directors anticipate that the company will require to spend £1.2 million in the period from 1 April 2024 to 30 September 2026 in order to complete the development of residential properties intended for resale. The directors acknowledge that additional external finance may be required to complete the residential properties and are confident that this can be secured if required. The costs incurred in the development of the residential properties amounted to £4,000,613 at 31 March 2024 (2023: £2,505,377). |
Accordingly the directors have prepared the financial statements on a going concern basis. Further, the directors believe that there are no material uncertainties in relation to going concern. |