REGISTERED NUMBER: |
Strategic Report, Report of the Directors and |
Financial Statements |
for the Year Ended 30 June 2024 |
for |
Il Fornaio Limited |
REGISTERED NUMBER: |
Strategic Report, Report of the Directors and |
Financial Statements |
for the Year Ended 30 June 2024 |
for |
Il Fornaio Limited |
Il Fornaio Limited (Registered number: 01801112) |
Contents of the Financial Statements |
for the Year Ended 30 June 2024 |
Page |
Company Information | 1 |
Strategic Report | 2 |
Report of the Directors | 4 |
Report of the Independent Auditors | 6 |
Income Statement | 10 |
Other Comprehensive Income | 11 |
Statement of Financial Position | 12 |
Statement of Changes in Equity | 13 |
Statement of Cash Flows | 14 |
Notes to the Statement of Cash Flows | 15 |
Notes to the Financial Statements | 16 |
Il Fornaio Limited |
Company Information |
for the Year Ended 30 June 2024 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
SENIOR STATUTORY AUDITOR: |
AUDITORS: |
1 Gemini Court |
42a Throwley Way |
Sutton |
Surrey |
SM1 4AF |
Il Fornaio Limited (Registered number: 01801112) |
Strategic Report |
for the Year Ended 30 June 2024 |
The directors present their strategic report for the year ended 30 June 2024. |
REVIEW OF BUSINESS |
The principal activity of the company is the wholesale manufacturing of bakery products for the UK. The financial statements and balance sheet are expressed in £ sterling. |
The directors are satisfied with the results for a challenging year in a market which remains competitive. The post-pandemic and Brexit environment together with the conflict in Ukraine have impacted inflation to all major inputs, in particular raw materials and energy. The business has been determined to minimise the impact of these costs for its customers by way of efficiencies within production. The directors are confident that the business is well placed to meet ongoing challenges and maintain profitability in the future. |
The results for the year as set out in page 10 of the financial statements were in line with expectations of the directors. The company reported an operating profit in the period of £980,974 (2023: £838,453) with a turnover of £13,255,083 (2023: £14,743,828). At the year end the company had net assets of £3,700,089 (2023: £3,158,324). |
Bank borrowings are secured, and details of this security is disclosed in Note 15 to the financial statements. |
The Directors use a range of financial key performance indicators (KPI's) to monitor the business. These include the following: |
Turnover £13.3m which represents 10% decrease of prior year's turnover, however the Gross Profit Margin increased to 52% in 2024 from 46% for 2023.This is a satisfactory performance given the inflationary pressures in the labour market and raw materials. |
The Directors also monitor non-financial KPI's with the main focus on food waste. |
Food waste remains consistent at a satisfactory low level of 2.5% for 2024 (2023 2.5%) . With the investment and improvements within production resulting in improvements in efficiency, it is expect that the automation of production will improve this. Food waste is defined as total food waste generated in our bakery divided by the sum of production and total food waste. |
PRINCIPAL RISKS AND UNCERTAINTIES |
Performance in this sector is affected by general economic conditions and the level of competition in the market. |
The company's finance facilities have been renewed and the directors do not consider the above to create a material uncertainty. They have considered the future trading of the company and are confident the company can continue as a going concern for the foreseeable future. |
FUTURE DEVELOPMENTS |
The directors are confident that with its innovative product development in conjunction with the plant investment undertaken in the year, it will be well placed to maintain and develop new market opportunities. They aim to continue to supply some of the UK leading household names and to work closely with their customers to develop new products, improve the existing ranges and to ensure that they continue to maintain the highest standards. |
Il Fornaio Limited (Registered number: 01801112) |
Strategic Report |
for the Year Ended 30 June 2024 |
FINANCIAL RISK MANAGEMENT |
The company manages its key financial risks as follows: |
Currency Risk |
The company is exposed to transaction foreign exchange risk. The company hedges purchases in foreign currency that are expected to occur in future periods. Majority of the capital investment purchases are in foreign currency. The company policy is to actively manage the resulting currency risk, using forward contracts over the credit term periods. |
Liquidity Risk |
The company's policy is to ensure sufficient resources are available either from cash balances, cash flows and near cash liquid assets to ensure all obligations can be met when they fall due. To achieve this the company continually monitors its cash position. We have reviewed our working capital requirements and the facilities available to us, including our invoice discounting facility which has further capacity to draw down on in the future. |
Interest Rate Risk |
The company finances its operations through a mixture of retained profits and invoice finance advances. The company does not fix the interest rates on any of its borrowings. Even with the expected rise in interest rates, our forecast operating profit is more than sufficient to cover any rise in interest rates. |
Credit Risk |
The company's principal financial assets are cash and trade debtors. The credit risk associated with cash is limited as the counterpart's have high credit ratings. The majority of the trade debt is insured and overdue debt is not material. |
This report was approved by the board of directors. |
ON BEHALF OF THE BOARD: |
19 March 2025 |
Il Fornaio Limited (Registered number: 01801112) |
Report of the Directors |
for the Year Ended 30 June 2024 |
The directors present their report with the financial statements of the company for the year ended 30 June 2024. |
PRINCIPAL ACTIVITY |
The principal activity of the company in the year under review was that of wholesale bakers. |
DIVIDENDS |
An interim dividend of £ |
No interim dividend was paid on the Ordinary £1 shares. The directors recommend that no final dividend be paid on these shares. |
The total distribution of dividends for the year ended 30 June 2024 will be £ |
FUTURE DEVELOPMENTS |
Future developments in the business of the company are discussed in the strategic report. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 July 2023 to the date of this report. |
POLITICAL DONATIONS AND EXPENDITURE |
There were no political donations made during the year. |
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 she ought to have taken as a director in order to make herself aware of any relevant audit information and to establish that the company's auditors are aware of that information. |
Il Fornaio Limited (Registered number: 01801112) |
Report of the Directors |
for the Year Ended 30 June 2024 |
AUDITORS |
The auditors, Freshwater Associates 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 |
Il Fornaio Limited |
Opinion |
We have audited the financial statements of Il Fornaio Limited (the 'company') for the year ended 30 June 2024 which comprise the Income Statement, Other Comprehensive Income, Statement of Financial Position, Statement of Changes in Equity, Statement of Cash Flows and Notes to the Statement of Cash Flows, 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 30 June 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. |
Report of the Independent Auditors to the Members of |
Il Fornaio Limited |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the company and its environment obtained in the course of the audit, we have not identified material misstatements in the Strategic Report or the Report of the Directors. |
We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you if, in our opinion: |
- | adequate accounting records have not been kept, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of directors' remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
Responsibilities of directors |
As explained more fully in the Statement of Directors' Responsibilities set out on page four, 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. |
Report of the Independent Auditors to the Members of |
Il Fornaio Limited |
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: |
Based on our understanding of the company and industry, we identified the principal risks of non-compliance with laws and regulations related to data protection, health and safety ;legislation and environmental law. We also considered those laws and regulations that have a direct impact on the preparation of the financial statements such as Companies Act 2006 and Financial Reporting Standards. |
We evaluated management's incentives and opportunities for fraudulent manipulation of the financial statements and determined that the principal risks related to fraudulent financial reporting and management bias in accounting estimates. |
We communicated the identified laws and regulations throughout the audit team and remained alert to any indications of non-compliance throughout the audit. Audit procedures performed by the auditors included, but were not limited to: |
Discussions with management including consideration of known or suspected instances of non-compliance with laws and regulations and fraud. |
Challenging assumptions and judgements made by management in their significant accounting estimates and |
Identifying and testing of unusual journal entries. |
Owing to the inherent limitations of an audit, there is a risk that we will not detect all irregularities, including those |
leading to a material misstatement in the financial statements or non-compliance with regulation. The risk increases the more that compliance with a law or regulation is removed from the events and transactions reflected in the financial statements, as we will be less likely to become aware of instances of non-compliance. The risk is also greater regarding irregularities occurring due to fraud rather than error, as fraud involves intentional concealment, forgery, collusion,omission or misrepresentation. |
As part of an audit in accordance with ISAs (UK) we exercise professional judgment and maintain professional |
scepticism throughout the audit. We also: |
Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. |
Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the internal control. |
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by directors. |
Conclude on the appropriateness of the directors' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. |
Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and |
whether the financial statements represent the underlying transactions and events in a manner that achieves fair |
presentation. |
Report of the Independent Auditors to the Members of |
Il Fornaio Limited |
We communicate with those charged with governance regarding, among other matters, the planned scope and timing often audit and significant audit findings, including any significant deficiencies in internal control we identify during our audit. |
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 |
1 Gemini Court |
42a Throwley Way |
Sutton |
Surrey |
SM1 4AF |
Il Fornaio Limited (Registered number: 01801112) |
Income Statement |
for the Year Ended 30 June 2024 |
2024 | 2023 |
Notes | £ | £ | £ | £ |
REVENUE |
Cost of sales |
GROSS PROFIT |
Distribution costs |
Administrative expenses |
5,954,423 | 5,995,635 |
OPERATING PROFIT | 4 |
Interest receivable and similar income |
1,018,084 | 859,662 |
Interest payable and similar expenses | 5 |
PROFIT BEFORE TAXATION |
Tax on profit | 6 |
PROFIT FOR THE FINANCIAL YEAR |
Il Fornaio Limited (Registered number: 01801112) |
Other Comprehensive Income |
for the Year Ended 30 June 2024 |
2024 | 2023 |
Notes | £ | £ |
PROFIT FOR THE YEAR |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
Il Fornaio Limited (Registered number: 01801112) |
Statement of Financial Position |
30 June 2024 |
2024 | 2023 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Property, plant and equipment | 8 |
CURRENT ASSETS |
Inventories | 9 |
Debtors | 10 |
Cash at bank |
CREDITORS |
Amounts falling due within one year | 11 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year |
12 |
( |
) |
( |
) |
PROVISIONS FOR LIABILITIES | 16 | ( |
) | ( |
) |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 17 |
Retained earnings | 18 |
SHAREHOLDERS' FUNDS |
The financial statements were approved by the Board of Directors and authorised for issue on |
Il Fornaio Limited (Registered number: 01801112) |
Statement of Changes in Equity |
for the Year Ended 30 June 2024 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 July 2022 |
Changes in equity |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - |
Balance at 30 June 2023 |
Changes in equity |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - |
Balance at 30 June 2024 |
Il Fornaio Limited (Registered number: 01801112) |
Statement of Cash Flows |
for the Year Ended 30 June 2024 |
2024 | 2023 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 |
Interest paid | ( |
) | ( |
) |
Interest element of hire purchase payments paid |
( |
) |
( |
) |
Finance costs paid | - | (280,555 | ) |
Tax paid | ( |
) |
Net cash from operating activities |
Cash flows from investing activities |
Purchase of tangible fixed assets | ( |
) | ( |
) |
Sale of tangible fixed assets |
Interest received |
Net cash from investing activities | ( |
) | ( |
) |
Cash flows from financing activities |
New loans in year |
Loan repayments in year | ( |
) |
Capital repayments in year |
Amount withdrawn by directors | (27,466 | ) | (214,751 | ) |
Equity dividends paid | ( |
) | ( |
) |
Net cash from financing activities | ( |
) |
Increase/(decrease) in cash and cash equivalents | ( |
) |
Cash and cash equivalents at beginning of year |
2 |
1,636,444 |
Cash and cash equivalents at end of year | 2 | 2,222,807 | 1,421,248 |
Il Fornaio Limited (Registered number: 01801112) |
Notes to the Statement of Cash Flows |
for the Year Ended 30 June 2024 |
1. | RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
2024 | 2023 |
£ | £ |
Profit before taxation |
Depreciation charges |
Profit on disposal of fixed assets | ( |
) |
Finance costs | 182,576 | 97,013 |
Finance income | (37,110 | ) | (21,209 | ) |
1,683,980 | 1,689,478 |
Decrease/(increase) in inventories | ( |
) |
Increase in trade and other debtors | ( |
) | ( |
) |
(Decrease)/increase in trade and other creditors | ( |
) |
Cash generated from operations |
2. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Statement of Cash Flows in respect of cash and cash equivalents are in respect of these Statement of Financial Position amounts: |
Year ended 30 June 2024 |
30.6.24 | 1.7.23 |
£ | £ |
Cash and cash equivalents | 2,222,807 | 1,421,248 |
Year ended 30 June 2023 |
30.6.23 | 1.7.22 |
£ | £ |
Cash and cash equivalents | 1,421,248 | 1,636,444 |
3. | ANALYSIS OF CHANGES IN NET DEBT |
At 1.7.23 | Cash flow | At 30.6.24 |
£ | £ | £ |
Net cash |
Cash at bank | 1,421,248 | 801,559 | 2,222,807 |
1,421,248 | 2,222,807 |
Debt |
Finance leases | (188,753 | ) | (73,105 | ) | (261,858 | ) |
Debts falling due within 1 year | (100,943 | ) | 53,733 | (47,210 | ) |
Debts falling due after 1 year | (1,906,696 | ) | 14,537 | (1,892,159 | ) |
(2,196,392 | ) | (4,835 | ) | (2,201,227 | ) |
Total | (775,144 | ) | 796,724 | 21,580 |
Il Fornaio Limited (Registered number: 01801112) |
Notes to the Financial Statements |
for the Year Ended 30 June 2024 |
1. | STATUTORY INFORMATION |
Il Fornaio Limited is a |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
Significant judgements and estimates |
The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the amounts reported. These estimates and judgements are continually reviewed and are based on experience and other factors, including expectations of future events that are believed ot be reasonable under the circumstances. |
Turnover |
Turnover represents sales of goods net of VAT and trade discounts. Turnover is recognised when the goods are physically delivered to the customer. |
Property, plant & equipment |
Short leasehold | - |
Bakery equipment | - |
Plant and machinery | - |
Fixtures and fittings | - |
Motor vehicles | - |
Computer equipment | - |
Inventories |
Inventories 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 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 statement of financial position date. |
Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the statement of financial position date. |
Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the timing difference. |
Unrelieved tax losses and other deferred tax assets are recognised only to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. |
Il Fornaio Limited (Registered number: 01801112) |
Notes to the Financial Statements - continued |
for the Year Ended 30 June 2024 |
2. | ACCOUNTING POLICIES - continued |
Foreign currencies |
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the statement of financial position date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result. |
Hire purchase and leasing commitments |
Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter. |
The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability. |
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 company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate. |
Operating leases |
Rentals applicable to operating leases where substantially all of the benefits and risks of ownership remain with the lessor are charged to the profit and loss account as incurred. |
3. | EMPLOYEES AND DIRECTORS |
2024 | 2023 |
£ | £ |
Wages and salaries |
Social security costs |
Other pension costs |
The average number of employees during the year was as follows: |
2024 | 2023 |
Administrative and operations staff |
2024 | 2023 |
£ | £ |
Directors' remuneration |
Information regarding the highest paid director is as follows: |
2024 | 2023 |
£ | £ |
Emoluments etc |
Il Fornaio Limited (Registered number: 01801112) |
Notes to the Financial Statements - continued |
for the Year Ended 30 June 2024 |
4. | OPERATING PROFIT |
The operating profit is stated after charging/(crediting): |
2024 | 2023 |
£ | £ |
Hire of plant and machinery |
Other operating leases |
Depreciation - owned assets |
Depreciation - assets on hire purchase contracts |
Profit on disposal of fixed assets | ( |
) |
Auditors' remuneration |
Foreign exchange differences |
The number of directors to whom retirement benefits were accruing was as follows: |
Self Invested Personal Pension | 4 4 |
5. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2024 | 2023 |
£ | £ |
Bank interest |
Loan interest |
HMRC interest |
Loan Arrangement fees |
Hire purchase |
6. | TAXATION |
Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
2024 | 2023 |
£ | £ |
Current tax: |
PY Tax Adjustments | (74,242 | ) | (52,426 | ) |
Deferred tax |
Tax on profit |
UK corporation tax has been charged at 25% (2023 - 25%). |
Il Fornaio Limited (Registered number: 01801112) |
Notes to the Financial Statements - continued |
for the Year Ended 30 June 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 |
Profit multiplied by the standard rate of corporation tax in the UK of (2023 - |
Effects of: |
Expenses not deductible for tax purposes |
Capital allowances in excess of depreciation | - | ( |
) |
Depreciation in excess of capital allowances | - |
Utilisation of tax losses | ( |
) |
Adjustments to tax charge in respect of previous periods | ( |
) | ( |
) |
Deferred tax | 210,183 | 82,722 |
Total tax charge | 135,644 | 30,296 |
The PY tax adjustment related to the Research and Development credit claimed for the year end 30/06/2022. |
7. | DIVIDENDS |
2024 | 2023 |
£ | £ |
Ordinary A shares of £1 each |
Interim |
8. | PROPERTY, PLANT AND EQUIPMENT |
Short | Bakery | Plant and |
leasehold | equipment | machinery |
£ | £ | £ |
COST |
At 1 July 2023 |
Additions |
Disposals | ( |
) |
At 30 June 2024 |
DEPRECIATION |
At 1 July 2023 |
Charge for year |
Eliminated on disposal | ( |
) |
At 30 June 2024 |
NET BOOK VALUE |
At 30 June 2024 |
At 30 June 2023 |
Il Fornaio Limited (Registered number: 01801112) |
Notes to the Financial Statements - continued |
for the Year Ended 30 June 2024 |
8. | PROPERTY, PLANT AND EQUIPMENT - continued |
Fixtures |
and | Motor | Computer |
fittings | vehicles | equipment | Totals |
£ | £ | £ | £ |
COST |
At 1 July 2023 |
Additions |
Disposals | ( |
) |
At 30 June 2024 |
DEPRECIATION |
At 1 July 2023 |
Charge for year |
Eliminated on disposal | ( |
) |
At 30 June 2024 |
NET BOOK VALUE |
At 30 June 2024 |
At 30 June 2023 |
Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
Plant and | Motor |
machinery | vehicles | Totals |
£ | £ | £ |
COST |
At 1 July 2023 |
and 30 June 2024 |
DEPRECIATION |
At 1 July 2023 |
Charge for year |
At 30 June 2024 |
NET BOOK VALUE |
At 30 June 2024 |
At 30 June 2023 |
9. | INVENTORIES |
2024 | 2023 |
£ | £ |
Raw materials and consumables | 179,409 | 247,510 |
Finished goods |
Il Fornaio Limited (Registered number: 01801112) |
Notes to the Financial Statements - continued |
for the Year Ended 30 June 2024 |
10. | DEBTORS |
2024 | 2023 |
£ | £ |
Amounts falling due within one year: |
Trade debtors |
Tax Debtor | 77,976 | - |
V.A.T. |
Other debtors | 2,550 | 6,600 |
Factoring account | 111,830 | 105,832 |
Prepayments |
Amounts falling due after more than one year: |
Vachione Property Co Ltd | 538,175 | 507,631 |
Aggregate amounts |
At the balance sheet date, included in other debtors due within more than one year £538,175 (2023: £507,631) was owed by Varchione Property Co. Ltd which is under common control. Loan interest of £15,979 (2023: £15,072) was received during the year. |
11. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2024 | 2023 |
£ | £ |
Bank loans and overdrafts (see note 13) |
Hire purchase contracts (see note 14) |
Trade creditors |
Social security and other taxes |
Pension control account | 9,082 | 8,779 |
Directors' current accounts | 55,341 | 82,807 |
Accrued expenses |
12. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
2024 | 2023 |
£ | £ |
Bank loans (see note 13) |
Other loans (see note 13) |
Hire purchase contracts (see note 14) |
13. | LOANS |
An analysis of the maturity of loans is given below: |
2024 | 2023 |
£ | £ |
Amounts falling due within one year or on demand: |
Bank loans |
Il Fornaio Limited (Registered number: 01801112) |
Notes to the Financial Statements - continued |
for the Year Ended 30 June 2024 |
13. | LOANS - continued |
2024 | 2023 |
£ | £ |
Amounts falling due between one and two years: |
Bank loans - 1-2 years |
Pension Scheme Loan | - | 22,421 |
Amounts falling due between two and five years: |
Bank Loans 2-5 years | 164,924 | 302,830 |
Amounts falling due in more than five years: |
Repayable by instalments |
Bank loans more 5 yr by instal | 1,679,777 | 1,480,502 |
A long term loan of £1.94m was outstanding to NatWest Bank on 30 June 2024. The repayment started from February 2023 with 240 months of repayment terms. The interest rate is 3.5% p.a. over base rate. |
14. | LEASING AGREEMENTS |
Minimum lease payments under hire purchase fall due as follows: |
2024 | 2023 |
£ | £ |
Gross obligations repayable: |
Within one year |
Between one and five years |
Finance charges repayable: |
Within one year |
Between one and five years |
Net obligations repayable: |
Within one year |
Between one and five years |
15. | SECURED DEBTS |
The company's overdraft facility is secured by a debenture on the company and directors unsupported guarantees. |
The company's invoice finance facility is secured by a company debenture. |
Il Fornaio Limited (Registered number: 01801112) |
Notes to the Financial Statements - continued |
for the Year Ended 30 June 2024 |
16. | PROVISIONS FOR LIABILITIES |
2024 | 2023 |
£ | £ |
Deferred tax |
Accelerated capital allowances |
Tax losses carried forward | ( |
) | ( |
) |
414,170 | 204,284 |
Deferred |
tax |
£ |
Balance at 1 July 2023 |
Accelerated C/A movement | (100,958 | ) |
Utilised losses movement | 310,844 |
Balance at 30 June 2024 |
17. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2024 | 2023 |
value: | £ | £ |
Ordinary | £1 | 100 | 100 |
Ordinary A | £1 | 45 | 45 |
145 | 145 |
The Ordinary Shares shall be non redeemable but shall hold full rights in respect of Voting, and shall entitle the holder to full participation in respect of equity and in the event of a winding up. |
The Ordinary 'A' Shares shall be non-voting shares and the registered holder thereof shares shall on a winding up or other payment of capital, be entitled to participate in the assets of the Company, which the Company may determine to distribute by way of dividends but only when dividends are declared for the Ordinary 'A' Shares. Different rates of dividends may be declared and dividends may be declared for one class of share and not for the other classes of shares. |
18. | RESERVES |
Retained |
earnings |
£ |
At 1 July 2023 |
Profit for the year |
Dividends | ( |
) |
At 30 June 2024 |
19. | PENSION COMMITMENTS |
The amount recognised as an expense in the year relating to defined contribution plans was £93,419 (2023: £95,447). |
Il Fornaio Limited (Registered number: 01801112) |
Notes to the Financial Statements - continued |
for the Year Ended 30 June 2024 |
20. | RELATED PARTY DISCLOSURES |
During the year, total rent payments of £114,410 (2023: £114,410) were paid to Varchione Property Co. Ltd, a company incorporated in England and Wales and under common control. |
At the balance sheet date, a long term loan of £538,175 (2023: £507,631) was due from Varchione Property Co. Ltd, the interest was charged at a rate of 3.06%. The loan is repayable by 30/06/2030. |
During the year, total rent payments of £291,960 (2023: £119,454) were paid to The Varchione Retirement Benefits Scheme, a scheme where all four directors were members. |
21. | ULTIMATE CONTROLLING PARTY |
The ultimate controlling parties are considered to be the four directors of the company, who together own 100% of the issued ordinary share capital. |