REGISTERED NUMBER: |
| Strategic Report, Report of the Directors and |
| Audited Financial Statements |
| for the Year Ended 31 December 2024 |
for |
| Plastek UK Limited |
REGISTERED NUMBER: |
| Strategic Report, Report of the Directors and |
| Audited Financial Statements |
| for the Year Ended 31 December 2024 |
for |
| Plastek UK Limited |
Plastek UK Limited (Registered number: 03567624) |
Contents of the Financial Statements |
for the Year Ended 31 December 2024 |
Page |
Company Information | 1 |
Strategic Report | 2 |
Report of the Directors | 4 |
Independent Auditors' Report | 6 |
Statement of Comprehensive Income | 9 |
Balance Sheet | 10 |
Statement of Changes in Equity | 11 |
Cash Flow Statement | 12 |
Notes to the Cash Flow Statement | 13 |
Notes to the Financial Statements | 15 |
Plastek UK Limited |
Company Information |
for the Year Ended 31 December 2024 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
AUDITORS: |
Black Country House |
Rounds Green Road |
Oldbury |
West Midlands |
B69 2DG |
Plastek UK Limited (Registered number: 03567624) |
Strategic Report |
for the Year Ended 31 December 2024 |
The directors present their report with the financial statements of the company for the year ended 31 December 2024. |
PRINCIPAL ACTIVITY |
The Company is a member of the USA based Plastek Group ("Group"), a renowned world class manufacturer within the plastics industry. The focus of the Company is the design, manufacture, assembly and decoration of plastic packaging solutions for the personal care, cosmetic, pharmaceutical and food markets. The Company aims to deliver total quality, design and manufacturing service to its customers, through innovative development of products, processes and people. |
REVIEW OF BUSINESS |
The results for the year are set out in the Income Statement on page 9. |
In 2024 Plastek UK faced a challenging operational landscape marked by shifts in customer demand and ongoing cost pressures. Volume output increased, although the shifting mix of products and customers resulted in modest revenue improvement and decreased profitability. The revenue line improved by approximately GBP 0.5 million, however increased spending on freight and maintenance negatively impacted earnings. |
Market dynamics were influenced by inflation, retailer strategies, raw material costs, and shifting consumer preferences. Grocery inflation rose to 2.3% year-on-year, prompting early seasonal shopping and strategic purchasing. Consumers increasingly turned to affordable alternatives, amid a slowdown in spending on premium items. |
In this challenging landscape, our company demonstrated continued resilience and adaptability. New business was secured in the second half and efficiently brought on board. We prioritized optimizing operational efficiency and rationalizing costs to alleviate the impact of inflation and rising costs, minimizing the impact to profitability. |
KEY PERFORMANCE INDICATORS |
The following are some of the most significant key performance indicators identified by the Directors: |
- Net cash from operating activities |
- Debtor days |
- Inventory levels and turnover |
- Creditor days |
- Scrap |
- Performance compared to budget |
The Directors monitor the Company's performance on a regular basis through review of monthly financial reports |
prepared by Company management. |
PRINCIPAL RISKS AND UNCERTAINTIES |
Risk is present in all businesses and the board regularly reviews the risks faced by the company. The directors consider the following to be the major risks and uncertainties faced by the company at this point in time: |
Market uncertainties - the company's markets are typically dominated by a few key customers. Many of our largest customers have traded with us both in the UK and the US for many years during which time we have built up strong relationships. However the motive for customers to switch suppliers continues to be high and often can only be averted by maintaining high standards of quality, the highest quality of service and a continued effort to address and monitor the base cost of the product ensuring at all times the delivery of best value to customers. |
Maintaining operating margins - operating margins in the plastic packaging industry continue to be difficult. The company is competing with large multinational corporations with significant resources and capital. The Plastek Group continues to consolidate its presence in the market focusing on looking for improvements in manufacturing and operating techniques. |
Exchange rate risk - the company sells in sterling, Euros and US dollars and is therefore regularly affected by changes in the exchange rates. The company seeks to mitigate the risk associated with such fluctuations by holding dollar and euro bank accounts and by the forward purchase of Euros from time to time. |
Plastek UK Limited (Registered number: 03567624) |
Strategic Report |
for the Year Ended 31 December 2024 |
OUTOOK FOR 2025 |
Looking forward to 2025, Plastek UK anticipates further growth as late 2024 business gains are brought fully on board. General market demand is expected to experience modest growth amid ongoing economic challenges. Rising business costs and inflation will continue to play a role. Nonetheless, we anticipate a modest improvement in business profitability compared to 2024 levels. |
Plastek UK will continue its focus on optimizing operational efficiency, enhancing product offerings, and strengthening customer relationships. The company remains committed to adding value and maintaining its competitive position in the market. |
ON BEHALF OF THE BOARD: |
Plastek UK Limited (Registered number: 03567624) |
Report of the Directors |
for the Year Ended 31 December 2024 |
The directors present their report with the financial statements of the company for the year ended 31 December 2024. |
DIVIDENDS |
No dividends will be distributed for the year ended 31 December 2024. |
DIRECTORS |
The directors shown below have held office during the whole of the period from 1 January 2024 to the date of this report. |
EMPLOYMENT OF DISABLED PERSONS |
The company is committed to a policy of recruitment and promotion on the basis of aptitude and ability without discrimination of any kind. Management actively pursues both the employment of disabled persons whenever a suitable vacancy arises and the continued employment and retraining of employees who have become disabled whilst employed by the company. Particular attention is given to the training, career development and promotion of disabled employees with a view to encouraging them to play an active role in the development of the company. |
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. |
- | state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements. |
| 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 AUDITOR |
| 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 ought to have taken as a director in order to make himself aware of any relevant audit information and to establish that the company's auditors are aware of that information. |
Plastek UK Limited (Registered number: 03567624) |
Report of the Directors |
for the Year Ended 31 December 2024 |
AUDITORS |
Crowe U.K. LLP has indicated its willingness to be reappointed as statutory auditor. |
ON BEHALF OF THE BOARD: |
Independent Auditors' Report to the Members of |
Plastek UK Limited |
Opinion |
We have audited the financial statements of Plastek UK Limited for the year ended 31 December 2024 which comprise the Statement of Comprehensive Income, Balance Sheet, Statement of Changes in Equity, Cash Flow Statement and Notes to the Cash Flow Statement, and notes to the financial statements, including significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 The Financial Reporting Standard applicable in the UK and Republic of Ireland (United Kingdom Generally Accepted Accounting Practice). |
In our opinion the financial statements: |
- | give a true and fair view of the state of the company's affairs as at 31 December 2024 and of its loss for the year then ended; |
- | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis for opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditor's responsibilities for the audit of the financial statements section of our report. We are independent of the company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. |
Conclusions relating to going concern |
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the 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 contained within the annual report. The other information comprises the information included in the annual report, other than the financial statements and our auditor's report 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. |
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. |
Opinion on other matter prescribed by the Companies Act 2006 |
In our opinion based on the work undertaken in the course of our audit |
- | the information given in the strategic report and the directors' report for the financial year for which the financial statements are prepared is consistent with the financial statements; and |
- | the strategic report and the directors' report have been prepared in accordance with applicable legal requirements. |
Independent Auditors' Report to the Members of |
Plastek UK 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 directors' report. |
We have nothing to report in respect of the following matters in relation to which the Companies Act 2006 requires us to report to you if, in our opinion: |
- | adequate accounting records have not been kept by the company, 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 directors' responsibilities statement set out on page 4, the directors are responsible for the preparation of the financial statements and for being satisfied that they give a true and fair view, and for such internal control as the directors determine is necessary to enable the preparation of financial statements that are free from material misstatement, whether due to fraud or error. |
In preparing the financial statements, the directors are responsible for assessing the company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the company or to cease operations, or have no realistic alternative but to do so. |
Auditor's responsibilities for the audit of the financial statements |
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. |
Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. |
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: |
We obtained an understanding of the legal and regulatory frameworks within which the Company operates, focusing on those laws and regulations that have a direct effect on the determination of material amounts and disclosures in the financial statements. The laws and regulations we considered in this context were the Companies Act 2006. We assessed the required compliance with these laws and regulations as part of our audit procedures on the related financial statement items. |
In addition, we considered provisions of other laws and regulations that do not have a direct effect on the financial statements but compliance with which might be fundamental to the Company's ability to operate or to avoid a material penalty. We also considered the opportunities and incentives that may exist within the Company for fraud. The laws and regulations we considered in this context for the UK operations were General Data Protection Regulation (GDPR), Anti-fraud, bribery and corruption legislation, environmental protection legislation, Health and safety legislation, Taxation legislation and Employment legislation. |
Auditing standards limit the required audit procedures to identify non-compliance with these laws and regulations to enquiry of the Directors and other management and inspection of regulatory and legal correspondence, if any. |
We identified the greatest risk of material impact on the financial statements from irregularities, including fraud, to be in the following areas: timing of recognition of income; the override of controls by management, including posting of unusual journals and inappropriate treatment of non-routine transactions and areas of estimation uncertainty. |
Our audit procedures to respond to these risks included enquiries of management about their own identification and assessment of the risks of irregularities, review and discussion of non-routine transactions, sample testing on the posting of journals and income transactions and review of accounting estimates for biases. |
Independent Auditors' Report to the Members of |
Plastek UK Limited |
Auditor's responsibilities for the audit of the financial statements - continued |
Because of 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. This 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. |
A further description of our responsibilities for the audit of the financial statements is available on the Financial Reporting Council's website at: www.frc.org.uk/auditorsresponsibilities. This description forms part of our auditor's report. |
Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in an auditor's report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
for and on behalf of |
Black Country House |
Rounds Green Road |
Oldbury |
West Midlands |
B69 2DG |
Plastek UK Limited (Registered number: 03567624) |
Statement of Comprehensive Income |
for the Year Ended 31 December 2024 |
31.12.24 | 31.12.23 |
Notes | £ | £ |
TURNOVER | 3 |
Cost of sales |
GROSS PROFIT |
Administrative expenses |
OPERATING (LOSS)/PROFIT | 5 | ( | ) |
Interest receivable and similar income |
(403,497 | ) | 714,141 |
Interest payable and similar expenses | 6 |
(LOSS)/PROFIT BEFORE TAXATION | ( | ) |
Tax on (loss)/profit | 7 | ( | ) |
(LOSS)/PROFIT FOR THE FINANCIAL YEAR | ( | ) |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR | ( | ) |
Plastek UK Limited (Registered number: 03567624) |
Balance Sheet |
31 December 2024 |
31.12.24 | 31.12.23 |
Notes | £ | £ | £ |
FIXED ASSETS |
Tangible assets | 9 |
CURRENT ASSETS |
Stocks | 10 |
Debtors | 11 |
Cash at bank and in hand |
CREDITORS |
Amounts falling due within one year | 12 |
NET CURRENT ASSETS |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year | 13 | ( | ) | ( | ) |
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 |
Plastek UK Limited (Registered number: 03567624) |
Statement of Changes in Equity |
for the Year Ended 31 December 2024 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 January 2023 |
Changes in equity |
Dividends | - | ( | ) | ( | ) |
Total comprehensive income | - |
Balance at 31 December 2023 |
Changes in equity |
Total comprehensive income | - | ( | ) | ( | ) |
Balance at 31 December 2024 |
Plastek UK Limited (Registered number: 03567624) |
Cash Flow Statement |
for the Year Ended 31 December 2024 |
31.12.24 | 31.12.23 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | ( | ) |
Interest paid | ( | ) | ( | ) |
Interest element of finance lease payments paid | ( | ) | ( | ) |
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 |
Increase (decrease) in parent loan | 394,235 | 113,406 |
Capital repayments in year | ( | ) |
Equity dividends paid | ( | ) |
Net cash from financing activities | ( | ) |
(Decrease)/increase in cash and cash equivalents | ( | ) |
Cash and cash equivalents at beginning of year | 2 | 567,070 |
Cash and cash equivalents at end of year | 2 | ( | ) | 590,897 |
Plastek UK Limited (Registered number: 03567624) |
Notes to the Cash Flow Statement |
for the Year Ended 31 December 2024 |
1. | RECONCILIATION OF (LOSS)/PROFIT BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
31.12.24 | 31.12.23 |
£ | £ |
(Loss)/profit before taxation | ( | ) |
Depreciation charges |
Loss/(profit) on disposal of fixed assets | ( | ) |
Adjustment for exchange loss | 5,275 | (25,612 | ) |
Fair value adjustment forward contracts | - | (76,428 | ) |
Finance costs | 213,457 | 259,098 |
Finance income | (7,420 | ) | (1,301 | ) |
362,114 | 1,446,103 |
(Increase)/decrease in stocks | ( | ) |
(Increase)/decrease 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 December 2024 |
31.12.24 | 1.1.24 |
£ | £ |
Cash and cash equivalents | 6,731 | 590,897 |
Bank overdrafts | ( | ) |
(112,761 | ) | 590,897 |
Year ended 31 December 2023 |
31.12.23 | 1.1.23 |
£ | £ |
Cash and cash equivalents | 590,897 | 567,070 |
Plastek UK Limited (Registered number: 03567624) |
Notes to the Cash Flow Statement |
for the Year Ended 31 December 2024 |
3. | ANALYSIS OF CHANGES IN NET FUNDS/(DEBT) |
At 1.1.24 | Cash flow | At 31.12.24 |
£ | £ | £ |
Net cash |
Cash at bank and in hand | 590,897 | (584,166 | ) | 6,731 |
Bank overdrafts | - | (119,492 | ) | (119,492 | ) |
590,897 | ( | ) | (112,761 | ) |
Debt |
Finance leases | (503,841 | ) | 98,868 | (404,973 | ) |
(503,841 | ) | 98,868 | (404,973 | ) |
Total | 87,056 | (604,790 | ) | (517,734 | ) |
Plastek UK Limited (Registered number: 03567624) |
Notes to the Financial Statements |
for the Year Ended 31 December 2024 |
1. | COMPANY INFORMATION |
Plastek UK Limited's continuing principal activities during the year were the design, manufacture, assembly and decoration of plastic packaging solutions for the personal care, cosmetic, pharmaceutical and food markets. |
The Company (registered number 03567624) is a private company limited by shares, incorporated and domiciled in the UK. The address of the registered office and principal place of business is Crown Farm Way, Forest Town, Mansfield, Nottinghamshire, NG19 0FT. |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
The directors have considered whether the accounts should be prepared on a going concern basis. The directors have prepared detailed budgets and forecasts and will continue to trade within the current facilities in place at company and group level. The parent company has confirmed that, if required, it will provide support as necessary to ensure the Company is able to continue to meet its obligations as they fall due. On the basis of these factors, the directors consider that it is appropriate to prepare the accounts on a going concern basis.The Plastek Group have confirmed their intention to support Plastek UK Limited for the foreseeable future. |
The financial statements have been prepared under the historical cost convention and are in accordance with applicable accounting standards. |
The following principal accounting policies have been applied: |
Significant judgements and estimates |
| Preparation of the financial statements requires management to make significant judgements and estimates. The items in the financial statements where these judgements and estimates have been made include: |
| Stock provisioning |
| Stocks are stated at the lower of cost or net realisable value. Net realisable value is based on selling price less further costs expected to be incurred to completion and disposal. Provision is made for obsolete, slow-moving or defective items where appropriate, based on management's knowledge and historical information. If actual demand or usage were to be lower than estimated, additional stock provision for excess or obsolete stocks may be required, which could have an adverse effect on our results. |
| Trade debtor provisioning |
| An allowance for doubtful accounts is maintained for potential credit losses based upon management's assessment of the expected collectability of all accounts receivable. The allowance for doubtful accounts is reviewed periodically to assess the adequacy of the allowance. |
Turnover |
Revenue is recognised to the extent that it is probable that the economic benefits will flow to the company and the revenue can be reliably measured. Revenue is measured as the fair value of the consideration received or receivable, excluding discounts, rebates value added tax and other sales taxes. |
The following criteria is used to determine when revenue is recognised: |
Goods |
Revenue is recognised when the significant risks and rewards of ownership have transferred to the customer. This is usually at the point when the goods are despatched. |
Plastek UK Limited (Registered number: 03567624) |
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2024 |
2. | ACCOUNTING POLICIES - continued |
Tangible fixed assets |
| Depreciation is provided to write off the cost of the asset, less estimated residual values, of all tangible fixed assets, except for freehold land, evenly over their expected useful lives. It is calculated at the following rates: |
| Freehold property | - 2% straight line |
| Plant, machinery and equipment | - 10%-25% straight line |
Stocks |
Stocks are valued at the lower of cost and net realisable value. Cost is based on the cost of purchase on a first in first out basis. For work in progress and finished goods, cost includes all direct expenditure, including production and other overheads, based on normal levels of activity, incurred in bringing products to their present location and condition. Net realisable value is based on estimated selling price less additional costs to completion and disposal. |
At each reporting date, stocks are assessed for impairment. If stock is impaired, the carrying amount is reduced to its selling price less costs to complete and sell. The impairment loss is recognised immediately in profit or loss. |
Taxation |
| Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive Income, 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 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. |
Plastek UK Limited (Registered number: 03567624) |
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2024 |
2. | ACCOUNTING POLICIES - continued |
Leased assets |
Where assets are financed by leasing agreements that give rights approximating to ownership (finance leases), the assets are treated as if they had been purchased outright. The amount capitalised is the present value of the minimum lease payments payable during the lease term. The corresponding leasing commitments are shown as amounts payable to the lessor. Depreciation on the relevant assets is charged to the profit and loss account. |
Lease payments are analysed between capital and interest components. The interest element of the payment is charged to the profit and loss account over the period of the lease and is calculated so that it represents a constant proportion of the balance of capital repayments outstanding. The capital part reduces the amounts payable to the lessor. |
All lessor leases are treated as operating leases. Their annual rentals are credited to the profit and loss account on a straight line basis over the term of the lease. |
All other leases are treated as operating leases. Their annual rentals are charged to the profit and loss account on a straight line basis over the term of the lease. |
Pension costs and other post-retirement benefits |
| The company operates a defined contribution pension scheme. |
| The contributions are recognised as an expense in the Income Statement when they fall due. Amounts not paid are shown in accruals as a liability in the Statement of Financial Position. The assets of the plan are held separately from the company in independently administered funds. |
Debtors |
Short term debtors are measured at cost, less any impairment. |
Financial instruments |
The company enters into basic financial instruments transactions that result in the recognition of financial assets and liabilities like trade and other accounts receivable and payable, loans from banks and other third parties, and loans to related parties. |
3. | TURNOVER |
The turnover and loss (2023 - profit) before taxation are attributable to the one principal activity of the company. |
An analysis of turnover by geographical market is given below: |
31.12.24 | 31.12.23 |
£ | £ |
United Kingdom |
Europe |
Rest of the World | 4,948,660 | 3,440,592 |
4. | EMPLOYEES AND DIRECTORS |
31.12.24 | 31.12.23 |
£ | £ |
Wages and salaries |
Social security costs |
Other pension costs |
Plastek UK Limited (Registered number: 03567624) |
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2024 |
4. | EMPLOYEES AND DIRECTORS - continued |
The average number of employees during the year was as follows: |
31.12.24 | 31.12.23 |
Administration | 8 | 10 |
Selling | 4 | 2 |
Production | 86 | 99 |
31.12.24 | 31.12.23 |
£ | £ |
Directors' remuneration |
5. | OPERATING (LOSS)/PROFIT |
The operating loss (2023 - operating profit) is stated after charging/(crediting): |
31.12.24 | 31.12.23 |
£ | £ |
Depreciation - owned assets |
Depreciation - assets on finance leases |
Loss/(profit) on disposal of fixed assets | ( | ) |
Foreign exchange differences | ( | ) |
Audit services |
Non - audit services (just tax) |
Change in fair value of derivative financial instruments | ( | ) |
6. | INTEREST PAYABLE AND SIMILAR EXPENSES |
31.12.24 | 31.12.23 |
£ | £ |
Bank interest |
Other interest |
Interest payable |
Finance lease |
Other interest is interest paid on customers early payment settlements. |
Plastek UK Limited (Registered number: 03567624) |
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2024 |
7. | TAXATION |
Analysis of the tax (credit)/charge |
The tax (credit)/charge on the loss for the year was as follows: |
31.12.24 | 31.12.23 |
£ | £ |
Current tax: |
UK corporation tax | ( | ) |
Previous year adjustment | - | (3,441 | ) |
Total current tax | ( | ) |
Deferred tax | ( | ) |
Tax on (loss)/profit | ( | ) |
Reconciliation of total tax (credit)/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: |
31.12.24 | 31.12.23 |
£ | £ |
(Loss)/profit before tax | ( | ) |
(Loss)/profit multiplied by the standard rate of corporation tax in the UK of | ( | ) |
Effects of: |
Expenses not deductible for tax purposes |
Depreciation in excess of capital allowances |
Adjustments to tax charge in respect of previous periods | ( | ) |
Effect of decreased tax rate on corporation tax balance | ( | ) |
on deferred tax balance |
Rounding | ( | ) |
Total tax (credit)/charge | (102,122 | ) | 147,673 |
8. | DIVIDENDS |
31.12.24 | 31.12.23 |
£ | £ |
'A' Ordinary shares shares of £1 each |
Interim |
'B' Ordinary shares shares of £1 each |
Interim |
Redeemable preference shares shares of £1 each |
Interim |
Plastek UK Limited (Registered number: 03567624) |
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2024 |
9. | TANGIBLE FIXED ASSETS |
Plant, |
Freehold | machinery |
property | & equipment | Totals |
£ | £ | £ |
COST |
At 1 January 2024 |
Additions |
Disposals | ( | ) | ( | ) |
At 31 December 2024 |
DEPRECIATION |
At 1 January 2024 |
Charge for year |
Eliminated on disposal | ( | ) | ( | ) |
At 31 December 2024 |
NET BOOK VALUE |
At 31 December 2024 |
At 31 December 2023 |
Included in cost of land and buildings is freehold land of £ 900,000 (2023 - £ 900,000 ) which is not depreciated. |
Fixed assets, included in the above, which are held under finance leases are as follows: |
Plant, |
machinery |
& equipment |
£ |
COST |
At 1 January 2024 |
and 31 December 2024 |
DEPRECIATION |
At 1 January 2024 |
Charge for year |
At 31 December 2024 |
NET BOOK VALUE |
At 31 December 2024 |
At 31 December 2023 |
10. | STOCKS |
31.12.24 | 31.12.23 |
£ | £ |
Raw materials and consumables | 1,480,422 | 930,198 |
Work in progress |
Finished goods and goods for resale |
Plastek UK Limited (Registered number: 03567624) |
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2024 |
11. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
31.12.24 | 31.12.23 |
£ | £ |
Trade debtors |
Amounts owed by group undertakings |
Other debtors |
Corporation Tax recoverable |
VAT |
Prepayments and accrued income |
12. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
31.12.24 | 31.12.23 |
£ | £ |
Bank loans and overdrafts (see note 14) |
Finance leases (see note 15) |
Trade creditors |
Amounts owed to group undertakings |
Social security and other taxes |
Other creditors |
Accruals and deferred income |
13. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
31.12.24 | 31.12.23 |
£ | £ |
Finance leases (see note 15) |
14. | LOANS |
An analysis of the maturity of loans is given below: |
31.12.24 | 31.12.23 |
£ | £ |
Amounts falling due within one year or on demand: |
Bank overdrafts |
| The parent company loan balance of £917,417 (2023 - £517,907) bears interest at LIBOR plus an applicable margin. |
Plastek UK Limited (Registered number: 03567624) |
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2024 |
15. | LEASING AGREEMENTS |
Minimum lease payments under finance leases fall due as follows: |
Finance leases |
31.12.24 | 31.12.23 |
£ | £ |
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 |
16. | PROVISIONS FOR LIABILITIES |
31.12.24 | 31.12.23 |
£ | £ |
Deferred tax |
Accelerated capital allowances |
Other timing differences | (70,662 | ) | (71,811 | ) |
430,835 | 483,202 |
Deferred |
tax |
£ |
Balance at 1 January 2024 |
Credit to Statement of Comprehensive Income during year | ( | ) |
Balance at 31 December 2024 |
17. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 31.12.24 | 31.12.23 |
value: | £ | £ |
'A' Ordinary shares | £1 | 83,750 | 83,750 |
'B' Ordinary shares | £1 | 753,750 | 753,750 |
Redeemable preference shares | £1 | 837,500 | 837,500 |
1,675,000 | 1,675,000 |
Plastek UK Limited (Registered number: 03567624) |
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2024 |
17. | CALLED UP SHARE CAPITAL - continued |
| The 'A' shares and the 'B' shares have the same rights in respect of rights to dividends, priority and the amounts receivable on a winding up. |
| The 'A' shares shall entitle the holders thereof to receive notice of and to attend or vote at any general meeting of the company. |
| The 'B' shares shall not entitle the holders thereof to receive notice of or to attend or vote at any general meeting of the company, unless the business of the general meeting includes the consideration of a resolution for winding up the company or for redeeming the share capital of the company or any resolution altering or abrogating any of the special rights attached to the 'B' shares in which case the holders of the 'B' shares shall be entitled to receive notice of and attend and vote at the general meeting. |
| The holders of the preference shares shall be entitled to participate in any dividend declared by the directors but shall not be entitled to any further or other right to participation in the profit of the company. |
| The preference shares shall not entitle the holders therefore to receive notice of or attend or vote at any general meeting of the company unless the business of the general meeting includes the consideration of a resolution for winding up the company or for redeeming the share capital of the company or any resolution altering or abrogating any of the special rights attached to the preference shares in which case the holders of the preference shares shall be entitled to receive notice of and attend and vote at the general meeting. |
| On a winding up of the company, the assets of the company available for distribution among the members shall be used first to repay the holders of the preference shares the amounts paid up on such shares together with a sum equal to that proportionate part of any dividend declared but not yet paid. The preference shares shall not entitle the holders thereof to any further or other right of participation to the assets of the company. |
| The company can redeem the preference shares at par on giving one month's notice in writing. There is no premium on redemption. |
18. | RESERVES |
Retained |
earnings |
£ |
At 1 January 2024 |
Deficit for the year | ( | ) |
At 31 December 2024 |
| Called up share capital - represents the nominal value of the shares that have been issued. |
| Retained earnings - includes all current and prior period retained profits and losses. |
19. | PENSION COMMITMENTS |
| The company operates a defined contribution pension scheme. The assets of the scheme are held separately from those of the company in an independently administered fund. The pension charge represents contributions payable by the company to the fund and amounted to £325,380 (2023 £344,525). At 31 December 2024 there were outstanding contributions of £33,528 (2023 - £40,325). |
Plastek UK Limited (Registered number: 03567624) |
Notes to the Financial Statements - continued |
for the Year Ended 31 December 2024 |
20. | ULTIMATE PARENT COMPANY |
| The Company's ultimate parent company is Plastek Industries Inc.. The smallest and largest group for which group financial statements are prepared that include and consolidate the results of Plastek UK Limited for the year ended 31 December 2024 is Plastek Industries Inc. Copies of these financial statements can be obtained from the Company's registered office. The address of the registered office and principal place of business is The Plastek Group, Corporate Headquarters, 2425 West 23rd Street, Erie, Pennsylvania 16506. |
| The company is controlled by Joseph J Prischak and Isabel J Prischak by virtue of their controlling interest in the equity share capital of Plastek Industries Inc.. |
21. | RELATED PARTY DISCLOSURES |
| At 31 December 2024 creditors (as disclosed in note 12) include an amount of £917,417 (2023 - £517,907) due to the parent company, Plastek Group. |
| During the year the company has charged for expenses and materials of £46,349 (2023 - £1,888) and made sales of goods or equipment of £443 (2023 - £Nil) to Plastek Group. The company has purchased goods or equipment amounting to £2,017 (2023 - £317,946) from Plastek Group and in addition Plastek Group has charged expenses (including management fees) amounting to £564,885 (2023 - £503,952). |
| During the year the company has charged for expenses and materials to a group company Plastek Do Brasil of £7,424 (2023 - £Nil) and has purchased goods or equipment amounting to £Nil (2023 - £Nil). At 31 December 2024 Plastek Do Brasil owed the company £Nil (2023 - £Nil). |
| During the year the company has charged for expenses and materials to another group company Plastek Mexico of £11,424 (2023 - £7,424) and has purchased goods or equipment amounting to £Nil (2023 - £Nil). At 31 December 2024 Plastek Mexico owed the company £3,987 (2023 - £Nil). |
| All directors and certain employees who have authority and responsibility for planning, directing and controlling the activities of the Company are considered to be key management personnel. Total remuneration in respect of these individuals was met by Plastek UK Limited by way of direct costs and group management charges. Total remuneration in respect of these individuals totalled £192,741 (2023 - £193,825). |