REGISTERED NUMBER: 05388229 (England and Wales) |
MOTION PICTURE SOLUTIONS LIMITED |
GROUP STRATEGIC REPORT, |
REPORT OF THE DIRECTORS AND |
CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 SEPTEMBER 2024 |
REGISTERED NUMBER: 05388229 (England and Wales) |
MOTION PICTURE SOLUTIONS LIMITED |
GROUP STRATEGIC REPORT, |
REPORT OF THE DIRECTORS AND |
CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 SEPTEMBER 2024 |
MOTION PICTURE SOLUTIONS LIMITED (REGISTERED NUMBER: 05388229) |
CONTENTS OF THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 SEPTEMBER 2024 |
Page |
Company Information | 1 |
Group Strategic Report | 2 |
Report of the Directors | 4 |
Report of the Independent Auditors | 5 |
Consolidated Statement of Comprehensive Income | 8 |
Consolidated Balance Sheet | 9 |
Company Balance Sheet | 10 |
Consolidated Statement of Changes in Equity | 11 |
Company Statement of Changes in Equity | 12 |
Consolidated Cash Flow Statement | 13 |
Notes to the Consolidated Cash Flow Statement | 14 |
Notes to the Consolidated Financial Statements | 16 |
MOTION PICTURE SOLUTIONS LIMITED |
COMPANY INFORMATION |
FOR THE YEAR ENDED 30 SEPTEMBER 2024 |
DIRECTORS: |
SECRETARY: |
REGISTERED OFFICE: |
REGISTERED NUMBER: |
SENIOR STATUTORY AUDITOR: | Gary Brown FCCA |
AUDITORS: |
Statutory Auditor |
Highland House |
Mayflower Close |
Chandler's Ford |
Eastleigh |
Hampshire |
SO53 4AR |
BANKERS: | Barclays Bank PLC |
27 Soho Square |
London |
W1D 3QR |
MOTION PICTURE SOLUTIONS LIMITED (REGISTERED NUMBER: 05388229) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 30 SEPTEMBER 2024 |
The directors present their strategic report of the company and the group for the year ended 30 September 2024. |
REVIEW OF BUSINESS |
The principal activities of the Motion Picture Solutions Limited ('MPS') group during the year were: |
- creation, localisation and distribution of film content into cinemas worldwide on behalf of Film Studios and Distributors; |
- creation of film trailers; |
- technical support and equipment rental for film premieres and special screenings; |
- and the installation and maintenance of cinema equipment at cinemas in the UK and Ireland. |
MPS also co-owns Gofilex (with Deluxe), a 50/50 joint venture focusing on international film content delivery to cinemas. |
On 30 November 2023, Ian Thomas sold 90% of the shares in Motion Picture Solutions Limited to Motion Picture Solutions Trustee Limited, which now holds the shares on behalf of employees of the business, as part of an Employee Ownership Trust transaction. |
As part of that transaction, some restructuring of businesses occurred: Omnex Profilm Limited was sold to Ian Thomas, as was the engineering division of MPS (having first having been hived down into a new entity, Motion Picture Movieworks Limited). MPS also acquired 100% of the shareholdings of Motion Picture Solutions Inc and Motion Picture Solutions Australia Pty Ltd from Ian Thomas. |
The consolidated profit and loss account is set out on page 8 and shows an operating loss of £573,583 (2023: £199,280). |
This result was in line with expectations: post EOT; the business has invested in technology and in staff, as well as undertaking a rebrand of the business in order to put foundations in place for significant growth in 2025 and 2026. |
CBIL bank loans taken out during the pandemic have been paid off in full during the year and the parent company has operated profitably at EBITDA level. |
Post year end, the bank overdraft has been converted into a 5 year term loan. |
PRINCIPAL RISKS AND UNCERTAINTIES |
The most significant risks to the business are those that have the potential to close a significant number of cinemas worldwide (for example, a global pandemic) or significantly reduce the production of new film content for the industry (for example, writers and actors strikes). MPS focuses on the following to ensure it can deal with uncertainties: managing the business to clear budgets to ensure it continues to operate profitably at EBITDA; managing its cash position; and constantly reviewing its business operations to ensure that they are resilient. |
KEY PERFORMANCE INDICATORS |
The group measures many Key Performance Indicators (KPIs), but the main ones used by the group are as follows: |
Turnover - a 21% decrease from 2023 | Largely as a result of selling Omnex and engineering division. |
Gross margin percentage - 55% (2023: 46%) | Largely as a result of selling lower margin Omnex business. |
Debtor days - 75 days (2023: 60 days) | Mainly due to one Hollywood studio that for several months was unable to pay on time (due to systems issues), causing a very large backlog of overdue debt to build up. This has been resolved since balance sheet date. |
MOTION PICTURE SOLUTIONS LIMITED (REGISTERED NUMBER: 05388229) |
GROUP STRATEGIC REPORT |
FOR THE YEAR ENDED 30 SEPTEMBER 2024 |
FUTURE OUTLOOK AND RESEARCH & DEVELOPMENT |
Motion Picture Solutions Limited continues to invest in developing new technologies to ensure it can provide the most efficient and secure workflow for our clients. |
ON BEHALF OF THE BOARD: |
MOTION PICTURE SOLUTIONS LIMITED (REGISTERED NUMBER: 05388229) |
REPORT OF THE DIRECTORS |
FOR THE YEAR ENDED 30 SEPTEMBER 2024 |
The directors present their report with the financial statements of the company and the group for the year ended 30 September 2024. |
DIVIDENDS |
No dividends were distributed for the year ended 30 September 2024 (2023: £200,000). |
EVENTS SINCE THE END OF THE YEAR |
Information relating to events since the end of the year is given in the notes to the financial statements. |
DIRECTORS |
Other changes in directors holding office are as follows: |
STATEMENT OF DIRECTORS' RESPONSIBILITIES |
The directors are responsible for preparing the Group 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), including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland'. 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 the group and of the profit or loss of the group 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 and the group's transactions and disclose with reasonable accuracy at any time the financial position of the company and the group 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 the group and hence for taking reasonable steps for the prevention and detection of fraud and other irregularities. |
STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the directors are aware, there is no relevant audit information (as defined by Section 418 of the Companies Act 2006) of which the group's auditors are unaware, and 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 group's auditors are aware of that information. |
ON BEHALF OF THE BOARD: |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
MOTION PICTURE SOLUTIONS LIMITED |
Opinion |
We have audited the financial statements of Motion Picture Solutions Limited (the 'parent company') and its subsidiaries (the 'group') for the year ended 30 September 2024 which comprise the Consolidated Statement of Comprehensive Income, Consolidated Balance Sheet, Company Balance Sheet, Consolidated Statement of Changes in Equity, Company Statement of Changes in Equity, Consolidated Cash Flow Statement and Notes to the Consolidated Cash Flow Statement, Notes to the Financial Statements, including a summary of significant accounting policies. The financial reporting framework that has been applied in their preparation is applicable law and United Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). |
In our opinion the financial statements: |
- | give a true and fair view of the state of the group's and of the parent company affairs as at 30 September 2024 and of the group's profit for the year then ended; |
- | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
Basis 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 group in accordance with the ethical requirements that are relevant to our audit of the financial statements in the UK, including the FRC's Ethical Standard, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. |
Conclusions relating to going concern |
In auditing the financial statements, we have concluded that the directors' use of the going concern basis of accounting in the preparation of the financial statements is appropriate. |
Based on the work we have performed, we have not identified any material uncertainties relating to events or conditions that, individually or collectively, may cast significant doubt on the group's and the parent company's ability to continue as a going concern for a period of at least twelve months from when the financial statements are authorised for issue. |
Our responsibilities and the responsibilities of the 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 Group 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 Group 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 Group 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 |
MOTION PICTURE SOLUTIONS LIMITED |
Matters on which we are required to report by exception |
In the light of the knowledge and understanding of the group and the parent company and its environment obtained in the course of the audit, we have not identified material misstatements in the Group Strategic Report or the Report of the 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 by the parent company, or returns adequate for our audit have not been received from branches not visited by us; or |
- | the parent company financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of 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 group's and the parent company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the directors either intend to liquidate the group or the parent 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. |
Extent to which the audit was capable of detecting irregularities, including fraud |
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. Due to the inherent limitations of an audit, there is a risk that we will not detect all irregularities even though the audit has been properly planned and performed in accordance with the ISAs (UK). 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 that are applicable to the group and the parent company, and the industry in which they operate. These include but are not limited to compliance with the Companies Act 2006, UK Generally Accepted Accounting Principles and the relevant tax compliance regulations for the group and the parent company. |
- We obtained an understanding of how the group and the parent company is complying with these frameworks through discussions with management. |
- We enquired with management whether there were any instances of non-compliance with laws and regulations or whether they had knowledge of actual or suspected fraud. These enquiries are corroborated through follow-up audit procedures including but not limited to a review of legal and professional costs and correspondence. |
- We assessed the susceptibility of the group's and the parent company's financial statements to material misstatement, including the risk of fraud and management override of controls. We designed our audit procedures to respond to this assessment, including the identification and testing of any related party transactions and the testing of journal transactions that arise from management estimates, that are determined to be of significant value or unusual in their nature. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
MOTION PICTURE SOLUTIONS LIMITED |
- We assessed the appropriateness of the collective competence and capabilities of the engagement team, including consideration of the engagement team's knowledge and understanding of the industry in which the group and the parent company operates in, and their practical experience through training and participation with audit engagements of a similar nature. |
A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's members as a body, for our audit work, for this report, or for the opinions we have formed. |
for and on behalf of |
Statutory Auditor |
Highland House |
Mayflower Close |
Chandler's Ford |
Eastleigh |
Hampshire |
SO53 4AR |
MOTION PICTURE SOLUTIONS LIMITED (REGISTERED NUMBER: 05388229) |
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME |
FOR THE YEAR ENDED 30 SEPTEMBER 2024 |
2024 | 2023 |
Notes | £ | £ |
TURNOVER | 16,575,776 | 21,010,335 |
Cost of sales | (7,519,572 | ) | (11,281,674 | ) |
GROSS PROFIT | 9,056,204 | 9,728,661 |
Administrative expenses | (9,662,426 | ) | (9,927,941 | ) |
(606,222 | ) | (199,280 | ) |
Other operating income | 32,639 | - |
GROUP OPERATING LOSS | 4 | (573,583 | ) | (199,280 | ) |
Share of operating profit/(loss) in |
Joint ventures | 127,938 | 145,082 |
Associates | (6,100 | ) | 40,600 |
Profit on sale of fixed asset |
investments | 5 | 776,475 | - |
324,730 | (13,598 | ) |
Income from interest in associated undertakings |
13,458 |
- |
Interest receivable and similar income | 4,075 | 16,455 |
342,263 | 2,857 |
Interest payable and similar expenses | 6 | (172,918 | ) | (128,554 | ) |
PROFIT/(LOSS) BEFORE TAXATION | 169,345 | (125,697 | ) |
Tax on profit/(loss) | 7 | 164,535 | (24,992 | ) |
PROFIT/(LOSS) FOR THE FINANCIAL YEAR |
( |
) |
OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME FOR THE YEAR |
333,880 |
(150,689 |
) |
Profit/(loss) attributable to: |
Owners of the parent | 333,880 | (150,689 | ) |
Total comprehensive income attributable to: |
Owners of the parent | 333,880 | (150,689 | ) |
MOTION PICTURE SOLUTIONS LIMITED (REGISTERED NUMBER: 05388229) |
CONSOLIDATED BALANCE SHEET |
30 SEPTEMBER 2024 |
2024 | 2023 |
Notes | £ | £ |
FIXED ASSETS |
Intangible assets | 10 | 884,440 | 818,871 |
Tangible assets | 11 | 2,014,769 | 2,379,878 |
Investments | 12 |
Interest in joint venture | 842,030 | 981,564 |
Interest in associate | - | 61,500 |
Other investments | 10,000 | 10,000 |
3,751,239 | 4,251,813 |
CURRENT ASSETS |
Stocks | 13 | - | 388,071 |
Debtors | 14 | 5,006,464 | 5,398,085 |
Cash at bank and in hand | 60,857 | 156,872 |
5,067,321 | 5,943,028 |
CREDITORS |
Amounts falling due within one year | 15 | (5,867,631 | ) | (6,051,015 | ) |
NET CURRENT LIABILITIES | (800,310 | ) | (107,987 | ) |
TOTAL ASSETS LESS CURRENT LIABILITIES |
2,950,929 |
4,143,826 |
CREDITORS |
Amounts falling due after more than one year |
16 |
(224,220 |
) |
(387,189 |
) |
PROVISIONS FOR LIABILITIES | 20 | (101,270 | ) | (284,012 | ) |
NET ASSETS | 2,625,439 | 3,472,625 |
CAPITAL AND RESERVES |
Called up share capital | 21 | 1 | 1 |
Retained earnings | 22 | 2,625,438 | 3,472,624 |
SHAREHOLDERS' FUNDS | 2,625,439 | 3,472,625 |
The financial statements were approved by the Board of Directors and authorised for issue on 25 June 2025 and were signed on its behalf by: |
M W Aspray - Director |
MOTION PICTURE SOLUTIONS LIMITED (REGISTERED NUMBER: 05388229) |
COMPANY BALANCE SHEET |
30 SEPTEMBER 2024 |
2024 | 2023 |
Notes | £ | £ |
FIXED ASSETS |
Intangible assets | 10 |
Tangible assets | 11 |
Investments | 12 |
CURRENT ASSETS |
Debtors | 14 |
Cash at bank and in hand |
CREDITORS |
Amounts falling due within one year | 15 | ( |
) | ( |
) |
NET CURRENT (LIABILITIES)/ASSETS | ( |
) |
TOTAL ASSETS LESS CURRENT LIABILITIES |
CREDITORS |
Amounts falling due after more than one year |
16 |
( |
) |
( |
) |
PROVISIONS FOR LIABILITIES | 20 | ( |
) | ( |
) |
NET ASSETS |
CAPITAL AND RESERVES |
Called up share capital | 21 |
Retained earnings | 22 |
SHAREHOLDERS' FUNDS |
Company's profit for the financial year | 129,844 | 225,426 |
The financial statements were approved by the Board of Directors and authorised for issue on |
MOTION PICTURE SOLUTIONS LIMITED (REGISTERED NUMBER: 05388229) |
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 30 SEPTEMBER 2024 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 October 2022 | 1 | 3,823,313 | 3,823,314 |
Changes in equity |
Dividends | - | (200,000 | ) | (200,000 | ) |
Total comprehensive income | - | (150,689 | ) | (150,689 | ) |
Balance at 30 September 2023 | 1 | 3,472,624 | 3,472,625 |
Changes in equity |
Total comprehensive income | - | 333,880 | 333,880 |
Contributions to Employee |
Ownership Trust | - | (1,181,066 | ) | (1,181,066 | ) |
Balance at 30 September 2024 | 1 | 2,625,438 | 2,625,439 |
MOTION PICTURE SOLUTIONS LIMITED (REGISTERED NUMBER: 05388229) |
COMPANY STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 30 SEPTEMBER 2024 |
Called up |
share | Retained | Total |
capital | earnings | equity |
£ | £ | £ |
Balance at 1 October 2022 |
Changes in equity |
Dividends | - | ( |
) | ( |
) |
Total comprehensive income | - |
Balance at 30 September 2023 |
Changes in equity |
Total comprehensive income | - |
Contributions to Employee |
Ownership Trust | - | (1,181,066 | ) | (1,181,066 | ) |
Balance at 30 September 2024 |
MOTION PICTURE SOLUTIONS LIMITED (REGISTERED NUMBER: 05388229) |
CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 30 SEPTEMBER 2024 |
2024 | 2023 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 1 | 716,363 | 1,308,495 |
Interest paid | (148,786 | ) | (101,537 | ) |
Interest element of finance lease payments paid |
(24,132 |
) |
(14,027 |
) |
Net cash from operating activities | 543,445 | 1,192,931 |
Cash flows from investing activities |
Purchase of intangible fixed assets | (229,890 | ) | (269,791 | ) |
Purchase of tangible fixed assets | (135,850 | ) | (354,083 | ) |
Sale of tangible fixed assets | 7,374 | 5,420 |
Sale of fixed asset investments | 1,121,110 | - |
Acquisitions | (93,096 | ) | (71,793 | ) |
Cash acquired on acquisition | 41,037 | - |
Cash surrendered on disposal | (32,771 | ) | - |
Interest received | 4,075 | 16,455 |
Dividends received | 13,458 | - |
Net cash from investing activities | 695,447 | (673,792 | ) |
Cash flows from financing activities |
Bank loan repayments in year | (443,140 | ) | (549,218 | ) |
Other loan repayments in year | (22,398 | ) | (246,839 | ) |
Lease capital repayments in year | (246,317 | ) | (171,497 | ) |
Amount introduced by directors | 32,432 | 204,290 |
Amount withdrawn by directors | - | (87,944 | ) |
Equity dividends paid | - | (200,000 | ) |
Employee Ownership Trust contributions | (1,181,066 | ) | - |
Net cash from financing activities | (1,860,489 | ) | (1,051,208 | ) |
Decrease in cash and cash equivalents | (621,597 | ) | (532,069 | ) |
Cash and cash equivalents at beginning of year |
2 |
(1,121,379 |
) |
(589,310 |
) |
Cash and cash equivalents at end of year | 2 | (1,742,976 | ) | (1,121,379 | ) |
MOTION PICTURE SOLUTIONS LIMITED (REGISTERED NUMBER: 05388229) |
NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 30 SEPTEMBER 2024 |
1. | RECONCILIATION OF PROFIT/(LOSS) BEFORE TAXATION TO CASH GENERATED FROM OPERATIONS |
2024 | 2023 |
£ | £ |
Profit/(loss) before taxation | 169,345 | (125,697 | ) |
Depreciation charges | 637,231 | 678,568 |
Profit on disposal of fixed assets | - | (5,420 | ) |
Profit on disposal of investments | (776,475 | ) | - |
Amortisation | 738,389 | 888,807 |
Share of associate/joint venture profit | (121,838 | ) | (185,682 | ) |
Exchange differences | 12,904 | 29,639 |
Finance costs | 172,918 | 128,554 |
Finance income | (17,533 | ) | (16,455 | ) |
814,941 | 1,392,314 |
Decrease in stocks | 110,014 | 385,055 |
Decrease in trade and other debtors | 411,632 | 387,215 |
Decrease in trade and other creditors | (620,224 | ) | (856,089 | ) |
Cash generated from operations | 716,363 | 1,308,495 |
2. | CASH AND CASH EQUIVALENTS |
The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these Balance Sheet amounts: |
Year ended 30 September 2024 |
30.9.24 | 1.10.23 |
£ | £ |
Cash and cash equivalents | 60,857 | 156,872 |
Bank overdrafts | (1,803,833 | ) | (1,278,251 | ) |
(1,742,976 | ) | (1,121,379 | ) |
Year ended 30 September 2023 |
30.9.23 | 1.10.22 |
£ | £ |
Cash and cash equivalents | 156,872 | 62,002 |
Bank overdrafts | (1,278,251 | ) | (651,312 | ) |
(1,121,379 | ) | (589,310 | ) |
MOTION PICTURE SOLUTIONS LIMITED (REGISTERED NUMBER: 05388229) |
NOTES TO THE CONSOLIDATED CASH FLOW STATEMENT |
FOR THE YEAR ENDED 30 SEPTEMBER 2024 |
3. | ANALYSIS OF CHANGES IN NET DEBT |
Other |
non-cash |
At 1.10.23 | Cash flow | changes | At 30.9.24 |
£ | £ | £ | £ |
Net cash |
Cash at bank |
and in hand | 156,872 | (96,015 | ) | 60,857 |
Bank overdrafts | (1,278,251 | ) | (525,582 | ) | (1,803,833 | ) |
(1,121,379 | ) | (621,597 | ) | (1,742,976 | ) |
Debt |
Finance leases | (457,018 | ) | 220,136 | (137,889 | ) | (374,771 | ) |
Debts falling due |
within 1 year | (465,680 | ) | 397,254 | - | (68,426 | ) |
Debts falling due |
after 1 year | (145,484 | ) | 68,284 | - | (77,200 | ) |
(1,068,182 | ) | 685,674 | (137,889 | ) | (520,397 | ) |
Total | (2,189,561 | ) | 64,077 | (137,889 | ) | (2,263,373 | ) |
MOTION PICTURE SOLUTIONS LIMITED (REGISTERED NUMBER: 05388229) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 30 SEPTEMBER 2024 |
1. | STATUTORY INFORMATION |
Motion Picture Solutions Limited is a |
2. | ACCOUNTING POLICIES |
Basis of preparing the financial statements |
The financial statements are prepared in sterling, which is the functional currency of the company. Monetary amounts in these financial statements are rounded to the nearest £1. |
Basis of consolidation |
The consolidated financial statements incorporate the results of Motion Picture Solutions Limited and all of its subsidiary undertakings using the acquisition method of accounting from the date of acquisition. The results of overseas subsidiaries are translated into sterling using an average exchange rate. |
Joint ventures |
The company's investment in its joint venture is initially recognised at transaction price and is then subsequently adjusted to reflect the company's share of the profit or loss, other comprehensive income and equity of the joint venture. The results of the joint venture are translated into sterling using an average exchange rate. |
Associates |
The company's investment in its associate is initially recognised at transaction price and is then subsequently adjusted to reflect the company's share of the profit or loss, other comprehensive income and equity of the associate. The results of the associate are translated into sterling using an average exchange rate. |
Significant judgements and estimates |
Estimates and judgements are continually evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. The company makes estimates and assumptions concerning the future. The resulting accounting estimates and assumptions will, by definition, seldom equal the related actual results. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year relate primarily to the capitalisation of internally generated intangible development time, and the carrying values of fixed asset investments. There are no other areas of critical judgement. |
Turnover |
Turnover represents the value of services provided under contracts to the extent that there is a right to consideration and is recorded at the value of the consideration due, excluding discounts, rebates, value added tax and other sales taxes. |
Where a contract has only been partially completed at the balance sheet date turnover represents the value of the service provided to date based on a proportion of the total expected consideration at completion. |
Goodwill |
Goodwill arises on acquisitions and represents the excess of the fair value of the consideration given and associated costs over the fair value of the identifiable assets and liabilities acquired. Goodwill is capitalised and is amortised on a straight line basis over its expected useful economic life of five years, with the expense recognised within administrative expenses. Provision is made for any impairment in value. |
MOTION PICTURE SOLUTIONS LIMITED (REGISTERED NUMBER: 05388229) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2024 |
2. | ACCOUNTING POLICIES - continued |
Intangible assets |
Intangible assets are initially measured at cost. After initial recognition, intangible assets are measured at cost less any accumulated amortisation and any accumulated impairment losses. |
Tangible fixed assets |
Tangible fixed assets are initially recognised at cost within the financial statements. |
Depreciation is provided at the following annual rates in order to write off the cost less estimated residual value of each asset over its estimated useful life. |
Freehold property | - 2% straight line |
Freehold property improvements | - 2% straight line |
Leasehold property improvements | - over the length of the lease |
Plant and machinery | - 25-33% straight line |
Motor vehicles | - 25% straight line and 10% reducing balance |
The profit or loss arising on the disposal of an asset is determined as the difference between the sale proceeds and the carrying value of the asset and is recognised in the income statement. |
Investments in subsidiaries and associates |
Investments in subsidiary and associate undertakings are recognised at cost less any provision for impairment. |
Stocks |
Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items. |
Stocks are valued using the FIFO basis. |
Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Consolidated 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 |
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. |
MOTION PICTURE SOLUTIONS LIMITED (REGISTERED NUMBER: 05388229) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 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 balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at the date of transaction. Exchange differences are taken into account in arriving at the operating result. |
Hire purchase and leasing commitments |
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 group operates a defined contribution pension scheme. Contributions payable to the group's pension scheme are charged to profit or loss in the period to which they relate. |
Financial assets |
The company has elected to apply the provisions of Section 11 'Basic Financial Instruments' and Section 12 'Other Financial Instruments Issues' of FRS 102 to all of its financial instruments. |
Financial assets are recognised in the company's statement of financial position when the company becomes party to the contractual provisions of the instrument. |
Basic financial assets, which include trade and other receivables and cash and bank balances are initially measured at transaction price including transaction costs and are subsequently carried at amortised cost using the effective interest method, unless the arrangement constitutes a financial transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. |
Financial liabilities |
Basic financial liabilities, which include trade and other payables, are initially measured at transaction price and subsequently measured at amortised cost, unless the arrangement constitutes a financing transaction where the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. |
Equity instruments |
Equity instruments issued by the company are recorded at the fair value of the proceeds received net of direct issue costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company. |
3. | EMPLOYEES AND DIRECTORS |
2024 | 2023 |
£ | £ |
Wages and salaries | 6,891,826 | 7,724,749 |
Social security costs | 694,165 | 832,596 |
Other pension costs | 231,580 | 253,328 |
7,817,571 | 8,810,673 |
MOTION PICTURE SOLUTIONS LIMITED (REGISTERED NUMBER: 05388229) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2024 |
3. | EMPLOYEES AND DIRECTORS - continued |
The average number of employees during the year was as follows: |
2024 | 2023 |
Administration, finance and IT | 45 | 43 |
Commercial and client relations | 16 | 14 |
Engineering | 4 | 23 |
Production | 34 | 32 |
Distribution | 33 | 32 |
2024 | 2023 |
£ | £ |
Directors' remuneration | 434,462 | 882,008 |
Directors' pension contributions to money purchase schemes | 23,673 | 50,887 |
The number of directors to whom retirement benefits were accruing was as follows: |
Money purchase schemes | 3 | 2 |
Information regarding the highest paid director is as follows: |
2024 | 2023 |
£ | £ |
Emoluments etc | 253,740 | 477,340 |
Pension contributions to money purchase schemes | 12,662 | 32,015 |
4. | OPERATING LOSS |
The operating loss is stated after charging/(crediting): |
2024 | 2023 |
£ | £ |
Depreciation - owned assets | 378,794 | 492,282 |
Depreciation - assets on finance leases | 258,437 | 186,286 |
Profit on disposal of fixed assets | - | (5,420 | ) |
Goodwill amortisation | 216,862 | 206,443 |
Development costs amortisation | 265,459 | 365,039 |
Auditors' remuneration | 16,200 | 15,435 |
Auditors' remuneration for non audit work | 19,350 | 21,865 |
Foreign exchange differences | 19,842 | 36,886 |
Operating lease expense | 377,184 | 349,077 |
5. | EXCEPTIONAL ITEMS |
2024 | 2023 |
£ | £ |
Profit on sale of fixed asset |
investments | 776,475 | - |
MOTION PICTURE SOLUTIONS LIMITED (REGISTERED NUMBER: 05388229) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2024 |
6. | INTEREST PAYABLE AND SIMILAR EXPENSES |
2024 | 2023 |
£ | £ |
Bank interest | 101,632 | 42,307 |
Bank loan interest | 27,030 | 57,519 |
Other interest | 9,688 | 112 |
Other loan interest | 10,436 | 14,589 |
Finance lease interest | 24,132 | 14,027 |
172,918 | 128,554 |
7. | TAXATION |
Analysis of the tax (credit)/charge |
The tax (credit)/charge on the profit for the year was as follows: |
2024 | 2023 |
£ | £ |
Current tax: |
Foreign tax - current | 14,225 | - |
Deferred tax | (178,760 | ) | 24,992 |
Tax on profit/(loss) | (164,535 | ) | 24,992 |
Reconciliation of total tax (credit)/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/(loss) before tax | 169,345 | (125,697 | ) |
Profit/(loss) multiplied by the standard rate of corporation tax in the UK of 25 % (2023 - 22 %) |
42,336 |
(27,653 |
) |
Effects of: |
Expenses not deductible for tax purposes | 32,935 | 25,779 |
Income not taxable for tax purposes | (175,729 | ) | - |
Utilisation of tax losses | (18,512 | ) | (587 | ) |
Adjustments to tax charge in respect of previous periods | (236,725 | ) | (48,198 | ) |
Depreciation on non-qualifying assets | 10,507 | 9,252 |
Goodwill amortisation not allowable for tax purposes | 118,233 | 115,229 |
Effect of different rates of tax for corporation tax and deferred tax | - | 2,999 |
Share of profit/loss in associate and joint venture | (27,234 | ) | (34,329 | ) |
Unutilised tax losses | 98,659 | - |
Other timing differences | (13,265 | ) | (17,500 | ) |
Effect of different rates of tax for foreign subsidiary companies | 4,260 | - |
Total tax (credit)/charge | (164,535 | ) | 24,992 |
The average rate of corporation tax in the prior year was 22%. The rate increased from 19% to 25% on 1 April 2023. |
MOTION PICTURE SOLUTIONS LIMITED (REGISTERED NUMBER: 05388229) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2024 |
8. | INDIVIDUAL STATEMENT OF COMPREHENSIVE INCOME |
As permitted by Section 408 of the Companies Act 2006, the Income Statement of the parent company is not presented as part of these financial statements. |
The parent company's profit for the financial year was £129,844 (2023: £225,426). |
9. | DIVIDENDS |
2024 | 2023 |
£ | £ |
Ordinary £1 shares of £1 each |
Interim | - | 200,000 |
10. | INTANGIBLE FIXED ASSETS |
Group |
Development |
Goodwill | costs | Totals |
£ | £ | £ |
COST |
At 1 October 2023 | 2,268,541 | 4,276,563 | 6,545,104 |
Additions | 318,001 | 229,889 | 547,890 |
Disposals | (1,105,171 | ) | - | (1,105,171 | ) |
At 30 September 2024 | 1,481,371 | 4,506,452 | 5,987,823 |
AMORTISATION |
At 1 October 2023 | 2,104,679 | 3,621,554 | 5,726,233 |
Amortisation for year | 216,862 | 265,459 | 482,321 |
Eliminated on disposal | (1,105,171 | ) | - | (1,105,171 | ) |
At 30 September 2024 | 1,216,370 | 3,887,013 | 5,103,383 |
NET BOOK VALUE |
At 30 September 2024 | 265,001 | 619,439 | 884,440 |
At 30 September 2023 | 163,862 | 655,009 | 818,871 |
MOTION PICTURE SOLUTIONS LIMITED (REGISTERED NUMBER: 05388229) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2024 |
10. | INTANGIBLE FIXED ASSETS - continued |
Company |
Development |
Goodwill | costs | Totals |
£ | £ | £ |
COST |
At 1 October 2023 |
Additions |
Disposals | ( |
) | ( |
) |
At 30 September 2024 |
AMORTISATION |
At 1 October 2023 |
Amortisation for year |
Eliminated on disposal | ( |
) | ( |
) |
At 30 September 2024 |
NET BOOK VALUE |
At 30 September 2024 |
At 30 September 2023 |
11. | TANGIBLE FIXED ASSETS |
Group |
Freehold | Short | Plant and | Motor |
property | leasehold | machinery | vehicles | Totals |
£ | £ | £ | £ | £ |
COST |
At 1 October 2023 | 1,004,466 | 1,172,735 | 8,705,060 | 17,301 | 10,899,562 |
Additions | - | 1,721 | 292,475 | - | 294,196 |
Disposals | - | - | (418,239 | ) | (4,628 | ) | (422,867 | ) |
At 30 September 2024 | 1,004,466 | 1,174,456 | 8,579,296 | 12,673 | 10,770,891 |
DEPRECIATION |
At 1 October 2023 | 271,104 | 603,343 | 7,629,950 | 15,287 | 8,519,684 |
Charge for year | 20,089 | 78,632 | 538,286 | 224 | 637,231 |
Eliminated on disposal | - | - | (396,165 | ) | (4,628 | ) | (400,793 | ) |
At 30 September 2024 | 291,193 | 681,975 | 7,772,071 | 10,883 | 8,756,122 |
NET BOOK VALUE |
At 30 September 2024 | 713,273 | 492,481 | 807,225 | 1,790 | 2,014,769 |
At 30 September 2023 | 733,362 | 569,392 | 1,075,110 | 2,014 | 2,379,878 |
The net book value of assets held on finance lease agreements included within the above is £323,287 (2023: £435,819). The depreciation charge for the year relating to these assets amounted to £258,437 (2023: £186,286). |
MOTION PICTURE SOLUTIONS LIMITED (REGISTERED NUMBER: 05388229) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2024 |
11. | TANGIBLE FIXED ASSETS - continued |
Company |
Freehold | Short | Plant and | Motor |
property | leasehold | machinery | vehicles | Totals |
£ | £ | £ | £ | £ |
COST |
At 1 October 2023 |
Additions |
Disposals | ( |
) | ( |
) |
At 30 September 2024 |
DEPRECIATION |
At 1 October 2023 |
Charge for year |
Eliminated on disposal | ( |
) | ( |
) |
At 30 September 2024 |
NET BOOK VALUE |
At 30 September 2024 |
At 30 September 2023 |
The net book value of assets held on finance lease agreements included within the above is £323,287 (2023: £423,215). The depreciation charge for the year relating to these assets amounted to £237,816 (2023: £179,985). |
MOTION PICTURE SOLUTIONS LIMITED (REGISTERED NUMBER: 05388229) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2024 |
12. | FIXED ASSET INVESTMENTS |
Group |
Interest in |
joint | Interest in | Unlisted |
venture | associate | investments | Totals |
£ | £ | £ | £ |
COST |
At 1 October 2023 | 981,564 | 89,300 | 10,000 | 1,080,864 |
Disposals | - | (81,700 | ) | - | (81,700 | ) |
Share of profit or loss in associate and joint venture |
127,938 |
(6,100 |
) |
- |
121,838 |
Amortisation of goodwill | (256,068 | ) | - | - | (256,068 | ) |
Exchange differences | (11,404 | ) | (1,500 | ) | - | (12,904 | ) |
At 30 September 2024 | 842,030 | - | 10,000 | 852,030 |
PROVISIONS |
At 1 October 2023 | - | 27,800 | - | 27,800 |
Eliminated on disposal | - | (27,800 | ) | - | (27,800 | ) |
At 30 September 2024 | - | - | - | - |
NET BOOK VALUE |
At 30 September 2024 | 842,030 | - | 10,000 | 852,030 |
At 30 September 2023 | 981,564 | 61,500 | 10,000 | 1,053,064 |
Company |
Shares in | Interest in |
group | joint | Interest in | Unlisted |
undertakings | venture | associate | investments | Totals |
£ | £ | £ | £ | £ |
COST |
At 1 October 2023 | 976,241 | 7,157,967 |
Additions | 93,097 |
Disposals | ( |
) | ( |
) | (2,023,793 | ) |
At 30 September 2024 | 5,227,271 |
PROVISIONS |
At 1 October 2023 | 502,500 | - | 976,241 | - | 1,478,741 |
Provision for year | 835,801 | - | - | - | 835,801 |
Eliminated on disposal | - | - | (976,241 | ) | - | (976,241 | ) |
At 30 September 2024 | 1,338,301 | - | - | - | 1,338,301 |
NET BOOK VALUE |
At 30 September 2024 | 3,888,970 |
At 30 September 2023 | 5,679,226 |
MOTION PICTURE SOLUTIONS LIMITED (REGISTERED NUMBER: 05388229) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2024 |
12. | FIXED ASSET INVESTMENTS - continued |
Unlisted investments represent the company's investment in 10% of the total issued share capital of Make It Social London Limited (registered in England and Wales, number 1224664, with its registered office at 44 Lavers Road, London, England, N16 0D). |
Interests in joint ventures represent the company's investment in 50% of the total issued share capital of Gofilex Investments B.V., a Dutch company with its registered office at 3705 LZ Zeist, Huis ter Heideweg 18. Gofilex Investments B.V. is the parent of a group of companies and has the following wholly owned subsidiaries: Gofilex Film B.V., Filmcentrale Nieuwegein B.V., Uitenbroek Film B.V. (which has one wholly owned subsidiary, Filmlogistics B.V.) and Gofilex International B.V. (which has four wholly owned subsidiaries: Gofilex Nordic Oy, Gofilex Germany GmbH, Gofilex Schweiz AG and Gofilex Australia Pty Limited). |
Shares in group undertakings represent the company's investments in the following: |
a) 100% of the issued share capital of TDE Solutions Limited (registered in England and Wales, number 06783433, with its registered office at Mission Hall, 9-11 North End Road, London, W14 8ST). |
b) 100% of the issued share capital of Chinagraph London Limited (registered in England & Wales, number 02037665, with its registered office at Mission Hall, 9-11 North End Road, London, W14 8ST). |
c) 100% of the issued share capital of Cinefilm Limited (registered in England and Wales, number 05954876, with its registered office at Mission Hall, 9-11 North End Road, London, W14 8ST). |
d) 100% of the issued share capital of Motion Picture Solutions Inc. (registered in California, United States of America, number 4322224, with its registered office at 265 S Western Avenue #74614, Los Angeles, CA, 90004). |
e) 100% of the issued share capital of Motion Picture Solutions Australia Pty Limited. (registered in Australia, number 637 477 297, with its registered office at Level 11, 1 Margaret Street, Sydney, NSW 2000). |
In respect of the UK companies, TDE Solutions Limited and Chinagraph London Limited are exempt under s479A Companies Act 2006 from the requirements of the same act relating to the audit of their individual financial statements. Cinefilm Limited is dormant. |
The company disposed of the following investments during the year ended 30 September 2024: |
Interests in associated undertakings: the company's investment in 15.76% of the total issued share capital of Bel Air Cinema S.L., a Spanish company with its registered office at 08039 Port de Barcelona, One Ocean Port Vell, calle Escar, no. 26. |
Shares in group undertakings: the company's investment of 100% of the issued share capital of Omnex Profilm Limited (registered in England & Wales, number 02037665, with its registered office at Mission Hall, 9-11 North End Road, London, W14 8ST). |
Shares in group undertakings: the company's investment of 100% of the issued share capital of Motion Picture Movieworks Limited (registered in England & Wales, number 15192382, with its registered office at Mission Hall, 9-11 North End Road, London, W14 8ST). This investment was also acquired in the year ended 30 September 2024. The company was dormant during the period between acquisition and disposal. |
MOTION PICTURE SOLUTIONS LIMITED (REGISTERED NUMBER: 05388229) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2024 |
13. | STOCKS |
Group |
2024 | 2023 |
£ | £ |
Stocks | - | 388,071 |
14. | DEBTORS |
Group | Company |
2024 | 2023 | 2024 | 2023 |
£ | £ | £ | £ |
Amounts falling due within one year: |
Trade debtors | 3,416,653 | 3,479,323 |
Amounts owed by group undertakings | - | - |
Other debtors | 241,130 | 911,420 |
Directors' current accounts | - | 32,432 | - | 32,432 |
Prepayments and accrued income | 1,348,681 | 880,649 |
5,006,464 | 5,303,824 |
Amounts falling due after more than one | year: |
Amounts owed by group undertakings | - | - |
Other debtors | - | 94,261 |
- | 94,261 |
Aggregate amounts | 5,006,464 | 5,398,085 |
15. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
Group | Company |
2024 | 2023 | 2024 | 2023 |
£ | £ | £ | £ |
Bank loans and overdrafts (see note 17) | 1,860,890 | 1,721,572 |
Other loans (see note 17) | 11,369 | 22,359 |
Finance leases (see note 18) | 227,751 | 215,313 |
Trade creditors | 1,613,103 | 1,629,724 |
Amounts owed to group undertakings | - | - |
Social security and other taxes | 195,840 | 267,766 |
VAT | 617,722 | 569,205 | 616,461 | 463,892 |
Other creditors | 340,515 | 543,617 |
Accruals and deferred income | 1,000,441 | 1,081,459 |
5,867,631 | 6,051,015 |
After the year end, the company initiated a refinancing process that included securing a new bank loan amounting to £960,000, which has replaced the bank overdraft facility. This has resulted in a reduction in the total liabilities falling due within one year or on demand. |
MOTION PICTURE SOLUTIONS LIMITED (REGISTERED NUMBER: 05388229) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2024 |
16. | CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR |
Group | Company |
2024 | 2023 | 2024 | 2023 |
£ | £ | £ | £ |
Bank loans (see note 17) | 77,200 | 134,076 |
Other loans (see note 17) | - | 11,408 |
Finance leases (see note 18) | 147,020 | 241,705 |
Amounts owed to group undertakings | - | - | - | 1,591,944 |
224,220 | 387,189 |
17. | LOANS |
An analysis of the maturity of loans is given below: |
Group | Company |
2024 | 2023 | 2024 | 2023 |
£ | £ | £ | £ |
Amounts falling due within one year or on | demand: |
Bank overdrafts | 1,803,833 | 1,278,251 |
Bank loans - less than 1 year | 57,057 | 443,321 |
Other loans - less than 1 year | 11,369 | 22,359 |
1,872,259 | 1,743,931 |
Amounts falling due between one and two | years: |
Bank loans - 1-2 years | 61,347 | 56,855 |
Other loans - 1-2 years | - | 11,408 | - |
61,347 | 68,263 |
Amounts falling due between two and five | years: |
Bank loans - 2-5 years | 15,853 | 77,221 |
Two of the bank loans were fully repaid during the year. The remaining bank loan is repayable in instalments by December 2026 and carries interest at a fixed rate of 2.72% above base rate. |
MOTION PICTURE SOLUTIONS LIMITED (REGISTERED NUMBER: 05388229) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2024 |
18. | LEASING AGREEMENTS |
Minimum lease payments fall due as follows: |
Group |
Finance leases |
2024 | 2023 |
£ | £ |
Gross obligations repayable: |
Within one year | 236,756 | 229,255 |
Between one and five years | 151,351 | 248,943 |
388,107 | 478,198 |
Finance charges repayable: |
Within one year | 9,005 | 13,942 |
Between one and five years | 4,331 | 7,238 |
13,336 | 21,180 |
Net obligations repayable: |
Within one year | 227,751 | 215,313 |
Between one and five years | 147,020 | 241,705 |
374,771 | 457,018 |
Company |
Finance leases |
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 |
MOTION PICTURE SOLUTIONS LIMITED (REGISTERED NUMBER: 05388229) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2024 |
18. | LEASING AGREEMENTS - continued |
Group |
Non-cancellable |
operating leases |
2024 | 2023 |
£ | £ |
Within one year | 187,500 | 357,981 |
Between one and five years | 248,575 | 457,869 |
436,075 | 815,850 |
Company |
Non-cancellable |
operating leases |
2024 | 2023 |
£ | £ |
Within one year |
Between one and five years |
19. | SECURED DEBTS |
The following secured debts are included within creditors: |
Group | Company |
2024 | 2023 | 2024 | 2023 |
£ | £ | £ | £ |
Bank overdrafts | 1,803,833 | 1,278,251 |
Bank loans | 134,257 | 577,397 |
Finance leases | 374,771 | 457,018 | 353,889 | 444,331 |
Other loans | 11,369 | 33,767 | 11,369 | 33,767 |
Other creditors | 231,587 | 229,878 | 231,587 | 229,878 |
2,555,817 | 2,576,311 |
The bank loans and overdraft are secured by fixed and floating charges over the group's property. In September 2020, a cross guarantee was entered into by the wholly owned subsidiary companies within the group. |
The finance leases and other loans balances are secured on the assets to which they relate. |
MOTION PICTURE SOLUTIONS LIMITED (REGISTERED NUMBER: 05388229) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2024 |
20. | PROVISIONS FOR LIABILITIES |
Group | Company |
2024 | 2023 | 2024 | 2023 |
£ | £ | £ | £ |
Deferred tax | 40,935 | 223,677 | 40,296 | 218,975 |
Other provisions | 60,335 | 60,335 | 60,335 | 60,335 |
Aggregate amounts | 101,270 | 284,012 | 100,631 | 279,310 |
Group |
Deferred tax |
£ |
Balance at 1 October 2023 | 223,677 |
Accelerated capital allowances | (93,294 | ) |
Tax losses | (85,466 | ) |
Balance in subsidiary disposed | (3,982 | ) |
Balance at 30 September 2024 | 40,935 |
Company |
Deferred | Other |
tax | provisions |
£ | £ |
Balance at 1 October 2023 |
Accelerated capital allowances | (93,213 | ) | - |
Tax losses | (85,466 | ) | - |
Balance at 30 September 2024 |
Other provisions represent anticipated lease dilapidation costs which are expected to become payable at the end of the lease. |
21. | CALLED UP SHARE CAPITAL |
Allotted, issued and fully paid: |
Number: |
Class: |
Nominal value: |
2024 |
2023 |
£ | £ |
1 | Ordinary | £1 | - | 1 |
1000 | Ordinary | £0.001 | 1 | - |
In November 2023, a sub-division of shares took place whereby the company divided its 1 Ordinary share of £1 into 1000 Ordinary shares of £0.001. |
MOTION PICTURE SOLUTIONS LIMITED (REGISTERED NUMBER: 05388229) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2024 |
22. | RESERVES |
Group |
Retained |
earnings |
£ |
At 1 October 2023 | 3,472,624 |
Profit for the year | 333,880 |
Contributions to Employee |
Ownership Trust | (1,181,066 | ) |
At 30 September 2024 | 2,625,438 |
Company |
Retained |
earnings |
£ |
At 1 October 2023 |
Profit for the year |
Contributions to Employee |
Ownership Trust | (1,181,066 | ) |
At 30 September 2024 |
23. | PENSION COMMITMENTS |
The group operates a defined contribution pension scheme. |
Group |
The contributions payable during the year totalled £228,607 (2023: £253,328). Employer's contributions totalling £19,198 (2023: £17,986) were unpaid at the balance sheet date, and are included within other creditors. |
Company |
The contributions payable during the year totalled £184,630 (2023: £211,816). Employer's contributions totalling £14,137 (2023: £15,173) were unpaid at the balance sheet date, and are included within other creditors. |
MOTION PICTURE SOLUTIONS LIMITED (REGISTERED NUMBER: 05388229) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2024 |
24. | DIRECTORS' ADVANCES, CREDITS AND GUARANTEES |
The following advances and credits to a director subsisted during the years ended 30 September 2024 and 30 September 2023: |
2024 | 2023 |
£ | £ |
I M Thomas |
Balance outstanding at start of year | 32,432 | 148,778 |
Amounts advanced | 2,331 | 87,944 |
Amounts repaid | (34,763 | ) | (204,290 | ) |
Amounts written off | - | - |
Amounts waived | - | - |
Balance outstanding at end of year | - | 32,432 |
No interest was being charged on the above balance. I M Thomas ceased to be a director of the company on 30 November 2023. |
25. | RELATED PARTY DISCLOSURES |
The company has taken advantage of exemption, under the terms of Financial Reporting Standard 102 'The Financial Reporting Standard applicable in the UK and Republic of Ireland', not to disclose related party transactions with wholly owned subsidiaries within the group. |
Transactions between group entities which have been eliminated on consolidation are not disclosed within the financial statements. |
I M Thomas |
Director (to 30 November 2023) |
During the prior year, dividends totalling £200,000 were paid to I M Thomas. No dividends were paid in the current year. |
IM & SL Thomas LLP |
An LLP under the control of I M Thomas and his wife |
During the year, rent totalling £117,500 (2023: £117,500) was charged to the company by IM & SL Thomas LLP. At the balance sheet date, £29,375 (2023: £Nil) was outstanding and is included in trade creditors. |
Vernon Mews Management Company Limited |
A company for which I M Thomas is a director |
During the year, service charges totalling £3,012 (2023: £3,012) were charged to the company by Vernon Mews Management Company Limited. At the balance sheet date, £1,506 (2023: £753) was outstanding and is included in trade creditors. |
C Aspray |
Close family member of M W Aspray (Director) |
During the year, C Aspray provided services totalling £3,144 (2023: £3,911) to the company. At the balance sheet date, £794 (2023: £600) was outstanding and is included in trade creditors. |
MOTION PICTURE SOLUTIONS LIMITED (REGISTERED NUMBER: 05388229) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2024 |
25. | RELATED PARTY DISCLOSURES - continued |
Motion Picture Solutions Australia Pty Ltd |
A company owned by I M Thomas (to 29 November 2023) |
During the period to 29 November 2023, the company sold goods and recharged expenses totalling £7,918 (2023: £30,844) to Motion Picture Solutions Australia Pty Ltd. |
In the prior year, Motion Picture Solutions Australia Pty Ltd also provided services to the company totalling £18,581. No services were provided in the current year. |
On 29 November 2023, Motion Picture Solutions Australia Pty Ltd became a wholly owned subsidiary, and therefore transactions after this date are not required to be disclosed. |
Motion Picture Solutions Inc. |
A company owned by I M Thomas (to 29 November 2023) |
During the period to 29 November 2023, the company provided services totalling £23,715 (2023: £87,736) to Motion Picture Solutions Inc. |
Motion Picture Solutions Inc. also recharged costs to the company totalling £53,471 (2023: £354,374). |
On 29 November 2023, Motion Picture Solutions Inc. became a wholly owned subsidiary, and therefore transactions after this date are not required to be disclosed. |
Omnex Profilm Limited |
Until 29 November 2023, Omnex Profilm Limited was a wholly owned subsidiary, and therefore transactions up to this date are not required to be disclosed. The company is now owned by I M Thomas. |
During the period after 29 November 2023, the company provided management and other services totalling £65,000 and £1,031 respectively, to Omnex Profilm Limited. At the balance sheet date, £50,661 was outstanding and is included in trade debtors. |
Omnex Profilm Limited also provided services to the company totalling £15,534. At the balance sheet date, £12,331 was outstanding and is included in trade creditors. |
Motion Picture Movieworks Limited |
Until 29 November 2023, Motion Picture Movieworks Limited was a wholly owned subsidiary, and therefore transactions up to this date are not required to be disclosed. The company is now owned by I M Thomas. |
During the period after 29 November 2023, the company provided management services totalling £25,000 to Motion Picture Movieworks Limited. At the balance sheet date, £5,965 was outstanding and is included in trade debtors. The company also recharged rent charges totalling £32,639 to Motion Picture Movieworks Limited. |
Motion Picture Movieworks Limited also provided services to the company totalling £11,631. At the balance sheet date, £5,326 was outstanding and is included in trade creditors. |
26. | POST BALANCE SHEET EVENTS |
In December 2024, the company acquired 90% of the share capital of a newly incorporated company, MPS USA Inc, which is registered in the USA. |
In early 2025, the company initiated a refinancing process that included securing a new bank loan amounting to £960,000. |
MOTION PICTURE SOLUTIONS LIMITED (REGISTERED NUMBER: 05388229) |
NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 30 SEPTEMBER 2024 |
27. | ULTIMATE CONTROLLING PARTY |
I M Thomas was the ultimate controlling party until 30 November 2023. |
During the year, in November 2023, Motion Picture Solutions Trustee Limited was incorporated and acquired |
the majority shareholding in Motion Picture Solutions Limited. Motion Picture Solutions Trustee Limited is |
therefore now the ultimate controlling party, on behalf of the Motion Picture Solutions Employee Ownership |
Trust. Its registered office is 9-11 North End Road, London, W14 8ST. |