Company registration number 03047023 (England and Wales)
KNOX PHARMACEUTICALS LIMITED
ANNUAL REPORT AND FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2024
KNOX PHARMACEUTICALS LIMITED
COMPANY INFORMATION
Directors
B W Knox
L A Knox
Company number
03047023
Registered office
2 Barugh Way
Barker Business Park
Melmerby
Ripon
North Yorkshire
HG4 5NG
Auditor
Firth Parish
1 Airport West
Lancaster Way
Yeadon
Leeds
West Yorkshire
LS19 7ZA
KNOX PHARMACEUTICALS LIMITED
CONTENTS
Page
Strategic report
1
Directors' report
2
Directors' responsibilities statement
3
Independent auditor's report
4 - 6
Statement of comprehensive income
7
Balance sheet
8
Statement of changes in equity
9
Notes to the financial statements
10 - 21
KNOX PHARMACEUTICALS LIMITED
STRATEGIC REPORT
FOR THE YEAR ENDED 31 OCTOBER 2024
- 1 -

The directors present the strategic report for the year ended 31 October 2024.

Review of the business

The directors are happy with the results for the end of this financial year. The company continues to grow against the headwind of further taxation and increasing bureaucracy. Further development has been spent in areas of system improvement and business reinvestment. It is the company’s aim to continue along the similar path as previous years: recruiting the best talent available, whilst trying to keep an eye on costs and develop additional revenue streams.

Principal risks and uncertainties

It is always essential that the company stays ahead of regulation. This can ensure that the company is never exposed to sudden unplanned costs. The fluctuating exchange rates, caused by turbulence in the world markets from geopolitical issues need to be constantly watched.

 

On behalf of the board

B W Knox
Director
17 July 2025
KNOX PHARMACEUTICALS LIMITED
DIRECTORS' REPORT
FOR THE YEAR ENDED 31 OCTOBER 2024
- 2 -

The directors present their annual report and financial statements for the year ended 31 October 2024.

Principal activities

The principal activity of the company continued to be that of the wholesale of pharmaceutical products.

Results and dividends

The results for the year are set out on page 7.

Ordinary dividends were paid amounting to £3,761,100. The directors do not recommend payment of a final dividend.

Directors

The directors who held office during the year and up to the date of signature of the financial statements were as follows:

B W Knox
L A Knox
Research and development

Further investments in technology and warehouse processes continue to take place, the aim being to further improve efficiency and experience for the benefit of all parties: staff and customers alike.

Future developments

The company will continue its path to further growth whilst increasing further investments over the next 12 months.

 

Statement of disclosure to auditor

So far as each person who was a director at the date of approving this report is aware, there is no relevant audit information of which the company’s auditor is unaware. Additionally, the directors individually have taken all the necessary steps that they ought to have taken as directors in order to make themselves aware of all relevant audit information and to establish that the company’s auditor is aware of that information.

Charitable Donations

During the year the company made a charitable donation totalling £20,000 to The Lewy Body Society. The purpose of the donation was to support the charity in its objective to raise awareness for lewy body dementia and support research into the disease.

On behalf of the board
B W Knox
Director
17 July 2025
KNOX PHARMACEUTICALS LIMITED
DIRECTORS' RESPONSIBILITIES STATEMENT
FOR THE YEAR ENDED 31 OCTOBER 2024
- 3 -

The directors are responsible for preparing the annual report 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:

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.

KNOX PHARMACEUTICALS LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBER OF KNOX PHARMACEUTICALS LIMITED
- 4 -
Opinion

We have audited the financial statements of Knox Pharmaceuticals Limited (the 'company') for the year ended 31 October 2024 which comprise the statement of comprehensive income, the balance sheet, the statement of changes in equity 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:

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 other information comprises the information included in the annual report other than the financial statements and our auditor's report thereon. The directors are responsible for the other information contained within the annual report. 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 course of 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 our audit:

KNOX PHARMACEUTICALS LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBER OF KNOX PHARMACEUTICALS LIMITED (CONTINUED)
- 5 -
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:

Responsibilities of directors

As explained more fully in the directors' responsibilities statement, 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.

The extent to which our procedures are capable of detecting irregularities, including fraud, is detailed below.

Identifying and assessing potential risks related to irregularities

 

 

 

 

KNOX PHARMACEUTICALS LIMITED
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBER OF KNOX PHARMACEUTICALS LIMITED (CONTINUED)
- 6 -
Audit response to risks identified

 

 

A further description of our responsibilities is available on the Financial Reporting Council’s website at: https://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 member 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 member those matters we are required to state to the member 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 member, for our audit work, for this report, or for the opinions we have formed.

Susan Hudson (Senior Statutory Auditor)
For and on behalf of Firth Parish, Statutory Auditor
Chartered Accountants
1 Airport West
Lancaster Way
Yeadon
Leeds
West Yorkshire
LS19 7ZA
17 July 2025
KNOX PHARMACEUTICALS LIMITED
STATEMENT OF COMPREHENSIVE INCOME
FOR THE YEAR ENDED 31 OCTOBER 2024
- 7 -
2024
2023
Notes
£
£
Turnover
3
30,264,111
27,196,133
Cost of sales
(24,316,862)
(22,210,984)
Gross profit
5,947,249
4,985,149
Administrative expenses
(1,753,213)
(1,444,523)
Other operating income
582
-
0
Operating profit
4
4,194,618
3,540,626
Interest receivable and similar income
7
3,733
-
0
Interest payable and similar expenses
8
-
0
(4,884)
Profit before taxation
4,198,351
3,535,742
Tax on profit
9
(1,052,807)
(832,296)
Profit for the financial year
3,145,544
2,703,446

The profit and loss account has been prepared on the basis that all operations are continuing operations.

KNOX PHARMACEUTICALS LIMITED
BALANCE SHEET
AS AT
31 OCTOBER 2024
31 October 2024
- 8 -
2024
2023
Notes
£
£
£
£
Fixed assets
Tangible assets
12
1,148,306
1,045,518
Current assets
Stocks
13
1,401,442
1,333,333
Debtors
14
5,444,360
4,755,176
Cash at bank and in hand
1,148,269
2,382,064
7,994,071
8,470,573
Creditors: amounts falling due within one year
15
(3,074,690)
(2,847,753)
Net current assets
4,919,381
5,622,820
Total assets less current liabilities
6,067,687
6,668,338
Provisions for liabilities
Deferred tax liability
16
82,281
67,376
(82,281)
(67,376)
Net assets
5,985,406
6,600,962
Capital and reserves
Called up share capital
18
1,000
1,000
Profit and loss reserves
5,984,406
6,599,962
Total equity
5,985,406
6,600,962

These financial statements have been prepared in accordance with the provisions relating to medium-sized companies.

The financial statements were approved by the board of directors and authorised for issue on 17 July 2025 and are signed on its behalf by:
B W Knox
Director
Company registration number 03047023 (England and Wales)
KNOX PHARMACEUTICALS LIMITED
STATEMENT OF CHANGES IN EQUITY
FOR THE YEAR ENDED 31 OCTOBER 2024
- 9 -
Share capital
Profit and loss reserves
Total
Notes
£
£
£
Balance at 1 November 2022
1,000
5,298,778
5,299,778
Year ended 31 October 2023:
Profit and total comprehensive income
-
2,703,446
2,703,446
Dividends
10
-
(1,402,262)
(1,402,262)
Balance at 31 October 2023
1,000
6,599,962
6,600,962
Year ended 31 October 2024:
Profit and total comprehensive income
-
3,145,544
3,145,544
Dividends
10
-
(3,761,100)
(3,761,100)
Balance at 31 October 2024
1,000
5,984,406
5,985,406
KNOX PHARMACEUTICALS LIMITED
NOTES TO THE FINANCIAL STATEMENTS
FOR THE YEAR ENDED 31 OCTOBER 2024
- 10 -
1
Accounting policies
Company information

Knox Pharmaceuticals Limited is a private company limited by shares incorporated in England and Wales. The registered office is 2 Barugh Way, Barker Business Park, Melmerby, Ripon, North Yorkshire, HG4 5NG.

1.1
Accounting convention

These financial statements have been prepared in accordance with FRS 102 “The Financial Reporting Standard applicable in the UK and Republic of Ireland” (“FRS 102”) and the requirements of the Companies Act 2006.

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 £.

The financial statements have been prepared under the historical cost convention. The principal accounting policies adopted are set out below.

This company is a qualifying entity for the purposes of FRS 102, being a member of a group where the parent of that group prepares publicly available consolidated financial statements, including this company, which are intended to give a true and fair view of the assets, liabilities, financial position and profit or loss of the group. The company has therefore taken advantage of exemptions from the following disclosure requirements:

 

 

The financial statements of the company are consolidated in the financial statements of Knox Holdings Limited. These consolidated financial statements are available from the Registrar of Companies, Companies House.

1.2
Going concern

Atruet the time of approving the financial statements, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future. Thus the directors continue to adopt the going concern basis of accounting in preparing the financial statements.

1.3
Turnover

Turnover is recognised at the fair value of the consideration received or receivable for goods and services provided in the normal course of business, and is shown net of VAT and other sales related taxes. The fair value of consideration takes into account trade discounts, settlement discounts and volume rebates.

 

When cash inflows are deferred and represent a financing arrangement, the fair value of the consideration is the present value of the future receipts. The difference between the fair value of the consideration and the nominal amount received is recognised as interest income.

Revenue from the sale of goods is recognised when the significant risks and rewards of ownership of the goods have passed to the buyer (usually on dispatch of the goods), the amount of revenue can be measured reliably, it is probable that the economic benefits associated with the transaction will flow to the entity and the costs incurred or to be incurred in respect of the transaction can be measured reliably.

KNOX PHARMACEUTICALS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2024
1
Accounting policies
(Continued)
- 11 -
1.4
Research and development expenditure

Research expenditure is written off against profits in the year in which it is incurred. Identifiable development expenditure is capitalised to the extent that the technical, commercial and financial feasibility can be demonstrated.

1.5
Tangible fixed assets

Tangible fixed assets are initially measured at cost and subsequently measured at cost or valuation, net of depreciation and any impairment losses.

Depreciation is recognised so as to write off the cost or valuation of assets less their residual values over their useful lives on the following bases:

Freehold land and buildings
land - nil, buildings 2% straight line
Plant and equipment
15% straight line
Fixtures and fittings
15% straight line
Computers
25% straight line
Motor vehicles
25% straight line

The gain 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 credited or charged to profit or loss.

1.6
Impairment of fixed assets

At each reporting period end date, the company reviews the carrying amounts of its tangible and intangible assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the company estimates the recoverable amount of the cash-generating unit to which the asset belongs.

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

 

If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the impairment loss is treated as a revaluation decrease.

Recognised impairment losses are reversed if, and only if, the reasons for the impairment loss have ceased to apply. Where an impairment loss subsequently reverses, the carrying amount of the asset (or cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognised immediately in profit or loss, unless the relevant asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase.

1.7
Stocks

Stocks are stated at the lower of cost and estimated selling price less costs to complete and sell. Cost comprises direct materials and, where applicable, direct labour costs and those overheads that have been incurred in bringing the stocks to their present location and condition.

 

Stocks held for distribution at no or nominal consideration are measured at the lower of cost and replacement cost, adjusted where applicable for any loss of service potential.

KNOX PHARMACEUTICALS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2024
1
Accounting policies
(Continued)
- 12 -

At each reporting date, an assessment is made for impairment. Any excess of the carrying amount of stocks over its estimated selling price less costs to complete and sell is recognised as an impairment loss in profit or loss. Reversals of impairment losses are also recognised in profit or loss.

1.8
Cash and cash equivalents

Cash and cash equivalents are basic financial assets and include cash in hand, deposits held at call with banks, other short-term liquid investments with original maturities of three months or less, and bank overdrafts. Bank overdrafts are shown within borrowings in current liabilities.

1.9
Financial instruments

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 instruments are recognised in the company's balance sheet when the company becomes party to the contractual provisions of the instrument.

 

Financial assets and liabilities are offset, with the net amounts presented in the financial statements, when there is a legally enforceable right to set off the recognised amounts and there is an intention to settle on a net basis or to realise the asset and settle the liability simultaneously.

Basic financial assets

Basic financial assets, which include debtors 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 financing transaction, where the transaction is measured at the present value of the future receipts discounted at a market rate of interest. Financial assets classified as receivable within one year are not amortised.

Other financial assets

Other financial assets, including investments in equity instruments which are not subsidiaries, associates or joint ventures, are initially measured at fair value, which is normally the transaction price. Such assets are subsequently carried at fair value and the changes in fair value are recognised in profit or loss, except that investments in equity instruments that are not publicly traded and whose fair values cannot be measured reliably are measured at cost less impairment.

Impairment of financial assets

Financial assets, other than those held at fair value through profit and loss, are assessed for indicators of impairment at each reporting end date.

 

Financial assets are impaired where there is objective evidence that, as a result of one or more events that occurred after the initial recognition of the financial asset, the estimated future cash flows have been affected. If an asset is impaired, the impairment loss is the difference between the carrying amount and the present value of the estimated cash flows discounted at the asset’s original effective interest rate. The impairment loss is recognised in profit or loss.

 

If there is a decrease in the impairment loss arising from an event occurring after the impairment was recognised, the impairment is reversed. The reversal is such that the current carrying amount does not exceed what the carrying amount would have been, had the impairment not previously been recognised. The impairment reversal is recognised in profit or loss.

Derecognition of financial assets

Financial assets are derecognised only when the contractual rights to the cash flows from the asset expire or are settled, or when the company transfers the financial asset and substantially all the risks and rewards of ownership to another entity, or if some significant risks and rewards of ownership are retained but control of the asset has transferred to another party that is able to sell the asset in its entirety to an unrelated third party.

KNOX PHARMACEUTICALS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2024
1
Accounting policies
(Continued)
- 13 -
Classification of financial liabilities

Financial liabilities and equity instruments are classified according to the substance of the contractual arrangements entered into. An equity instrument is any contract that evidences a residual interest in the assets of the company after deducting all of its liabilities.

Basic financial liabilities

Basic financial liabilities, including creditors, bank loans, loans from fellow group companies and preference shares that are classified as debt, are initially recognised at transaction price unless the arrangement constitutes a financing transaction, where the debt instrument is measured at the present value of the future payments discounted at a market rate of interest. Financial liabilities classified as payable within one year are not amortised.

 

Debt instruments are subsequently carried at amortised cost, using the effective interest rate method.

 

Trade creditors are obligations to pay for goods or services that have been acquired in the ordinary course of business from suppliers. Amounts payable are classified as current liabilities if payment is due within one year or less. If not, they are presented as non-current liabilities. Trade creditors are recognised initially at transaction price and subsequently measured at amortised cost using the effective interest method.

Other financial liabilities

Derivatives, including interest rate swaps and forward foreign exchange contracts, are not basic financial instruments. Derivatives are initially recognised at fair value on the date a derivative contract is entered into and are subsequently re-measured at their fair value. Changes in the fair value of derivatives are recognised in profit or loss in finance costs or finance income as appropriate, unless hedge accounting is applied and the hedge is a cash flow hedge.

 

Debt instruments that do not meet the conditions in FRS 102 paragraph 11.9 are subsequently measured at fair value through profit or loss. Debt instruments may be designated as being measured at fair value through profit or loss to eliminate or reduce an accounting mismatch or if the instruments are measured and their performance evaluated on a fair value basis in accordance with a documented risk management or investment strategy.

Derecognition of financial liabilities

Financial liabilities are derecognised when the company’s contractual obligations expire or are discharged or cancelled.

1.10
Equity instruments

Equity instruments issued by the company are recorded at the proceeds received, net of transaction costs. Dividends payable on equity instruments are recognised as liabilities once they are no longer at the discretion of the company.

1.11
Taxation

The tax expense represents the sum of the tax currently payable and deferred tax.

Current tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from net profit as reported in the profit and loss account because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that are never taxable or deductible. The company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted by the reporting end date.

KNOX PHARMACEUTICALS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2024
1
Accounting policies
(Continued)
- 14 -
Deferred tax

Deferred tax liabilities are generally recognised for all timing differences and deferred tax assets are recognised to the extent that it is probable that they will be recovered against the reversal of deferred tax liabilities or other future taxable profits. Such assets and liabilities are not recognised if the timing difference arises from goodwill or from the initial recognition of other assets and liabilities in a transaction that affects neither the tax profit nor the accounting profit.

 

The carrying amount of deferred tax assets is reviewed at each reporting end date and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset is realised. Deferred tax is charged or credited in the profit and loss account, except when it relates to items charged or credited directly to equity, in which case the deferred tax is also dealt with in equity. Deferred tax assets and liabilities are offset when the company has a legally enforceable right to offset current tax assets and liabilities and the deferred tax assets and liabilities relate to taxes levied by the same tax authority.

1.12
Employee benefits

The costs of short-term employee benefits are recognised as a liability and an expense, unless those costs are required to be recognised as part of the cost of stock or fixed assets.

 

The cost of any unused holiday entitlement is recognised in the period in which the employee’s services are received.

 

Termination benefits are recognised immediately as an expense when the company is demonstrably committed to terminate the employment of an employee or to provide termination benefits.

1.13
Retirement benefits

Payments to defined contribution retirement benefit schemes are charged as an expense as they fall due.

1.14
Leases

Rentals payable under operating leases, including any lease incentives received, are charged to profit or loss on a straight line basis over the term of the relevant lease except where another more systematic basis is more representative of the time pattern in which economic benefits from the leases asset are consumed.

1.15
Foreign exchange

Transactions in currencies other than pounds sterling are recorded at the rates of exchange prevailing at the dates of the transactions. At each reporting end date, monetary assets and liabilities that are denominated in foreign currencies are retranslated at the rates prevailing on the reporting end date. Gains and losses arising on translation in the period are included in profit or loss.

2
Judgements and key sources of estimation uncertainty

In the application of the company’s accounting policies, the directors are required to make judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent from other sources. The estimates and associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ from these estimates.

 

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised where the revision affects only that period, or in the period of the revision and future periods where the revision affects both current and future periods.

KNOX PHARMACEUTICALS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2024
- 15 -
3
Turnover and other revenue

An analysis of the company's turnover is as follows:

2024
2023
£
£
Turnover analysed by class of business
Sale of goods
30,264,111
27,196,133
2024
2023
£
£
Other revenue
Interest income
3,733
-

In the directors' opinion the disclosure of a geographical analysis of turnover would be seriously prejudicial to the company's interest.

4
Operating profit
2024
2023
Operating profit for the year is stated after charging/(crediting):
£
£
Exchange differences apart from those arising on financial instruments measured at fair value through profit or loss
(557,321)
(504,886)
Fees payable to the company's auditor for the audit of the company's financial statements
12,950
15,000
Depreciation of owned tangible fixed assets
83,777
64,558
Loss on disposal of tangible fixed assets
525
-
Operating lease charges
73,987
63,000
5
Employees

The average monthly number of persons (including directors) employed by the company during the year was:

2024
2023
Number
Number
Office staff
15
15
Warehouse staff
24
24
Total
39
39

Their aggregate remuneration comprised:

2024
2023
£
£
Wages and salaries
1,069,135
986,342
Social security costs
96,113
81,515
Pension costs
252,465
109,510
1,417,713
1,177,367
KNOX PHARMACEUTICALS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2024
- 16 -
6
Directors' remuneration
2024
2023
£
£
Remuneration for qualifying services
25,140
28,637
Company pension contributions to defined contribution schemes
231,278
90,785
256,418
119,422

The number of directors for whom retirement benefits are accruing under defined contribution schemes amounted to 2 (2023 - 2).

7
Interest receivable and similar income
2024
2023
£
£
Interest income
Other interest income
3,733
-
0
8
Interest payable and similar expenses
2024
2023
£
£
Other interest
-
0
4,884
9
Taxation
2024
2023
£
£
Current tax
UK corporation tax on profits for the current period
1,046,233
775,681
Adjustments in respect of prior periods
(8,331)
42,332
Total current tax
1,037,902
818,013
Deferred tax
Origination and reversal of timing differences
7,013
23,297
Adjustment in respect of prior periods
7,892
(9,014)
Total deferred tax
14,905
14,283
Total tax charge
1,052,807
832,296
KNOX PHARMACEUTICALS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2024
9
Taxation
(Continued)
- 17 -

The actual charge for the year can be reconciled to the expected charge for the year based on the profit or loss and the standard rate of tax as follows:

2024
2023
£
£
Profit before taxation
4,198,351
3,535,742
Expected tax charge based on the standard rate of corporation tax in the UK of 25.00% (2023: 22.52%)
1,049,588
796,171
Tax effect of expenses that are not deductible in determining taxable profit
1,997
2,258
Permanent capital allowances in excess of depreciation
-
0
(2,351)
Depreciation on assets not qualifying for tax allowances
1,661
587
Under/(over) provided in prior years
(8,331)
42,332
Deferred tax adjustments in respect of prior years
7,892
(9,014)
Deferred tax recognised at future tax rate
-
0
2,313
Taxation charge for the year
1,052,807
832,296
10
Dividends
2024
2023
£
£
Interim paid
3,761,100
1,402,262
11
Intangible fixed assets
Goodwill
£
Cost
At 1 November 2023 and 31 October 2024
13,500
Amortisation and impairment
At 1 November 2023 and 31 October 2024
13,500
Carrying amount
At 31 October 2024
-
0
At 31 October 2023
-
0
KNOX PHARMACEUTICALS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2024
- 18 -
12
Tangible fixed assets
Freehold land and buildings
Plant and equipment
Fixtures and fittings
Computers
Motor vehicles
Total
£
£
£
£
£
£
Cost
At 1 November 2023
841,369
148,182
285,315
53,415
7,595
1,335,876
Additions
-
0
55,750
51,806
40,424
38,750
186,730
Disposals
-
0
(4,529)
(776)
(972)
-
0
(6,277)
At 31 October 2024
841,369
199,403
336,345
92,867
46,345
1,516,329
Depreciation and impairment
At 1 November 2023
46,694
52,632
139,998
43,439
7,595
290,358
Depreciation charged in the year
13,357
22,547
30,552
10,863
6,458
83,777
Eliminated in respect of disposals
-
0
(4,526)
(776)
(810)
-
0
(6,112)
At 31 October 2024
60,051
70,653
169,774
53,492
14,053
368,023
Carrying amount
At 31 October 2024
781,318
128,750
166,571
39,375
32,292
1,148,306
At 31 October 2023
794,675
95,550
145,317
9,976
-
0
1,045,518
13
Stocks
2024
2023
£
£
Finished goods and goods for resale
1,401,442
1,333,333
14
Debtors
2024
2023
Amounts falling due within one year:
£
£
Trade debtors
4,578,439
4,237,783
Corporation tax recoverable
-
0
11,252
Other debtors
748,172
430,873
Prepayments and accrued income
117,749
75,268
5,444,360
4,755,176
KNOX PHARMACEUTICALS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2024
- 19 -
15
Creditors: amounts falling due within one year
2024
2023
£
£
Trade creditors
2,224,772
2,322,768
Amounts owed to group undertakings
100,084
100,510
Corporation tax
566,270
299,453
Other taxation and social security
26,273
20,797
Other creditors
26,966
38,220
Accruals and deferred income
130,325
66,005
3,074,690
2,847,753
16
Deferred taxation

The following are the major deferred tax liabilities and assets recognised by the company and movements thereon:

Liabilities
Liabilities
2024
2023
Balances:
£
£
Accelerated capital allowances
82,281
67,376
2024
Movements in the year:
£
Liability at 1 November 2023
67,376
Charge to profit or loss
14,905
Liability at 31 October 2024
82,281

£15,200 of the deferred tax liability set out above is expected to reverse within 12 months and relates to accelerated capital allowances that are expected to mature within the same period.

17
Retirement benefit schemes
2024
2023
Defined contribution schemes
£
£
Charge to profit or loss in respect of defined contribution schemes
252,465
109,510

The company operates a defined contribution pension scheme for all qualifying employees. The assets of the scheme are held separately from those of the company in an independently administered fund.

18
Share capital
2024
2023
2024
2023
Ordinary share capital
Number
Number
£
£
Issued and fully paid
Ordinary shares of £1 each
1,000
1,000
1,000
1,000
KNOX PHARMACEUTICALS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2024
- 20 -
19
Operating lease commitments
As lessee

At the reporting end date the company had outstanding commitments for future minimum lease payments under non-cancellable operating leases, which fall due as follows:

2024
2023
£
£
Within 1 year
85,260
65,760
Years 2-5
35,985
93,620
121,245
159,380
20
Events after the reporting date

On 17 February 2025 the company declared an interim dividend of £1,230,000 for the year ended 31 October 2025.

21
Related party transactions
Transactions with related parties

During the year the company entered into the following transactions with related parties:

Purchases
2024
2023
£
£
Other related parties
2,180,480
1,692,127
Rent of premises
2024
2023
£
£
Other related parties
73,987
63,000

The following amounts were outstanding at the reporting end date:

2024
2023
Amounts due to related parties
£
£
Other related parties
184,313
156,999

The following amounts were outstanding at the reporting end date:

2024
2023
Amounts due from related parties
£
£
Other related parties
105,267
91,138
KNOX PHARMACEUTICALS LIMITED
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
FOR THE YEAR ENDED 31 OCTOBER 2024
21
Related party transactions
(Continued)
- 21 -

Purchases were made at market price discounted to reflect the relationships between the parties.

 

The amounts outstanding are unsecured and will be settled in cash.

 

Rent of premises was at market price.

22
Ultimate controlling party

The parent company of Knox Pharmaceuticals Limited is Knox Holdings Limited, and its registered office is 2 Barugh Way, Barker Business Park, Melmerby, Ripon, North Yorkshire, HG4 5NG.

The ultimate controlling party is B W Knox, director, by virtue of his shareholding in Knox Holdings Limited.

The following are the parents of the largest and smallest groups in which this company's results are consolidated:

Largest group
Knox Holdings Limited
Smallest group
Knox Holdings Limited
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