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Registered number:
For the Year Ended
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MSS Products Limited
Company Information
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MSS Products Limited
Contents
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MSS Products Limited
Strategic Report
For the Year Ended 31 December 2024
The directors present the Strategic Report for the year ended 31 December 2024.
These financial statements present the results of MSS Products Limited for the year ended December 2024.
The Company's principal activities are the worldwide source and supply of electrical materials, engineered components and sub-assemblies. MSS Products gives original equipment manufacturers ('OEM's') a platform to low cost manufactured products providing best cost pricing with local quality and service. Customer relationships are key to success and MSS has long standing relationships with many customers. The Company has made substantial investment in R&D activities throughout the period to access business in the dynamic Energy Transition and Renewable sectors. The Electrical Industry has proved thoroughly robust and business performance in current market sectors, combined with new ''Green'' business, will facilitate ambitious growth targets.
The main risks facing the Company are currency and commodity fluctuations. As the majority of sales are metal-based, the Company manages exposure to London Metal Exchange ('LME') pricing and exchange rates on a regular basis.
Management of these risks is done in-house with a dedicated department who have expertise in this area. Derivative instruments such as forward contracts mitigate the risks from such exposures. Key performance indicators Management uses a range of performance measures to monitor and manage the business, including turnover, gross margin and EBITDA (as referred to below). The Company places significant emphasis on cash generation forecasts, ensuring that the balance of customers, suppliers and stock levels help to maintain a positive cash flow over the working capital cycle. The Board considers Adjusted EBITDA (Earnings before Interest, Tax, Depreciation and Amortisation, adjusted for exceptional and normalised items) to be its key metric. Adjusted EBITDA for the year was £6.875m (7.3% of Turnover), normalisation adjustments are exceptional recruitment and interim staff costs incurred during the year.
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MSS Products Limited
Strategic Report (continued)
For the Year Ended 31 December 2024
Normalised adjustments were introduced in FY24 to provide a clearer view of the Company’s underlying performance. As this exercise was undertaken only in FY24, there are no comparative figures presented for FY23.
Development and financial performance during the year As reported in the Statement of Comprehensive Income, turnover has increased by 2% (28% when pro-rated) from £91,252,486 in the 15 months ended 31 December 2023 to £93,491,131 in the year ended 31 December 2024. The Company's increased turnover has been driven by favourable market conditions whilst the world continues to electrify, resulting in growth in all areas of the business. Although administration costs have risen, the gross margin has remained stable at 11% (2023: 10%); these margin gains have carried through to operating profit 5.1% (2023: 4.3%). In addition, increased demand which has resulted from the world shortage of raw materials, and MSS's continued strategic climb up the value chain, has resulted in profit before tax increasing from £5,093,497 to £6,385,496. Financial position at the reporting date The balance sheet shows that the net assets at the year-end have increased from £15,027,605 to £19,803,984.
For the financial year 2025, the MSS Products group is forecasting further growth in terms of turnover, due to a strong order book, new customers, and the higher value-added content of products increasing throughout the year. A greater share of business will be components and assemblies, particularly for the renewable sector, which will increase net profit and margin throughout the year. MSS Product's pro-active approach has seen an increase in manpower and the addition of specialist expertise to be ready for the business growth.
The Directors continue to monitor the implications of global and local economic factors which may impact business activity, and remain confident in their strategy and the strength of the business. Existing risk management policies are deemed to be adequate.
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MSS Products Limited
Strategic Report (continued)
For the Year Ended 31 December 2024
The Company’s principal objective is to establish and maintain its position as preferred partner to our customers and to increase the value of the Company by generating strong, sustainable and growing cash flows across industry and economic cycles. To achieve these objectives, the Company has the following key strategies:
• Consistently meeting and surpassing our customers' expectations in terms of quality and supply reliability. • Offering development opportunities to our employees through skills enhancement and a commitment to learning, fostering an empowered workforce. • Establishing world class operations with industry leading process management in all disciplines. • Contributing to the global energy transition as well as to a responsible and sustainable environment. • Making a positive contribution to our stakeholders and communities while achieving top tier financial performance. The directors believe these are critical long term factors for the success of the Company. The directors’ decision making has supported the implementation of the strategy which aims to operate and develop the business in a way that supports both the current and future needs. The directors strongly believe that sustainable business management and practices will contribute to the long term business success and will strengthen the Company’s leading position in the market. The directors ensure that the Company has sufficient resources to support its long term growth strategy and fund investment. The Company operates in an industry characterised by long term relationships between stakeholders and therefore engagement with stakeholders and maintaining a reputation for high standards of service and business conduct is vital. Engaging stakeholders and developing meaningful partnerships is essential for business. The Company engages in regular, open and proactive dialogue with all relevant stakeholders as this is needed to understand their perspectives, expectations, concerns and needs. In this way the Company is able to integrate stakeholders' considerations. Key decisions taken by directors during the period are as follows: • To continue to invest in recruitment and training and to boost capacity to support the Company’s continued growth and expansion. During the period under review, the Company approved and committed significant amounts on Capital Expenditure to expand its capacity in its two manufacturing bases and made a number of significant hires. Employee engagement The Company places considerable value on the involvement of its employees and has continued to keep them informed on matters affecting them as employees and on the various factors affecting performance of the Company. This is achieved through regular meetings with employees, both formal and informal, giving the opportunity for consultation on a wide range of matters affecting their current and future interests. Engagement with customers and suppliers Customers The Company's broad customer base spans industries, businesses and end users of our products. We work closely with our customers to understand their evolving needs so we can improve and adapt to meet them. The Company protects the interests of its customers through the careful selection of suppliers and other business partners, and through the standards set for its own actions. Suppliers We depend on the capability and performance of our suppliers to help deliver the products we need for our operations and our customers. The Company only works with suppliers who are prepared to eliminate problems or implement risk reduction measures.
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MSS Products Limited
Strategic Report (continued)
For the Year Ended 31 December 2024
Community, environment and members The Company engages with the community and has relationships with local charities to whom it regularly contributes. The Company monitors and seeks to reduce its impact on the environment. A review is planned for 2024 to plan net zero targets.
This report was approved by the board and signed on its behalf.
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MSS Products Limited
Directors' Report
For the Year Ended 31 December 2024
The directors present their report and the financial statements for the year ended 31 December 2024.
The directors are responsible for preparing the Strategic Report, the Directors' Report and the financial statements in accordance with applicable law and regulations.
In preparing these financial statements, the directors are required to:
∙select suitable accounting policies for the Company's financial statements and then apply them consistently;
∙make judgements and accounting estimates that are reasonable and prudent;
∙state whether applicable UK Accounting Standards have been followed, subject to any material departures disclosed and explained in the financial statements;
∙prepare the financial statements on the going concern basis unless it is inappropriate to presume that the Company will continue in business.
The directors are responsible for keeping adequate accounting records that are sufficient to show and explain the Company's transactions and disclose with reasonable accuracy at any time the financial position of the Company and to 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.
The profit for the year, after taxation, amounted to £4,776,379 (2023 -£3,916,735).
No dividends were paid during the year (15 month period to 31 December 2023 - £nil). The directors do not recommend the payment of a final dividend.
The directors who served during the year were:
The Company continues to invest in research and development with the purpose of creating innovative, efficient products for the power industry.
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MSS Products Limited
Directors' Report (continued)
For the Year Ended 31 December 2024
The Company's principal financial instruments comprise trade debtors, loans to and from group undertakings, trade creditors, an invoice discounting facility, and forward contracts. The Company has in place a risk management programme that seeks to limit the adverse effects of the risks associated with these financial instruments on the financial performance of the Company.
The main risks arising from the Company's financial instruments are cash flow risk, credit risk, liquidity risk and exchange rate risk. The directors review and agree policies for managing each of these risks and these policies have not significantly changed from previous years. Credit risk is managed by running credit checks on new customers and by monitoring payments against the contractual arrangements. The Company has no significant concentration of credit risk, with exposure spread over a number of customers. With regards to liquidity risk, the objective is to ensure continuity of funding and cash levels sufficient to meet the ongoing needs of the business. The policy is to smooth the cash requirements of the business and to arrange funding ahead of requirements, should it be needed. The Company recognises that managing cash flow risk is crucial to maintaining financial stability and ensuring the smooth operation of our business. Our cash flow risk policy aims to safeguard the company against potential liquidity shortages and ensure that we have sufficient cash to meet our obligations as they fall due. We maintain detailed cash flow forecasts to anticipate our cash needs. These forecasts are regularly updated to reflect changes in business operations, market conditions, and other external factors. Efficient credit control processes are in place to manage receivables and ensure timely collections from customers. This helps maintain a steady cash inflow. We closely monitor our expenditure, maintaining a healthy cash balance and avoiding unnecessary financial strain.
Customers
The Company's broad customer base spans all areas of Electrical and Renewable industries, businesses and end users of our products. We work closely with customers to understand their evolving needs so we can improve and adapt to them. The Company protects the interests of its customers through the careful selection of suppliers and other business partners, and through the standards set for its own actions. Suppliers We depend on the capability and performance of our suppliers to help deliver the products we need for our operations and our customers. The Company only works with suppliers who are prepared to eliminate problems or implement risk reduction measures. Employees The Company places considerable value on the involvement of its employees and has continued to keep them informed on matters affecting them as employees, and on the various factors affecting performance of the Company. This is achieved through formal and informal meetings. Employee representatives are consulted regularly on a wide range of matters affecting their current and future interest through regular meetings. Applications for employment by disabled persons are always fully considered, bearing in mind the abilities of the applicant concerned. In the event of members of staff becoming disabled, every effort is made to ensure that their employment with the Company continues and that appropriate training is arranged. It is the policy of the Company that the training, career development and promotion of disabled persons should, as far as possible, be identical to that of other employees.
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MSS Products Limited
Directors' Report (continued)
For the Year Ended 31 December 2024
The Company has taken measures to improve energy efficiency and reduce energy consumption through various projects including:
∙Implementation of 5 additional electric charging points at our Head Office for our growing fleet of hybrid and electric vehicles;
∙The business has started the process of initiating switchover to electric/hybrid vehicles, with a commitment to 100% electric/hybrid usage by September 2026;
∙Installation of energy efficient lighting; and
∙Upgrade to more energy efficient solar panels.
The intensity ratio of tonnes CO2e per £m sales revenue is 1.63 (15 month period to 31 December 2023: 2.24).
There have been no significant events affecting the Company since the year end.
The directors have resolved not to re-appoint Hurst Accountants Limited as the Group and Company’s auditors. The Company is currently in the process of selecting a new audit firm, and an appointment will be made in due course.
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MSS Products Limited
Directors' Report (continued)
For the Year Ended 31 December 2024
This report was approved by the board and signed on its behalf.
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MSS Products Limited
Independent Auditors' Report to the Members of MSS Products Limited
We have audited the financial statements of MSS Products Limited (the 'Company') for the year ended 31 December 2024, which comprise the Statement of Comprehensive Income, the Balance Sheet, the Statement of Changes in Equity and the related notes, 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).
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the financial statements section of our report. We are independent of the Company in accordance with the ethical requirements that are relevant to our audit of the financial statements in the United Kingdom, including the Financial Reporting Council'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.
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.
The other information comprises the information included in the Annual Report other than the financial statements and our Auditors' 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.
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MSS Products Limited
Independent Auditors' Report to the Members of MSS Products Limited (continued)
In our opinion, based on the work undertaken in the course of the audit:
∙the information given in the Strategic Report and the Directors' Report for the financial year for which the financial statements are prepared is consistent with the financial statements; and
∙the Strategic Report and the Directors' Report have been prepared in accordance with applicable legal requirements.
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.
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MSS Products Limited
Independent Auditors' Report to the Members of MSS Products Limited (continued)
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 Auditors' Report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs (UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
Irregularities, including fraud, are instances of non-compliance with laws and regulations. We design procedures in line with our responsibilities, outlined above, to detect material misstatements in respect of irregularities, including fraud. The extent to which our procedures are capable of detecting irregularities, including fraud is detailed below:
The engagement partner's assessment of the appropriateness of the collective competence and capabilities of the engagement team included consideration of the engagement team’s:
∙Understanding of, and practical experience with audit engagements of a similar nature and complexity through appropriate training and participation;
∙Knowledge of the industry in which the entity operates;
∙Understanding of the legal and regulatory requirements specific to the entity.
Identifying and assessing potential risks related to irregularities
In identifying and assessing the risks of material misstatement in respect of irregularities, including fraud and non-compliance with laws and regulations, we considered the following:
∙The nature of the industry and sector in which the company operates; the control environment and business performance including key drivers for directors' remuneration, bonus levels and performance targets.
∙The outcome of enquiries of management, including whether management was aware of any instances of non-compliance with laws and regulations, and whether management had knowledge of any actual, suspected, or alleged fraud.
∙Supporting documentation relating to the Company's policies and procedures for:
°Identifying, evaluating, and complying with laws and regulations
°Detecting and responding to the risks of fraud
∙The internal controls established to mitigate risks related to fraud or non-compliance with laws and regulations.
∙The outcome of discussions amongst the engagement team regarding how and where fraud might occur in the financial statements and any potential indicators of fraud.
∙The legal and regulatory framework in which the Company operates, particularly those laws and regulations which have a direct effect on the financial statements, such as the Companies Act 2006, pensions and tax legislation, or which had a fundamental effect on the operations of the Company, including General Data Protection requirements, and Anti-bribery and Corruption.
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MSS Products Limited
Independent Auditors' Report to the Members of MSS Products Limited (continued)
Audit response to risks identified
Our procedures to respond to the risks identified included the following:
∙Reviewing the financial statements disclosures and testing to supporting documentation to assess compliance with the provisions of those relevant laws and regulations which have a direct effect on the financial statements.
∙Discussions with management, including consideration of known or suspected instances of non-compliance with laws and regulations and fraud.
∙Evaluation of the operating effectiveness of management’s controls designed to prevent and detect irregularities.
∙Enquiring of management about any actual and potential litigation and claims.
∙Performing analytical procedures to identify any unusual or unexpected relationships which may indicate risks of material misstatement due to fraud.
We have also considered the risk of fraud through management override of controls by:
∙Testing the appropriateness of journal entries and other adjustments. We have used data analytics software to identify accounting transactions which may pose a heightened risk of material misstatement, whether due to fraud or error.
∙Challenging assumptions made by management in their significant accounting estimates, and assessing whether the judgements made in making accounting estimates are indicative of a potential bias; and
∙Evaluating the business rationale of any significant transactions that are unusual or outside the normal course of business.
We also communicated relevant identified laws and regulations and potential fraud risks to all engagement team members and remained alert to any indications of fraud or non-compliance with laws and regulations throughout the audit.
There are inherent limitations in the audit procedures described above, and the further removed non-compliance with laws and regulations are from the events and transactions reflected in the financial statements, the less likely we would become aware of them. Also, the risk of not detecting a material misstatement due to fraud is higher than the risk of not detecting one resulting from error, as fraud may involve deliberate concealment by, for example, forgery or intentional misrepresentations, or through collusion.
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 Auditors' Report.
This report is made solely to the Company's members, as a body, in accordance with Chapter 3 of Part 16 of the Companies Act 2006. Our audit work has been undertaken so that we might state to the Company's members those matters we are required to state to them in an Auditors' Report and for no other purpose. To the fullest extent permitted by law, we do not accept or assume responsibility to anyone other than the Company and the Company's members, as a body, for our audit work, for this report, or for the opinions we have formed.
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MSS Products Limited
Independent Auditors' Report to the Members of MSS Products Limited (continued)
for and on behalf of
Chartered Accountants & Statutory Auditors
3 Stockport Exchange
Cheshire
SK1 3GG
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MSS Products Limited
Statement of Comprehensive Income
For the Year Ended 31 December 2024
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MSS Products Limited
Registered number: 04361302
Balance Sheet
As at
The financial statements were approved and authorised for issue by the board and were signed on its behalf by:
The notes on pages 17 to 36 form part of these financial statements.
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MSS Products Limited
Statement of Changes in Equity
For the Year Ended 31 December 2024
Statement of Changes in Equity
For the Period Ended 31 December 2023
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MSS Products Limited
Notes to the Financial Statements
For the Year Ended 31 December 2024
MSS Products Limited ('the Company') is a limited company incorporated in England and Wales. The address of the registered office and principal place of business is:
Bankfield Road, Tyldesley, Manchester, M29 8QH. The principal activity of the Company is the trade of copper and other non-ferrous metals.
2.Accounting policies
The financial statements have been prepared under the historical cost convention unless otherwise specified within these accounting policies and in accordance with Financial Reporting Standard 102, the Financial Reporting Standard applicable in the UK and the Republic of Ireland and the Companies Act 2006.
The reporting period is the year ended 31 December 2024 so that the reporting date is aligned with the wider group's accounting reference date. As the previous reporting period was 15 month period ended 31 December 2023, the comparative amounts presented in the financial statements are not entirely comparable.
The preparation of financial statements in compliance with FRS 102 requires the use of certain critical accounting estimates. It also requires management to exercise judgement in applying the Company's accounting policies (see note 3).
The following principal accounting policies have been applied:
The Company has taken advantage of the following disclosure exemptions in preparing these financial statements, as permitted by the FRS 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland":
∙the requirements of Section 7 Statement of Cash Flows;
∙the requirements of Section 3 Financial Statement Presentation paragraph 3.17(d);
∙the requirements of Section 33 Related Party Disclosures paragraph 33.7.
This information is included in the consolidated financial statements of MSS Products Holdings Limited as at 31 December 2024 and these financial statements may be obtained from Companies House.
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MSS Products Limited
Notes to the Financial Statements
For the Year Ended 31 December 2024
2.Accounting policies (continued)
Functional and presentation currency
Transactions and balances
When the outcome of longer-term projects can be estimated reliably, contract revenue and contract costs are recognised as revenue and expenses respectively by reference to the stage of completion at the end of the reporting period. Reliable estimation of the outcome of longer-term projects requires reliable assessment of the stage of completion, future costs and collectability of billings, to be made by management. When the outcome of a long-term project cannot be reliably measured, costs are expensed as incurred, and revenue is recognised only to the extent that it is probable that costs will be recoverable. When it is probable that the total contract costs will exceed total contract revenue on a longer-term project, the expected loss shall be recognised as an expense immediately, with a corresponding provision for an onerous contract.
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MSS Products Limited
Notes to the Financial Statements
For the Year Ended 31 December 2024
2.Accounting policies (continued)
Royalty income is recognised on an accruals basis in accordance with the substance of the relevant agreement.
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MSS Products Limited
Notes to the Financial Statements
For the Year Ended 31 December 2024
2.Accounting policies (continued)
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MSS Products Limited
Notes to the Financial Statements
For the Year Ended 31 December 2024
2.Accounting policies (continued)
Depreciation is charged so as to allocate the cost of assets less their residual value over their estimated useful lives, using the straight-line method.
Depreciation is provided on the following basis:
The assets' residual values, useful lives and depreciation methods are reviewed, and adjusted prospectively if appropriate, or if there is an indication of a significant change since the last reporting date.
Gains and losses on disposals are determined by comparing the proceeds with the carrying amount and are recognised in profit or loss.
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MSS Products Limited
Notes to the Financial Statements
For the Year Ended 31 December 2024
2.Accounting policies (continued)
Provisions are measured as the best estimate of the amount required to settle the obligation, taking into account the related risks and uncertainties.
The Company has elected to apply the provisions of Section 11 “Basic Financial Instruments” 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 trade and other receivables, cash and bank balances, are initially measured at their transaction price including transaction costs and are subsequently carried at their amortised cost using the effective interest method, less any provision for impairment, 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.
Discounting is omitted where the effect of discounting is immaterial. The Company's cash and cash equivalents, trade and most other receivables due with the operating cycle fall into this category of financial instruments.
Impairment of financial assets
Financial assets are assessed for indicators of impairment at each reporting date.
Financial assets are impaired when events, subsequent to their initial recognition, indicate the estimated future cash flows derived from the financial asset(s) have been adversely impacted. The impairment loss will be the difference between the current carrying amount and the present value of the future cash flows at the asset(s) original effective interest rate.
If there is a favourable change in relation to the events surrounding the impairment loss then the impairment can be reviewed for possible reversal. The reversal will not cause the current carrying amount to exceed the original carrying amount had the impairment not been recognised. The impairment reversal is recognised in the profit or loss.
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 the deduction of all its liabilities.
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MSS Products Limited
Notes to the Financial Statements
For the Year Ended 31 December 2024
2.Accounting policies (continued)
Basic financial liabilities, which include trade and other payables, bank loans and other loans are initially measured at their transaction price after transaction costs. When this constitutes a financing transaction, whereby the debt instrument is measured at the present value of the future receipts discounted at a market rate of interest. Discounting is omitted where the effect of discounting is immaterial.
Debt instruments are subsequently carried at their amortised cost using the effective interest rate method.
Trade payables are obligations to pay for goods and services that have been acquired in the ordinary course of business from suppliers. Trade payables are classified as current liabilities if the payment is due within one year. If not, they represent non-current liabilities. Trade payables are initially recognised at their transaction price and subsequently are measured at amortised cost using the effective interest method. Discounting is omitted where the effect of discounting is immaterial.
Other financial instruments
Derivatives, including forward exchange contracts and futures contracts, are not classified as basic financial instruments. These are initially recognised at fair value on the date the derivative contract is entered into, with costs being charged to the profit or loss. They are subsequently measured at fair value with changes in the profit or loss.
Derecognition of financial instruments
Derecognition of financial assets
Financial assets are derecognised when their contractual right to future cash flow expire, or are settled, or when the Company transfers the asset and substantially all the risks and rewards of ownership to another party. If significant risks and rewards of ownership are retained after the transfer to another party, then the Company will continue to recognise the value of the portion of the risks and rewards retained.
Derecognition of financial liabilities
Financial liabilities are derecognised when the Company's contractual obligations expire or are discharged or cancelled.
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MSS Products Limited
Notes to the Financial Statements
For the Year Ended 31 December 2024
The judgements, estimates and assumptions that have the most significant effect on the carrying value of assets and liabilities of the Company as at 31 December 2024 are discussed below: Provision for slow-moving and obsolete stocks In determining whether provision for slow-moving and obsolete stock should be recorded in profit or loss, the Company makes judgements as to whether there is any observable data indicating that there is any future saleability of the product and the estimated net realisable value for such product, including the potential scrap value. Accordingly, provision for impairment is made where the net realisable value is less than the cost, based on estimates by management. The provision for slow-moving and obsolete stock is based on ageing and historical sales patterns, and the estimated realisable value. At the year-end, stock held by the Company totalled £18,957,495 (2023: £14,654,807).
Analysis of turnover by country of destination:
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MSS Products Limited
Notes to the Financial Statements
For the Year Ended 31 December 2024
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MSS Products Limited
Notes to the Financial Statements
For the Year Ended 31 December 2024
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MSS Products Limited
Notes to the Financial Statements
For the Year Ended 31 December 2024
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MSS Products Limited
Notes to the Financial Statements
For the Year Ended 31 December 2024
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MSS Products Limited
Notes to the Financial Statements
For the Year Ended 31 December 2024
12.Taxation (continued)
There were no factors that may affect future tax charges.
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MSS Products Limited
Notes to the Financial Statements
For the Year Ended 31 December 2024
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MSS Products Limited
Notes to the Financial Statements
For the Year Ended 31 December 2024
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MSS Products Limited
Notes to the Financial Statements
For the Year Ended 31 December 2024
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MSS Products Limited
Notes to the Financial Statements
For the Year Ended 31 December 2024
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MSS Products Limited
Notes to the Financial Statements
For the Year Ended 31 December 2024
22.Share capital (continued)
Capital redemption reserve
The capital redemption reserve is a non-distributable reserve into which amounts are transferred following the redemption or purchase of a company's own shares. This cannot be distributed as a dividend. Profit and loss account The profit & loss account represents the accumulated undistributed reserves of the Company.
The Company is party to an agreement guaranteeing the liabilities of companies in the group headed by Bamboo Topco Limited totalling £78,048,000.
The Company is also party to a guarantee dated 6 September 2022 in favour of HM Revenue & Customs for £30,000. The Company is also party to guarantees dated 21 April 2023 and 27 November 2023 in favour of certain suppliers for amounts totalling £135,938.
The Company operates a defined contributions pension scheme. The assets of the scheme are held separately from those of the Company in an independently administered fund. The pension cost charge represents contributions payable by the Company to the fund and amounted to £63,035 (15 month period to 31 December 2023: £71,330). Contributions totalling £9,715 (31 December 2023: £nil) were payable to the fund at the balance sheet date and are included in creditors.
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MSS Products Limited
Notes to the Financial Statements
For the Year Ended 31 December 2024
At the start of the period the amount owed by a Director was £615. £615 was repaid during the year leaving a balance of £nil remaining at year end. The maximum amount outstanding during the year was £615.
No interest was charged and the loan was repayable on demand.
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MSS Products Limited
Notes to the Financial Statements
For the Year Ended 31 December 2024
The Company's immediate parent undertaking is MSS Products Holdings Limited (registered number 10975186), a company registered in England. Consolidated financial statements are prepared for MSS Products Holdings Limited and can be obtained from the registered office: Bankfield Road, Tyldesley, Manchester, M29 8QH.
The ultimate controlling party is Stellex Capital Holdings II Luxembourg SARL, a company incorporated in Luxembourg.
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