REGISTERED NUMBER: 04773929 (England and Wales)

RECLINERS UK LIMITED

FINANCIAL STATEMENTS

FOR THE PERIOD 1 JANUARY 2024 TO 31 MARCH 2025

Page

Company Information

1

Balance Sheet

2

Notes to the Financial Statements

3

DIRECTORS:

J W Davies

M W Davies

P J Lempriere

J Phillipart

S R P Hale

SECRETARY:

J W Davies

REGISTERED OFFICE:

Seminar Components House

Bruce Road

Fforestfach

Swansea

SA5 4HS

REGISTERED NUMBER:

04773929 (England and Wales)

AUDITORS:

Bevan Buckland LLP

Chartered Accountants

And Statutory Auditors

Ground Floor Cardigan House

Castle Court

Swansea Enterprise Park

Swansea

SA7 9LA

FIXED ASSETS

Intangible assets

4

-

-

Tangible assets

5

81,657

51,256

Investments

6

1

1

81,658

51,257

CURRENT ASSETS

Stocks

291,142

195,000

Debtors

7

2,554,345

601,409

Cash at bank

640,547

1,862,398

3,486,034

2,658,807

CREDITORS

Amounts falling due within one year

8

1,291,637

1,058,054

NET CURRENT ASSETS

2,194,397

1,600,753

TOTAL ASSETS LESS CURRENT LIABILITIES

2,276,055

1,652,010

CREDITORS

Amounts falling due after more than one year

9

(29,008

)

-

PROVISIONS FOR LIABILITIES

11

(83,756

)

(9,442

)

NET ASSETS

2,163,291

1,642,568

CAPITAL AND RESERVES

Called up share capital

100

100

Retained earnings

2,163,191

1,642,468

2,163,291

1,642,568

The financial statements have been prepared and delivered in accordance with the provisions applicable to companies subject to the small companies regime.

In accordance with Section 444 of the Companies Act 2006, the Statement of Income and Retained Earnings has not been delivered.

The financial statements were approved by the Board of Directors and authorised for issue on 8 December 2025 and were signed on its behalf by:

S R P Hale - Director

1.	STATUTORY INFORMATION

Recliners UK Limited is a private company, limited by shares , registered in England and Wales. The company's registered number and registered office address can be found on the Company Information page.

The presentation currency of the financial statements is the Pound Sterling (£).

2.	ACCOUNTING POLICIES

Basis of preparing the financial statements

These financial statements have been prepared in accordance with Financial Reporting Standard 102 "The Financial Reporting Standard applicable in the UK and Republic of Ireland" including the provisions of Section 1A "Small Entities" and the Companies Act 2006. The financial statements have been prepared under the historical cost convention.

Going concern

The directors have assessed cashflows and budgets for at least 12 months from the date of approval of these financial statements. Based on this review, the directors have a reasonable expectation that the company has adequate resources to continue in operational existence for the foreseeable future and therefore adopt the going concern basis in preparing these financial statements.

Related party exemption

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.

Turnover

Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, value added tax and other sales taxes.

Goodwill

Goodwill, being the amount paid in connection with the acquisition of a business in 2004, is being amortised evenly over its estimated useful life of ten years.

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

Depreciation is provided at the following annual rates in order to write off each asset over its estimated useful life or, if held under a finance lease, over the lease term, whichever is the shorter.

Plant and machinery etc

-

25% on cost and 20% on cost

Investments in subsidiaries

Investments in subsidiary undertakings are recognised at cost.

Stocks

Stocks are valued at the lower of cost and net realisable value, after making due allowance for obsolete and slow moving items.

Taxation

Taxation for the period comprises current and deferred tax. Tax is recognised in the Statement of Income and Retained Earnings, 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 period 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.

Hire purchase and leasing commitments

Assets obtained under hire purchase contracts or finance leases are capitalised in the balance sheet. Those held under hire purchase contracts are depreciated over their estimated useful lives. Those held under finance leases are depreciated over their estimated useful lives or the lease term, whichever is the shorter.

The interest element of these obligations is charged to profit or loss over the relevant period. The capital element of the future payments is treated as a liability.

Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the lease.

Pension costs and other post-retirement benefits

The company operates a defined contribution pension scheme. Contributions payable to the company's pension scheme are charged to profit or loss in the period to which they relate.

Cash at bank and in hand

Cash at bank and in hand 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.

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.

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.

Basic financial liabilities

Basic financial liabilities, including creditors, bank loans and loans from fellow group companies, 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.

Derecognition of financial liabilities

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

Creditors

Short term trade creditors are measured at the transaction price. Other financial liabilities, including bank loans, are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method.

Debtors

Short term debtors are measured at transaction price, less any impairment. Loans receivable are measured initially at fair value, net of transaction costs, and are measured subsequently at amortised cost using the effective interest method, less any impairment.

3.	EMPLOYEES AND DIRECTORS

The average number of employees during the period was 46 (2023 - 41 ) .

4.	INTANGIBLE FIXED ASSETS

Goodwill

£

COST

At 1 January 2024

and 31 March 2025

30,000

AMORTISATION

At 1 January 2024

and 31 March 2025

30,000

NET BOOK VALUE

At 31 March 2025

-

At 31 December 2023

-

5.	TANGIBLE FIXED ASSETS

Plant and

machinery

etc

£

COST

At 1 January 2024

309,808

Additions

61,965

At 31 March 2025

371,773

DEPRECIATION

At 1 January 2024

258,552

Charge for period

31,564

At 31 March 2025

290,116

NET BOOK VALUE

At 31 March 2025

81,657

At 31 December 2023

51,256

Fixed assets, included in the above, which are held under hire purchase contracts are as follows:

Plant and

machinery

etc

£

COST

Additions

36,990

At 31 March 2025

36,990

DEPRECIATION

Charge for period

1,541

At 31 March 2025

1,541

NET BOOK VALUE

At 31 March 2025

35,449

6.	FIXED ASSET INVESTMENTS

Shares in

group

undertakings

£

COST

At 1 January 2024

and 31 March 2025

1

NET BOOK VALUE

At 31 March 2025

1

At 31 December 2023

1

7.

DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2025

2023

as restated

£

£

Trade debtors

491,899

506,575

Amounts owed by group undertakings

2,062,446

-

Other debtors

-

94,834

2,554,345

601,409

8.

CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR

2025

2023

as restated

£

£

Bank loans and overdrafts

162

-

Hire purchase contracts

5,592

-

Trade creditors

289,764

257,964

Amounts owed to group undertakings

754,233

500,000

Taxation and social security

235,121

293,020

Other creditors

6,765

7,070

1,291,637

1,058,054

9.

CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE YEAR

2025

2023

as restated

£

£

Hire purchase contracts

29,008

-

10.	SECURED DEBTS

The following secured debts are included within creditors:

2025

2023

as restated

£

£

Hire purchase contracts

34,600

-

The hire purchase agreements are secured on the related assets. The company has provided guarantees in respect of these agreements limited to the amounts payable under the contracts.

11.	PROVISIONS FOR LIABILITIES

2025

2023

as restated

£

£

Deferred tax

Accelerated capital allowances

18,756

9,442

Other provisions

65,000

-

83,756

9,442

Deferred

Warranty

tax

provision

£

£

Balance at 1 January 2024

9,442

-

Provided during period

-

65,000

Charge to Statement of Income and Retained Earnings during period

9,314

-

Balance at 31 March 2025

18,756

65,000

12.	DISCLOSURE UNDER SECTION 444(5B) OF THE COMPANIES ACT 2006

The Report of the Auditors was qualified on the following basis:

Basis for opinion

We were not appointed as auditor of the company until the period ended 31 March 2025 and thus did not observe the counting of physical inventories at the end of the prior period ended 31 December 2023. We were unable to satisfy ourselves by alternate means concerning the inventory quantities held at 31 December 2023, which are included in the balance sheet at £195,000, by using other audit procedures. Consequently, we were unable to determine whether any adjustment to this amount was necessary.

Henry Lloyd Davies (Senior Statutory Auditor)

for and on behalf of Bevan Buckland LLP