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REGISTERED NUMBER:
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STRATEGIC REPORT, REPORT OF THE DIRECTOR AND |
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FINANCIAL STATEMENTS FOR THE YEAR ENDED 2ND JANUARY 2019 |
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FOR |
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ARKAY WINDOWS LIMITED |
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REGISTERED NUMBER:
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STRATEGIC REPORT, REPORT OF THE DIRECTOR AND |
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FINANCIAL STATEMENTS FOR THE YEAR ENDED 2ND JANUARY 2019 |
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FOR |
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ARKAY WINDOWS LIMITED |
ARKAY WINDOWS LIMITED (REGISTERED NUMBER: 01238359) |
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CONTENTS OF THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 2ND JANUARY 2019 |
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Page |
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Company Information | 1 |
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Strategic Report | 2 |
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Report of the Director | 3 |
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Report of the Independent Auditors | 4 |
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Statement of Comprehensive Income | 6 |
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Balance Sheet | 7 |
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Statement of Changes in Equity | 8 |
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Cash Flow Statement | 9 |
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Notes to the Financial Statements | 10 |
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ARKAY WINDOWS LIMITED |
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COMPANY INFORMATION |
FOR THE YEAR ENDED 2ND JANUARY 2019 |
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DIRECTOR: |
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REGISTERED OFFICE: |
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REGISTERED NUMBER: |
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AUDITORS: |
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Chartered Accountants & Statutory Auditors |
1 Doughty Street |
London |
WC1N 2PH |
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BANKERS: |
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ARKAY WINDOWS LIMITED (REGISTERED NUMBER: 01238359) |
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STRATEGIC REPORT |
FOR THE YEAR ENDED 2ND JANUARY 2019 |
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The director presents his strategic report for the year ended 2nd January 2019. |
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REVIEW OF BUSINESS |
The company's performance during the period ended 2nd January 2019 was satisfactory. Key performance indicators |
were as follows: |
Current | Comparative |
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Sales | £12,645,597 | £10,919,128 |
GP Margin | 26.1% | 29.2% |
Profit before tax | £1,715,391 | £1,143,871 |
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The company continued to face increasing competition in the double-glazing window business. However, despite the |
tough market conditions, the company has been able to retain its major customers. |
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PRINCIPAL RISKS AND UNCERTAINTIES |
Principal risks and uncertainties the business have are as follows: |
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The company's principal financial instruments comprise bank balances, bank overdrafts, trade creditors, trade debtors |
and hire purchase creditors. The main purpose of these instruments is to fund the company's ongoing working capital. |
Due to the nature of these instruments the company is not exposed to price risk. The company's approach to managing |
other risks applicable to these finance instruments concerned is shown below. |
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In respect of bank balances, the liquidity risk is managed by maintaining a balance between the funding requirements to |
support operational and other activities and the banking facilities available from the banker. The company's liquidity risk |
management includes short-term cash projections and considering the level of liquid assets in relation thereto, and |
monitoring balance sheet liquidity on a frequent basis. |
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Trade debtors are managed in respect of credit and cash flow risk by policies concerning the credit offered to customers |
and the regular monitoring of amounts outstanding for both time and credit limits. |
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Trade creditors liquidity risk is managed by balancing purchases in line with sales and by ensuring sufficient funds are |
available to meet amounts due. |
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Brexit |
The United Kingdom is due to leave the European Union. An agreement on the UK's exit is still under negotiation by the |
UK Government and the European Union and therefore the impact this will have on the business is not yet clearly |
visible. |
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The Company purchases a small percentage of raw material from Europe directly and a more significant amount of from |
UK based companies but which have their supply lines in Europe. There may be short term issues with supply lead |
times which could be offset by adjusting stock levels. The terms of the UK exit could impact the method of import, taxes |
and tariffs associated with aluminium. The Construction Industry also relies on European Labour, and hence impact us. |
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ON BEHALF OF THE BOARD: |
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ARKAY WINDOWS LIMITED (REGISTERED NUMBER: 01238359) |
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REPORT OF THE DIRECTOR |
FOR THE YEAR ENDED 2ND JANUARY 2019 |
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The director presents his report with the financial statements of the company for the year ended 2nd January 2019. |
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PRINCIPAL ACTIVITIES |
The principal activities of the company in the year under review were those of manufacturing and installation of |
double-glazed windows. |
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DIVIDENDS |
Total dividend payments for the year ended 2nd January 2019 was £282,000 (2017: £100,000). |
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DIRECTOR |
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STATEMENT OF DIRECTOR'S RESPONSIBILITIES |
The director is responsible for preparing the Strategic Report, the Report of the Director and the financial statements in |
accordance with applicable law and regulations. |
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Company law requires the director to prepare financial statements for each financial year. Under that law the director |
has 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 director must not approve |
the financial statements unless he is 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 director is required to: |
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- | select suitable accounting policies and then apply them consistently; |
- | make judgements and accounting estimates that are reasonable and prudent; |
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prepare the financial statements on the going concern basis unless it is inappropriate to presume that the company will
continue in business. |
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The director is 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 him to ensure that the financial statements comply with the Companies Act 2006. He is 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. |
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STATEMENT AS TO DISCLOSURE OF INFORMATION TO AUDITORS |
So far as the director is aware, there is no relevant audit information (as defined by Section 418 of the Companies Act |
2006) of which the company's auditors are unaware, and he has taken all the steps that he ought to have taken as a |
director in order to make himself aware of any relevant audit information and to establish that the company's auditors are |
aware of that information. |
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AUDITORS |
The auditors, PSJ Alexander & Co, will be proposed for re-appointment at the forthcoming Annual General Meeting. |
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ON BEHALF OF THE BOARD: |
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REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
ARKAY WINDOWS LIMITED |
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Opinion |
We have audited the financial statements of Arkay Windows Limited (the 'company') for the year ended |
2nd January 2019 which comprise the Statement of Comprehensive Income, Balance Sheet, Statement of Changes in |
Equity, Cash Flow Statement and Notes to the Financial Statements, including a summary of significant accounting |
policies. The financial reporting framework that has been applied in their preparation is applicable law and United |
Kingdom Accounting Standards, including Financial Reporting Standard 102 'The Financial Reporting Standard |
applicable in the UK and Republic of Ireland' (United Kingdom Generally Accepted Accounting Practice). |
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In our opinion the financial statements: |
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give a true and fair view of the state of the company's affairs as at 2nd January 2019 and of its profit for the year then
ended; |
- | have been properly prepared in accordance with United Kingdom Generally Accepted Accounting Practice; and |
- | have been prepared in accordance with the requirements of the Companies Act 2006. |
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Basis for opinion |
We conducted our audit in accordance with International Standards on Auditing (UK) (ISAs (UK)) and applicable law. |
Our responsibilities under those standards are further described in the Auditors' responsibilities for the audit of the |
financial statements section of our report. We are independent of the 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. |
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Conclusions relating to going concern |
We have nothing to report in respect of the following matters in relation to which the ISAs (UK) require us to report to |
you where: |
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the director's use of the going concern basis of accounting in the preparation of the financial statements is not
appropriate; or |
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the director has not disclosed in the financial statements any identified material uncertainties that may cast significant
doubt about the company's ability to continue to adopt the going concern basis of accounting for a period of at least twelve months from the date when the financial statements are authorised for issue. |
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Other information |
The director is responsible for the other information. The other information comprises the information in the Strategic |
Report and the Report of the Director, but does not include the financial statements and our Report of the Auditors |
thereon. |
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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. |
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In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing |
so, consider whether the other information is materially inconsistent with the financial statements or our knowledge |
obtained in the audit or otherwise appears to be materially misstated. If we identify such material inconsistencies or |
apparent material misstatements, we are required to determine whether there is a material misstatement in the financial |
statements or a material misstatement of the other information. 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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Opinions on other matters prescribed by the Companies Act 2006 |
In our opinion, based on the work undertaken in the course of the audit: |
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the information given in the Strategic Report and the Report of the Director for the financial year for which the
financial statements are prepared is consistent with the financial statements; and |
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the Strategic Report and the Report of the Director have been prepared in accordance with applicable legal
requirements. |
REPORT OF THE INDEPENDENT AUDITORS TO THE MEMBERS OF |
ARKAY WINDOWS LIMITED |
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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 Report of the Director. |
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We have nothing to report in respect of the following matters where the Companies Act 2006 requires us to report to you |
if, in our opinion: |
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adequate accounting records have not been kept, or returns adequate for our audit have not been received from
branches not visited by us; or |
- | the financial statements are not in agreement with the accounting records and returns; or |
- | certain disclosures of director's remuneration specified by law are not made; or |
- | we have not received all the information and explanations we require for our audit. |
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Responsibilities of director |
As explained more fully in the Statement of Director's Responsibilities set out on page three, the director is 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 director determines necessary to enable the preparation of financial statements that are free from |
material misstatement, whether due to fraud or error. |
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In preparing the financial statements, the director is 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 director either intends to liquidate the company or to cease operations, or has no realistic |
alternative but to do so. |
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Auditors' responsibilities for the audit of the financial statements |
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from |
material misstatement, whether due to fraud or error, and to issue a Report of the Auditors that includes our opinion. |
Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with ISAs |
(UK) will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are |
considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic |
decisions of users taken on the basis of these financial statements. |
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A further description of our responsibilities for the audit of the financial statements is located on the Financial Reporting |
Council's website at www.frc.org.uk/auditorsresponsibilities. This description forms part of our Report of the Auditors. |
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Use of our report |
This report is made solely to the company's members, as a body, in accordance with Chapter 3 of Part 16 of the |
Companies Act 2006. Our audit work has been undertaken so that we might state to the company's members those |
matters we are required to state to them in a Report of the Auditors and for no other purpose. To the fullest extent |
permitted by law, we do not accept or assume responsibility to anyone other than the company and the company's |
members as a body, for our audit work, for this report, or for the opinions we have formed. |
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for and on behalf of
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Chartered Accountants & Statutory Auditors |
1 Doughty Street |
London |
WC1N 2PH |
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ARKAY WINDOWS LIMITED (REGISTERED NUMBER: 01238359) |
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STATEMENT OF COMPREHENSIVE INCOME |
FOR THE YEAR ENDED 2ND JANUARY 2019 |
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Year ended | Period |
2/1/19 | 1/1/17 to 2/1/18 |
Notes | £ | £ | £ | £ |
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TURNOVER |
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Cost of sales |
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GROSS PROFIT |
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Administrative expenses |
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1,683,542 | 1,106,267 |
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Other operating income |
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OPERATING PROFIT | 4 |
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Income from fixed asset investments |
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Interest receivable and similar income |
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6,430 | 2,317 |
1,725,972 | 1,144,584 |
Gain/loss on revaluation of investments | (5,148 | ) | 4,060 |
1,720,824 | 1,148,644 |
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Interest payable and similar expenses | 5 |
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PROFIT BEFORE TAXATION |
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Tax on profit | 6 |
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PROFIT FOR THE FINANCIAL YEAR |
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OTHER COMPREHENSIVE INCOME | - | - |
TOTAL COMPREHENSIVE INCOME
FOR THE YEAR |
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ARKAY WINDOWS LIMITED (REGISTERED NUMBER: 01238359) |
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BALANCE SHEET |
2ND JANUARY 2019 |
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2019 | 2018 |
Notes | £ | £ | £ | £ |
FIXED ASSETS |
Intangible assets | 8 |
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Tangible assets | 9 |
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Investments | 10 |
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Investment property | 11 |
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CURRENT ASSETS |
Stocks | 12 |
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Debtors | 13 |
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Cash at bank |
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CREDITORS |
Amounts falling due within one year | 14 |
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NET CURRENT ASSETS |
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TOTAL ASSETS LESS CURRENT
LIABILITIES |
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CREDITORS |
Amounts falling due after more than one
year |
15 |
( |
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( |
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PROVISIONS FOR LIABILITIES | 18 | ( |
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NET ASSETS |
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CAPITAL AND RESERVES |
Called up share capital | 19 |
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Revaluation reserve | 20 |
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Retained earnings | 20 |
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SHAREHOLDERS' FUNDS |
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The financial statements were approved by the director on
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ARKAY WINDOWS LIMITED (REGISTERED NUMBER: 01238359) |
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STATEMENT OF CHANGES IN EQUITY |
FOR THE YEAR ENDED 2ND JANUARY 2019 |
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Called up |
share | Retained | Revaluation | Total |
capital | earnings | reserve | equity |
£ | £ | £ | £ |
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Balance at 1st January 2017 |
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Changes in equity |
Dividends | - | ( |
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Total comprehensive income | - |
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Balance at 2nd January 2018 |
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Changes in equity |
Dividends | - | ( |
) | - | ( |
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Total comprehensive income | - | 1,471,367 | ( |
) | 1,029,597 |
Balance at 2nd January 2019 |
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ARKAY WINDOWS LIMITED (REGISTERED NUMBER: 01238359) |
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CASH FLOW STATEMENT |
FOR THE YEAR ENDED 2ND JANUARY 2019 |
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Period |
1/1/17 |
Year ended | to |
2/1/19 | 2/1/18 |
Notes | £ | £ |
Cash flows from operating activities |
Cash generated from operations | 24 |
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Interest paid |
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( |
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Interest element of hire purchase payments
paid |
( |
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( |
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Tax paid | ( |
) | ( |
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Net cash from operating activities |
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Cash flows from investing activities |
Purchase of tangible fixed assets | ( |
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Purchase of fixed asset investments | (107,647 | ) | (1,230 | ) |
Sale of tangible fixed assets |
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( |
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Sale of fixed asset investments |
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Interest received |
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Dividends received |
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Net cash from investing activities | ( |
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Cash flows from financing activities |
Capital repayments in year | ( |
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Amount introduced by directors | - | 305,679 |
Amount withdrawn by directors | 3,675 | (3,675 | ) |
Loan provided to parent company | ( |
) | ( |
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Equity dividends paid |
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( |
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Net cash from financing activities | ( |
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Increase in cash and cash equivalents |
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Cash and cash equivalents at beginning of
year |
25 |
2,454,566 |
1,533,671 |
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Cash and cash equivalents at end of year | 25 | 2,834,628 | 2,454,566 |
ARKAY WINDOWS LIMITED (REGISTERED NUMBER: 01238359) |
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NOTES TO THE FINANCIAL STATEMENTS |
FOR THE YEAR ENDED 2ND JANUARY 2019 |
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1. | STATUTORY INFORMATION |
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Arkay Windows Limited is a
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company's registered number and registered office address can be found on the Company Information page. |
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2. | ACCOUNTING POLICIES |
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Basis of preparing the financial statements |
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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. |
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Turnover |
Turnover is measured at the fair value of the consideration received or receivable, excluding discounts, rebates, |
value added tax and other sales taxes. |
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Goodwill |
Goodwill being the amount paid in connection with the acquisition of a business is being written off evenly over |
its useful life of 10 years. |
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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. |
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Tangible fixed assets |
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Freehold property | - |
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Plant and machinery | - |
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Fixtures and fittings | - |
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Motor vehicles | - |
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Investments in subsidiaries |
Investments in subsidiary undertakings are recognised at cost. |
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Investment property |
Investment property is shown at most recent valuation. Any aggregate surplus or deficit arising from changes in |
fair value is recognised in profit or loss. |
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Investment properties are revalued annually at their open market value in accordance with FRS 102. The surplus |
or deficit on revaluation is transferred to a revaluation reserve except where the deficit reduces the property |
below its historical cost, in which case it is taken to the profit and loss account. |
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No depreciation is provided on investment properties which is a departure from the requirements of the |
Companies Act 2006. In the opinion of the directors, these properties are held primarily for their investment |
potential and so their current value is of more significance than any measure of consumption and to depreciate |
them would not give a true and fair view. The provisions of the Financial Reporting Standard 102 in respect of |
investment properties have therefore been adopted in order to give a true and fair view. |
ARKAY WINDOWS LIMITED (REGISTERED NUMBER: 01238359) |
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NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 2ND JANUARY 2019 |
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2. | ACCOUNTING POLICIES - continued |
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Stocks |
Stocks and work in progress are valued at the lower of cost and net realisable value, after making due allowance |
for obsolete and slow moving items. |
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Cost is calculated using the first-in, first-out method and includes all purchase, transport, and handling costs in |
bringing stocks to their present location and condition. |
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Taxation |
Taxation for the year comprises current and deferred tax. Tax is recognised in the Statement of Comprehensive |
Income, except to the extent that it relates to items recognised in other comprehensive income or directly in |
equity. |
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Current or deferred taxation assets and liabilities are not discounted. |
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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. |
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Deferred tax |
Deferred tax is recognised in respect of all timing differences that have originated but not reversed at the balance |
sheet date. |
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Timing differences arise from the inclusion of income and expenses in tax assessments in periods different from |
those in which they are recognised in financial statements. Deferred tax is measured using tax rates and laws that |
have been enacted or substantively enacted by the year end and that are expected to apply to the reversal of the |
timing difference. |
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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. |
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Foreign currencies |
Assets and liabilities in foreign currencies are translated into sterling at the rates of exchange ruling at the |
balance sheet date. Transactions in foreign currencies are translated into sterling at the rate of exchange ruling at |
the date of transaction. Exchange differences are taken into account in arriving at the operating result. |
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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. |
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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. |
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Rentals paid under operating leases are charged to profit or loss on a straight line basis over the period of the |
lease. |
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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. |
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Investment |
Fixed assets investments are stated at historical cost less any provision for permanent diminution in value. |
ARKAY WINDOWS LIMITED (REGISTERED NUMBER: 01238359) |
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NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 2ND JANUARY 2019 |
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3. | EMPLOYEES AND DIRECTORS |
Period |
1/1/17 |
Year ended | to |
2/1/19 | 2/1/18 |
£ | £ |
Wages and salaries |
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Social security costs |
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Other pension costs |
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The average number of employees during the year was as follows: |
Period |
1/1/17 |
Year ended | to |
2/1/19 | 2/1/18 |
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Sales | 3 | 4 |
Production | 56 | 48 |
Administrative | 23 | 19 |
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Period |
1/1/17 |
Year ended | to |
2/1/19 | 2/1/18 |
£ | £ |
Director's remuneration |
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4. | OPERATING PROFIT |
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The operating profit is stated after charging/(crediting): |
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Period |
1/1/17 |
Year ended | to |
2/1/19 | 2/1/18 |
£ | £ |
Hire of plant and machinery |
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Other operating leases |
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Depreciation - owned assets |
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Depreciation - assets on hire purchase contracts |
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(Profit)/loss on disposal of fixed assets | ( |
) |
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Audit fees |
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ARKAY WINDOWS LIMITED (REGISTERED NUMBER: 01238359) |
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NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 2ND JANUARY 2019 |
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5. | INTEREST PAYABLE AND SIMILAR EXPENSES |
Period |
1/1/17 |
Year ended | to |
2/1/19 | 2/1/18 |
£ | £ |
Bank interest |
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Hire purchase |
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6. | TAXATION |
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Analysis of the tax charge |
The tax charge on the profit for the year was as follows: |
Period |
1/1/17 |
Year ended | to |
2/1/19 | 2/1/18 |
£ | £ |
Current tax: |
UK corporation tax |
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Deferred taxation |
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Tax on profit |
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Reconciliation of total tax charge included in profit and loss |
The tax assessed for the year is lower than the standard rate of corporation tax in the UK. The difference is |
explained below: |
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Period |
1/1/17 |
Year ended | to |
2/1/19 | 2/1/18 |
£ | £ |
Profit before tax |
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Profit multiplied by the standard rate of corporation tax in the UK of
(2018 - |
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Effects of: |
Expenses not deductible for tax purposes |
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Income not taxable for tax purposes | ( |
) | ( |
) |
Capital allowances in excess of depreciation | - | ( |
) |
Depreciation in excess of capital allowances |
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- |
Adjustments to tax charge in respect of previous periods |
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Deferred tax provision | - | 17,000 |
Total tax charge | 244,024 | 222,877 |
ARKAY WINDOWS LIMITED (REGISTERED NUMBER: 01238359) |
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NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 2ND JANUARY 2019 |
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7. | DIVIDENDS |
Period |
1/1/17 |
Year ended | to |
2/1/19 | 2/1/18 |
£ | £ |
Ordinary Share shares of £1 each |
Final |
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8. | INTANGIBLE FIXED ASSETS |
Goodwill |
£ |
COST |
At 3rd January 2018 |
and 2nd January 2019 |
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AMORTISATION |
At 3rd January 2018 |
and 2nd January 2019 |
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NET BOOK VALUE |
At 2nd January 2019 |
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At 2nd January 2018 |
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9. | TANGIBLE FIXED ASSETS |
Freehold | Short | Plant and |
property | leasehold | machinery |
£ | £ | £ |
COST |
At 3rd January 2018 |
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Additions |
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|
|
Disposals | ( |
) |
|
( |
) |
At 2nd January 2019 |
|
|
|
DEPRECIATION |
At 3rd January 2018 |
|
|
|
Charge for year |
|
|
|
Eliminated on disposal | ( |
) |
|
( |
) |
At 2nd January 2019 |
|
|
|
NET BOOK VALUE |
At 2nd January 2019 |
|
|
|
At 2nd January 2018 |
|
|
|
ARKAY WINDOWS LIMITED (REGISTERED NUMBER: 01238359) |
|
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 2ND JANUARY 2019 |
|
|
9. | TANGIBLE FIXED ASSETS - continued |
|
Fixtures |
and | Motor | Computer |
fittings | vehicles | equipment | Totals |
£ | £ | £ | £ |
COST |
At 3rd January 2018 |
|
|
|
|
Additions |
|
|
|
|
Disposals |
|
|
|
( |
) |
At 2nd January 2019 |
|
|
|
|
DEPRECIATION |
At 3rd January 2018 |
|
|
|
|
Charge for year |
|
|
|
|
Eliminated on disposal |
|
|
|
( |
) |
At 2nd January 2019 |
|
|
|
|
NET BOOK VALUE |
At 2nd January 2019 |
|
|
|
|
At 2nd January 2018 |
|
|
|
|
|
Fixed assets, included in the above, which are held under hire purchase contracts are as follows: |
Plant and | Motor |
machinery | vehicles | Totals |
£ | £ | £ |
COST |
At 3rd January 2018 |
|
|
|
Additions |
|
|
|
Transfer to ownership | (205,409 | ) | - | (205,409 | ) |
Reclassification/transfer |
|
|
|
At 2nd January 2019 |
|
|
|
DEPRECIATION |
At 3rd January 2018 |
|
|
|
Charge for year |
|
|
|
Transfer to ownership | (119,614 | ) | - | (119,614 | ) |
Reclassification/transfer |
|
|
|
At 2nd January 2019 |
|
|
|
NET BOOK VALUE |
At 2nd January 2019 |
|
|
|
At 2nd January 2018 |
|
|
|
ARKAY WINDOWS LIMITED (REGISTERED NUMBER: 01238359) |
|
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 2ND JANUARY 2019 |
|
|
10. | FIXED ASSET INVESTMENTS |
Shares in |
group | Unlisted |
undertakings | investments | Totals |
£ | £ | £ |
COST |
At 3rd January 2018 |
|
|
114,753 |
Additions |
|
|
107,647 |
Disposals |
|
( |
) | (108,282 | ) |
Revaluation | - | (4,287 | ) | (4,287 | ) |
At 2nd January 2019 |
|
|
109,831 |
NET BOOK VALUE |
At 2nd January 2019 |
|
|
109,831 |
At 2nd January 2018 |
|
|
114,753 |
|
The company's investments at the Balance Sheet date in the share capital of companies include the following: |
|
|
Registered office: |
Nature of business:
|
% |
Class of shares: | holding |
|
|
|
11. | INVESTMENT PROPERTY |
Total |
£ |
FAIR VALUE |
At 3rd January 2018 |
and 2nd January 2019 |
|
NET BOOK VALUE |
At 2nd January 2019 |
|
At 2nd January 2018 |
|
|
The investment property was valued on an open market basis on 31st December 2017 by the Director. |
|
12. | STOCKS |
2019 | 2018 |
£ | £ |
Raw materials |
|
|
Work-in-progress |
|
|
Finished goods |
|
|
|
|
ARKAY WINDOWS LIMITED (REGISTERED NUMBER: 01238359) |
|
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 2ND JANUARY 2019 |
|
|
13. | DEBTORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2019 | 2018 |
£ | £ |
Trade debtors |
|
|
Amounts owed by group undertakings |
|
|
Other debtors |
|
|
Directors' loan accounts | - | 3,675 |
Prepayments and accrued income |
|
|
|
|
|
14. | CREDITORS: AMOUNTS FALLING DUE WITHIN ONE YEAR |
2019 | 2018 |
£ | £ |
Hire purchase contracts (see note 16) |
|
|
Trade creditors |
|
|
Taxation |
|
|
Social security and other taxes |
|
|
VAT | 274,745 | 247,254 |
Other creditors |
|
|
Accrued expenses |
|
|
|
|
|
15. |
CREDITORS: AMOUNTS FALLING DUE AFTER MORE THAN ONE
YEAR |
2019 | 2018 |
£ | £ |
Hire purchase contracts (see note 16) |
|
|
|
16. | LEASING AGREEMENTS |
|
Minimum lease payments under hire purchase fall due as follows: |
|
2019 | 2018 |
£ | £ |
Net obligations repayable: |
Within one year |
|
|
Between one and five years |
|
|
|
|
ARKAY WINDOWS LIMITED (REGISTERED NUMBER: 01238359) |
|
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 2ND JANUARY 2019 |
|
|
17. | SECURED DEBTS |
|
The following secured debts are included within creditors: |
|
2019 | 2018 |
£ | £ |
Hire purchase contracts | 118,370 | 192,251 |
|
The company has an overdraft facility in place which is secured by a floating charge on the Company's assets. |
|
Hire Purchase and finance lease creditors are secured on the respective assets. |
|
18. | PROVISIONS FOR LIABILITIES |
2019 | 2018 |
£ | £ |
Deferred tax |
Accelerated capital allowances |
|
|
|
Deferred |
tax |
£ |
Balance at 3rd January 2018 |
|
Movement for the year |
Balance at 2nd January 2019 |
|
|
19. | CALLED UP SHARE CAPITAL |
|
|
Allotted, issued and fully paid: |
Number: | Class: | Nominal | 2019 | 2018 |
value: | £ | £ |
|
Ordinary Share | £1 | 180,000 | 180,000 |
|
20. | RESERVES |
Retained | Revaluation |
earnings | reserve | Totals |
£ | £ | £ |
|
At 3rd January 2018 |
|
|
3,898,818 |
Profit for the year |
|
|
Dividends | ( |
) | ( |
) |
Transfer | - | (441,770 | ) | (441,770 | ) |
At 2nd January 2019 |
|
|
4,646,415 |
ARKAY WINDOWS LIMITED (REGISTERED NUMBER: 01238359) |
|
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 2ND JANUARY 2019 |
|
|
21. | DIRECTOR'S ADVANCES, CREDITS AND GUARANTEES |
|
The following advances and credits to a director subsisted during the year ended 2nd January 2019 and the |
period ended 2nd January 2018: |
|
2019 | 2018 |
£ | £ |
|
Balance outstanding at start of year |
|
|
Amounts advanced |
|
|
Amounts repaid | ( |
) | ( |
) |
Amounts written off | - | - |
Amounts waived | - | - |
Balance outstanding at end of year |
|
|
|
22. | RELATED PARTY DISCLOSURES |
|
Fine Point Glass Limited ('FPG') |
|
Common director and shareholder |
|
|
The following transactions took place during the year: |
(i) Rent charged to FPG was £36,000 (2017: £36,000). |
(ii) Expenses paid on behalf of FPG by the Company during the year were £40,809 (2017: £45,618) |
(iii) Net sales to FPG: £611,292 (2017: £889,974).. |
(iv) Interest free loan provided during the year to FPG £30,000. |
|
All transactions were at arms' length. |
|
2019 | 2018 |
£ | £ |
Amount due from related party at the balance sheet date | 348,721 | 231,747 |
|
Arkay Contractors Limited |
|
Common director and shareholder |
|
|
The company made sales of £994,830 to Arkay Contractors Ltd during the year. |
|
2019 | 2018 |
£ | £ |
Amount due from related party at the balance sheet date | 285,976 | 215,616 |
|
23. | ULTIMATE CONTROLLING PARTY |
|
The company was controlled throughout the current and previous year by Mr R R Radia and his close family |
members. |
ARKAY WINDOWS LIMITED (REGISTERED NUMBER: 01238359) |
|
NOTES TO THE FINANCIAL STATEMENTS - continued |
FOR THE YEAR ENDED 2ND JANUARY 2019 |
|
|
24. |
RECONCILIATION OF PROFIT BEFORE TAXATION TO CASH GENERATED FROM
OPERATIONS |
Period |
1/1/17 |
Year ended | to |
2/1/19 | 2/1/18 |
£ | £ |
Profit before taxation |
|
|
Depreciation charges |
|
|
(Profit)/loss on disposal of fixed assets | ( |
) |
|
Loss/(gain) on revaluation of fixed assets | 5,148 | (4,060 | ) |
Finance costs | 5,433 | 4,773 |
Finance income | (6,430 | ) | (2,317 | ) |
1,162,116 | 1,291,653 |
(Increase)/decrease in stocks | ( |
) |
|
Increase in trade and other debtors | ( |
) | ( |
) |
Increase in trade and other creditors |
|
|
Cash generated from operations |
|
|
|
25. | CASH AND CASH EQUIVALENTS |
|
The amounts disclosed on the Cash Flow Statement in respect of cash and cash equivalents are in respect of these |
Balance Sheet amounts: |
|
Year ended 2nd January 2019 |
2/1/19 | 3/1/18 |
£ | £ |
Cash and cash equivalents | 2,834,628 | 2,454,566 |
Period ended 2nd January 2018 |
2/1/18 | 1/1/17 |
£ | £ |
Cash and cash equivalents | 2,454,566 | 1,533,671 |
|
26. | ULTIMATE PARENT UNDERTAKING |
|
The immediate and ultimate parent undertaking is Arkay Group limited. |